Elon Reeve Musk -- Chief Executive Officer and Product Architect

Yeah. I'm assuming that's a helpful -- hopefully, a helpful macro trend is if there's a decline in interest rates. This has a massive effect on the automotive demand because the vast majority of people is -- the demand is driven by the monthly payment. Can they afford monthly payment? So, most likely, we'll see continued decline in interest rates, which helps with affordability of vehicles.

Vaibhav Taneja -- Chief Financial Officer

Yeah. I mean, that is one trend which we observed in the industry that's, because of the affordability, being impacted because of interest rates. People are holding on to their cars longer, especially in the U.S. And that is actually having an impact on the overall industry, too.