Australia's largest car dealership group, AP Eagers, has axed 1200 staff and struck agreements with about 50 per cent of landlords at its 200 outlets for rent waivers or deferrals until June 30.

The company, which has 11 per cent of the new car market in Australia, outlined on Thursday that it has been aggressively cutting costs in response to the economic turmoil from the coronavirus pandemic, and a big downturn in vehicle sales.