Passenger car sales outpaced the SUV and trucks but this is not enough to stop the decline in American vehicle sales.
Automakers reported higher sales of small cars as oil and gasoline prices climbed to record highs in April 2008, but said Thursday (1 May, 2008) that overall vehicle sales in the United States plunged during the month, reports The New York Times.
Sales decreased 29 percent from April 2007 at Chrysler, 23 percent at General Motors and 19 percent at the Ford Motor Company. Toyota’s sales fell 4.5 percent, and both Honda and Nissan reported 2 percent declines. The numbers are adjusted to account for two more selling days in April this year. Overall, Americans purchased 1.25 million vehicles in April 2008, 110,000 fewer than in April 2007.
Rising prices of gasoline and lowered consumer confidence were key elements that ensured automobile sales in the U.S. for to plunged, reaching the lowest annual rate in the past 10 years.
“We think we’re in the trough of the downturn in the second quarter,” G.M.’s chief sales analyst, Michael C. DiGiovanni, said. “What we did not count on is oil being as high as almost USD 120 a barrel. That’s causing a very sharp shift to cars and crossovers from trucks, and it’s also lowering the overall industry.” reports The New York Times.
Consumers are looking much more interested in buying small car for fuel efficiency, attractive models and low price than SUV and Trucks. But at the same time this increase in small car sales is not enough to cover a steep decline in SUV and trucks, making the over all vehicle sales to go down.
According to analyst at Arth Business Research, “This decline in vehicle sales is expected to continue in the coming months of this year, with oil prices still hovering up and consumer confidence going down. But attractive models from automakers in small car segment with increasing demand are expected to cover the decline at some extent.
For more articles, blogs, company analysis, company profile, industry research reports plz contact at mr.jayantkumar@gmail.com
Automakers reported higher sales of small cars as oil and gasoline prices climbed to record highs in April 2008, but said Thursday (1 May, 2008) that overall vehicle sales in the United States plunged during the month, reports The New York Times.
Sales decreased 29 percent from April 2007 at Chrysler, 23 percent at General Motors and 19 percent at the Ford Motor Company. Toyota’s sales fell 4.5 percent, and both Honda and Nissan reported 2 percent declines. The numbers are adjusted to account for two more selling days in April this year. Overall, Americans purchased 1.25 million vehicles in April 2008, 110,000 fewer than in April 2007.
Rising prices of gasoline and lowered consumer confidence were key elements that ensured automobile sales in the U.S. for to plunged, reaching the lowest annual rate in the past 10 years.
“We think we’re in the trough of the downturn in the second quarter,” G.M.’s chief sales analyst, Michael C. DiGiovanni, said. “What we did not count on is oil being as high as almost USD 120 a barrel. That’s causing a very sharp shift to cars and crossovers from trucks, and it’s also lowering the overall industry.” reports The New York Times.
Consumers are looking much more interested in buying small car for fuel efficiency, attractive models and low price than SUV and Trucks. But at the same time this increase in small car sales is not enough to cover a steep decline in SUV and trucks, making the over all vehicle sales to go down.
According to analyst at Arth Business Research, “This decline in vehicle sales is expected to continue in the coming months of this year, with oil prices still hovering up and consumer confidence going down. But attractive models from automakers in small car segment with increasing demand are expected to cover the decline at some extent.
For more articles, blogs, company analysis, company profile, industry research reports plz contact at mr.jayantkumar@gmail.com
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