Page 7 - ATD 04Nov15
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U.S. NEWS A7
Wednesday 4 November
US Financial Front:
Automakers post big October sales gains; record year in sight
TOM KRISHER begin in November. A car salesman works the telephone while searching through inventory at the certified used car
DEE-ANN DURBIN “It’s going to be hard not lot at Brandon Ford in Brandon, Fla. on Tuesday, Nov. 3, 2015. Sales of new cars and trucks rose by
AP Auto Writers to hit that record at this double-digit percentages at most major automakers in October, and companies are raising their
DETROIT (AP) — The U.S. pace,” said Jeff Schuster, expectations for the rest of the year. Ford now expects total U.S. sales of 17.4 million this year, just
is speeding toward what senior vice president of topping the record of 17.35 million from 2001.
could be a record year for auto sales forecasting for
auto sales. LMC Automotive. Schus- (AP Photo/Chris O’Meara)
Sales of new cars and ter said the industry roared
trucks rose by double-digit back from weak sales in the ally declines in November ing to heavy discounting in to its customers last month
percentages at most ma- early months of the year.
jor automakers in October, Sales have been greased and picks up again in De- order to keep growing their to blunt the impact of its
and companies are raising by cheap financing, low
their expectations for the gas prices and an improv- cember, but Mark LaNeve, sales. That lowered indus- diesel emissions scandal,
rest of the year. Ford now ing economy. Schuster said Ford’s U.S. marketing chief, try profits and slashed cars’ but the Volkswagen brand
expects total U.S. sales of buyers are using the extra said he’s already seeing resale values. Eric Lyman, sold just 74 more cars in
17.4 million this year, just cash to buy bigger vehicles Black Friday car deals ad- TrueCar’s vice president of October than it did a year
topping the record of 17.35 loaded with features. Sales
million from 2001. of the eight-seat Cadillac vertised on television. industry analysis, says pent- ago. VW’s other brands,
General Motors’s U.S. sales Escalade, for example, rose
rose almost 16 percent 47 percent. “We’re in a strong market, up demand from the reces- Audi and Porsche, saw
over last October. Ford and Automakers induced buy- but it’s a very competitive sion should peter out in the little impact because the
Toyota reported 13 percent ers further by offering in- market with a lot of activity middle of 2016. After that, scandal mostly affected
gains. Nissan sales rose 12.5 centives on outgoing 2015
percent over a year ago, models. TrueCar said the out there,” he said. automakers could face a four-cylinder diesels in Volk-
and Fiat Chrysler’s were up car companies spent 14.1
nearly 15 percent. Honda percent more than last Oc- LaNeve reassured inves- period of declining sales. swagens. Audi sales rose 17
sales rose 8.6 percent. Volk- tober on cash-back pro- tors that Ford won’t spend Deals popping up over the percent in October, while
swagen, mired in an emis- motions and other deals. more on incentives than it next few months are one Porsche’s rose 11 percent.
sions-cheating scandal, Chevrolet was offering did in October, but will sim- hedge against that. That could change. The
posted a small gain. zero-percent financing for
U.S. sales rose 14 percent to up to 72 months on a 2015 ply shift the money around. “This is probably the first U.S. Environmental Protec-
nearly 1.5 million, accord- Camaro, while Toyota ad-
ing to Autodata Corp. It vertised $2,000 cash back Industry analysts worry we’re seeing automakers tion Agency on Monday
was the best October since on a 2015 Avalon sedan. that, as U.S. sales peak and react to a possible decline accused VW of cheating
2001, when zero-percent The deals are expected to eventually slow, automak- in future demand,” Lyman on six-cylinder Audi and
financing offers after the continue. On Tuesday, Ford
Sept. 11 terrorist attacks said it will offer no-haggle ers will fall into the trap they said. Porsche models, a charge
pushed sales to 1.6 million, prices below the standard
according to the LMC Au- retail price on most vehi- did a decade ago, resort- Volkswagen offered $2,000 VW denies.q
tomotive forecasting firm. cles through the end of this
GM said sales have run at year. The discounts vary,
an annual rate of 17.8 mil- but on a 2016 Ford Explorer,
lion for the past six months, the starting price drops by
putting the year on track to $1,121 to $29,929.
break the annual record. Whether Ford’s rivals will
And the pace likely won’t follow remains to be seen.
slow as holiday promotions Incentive spending usu-
