October Sales of Ford, Toyota, GM, and Honda Plummet
Car manufacturers feel the pressure of the global credit crunch as they review their figures for October. The monthly sales are considered to be the lowest performance of the auto industry in almost 25 years.
The numbers are not for the weak hearts as Toyota sales have declined by as much as 23%. Ford experience a year to year drop of 45% as its October sales took a nose dive down by 32%. Hondaand Daimler AG sales were also a lack luster with a 24% drop.
Other car manufacturers like Isuzu, Suzuki, and Porsche suffered a 45% decline.
The drop in sales of the automotive industry is on its 12-month straight, and is consistent with the projection of analysts who viewed businesses highly dependent on financing to suffer a great deal.
The projected sales of vehicles are around 11 million. It is a great number at first look but according to the US Commerce Department that is the lowest since 1983.
According to experts, the projection implies that there are no hot segments or products in the auto industry today. The average vehicles sales through the decade in the US are around 16.8 million.
Only a few car manufacturers have reported increased in monthly sales. Last January, General Motors experienced a slight spike. Toyota reported gains last April. Under Cerebrus management, Chrysler had some good yields last December.
October 2008 may have been a bit favorable for Audi, a brand of Volkswagen which reported a 0.3% increase.
According to experts, this may be the toughest economy that has stalled the auto industry.