Detroit's June Car Sales Set For Worst Showing Since 1990s

Financial Times:

June car sales data, due out on Tuesday, are expected to show the US auto market heading for its worst year in more than a decade.

The figures could also mark a milestone for Detroit's struggling producers if they show Toyota outselling General Motors in its home market for the first time, although sales incentives recently introduced by GM could yet keep it ahead of its rival.

GM's shares on Monday hit their lowest level in half a century as investors sold them ahead of Tuesday's sales results.

As oil prices rise, household budgets are squeezed and Americans stop buying large vehicles.

Read the whole story: Financial Times

Comments

[pie8ter]

A Toyota Camry only gives about 22 MPG in city. That's about 4 miles better than a pickup or SUV. I wouldn't consider it as a big savings. But the Camry has much better resale value than GM or Ford cars.

[MajorKong]

A lot of pickups and SUVs get less than 18 mpg in the city. The Camry gets about 30 on the highway, which is significantly better than a pickup or SUV. The poor aerodynamics of a pickup truck really become significant at highway speeds.

[LeonBNJ]

This is like the 1970's when Detroit got almost ruined as couldn't and wouldn't make more economical cars. The 'economical' cars they did offer were horrible and gave Toyota, Datusn and Honda their first big chance into the USA market. Now they are finishing their conquest of American car market with far better and available fuel efficient vehicles. Detroit blew it again and we all pay for it.

[rbspickles]

You are right! Instead of planning ahead, Detroit looked for the quick buck. Now we all are paying the price. And the CEOs get huge pay packages and perks from their idiotic choices. Go figure :(

[thegreatgiginthesky]

Someone needs to have the heads of the execs at Ford motors examined. Gas prices soaring and they decide to release a new SUV the Ford flex which gives you a whopping 17 mpg in the city.

[Paul]

Yes but it gets the "best gas milage in its class".

[ccpostman]

GM needs to do something in a hurry or they are done.

Cramer was bashing them again today on CNBC telling people to dump their GM stock.

They should bring back the EV1 ASAP.

They at least would be in the game again and that car had a good following. Just update the batteries and build out on the sales and feedback. Call it the EV2.

I just don't understand their logic?

[nogimmicks]

The auto-makers should give a call to those guys in Exxon Mobile and BP, ask what's going on with those 40B/y pure profits. Also a quick one to the Cheney-Kristol neocons who lied about cheap oil from Iraq as soon as it is occupied.