Gas prices put brakes on auto sales

[sabra]

http://money.cnn.com/2005/10/03/news/economy/autosales/index.htm?cnn=yes

Gas prices put brakes on auto sales
Ford, GM sees sharp drop in sales of pickup, SUV's after strong summer; Chrysler sales edge up.


NEW YORK (CNN/Money) - Sales tumbled at General Motors and Ford last month as record high gas prices and the automakers' own summer promotions finally took their toll.

...

GM, the world's biggest automaker, said U.S. sales overall sank 24 percent to 344,797 vehicles in September.

Sales of light trucks, which include pickups, sport/utility vehicles and vans, plummeted even more, off 30 percent from a year earlier, while car sales declined 14.5 percent.

Ford, the nation's No. 2 automaker, said September sales overall sank 19 percent to 228,157 vehicles.

[trogdor]

1. What's this? -> O

The world's smallest playable CD with the hit song, "My Heart Bleeds For GM." Somebody call a waaaaaaaaaaaaaaaaaaambuance.

[Kolesar]

4. Yeah, this is great. They could go bankrupt. That'll show 'em

[Dover]

5. Actually, going bankrupt IS the plan.

They want to reorganize and dump pensions. Until then, I doubt there will be any major changes to the cars design.
So this plunge in sales ought to work for them just fine.

[CatholicEdHead]

11. They are making more money from other divisions

than cars. So what does GM care. Their financial services are where the profits are at. And they can dump the pensions corporation wide, so it is a "win-win" for them.

[SpiralHawk]

18. "Dump the Pensions" - Cry of the Republican Corporate BigWigs

"Screw America's elders. More Moolah for Republican Propaganda Operations."

[Born Free]

16. It's ironic how quick Americans turn on American interests

Almost every time there is a problem facing American interests, other Americans turn on them. Last week it was the Katrina victims - they should have done something else, they should have found a way to leave....today it's GM...they should have done something else, they should have been more like Japan, they should not have made the products most Americans wanted at the time. I am not suggesting Americans should be buying the SUV, and other giant gas guzzlers etc, but I hate to see GM have trouble, I hate to see many Americans, including relatives face financial hard times because the administration in the white house has made so many poor decisions that everything "American" is going down the drain. The white house is directly responsible for higher gas costs, their illegal invasion of Iraq has made this problem worse.Rather then lower oil prices they have gone up because the world oil supply is less stable today then prior to the invasion.

[cassiepriam]

19. Born Free, I live in a GM town.....

they have brought on all their own troubles,
they are corrupt, incompetent, dishonest.
And they are well known to not be forward thinking
or innovative. Kind of like buggy whip makers. It is
karma time for them.

[Double T]

2. The US automakers need a new line of high mileage and......

ultra high mileage vehicles. The technology exists and they need to pump some new ideas into a sagging SUV market. The American consumer is looking for these fuel efficient vehicles as a necessity to their economic survival.

[rurallib]

3. But all the tax breaks go to SUVs and trucks

plus there's A LOT of profit in them big dogs. That's the formula for trickle down success - sell 'em what you got.

[gizmo1979]

6. I'd like to see them

come out with those short commute cars like they have in england.Tiny little things just right to get back and fourth to work.

[Double T]

14. Smart Car Fortwo by Daimler-Chrysler

[Trillo]

7. Consumer Nees better MPG at lower intial COST

Auto-companies need a new product line that gets MUCH better MPG at MUCH LOWER initial COST to correlate to the lower-wages paid versus the 50s, 60s, and even the 70s.

Here's some brainstorming for them, this comes with a hybrid gas-electric drive:
http://www.bikemotor.com.nyud.net:8090/images/pedleftsunleft.jpg
Edited to add: Images courtesy of http://bikemotor.com/

[Carolab]

10. Wow, that's cute. Is there one for rainy or cold weather? n/t

[Trillo]

12. The covered ones I've found

are still MUCH too expensive for regular working folk.

Swiss EV for two people
http://ds1.dreifels.ch.nyud.net:8090/twikeklub/images/1_TWIKE_Titel.gif
It's reportedly $18,000. http://www.twike.ch/

If cost is no object and a top speed of 150 MPH is desired
http://www.commutercars.com.nyud.net:8090/images/gallery/seattle/index/indexfiles/IMG_2179.JPG.jpg?
ONLY $85,000 Low cost model: $18,700
http://www.commutercars.com


But you can always get a Motorcycle Rain Suit, they work surprisingly well (I used one back in my motorcycling days, they will keep you dry and warm)

http://motorcycleinfo.calsci.com.nyud.net:8090/Images/MarseeRain.jpg
About $115.

[Carolab]

13. Thanks for the information. $18,500 isn't bad. But $85,000 is nuts.

It makes a lot of sense...can go up to 80 miles on one charge and is stable and safe. I like it! Designed by the same genuises who designed my current car--the Subaru WRX! I might order one.

[Born Free]

17. add a (American) Buell Blast for about $4500

American company, easy to use motorcycle that can run 70 mph all day and gets close to 70 mpg. It comes with a 2 year, unlimited mileage warranty. It's a little, quick handling, terrific braking, but NOT a racing bike or even a luxury bike by any means. It vibrates at lower rpms and it won't get close to the crotch rockets from Japan. It's certainly NOT a bike to impress the neighbors, but will save gas, and did I mention it is made by an American motorcycle company, Harley Davidson?

[Buns_of_Fire]

21. ...and used, in good condition, about $2500

Or even a Vespa. Heck, I'd LOVE to see the roads populated by two-wheelers -- both powered and unpowered. The crotch rockets don't interest me all that much anymore; I'm at that age where my bones don't heal as quick as they used to.

Harley-Davidson: the next GM. I could live with that. :-)

[TheCowsCameHome]

8. You don't actually think there's a connection, do you?

America is waking up. Bad news for Bush.

[triguy46]

9. only for gas hog US vehicles

Yes, I'm being smug about dumping my own gas hog for a honda civic ten days ago. The thing was off the truck for 2 hours before I bought it and 2 others were being sold while I was there.

Not being able to offer folks what they think their gas hog is worth is going to be a major factor. In the past 4 weeks many have discovered that $3 gas has just made them upside down in their car loan.

[Porcupine]

15. Used SUV's lining the roads in my town.

On every corner with a wide shoulder there is a row of SUV's and big ass trucks with for sale signs on them. The lack of a market for trade-in vehicles is going to put a big crimp on the new car market.

Why buy a used gas hog when you can't even afford the gas?

[JNelson6563]

20. Detroit must be feeling betrayed

they've been in bed with that industry so long and now big oil's screwin' 'em over for record profits. I wonder if we'll see any crimes of passion? Or maybe the big three will get their heads out of their asses and start putting out more fuel efficient cars.

Hope springs eternal.

Julie