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US November auto sales struggle to gain ground

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FarCenter Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Dec-01-09 03:25 PM
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US November auto sales struggle to gain ground
http://news.yahoo.com/s/ap/20091201/ap_on_bi_ge/us_auto_sales;_ylt=AhHJiDEa_260BrSxiS2qAJqyBhIF;_ylu=X3oDMTJlODdmZzYxBGFzc2V0A2FwLzIwMDkxMjAxL3VzX2F1dG9fc2FsZXMEY3BvcwMxBHBvcwMyBHNlYwN5bl90b3Bfc3RvcnkEc2xrA3Vzbm92ZW1iZXJhdQ--

DETROIT – U.S. auto sales struggled to gain ground in November and big improvements aren't expected until people stop worrying about losing their jobs.

Sales last month were mostly stable, but even higher incentives couldn't push the needle much beyond last November's dismal lows, when a credit freeze and the financial meltdown kept car buyers at home.

One strength was sales of fuel-efficiency cars and crossovers, which are as roomy as SUVs but are built on lower car frames, bolstering fuel economy.

Last month's big winner, again, was South Korea's Hyundai, which posted double-digit sales growth. Sales at the top three U.S. sellers — General Motors, Ford and Toyota — held steady, while Chrysler struggled for another month.

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General Motors said its sales fell 2 percent in November, though sales of its core Buick, Cadillac, Chevrolet and GMC brands rose. Ford's sales were essentially flat compared to last November, at 122,846, although sales of its crossovers rose 26 percent and car sales rose 14 percent. Trucks and SUVs saw double-digit declines.

Ford's hybrid sales increased 73 percent, to 2,361, as buyers gravitated toward gas sippers. At about $2.65 per gallon, regular gasoline is up around 50 cents over November of last year.

The Ford Fusion sedan, which leads the mid-size category in fuel-efficiency at 34 miles per gallon, posted a 54-percent increase from last November, shattering its previous record for full-year sales.

"We can see now that a modest economic recovery is under way," Ford senior economist Emily Kolinski Morris said.

Toyota said its U.S. sales rose 2.6 percent to 133,700, led by standbys like the Camry sedan and the RAV4 crossover. Hyundai sales soared 46 percent on the back of its top-selling Sonata sedan.

Honda's U.S. sales fell 2.9 percent in November on slower sales of small cars like the Fit and the Civic.

Chrysler said it sold only 63,560 vehicles last month, a decline of 25 percent, and it announced an array of sales incentives including zero percent financing and cash rebates designed to draw buyers into its showrooms.

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