There has been lots of effort to recapture previous market share among the Big Three domestic automakers. The auto industry as a whole, but especially the domestic automakers, have been desperate to get more individuals into new vehicles. Sales haven't been great, but there was some help from the auto rebate from the Cash for Clunkers program. Revenue for General Motors, and other automakers, thanks to Cash for Clunkers did somewhat improve, but since 2009 Gm sales and other auto sales have declined. The consumer confidence index just doesn't exist, look at the real estate market.
Gm profits decline right after spring
GM has returned to profitability and is close to filing for an First Public Offering and paying off the portion the business owes for the auto bailout. Despite all this recent activity, the death of Cash for Clunkers has led to declining revenue, especially Gm profits. General Motors revenue have been declining since August 2009. As outlined by the newest York Times, the sales for General Motors have dropped 25 percent since then. It isn't like no one saw it coming though. Nevertheless, take into account that GM is down to only four brands. The company jettisoned half of the imprints that it used for making. It is believed that lots of people are holding out for Labor Day sales.
Ford Motors fell behind also
The domestic auto makers follow each other really closely. True to form, Ford Motors sales declined between August 2009 and August 2010. Both automakers were likely helped by consumers - who could afford to or had access to credit - buying more fuel efficient autos and taking advantage of the tax rebate. The drop was not as bad for Ford Motors, though. Ford sales only dipped 11 percent. However, Chrysler actually increased sales by 7 percent. Chrysler, nevertheless, entirely bucked the trend. Chrysler managed to actually increase profits by 7 percent. The auto industry sold 10.4 million autos. This year is projected to top 11 million. Auto sales rates are seasonally adjusted month to month. Last year, the sales rate in August was 14.1 million, and this year the rate is 11.5 million.
Consumers are not as confident
There isn't an industry not affected by consumer confidence at this time. Real estate is abysmal, but the auto industry is slowly improving. The green cars will sell quite well. That said, it is hard to talk individuals into a new Chevy, Ford Motors, or Dodge, if they do not feel right about doing it.
Discover more data on this topic