The Auto Writer

U.S. Auto Industry Registers 6.3% Decline Overall

The news was expected to be bad, so when it finally came few people were surprised.

U.S. auto sales for February 2008 declined 6.3% when compared to February 2007. Leading the drop were the U.S. automakers with Chrysler reporting a 14% decline, GM 12.9%, and Ford slipping 6.6%. As a result of the drop in sales, both Ford and GM announced production cutbacks for the second quarter.

Honda, Mercedes, and Nissan Gain

Honda led the way for the month, posting a 4.9% increase followed by Mercedes-Benz at 4%. Nissan also saw a slight increase, 1.2%, while Toyota fell nearly 3%.

Hyundai, which experienced one of the largest drops in January 2008 at 22.6% continued its slide for February with sales dropping 11% despite strong demand for its Sonata sedan. Kia, which had a much smaller loss in January saw its losses pick up slightly for February as sales fell 7.7%.

Bargains Galore If You Look For Them

Small cars sold well including the Toyota Yaris, the hybrid Nissan Altima, Kia Spectra, and Chevy Cobalt, to name a few. The biggest drops continue to be found with SUVs and big pick up trucks as consumers avoid this segment in the face of high gas prices.

Further Reading

Feb U.S. auto incentives up 17 pct from Jan-Edmunds

Auto sales surge 14.3% in Canada