U.S. car sales continue to plunge for the straight fourth month since the onset of 2017
Category: #world  By Ojaswita Kutepatil  Date: 2017-05-03
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U.S. car sales continue to plunge for the straight fourth month since the onset of 2017

A significant decline of 4.7% has been reported in the U.S. light-weight vehicle sales for the month of April. The lucrative American market spectates this month’s sales data to fall short of 2016’s record sale of 17.5 million vehicles. This has brought the seven years of US auto sales consistent growth record since 2009, to an unexpected halt.

The top-notch automakers of the country including Ford, Fiat Chrysler, and General Motors reported their slowdown of sales by 7.2%, 7%, and 5.8% respectively.

Ford has been reported to have suffered the biggest setback, with its sales volume dropping by 10.5% in retail and individual customer sales. The company disclosed that car deliveries have plunged to 21% and its truck sales fell by 4.2%.

However, SUV sales swing positive at a rate of 1.2% for Ford. The sales were up by 13.2% for Expedition, the Escape registered a 7.2% increase, while the Edge was also seen to increase by 5.8%. However, Explorer reported a fall of 2.5% in its sale.

GM stated that its car sale for the Chevrolet brand dipped by 10.4% and it has also witnessed a decline of 0.3% for GMC. Nevertheless, General Motors sales augmented by 17% from its Buick brand and 9.5% from Cadillac. GM views crossovers fully fledging in next five years and becoming an even bigger part of the industry. GM thus, is reported to be profiting from the growth in the sales of SUVs and crossovers.

On the contrary, Volkswagen was the major US automaker to witness a bright spot in its numbers climbing up by 1.6% in April, its sixth consecutive gain. Speaking of other luxury brands, the April volume rose for Land Rover, Volvo, Jaguar, and Audi. On other hand, the deliveries slid down for Mercedes-Benz and BMW.

Fiat Chrysler, which has embraced an overall volume drop of 7%, saw its Ram trucks surge by 5%. However, sales of Chrysler fell by 3% and Fiat was down by 18%. The brand has also recorded a 17% drop for Jeep and 3% for Dodge.

SUVs being the new hot ticket right now, have eventually resulted into a rapid drop of Sedan sales in the market. The industry experts are also predicting the increased use of incentives as one of the reasons to limit the growth prospects of auto sales, which has been apparently generating enough pressure on the automakers to re-calibrate incentives.

The industry decline on other hand, could be a rather good news for the consumers to shop and get the best deal for the car of their choice.



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Ojaswita Kutepatil

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Ojaswita Kutepatil

Ojaswita Kutepatil, a mechanical engineer by qualification, presently develops content for Market Size Forecasters, Algosonline, and other similar platforms. Having had a prior experience in Business Development and Technical Engineering, she now pens down articles pe...

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