Detroit automakers reported good sales in the month of January
Confident shoppers have doled out for fuel-efficient new cars. Small business owners bought trucks, enhancing sales of auto in the month of January to reach a double-digit rise from depressed previous year’s levels.
Although January can be regarded as a typically slow month for car sales, auto executives told that there were solid gains in retail sales to individual buyers as a proof of the market's recovery.
But in a slightly bothering sign, some automakers generated demand by increasing sales incentives, as stated by analysts. General Motors Co. stepped up its discounts. Toyota Motor Corp. had announced zero-interest and other deals for February and March.
General Manager of Toyota-brand U. S. sales, Bob Carter, told reporters that they are going to stay bullish in the market.
According to Autodata Corp. the overall car and light truck sales went up by 17.3 percent in January to reach eight hundred nineteen thousand eight hundred and ninety five vehicles,
Chrysler Group LLC and General Motors Co. reported the highest gains of 22.7 percent for each of them among the major players.
On a yearly basis, January's selling pace was 12.62 million vehicles, essentially level with December’s rate of 12.55 million vehicles.
The senior economist at Ford Motor Co. Emily Kolinski Morris stated that at this stage in a recovery, one can see that the progression is not a upward and linear one.
But if consumer confidence and other indicators are considered then they all point to a steady recovery, she said. While protests in Egypt are telling on the sentiment of the financial markets, which is scared of a rise in oil prices, at this point of time but there's no indication that it's affecting consumer confidence significantly , said Emily further.