Automotive sales will be on hike for some time and they will get slump the other time. There is a tremendous drop in the sales during the month of August 2010. When we consider the sales for the past 27 years, the August, 2010 sales were recorded as the worst sales.
A very huge drop of 21% is recorded when compared with the previous year August car sales with reference to the sales tracker Auto data in US which also included the cash for clunkers. Along with a yearly drop, the car sales also decreased by 5% when compared with July sales.
Since 1983, these sales were considered as the weakest sales. The estimates of the major automakers fell short for the month of August, 2010. The sales of the automotives during the last year were high because of “Cash for Clunkers Program”.Rebates of $3,500 or $4,500 were paid for the purchasers of energy efficient vehicles.
GM recorded there sales drop as 25% when compared to the sales a year ago. Ford also had a slump in the sales when compared to the expectations of the officials of Ford. Toyota also had a huge decrement in the sales and it is decreased by 34% when compared to the sales a year ago. 12% decrement is observed when the sales are compared with July sales. According to Edmunds, one of the reason for the Toyota sales decrement will be the recalls. Along with the other auto makers sales of Nissan had also got decreased by 27% when we compare with the previous year and 7% when we compare it with July sales.
Thus, the month of August remained unprofitable for the auto makers.