Most automakers estimated and reported that a rise in car sales in May will be more but the results were less than the expected number. This is because of bad economic condition in the U.S. in recent years. Auto sales have been continuously retrieving and reaching the third year with at least 10% gain and the best showing since 2007.
Some industry analysts estimate that sales for 2012 are expected to reach 14.3 million units, the best full year for sales since 2007, when 16.1 million vehicles were sold. In January 2012, analysts estimated that sales will reach 13.6 million units this year, before Toyota and other automakers surpass projections.
According to an industry analyst at Barclay’s Capital in Chicago “Even if we stay where we are, it’s a pretty good year,” to sell.
General Motors, Ford and Chrysler have earned higher profits in the first quarter of 2012 than estimated profits, say analysts. This has happened due to improvement in economic conditions, increased demand and loosening credit card systems.
However the first quarter of 2012 year deliveries in the States have been the strongest since 2008 when sales reached 15.4 million before mishap to a full-year 13.2 million.
Since the recession in 1982, U.S. sold only 10.4 million in 2009 and was considered the lowest sales of the year. But in 2010 sales improved and reached 11.6 million and in 2011 it reached 12.8 million.
Matt St over, an industry analyst at Guggenheim Partners in New York said, “Part of the regeneration is related to the depths of the downturn that led to the bankruptcies of General Motors(GM) and Chrysler.”
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