Given rising fuel costs, this is no surprise:
Sales of sport utility vehicles took a dive in September, dragging down U.S. automakers who were already expecting a consumer payback after a summer of employee-pricing discounts. Asian brands, which didn’t offer employee discounts, felt less pain.
Several automakers reported strong car sales Monday, but SUVs took a hit industrywide in the U.S. market as gas prices skyrocketed following Hurricane Katrina. Sales of the GMC Envoy and Chevrolet Tahoe fell more than 50 percent compared to last September. The Cadillac Escalade, Mazda Tribute, Ford Explorer, Ford Expedition, Toyota Sequoia and Nissan Armada all saw their sales fall by 18 percent or more. Dodge Durango sales were down 11 percent.
General Motors Corp. sales were down 24 percent overall. Its SUV and truck sales fell 30 percent while its car sales dropped 14 percent. GM’s overall sales were flat for the first nine months of the year.
GM said it knew September would be a challenge after a summer of heavily promoted discounting. GM began letting consumers pay the employee price in June and ended the promotion Friday.
”We’re coming off the three strongest months in the history of the industry,” said Paul Ballew, GM’s executive director of market and industry analysis.
Read the whole thing- it all can’t be blames on rising fuel prices.