US Auto Sales Could Nosedive in August!

Automotive manufacturers are slated to reportthe proverbial "employee pricing." Only last month GM
heavy declines in the month of August, the WSJreported a 27 percent drop in sales, making it the
reports based on a study by JD Power. Even though,lowest in the past 16 years.
the industry has induced incentives to encourageHardly any of the major auto manufacturers were
sales but the forecast for the month is expected tospared from the clout of declining sales during the
be discouraging.first two weeks of August. At the same time the
Estimates reveal that the sales would decline tofigures of the Nissan Motor Co. were better than the
about 1.21 million vehicles. And as per the seasonallyrest of the manufacturers.
adjusted annual rate the estimated figure is 13.4Meanwhile auto part makers can't let their mind off
million vehicles, which is a good 2.8 percent downthe skyrocketing gas prices and tight credit, which is
from August 2007 figure of 16.2 million vehicles.for the most part responsible for the has led to the
However it's still an improvement of 6.3 percent fromcurrent fiasco.
July.As the downturn is expected to continue for some
There's the expectation that the sales would pick uptime to come, and with the gas prices staying high, it
the month comes to a close. The reason is attributedseems that the UK and German consumers covet
to GM's 100th anniversary sales event, which meanshybrids, as a recent study had revealed.
that many of its products would be up for sale at