American car makers hit by global recession
4 November 2008

Car sales in the US last month dropped to levels not seen since 1983 as the effects of the credit crunch and global downturn took their toll.

In the mass market GM suffered worst, selling 168,719 vehicles, a 45 per cent drop in volumes compared to October last year. GM’s North American marketing chief, Mark LaNeve, has described the month as “probably the worst industry sales month in the post-world war two era."

Volvo's sales halved over the same period, as did Porsche's, with the German maker suffering particularly badly from the lack of liquidity in the auto finance sector.

Despite this appalling result, analysts believe that Porsche may have made a profit larger than its revenue, due to its unique part-hedge fund, part-car maker status, and that shareholders may again benefit fron a large special dividend.

The company's full-year results will be published at the end of this month.

Sales are down across the sector, though other car makers escaped with relatively light falls in sales: Chrysler - 35 per cent; Ford - 30 per cent; Honda - 25 per cent; Toyota - 23 per cent.

Join the debate

Comments
1

4 November 2008

"Sales are down across the sector, though other car makers escaped with relatively light falls in sales: Chrysler - 35 per cent; Ford - 30 per cent; Honda - 25 per cent; Toyota - 23 per cent."

- no mention of Jaguar Land Rover? They've stopped publishing sales figures in North America since July. Wonder why? There may be a clue in the fact that yesterday they announced the cutting of 400 jobs across the board, track workers and engineering staff, to go by January. This on top of 200 cut last month. If it wasn't for the fact that they undertook to impose no compulsory redundancies when they(Tata) took JLR over, I am certain that hundreds more again would have walked by now. How can a company operate for any length of time at sub-50% utilisation levels/~100% over-manning without running out of cash? It can't, and something will give before or just after Christmas. Not good for Birmingham/Solihull region in particular.

http://www.birminghampost.net/birmingham-business/birmingham-business-news/automotive-business/2008/11/04/jaguar-land-rover-seeking-voluntary-redundancies-as-it-axes-up-to-400-jobs-65233-22175400/

Add your comment

Log in or register to post comments

Find an Autocar car review

Driven this week

  • Lexus LC500
    Car review
    20 October 2017
    Futuristic Lexus LC coupé mixes the latest technology with an old-school atmospheric V8
  • Maserati Levante S GranSport
    First Drive
    20 October 2017
    Get ready to trade in your diesels: Maserati’s luxury SUV finally gets the engine it’s always needed
  • Jaguar XF Sportbrake TDV6
    First Drive
    19 October 2017
    The handsome Jaguar XF Sportbrake exhibits all the hallmarks that makes the saloon great, and with the silky smooth diesel V6 makes it a compelling choice
  • Volkswagen T-Roc TDI
    First Drive
    19 October 2017
    Volkswagen's new compact crossover has the looks, the engineering and the build quality to be a resounding success, but not with this diesel engine
  • BMW M550i
    First Drive
    19 October 2017
    The all-paw M550i is a fast, effortless mile-muncher, but there's a reason why it won't be sold in the UK