September 2008 Car Sales, By The Numbers

Domestic US car sales numbers are in and the information is downright ugly. For the first time in more than fifteen years, monthly sales dropped below one million units, a far cry from the heady days of 2000 when sales pushed past 1.5 million units some months.

An ongoing economic downturn highlighted by a credit industry that has seized up is behind much of the losses for the month, with every major retailer seeing double-digit losses. Unless federal intervention takes place soon, October could be a repeat of September’s drubbing.

In most months there are winners and losers when it comes to retail sales, but for September 2008 we have losers and a long list of automotive manufacturers who got creamed. Thanks to information supplied by Autodata, we can share with you how each company did and sum up with what the future holds.

Going Down, Down, Down In September 2008

General Motors: -15.6
Ford Motor Company: -34.5
Chrysler: -32.8
Toyota: -32.3
Honda: -24.0
Nissan: -36.8
Volkswagen: -8.2
Mitsubishi: -39.0
Mazda: -35.6
Hyundai: -25.4
BMW: -25.8
Mercedes: -16.4
Subaru: -11.9
Kia: -27.8
Isuzu: -54.3
Suzuki: -46.6
Jaguar: -31.6
Porsche: -44.8

For the remainder of 2008, sales will likely be much lower than average, but should begin to gain ground once credit markets recover. Economic uncertainty – currently in abundance – will keep sales down despite year end bargains and other incentives.

When Will We See A Recovery?

Going forward, it could take until next summer before recovery takes shape, with sales returning to normal by Spring 2010.

Perhaps the one bright light for domestic automakers is that the president recently signed legislation which creates a $25 billion loan package for the industry. Chrysler, Ford, and General Motors, and domestic auto suppliers will be able to borrow money at low interest rates and have twenty-five years to repay their loans. Combine these loans with new product offerings coming forth and the domestic automotive industry just may be able to survive one of the worst crises in decades.