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GM, Ford Sales Crash In '06, Toyota, Honda Climb

Brand new year calls for an analysis of the previous year's performance for the benefit of improvement. In the automotive industry, Toyota and Honda stand on the bright side of 2006. Said automakers experienced a rewarding increase in sales. On the contrary, GM and Ford stand on the bleak abyss of the industry because of sales doldrums.

GM reported US sales of 4.1 million vehicles in 2006, down by 8.7 percent from 2005. The decrease is attributed to the shift of market demand in favor of small cars. GM is famed for its sophisticated sport utility vehicles and pickups. Enthusiasts believe that 2005 GMC truck accessories are manufactured with excellence just like other auto parts from the automaker.

Paul Ballew, chief sales analyst of GM said, “It was a challenging one. It’s a year that came in below expectations and deviated from our plans at the start of the year.” In December, GM reported a 13 percent drop in sales. According to the automaker the decline was due in part to sticking with GM's decision to lower rental fleet vehicles sales and other marginally profitable sales. Ford parts accessories did not show any luring effect. According to some enthusiasts, Ford's 2006 reports aren’t likely to help the ailing automaker.

Ford also reported sales of 2.9 million vehicles, 7.9 percent down compared to 2005 sales. For the month of December, Ford vehicle sales was down by 12.8 percent - 9.9 percent for cars and 14.0 for trucks.

On the bright side of 2006, Toyota and Honda enjoy a gratifying increase in sales. Toyota's sales were up by over 12 percent in December and for the entire year. Consumers purchased 2.54 million cars and trucks with the Toyota, Scion or Lexus brand name. Leading Toyota sales is its Camry that retains its title as the best-selling car in America. There are 448,445 Camrys sold in 2006, about 3.9 percent up from 2005 sales. 05 Toyota Camry accessories are playing significant part in making the vehicle a top-seller.

Jim Lentz, executive vice president for Toyota Motor Sales USA said, “2006 was a respectable year for the industry if you consider the strain of erratic fuel prices and a housing bubble on an industry weaning itself from incentives.”

With regards to Honda, its December sales fell by 0.8 percent but its 2005 sales were up by 3.2 percent. According to Dick Colliver, executive vice president of American Honda, the automaker has benefited from having a line-up of fuel-efficient vehicles.


About the Author: Shane Morgay is a 34-year-old native of Ohio. She love cars and knows detailed information about them. She has a collection of miniature car collectibles and would love to have these collectibles become real ones. She works for a car part supplier most days of the week.




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