GM plunges to third in Canadian marketplace

[Maddog78]

Looks like Chryslers and others incentives hurt GM.
They need to get those Camaros out in Canada ASAP.

General Motors of Canada's sales of new cars and light trucks plummeted by 27.7 per cent last month compared with the previous February, placing the auto giant, at least temporarily, in third place in the Canadian marketplace.


Unsold GMC trucks sit at a Buick/Pontiac/GMC dealership lot on Tuesday, March 3, 2009. (AP / Amy Sancetta)


Last month, GM saw 11,381 sales, compared to 26,309 one year ago.

The Detroit company's marketing vice president, Marc Comeau, said that "in addition to a planned reduction in daily rental volume, we faced some tough incentive competition that impacted our retail sales."

The February sales numbers put GM squarely behind Chrysler, which sold 11,923 vehicles and Ford, which sold 11,854 vehicles.

Compared to the previous February, Chrysler sold 27 per cent fewer vehicles and Ford sold 15.4 per cent fewer vehicles.

Auto industry analyst Dennis DesRosiers called GM's slide "stunning."

Toyota's 9,421 sales were down by 26 per cent from the previous February, while Honda's sales tumbled 43 per cent to 6,912.

DesRosiers said February was rough for all of the Detroit Three automakers, with their combined market share falling to 43.8 per cent, which he said was an all-time monthly low.

Despite the declines, Chrysler president Reid Bigland said the February sales numbers were indicative of consumers' confidence in his company's products.

"Our position as the No. 1 automaker this month clearly demonstrates the continued confidence Canadians have in Chrysler vehicles and in the company's future," Bigland said.

"There is no question that the current economic and automotive environment is challenging for all companies."

Overall, the number of cars and light trucks sold in Canada increased in February to 80,320, slightly besting the 76,900 sales seen the previous month.

[rmyers]

I wonder what is the estimated value of all inventory GM currently has on dealer lots in US and Canada? Considering how much cash they are burning through perhaps they should use the current economic situation to slash prices on vehicles between 30-50%. They've already lost the money. This might be what it takes to increase sales. Then use the opportunity to reset realistic inventories based on current demand.

Just a thought.

[ArcAngel]

WHATS THAT ALL ABOOT

[Maddog78]

It's "aboot" US auto sales being just as bad.
No GM figures in this article though.

UPDATE: US Auto Sales Continue Swoon; Toyota Down 40%

March 03, 2009: 01:58 PM ET


( Includes new data)

DOW JONES NEWSWIRES

Toyota Motor Corp. (TM) and Ford Motor Co. (F) recorded their biggest U.S. sales declines of the current six-month plunge as woes intensified in February and further threaten the viability of multiple auto makers.

The news comes amid growing concern that the world's auto makers won't get the second-half sales bounce in the U.S. they had been banking on to slow their financial erosion. January sales hit a 27-year low, with February expected to be at similar levels. The year is widely expected to result in the fewest U.S. auto sales in decades.

Ford, which also gave initial expectations that second-quarter production in North America will be down 38%, reported light-vehicle sales slumped 48% to 99, 050, the second-straight month below 100,000. At Toyota, now the world's largest auto maker by sales, U.S. sales fell 40% to 109,583 from 182,169. Both results were roughly in line with expectations.

There were 24 selling days in February, one less than a year earlier. Toyota car sales dropped 36%, while sales of sport utility vehicles declined 37%. Pickup truck sales plunged 51%. Even Toyota's Corolla, usually a bright spot for the company, reported a 15% sales decline.

Toyota's slump comes as collapsing auto demand forces it, like its global rivals, to cut production. The company, once seen as immune to the forces that have rocked its Detroit-based rivals, has offered buyouts to North American workers and will cut the work week at some U.S. factories by 10%. It has also postponed the opening of a Mississippi assembly plant.

Excluding Volvo, Ford's car sales dropped 48% as SUVs tumbled 71%. Trucks and vans slumped 54% as sales of the F-series pickup fell 55%.

U.S. Ford, Lincoln and Mercury inventory dropped 32% in light of the production cuts that have already taken place.

Jeff Schuster, executive director of global forecasting at J.D. Power & Associates, expects February and March to be the year's low point. "But a high degree of uncertainty and risk remains for the second half of 2009 if the various factors that are currently impacting automotive sales do not improve or stabilize," Schuster said.

Meanwhile, Nissan Motor Co. (NSANY) posted a 37% sales decline in the U.S. last month. The other major auto makers will report February sales later Tuesday.

Ford shares recently were down 2.1% at $1.84. The stock has lost two-thirds of its value since mid-September. Toyota American depositary shares were off 13 cents at $60.53.

[Maddog78]

Here's some US GM numbers. Brutal.

http://www.google.com/hostednews/ap/...V6NEwD96MOMLG0

General Motors' sales tumbled 53 percent from a year earlier, while Ford's U.S. sales fell 48 percent. Toyota's sales fell 40 percent, and the other major Japanese automakers were only slightly better.

The slide casts further doubt on the financial viability of GM and Chrysler, which planned to report its sales later Tuesday. They need to sell cars and generate critical cash to supplement the $17.4 billion in government loans that are keeping them in business.

Automakers and analysts have been predicting sales will rebound in the second half of this year, but they are becoming less certain. Massive layoffs, the stock market decline and sliding home values are prompting people to hold on to their cars longer, while those who are buying are more often opting for a used car or truck.

[rmyers]

Originally Posted by ArcAngel

WHATS THAT ALL ABOOT

I get it!!! Nice!

[ArcAngel]

lol hahahahaha

[DGthe3]

How in the world did GM get beat by Chrysler and Ford?

[OUR72GTO]

Discounts ...............

[Muscle Master]

Originally Posted by DGthe3

How in the world did GM get beat by Chrysler and Ford?

at least we did not get beat by the imports