The United State’s cash for clunkers program has been an overwhelming success thus far, with the domestic automakers grabbing a 47 percent share of the first 80,000 clunker sales. Additionally, Ford ’s fuel-efficient Focus has emerged as the best-selling vehicle of the program.
In all, four of the ten best-selling vehicles in the CARS program are produced by the Big Three – General Motors, Chrysler and Ford – helping the domestic brands achieve a 47 percent take rate under the program. That figure exceeds the Big Three’s typical market share of 45 percent, according to The Detroit News.
In addition to boosting sales in Detroit, the CARS program also appears to be having a positive environmental impact. Although the program only calls for a minimum fuel economy improvement of 2-4mpg, the average clunker trade-in is netting a 9.6mpg increase in fuel economy. So far the program’s trade-in average is 15.8mpg while new cars purchased under the program currently average 25.4 mpg – an improvement of 61 percent.
However, the success of the program could be short lived. Without an addition $2 billion in funding, the CARS program could run out of cash by Friday. A measure to extend the program has already passed the House and is expected to hit the Senate floor as early as Wednesday.
