With the government’s cash for clunkers new car incentive program coming to a close in late August, September’s new car sales are expected to return to near record-low levels. September’s annualized sales rate could dip to just 9.3 million units, marking the second lowest rate of 2009.
According to Automotive News, September’s annualized sales rate will likely total 9.3 million vehicles, tying March for the second lowest sales rate of the year. Moreover, every major automaker is expected to post a September sales decline.
The cash for clunkers program – which offered up to $4,500 towards the purchase of a new vehicle – pulled many shoppers into the market that would have otherwise waited until the end of the year to buy. As a result, dealer showrooms were practically bare during the first part of the month, with only a small sales uptick realized during the latter part of the month.
Early reports suggest Ford will fare the best of the Big Three, slipping only 5 percent. However, Ford had one of biggest sales slides of September 2008 – dropping 36.3 percent – which improves the look of this September’s results.
General Motors, on the other hand, had a relatively decent September last year, slipping only about 16 percent. Because of the modest slide, GM’s September 2009 sales are expected to tumbled 45 percent. Chrysler ’s sales are expected to decline by 42 percent.
Honda is predicted to lead the Japanese automakers with a 13 percent decline, followed by Toyota and Nissan with drops of 10 and 7 percent, respectively.
The first of September’s sales results are expected to roll in tomorrow.
