U.S. Auto Sales Skid 27.9% in Early December

Early December car sales by the nation’s eight major auto makers sank 27.9% from last year’s level as the slump in the industry continued, the companies said Wednesday.

The annualized sales rate for domestically produced cars--the most common measure of industry performance--was a dismal 5 million cars during the period, the lowest since early October, 1987, and substantially below the 6.8-million rate for the year-ago period.

For the Big Three, Chrysler Corp.’s early December car sales tumbled 33.1%, Ford Motor Co.’s dropped 30.2%, and General Motors Corp.’s car sales during the period were down 28.4%.

Together, the eight companies said their North American-made cars and light trucks sold at an average daily rate of 22,589 during the Dec. 1-10 period this year, compared to a daily rate of 29,610 for the same time last year.

Light truck sales were off 16.6%. Total car and light truck sales were down 23.7%.

Some auto analysts have been saying the industry is in a recession. Sales since the 1990 model year officially began Oct. 1 have hit the skids, and there have been forecasts for a continued slump in car and truck sales into next year.

Since Jan. 1, the number of cars and trucks sold by the companies dropped 3.2% compared to the same time last year. Car sales were down 4.3%; truck sales were off 1.2%.

Chrysler said its early December car sales decline of 33.1% combined with a drop in truck sales for a 25.1% decline in its overall vehicle sales. Through Dec. 10 of this year, Chrysler’s cars and light trucks were selling at a pace 6.7% below last year.

Ford said its 30.2% decline in early December car sales and a 16% drop in light truck sales combined for a vehicle sales rate 24.4% lower than the same period last year.

So far this year, Ford’s cars and trucks were selling at a rate 3% below last year’s pace.

GM said its combined car and truck sales in early December were 23.9% lower than they were during the same time last year; its decline in car sales combined with a 14.9% drop in light truck sales.

For the entire year, through Dec. 10, GM’s vehicle sales were down 5.8%.

With just 2 1/2 selling weeks left in the year, it is estimated that the industry’s sales will total 14.8 million vehicles this year.

Last year was the industry’s second best with 15.8 million vehicles sold, behind only the 16.3 million sold in 1986.

AUTO SALES

Dec. 1-10, 1989 % change GM 51,006 -28.4 Ford 31,184 -30.2 Chrysler 14,301 -33.1 Honda U.S. 5,588 -32.8 Mazda U.S. 480 - 7.4 Mitsubishi U.S. 648 * Nissan U.S. 912 -47.8 Toyota U.S. 3,140 +225.3 TOTAL 107,259 -27.9

There were 8 selling days in the selling period this year and 9 last year.

*No comparison possible.