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Vehicle Sales Decline 3.1%

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From Associated Press

Sales of North American-built cars and trucks fell 3.1% in mid-September, manufacturers said Wednesday, a further indication that the modest recovery in the auto industry this year is losing stamina.

Minivans, sport-utility and pickup trucks, which have been the underlying force behind the recovery, rose 3.4% in the Sept. 11-20 period. But passenger car sales, which have been stagnant all year, fell 7.3%.

General Motors Corp. reported 10.7% lower vehicle sales in mid-September. The results seemed to support the reasoning behind GM’s decision Tuesday to cut 79,000 cars and trucks out of production plans this quarter.

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The leading auto maker said car sales were off 13.6% and trucks were off 5.8% in mid-September. Part of that was a slowdown in sales to daily rental companies, known as fleet sales.

“Even if you take into account the GM decision to cut back on fleets, the sales are disappointing,” said Ronald Glantz, an auto industry analyst with Dean Witter Reynolds Inc. in San Francisco. “The industry has lost the momentum it built up earlier in the year.”

Ford, whose overall sales are up 11.1% this year, reported 11.8% higher vehicle sales in mid-September. Cars were up 11.3% and trucks 12.4%.

Chrysler, which reports sales only monthly, had an estimated 5.9% drop in vehicle sales, the trade journal Ward’s Automotive Reports said.

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