GM Says Incentives to Reduce Sales in ’03

General Motors Corp. expects no-interest loans to cut the U.S. auto industry’s sales next year by as many as 400,000 vehicles, because the incentives coaxed some motorists to buy cars and trucks earlier than they intended.

The loans, introduced by automakers to spur sales after the Sept. 11 terrorist attacks, prompted about 1 million drivers to buy before they would have or make purchases that they otherwise wouldn’t have made, said Paul Ballew, General Motors’ director of market and industry analysis.

GM rose 80 cents to $37.32 on the NYSE.