Low US auto demand impacts GM, Chrysler

Other News Materials 2 August 2008 03:47 (UTC +04:00)

(dpa) - The lowest auto demand in the United States since 1993, soaring fuel prices and a weak economy have impacted General Motors, Toyota and Chrysler, which Friday reported a drop in July sales.

Troubled US car giant General Motors reported a 27 per cent decline in July US sales, as well as a massive second-quarter loss of 15.5 billion dollars, or 27.33 dollars per share.

GM and its US competitors Ford and Chrysler have been hit by a fall-off in the sales of sports utility vehicles due to high petrol prices and are now trying to switch production to smaller, more economical cars.

Chrysler's July sales were 98,109 units, 29 per cent below the same period last year, reflecting a continued contraction in the market of pickup trucks and SUVs.

Toyota reported sales of 197,424 vehicles, a decrease of 18.7 percent from last July.

But there were gains for others. BMW reported an increase of 2.2 per cent over sales in July 2007, Nissan (9.9 per cent), Volkswagen (4 per cent) and Mercedes-Benz USA (11.6 per cent)