General Motors Reports Weaker-Than-Expected July Sales as Auto Industry Stumbles

A salesperson shows vehicles to a shopper at a Toyota dealership

A salesperson shows vehicles to a shopper at a Toyota dealership

Several of the big automakers, including Ford, GM, Fiat Chrysler Automobiles, Nissan Motor Co. and Hyundai Motor Co. announced they sharply reduced sales of rental cars during July, and portrayed those choices as placing profit in front of sales volume.

Ford Motor Company's stock price fell almost 3% following the release of its July sales report.

Sales of new cars and trucks fell 7 percent to 1.4 million in July, according to Autodata Corp.

Ford's fleet sales - the sales of vehicles to rental auto firms, corporations, government agencies, and utility companies - were down 26.4% in the second quarter of 2017. Separately, rival General Motors Co.'s stock slid 3% after reporting July vehicle sales fell 14%.

The automakers have become quicker at idling a factory to lower supply, and they demand higher prices, said an industry official.

Trump to sign bill for new sanctions on Russian Federation
He said President Vladimir Putin would decide if and how Moscow would retaliate once the sanctions became law. Germany warned it would not accept sanctions that targeted companies involved with Russia's energy sector.

Ford's sales excluding heavy trucks declined 7.4 percent, as passenger-car deliveries dropped 19 percent.

Compared to this time last year, "we're starting off at higher incentive levels; we've got even more elevated inventory levels and even worse inventory-quality problems" heading into the end of the model year, he said. Sales of Ford's midsize Fusion declined 42.2 percent. The automaker had 104 days of supply at the end of July, down from 105 days at the end of June. Fiat Chrysler said sales dropped 10 percent.

GM, Ford and Fiat Chrysler have said second-half financial results likely will be lower than first-half results, in part reflecting production cuts in North America and pricing pressures.

The Explorer SUV, which is made at Ford's Chicago Assembly Plant just across the state line in Hegewisch, saw retail sales rise by 20.4 percent last month, with a third of the gains coming from the premium Limited, Sport and Platinum models.

Recommended News

  • Shah takes serious note of BJP members absence in Rajya Sabha

    Shah takes serious note of BJP members absence in Rajya Sabha

    The situation left leader of the house Arun Jaitley and MoS for Parliamentary Affairs Mukhtar Abbas Naqvi virtually helpless. He said Kumar himself had ended the Janata Dal-United's alliance with the Rashtriya Janata Dal (RJD) and resigned.
    Chinese President reviews armed forces ahead of 90th military anniversary

    Chinese President reviews armed forces ahead of 90th military anniversary

    The parade is a lively political education for all the servicemen, and a comprehensive test of their will and character, he said. On the occasion, Xi said that safeguarding peace is the responsibility of the country's military forces.
    Ozamiz mayor was staunch anti-drug advocate - relative

    Ozamiz mayor was staunch anti-drug advocate - relative

    In November Rolando Espinosa, the mayor of Albuera town, was killed inside his cell during a night-time raid in a provincial jail. Numerous deaths reportedly occurred during police confrontation, but thousands were carried out by vigilantes.
  • MLB Trade Deadline: Detroit Tigers trade Wilson, Avila to Chicago Cubs

    MLB Trade Deadline: Detroit Tigers trade Wilson, Avila to Chicago Cubs

    His numbers against left-handed hitters are pretty good, owning a.220 batting average agianst them as well as a.267 OBP against. Wilson was 13-for-15 in save opportunities this season in Detroit after taking over closer duties early in the season.
    Ford To Repair Explorer Police Cars Over Carbon Monoxide Concerns

    Ford To Repair Explorer Police Cars Over Carbon Monoxide Concerns

    Numerous complaints came from police departments , which use the Police Interceptor version of the Explorer in patrol fleets. Ford Motor Co. responded by promising to fix the vehicles, even as it continues to investigate the cause of the problem.
    11 perspectives on the China-India border dispute in Doklam

    11 perspectives on the China-India border dispute in Doklam

    The crisis erupted after Indian and Bhutanese troops foiled an attempt by the Chinese Army to encroach on a disputed enclave. ITBP officials said that Indian and Chinese perceptions of the LAC differ, which leads to frequent incursions in the area.
  • PS4 Shipments Reach 63.3 Million, Falling Year-Over-Year

    PS4 Shipments Reach 63.3 Million, Falling Year-Over-Year

    Sales and operating revenues climbed 15.2 percent to 1.86 trillion yen or $16.59 billion from prior year's 1.61 trillion yen. Hirai took over in April 2012 after a disastrous fiscal 2011 that saw the company post a net loss of 456.6 billion yen.
    Illinois Democrats hand over K-12 school funding bill to Gov. Rauner

    Illinois Democrats hand over K-12 school funding bill to Gov. Rauner

    As part of its grand opening , Collinsville's new Walmart Neighborhood Market donated the money to Caseyville Elementary School . The state of education funding in IL is still up in the air, with less than a month before school starts in School District 308.
    Man City boss Pep Guardiola still on the lookout for defensive cover

    Man City boss Pep Guardiola still on the lookout for defensive cover

    Guardiola also praised the performances of new signings Kyle Walker and Danilo, after they impressed in wing-back roles. And the Blues signed Ederson from Benfica via a £35 million deal to resolve their weaknesses at the back.
  • The Big Risk in Tesla's Model 3 Launch

    The Big Risk in Tesla's Model 3 Launch

    The experience influenced the auto maker's decision to radically simplify the design and customization options for Model 3 . That could be a stretch for some buyers, especially since there are limits on the $7,500 US tax credit for electric cars .
    Dozen Alabama jailbirds make escape, several still on the run

    Dozen Alabama jailbirds make escape, several still on the run

    One inmate still remains unaccounted for following the escape of a dozen prisoners from Alabama's Walker County Jail on Sunday. Only one was hurt in the escape , cutting his thumb on a razor wire fence.
    U.S.  says will work with allies after Russian Federation  sanctions anger EU

    U.S. says will work with allies after Russian Federation sanctions anger EU

    Moscow has already responded, ordering a reduction in the number of U.S. diplomats in Russian Federation and closing the U.S. Russia's Foreign Ministry dismissed the new sanctions as "creating unfair competitive advantages for the US economy".

We are pleased to provide this opportunity to share information, experiences and observations about what's in the news.
Some of the comments may be reprinted elsewhere in the site or in the newspaper.
Thank you for taking the time to offer your thoughts.