Tuesday, December 04, 2007

Shares of Leading Automakers Fell in US Share Market

The renowned automakers have experienced decline in the US share market in November. Moreover, the percentage of sales volumes in November is not so attractive. General Motors has seen 11 percent drops in its November sales. Ford’s sales percentage remains same though the company experienced 12 percent feel in its sales so far this year. Toyota’s sales percentage in November was also same to the same moth last year.

Now, it is expected that US auto market will experience the worst sales in a decade in the first half of next year. That is why, leading automakers of US market have already reduced their expected production unit next year.

Associated Press reported:

Shares of automakers fell. GM dropped $1.22, or 4 percent, to $28.61 in trading Monday, and Ford shares declined 26 cents, or 3.5 percent, to $7.25. Toyota shares fell $1.53, or 1.4 percent, to $110.92. Shares of Nissan declined 23 cents, or 1 percent, to $22.67, and Honda shares dropped 92 cents, or 2.7 percent, to $33.49.
"Rising fuel prices and sliding home values delivered a one-two punch this month," Jim Lentz, president of Toyota's U.S. sales arm, said in a statement. "But the industry's not down for the count. Demand for fresh, more fuel-efficient products continues to show strength."

It seems that consumers are not interested to car market at this moment. However, reports have it that consumer are becoming much more interested to the fuel consuming vehicle due to the frequent price hike of oil this year. So, the automakers should focus on the current consumer demand and introduce fuel consuming vehicles. Thus, they can come out from the current situation.