Japanese, Koreans Gain From Cash For Clunkers
Japanese and South Korean automakers registered the biggest market share gains in the “cash for clunkers” program that ended this week. Toyota Motor Corp (7203.T) Honda Motor Co Ltd (7267.T), Nissan Motor Co Ltd (7201.T), Hyundai Motor Co (005380.KS) capitalized on the program’s goal of pushing consumers away from gas guzzling sport utilities and pickups, to more efficient cars and trucks, preliminary sales figures showed.
I stated in a post, No one want’s to buy American cars, that’s why the sales were dropping in General Motors Co (GM.UL) and Chrysler. Nearly 700,000 sales, $2.87 billion in rebates. Cars outsold trucks, 2-1. Overseas manufacturers dominate in car sales.
According to the figures, Toyota’s “clunkers” market share was 19.4 percent, compared with its year-to-date U.S. share through July of 17 percent. Honda captured 13 percent of the “clunkers” market compared with 11 percent for the first seven months of the year.
Nissan accounted for nearly 9 percent of “clunkers” sales compared with a January-July share of 7 percent. Hyundai with a 7 percent share compared with 3 percent for the year through July.
Ford’s “clunkers” topped 14 percent, compared with a 15 percent share for the year through July. GM reported 17 percent of “clunkers” compared with 21 percent from January to July. Chrysler’s “clunkers” share was 6.6 percent, compared with 11 percent.
Now that the “Cash for Clunkers” program is over, WHAT NOW!!. Car Sales for the next months will drop like dead flies. This “Cash for Clunkers” program has not fixed anything. People that fell for this program are not stuck with a $300.0o monthly bill for the next 4 or 5 years depending on the car’s price. This program was only temporary, just like the stimulus jobs program, a 3 month deal. Car makers and dealerships are now left again with the worst market in a quarter-century.
Was this a DEAL or NO DEAL?