October Sales Results: Chrysler and VW Post Big Gains

Although the economy continues to lurch toward recovery at a snail’s pace, some automakers are defying expectations, and posting big gains on the sale charts. For the month of October, the big winners were Chrysler and Volkswagen. Chrysler sold 21,244 cars last month, a 28% increase when compared to October of 2010. High demand for the recently revised 200 and 300 sedans and high incentives helped bring traffic to the showrooms.

Volkswagen was another winner. They sold 28,028 cars last month, a 40% increase from October of last year. Volkswagen points to strong sales of their recently redesigned Passat sedan as the reason for drawing more sales. The good news is not expected to stop as November starts either.

Many automakers and analysts expected strong October sales, and are claiming high sales to continue through November. Although the economy is still a blight on auto sales, analysts expect outside variables to drive sales forward. First, they claim there is a lot of pent up demand for new vehicles since the age of the average car in this country is 11 years old. Secondly, inventory levels are returning to pre-quake levels for the Japanese manufacturers. Finally, a combination of high used car prices and incentives on new car purchases may sway consumers to purchase new cars instead of used ones. The fourth quarter of this year for automakers is shaping up to be much better than expected.

Source: Automotive News

  

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