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In a statement livecast on the Internet by the White House, President Barack Obama said that neither of the restructuring plans submitted by GM and Chrysler “ goes far enough to warrant substantial new investment. ”. Chrysler, the President said, is “ more challenging ”. President Obama. President Obama.
Global automotive market intelligence firm Polk forecasts worldwide new vehicle sales in 2012 will rise 6.7% Polk expects China to make the largest contribution to global sales growth for new vehicles, with an anticipated 16% increase over 2011. Polk expects light-duty vehicle sales in the US to grow at a moderate pace, with a 7.3%
Increased new vehicle sales and lower scrappage rates pushed VIO to the highest point on record since Q3 2008. Other findings include: General Motors had the highest share of VIO at 26.6%, followed by Ford (18.9%), Toyota (12.6%) and Chrysler (12.5%). The number of cars and light trucks on the road in the US reached 247.9
So after the UK’s vehicle scrappage scheme was hailed a success, what of the so-called “cash for clunkers&# programme in the US? The subsidy programme has helped Ford to its first increase in US vehicle sales since 2007 after it sold 158,838 vehicles in July - that’s an increase of two per cent on the same month last year.
Part of the swing in culture has been a downturn in new car sales. In the US, Chrysler and General Motors fell into bankruptcy; while in Japan even its major automakers have been left reeling from significant profit falls. Honda too has pinned its recovery hopes on green cars, pushing both hybrid and hydrogen fuel cell technology.
The Car Allowance Rebate System (CARS for short, or ‘cash for clunkers’ as it is more commonly known) was the US’s answer to the scrappage schemes in Germany and the UK which appeared to have revitalised their respective automotive sectors. With General Motors and Chrysler also showing signs of modest improvement, all looked rosy.
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