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Ford, Nissan post October sales gains, DaimlerChrysler slips
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DETROIT Ford said Wednesday that its U.S. sales rose 8 percent in October, thanks mostly to brisk sales of cars. Nissan sales rose 3.9 percent, but DaimlerChrysler's sales fell 1.6 percent due mainly to a slump at the U.S.-based Chrysler Group.
Ford Motor Co.'s improvement came in comparison with figures from October 2005 when sales plummeted following an incentive-fueled summer frenzy.
The Dearborn-based company sold 22.1 percent more cars last month than in the year-ago period. Even sales of trucks and sport utility vehicles inched up 0.76 percent. The figures include the Ford, Lincoln, Mercury, Jaguar, Volvo and Land Rover brands.
Chrysler's U.S. sales dropped 3.2 percent, partly offset by a 12.3 percent increase at Mercedes-Benz, which recorded a record October sales figure. More detailed figures for each company were to be released later Wednesday.
Nissan Motor Co.'s increase included an 8.2 percent increase in truck sales and a 1 percent rise in car sales for its Nissan and Infiniti brands. Nissan also had a bad month in October 2005. The company sold 75,095 vehicles last month compared to 72,279 in October of last year.
Chrysler and Ford, as well as General Motors Corp., have struggled recently to match the offerings of Asian competitors as consumer tastes shift to smaller, more fuel-efficient vehicles. The Big Three have long relied on high-margin pickups and SUVs for most of their sales and are now trying to cope with huge inventories by slashing production.
Ford said Monday that it expects to cut production by 8 percent to 12 percent in the first six months of 2007 from the same period this year as it works to bring manufacturing in line with lower demand for its products. For 2006, the company has said production would be down about 9 percent compared with 2005.
Ford said Wednesday that Ford, Lincoln and Mercury inventories were estimated at 622,000 at the end of October 107,000 units lower than a year ago and 30,000 units lower than at the end of September. The company said it estimates that three-quarters of its inventory is new 2007 models.
"We are very serious about aligning inventories with demand," Al Giombetti, sales and marketing president for Ford and Lincoln Mercury, said in a statement. "Our dealers did an outstanding job with the 2006 model sell-down program, and we took a painful but necessary action to reduce fourth-quarter production."
Ford shares rose 22 cents to $8.50 in afternoon trading on the New York Stock Exchange, while DaimlerChrysler AG's U.S. shares rose $1.21, or 2.1 percent, to $58.14.
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