Auto Industry Sales Reach New Heights in 1998

Strategic Insights -

Automakers across the United States experienced unprecedented sales in 1998, driven primarily by strong demand for sport-utility vehicles, pickup trucks, and vans. The trend marked a significant departure from the car category, where only a few models, such as the Volkswagen New Beetle and Toyota Camry, achieved outstanding sales success. The Toyota Camry emerged as the top-selling car, with 429,575 units sold, while the Detroit-based General Motors (GM) set new company records for truck sales.

Key Takeaways:

  • The auto industry saw a 3.3% decline in sales for GM, with 2.15 million trucks and 2.45 million cars sold, primarily due to a 54-day labor dispute that affected dealer inventories.
  • Ford's U.S. sales reached 3.92 million vehicles, the highest since 1978, with car sales rising 0.8% and truck sales up 9.5% in December 1998 compared to the same month in 1997.
  • Aso, in 1998, Ford set industry sales records for sport-utility vehicles at 748,645 units and pickup trucks at 1.16 million.
  • DaimlerChrysler's combined sales for Dodge, Jeep, Chrysler, and Plymouth models topped 2.5 million, with a 7% increase in December sales to 203,325 vehicles compared to the same month in 1997.
  • Honda's U.S. sales reached 1,009,600 vehicles in 1998, up 7.4% from 1997, with a 6.3% increase in December sales to 83,936 units.
  • Toyota posted a 19% increase in December U.S. sales to 138,720 units, and a 10% increase in calendar-year sales to 1,360,000 vehicles, with sport-utility vehicle sales rising 43%.
  • Nissan's U.S. sales declined 13% in 1998 to 621,528 cars and light trucks, but experienced an 11% increase in December sales to 56,617 units.

Statistics:

  • 3.3% decline in GM sales compared to the previous year
  • 2.15 million trucks and 2.45 million cars sold by GM in 1998
  • 3.92 million vehicles sold by Ford in the United States in 1998
  • 7% increase in December sales for DaimlerChrysler's U.S. brands to 203,325 vehicles
  • 7.4% increase in Honda's U.S. sales to 1,009,600 vehicles in 1998
  • 19% increase in Toyota's December U.S. sales to 138,720 units
  • 43% increase in Toyota's sport-utility vehicle sales in 1998
  • 13% decline in Nissan's U.S. sales to 621,528 cars and light trucks in 1998

Sources:

  • UPI, "Auto sales soar in 1998" (January 6, 1999)
  • COMTEX (http://www.comtexnews.com)