ELECTION DAY SPECIAL: How Would YOU Advise Our New Leader On The Automotive Industry?

ELECTION DAY SPECIAL: How Would YOU Advise Our New Leader On The Automotive Industry?
While we didn’t expect miracles for October sales, many of us were at least hoping for a break in the bad news at least in spirit.  But as the numbers crossed my desk and eventually on to the site, it was becoming increasingly apparent that only a few would have any good news at all to post for the spookiest month.

Now with only two months to go for 2008 almost every manufacturer has pitched the 2008 forecast out the window and started scrambling to salvage what they can.  If you review the figures below you can see just how bad it has become for most every auto maker selling cars in the US. 

For the month of October the only positive gains from manufacturers actually selling vehicles in the U.S. last year came from Mini, Audi, Rolls Royce and Ferrari.  Collectively those four sold only 1980 more units than last year, not even a drop in the bucket.  If you throw in upstart Smart into the mix that total only rises to 4216 units, a pitiful total increase by almost any account.

While the biggest losers of the month by corporations were the domestics we can see the bottom five spots only had two representing the red, white, and blue.  While Cadillac, HUMMER, and the remnants of Isuzu may not be a surprise to anyone, Lamborghini and Bentley may have raised more than a few eyebrows.  It seems even some the rich are affected as the economic downturn continues, not just the rank and file in the economy.

Since this is Election Day and no matter which way it goes, our new leader will have an open ear to our problems.  The auto industry is key to the successful economic turn around. 

So with that in mind I want you to act as our newest leader’s personal advisor, a bug in his ear so to speak, and map out a road to recovery for the automotive industry.  Just how would you advise our leader to get us back on track?


 

 

Oct 2008

Oct 2007

%

2008 YTD

2007 YTD

%

1

Rolls Royce

51

29

75.86%

339

256

32.42%

2

Mini

5,272

3,370

56.44%

45,966

35,306

30.19%

3

Ferrari

108

75

44.00%

1,342

1,378

-2.61%

4

Audi

7,443

7,420

0.31%

73,260

75,898

-3.48%

5

Volkswagen

15,889

17,260

-7.94%

191,255

192,339

-0.56%

6

SAAB

1,975

2,275

-13.19%

19,337

27,960

-30.84%

7

Subaru

12,917

14,979

-13.77%

156,706

153,515

2.08%

8

BMW

20,203

23,451

-13.85%

215,836

239,788

-9.99%

9

Jaguar

867

1,030

-15.83%

12,951

13,047

-0.74%

10

Mitsubishi

7,486

9,280

-19.33%

87,591

115,106

-23.90%

11

Toyota

135,818

172,473

-21.25%

1,724,902

1,929,463

-10.60%

12

Acura

10,108

12,886

-21.56%

125,936

149,612

-15.82%

13

Maybach

7

9

-22.22%

104

140

-25.71%

14

Honda

75,756

101,913

-25.67%

1,140,511

1,158,707

-1.57%

15

Mazda

16,442

22,201

-25.94%

231,850

250,597

-7.48%

16

Dodge

53,267

73,020

-27.05%

691,903

879,497

-21.33%

17

Lincoln

7,399

10,229

-27.67%

90,223

112,678

-19.93%

18

Ford

114,969

159,361

-27.86%

1,468,488

1,780,286

-17.51%

19

Infiniti

7,112

9,954

-28.55%

97,085

103,779

-6.45%

20

Maserati

157

220

-28.64%

2,087

1,899

9.90%

21

Hyundai

20,820

30,232

-31.13%

358,484

388,639

-7.76%

22

Jeep

21,360

31,856

-32.95%

290,508

395,525

-26.55%

23

Nissan

49,833

74,992

-33.55%

744,558

794,221

-6.25%

24

Mercedes

15,005

22,821

-34.25%

192,393

203,208

-5.32%

25

Lexus

16,283

25,119

-35.18%

220,502

269,774

-18.26%

26

Kia

15,483

25,185

-38.52%

243,571

257,228

-5.31%

27

Chevrolet

107,313

179,825

-40.32%

1,567,684

1,928,373

-18.70%

28

Buick

7,642

14,231

-46.30%

120,772

158,146

-23.63%

29

Suzuki

3,482

6,536

-46.73%

77,995

88,536

-11.91%

30

Mercury

6,753

12,844

-47.42%

103,631

142,587

-27.32%

31

Pontiac

13,054

25,182

-48.16%

238,762

301,771

-20.88%

32

Porsche

1,427

2,862

-50.14%

22,503

29,140

-22.78%

33

Chrysler

19,903

40,440

-50.78%

295,638

449,117

-34.17%

34

Land Rover

2,027

4,237

-52.16%

25,204

40,311

-37.48%

35

Volvo

3,717

7,771

-52.17%

63,745

88,762

-28.18%

36

GMC

21,109

44,456

-52.52%

326,999

425,694

-23.18%

37

Saturn

8,583

18,908

-54.61%

167,304

209,790

-20.25%

38

Cadillac

9,541

21,267

-55.14%

139,109

176,249

-21.07%

39

Isuzu

251

576

-56.42%

4,439

6,110

-27.35%

40

Bentley

146

379

-61.48%

2,333

3,338

-30.11%

41

HUMMER

1,368

3,864

-64.60%

23,861

46,624

-48.82%

42

Lamborghini

30

86

-65.12%

657

771

-14.79%

43

Smart

2,236

0

NA

20,392

0

NA


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KZ258KZ258 - 11/4/2008 3:04:33 PM
+2 Boost
the president does not need to focus on the auto industry. its not the presidents responsibility for the faults found in the domestic cars

oo9, since you came up wit the idea of this article, what would you advise?


SHOWTIMESHOWTIME - 11/4/2008 3:21:00 PM
+4 Boost
Lets not get all technical here dude...He's just trying to get our opinion. This is an auto site and not U.S. Gov class.

BTW, president's job is to focus on any important issue, and the US auto industry is a pretty important issue right now.


Agent009Agent009 - 11/4/2008 3:37:47 PM
+6 Boost
KZ258-

First of all, I hope you are not voting.

Because if you think the industry that employs such large numbers should be hands off. You are being naive.

The Detroit 3 alone employ over 200,000 plus all of the dealerships across the nation and then factor in all of the other companies that manufacture and sell here. Don't forget about he third party suppliers that factor in the mix and you get a total (according to Ford at least) the tally is 2.9 million people.

The annual sales revenue alone equates to about 4% of the national GDP.

Motor vehicles and auto parts represent the single largest export sector in the United States, with $96.7 billion worth exported in 2006. The auto industry also leads U.S. manufacturing industries in the level of research and development investment, spending more than $17 billion in the United States in 2005.

Simply put if the auto industry were to implode the economic impact would be far far worse than it is right now.

As for my advise right it will come a bit later. But for now you need to decide if it warrants advisement, regulation, overhaul or whatever.


veyron1001veyron1001 - 11/4/2008 4:14:41 PM
+2 Boost
What the american auto makers cant make something that people actually want?


KZ258KZ258 - 11/4/2008 5:18:30 PM
+2 Boost
oo9 i did vote btw and unlike you i actually have the guts to share it with other people

i know the auto industry is massive: jobs, trade, competition, etc i know, but you are missing the main point here: it is not the president's responsibility to look out after them; its the CEO's job. i hope you do understand that. yes, i agree the president should back them up but come on, GM is asking for 50bil to buy out chrysler, the taxpayers money btw. we all know that will be a huge waste of money. Ford is doing considerably well as of now. why? because you have sources saying its cars have the reliability of its japanese rivals(forgot the source). why cant GM do the same? why cant chrysler do the same?

once again, it is not the presidents responsibility to take care of any company really but i know its an issue and everyone else needs to know the car makers themselves need to fix it. im not saying aid shouldnt be an option for them but they kinda did bring this to themselves also.


993Turbo993Turbo - 11/5/2008 5:43:34 AM
+2 Boost
Bail everyone out, then tax the shit out of everyone else!


KZ258KZ258 - 11/5/2008 9:24:32 AM
0 Boost
damikco

"If you don't think its the presidents job to protect American corporations then you need to ask Japan and Korea why do they do it?"

we're not talking about japan and or any other foreign country right now. that is not the topic and i dont know much about Asia anyway to comment on that and i didnt say the president shouldnt ignore the danger of a companies status; i said that GM, Chrysler, etc bought this onto themselves by not being innovative and cautious. you do know that if such a bail took place we would be paying for it right? if you're ok with that than maybe you should start donating 30% of your paycheck and start bringing about voluntary awareness.

BTW - im only being object-orientated; i dont hate GM/Chrysler or whatever.


EnnNorakEnnNorak - 11/5/2008 6:09:57 PM
+1 Boost
It is the government's responsibility to come up with a national policy regarding energy use for vehiles, homew hating ann


EnnNorakEnnNorak - 11/5/2008 6:10:01 PM
0 Boost
It is the government's responsibility to come up with a national policy regarding energy use for vehiles, homew hating ann


EnnNorakEnnNorak - 11/5/2008 6:10:03 PM
0 Boost
It is the government's responsibility to come up with a national policy regarding energy use for vehiles, homew hating ann


EnnNorakEnnNorak - 11/5/2008 6:10:04 PM
0 Boost
It is the government's responsibility to come up with a national policy regarding energy use for vehiles, homew hating ann


EnnNorakEnnNorak - 11/5/2008 6:10:04 PM
0 Boost
It is the government's responsibility to come up with a national policy regarding energy use for vehiles, homew hating ann


EnnNorakEnnNorak - 11/5/2008 6:10:05 PM
0 Boost
It is the government's responsibility to come up with a national policy regarding energy use for vehiles, homew hating ann


EnnNorakEnnNorak - 11/5/2008 6:10:07 PM
0 Boost
It is the government's responsibility to come up with a national policy regarding energy use for vehiles, homew hating ann


BimmerFanBimmerFan - 11/4/2008 3:43:56 PM
+5 Boost
Im sure Obama will have plenty of advisors for guidance and will work towards policies in the best interest of U.S. companies.


Agent009Agent009 - 11/4/2008 3:50:35 PM
0 Boost
Provided he wins...


Agent009Agent009 - 11/4/2008 4:25:54 PM
-1 Boost
like Canada? LOL. now that health care system has issues..


chewychewy - 11/4/2008 4:33:16 PM
+1 Boost
nice chart

current low sales (overall market) are a result of the general economic uncertainty and tight credit, and gasoline price effects to some extent. some of the big drops are also because many brands had their best sales years ever in 2007

Basically, car sales will go up as things get better. As for the Big 3, there is already some money going for them. But it will be quite some time before something (if anything) comes out of those 25 billion.


The Southern states have done a good job getting new auto plants built, so there is a sucessful strategy to follow. A strategy that does cost some $$$.


mini22mini22 - 11/4/2008 5:53:49 PM
+1 Boost
I think there needs to be a small increase on tariffs for foreign makers doing business in the US.The playing field is still not level between the big 3 (or 2) and foreign automakers. The next president can push to do somthing here.


EL34EL34 - 11/4/2008 7:09:08 PM
-2 Boost
Obama's district in Chicago is the murder capital of the USA.

McCain is tested and would be the better choice for President.

But, there's a bunch of Libs that have their hands out for something free.


truckmantruckman - 11/4/2008 7:17:23 PM
+4 Boost
In Japan and Korea there is a limit to how many cars can be imported, That has to change! North America should impose the same rules on them if they don't follow suit. Also the president could allow auto companies to achieve better mileage! He could dictate to the oil companies how it is going to be done and allow them for sale. There has to be a conspiracy theory as to how many mpg a vehicle can get! It's all over the internet, and when you see credible examples of efficient vehicles like pml's car with all that power/efficiency. And I am not a believer in the vehicles being powered by water by these water kits, I know they are for sale, It's just that they don't work.


EL34EL34 - 11/4/2008 7:50:34 PM
-5 Boost
I agree, let's tell on the foreign car companies to get their manufacturing plants out of the USA.

Of course I encourage any American to not buy any Union made products in the USA.


MeanVulcanMeanVulcan - 11/5/2008 9:30:07 PM
-1 Boost
the American Open Market was never that once the Democrats ruined it by instituting low income housing thanks to Clinton, and supporters like Obama, Franks and other morons. Everyone looks at only the last 8 years when this crisis was kicked off by Democratic liberals. Open Market works if ignorants such as Obama don't mess with it.

THe fact that Obama won only shows how ignorance is prevalent in the US. I will sit back and witness for the next 4 years how the American dream gets flushed down the toilet. It will be an easy win for the next Conservative Republican (not a Bush Republican please).


truckmantruckman - 11/6/2008 3:50:27 AM
+1 Boost
There is a guy in Japan that powers his car with just water. See it on you tube "water powered car" encouraging, although I don't understand a word he is saying.lol


Bmw8terBmw8ter - 11/4/2008 11:39:31 PM
-2 Boost
F*** 'em...simply put. You reap what you sow.


RupertRupert - 11/5/2008 8:26:24 AM
+5 Boost
WELL DONE AMERICA.


neutralneutral - 11/5/2008 3:38:23 PM
+1 Boost
First..

Regulate oil speculation, in other words, get rid of commodities traders in the oil markets. Only allow the people who physically use the energy to bid on it.

2) Drop the new CAFE rules, they're stupid. Stop punishing automakers because Americans are gluttons. Stick with the old rules, they were enough. Possibly a small increase... but I'd like to see trucks getting 20mpg average with all the same towing/power. 28mpg for trucks is retarded.

3) Have a committee of 5-10 people who have control of a variable gasoline tax. Bring the average price of gas to about $2.60-$2.80 per US gallon. This will control demand, without hurting people who need trucks/SUVs/Minivans. Cheap gas is great, but we will fall into the same rut that we just fell into.

4) Halt the implementation of the 2010-2011 diesel emissions rules until OEM's can get a grip on the current (ridiculous) standards. This will allow OEM's to put smaller diesels in vehicles, boosting mileage.

5) Heavily fund alternative energy research (especially renewable petroleum from CO2 sources, like coal power plants). Mandate that all engines must be E85 (gas) / Biodiesel (diesel) compatible by 2012ish.

6) As a nation, we have to stop buying foreign appliances. Unless you REALLY want some Japanese appliance, then buy the domestic equivalent. Buying a Camry or Accord because its "better" than the domestics doesn't fly anymore. Everyone talks about reducing our dependance on foreign oil.. I think we should try to reduce all of our foriegn dependancies. Sure, its stupid to think that GM/Ford/Any OEM should pay some hyped-up price for parts b/c it was made in USA... but we should try to keep the high-value manufacturing (cars, electronics, etc) here in the USA.

7) Cut taxes to industrial companies. It's ridiculous that companies have to pay taxes on virtually everything, like inventory or equipment.


truckmantruckman - 11/6/2008 4:26:54 AM
+1 Boost
Neutral, I agree with most of what you say, with exception to #2 dropping the cafe mpg guidelines. For the last few years there is technology existing that increases HP and Torque and still get 4x the mileage of a Prius with 640hp!The company is called PML and there example of the ultimate hybrid is proof. I believe that the government will not allow vehicles this efficient on the roads! Why you ask? Gas tax! & Oil companies profits, there are facts all over the net! We should push the government (Obamma) to allow efficient vehicles to be mass produced by all the manufacturers! Google Johnathan Goodwin, with grade 7 education he made a Hummer get 60mpg! So whoever disagrees with my statement are you suggesting that all the engineers from all the auto industries with University degrees are dumb? Because they defiantly haven't come close to Johnathans numbers. I am a deprived 4x4 nut so I want a truck that can still tow ...and have real off road abilities with efficiency and power, then I could sell my civic.Will Obamma change the corrupt government and corrupt corporations that rule the world?


neutralneutral - 11/6/2008 11:56:11 AM
+1 Boost
truckman,

not to be demeaning, but I can say with 99.9999% certainty that there is no shadow-deals in dark alleys happening between big oil, the US gov, and the Big3 (well, maybe there is between big oil and the US gov). I tell you this from experience.

Also, a lot of what John Goodwin is doing are diesel retrofits, which are very cool. Thing is... who knows if he's meeting the new government emissions regulations. Billions of dollars have been invested industry-wide to tackle this problem... If the government were serious about diesel, they would relax the emissions to their EPA2006 levels (still clean, but not ridiculous).


truckmantruckman - 11/7/2008 5:49:50 AM
+1 Boost
Neutral, I am impressed that you know about Johnathan Goodwin, isn't he a genius! Did you see his electric car smoke a Lamborghini in a 1/4 mile race? Google PML flight link and check out there car that they converted into the ultimate hybrid, 640bhp, four hours battery time, and when the batteries run out and the generator kicks in it achieves 80mpg! Could someone explain to me why the auto industry doesn't use this technology? The best we can buy now is the Prius at 40mpg! With 110hp! Pathetic when you compare it to PML's car! Whatever manufacturer used this technology they would defiantly lead in sales, especially with gas prices so high.And PML's car has been around for maybe 4 plus years or so? All the manufacturers are hurting and near bankruptcy, they are all advertising there vehicles are efficient, and we know that they are not, not as efficient as they could be.


TURACOTURACO - 11/6/2008 9:31:07 AM
-1 Boost
Bimmerfan25,

This is the kind of new you read. It tells a lot about you. And you really should not use the word "hillbillies", some people might get offended. I could say a few words about Obama supporters, but again most of then don't even know how to read, write or even use the internet.

Idiot.....


TURACOTURACO - 11/6/2008 9:31:59 AM
+1 Boost
'news'


TURACOTURACO - 11/6/2008 9:31:59 AM
+1 Boost
'news'


mercuryguymercuryguy - 11/6/2008 10:48:53 AM
+3 Boost
Explain to the Auto Industry that 5 cars in the driveway is a relic of the past. Monorail Trains are the future to suppliment transportation.

Yes, You still need cars and truck to drive between cities on long trips.

Give Bailout money that can only be used to develop Diesel and Hydrogen vehicles and Paddle -Shift manual transmissions with 10 speeds.

Build more highways and bypasses so people aren't wasting gas stopping at red lights, or climbing steep hills like Pennsylvania roads have. We can now build these roads at a more level grade.


mercuryguymercuryguy - 11/7/2008 12:02:40 PM
+1 Boost
I'm not saying the government should tell people what to drive or how many cars to own. the reality is , is that GM tore up the train tracks for street cars in cities years ago, to sell more cars.

It would be nice to have a choice to take a monorail into the city on a given day, if someone in my family needed to use the car to drive a long distance on that day.

The only choice I have is to drive a car. No Car, No job, everything stops.

Public transit does have its challenges, because I live in a High Crime city, and taking public transit into poverty stricken neighborhoods with a laptop in my briefcase would be suicide.


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