New small cars may create an oversupply in the U.S.

An oversupply of compact vehicles is what a forecasting firm believes will face the auto industry next year. CSM Worldwide pointed to two factors: the lineup of small cars set for delivery to US showrooms and the stable gas prices.

Because of tighter fuel economy standards in the US, major automakers such as General Motors Co. and Ford Motor Co. are hurrying to launch new fuel-efficient small cars and electric vehicles in 2010. Meanwhile, more consumers are looking to buy smaller cars and numerous carmakers have ramped up production to meet demand.
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Joe_Limon - 12/10/2009 4:28:15 PM

+3 Boost

shocking... people buy things based on their wants/needs and not what the government says *eyesroll*

XYZZ - 12/13/2009 5:43:22 AM

+1 Boost

if an oversupply does develop, GOOD!

nothing like a good price war for consumers.