COUNTERINTUITIVE

GM reports US sales dip, but says EVs grew


By AFP
October 1, 2024




General Motors reported lower overall sales but the introduction of the Chevrolet Equinox EV helped boost electric auto sales - Copyright AFP/File Geoff Robins

General Motors reported a dip in third-quarter US auto sales Tuesday, but pointed to growth in sales of electric vehicles and said retail pricing remained steady.

The big Detroit automaker reported 659,601 US sales during the period, down 2.2 percent from the year-ago but marking a slightly smaller decline than analysts projected.

Sales were mixed among the truck and SUV products that have supported GM profits in recent years.

Whereas GM scored an uptick in sales of GMC Sierra pickup trucks, its top-selling Silverado line experienced a dip.

GM described its EV portfolio as “growing faster than the market” with sales jumping 46 percent in the third quarter, topping 32,000.

GM and Ford have both slowed some investments in EVs due to moderating demand for the vehicles.

GM said average vehicle pricing of $49,349 was in line with its second quarter, with incentives also holding steady.

The automaker has 627,048 vehicles in inventory heading into the fourth quarter, which is much above the level a year-ago when Detroit automakers were contending with a labor strike. However, that level is still below pre-pandemic supplies.

Garrett Nelson, an analyst at CFRA Research, described GM’s sales as “broadly in line” with US auto industry performance in the period.

Cox Automotive predicted a 2.1 percent sales drop among US automakers in the period, with some volatility due to election season offset by a lift from lower interest rate cuts.

“We remain optimistic that new-vehicle sales could improve marginally through the final quarter of 2024,” said Charlie Chesbrough, senior economist at Cox.