Most carmakers see strong Nov. sales

Associated Press

DETROIT

All major automakers but Toyota reported strong U.S. sales increases in November as the auto industry’s slow-motion recovery continued to gain traction.

Ford, General Motors, Chrysler, Nissan, Hyundai and Honda all reported double-digit increases, and only Toyota, which has been hurt by a string of safety recalls, had a sales drop. Overall, according to Autodata Corp., U.S. sales last month rose 17 percent from November 2009, a month marked by consumer paralysis due to high unemployment.

The November performance helped an industry that is trying to recover from last year’s historic lows as credit froze up and two major automakers slid through bankruptcy court. Sales started the year with promise, peaked in May as consumer confidence rose, fell off during the summer and now have started to rebound.

Industry analysts say the solid November sales numbers, combined with a strong October, show that consumers who have kept their jobs through the economic downturn are now feeling confident enough to spend money and replace older vehicles.

Bob Carter, Toyota’s top U.S. sales executive, said Toyota can tell things are shifting because buyers are opting for more highly equipped sport-utility vehicles, which indicates they aren’t buying just because they need family transportation.

Those who spent money last month also bought crossovers such as the Chevrolet Equinox and Hyundai Santa Fe. Midsize cars such as the Ford Fusion and Hyundai Sonata also sold well.

The increased sales likely are due to a combination of rising confidence and delayed buying as people replace vehicles they have kept for longer than normal during a severe auto- industry downturn, said Bruce Clark, senior vice president of Moody’s Investors Service.

GM reported increased showroom traffic toward the end of the month, an encouraging sign after its initial public stock offering Nov. 18. GM shares rose 2 percent to $34.78 in trading Wednesday.