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Top 5 Factors That Will Boost Auto Sales in 2011


Top 5 Factors That Will Boost Auto Sales in 2011

Top 5 Factors That Will Boost Auto Sales in 2011

U.S. new-car and light-truck sales are headed for double-digit percentage gains in 2011, says Paul Taylor, chief economist of the National Automobile Dealers Association (NADA).

― The auto industry is coming back strong from what has been a difficult economy,‖ Taylor says. ―Auto sales are playing a key role in leading the economic recovery.‖
With the average age of cars and trucks on the road today at more than 10-years-old, Taylor says Americans will need to replace their aging vehicles. This fact, combined with low financing rates and wider credit availability, will help boost new-vehicle sales nearly 12 percent this year, he says.

―Sales will reach 12.9 million new-cars and trucks in 2011,‖ Taylor says. Last year, 11.55 million light vehicles were sold.

Here’s a list of NADA’s top five factors that will accelerate new-vehicle sales this year:

Auto manufacturers are producing a wide variety of new-cars and trucks that are headed to dealer showrooms. Next week, for example, the North American International Auto Show in Detroit will display more than 700 new cars and trucks representing more than 50 domestic and international brands from the revitalized automakers in Detroit as well as almost all major Asian and European automakers.

There will be many new hybrid and electric vehicles as well as sedans, crossovers and SUVs with more fuel-efficient combustion engines, including several new models from China.

― The worldwide debut of nearly 40 cars and trucks at the show in Detroit is a strong indicator that the auto industry is making a comeback and will lead to increased manufacturer production and sales in 2011,‖ says Taylor

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