SUV sales are on the rise but automakers are being cautious

SUV sales seem to be rebounding but automakers are cautious and are sticking to plans for small cars with hybrid technology, fuel injection and electric cars. September sales of full-sized pickups accounted for 14.1 percent of total U.S. light-vehicle sales – up 9.2 percent in May. Large-SUVs were up 2.5 percent, up from May’s 1.9 percent.

Nonetheless, the automotive industry is still in the dumps and even an increase in the market share of pickups and SUVs doesn’t compare to the sales they once used to generate.

“As a company, we are looking at a future of high gasoline prices,” Yvonne Malmgren, manager of global sales and incentive communications for Chrysler LLC told Automotive News. “That is what we expect, and we’re aligning our business plans with that idea in mind.”

Chrysler recently announced that it will close its Newark, Delaware by December 31. The plant builds the Dodge Durango and Chrysler Aspen.


Source: Automotive News (Subscription Required)