Auto sales in the US in Q3 2019 are mixed with Fiat Chrysler Automobiles NV (NYSE:FCAU), reporting an increase of 15% in Ram Pickup sales. The redesigned Jeep Wrangler rescued Fiat to maintain sales on par with the previous year. General Motors Company (NYSE:GM) has posted an increase of 6.3% in sales on account of double-digit increase in new crossovers and redesigned pickups. However, General Motors missed the street estimates. Ford has posted a 4.9% drop in sales on account of the tumbling F-series Pickup line.
Shares of Ford, GM and Fiat decline
The shares of automakers – General Motors (down 4%), Fiat (down 3%) and Ford (down 3%) declined on Wednesday afternoon. It is mainly on account of the economic slowdown resulting from the trade war. According to Cox Automotive, US auto sales is expected to decline by 11.7% in the previous month. The overall auto sales for the first nine months of the year are down by 1.4%.
Double-digit increase in sales
Pickups dominated the car data on Wednesday. General Motors has reported double-digit growth in sales of the GMC Sierra Pickups and redesigned Chevrolet Silverado pickups. It helped to offset the drop of 38% in car sales. The overall trucks (Vans and SUVs) sales of General Motors saw an increase of 8.8% in Q3 2019. General Motors also reported a rise of 28.3% for the crossovers in the same quarter. The introduction of new models helped General Motors to buck the trend.
Sales of F-series pickup line of Ford declined by 6% in Q3, 2019. Overall sales of Trucks of Ford saw a drop of 2.4% in the first nine months of 2019. The company faces competition from new models of Fiat and GM.
Vice President (US Sales, Service, and Marketing) of Ford, Mark LaNeve said sales of its van, truck, and commercial business remains strong in Q3.
A mere 8.8% increase in van and truck sales of Dearborn, Michigan automaker is not sufficient to compensate for the loss of 29.5% in car sales and 10.5% in SUV sales. According to LaNeve, 2019 is a transition phase for the company because it moves to crossovers, redesigned trucks, and SUVs from passenger cars.