Is the big SUV dying?
Sport-utility sales nosedive in September in the face of $3-a-gallon-gas, with giants like the Ford Expedition, Chevy Suburban and Toyota Sequoia falling hardest.
Sales of sport-utility vehicles took a dive in September, dragging down U.S. automakers who were already expecting a consumer payback after a summer of employee-pricing discounts. Gas prices that topped $3 nationwide after Hurricane Katrina didn?t help.
[Cry them a bucket. How long have they known this was coming?]
The damage:
Sales of the perennial best-selling SUV, the Ford Explorer, dropped by 58% compared with September 2004. Its larger kin, the Ford Expedition, which gets 14 mpg in city driving, saw sales drop 61%. Ford stopped producing its even larger SUV, the Excursion, last month.
GM?s full-size SUVs, due to be replaced with more fuel-efficient models next year, fell 56%. Sales of its Hummer H2 ? so heavy it doesn?t fall under the EPA?s fuel-mileage ratings system -- were off by 31%, but the brand?s smaller new SUV, the H3, is off to a brisk start. It?s rated at 16 mpg in city driving.
Toyota moved 46% fewer of its immense Sequoia sport-utilities, rated at 15 mpg city, and sales of its smaller SUVs were off sharply as well. Sales of Honda?s largest SUV, the Pilot, fell 26%. Nissan sold 20% fewer of its 13-mpg Armadas.
The upshot? Overall General Motors sales were down 24% from last year; Ford?s by 20%. Both companies said their hugely successful employee-discount programs pulled ahead fall sales into July and August. Asian brands, which didn?t offer employee discounts, felt less pain, mainly because they had a wider selection of small cars to fill the gap.
Whether the September sales shift represents a sea change in consumer habits is still unknown. While Toyota, Honda and Ford are selling every hybrid-electric vehicle they can make, sales of full-size SUVs still dwarf that output.
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