BMW sales are rising at an unprecedented rate, while Honda is predicting lower sales.
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Honda cautious about Accord's future, predicts sales decrease in U.S.
YUZO YAMAGUCHI | Automotive News
Posted Date: 11/5/04
TOKYO -- Honda Motor Co. expects U.S. sales of the Accord to fall this year as much as 7 percent to about 370,000.
"We're cautious about the Accord," says Honda Executive Vice President Koichi Amemiya. "We'll spend (incentives) mainly on the Accord."
Amemiya says that gasoline prices of about $2 a gallon in the United States, delivered "a body blow" to the industry.
The cautious outlook for Honda's most important model pushed the automaker to cut its North American sales estimates for the fiscal year through March to 1.56 million from the 1.565 million it projected earlier.
Amemiya expects 16.5 million to 16.6 million light vehicles to be sold in the United States this year.
"I'm not so optimistic" about the prospects for the industry, he says.
Last year, 16.7 million light vehicles were sold in the United States.
In the fiscal first half ended Sept. 30, Honda's North American operating profit slid 12.2 percent to 165.8 billion yen, or $1.55 billion at current exchange rates. The decline was the result of increased incentive spending on the Civic and Accord in the first quarter.
[bmwkick] [bmwkick] [bmwkick]
Honda cautious about Accord's future, predicts sales decrease in U.S.
YUZO YAMAGUCHI | Automotive News
Posted Date: 11/5/04
TOKYO -- Honda Motor Co. expects U.S. sales of the Accord to fall this year as much as 7 percent to about 370,000.
"We're cautious about the Accord," says Honda Executive Vice President Koichi Amemiya. "We'll spend (incentives) mainly on the Accord."
Amemiya says that gasoline prices of about $2 a gallon in the United States, delivered "a body blow" to the industry.
The cautious outlook for Honda's most important model pushed the automaker to cut its North American sales estimates for the fiscal year through March to 1.56 million from the 1.565 million it projected earlier.
Amemiya expects 16.5 million to 16.6 million light vehicles to be sold in the United States this year.
"I'm not so optimistic" about the prospects for the industry, he says.
Last year, 16.7 million light vehicles were sold in the United States.
In the fiscal first half ended Sept. 30, Honda's North American operating profit slid 12.2 percent to 165.8 billion yen, or $1.55 billion at current exchange rates. The decline was the result of increased incentive spending on the Civic and Accord in the first quarter.