China sold more vehicles in January than the United States. The US auto market is sinking into a deeper gloom. Manufacturers are trimming back their sales forecasts to suppliers and adding additional shutdown or idle times to their lines. Sales in the US are predicted to be less than 10 million units. This is a 26 year low. Unfortunately, this may be an optimistic estimate. Meanwhile, the Obama Administration is taking moves to make cars and trucks more expensive in the US. He is adding a hidden fuel mileage and pollution "tax" by government regulation. GM and Chrysler LLC are teetering on the edge of bankruptcy. They may go bankrupt in spite of a bailout. Also, many of the major parts suppliers are near bankrupt. There are dark days for the US auto market. There is a little something in the Senate version of the stimulus bill to help car sales. You will be able to deduct some interest on a new car loan. I seriously doubt that will be the determining factor in anyone buying a new car. You won't recoup any of that reduced tax liability until you file your return a year later. The Obama Administration has no viable plan to save the US auto market. They will keep throwing tax dollars at the big three in order to keep the UAW alive.
China monthly auto sales overtake US for 1st time
Feb 10 05:41 AM US/Eastern
By ELAINE KURTENBACH
AP Business Writer
SHANGHAI (AP) - China's monthly vehicle sales surpassed those in the United States for the first time in January, moving this country closer to becoming the world's biggest auto market, data released Tuesday showed.
With its growing middle class and vast potential as a consumer market, China is vital for global automakers such as General Motors, Volkswagen and Toyota as they count on demand here to offset weakness in the U.S. and elsewhere.
Some 735,000 vehicles were sold in China in January, the China Association of Automobile Manufacturers said. That surpassed the 656,976 units that consultant Autodata Corp. said were sold in the United States in the same month.
But China's ascent has been hastened by the dramatic plunge in the U.S. auto market, where sales tumbled 37 percent in January to a 26-year low.
China's domestic auto market also has cooled, but less dramatically. Sales here fell 14.4 percent from a monthly record 860,000 in January 2008.
Mike DiGiovanni, General Motors Corp.'s executive director of global market and industry analysis, said last week he expected Chinese auto sales could hit 10.7 million units in 2009, more than his estimate of 9.8 million unit sales in the U.S. this year. Autodata forecasts 2009 U.S. sales at 9.57 million. (excerpted) read more at breitbart.com