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6 - February 2010, Featured Articles

MY TWO CENTS: "Soupy" Car Sales

By Car Chat Guy   Mon, Feb 01, 2010

There are a lot of ingredients in the "soup" of sociological aspects behind the 2009 car sales figures.

MY TWO CENTS: "Soupy" Car Sales

I heard an interesting interview with an environment group the other day that took a sociological approach. He said that sales were just over 10 million cars last year in the US, down about 2 million from 2008. China sold about 12 million this year, in China.

He said that for the first time since WWII there were more cars scrapped than sold new in the US, and he did not attribute that to the "Cash for Clunkers" program. He attributed it with the "urbanization" of America, where more people, especially younger ones, and “empty nesters”, were moving back from the suburbs to the urban centers, thus not having as much of a need for cars. Also, these urbanite young people are communicating in new ways (internet, smart phones) and don't travel as much for socialization. So the social aspects of the car are changing more dramatically than the cars themselves.

He said four out of five Americans live in cities (albeit some small ones) as opposed to rural areas. Auto sales have been above 15 million cars annually since 1994, and there is a large existing fleet of used cars still in service. With an average used car lifespan of some 15 years, it might be another 10 years before more than 15 million cars per year are again sold in the U.S., even without economic turmoil.

Demolition derby, anyone?

By Car Chat Guy

Car Chat Guy

Car Chat Guy is the Publisher and Editor in Chief of Car Chat Club Magazine. He has been a lifelong fan of cars, particulary Mustangs and Shelbys.

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