GM, Ford sales indicate strong month for autos

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General Motors Co. and Ford Motor Co. reported strong U.S. sales gains in April, as high gasoline prices drove consumer demand for fuel-efficient cars, Reuters reported.

Auto sales are an early indicator each month of U.S. consumer demand, and GM and Ford, as the top two U.S. automakers, indicated that industry sales will be strong.

GM showed overall sales were up 26 percent in April, and Ford sales were up 16 percent from a year ago. Retail sales, which do not include the bulk fleet totals, were up 25 percent for GM and 10 percent for Ford.

GM said that its increase was driven by higher sales of fuel-efficient Chevrolet compact cars and compact crossovers. The Chevy Cruze, which GM introduced last year, is the second-highest-selling vehicle in GM’s lineup.

Ford sales analyst George Pipas said this week that Ford is also showing a major shift in consumer taste toward smaller and more fuel-efficient cars as gasoline prices rise. U.S. retail gasoline prices are now $1.07 higher than a year ago.

Toyota Motor Corp. and Honda Motor Co. are not expected to show gains as large as those recorded by U.S. companies due to production problems caused by the March 11 earthquake in Japan.