Auto Sales for August Jumped 20%, Despite Rising Price of Gas
In the past, nothing slowed down strong car sales faster than a spike in gasoline prices.
But these days, consumers simply switch to more fuel-efficient models.
Major automakers reported Tuesday that sales grew 19.9 percent in August despite higher gas prices during the month.
Analysts said the wide range of fuel-efficient models on the market, particularly new small cars from the Detroit automakers, had helped spur demand and accelerate the industry’s recovery.
“The choices for fuel efficiency are so plentiful it’s harder for a consumer to walk away because of gas prices,” said Jesse Toprak, an analyst with the auto research site TrueCar.com.
One underlying factor for the heavy demand is Americans’ need to replace older vehicles. The average car or truck on the road is more than 11 years old.