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U.S. automakers face mixed Q3 sales as affordability concerns weigh heavily on consumers

As the year progresses, U.S. automakers are taking steps to mitigate these challenges.

Ford, Stellantis, and other major U.S. automakers reported mixed third quarter sales results, highlighting ongoing challenges in the industry as consumers grapple with affordability concerns and shifting preferences. Ford saw a modest 0.7% increase in sales, while Stellantis reported a sharp 20% decline, underscoring the disparity in market performance.

Ford’s third quarter U.S. sales reached 504,039 vehicles, a slight rise from 500,504 in the same period last year. The company’s flagship F-Series trucks saw a 4% sales boost, and its affordable compact Maverick pickup experienced a 33.2% surge in sales to 31,883 units. However, this growth was weaker compared to the 7.7% rise Ford posted in Q3 2023, as rising vehicle prices and economic uncertainty continue to deter buyers from more expensive models.

Meanwhile, Stellantis saw a steep 20% drop in U.S. vehicle sales, falling to 305,294 units compared to 380,563 a year earlier. This marked a second consecutive quarter of significant declines, following a 21% drop in the second quarter. Stellantis struggled with high inventory levels and aging product lineups, leading the company to implement aggressive incentive programs and cut vehicle shipments to manage inventory. Despite these efforts, Jeep sales fell 6%, Ram dropped 19%, and Chrysler and Dodge experienced even steeper declines of 47% and 43%, respectively.

Stellantis has faced additional pressures, including union strikes, layoffs, and concerns over CEO Carlos Tavares’ leadership, as the company searches for a successor before his contract expires in 2026. Although the automaker plans to introduce new electric vehicles, such as the Ram 1500 REV and Dodge Charger Daytona, it remains to be seen whether these models will significantly boost sales in the near term.

General Motors and Toyota also reported weaker sales in the third quarter. GM saw a 2.2% decline, with 659,601 vehicles sold, while Toyota’s U.S. sales dropped by 8% to 542,872 units. These results reflect broader industry challenges, as high interest rates and elevated sticker prices weigh on consumer demand.

As the year progresses, U.S. automakers are taking steps to mitigate these challenges. Ford, for instance, has leaned on its strong-performing truck segment, while Stellantis has initiated cross-brand incentives to move inventory and prepare for the arrival of 2025 models. However, affordability concerns and economic uncertainty will likely continue to impact sales, with buyers shifting toward more budget-friendly vehicles such as subcompact crossovers and pickups.

With affordability at the forefront of their minds, automakers face growing pressure to adapt their strategies and product offerings to meet evolving consumer preferences in an increasingly competitive market.

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