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Industry News
Auto Industry NewsStrong March sales put the U.S. auto market in driveMost of the attention paid to the auto industry recently has revolved around Toyota’s problems with its vehicles.But get this: Excluding last August’s frantic run on vehicles fueled by the Cash for Clunkers subsidy, sales at dealers nationwide have taken off at a pace not seen in a long time.Even stranger, Toyota is a big reason for the boost, responding to its recall problems and the public’s focus on safety issues by kicking in a discount program that competitors have matched. Edmunds.com, a popular car-buying Web site, found that in the first eight days of March, U.S. vehicle sales rose to a seasonally adjusted, annual rate of 12.5 million.Analysts don’t think sales will continue at quite that sizzling a pace. If they did, consumers would buy about 2 million more vehicles than they did last year, the industry’s worst sales year since the early 1980s.Other factors besides the Toyota incentives are at work. The economy slowly continues to improve, and March is traditionally a big auto sales month.
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