General Motors and Ford Motor each reported strong increases in U.S. auto sales in the final three months of 2024, amid rising expectations for continued growth in the new year.
GM said fourth-quarter sales rose 21 percent from the year-earlier period to more than 755,000 cars and light trucks. The company's electric vehicle sales more than doubled to 43,982 vehicles.
Ford sold more than 530,000 vehicles this quarter, a gain of almost 9 percent. That included 30,176 electric vehicles, an increase of 16 percent.
For the year, GM sold 2.7 million cars and trucks, and Ford sold nearly 2.1 million vehicles, with each company posting an increase of just over 4 percent.
On Thursday, electric vehicle leader Tesla announced a slight decline in global sales in 2024, its first decline ever despite increased competition, although fourth-quarter sales set a company record.
Other automakers are expected to announce their sales totals later on Friday.
Cox Automotive, a market researcher, estimates that the industry would sell 15.85 million cars and light trucks in the United States in 2024, which would be a 2 percent increase from 2023.
Cox predicts further growth this year, with auto sales rising to 16.3 million cars and trucks by 2025.
Consumer confidence, wages and other economic indicators are working in favor of higher auto sales, said Jonathan Smoke, Cox's senior economist.
“Wages are up, car incentives are up and loan approval rates are up,” he said. “As we enter 2025, the momentum is back on our side.”
