GM's Economist Predicts Slowing Sales

08/19/96

Reuters Has reported that General Motor's top economist expects U.S. auto sales to slow down for 1996's second half, as compared to brisk first half sales.

In an interview published last Thursday in the Wall Street Journal, GM's Mustafa Mohatarem, said that sales should slow to an annual rate of 15.3 million units during the year's last half. Industry observers cited the 1996 annual sales through June at about 15.6 million units.

Mohatarem said he expected industry sales of about 15.5 million units for the year. That figure would still put GM's sales above 1995's annual rate of 15.1 million units.

Mohatarem said he expects the industry to continue to benefit from favorable economic conditions, including modest interest rates and high consumer confidence.

Paul Dever -- The Auto Channel