US consumers, thanks to the return to cheap fuel, are gravitating back in droves to SUV-Crossovers and Pick-Ups. Given that these vehicles stand out as the most profitable vehicles most car makers sell, couldnít fail but lift Fordís US automotive profit balloon into new record orbit. For last year Ford reported a 48.1 per cent jump in pre-tax profits to a record $10.8bn and a company pre-tax margin of 7.2 per cent, rising to a sky-high 10.2 per cent for Fordís North American region, the major source of last yearís bumper profits
While US carmakers, their suppliers and vehicle importers were probably toasting last yearís success with champagne in what eventually turned into an all-round bumper year, dejected US oil industry bosses were probably drowning their sorrows at cheap bars.
The contrast in the prevailing mood of US auto- and senior oil-industry bigwigs could barely be sharper.
True to the maxim that someoneís pains are someone elseís gains, US carmakers and importers appear to have drawn huge benefits from the prevailing pains now suffered by the oil
US Light-Vehicle market on course for bumper 17m plus sales this year
11 Jan 2016
on course for bumper 17m plus sales this year
29 Sep 2015
donít make sense in the US when fuel is cheap and plentiful 19