Pickup Sales Spell Trouble for Segment

USA Today is putting the pickup segment under the magnifying glass today in a story that points to a 2% drop in sales of pickup trucks that could mean major trouble for automakers. Let’s make that domestic automakers. Ford and GM make almost 60% of their profits from SUV and truck sales. A drop there hurts their bottom line.

USA Today points to high gas prices as one reason why truck buyers who don’t need the vehicles for work aren’t returning to the segment. But we shouldn’t forget that new models also play a role, and GM just announced all-new versions of its best-selling Chevy Silverado and GMC Sierra pickups. Ford has also upgraded its 2007 F-150. Perhaps some buyers are simply waiting for the new models to arrive before getting their next pickup.

[Pickups Get Tough for Automakers to Unload, USA Today]