Sales of New Cars Surged 17% in 1976 (Published 1977) (2024)

DETROIT, Jan. 5—New‐car sales in the United States rebounded to 10.1 million last year, up 17 percent from 8.6 million in 1975, reports from the domestic and imported auto makers showed today. Sales last year were the fourth best for the auto‐makers and were 1.3 million behind the 1973 record of 11.4 million.

Domestic sales in the December 21‐31 period were up 15 percent from a year ago and for the full month they were ahead 16 percent. This increased the annual selling rate of domestic cars to 9.5 million in December, best for any month since the rate reached 9.6 million in August, 1974. The sales rate in November was 8.2 million.

Last year marked a comeback from a two‐year slump caused by the Arab oil embargo and the recession.

Further Gains Forecast

And domestic auto executives are predicting further gains this year, with 1977 sales estimates ranging from 10.6 million to 11.25 million.

The domestic cars were responsibe for last year's gain. Their sales totaled 8.6 million, up to 22 percent from 7.0 million in 1975.

Imports were off 5.5 percent to 1.49 million from 1.58 million a year earlier. Their market share dropped to 14.8 percent from the 1975 record of 18.3 percent.

Truck sales of about 3.2 million edged th 1973 record of 3.16 million and were 28 percent ahead of the 1975 level of 2.5 million.

Executives for the import and domestic makers predicted import sales would remain at the 1.5 million level in 1977, with the overall gain in sales coming from American cars.

Sales in 1976 were in the same area forecast a year ago, when estimates ranged up to 10.3 million. Analysts said final sales would have finished at that level except that the September‐October United Auto Workers Union strike against the Ford Motor Comany cost about 200,000 sales, reducing the tally to 10.1 million.

Ford Sales Rose 11%

Ford sales were up 11 percent in December and 14 percent for the year. But the company saw its market share in 1976 drop to 26.2 percent from 28.1 percent in 1975.

The General Motors Corporation had a 21 percent sales gain in December and 28 percent for the year. Its domestic market share climbed to 55.8 percent from 53.1 percent a year earlier.

G.M.'s Oldsmobile division sold a record 900,000 cars and its Cadillac division had record sales of 304,485 cars. But Buick fell 6,476 units short of its 1955 record of 744,000.

Meanwhile, Thomas A. Murphy, G.M. chairman, told a Detroit Rotary Club luncheon today he was staying with his previous forecast of total 1977 sales of about 11.25 million cars and 3.5 million trucks. He said imports “will remain in the order of 1.5 million” of the 11.25 million cars.

The Chrysler Corporation made the biggest comeback, with December sales up 15 percent and deliveries for the year up 31 percent. Its domestic market share climbed to 15.1 percent from 14.2 percent.

The American Motors Corporation is the only domestic company to have a sales drop. Its sales were down 12 percent for the month and 23 percent for the year. A.M.C.'s market share fell to 2.9 percent from 4.6 percent because of a decline in demand for small cars that are its specialty.

The intermediate Olds Cutlass was the nation's best selling car, with 514,593 to 470,208 for the Chevrolet Impala, which had been the perennial leader.

Among the imports, Toyota slrengthened its position as the top‐selling make, with 346,885 car sales, up 21 percent, with another Japanese car, Datsun, in second with 270,103, up 3 percent from 1975.

Volkswagen, which lost its No. 1 ranking in 1975, was in third place with 201,670, off 25 percent from the previous. But VW officials noted that December sales were up 11 percent. Another Japanese car, Honda, was fourth with 150,929 sales, up 47 percent from 1975.

Volvo, the Swedish auto maker, saw its sales drop 27 percent to 43,369.