The US car Industry has reported a massive drop in sales for the month of August 2010, thanks to the huge base effect created due to the cash-for-clunkers program run by the US government last year, to prop up sagging sales.
Except for Chrysler, every other car company operating in the US has reported a sharp drop in sales and the sales has dropped by 21% over the year ago figures, and by a sharp 7% over last month figures.
The car sales in August has gone below the one million mark and car companies are not expecting major recovery in the coming months, as unemployment continues to be very high and there are no signs of higher recruitments in the near future.