DETROIT As gas prices leapt over a new hurdle on Monday – average price of a gallon of unleaded gas above $2 – Ford President Nick Scheele said it was still too early to say what kind of impact surging gas prices will have on sales of new vehicle.
Scheele said the monthly sales totals depend heavily on last couple of weeks of the month, Scheele said after a speech to the Womens Economic Club in Detroit.
I really think we need to make sure we dont dramatize this, he added. Scheele, however, conceded that sales of large sport-utility vehicles have stalled under the weight of rising gasoline prices.
Manufacturers have adjusted by increasing incentives, so its hard to predict what will happen during May. Sales of the Ford Expedition were down more than 20 percent in April, and sales of GMs Hummer H2 have dropped 24 percent through the first four months of 2004.
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