Daily News Briefs: July 20, 2012
Are used-car prices seeing some relief? We reported last May they would likely stay elevated for years to come — the result of fewer new-car sales during the recession — but prices for compact and midsize used cars fell around $650 apiece in June compared with last summer, the Detroit News reports. That represents drops of 8.5% and 7.8% for those segments, respectively. But prices for SUVs and full-size trucks climbed 7% and 2%, respectively. Overall used-car prices are down compared with last summer's peaks but remain higher than before the recession. The National Automobile Dealers Association forecasts a 2% uptick across all used-car prices this fall, but segments like luxury vehicles may see higher increases, the Detroit News reports. New-car prices remain inflated, but if automakers return to heavier incentives, the smaller difference between a used car versus a discounted new car could send more shoppers toward the latter.
In other news:
- As a strong yen hurts profits from Japan-exported vehicles, Nissan is looking to export the Rogue SUV to the U.S. from a Renault facility in South Korea, Reuters reports. French automaker Renault has allied with Nissan since 1999, and the Rogue, whose redesign is just around the corner, comes from Japan.
- An arbitrator ruled against the United Auto Workers in their grievance against Ford as the Detroit-area automaker reinstated bonuses for salaried employees but kept union salaries at current levels, Automotive News reports.