Wednesday, December 7, 2022
News General Motors Could Lose First Place in US Sales for the First...

General Motors Could Lose First Place in US Sales for the First Time Since 1931

General Motors could lose its 90 year old streak of first place US sales to Toyota

  • The chip shortage has impacted GM more than many other manufacturers

  • Toyota has coped fairly well with the shortage

  • Toyota sold 1,857,884 vehicles in the US in 2021 so far, GM only sold 1,777,483

General Motors is having a rough year in 2021 due to the shortage of electronic components that limit its production capacity.

The automaker that has had the highest sales in the United States every year since it overtook Ford in 1931 is now in danger of slipping in second place, behind Toyota.

The third quarter of 2021, especially, has been the worst experienced by the company since 2009, during the recession that caused its bankruptcy and at a time were GM was forced to abandon many of its brands, like Pontiac, Saab and Saturn.

With sales for 2021 only reaching 1,777,483 at the end of the third quarter, General Motors risks having its lowest sales year since the 50s, when the entire auto market was much smaller than it is today.

On the other hand, Toyota has been able to cope with the shortages in a much better way, with a lot less impact on its sales than most other manufacturers.

This could be linked to the 2011 earthquake in Japan that disrupted most of the automaker’s supply chain.

The company learned to stock a lot more of certain parts to counteract a decrease in their availability, and some of those parts were electronic chips and semi-conductors.

With sales that reached 1,857,884 for 2021 at the end of Q3, Toyota is already in front of General Motors by 80,401 units.

While this isn’t a massive difference all things considered, it is still worrying for the American company because things are not expected to improve dramatically before the end of the year, while Toyota is supposed to begin sales of its new Tundra pickup, which could destroy GM’s hope of getting back in front.

If Toyota maintains its lead until the end of December, it will be the first time a non-American automaker’s sales came in first place in the United States, ever.

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