Detroit pickup-makers happy when home construction picks up
- When economic conditions improve, contractors do more work, and contractors doing more work buy more and newer trucks.
- Pickup trucks are more profitable for automakers than are other vehicles, bringing $8,000 to $10,000 each compared with a few hundred dollars profit on a car.
- Pickup sales are falling in Europe and South America, so GM, Ford and Chrysler want to see housing take off in the U.S.
From the article:
A key indicator of U.S. pickup-truck sales — home construction — is gaining steam and giving new hope to American auto makers facing sales declines in Europe and South America. ...
Wall Street Journal - Real Estate