Kelley Blue Book forecasts new-vehicle sales in the U.S. will increase 5.4% Y/Y to 1.27M units in October.
The research firm warns that the ratio of incentive spending to ATP (average transaction price) is at the highest level in the industry since 2010.
The compact SUV/crossover segment is expected to see the strongest growth rate during the month at 13.6%.
KBB sales forecast by manufacturer: General Motors (NYSE:GM) +4.2% to 236K; Toyota (NYSE:TM) +5.9% to 179K; Ford (NYSE:F) -3.3% to 185K; Chrysler Automotive Group (NYSE:FCAU) +19.2% to 167K; Honda (NYSE:HMC) +4.8% to 114.5K; Nissan (OTCPK:NSANY) +12.1% to 102K; Hyundai (OTC:HYMLF) +6.1% to 99K; Volkswagen (OTCQX:VLKAY) +2.9% to 46K.
The Transportation Department will conduct an internal review of the National Highway Traffic Safety Administration in response to a series of recent safety failures, including this week's 7.8M vehicle recall, Reuters reports.
The House of Representatives' Energy and Commerce Committee is to hold an initial briefing with U.S. safety regulators next week to learn the details of the regional recalls affecting 10 automakers - Toyota (NYSE:TM), Honda (NYSE:HMC), Mazda (OTCPK:MZDAY), BMW (OTCPK:BAMXY), Nissan (OTCPK:NSANY), Mitsubishi (OTC:MMTOY), Subaru (OTCPK:FUJHY), Chrysler (NYSE:FCAU), Ford (NYSE:F) and General Motors (NYSE:GM).
It was reported on Friday that the Obama administration will likely nominate a permanent chief of the NHTSA within two weeks.
Honda (NYSE:HMC) has issued another recall for the new Fit hybrid subcompact model (marking the fifth recall in less than a year in Japan) over two defects that cover 425,825 cars.
The cost of the five recalls now totals ¥16.5B.
Apologizing for the repeated call backs, Honda says Chief Executive Takanobu Ito and other execs would reduce their salary by 10-20% for three months, and assign an executive to oversee quality improvements.
The NHTSA has expanded its warning about faulty airbags made by Takata (OTCPK:TKTDY) to 6.1M U.S. vehicles.
"The National Highway Traffic Safety Administration urges owners of certain Toyota (NYSE:TM), Honda (NYSE:HMC), Mazda (OTCPK:MZDAY), BMW (OTCPK:BAMXY), Nissan (OTCPK:NSANY), Mitsubishi (OTC:MMTOY), Subaru (OTCPK:FUJHY), Chrysler (NYSE:FCAU), Ford (NYSE:F) and General Motors (NYSE:GM) vehicles to act immediately on recall notices to replace defective Takata airbags," it said in a statement.
The previous warning, issued on Monday, covered 4.7M vehicles.
Update: Recall has been expanded to 7.8M vehicles.