At the beginning of October, I reported on the paltry auto sales figures from September. Even though hybrids and other fuel-efficient vehicles are seeing an increase in demand, overall sales figures are plummeting. Now that the first business day in November is here, sales figures for October 2008 are available. The news is not so pretty for many of the automakers.

Overall, the sales figures represent a 32% decline over October of 2007. According to an Automotive News report, “Of the four biggest automakers in the United States, only two have reported monthly sales increases this year: Toyota in April and GM in January.” GM is a long way from its January 2008 figures posting a 45.1% decrease when compared to October 2007.

Chrysler LLC sold 94,530 units in October of 2008 and 145,316 in October of 2007; this represents a 34.9% decrease. Ford Motor Corp posted a 32% decline in sales with its Volvo line posting a 52.1% decrease. Toyota fared better than it did in September with a 23% drop but Honda USA’s sales were a bit worse posting a 25.2% drop as opposed to a 24% decline in September.

Looking at these numbers, I can see why Cerberus is looking at selling Chrysler but I do not understand why General Motors is even considering the buyout – even if government funding for the merger is secured. Although the economy in the United States is not the most stable, gas prices have dropped considerably with some parts of the country reporting sub-$2.00/gallon prices. The lower gas prices don’t seem to be doing much to help boost auto sales, perhaps this is the consumer’s way of saying give us better choices.

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