By on January 3, 2014

2014-Ford-Fusion-at-Flat-Rock-front-three-quarter-796x528

Detroit’s triumvirate of General Motors, Chrysler and Ford are on pace to gain market share at home against their European and Asian competitors when the final numbers for 2013 are released later today, thanks to American consumers finding the Detroit Three’s offerings more attractive than what the competition has to offer.

Based on an average of nine estimates from auto industry analysts, December’s U.S. car and light truck sales will top out at 1.41 million units. After adjusting for seasonal trends, the final annual total for 2013 will stand at 15.8 million units, up .6 million from 2012.

Leading the charge into Detroit Three showrooms was Ford, whose new Fusion outpaced offerings from Toyota and Honda in deliveries through November, climbing 22 percent over the 1.3 percent claimed by the Camry, and the 11 percent for the Accord. Ford overall sold 2.4 million in the outgoing year, leading Toyota by 388,825 units.

While the Detroit Three are set to make their first sweep of market gains since 1988, Asian and European automakers are planning to fight back through increasing building capacity in North America; 2.1 million units overall will roll off the assembly line after 2013, the majority coming from automakers such as Hyundai and BMW. In turn, pricing maintenance throughout the entire industry as inventory climbs in anticipation of the increased capacity; 16 million units are expected to be sold in 2014.

2013 US Car + Light Truck Sales Estimates - December 2013

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79 Comments on “Detroit Three Gain Market Share At Home In 2013...”


  • avatar
    RRocket

    Can we please stop referring to Chrysler as a member of the Detroit 3? This is a completely foreign owned entity….just like Toyota, Honda, Audi, etc

    • 0 avatar
      fredtal

      Unless you base it on content…

      http://wot.motortrend.com/top-cars-north-american-parts-content-67627.html

    • 0 avatar
      PenguinBoy

      I think it is still valid to consider Chrysler as a member of the “Detroit 3″.

      As far as I know, the recently announced Fiat acquisition hasn’t closed yet, so a significant chunk of Chrysler is still US owned.

      Even when the deal does close, I expect Chrysler will still be a Detroit based automaker – much of the design work and most important decisions will likely continue to come from Auburn Hills.

      Also, most Chrysler products have a very “Detroit” flavour to them – it’s hard to think of a HEMI powered RAM 1500 as a European vehicle.

      I still consider Chrysler to be a “Detroit” based automaker, in much the same way that I still consider Jaguar / Land Rover to be British despite currently being owned by an Indian parent company.

      At least here in Canada, it is again appropriate to call the “Detroit 3″ the “Big 3″ since Ford, Chrysler and GM have a pretty commanding lead in market share, with Toyota and Hyundai / Kia more or less tied for fourth spot: http://www.goodcarbadcar.net/2013/12/canada-auto-sales-brand-rankings-november-2013-ytd.html

      • 0 avatar
        RobertRyan

        Still it will be a “NA American Automaker” but Italian owned. I do see more overseas production sites and parts being part of “Chrysler”.
        No officially it is not now part of the “Big 3″ although the local impact will not change.Volvo Trucks has become a “Local” builder in the US, although its name and ownership are very much foreign.

      • 0 avatar
        luvmyv8

        I still consider Chrysler to be American…. just as mentioned above, my Jeep Wrangler has that “American Flavor” in my opinion…. though they do offer them in Europe with a diesel engine. Still pretty much built with Americans in mind.

        I do jokingly refer to it as a “Fiat 4X4″, but only in jest. Still, thanks for the Pentastar V6 Sergio, it’s awesome.

    • 0 avatar
      danio3834

      So if the Global headquarters of Fiatsler ends up being Auburn Hills, is Fiat then an American company?

      As far as I’m concerned Ford, GM and Chrysler have their operations headed in the Detroit area, so it wouldn’t be incorrect to refer to them as the “Detroit 3″.

      • 0 avatar
        FreedMike

        Makes sense to me too.

      • 0 avatar
        Lou_BC

        @danio3834 – the rumour is the Netherlands once Fiat and Chrysler merge.

        • 0 avatar
          Lorenzo

          The Netherlands will just be where the combined company will be incorporated, for tax purposes. Wally Chrysler himself incorporated his company in Delaware, for tax purposes, but the company was (then) headquartered in Highland Park.

          You can see by the Italians’ plea to keep the new company HQ in Italy that there’s a prestige aspect involved, but the “Fiat Division” of New Car Company (NCC) could be the sop to Italian pride, along with a Ferrari Division, Alfa Romeo Division, Maserati Division, and Lancia Division. After all, they’re all separate S.p.A.’s, along with Fiat powertrain and Abarth.

          The “Chrysler Division” could easily return to the old headquarters in Highland Park, Encompassing Dodge, Ram and SRT, and the “Jeep Division” could have an office in Toledo. Then again, they could all be separate, following the Agnelli family’s penchant for slicing the former conglomerate into smaller and smaller pieces.

          Auburn Hills could then become the headquarters for the combined company, or another Agnelli holding company. I think Sergio likes Lee Iacocca’s comfy chair.

          • 0 avatar
            RobertRyan

            No HQ will be in Turin. Once the ink is dry for the complete takeover, then Sergio will be looking at producing more “global ” products. Fiat wants to make more of a drive into Russia as they still feel thee is a lot of untapped potential.
            GNH and IVECO will work on IVECO’s new range of Truck engines,
            A lot more Jeep/SUV’s will be done in Europe.Sold under different labels globally.

          • 0 avatar
            Pch101

            “The Netherlands will just be where the combined company will be incorporated, for tax purposes”

            Pretty much. On the whole, establishing the Netherlands locale would be a non-event.

            That being said, it’s clear that Marchionne is tiring of his company being seen as a job protection scheme by the Italian government. Fiat can’t go the distance if it is to remain a predominantly regional player in Europe, and he knows it.

          • 0 avatar
            Wheeljack

            I don’t think anyone is going back to Highland Park anytime soon.

    • 0 avatar
      VoGo

      I’d like to offer a counterpoint on the Big 3/Detroit 3 discussion. Back when AMC coined the term Big 4, it had relevance because the US/Canadian auto market was a single entity. The vast majority of cars sold here were designed and built in US/Canada by American automakers. The term offered buyers a sense of security that they were buying from a legit, scale company.

      Today, the market is increasingly global. I know, captain obvious stuff. But here is the insight: that despite solid gains in sales and profitability, Chrysler in particular remains endangered long term.

      In a global market where it costs $1B+ to develop a platform, and where scale economies are king, your platforms need to sell 1M units annually. For Chrysler this is a real challenge. The 300C, Grand Cherokee, Caravan/T&C, Ram 1500 and Wrangler are all solid vehicles – no one should be embarrassed buying them. But on a global scale, they average around 250K units annually.

      Which means that Toyota can put 4X the resources behind engineering a platform that Chrysler puts into designing a single one of these platforms. In this world, who wins?

      The question is then one of: “How big do I have to be to survive?” My sense is that VW, Toyota and GM, essentially tied at the top, are fine. Ford is OK, as is Nissan/Renault. Honda is in good shape, so long as they stick to a tight product lineup. Hyundai/Kia will survive, provided they retain their cost advantage.

      But after that, the slope gets steep fast. Marchionne knows that better than anyone. I would not be surprised if he leverages Chrysler’s win streak to gain further scale. Meaning he tries to buy Peugeot, Mitsubishi, maybe Mazda. I don’t think it will work, but I have to credit his success to date.

      • 0 avatar
        PenguinBoy

        I can certainly accept this point – Chrysler is very much a regional brand, and while they are currently #2 in Canada, most of their strongest products have limited sales prospects outside North America. The RAM 1500 is an excellent truck, but I can’t see them selling in Europe or Asia.

        While I would agree that Chrysler is far from out of the woods yet, I’m surprised at how far they have come since 2009, and wouldn’t be surprised if Fiat/Chrysler ended up roughly as strong as Nissan/Renault. So far Marchionne seems to be doing a good job, and the alliance with Fiat seems to be working out much better than the “merger of equals”…

    • 0 avatar
      RobertRyan

      Could not agree more, very strange “upbeat article”

    • 0 avatar
      Lou_BC

      RRocket – technically Chrysler is still Detroit based.
      Detroit 2.5?

    • 0 avatar
      84Cressida

      Agreed. They were once owned by the Germans and are now owned by Italians. If they’re American, simply because their old HQ is still there and suddenly their cars are “American flavored” (the new excuse by the fanboys for justification) then Toyota and Honda can now be considered American using these metrics.

  • avatar
    jhefner

    “Leading the charge into Detroit Three showrooms was Ford, whose new Fusion outpaced offerings from Toyota and Honda in deliveries through November, climbing 22 percent over the 1.3 percent claimed by the Camry, and the 11 percent for the Accord. Ford overall sold 2.4 million in the outgoing year, leading Toyota by 388,825 units.”

    Looks like Alex(?) may have the last laugh with his “game changer” reference.

    • 0 avatar
      APaGttH

      Heh

    • 0 avatar
      Dan

      Crediting Ford’s success to the Fusion picking up 50,000 units year on year while not mentioning the F-Series’ increase of 120,000 is a bit disingenuous. Game changer was unjustified hyperbole then and still is now.

    • 0 avatar
      thornmark

      >>Looks like Alex(?) may have the last laugh with his “game changer” reference.<<

      Not really. The Fusion is in 4th place and sells heavily fleet – despite the extreme hype that it could become the best-seller. That’s not gonna happen unless Ford does what it did to the Taurus.

      Still, stealing the Aston grill was Ford's best move in a long time, replacing its Schick face.

      • 0 avatar
        jhefner

        “Not really. The Fusion is in 4th place and sells heavily fleet – despite the extreme hype that it could become the best-seller. That’s not gonna happen unless Ford does what it did to the Taurus.”

        Wow, just 1.5 hours before someone threw out the unjustified fleet sales rag. Quicker than I thought; though in my 110 miles of driving each day, I only see a couple of corporate fleet Fusions; and none with the rental barcode on it.

        Fusions were very thin on the ground the first half of the year; my local Ford dealership only had one or two at any given time; and when I tried to rent one to see what it was like; there were none to be found. Let’s see how 2014, with a full year of full production works out.

        At least you conceed with the grill change that Alex may have been right.

        • 0 avatar
          thornmark

          Fusion Dec sales 24,408* *normally 1/4-1/3 fleet

          Altima Dec sales 24,816

          Accord Dec sales 32,321* *virtually all retail

          Camry Dec sales 29,964

          Wait! Accord outsells Camry. Where are the headlines?

          • 0 avatar
            APaGttH

            And lets add the Camry is closer to 20% fleet annual (by the last numbers I saw at mid-year – will gladly be corrected if someone has up-to-date data)

      • 0 avatar
        FreedMike

        The Camry and Altima also sell “heavily fleet.”

        • 0 avatar
          geeber

          For 2013, about 15 percent of Camrys went to fleet customers. That compares to around 30 percent for the Altima, Fusion and Malibu. (The Accord is under 2 percent fleet.)

          While a fair number of Camrys do end up in fleets, it is not “heavily fleet” compared to the Altima, Fusion or Malibu.

          • 0 avatar
            FreedMike

            15-30% of sales to a fleet is considerable, no matter what way you slice it.

          • 0 avatar
            Pch101

            There’s a considerable difference between 15% and 30%. It’s possible to have 15% fleet sales and maintain strong residuals, but that isn’t so likely when the figure is twice that amount.

          • 0 avatar
            Lorenzo

            I recently rented from Hertz. They tried to put me in a new Altima, but it wouldn’t start. The parking brake wouldn’t disengage. Well, it did, but the electronics said it didn’t and wouldn’t put the car in drive. They gave me another new Altima. Same problem. I asked for a Fusion, but they said they haven’t gotten any yet, and gave me a Taurus.

      • 0 avatar
        RobertRyan

        Is the Camry still the best selling sedan in the US? Bizarre if it is.

        • 0 avatar
          84Cressida

          Sure is. 12th year in a row. I fully expect TTAC’s next Camry trashing article any day now. Haters gon’ hate.

          • 0 avatar
            RobertRyan

            @84Cressida
            That is amazing. Shows how UNCOMPETITIVE the “Big 3 ” competition is. Camry is no way cutting edge, but to dominate for 12yrs that is incredible.

        • 0 avatar
          mike978

          The Camry is the best selling car, but the Accord is the best retail selling car. As Cressida and others have said in the past, when it suited them, retail sales are best measure of what real life consumers want. Maybe their tune has changed since the Camry has been dethroned on that metric.

  • avatar
    APaGttH

    But, but, but Buickman said GM US marketshare would be 15% by the end of 2013…

  • avatar
    billfrombuckhead

    A bunch of armchair CEO’s heads will roll over this. Remember when GM and Chrysler were doomed according to the pundocracy?

    One can only imagine what new wondercars those wily Canadians Sergio, Reid and Ralph over in Auburn Hills are conjuring up for Team Marchionne.

    Mopar uber alles!

    • 0 avatar
      bikegoesbaa

      I’m a Detroit fan and am glad to see them gaining market share, but the armchair CEOs were right. GM and Chrysler *were* doomed.

      That’s why they both entered Chapter 11 and were reborn as new legal entities that only exist at all due to government intervention.

      Since this is the second time in 2 generations that Chrysler has been pulled from the brink of oblivion by special help, you may want to reconsider the Mopar boosterism.

    • 0 avatar
      geeber

      You mean wondercars like the Dodge Dart that was supposed to send the Civic, Corolla and Focus into oblivion? Didn’t quite work out that way…

    • 0 avatar

      Marchionne spent some formative years living and going to school in Windsor, Ontario but how “Canadian” he is, well, I guess he’d have to say. I did ask him last year, at the NAIAS, since he’s in Detroit quite a bit how often he visits his old neighborhood in Windsor and he said pretty much never. As for Gilles, while Ralph was raised in Montreal (his parents are Haitian so I’m guessing Francophone Quebec had something to do with that move) he was born in New York City, was educated at CCS and MSU in Michigan and I’m not even sure he holds a Canadian passport. Of the three “Canadians” you mentioned, only Reid Bigland was born in Canuckistan and he holds an American passport as well.

      • 0 avatar
        wmba

        Well, not that it matters much, but you haven’t really got it right. From 1966 and the age of 14 he grew up in Toronto, so asking him about Windsor is a bit of a strange question, because that’s where he went to University. I went to university away from home and remember little about the city itself. The campus? Well, yes.

        From Wikipedia, that often incorrect but as often the only source on obscure stuff:

        ” At age 14, Marchionne emigrated with his family to Toronto, Canada, where they had relatives. [7]

        As a result, he has dual Canadian and Italian citizenship and speaks fluent English and Italian. He is a Canadian Certified General Accountant (FCGA), [8] barrister, and a fellow of the Certified General Accountants of Ontario.

        Education

        He attended the prestigious St. Michael’s College School, before moving on to complete his undergraduate studies in philosophy at the University of Toronto and went on to earn a Bachelor of Commerce in 1979 and an MBA in 1985 both from the University of Windsor [9] and a law degree from Osgoode Hall Law School of York University in 1983. [10]

        Early career

        From 1983 to 1985, he worked as an accountant and tax specialist for Deloitte & Touche in Canada. From 1985 to 1988, he was Group Controller and then Director of Corporate Development at the Lawson Mardon Group in Toronto. In 1989, he moved to Glenex Industries where he worked for two years as Executive Vice President.

        From 1990 to 1992, he was Vice President of Finance and Chief Financial Officer at Acklands Ltd. Between 1992 and 1994, he served as Vice President of Legal and Corporate Development and Chief Financial Officer of the Lawson Group, which was acquired by Alusuisse Lonza (Algroup) in 1994.”

        And then he roared back off to Europe.

  • avatar
    hf_auto

    I’ve been a die-hard fan of European cars, and grew up in a family of Japanese car fans, and I have to admit the Detroit 3 are converting all of us. It’s interesting to see that trend beyond our own anecdotal case.

    Up until 2 years ago, my shopping lists were 100% European makes. As I’m preparing for my next round, 6 of 8 candidates are American with the Fiesta/Focus ST in the lead. The two foreign cars on the list are a last-gen E90 3-series and last-gen IS-F…

  • avatar
    bill h.

    One of my sons, who graduated in 2013 with an engineering degree from Virginia Tech, fulfilled a dream of his to get a job in the auto industry making cars–now he’s a newly hired manufacturing engineer at Chrysler. I hope that the long term trends will enable him to continue there for many years, contributing to the company’s future products and demonstrating that there are young folk out there who still want to make things in this country, not just push figures on a spreadsheet or write code for Google.

    • 0 avatar

      It’s a good time to be an engineer in Detroit, right now, so far. The Detroit based companies cut to the bone in ’07-’09 and they’ve had to hire thousands of engineers just to be able to keep up with the demands of creating new product. In 2012 it looked to me like there was a hiring frenzy at the SAE World Congress. This year it was more like a recruiting frenzy, with lots of companies looking for engineers and not enough engineers to go around.

      Congratulations to your son and to his proud father.

      • 0 avatar
        bill h.

        Thanks Ronnie.

        • 0 avatar
          tresmonos

          Bill h.:
          I just left Ford in a similar role. Chrysler is by far the most competitive in compensation. I have friends at GM, Ford and Chrysler. IMHO, he picked the best place for employment. If he decides it’s not working out, he can easily move to one of the other two companies, with usually a pay increase.

      • 0 avatar
        jz78817

        “The Detroit based companies cut to the bone in ’07-’09 and they’ve had to hire thousands of engineers just to be able to keep up with the demands of creating new product. ”

        unfortunately that kind of “Brain drain” has lasting effects that take years for the company to recover from.

        and I wish smug coastal “elites” like “jimmyy” would just shut up forever.

    • 0 avatar
      jimmyy

      Congrats on your son’s engineering degree. However, it might be best to look at alternatives to the Detroit auto business. I came out of UM – Ann Arbor with multiple engineering degrees in the 1990s. Many of the people I went to college with landed up at one of the Detroit automakers. And, many others landed up on the east and west coasts. For the most part, my colleagues who landed up in east coast finance ( NYC or Boston ), or west coast technology ( LA or SF ), landed up with much more lucrative careers than those that went to Detroit automakers. Your son may want to evaluate higher growth industries where the opportunity exists vs. the auto industry that barely grows even after being propped up with north of 100 billion in direct aid, subsidized loans, and special tax breaks. After all of this money, Detroit managed to gain a statistically insignificant amount of market share … to me, this looks like a slow growth industry.

      • 0 avatar
        golden2husky

        You might want to consider the “direct aid” that the financial industry got as well, if we are going to be talking about industry bailouts. His son can be proud that he is helping America build world competitive products.

        • 0 avatar
          jz78817

          “You might want to consider the “direct aid” that the financial industry got as well, if we are going to be talking about industry bailouts. His son can be proud that he is helping America build world competitive products.”

          instead of being a worthless money changer.

      • 0 avatar
        PenguinBoy

        @Jimmyy – how much government money did the “east coast finance industry” get over the last few years?

      • 0 avatar
        AoLetsGo

        Yo Jimmy
        True sometimes the auto industry is slow growth and sometimes you can make a little more coin in Boston or SF. But even with the extra coin those guys in those cities are living in 800 sq ft shoe boxes where the Detroit guys are living in 4,000 sq ft. McMansions with a big yard and with a smaller payment. But to each their own.

      • 0 avatar
        fredtal

        It’s more important that you choose a career you enjoy. More fun and if you enjoy it you will work harder and most likely succeed.

    • 0 avatar
      PenguinBoy

      Congratulations to your son! This sort of story makes me glad to hear about the North American automakers doing better.

      • 0 avatar
        bill h.

        Thanks for the responses, everyone. Jimmyy–point taken, and indeed some of his friends have done something similar to what you suggest. But working on and making cars is what he wants to do, and he’s been a tinkerer since he was a toddler. The last thing WE wanted to do was the typical Asian parent thing of pushing him to medical school, law school etc. where he might make more $ but be miserable in the deal. I’m an engineer myself, and I can understand his desire. If he wants to change sometime in the future, he’ll know it (and he’s taking grad courses at U of M in the meantime).

  • avatar
    automaniak

    Fiat-Chrysler in December and 2013

    http://www.autoevolution.com/news-g-image/chrysler-group-reports-strongest-annual-sales-since-2007/175713.html#sjmp

  • avatar
    86er

    What are the actual market share percentages?

  • avatar

    General Motors December 2013 ~ 16.9%

    we don’t have a product problem, we have a marketing problem.

    • 0 avatar
      VoGo

      GM has said that for 40 years now. Somehow, if we could just market the Malibu better, maybe customers won’t notice how weak it is.

      It’s much easier to say that than to actually offer competitive product.

      • 0 avatar
        jz78817

        Sorry, but for what mid-size sedan buyers look for, the Malibu is NOT “weak” or “uncompetitive.” The only reason people think that is because the self-absorbed automotive press loves creating their own news and picking on a mutually-agreed-upon whipping boy. It’s “safe” to attack the Malibu, so everyone does it. Then, it gets dropped from buyers’ shopping lists because they heard from someone who heard from someone who heard from someone that it’s no good.

        hell, the 2013 Malibu was a decent car; its biggest problem was that on the outside it hardly looked any different than the outgoing model.

        • 0 avatar
          jimmyy

          I don’t know about that. The left wing Obama and UAW loving media makes disparaging comments about every Toyota model frequently. Then, there is the recall attacks by the Obama administration. By now, every American has been subjected to the Toyota smear campaign. Yet, Toyota remains the top selling brand in the world, and the top selling retail brand in North America. In my opinion, enough of smart Americans pay attention the unbiased Consumer Reports that tells the true story on Detroit reliability, and that is the problem.

          • 0 avatar
            jz78817

            “I don’t know about that. The left wing Obama and UAW loving media makes disparaging comments about every Toyota model frequently.”

            I would love to see your evidence of that.

  • avatar
    jimmyy

    Here we go again. Another reprint of a Bloomberg article floated around wall street with a single goal … to pump GM, F, and all the supplier stocks. I am surprised TTAC does not reject such journalistic trash.

  • avatar
    JaySeis

    With Chrysler getting owned by Fiat I predict we will see the rise of Spaghetti Western themed advertising. All they need is Clint.

  • avatar
    ect

    TTAC jumped the gun a bit. The D3 did NOT all gain market share in 2013.

    Using the numbers reported in TTAC’s later post, Ford was the only Detroit company with a significant increase- to 15.95% from 15.48%.

    Chrysler was up, to a lesser extent (11.55%, from 11.40% in 2012), while GM was ever-so-slightly down (to 17.88%, vs. 17.91% in 2012) – close as “darn it” to staying even.

    Looking at the Ward’s historical numbers, it seems that Ford is still down from 2010-2011,when it had nearly a 16.5% share. Chrysler has risen steadily since 2009, when it had only 8.79% of the market. For GM, 2011 was the only year in the previous 10 that their market share increased – each of the other 9 saw a drop. Overall, going from 27.67% in 2003 to 17.88% in 2013.

    So, it’s still a very mixed bag.

    • 0 avatar
      Pch101

      I’ve run my own numbers, based upon Automotive News’ results (which largely come straight from the automakers, but for estimates on a few of the boutique companies.)

      Market share of Detroit brands (including Fiat) was 45.4% for 2013 vs. 44.8% for 2012. They were a bit down December month-on-month, at 44.7% vs. 45.1% — Chrysler and Ford were both up month-over-month, but GM took a hit with all of its brands, particularly Chevy and Buick.

      For the year, both Ford Motor and Chrysler Group had annual sales growth rates above the industry average. GM’s sales growth was slightly below the industry average.

    • 0 avatar
      RobertRyan

      “Market share of Detroit brands (including Fiat) was 45.4% for 2013 vs. 44.8% for 2012. ”
      What would be he corrected figures be if Chrysler was not included?

  • avatar
    threeer

    So I guess that my new Wrangler (when I buy one in about two years after my assignment overseas) will come with an Italian language conversion program?? I still see Jeep (at least the Wrangler…not so sure about the new Cherokee…even my wife doesn’t like it) as “American” and given the parts content and assembly point, it’s fairly close to being as American-made as it gets. Yeah, I know that cars like the Accord and Camry have a higher US-parts content, but I somehow still haven’t wrapped my head around that enough to consider Honda and Toyota “domestic” brands. Shades of gray, to be sure. Either way, I am glad to see GM, Ford and Chrysler (whomever the ownership may be) doing better.

  • avatar
    wsn

    Interesting news article.

    Interesting in that, while the title reads “… Gain Market Share … In 2013″, there is zero information about:
    1) What’s the D3 market share in 2013?
    2) What’s the D3 market share in 2012?

    It’s like, if you want to claim the president gained support (in poll) after the medicare reform, you might as well include figures before and after.


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