U.S. automaker General Motors Co on Thursday posted a 40% jump in second-quarter U.S. sales on strong demand for its sport utility vehicles (SUVs), and said the trend will continue into 2022.
Low interest rates, government stimulus and a preference for private vehicles due to the COVID-19 pandemic have bolstered auto demand in the United States, even as prices have risen due to tight inventories following a global semiconductor shortage.
Consumers are purchasing more expensive vehicles despite smaller discounts, boosting profitability for automakers and retailers, according to industry consultants J.D. Power and LMC Automotive.
GM said its Chevrolet Bolt EV posted record second-quarter deliveries with total Chevrolet deliveries up 31%, while sales of its Buick’s premium SUVs soared 86%.
Shares of the U.S. automaker were up 0.6% at $59.49 in morning trade as its U.S. auto sales jumped to 688,236 vehicles in the quarter.