U.S. new-car and light-truck sales are headed for double-digit percentage gains in 2011. So predicts Paul Taylor, chief economist of the National Automobile Dealers Association, which explains why in the following:
"The auto industry is coming back strong from what has been a difficult economy," Taylor says. "Auto sales are playing a key role in leading the economic recovery."
With the average age of cars and trucks on the road today at more than 10-years-old, Taylor says Americans will need to replace their aging vehicles. This fact, combined with low financing rates and wider credit availability, will help boost new-vehicle sales 12 percent this year, he says.
"Sales will reach 12.9 million new-cars and trucks in 2011," Taylor says. Last year, 11.6 million light vehicles were sold.
Here's a list of NADA's top five factors that will accelerate new-vehicle sales this year: