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July auto sales increase over June

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Many major automakers reported a rise in July auto sales, thanks to a spike in demand as a result of the governments Cash for Clunkers program, cnnmoney.com reported today.

Compared with June’s figures, Ford Motor Co., General Motors Co., Toyota Motor Corp., Chrysler Group LLC., Honda Motor Co. Ltd. and Nissan Motor Co. Ltd. all reported sales rising sharply in July, a month that saw industry-wide sales nearly top 1 million vehicles, the best sales total since August 2008.

Despite the good news, the July total was down 12 percent from the previous year, and only Ford, of the above automakers, avoided a drop in sales compared with a year ago.

Edmunds.com expected a 4 percent decline in sales for Ford from a year ago, but sales rose 2 percent, making it the first U.S.-based automaker to post an increase since November 2007.

Hyundai Motor Co., which reported a 12 percent increase in sales, was the only other automaker to report an increase in sales from a year ago.

Cash for Clunkers was responsible for 22 percent of Hyundai’s sales and 66 percent of GM’s sales, according to each company.

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