As the automotive industry strides into 2024, major players like General Motors (GM) and Ford Motor Company are feeling the winds of recovery. The two automotive giants recently disclosed their most impressive annual U.S. vehicle sales figures since 2019, unveiling a significant rebound from the disruptive effects of the COVID-19 pandemic and persistent supply chain challenges. This positive outcome not only aligns with industry forecasts but also signals a promising outlook for the sector as a whole.
Leading market research firms projected that total U.S. vehicle sales could approach 16 million units in 2024. This figure marks a considerable upturn, potentially establishing it as the best year since the industry recorded approximately 17 million sales back in 2019. In addition to GM and Ford, other manufacturers like Toyota, Hyundai, and Honda also reported modest single-digit sales increases, reinforcing the expectations set by industry analysts.
In its quest to reclaim market dominance, GM asserted its position as the top-selling automaker in America, closely followed by Toyota and Ford. The company declared that it sold over 2.7 million vehicles in 2024, reflecting a commendable growth of 4.3% compared to the previous year. While this figure lags behind its pre-pandemic performance of 2.9 million vehicles in 2019, it indicates a strong recovery trajectory.
One of the standout features of GM’s success is attributed to its broad range of well-designed vehicles that cater to diverse consumer preferences. Rory Harvey, GM’s president of global markets, stated, “The driving force for our business is new vehicles with great design and performance across our portfolio, helping our dealers satisfy more customers.” This focus on customer satisfaction is supported by GM’s impressive growth in electric vehicle (EV) sales, which surged by nearly 50% to over 114,400 units in 2024, despite these electric models constituting only 4.2% of total sales. Nevertheless, GM’s EV market share reached an estimated 12% in the fourth quarter alone.
Ford’s Electrifying Progress
Ford, not to be outdone, also reported substantial yearly gains, with overall U.S. vehicle sales rising to 2.08 million units, a modest increase from just under 2 million units in 2023. In comparison to its 2019 sales of 2.42 million vehicles, Ford is showcasing a solid resurgence but still has room for growth. In the fourth quarter, Ford noted an impressive 8.8% year-over-year increase, selling 530,660 vehicles.
The company’s foray into electrification is particularly noteworthy, with a striking 38.3% increase in sales of electrified vehicles, encompassing both electric and hybrid models. As a result, these electrified vehicles accounted for 13.7% of Ford’s total annual sales. This transition aligns with the broader industry trend toward electrification, further emphasizing the importance of EVs in future business strategies.
The positive sales figures from GM and Ford reflect an industry-wide trend of recovery and adaptation. Toyota recorded a 3.7% increase in sales, yielding over 2.3 million vehicles, even while experiencing a 7.1% decline in December. Honda and Hyundai also contributed to the thriving automotive landscape, reporting respective increases of 8.8% and approximately 4%, with Honda selling 1.4 million vehicles and Hyundai surpassing 836,800 units.
Kia, too, recorded significant growth with its U.S. sales reaching 796,488 vehicles, marking a 1.8% increase from the previous year. These statistics illustrate a collective resurgence of consumer confidence in the automotive market, contributing to an optimistic outlook.
2024 marks a pivotal year for the automotive industry as major manufacturers begin to witness the fruits of their labor following a challenging few years. With the promise of continued innovation in electrification and a steadfast commitment to customer satisfaction, automakers are poised for sustained growth. As the industry evolves, embracing both traditional and electrified vehicle offerings will be critical in meeting consumer demands, navigating challenges, and carving out a robust future in the ever-competitive automotive landscape.