General Motors said Tuesday that its U.S. new vehicle sales rose 14 percent last year, amid a broader auto industry rebound driven by a strong economy and better supply of critical components.
The company sold 2.6 million cars and light trucks in 2023, up from 2.3 million in 2022, when computer chip shortages prevented GM and other manufacturers from producing as many cars as consumers wanted to buy.
But in a potentially worrying sign for the company, sales rose just 0.3 percent in the final three months of the year. That suggests demand for cars and trucks weakened late in the year as the Federal Reserve’s interest rate increases have made car purchases more expensive.
Separately, Toyota Motor, the second-largest auto seller in the United States after GM, said its 2023 sales rose 7 percent to 2.2 million vehicles. The company’s sales in the fourth quarter were 15.4 percent higher than the same quarter last year.
Sales of electric vehicles increased last year, reaching more than one million in total for the first time. But the purchase of battery-powered cars and trucks is growing at a slower pace than manufacturers expected, forcing GM and other companies to adjust their production plans.
GM sold nearly 76,000 electric vehicles last year, up from about 39,000 in 2022. A large majority of those sales were of two versions of the Chevrolet Bolt, which the company stopped producing.
The company’s shares fell about 2.5 percent around midday Wednesday.