Evening star., 1947-07-17
Auto Buyers Market
Unlikely for Years,
Industry Believes
By the Associated Press

DETROIT, July 17.-Next to prob
able mechanical changes in the 1948
model automobiles the hottest sub
ject of speculation in motorcar cir
cles right now is when the average
individual will be able to get car
new or used-without paying some
form of premium for it.
1t has been fairly well established
that automatic gearshifts and trans
missions will be offered as optional
equipment on most makes in 1948,
but there is a wide divergence OF
opinion as to when the buyers mar
ket will return.
The guesses range all the way
from "next spring" to several years
hence"
The industry authorities who see
normal delivery of new cars still a
long way off declare there can be no
buyers market until balance has
been restored between new and used
cars. That, of course, cannot mate
rialize until the backlog of untitled
new car orders has been liquidated.
Longer Estimate Favored.
At the present rate of passenger
car production the odds would seem
to favor the longer range estimate.
Certainly it is no easier to get de-
livery of a new automobile today
than it was a year ago.
One industry leader who looks for
prolonged continuance OF current
new car demand is Harlow H. Cur
tice, general manager of Buick divi-
sion of General Motors. 1t will be
1851 or 1862, Mr.. Curtice asserts,
before reasonably prompt delivery
may be expected OF. popular makes
OF cars.
He anticipates the production OF
approximately 3,500,000 passenger
units this year and, If steel and
manpower are available in adequate
quantity, the assembly Of probably
4 4,500 900 in 1948.
Those who predict buyers
market by next spring assert 1t
will come as direct result OF
current high prices for both new
and nearly new cars. These prices,
they maintain, have placed auto
mobiles, new or used, beyond the
reach OF many millions of individ-
uals who were buyers before the
war.
Will End Fantastic Prices.
The return of the buyers market.
all industry sources agree, does not
mean an immediate recession in
the car manufacturers business; for
the most part the industry's gen.
eral sales executives will welcome it.
1t will mean the end of fantastic
prices, these officials say adding
that clearer public understand
ing of actual list prices will stimu-
late the market by bringing into
it thousands of persons who have
been frightened by widely advertised
premium prices charged In used
car lots or by low allowances on
used cars traded in with some new
car dealers.
What effect the return of the
buyers market will have on list
prices also is being debated in trade
quarters. Only the extreme opti-
mists in industry circles look for
lower prices; mostly the trade ex-
perts say they cannot see how any
wide departure in styling and en-
gineering can be made in the 1948
models without bringing price in
creases. :: l4ss.si sss &ssssf..'.'.'-s,'
Industry Making Money.
Facing real problems In buy
ers' market will be the new-car
merchandisers who are new to the
business and never have had to
sell in a competitive market.
Generally the industry is max
ing money-in many instances more
than 1t did on war work. But costs
have gone up all along the line,
for material and labor, and pro-
duction has been lower than most
car makers expected in the second
full postwar year.
With the deficits Of last year to
be absorbed and heavy increases in
indirect costs as well as in the out
lay for labor and materials, price
reductions are wholly improbable
for long time to come.