Ford Motor Co. and Toyota Motor Corp. have joined rival automakers in extending zero percent financing programs for several weeks.
The industry's discount programs have fired up U.S. auto sales, strained inventories and distressed Wall Street, according to the Wall Street Journal.
The big question for the U.S. auto industry is what happens after Thanksgiving. Some dealers say they are optimistic that demand will
hold up, and are worried about being short of cars. So far, auto makers have said they will stick to production schedules they have made for the coming months, a sign executives are uncertain where demand will settle once the
special programs expire, according to the Journal.
Dealers and auto-industry officials agree that customer response to the zero percent deals is overwhelming, leading to blockbuster volume for October. Dealers generally favor any manufacturer-backed incentives that make cars and trucks cheaper for customers, because the discounts come out of manufacturers' profit
margins, not dealers'.
Dealers have been pressing automakers to extend
the zero percent financing programs.
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