U.S. auto sales took a big step back in September, setting the stage for hefty incentive spending by carmakers struggling to clear old models from dealers' inventory.
Deliveries of cars and light trucks may have slumped in September by about 12 percent, the average of six analysts' estimates. Nissan Motor Co.'s big drop led declines among the major companies reporting Tuesday, as the carmaker continues to struggle in the post-Carlos Ghosn era.
The sales slowdown has the potential to put auto dealers already struggling with shrinking profit margins in an even more precarious position. With outgoing model-year vehicles clogging up their lots, automakers had to pony up record incentive spending of more than $4,100 a vehicle in the third quarter, according to researchers at J.D. Power and LMC Automotive.