DETROIT: THE SLUMP PERSISTS
With second-quarter earnings out, the nation's major car makers appear somewhat healthier. General Motors and Chrysler earned more than had been expected, and Ford had its first profit in a year. But the earnings are thin by any measure - G.M., which not so long ago had billion-dollar quarters, is not even expected to reach that total for the year - and they reflect a slimming down of operations rather than any growth. In fact, the United States automobile industry is halfway through its fourth year of recession - depression is the term used here - with little indication that the public plans to return to the showrooms soon. As the assembly lines shut down for the traditional late-summer changeover to 1983 models, industry leaders and analysts alike expect that total sales this year will amount to as few as 8.2 million cars. With imports accounting for 2.2 million, the domestic industry will have sold barely 6 million cars, its worst year since 1961. And inventories of unsold cars stand at a 78-day supply, with 60 days the comfortable norm.
