You are viewing this article in the AnnArbor.com archives. For the latest breaking news and updates in Ann Arbor and the surrounding area, see MLive.com/ann-arbor
Posted on Tue, Oct 30, 2012 : 4:31 p.m.

Superstorm Sandy's auto effect: Big Three could get boost due to car damage

By Ben Freed

While hurricane Sandy has devastated large parts of the East Coast, automakers could get a mini-boost from the storm as people buy new cars to replace the ones that went floating down streets in Manhattan and across the region.

Superstorm_Sandy_cars.JPG

Cars are submerged at the entrance to a parking garage in New York's Financial District in the aftermath of superstorm Sandy.

Richard Drew | AP Photo

According to a Wall Street Journal report, dealerships see a boost in sales over the two months following major storms that can both crush and flood cars. Today, the sensitive electronics found in vehicles make them even more susceptible to the water damage that can be caused by large storm surges.

The Detroit Free Press reported that the Detroit Three of Ford, GM, and Chrysler all reported or will report strong third quarter earnings. While this might not be how they would have wanted it, it looks like they could get a lift in the fourth quarter as well.

Click here to read the full story from the Wall Street Journal.

Ben Freed covers business for AnnArbor.com. You can sign up here to receive Business Review updates every week. Reach out to Ben at 734-623-2528 or email him at benfreed@annarbor.com. Follow him on twitter @BFreedinA2

Comments

Dog Guy

Wed, Oct 31, 2012 : 2:43 a.m.

A few more hurricanes and we'll all be rich, that's basic Keynesian economics.

hmsp

Wed, Oct 31, 2012 : 1:27 a.m.

They say a rising tide floats all boats... But never mind, never mind –– I didn't say that.

Ann English

Wed, Oct 31, 2012 : 2:25 a.m.

Hope we don't see these flooded cars turned into lemons, like some were from Hurricane Floyd's aftermath.