GM Car Sales Fell 18% in April

General Motors Corp. Tuesday said U.S. April sales fell 7 percent, driven by a slump in car sales which offset a slight increase in demand for its new line of full-size sport-utility vehicles.

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Results are not adjusted for the extra selling day in April 2005.

The world's largest automaker said it sold 345,404 vehicles last month.

GM's U.S. car sales fell 18 percent in April, offsetting a 2 percent rise in truck sales.

GM, which lost $10.6 billion in 2005 and has been losing U.S. market share to foreign rivals, pulled back aggressively on low-margin sales to fleet operators last month and saw its newly launched line of SUVs buck an industrywide downward trend in that segment.

Analysts have said both moves bode well for GM's attempt to reverse losses in the U.S. market, even as the No. 1 automaker loses share to Japanese rivals.

The Chevrolet Tahoe, GMC Yukon and Cadillac Escalade — GM's new line of SUVs — combined for a 15 percent sales gain in April, the company said.