DENVER (CBS4) – Car shoppers have had a lot of company in car showrooms lately. Automakers are seeing the biggest increase in new vehicle orders in eight years.

The orders were up nearly 10 percent for July and the increase applies to car parts as well as new vehicles.

Chevrolet’s new Cruze gets 36 miles per gallon on the highway and is nicely equipped with a cost of just $23,000. Ed Tomlinson is ready to buy one.

“Because of its size, its price and the miles per gallon. It’s that simple,” Tomlinson said.

At Medved’s Autoplex the surge in factory orders is welcome news.

“It’s a little easier to get up in the morning now, I want you to know that,” owner John Medved said.

Medved admits the last four years have been rough for the car business, but 2011 has seen a turnaround. Car vehicle registrations in the state are up 21.7 percent for the first six months, according to Tim Jackson, executive director of the Colorado Automobile Dealers Association.

“I don’t know any other industry that was up that much,” Jackson said.

It’s happening because car factories are building far fewer vehicles than they used to and Americans are scrapping millions of worn out cars every year.

“Consequently, you have a shortage of vehicles, period, whether they be new or used,” Medved said.

Medved says the current buying fever is partially explained by supply and demand.

“Cash for Clunkers” was supposed to be the savior for car dealers, but surging factory orders are even better, according to Jackson.

“It’s solid growth in a growing market for new cars,” he said.

“Sooner or later we’re forced to replace our old vehicles regardless of the economy,” Tomlinson said.

The surge in orders for July is being widely felt. It applies to international brands with factories in the U.S. as well as American car makers.


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