Auto shops thriving

As he walks past the tiny, dingy waiting area into an equally cramped garage, Nui Srisook says business at his car repair shop is thriving.

Sales are up 20% this month and Srisook spends most nights working late in his Hyattsville, Md.-based shop, helping his customers to get extra mileage out of their old cars.

"Most of the customers right now we see, they don't really have much extra money to ... buy a new car. So that's why they just do repair," Srisook said. "And now, people are willing to spend more money on maintaining the car, deciding what is broke, anything that needs to be maintained on the car."

As more cash-strapped Americans turn to do-it-yourself projects and bargain shopping, car repair shops like Srisook's are feeling the boon. Drivers are choosing to keep their old cars longer, and often they're willing to put in the money to do so, observers say.

That was surprising news. We didn't expect that in the midst of the beginnings of the economic woes," Pyle said. "But they are looking at the cost of trying to purchase a new vehicle ... so I think that in relative terms that $1,000 repair to keep a $2,500 car running may be an attractive alternative."

As more cash-strapped Americans turn to do-it-yourself projects and bargain shopping, car repair shops like Srisook's are feeling the boon. Drivers are choosing to keep their old cars longer, and often they're willing to put in the money to do so, observers say.

The Automotive Service Association [ASA] reports their members' sales were up 16% over the last year.

The economic slump has cut automakers deeply. Last month, sales of new cars were down more than 40% compared to the same time last year, according to sales tracker Autodata.

The trend seems to have translated into increased traffic at auto parts stores.Read full news