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General Motors Co, the largest U.S. automaker, reported a 1.5 percent increase in September auto sales on the strength of its passenger car sales, while Ford Motor Co posted sales that were on par with its results from a year earlier.

General Motors Co. announced on Friday a big recall of Chevrolet, Pontiac and Saturn mid-size sedans to fix a transmission problem that could cause the cars to roll away after the driver has left the vehicle.

"If he [Obama] didn't come through and give that vote and say, 'Yes we have got to save Chrysler. We have to save GM. We've got to do this,' all this Sterling Heights would have been gone, would have been dead."

The Obama administration accused China of unfairly subsidizing its exports of autos and auto parts, while China filed its own trade case against the United States.

Retail sales in the U.S. increased in August by the most in six months, boosted by demand for automobiles along with higher gasoline prices that left consumers with less to spend on other goods. The 0.9 percent gain followed a revised 0.6 percent advance in July that was smaller than initially reported, the Commerce Department said today in Washington. The median forecast of 84 economists surveyed by Bloomberg called for an increase of 0.8 percent. Sales slowed at department stores, apparel retailers and electronics outlets.

Strong pickup demand fueled a big jump in U.S. auto sales last month. GM's August U.S. sales rose 10 percent compared with a year earlier, while Ford's rose 13 percent and Chrysler's 14 percent. Most automakers reported strong gains as Americans flowed into dealer showrooms, drawn by model-year closeouts, low-interest financing and appealing new models. Analysts expect overall sales to rise around 20 percent when companies finish reported later Tuesday.

A Hong Kong-owned company says it has completed the acquisition of bankrupt car maker Saab and will move ahead with its business plan to make electric cars under the Swedish brand.

Every week, Chrysler demonstrates some new phase of its determination to transform its three-year-old lifeline into solid viability — dare we even say, success? The company that has come to define corporate melodrama over the last 30 years looks more and more like the formidable long-term player that Chrysler never quite has been until now.

Honda wants to silence its critics when it rolls out the new Accord this week. The automaker, chastened for cheapening the Civic compact earlier this year, says that won't happen with the midsize Accord.

Dutch sportscar maker Spyker said on Wednesday that General Motors has been served with the complaint that Spyker filed against it earlier this week and that GM is due to respond by August 28.