Detroit Bureau on Twitter

Posts Tagged ‘new vehicle sales’

Auto Industry Survives Storm as August Sales Hold Steady

Hurricane Harvey takes bite out predicted sales.

by on Sep.01, 2017

August new vehicle sales remained steady despite Hurricane Harvey's impact on Texas and Louisiana. Photo credit: Brendan Strong

With the rain from Hurricane Harvey still flooding into dealerships in Texas and Louisiana, new car sales held steady in August as carmakers and analysts assessed the impact of the massive storm.

Analysts initially predicted that August sales would rise as much as 2%, making it the first monthly year-over-year increase in 2017. However, Harvey took out more than a week of sales in Texas, one of the largest markets in the U.S.

We Keep You in the Know!

General Motors, Toyota and Audi all reported sales increases for the month, while Ford, Nissan and Fiat Chrysler N.V. said sales dropped.  (more…)

Automakers Expected to See Sales Increase in August

Light trucks expected to lead the way.

by on Aug.25, 2017

New car sales are expected to rise, especially at GM where new utes, like the Chevy Traverse, are expected to see increases.

Sales of new vehicles in August are expected to increase 1.5% year-over-year, snapping a seven-month string in which sales of new cars, trucks and utility vehicles had dropped, according to a new forecast from Kelley Blue Book.

“August should be the first year-over-year increase of 2017, due in part to an extra selling day this month,” said Tim Fleming, analyst for Kelley Blue Book. “This sales improvement would break a seven-month negative streak, the longest since the recession in 2009,” he noted.

News You Can Trust!

One unforeseen factor, which could alter the forecast, is the impact of Hurricane Harvey, which could disrupt sales in a wide area, stretching across Texas and Louisiana. Texas is the second-largest market for new vehicles in the U.S. and the storm is barreling down on the Houston metropolitan area, one of the largest in the U.S. (more…)

Popularity of Leasing Catching Up With Automakers

Companies seeing profits falling on off-lease cars, newly leased crossovers and sport utes.

by on May.30, 2017

Leasing's popularity may cause automakers problems when it comes to profits in the next few years.

The rise in leasing during the last few years has been one of the drivers of the record sales automakers have enjoyed during that time. However, leasing has its downside and that part of the equation is about to hit automakers — hard.

Three years ago, automakers leased 3.3 million vehicles, accounting for about 23% of U.S. sales to individual buyers, according to Automotive Lease Guide. As long as the vehicles hold their value, this isn’t a problem. In fact, it’s a good thing because it gives automakers a steady stream of higher-profit used cars to sell.

News You Can Trust!

This is good for cars because they made up about half of vehicles leased at that time. However, now that the popularity of cars has fallen, this is likely to cause problems for the makers. (more…)

Crossover Sales Rage May be Hitting Peak

Analyst believes CUVs will top out at 40% of market.

by on May.26, 2017

The era of the crossover, or ute, is nearly over, according to one analyst; however, not everyone believes that prediction.

The end of the crossover boom could be approaching its peak even as car makers continue to push new models into showrooms, says a top automotive analyst.

As he presented the annual “Car Wars” study, John Murphy of Bank of America Merrill Lynch told the Automotive Press Association that the CUV market share now stands at 35%, but even as new, luxury models enter the segment 40% could be the limit.

News You Can Trust!

In the past, the “Car Wars” studies pointed to the fact that Asian car makers were generally replacing vehicles in their showrooms with new models at a faster rate than their North American and European models. (more…)

April Showers Aren’t Bringing May Auto Sales in the US

Monthly sales expected to remain flat compared with last year.

by on May.25, 2017

May auto sales in the U.S. are expected to remain flat despite plenty of incentives aimed at luring buyers into to showrooms.

New vehicle sales are expected to remain flat year-over-year during May at a total of 1.53 million units in May 2017, resulting in an estimated 16.7 million seasonally adjusted annual rate, according to analysts at Kelley Blue Book.

“We could see a positive month for the industry for the first time this year in May, but Kelley Blue Book expects totals to finish about even year-over-year, despite one extra selling day in 2017,” said Tim Fleming, analyst for Kelley Blue Book.

Sales News!

“Retail numbers for May are expected to finish strong, however they continue to be supported by considerable incentives and lease subvention. In recent months, leasing appears to be reaching its peak, which is expected, given declining residual values, which is contributing to this year’s slowing sales,” he said. (more…)

Automakers Hoping Trump Infrastructure Plan Will Stave Off Sales Slump

Demand could rebound, especially for work trucks, says Toyota’s Lentz.

by on May.04, 2017

Toyota's Jim Lentz believes the key to U.S. auto sales rebounding in 2017 is held by Donald Trump and his infrastructure plan.

April’s weak sales numbers have flagged growing concerns that the U.S. auto market is finally set to slide after seven consecutive years of growth.

But at least one senior industry official is betting that the market could rebound if and when President Donald Trump can implement the big infrastructure program he has been calling for.

Sales News!

“If you get a $1 trillion stimulus, that could add 800,000 units,” Jim Lentz, CEO of Toyota North America, said during a preview of the maker’s expanded technical center near Ann Arbor, Michigan, on Thursday morning. (more…)

Some Up, Some Down as Automakers Report January Sales

Strong consumer confidence yields record for Hyundai, but numbers slump at GM, Ford and Toyota.

by on Feb.01, 2017

Dusting the competition: Ford was down overall, but had a spectacular month for F-Series.

After a robust finish to 2016, new vehicle sales slowed in January, though generally remained healthy enough overall to boost confidence for the coming year.

There has been concern within the industry that 2016 brought a peak to the automotive recovery, with analyst and industry planners watching to see if and when things would begin to cool off. The good news they got was that, with a few exceptions, the new car market appeared to do better than initially forecast – and not only were sales relatively solid but consumers continued buying more expensive products.

Subscribe for Free!

The numbers were decidedly mixed, industry giants General Motors, Toyota and Ford all reporting year-over-year declines for January. But Nissan’s sales were up for the month, and a number of automakers scored new sales records, including Hyundai, Audi and Nissan’s luxury arm Infiniti. Auto industry analysts had been anticipating declines of anywhere from 0.7% to 2.7% — according to TrueCar and KelleyBlueBook, respectively. But even for many of those makers who did suffer sales dips in January, the news wasn’t all bad.

(more…)

New Vehicle Sales Remain Flat in September

Utility vehicles and trucks still leading the way.

by on Oct.03, 2016

Not even the F-Series could save Ford's sales in September: the trucks were down 3% while Ford was down 7.7%.

Sales of new vehicles remained flat during September as domestic manufacturers, General Motors Co., Ford Motor Co. and Fiat Chrysler Automobiles N.V., reported sales decreases as Japanese rivals posted modest increases for the month.

Ford was one of the biggest losers reporting an 7.7% drop in sales. Even sales of the F-Series pickup trucks fell.

Sales News!

“We continue seeing strong customer demand, especially for vans and pickup trucks, including our all-new Super Duty,” said Mark LaNeve, Ford vice president, U.S. Marketing, Sales and Service.  (more…)

Dismal August May Result in Fall Sales Renaissance

Smaller makers enjoyed strong sales.

by on Sep.02, 2016

Subaru was one of many smaller automakers that defied the trend of sales losses, in some measure due to strong Outback sales.

August was the first tough month for U.S. new vehicle sales that automakers have faced in some time with sales falling 3.5% compared to the year ago results.

General Motors, Ford, Toyota and Nissan all took hits of more than 5% on the month. Honda sales were down 3.8% for August, but the Japanese maker was expected to post an increase of 2.5% by most estimates.

Sales News!

As usual, utility vehicles and trucks sold in big numbers – with the F-150, Chevy Silverado and GMC Sierra being notable exceptions – for automakers while passenger cars continued their long slide out of favor with the buying public. (more…)

Buyers Take a Breather as August Auto Sales Slump

Makers hoping for strong September to regain momentum.

by on Sep.01, 2016

New vehicles sales hit the brakes in August as buyers appeared to take a break from the market.

Sales of new vehicles stumbled in August and as a result General Motors, Ford, Nissan and Toyota all reported significant drops sales year over year but transaction prices continued to increase right along with incentives, analysts said.

But Fiat Chrysler Automobiles N.V., which has come under for its reporting methods, said its sales increased 3% last month thanks to a strong showing by the Jeep brand, which continues to win new customers with its sport utility vehicles.

The Journal of Record!

Audi also posted a 2.5% sales increase, but Volkswagen, which has been in year-long sales slump, said its sales dropped 9%. (more…)