U.S. auto sales may be slowing, but they're still expected to set a record in the first six months of this year.
Sales through June were expected to be up 2 percent over last year to 8.66 million.
That was partly due to a strong June, which saw sales rebound after a disappointing May. Sales were expected to rise 5.4 percent to more than 1.5 million.
Ford, Honda, Fiat Chrysler and Nissan all reported gains for the month. Sales were down at General Motors, Toyota and Volkswagen.
After six straight years of growth — and record sales of 17.5 million last year— U.S. sales are beginning to plateau. In the first six months of last year, for example, sales were up 4 percent, or double the pace of this year. But low gas prices, low interest rates, enticing new vehicles and strong consumer confidence should keep them at a very high level.
General Motors Co. said its sales dropped 2 percent to 255,210, due in part to ongoing cuts in sales to low-profit rental car companies. GM said its rental sales are down 37 percent so far this year. Cadillac sales were up 6 percent and Chevrolet sales were flat compared to last June, but Buick and GMC sales were down.
Ford Motor Co.'s sales rose 6 percent to 240,109. Sales of its F-Series pickup — the nation's best-selling vehicle — jumped 29 percent to nearly 71,000 vehicles, or more than one every minute. But car sales fell 12 percent thanks to Americans' growing preference for SUVs. Sales at Fords luxury Lincoln brand were up 6 percent.
Toyota Motor Corp.'s sales fell 6 percent to 198,257. The company said short supplies of Toyota SUVs were partly to blame, along with weak sales of cars like the hybrid Prius, which sales slump 27 percent. Sales of the company's luxury Lexus SUVs were up 11 percent.
Fiat Chrysler said its June sales rose 7 percent to 197,073. Jeep sales jumped 17 percent and Ram truck sales were up 14 percent. But car sales suffered. Chrysler brand sales fell 20 percent, while Fiat sales dropped 19 percent.
Honda Motor Co.'s sales rose 3 percent to 138,715 vehicles. The Honda brand saw increases in both car and truck sales, but sales at the company's luxury Acura brand dropped 27 percent.
Pickup truck sales; it looks like mid-size pickup trucks are the real winners so far this year. From 24/7 Wall Street:
- After a rather dismal month of May, pickup truck sales improved somewhat in June, and the leading full-size pickup opened up a wider lead on its competitors. After a disappointing May, Ford Motor Co. saw sales of its F-Series pickups rise to more than 70,000 again in June.
- Ford sold 70,937 F-Series full-size pickups the month of June, a whopping year-over-year increase of 28.6%. Compared with May 2016 sales of 67,412, that’s a gain of 5.2%.
- GM: Silverado pickups dropped 3.7% y-o-y. GMC's Sierra trucks dropped almost 8% y-o-y. GM's mid-size Colorado rose 38% y-o-y.
- Ram: a gain of 14% y-o-y.
- Toyota: down 5% y-o-y. Titan sold only 896 units in June, vs 9,433 Tundras. The good news is that Toyota's mid-size Tacoma p/u, with almost 16,000 units sold, held its place as the leader in this space.
- Nissan's mid-size Frontier is up 84% y-o-y.
A Note for the Granddaughters
Valiant Ambition: George Washington, Benedict Arnold, and the Fate of the American Revolution, Nathaniel Philbrick, c. 2016.