July vehicle sales still down, but some brands showing ‘signs of life’

Approximately 173,533 light vehicles were sold in Canada during July 2019— a drop of some 1,784 units compared to July 2018’s sales figures.

Despite the decline — a common refrain every month this year — DesRosiers Automotive Consultants says some brands are showing “signs of life.”

In particular, notable volume was strengthened by FCA (estimated) and Toyota which, thanks to respective increases of 18.9% and 17.2%, added nearly six thousand units to the monthly sales figure.

“July new light vehicle sales settled at just 1.0% below July 2018 performance, a welcome change of pace given recent performance,” the consulting firm said.

Sales increases were also noted at Genesis, Lexus, and Subaru, among others.

Nonetheless, a majority of the Canadian brands recorded declines for the month, most notably Ford, Nissan, and Volkswagen, which were jointly down over five thousand units.

Year-to-date sales dropped 4.8% by the end of July, falling nearly sixty thousand units behind 2018 figures with decreases among many higher volume brands. As the market exits the hot summer selling season, a decline is looking more and more likely for year end.

Analysts at IHS Markit said incoming, but incomplete U.S. light vehicle sales suggest a sales pace for July that should be below the May and June levels of 17.5 and 17.2, respectively, but above the 16.5 million unit pace in April.U.S. auto sales

Chris Hopson, manager of North America light vehicle sales forecast for IHS Markit, said, “Looking into the second half of the year, IHS Markit expect similar volume results, resulting in a total 2019 light vehicle sales volume estimate of 16.8-16.9 million units.”

www.desrosiers.ca