JD Power - Auto Sales Trends down 5.2% in August
August U.S. auto sales will be 5.2 percent below a year ago, adding to evidence that the peak of industry sales was in 2015, consultancies J.D. Power and LMC Automotive said on Thursday."With mixed economic signals, it certainly looks like U.S. auto sales may have peaked in 2015," said Jeff Schuster, head of forecasting at LMC. "However, it is important to focus on the sustainable high level of demand. Peak does not mean doom and gloom, and while the industry faces risk, it is not destined for a pullback.”
This is the fourth new vehicle sales decline in the last six months. John Humphrey, Senior Vice President of JD Power said. "Following 66 consecutive months of retail sales growth that began in September 2010, we've seen four declines in the past six months, and this much of a pullback in August will be a disapointment for the industry."
The consultancies said they expect August U.S. total auto sales of 1,492,700 vehicles, from 1,574,938 a year earlier. Automakers will report sales next Thursday.
Retail sales may have been up for auto dealers but, per the prior reports and Ford's recent announcement, incentives are increasing materially in order to sell @ that level, reducing Gross Profits for OEM's and making auto dealer lives a nightmare when trying to achieve the highest levels of OEM "stair step" incentive programs!!!
