Winners and Losers for January Car Sales 2018
US light-vehicle sales increased by 1.2 percent last January due to light truck demand, and even the cold weather can’t stop consumers.
17.18 million became the seasonally adjusted yearly sales rate for the month of January, which is spot on with the Bloomberg analysis, although this was lesser than January 2017 which raked in 17.43 million as well as December’s impressive 17.86 million rate.
Higher fleet shipments, such as the brands GM, Toyota and Nissan, were instrumental in achieving this feat, which is delivering 1,157,407 cars and light trucks in January. Considering this month is historically the weakest, this is a great development.
Fleet deliveries increased by 48 percent in the previous month for Nissan while Toyota got 69 percent.
“We’re encouraged by the strength of the market,” Toyota Division general manager Jack Hollis stated.
Toyota Motor Corp. has achieved its largest US sales in almost four years while Fiat Chrysler, on the other hand, met a decline by double digits as car manufacturers are met with varying fortunes.
With a 17 percent advance, Toyota is able to achieve its biggest monthly jump, with May 2014 as the last time it was able to do such feat. Coming from a boost from fleet sales, GM was able to record its fourth-straight monthly gain, as a 10 percent volume increase was met by Nissan Motor.
Ford Motor Co., on the other hand, had a 6.3 percent decline after a four-month winning streak. FCA US continued down a slippery slope, unfortunately, as it had 17 months of sales decline, pushing the company to slash fleet deliveries.
Company by Company
GM was able to attain a 1.3 percent advance in the previous month. Chevrolet got a 5 percent volume increase which can be attributed to truck and crossover demand. Buick obtained a 4 percent increase, while GMC and Cadillac dropped by 11 percent and 3.9 percent respectively.
GM retail deliveries had a minor decrease of 2 percent while it got a 16 percent increase in fleet sales. Combined government and commercial deliveries rose by 44 percent as they had a decrease by 7 percent in daily rental volume.
As far as setting the bar high, the Chevrolet Equinox, Traverse, Trax and Bolt EV had great numbers in terms of US sales. There was a 25 percent spike in Colorado pickup demand while the Silverado volume went up by 15 percent.
Ford Motor met a not so good fate as it was greeted by a 6.3 percent decline, which can be attributed from a 12 percent drop in fleet shipments and a 23 percent decline in car volume.
Ford and Lincoln got a decline in deliveries by 5.2 percent and 27 percent respectively. Ford also had a 4.3 percent decrease in retail sales last month on top of the fleet volume decline.
There was a volume slip of 1.7 percent in January for Honda’s CR-V and Accord. Deliveries had a decline for Honda by 1.6 percent and 3.2 percent for Acura.
Nissan Motor Co. has stated they had a 10 percent increase in sales, with the Nissan brand having a 12 percent increase while Infiniti went down by 8 percent. There was an 18 percent gain for the combined sales of Nissan brand crossovers, trucks and SUVs for the month of January.
It was a 13 percent fall in sales for FCA. While the 111,577 retail volume increase attributes to 2 percent of good news, fleet shipments were still off by 50 percent. While Jeep had a fortunate 2.2 percent increase, Ram, Chrysler, Dodge and Fiat brands met a decrease of 16 percent or more.
Sales went up for Kia, same for Subaru with 1.1 percent, Mazda with 15 percent, Volkswagen with 5.2 percent, and Mitsubishi with 31 percent. Hyundai, on the other hand, dropped by 11 percent.
As for companies that provide luxury cars, January deliveries went up by 61 percent at Volvo, 5 percent at BMW and Land Rover, 4.7 percent at Porsche, and 9.9 percent at Audi. Unfortunately for Jaguar and Genesis, both dropped by 11 percent.
“Optimism for a solid 2018 seems to be growing,” head of forecasting at LMC Automotive Jeff Schuster mentioned. “Most variables are aligned favorably, with the majority of that positive weight being carried by an expected boost in the economy. The tax cut is expected to help drive the economy toward the 3 percent growth level, which we haven’t seen since 2005.”