A recent industry report from renowned consultants, J.D. Power and GlobalData, indicates a projected upswing in new vehicle sales within the United States for the upcoming month of August. This surge attributed to an enhanced supply chain and robust demand for personal transportation solutions.
The comprehensive report forecasts that new vehicle sales in the U.S. encompassing both retail and non-retail transactions poised to attain approximately 1,354,600 units in August. This figure reflects a substantial increase of 15.4% compared to the corresponding period last year.
Thomas King, the President of J.D. Power’s data and analytics division, noted that dealerships are consistently making sales even before the physical arrival of vehicles at their premises. The report highlights that the augmented inventory levels have now enabled a larger pool of potential buyers to secure vehicles directly from dealer lots.
Notably, retail inventories anticipated to escalate by 48.4% in August compared to the previous year. This accumulation of inventory, however, could potentially exert downward pressure on dealers’ profitability. This is particularly significant in the context of prevailing elevated interest rates.
The financial outlay by consumers on new vehicles estimated to reach an unprecedented $47.8 billion in August, marking a remarkable 10.5% surge from the previous year—a record high for the month of August.
Interestingly, an anticipated decline of 1.2% in new-vehicle transaction prices compared to the previous year. This attributed to the growing preference for smaller vehicle segments, which inherently command lower transaction prices.
In a broader global context, the report envisions total sales of 86.8 million units for the year 2023. This figure represents a revision from the earlier estimate of 86.4 million units. The adjustment attributed to ongoing enhancements in supply chain dynamics.
Looking ahead, September’s focus will likely shift to the possibility of work stoppages within the automotive manufacturing sector. Such disruptions could exacerbate market imbalances and potentially prolong the prevailing constraints in supply.
As the report looks even further into the future, it projects global light-vehicle sales to reach 90.2 million units in 2024. This underlines the sustained growth trajectory within the automotive industry.US New Vehicle Sales Expected to Shine with 15.4% Surge
Nada used car values provides updated news related to the automobile industry regularly. The article above mentioned sourced from Reuters.