July Sales of New Vehicles Expected to Slip, Edmunds Forecasts
Analysts predict sales to begin slowing down after a strong start to the first half of the year
Santa Monica, CA — July 25, 2018 — Edmunds forecasts that 1,378,108 new cars and trucks will be sold in the U.S. in July for an estimated seasonally adjusted annual rate (SAAR) of 16.7 million. This reflects a 10.7% decrease in sales from June 2018 and a 2.3% decrease from July 2017. Edmunds experts note that an unseasonably strong June may have played a role in pulling ahead sales.
“July sales are looking reasonably strong, but we’re starting to see the first signs of speed bumps on the road ahead,” said Jeremy Acevedo, manager of industry analysis at Edmunds. “With market factors such as rising interest rates keeping shoppers at bay, we expect to see a continued slowdown of the vigorous sales pace that the industry experienced in the first half of the year.”
Edmunds experts note sales experienced a lift in the first half of the month thanks to Fourth of July sales, but then dropped in the second half of the month.
“Sales likely slowed down due to a dry-up of deals as automakers wrapped up Fourth of July sales,” said Acevedo. “As consumer wallets get increasingly squeezed by rising prices through the second half of the year, holiday sales events may play an increasingly significant role in getting shoppers to the dealership.”
SALES VOLUME FORECAST, BY MANUFACTURER
|Sales Volume||July 2018 Forecast||July 2017||June 2018||Change from July 2017||Change from June 2018|
*GM sales totals for June 2018 are estimated
**NOTE: July 2018 had 24 selling days, July 2017 had 25, and June 2018 had 27.
Edmunds estimates that retail SAAR will come in at 14.3 million vehicles in July 2018, with fleet transactions accounting for 14.4% of total sales. An estimated 3.4 million used vehicles will be sold in July 2018, for a SAAR of 39.5 million (compared to 3.2 million—or a SAAR of 39.2 million—in June).
MARKET SHARE FORECAST, BY MANUFACTURER
|Market Share||July 2018 Forecast||July 2017||June 2018||Change from July 2017||Change from June 2018|
More insight into recent auto industry trends can be found in the Edmunds Industry Center at www.edmunds.com/
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Talia James, Edmunds, 310-309-4900, PR@edmunds.com