DOW JONES NEWSWIRES
Edmunds.com said the U.S. annual sales rate for new vehicles
will rise in December and reach its highest level of the year,
while nearly all major auto makers are expected to report higher
sales from a year ago.
But senior analyst Michelle Krebs said while the industry was
far better off than a year ago and the trajectory is trending
upward for a brighter 2011, adding, "2010 goes into the history
books as the second worst year for car sales since 1982--second
only to 2009."
Broadly, the industry has benefited from improved sales of
trucks and other large vehicles, a trend that has continued for
months. The pickup in U.S. new-vehicle sales comes after the
industry suffered mightily during the financial crisis, while the
annual sales pace is still one-third less than what was considered
normal prior to the last few years.
Meanwhile, analyst Ivan Drury said the two highly anticipated
vehicles that were launched this month--the Chevy Volt and the
Nissan Leaf--would be good for the brands "to have these green halo
vehicles in the lineup and at dealerships," although they won't
contribute much sales volume.
The car-shopping website estimated the December seasonally
annualized rate for total auto sales in the U.S. to come in around
12.34 million, up from 12.21 in November. The month's sales are
expected to be about 1.13 million units, up 10% from last year.
Meanwhile, five of the six auto makers that Edmunds makes
projections on are expected to report improved results on year,
with Nissan Motor Co. (NSANY, 7201.TO) and Chrysler Group LLC
projected to post the largest increases at 26% and 13%,
respectively. Ford Motor Co. (F), General Motors Co. (GM) and Honda
Motor Co. (HMC, 7267.TO) are expected to post more modest
double-digit gains.
Toyota Motor Corp. (TM, 7203.TO) is forecast to report a 12%
decline. It has been the worst performer of those six companies
this year amid its massive recall in early 2010. If Toyota were to
fall in December, it would be the only one of the big six auto
makers to finish down for the year.
December had 27 selling days, one less than last year.
Edmunds also estimated that average auto incentives in the U.S.
were $2,492 per vehicle sold in December, up 1.1% from the prior
month but down 2.4% from last year.
The combined U.S. monthly market share for Chrysler, Ford and GM
domestic nameplates is expected to be 45.6% in December, down from
46.1% last year but up from 44.4% in November.
-By John Kell, Dow Jones Newswires; 212-416-2480;
john.kell@dowjones.com
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