US Auto Sales up 8 Percent In June – JD Power
J.D. Power and Associates, one of the top automotive consultant and analyst in the world, said that US car sales may likely increase by eight percent in June 2011, but it has cut full-year outlook due to uncertainties in overall US economy.
Automotive industry consultant and analyst J.D. Power and Associates on Friday said it expect US car sales to increase by almost a tenth in June this year following earlier pronouncements by General Motors Co. and Ford Motor Co. executives.
J.D. Power said US auto sales may likely hit an eight percent increase to 12 million in June 2011, compared to 11.1 million vehicles sold in the same period in 2010; while car sales is expected to increase by 2.6 percent from 11.7 million in May 2011.
But the industry research firm said that the retail sales in June – excluding bulk fleet sales to government, business, and rental agencies – would likely increase to 9.9 million vehicle sold, or 6.5 percent increase at an annualized basis from May 2011.
Retail sales are key indicators for the auto industry since it provides better outlook on consumer demand, and are generally more profitable for automakers and dealers.
Meanwhile, J.D. Power has cut its full-year auto sales forecast to 12.9 million from 13 million vehicles, citing the “greater” uncertainty in the overall growth of the US economy for second semester.
Also, the research firm also said that slow down in production due to the March 11 earthquake – which has left four prefectures in Japan in ruins – has greatly affected the supply in the United States.