New vehicle sales continue trending upward, nationwide and locally

New vehicle sales continue trending upward,

nationwide and locally

Toyota Motor Corp. predicts U.S. auto sales this year will top out at between 11.2 million and 11.5 million, which is up significantly from the 2009 low of 10.4 million, but less than some analysts had projected earlier this year, and a ways to go to reach the 13 million level of 2008.

Reflecting that reality, new sales figures for the Washington metropolitan region indicate sales are trending upward, here as well with WANADA member dealerships likely to retail approximately 230,000 units by year end. That would be up some 30,000 units from the previous year, but still below levels of four and five years ago when Washington area franchise dealers here retailed just over 300,000 new cars and trucks.

“The bad news is that lingering high unemployment and erratic stock prices are restraining consumer confidence and spending,” said Toyota vice president for product communications, Jim Colon, at a meeting of the Washington Auto Press Association on Wednesday.

“Our forecast is for industry sales this year to reach between 11.2 and 11.5 million vehicles,” he said, noting that some industry analysts were likely too optimistic a few months ago in predicting sales of 12 million to 13 million.

“The truth is, the industry is on the mend, but the economic recovery is much slower than many forecasted earlier this year,” Colon said. “Looking ahead, we expect our industry to continue its steady path to recovery.”

Looking further ahead, Colon said Toyota sees significantly improved sales as inevitable, noting that the aging of the vehicle fleet was creating a significant amount of pent up demand. “It’s not a matter of if but rather when, he said.

R.L. Polk figures, comprising the basis of WANADAs Area Report, indicate sales through June are up 13 percent over the same period last year, with import car sales up 10.2 percent and truck sales up a whopping 35.5%, accounting for most of that gain. (It is noteworthy, also that most of these vehicles are produced in the U.S.).

Market share in the Washington area continued to tilt strongly toward imports with the share rising to nearly 81% compared to approximately 78% for the same period in 2009.

WANADA dealer members can access the full ten localities Area Report at www.wanada.org.

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