Honda is hoping new 2011 models like the CR-Z will help push sales back into the plus category.
Car sales bounced back in July after sputtering a bit in June as Auto Data estimated the annual sales rate in July hit 12.1 million units.
But the comeback in sales wasn’t uniform as some brands posted double digit increases while major brands such as Toyota and Honda actually reported declines in overall sales.
American Honda Motor reported sales dropped 5.6% for the combined Honda and Acura brands, to 112,437 vehicles. Honda was one marque to score significant gains from the Clunkers program, which generated significant traffic in July 2009 and made it more difficult to score gains for July 2010.
Overall Toyota sales dropped 6.8% to 169,224 units, despite the hefty incentives it has been offering in recent months. Toyota Motor Sales vice president Bob Carter insisted the Japanese giant was pleased with its sales performance, blaming the drop in July volume on last year’s “Cash For Clunkers” program.
While the two leading Japanese automakers found it difficult to pull year-over-year gains when comparing their latest numbers with Clunker-driven July 2009 volumes, Hyundai was able to pull off another strong showing. Though it was also one of the biggest beneficiaries of the incentive program, Hyundai said its sales increased by 19% compared with the same period a year ago – in fact, it set an all-time sales record for the month of July.
Nissan, the third of the Japanese “Big Three,” bucked the downward trend, reporting a 14% sales increase for July thanks to strong showing of the new Rogue crossover. Subaru also posted a double-digit sales increase and Mitsubishi reported a 16% gain in sales. But Suzuki’s sales continued to drop, raising further concerns about the maker’s long-term viability in the American market.
The smaller Korean maker, Kia, also posted record July sales of 35,419 units, a 20.7% increase from July 2009. Year-to-date Kia sales have increased 16.3%.
Volkswagen of America Inc. also reported a 16% increase over July 2009. It was VWoA’s 13th consecutive month of sales growth.
Other German brands, including BMW, Audi and Mercedes Benz all posted double-digit increases while Porsche reported a 75% increase in sales. The loser among the German makers was Smart, which continues to struggle, its July volume falling by 60% across the U.S.
The downturn at Toyota and Honda seemed to only help General Motors, Ford Motor Co., and Chrysler Group, each of the Detroit Big Three reporting increased July sales.
Chrysler noted that July marks the fourth consecutive month of year-over-year sales increases a significant turnaround for the company. Overall, 13 Chrysler vehicle lines improved their year-over-year sales, with the maker’s Chrysler, Dodge, Jeep and Ram brands collectively up 5% in July.
“The all-new 2011 Jeep Grand Cherokee is drawing customers into our showrooms, setting the pace and standard for our company, and generating positive reviews both nationally and internationally,” said Fred Diaz, president and CEO – Ram Truck Brand and lead executive for U.S. Sales.
Ford Lincoln and Mercury July also increased 5%. And the maker may be positioned for further growth as key pieces of its 2011 product line-up fall into place. The 2011 Fiesta is on its way to 3,000 sales in its second month in America and the new 2011 F-Series Super Duty and Mustang also had did well in July, the big pickup scoring a 63% jump in July, while Mustang’s retail sales increased 43%.
“With our broad range of products, Ford is connecting with consumers,” said Ken Czubay, Ford vice president, U.S. Marketing, Sales and Service.
GM’s sales increased by 5.4% but sales of Chevrolet, Buick, GMC and Cadillac, the four brands that survived last year’s bankruptcy, increased by 25%. July marks the 10th straight month in which total and retail sales for GM’s brands increased year-over-year, demonstrating the continued strengthening of each brand in the marketplace as GM continues to rebuild momentum a year after its re-launch as a new company.
“When we say we want to design, build and sell the world’s best vehicles, we’re not talking about just one vehicle, one brand, or one month,” said Don Johnson, GM vice president, U.S. Sales Operations.