ARLINGTON, Va.—Sales of new cars and trucks in the U.S. fell 3.7% in August, according to Autodata Corp., and depressed sales are likely to continue into September, said NAFCU Research Assistant Yun Cohen in a NAFCU Macro Data Flash report.
August's annualized selling pace was 16.14 million, more than a million below the pace a year ago. It was also the slowest seasonally adjusted annual selling pace since early 2014, Cohen said.
While Hurricane Harvey is viewed as taking a toll on last month's lower-than-expected growth, Cohen said "replacement needs will likely give a boost to vehicle sales later this year and in 2018." There are an estimated 300,000 to 500,000 lost or damaged vehicles in the Houston area, which CUToday.info previously reported. Cohen also expects used-car prices to rise in coming months as a result.
Auto sales have been a strong indicator of the country's recovery since the Great Recession, rising seven straight years and hitting a record 17.5 million new vehicle sales last year. However, August marks the fourth straight month with sales below 17 million seasonally adjusted, annualized units, making it unlikely the streak will continue, Cohen said.