ARLINGTON, Va.—Total vehicle sales decreased in November to 17.48 million seasonally adjusted, annualized units, falling below the 18-million-unit mark that was exceeded the prior two months.
NAFCU Research Assistant Yun Cohen, in a NAFCU Macro Data Flash report, attributed the decline to waning hurricane-related replacement demand.
"Looking ahead, sales are expected to trend down further due to waning demand," Cohen said. "In addition, banks are tightening standards on auto loans, according to a recent survey by the Federal Reserve, which could lead to credit constraints."
Although total sales were down, Cohen highlighted the record-high average transaction price of $35,870 as people bought more expensive light trucks. She also noted higher incentive spending in the market.
"Incentive spending remained elevated … as automakers push to clear 2017 inventory," Cohen said. "According to J.D. Power, the estimated average incentive spending per unit reached $4,065 – the highest level for the month of November."
October's rate of vehicle sales was 18.09 million annualized units. Monthly sales levels in November were down 1.3% from a year ago, Cohen said.
According to data by Autodata Corp., car sales decreased from 6.6 million to 6.4 million annualized units during the month. Sales of light trucks continued to decrease, dipping from 11.5 million to 11.1 million annualized units, Cohen noted.
Three of the six largest automakers reported increases in their year-over-year sales numbers. Nissan reported the largest gains in sales at 13.9%, followed by Honda (8.3%) and Ford (7%). Fiat Chrysler Automobiles sales were down 3.7% compared to last year, followed by Toyota (-3%) and General Motors (-2.9%).