Car Sales Climb By 6.3 Per Cent In The U.S.

Light-vehicle sales have increased for the first time in the U.S. all year, rising by a respectable 6.3 per cent in September.

Last month was widely expected to return positive results due to the flurry or residents in Texas and Florida looking to replace their damaged vehicles in the wake of Hurricane Harvey and Hurricane Irma. However, Autonews reports that total sales were even higher than expected with a host of carmakers reporting significant sales increases.

For example, Toyota has reported a 15 per cent increase in sales compared to September 2016, resulting in its best sales month in two years. Additionally, GM sales climbed by 12 per cent, Ford by 8.9 per cent and Nissan by 9.5 per cent.

According to GM chief economist Mustafa Mohatarem, the sales increases don’t come because of the hurricanes but because of the country’s recovering economy.

“The overall strength of the U.S. economy is the main force driving the market. With the U.S. economy strengthening, retail sales should remain strong for the foreseeable future.”

Another contributing factor to the greater sales is rising incentives. Compared to September 2016, new-vehicle incentives rose by 21 per cent to $3,506 last month, Edmunds estimates.

While many carmakers are reporting a positive September, the same can’t be said for FCA. In fact, all of its brands, excluding Alfa Romeo, posted declines.