Major automotive manufacturers in the United States reported improved vehicle sales in June. Experts believe this might be an indicator that sales will be better in the second half of the year.
The vehicle manufacturers expect the second half of the year to shine goodness upon them as sales have been on a constant rise since July. Vehicle makers are therefore working hard to bring in new designs and features to their models to attract the growing number of vehicle buyers. Ford Motor Company (NYSE:F) is increasing the mass production of its F-150 pickup while General Motors Company (NYSE:GM) plans to bank on the upcoming versions of the Camaro and Malibu. The plans are in anticipation of more demand, particularly for the popular vehicles.
Profits and prices are also on the rise in line with the increasing vehicle sales. The low fuel prices have been a significant drive towards pulling down costs as well as facilitating more demand for vehicles. The demand for SUVs has been at an all-time high due to the low gasoline prices. The Average price for a vehicle in the U.S. was $33,340 in June. The prices were also on an upwards trend with a 2.5% rise compared to prices in the previous year. The information was provided by the automotive researcher, Kelley Blue Book.
Mark Williams, an analyst for KBB said that vehicle sales are expected to go higher, and this will record the highest values ever. Auto data Corp reported that industry wide auto sales went up by 3% to 1.48 million in June. This is the biggest sales value recorded since 2006. The annual sales data estimated that annual sales rate for seasonal trend was 17.2 million cars and light trucks.
Nissan Motor Co Ltd (ADR) (OTCMKTS:NSANY) had the highest vehicle sales in June with a 13% rise that was partly due to an extension of the Infiniti brand. Fiat Chrysler Automobiles NV (NYSE:FCAU) announced that its June sales climbed by 8.2% owing mostly to the Jeep USVs and Ram trucks.
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