Major automakers, with the exception of Fiat Chrysler, posted lower U.S. sales in September behind the ongoing slump in the car market and softer retail demand, even amid elevated incentive levels, signaling the anticipated second-half slowdown is continuing.
U.S. light-vehicle deliveries last month fell 5.5 percent, slightly better than analysts' forecast for a 7 percent decline compared to September 2017, when sales spiked as consumers replaced vehicles destroyed by Hurricane Harvey.
Still, on a volume basis, it was the industry's fourth-best September on record.
And by another measure, the September numbers were far stronger. The seasonally adjusted, annualized rate of sales came in at 17.54 million, rising above 17 million for the seventh time this year, after two months below that level.
The September 2017 SAAR was 18.2 million, the strongest month of the year.
Overall, U.S. car sales slid 20 percent in September while light-truck demand rose 2.2 percent.
U.S. sales edged up 1.3 percent through August after a better-than-expected first half, driven in part by a boost from U.S. tax reform. The SAAR declines in July and August were taken as a sign that a second-half slowdown predicted by analysts is unfolding. With September results tallied, U.S. sales have now edged up 0.5 percent in 2018.
“The U.S. economy and auto industry remain strong,” said General Motors Chief Economist Elaine Buckberg. “A new United States-Mexico-Canada trade agreement will reduce uncertainty for the auto industry and all three countries. We believe 2018 will be the fourth year in a row with total industry sales above 17 million units.”