Despite the government shutdown, and predictions to the contrary, Kelley Blue Book predicts that October auto sales will increase almost 12 percent.
Get the details on the forecast for October auto sales as the month draws to an end.
New vehicle sales are expected to improve 11.7 percent in October to a total of 1.22 million units, according to Kelley Blue Book www.kbb.com, the leading provider of new and used car information. Following the first year-over-year decline in 27 months in September, new-car sales should begin to bounce back in October, despite the federal government’s shutdown earlier in the month. Helping sales, this October has one more selling day than last year, and in 2012, numbers were heavily affected by Hurricane Sandy’s impact on the East Coast. Barring another economic setback, industry sales remain on track to reach about 15.6 million units in 2013.
Key Highlights for Estimated October 2013 Sales Forecast:
- In October, new light-vehicle sales, including fleet, are expected to hit 1,220,000 units, up 11.7 percent from October 2012 and up 7.4 percent from September 2013.
- The seasonally adjusted annual rate (SAAR) for October 2013 is estimated to be 15.4 million, up from 14.3 million in October 2012 and up from 15.2 million in September 2013.
- Retail sales are expected to account for 84 percent of sales in October 2013.
Most manufacturers will enjoy healthy sales growth in October. Toyota, whose Camry and all-new Corolla topped the mid-size and compact car segments last month, could post the greatest improvement from last year at 15.9 percent.
Ford also is expected to report excellent sales results this month, driven largely by the demand for their F-Series as well as the recently redesigned Fusion and Escape. Chrysler, Honda and Nissan also are expected to post double-digit gains, largely on the heels of new redesigns and introductions such as the Jeep Cherokee, Honda Accord and Nissan Altima.
“The government shutdown didn’t impact consumers growing appetite for buying new vehicles,” said Alec Gutierrez, senior analyst for Kelley Blue Book. “The expectations were that car buyers would wait on the sidelines, but because of pent-up demand and credit availability, car sales are expected to increase 7 percent from last month.”