Preliminary July Sales Showed 11 Percent Positive Rebound
Statistics Canada announced that new vehicle sales were down significantly in June, as compared to the same month last year. June 2003 sales reached 129,997 units, 8.9 percent lower than June 2002 sales.
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| May to June sales results were worse than projected, 8.9% lower than June 2002 sales. (Photo: Chrysler) |
Also of note, June sales saw a 10.2 percent reduction next to May's 144,829 units sold, but it should be said this drop has more to do with a seasonal adjustment than with a particular change in buying habits.
However, the May to June results were worse than a Thomson Financial/IFR projection, previously reported by Bloomberg News, had estimated. The reduction in month-to-month sales from May to June was only to be 8.8 percent.
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| Preliminary figures for July look bullish, rising by approximately 11 percent mainly due to strong truck sales. (Photo: Nissan) |
While analysts have predicted car sales would be soft while SUV and pickup truck sales would remain strong, Statistics Canada recently reported that the negative results were mostly due to "declines in both passenger car and truck sales."
The report further stated that the total number of new vehicles sold during the first 6 months of 2003 was down 5.1 percent from the same 6-month period in 2002, while preliminary figures for July look bullish, rising by approximately 11 percent mainly due to strong truck sales.