Global Car Sales Slipped 1% in May

Worldwide sales of light vehicles dipped 1% to 1.42 million units in April, marking the first year-on-year decline since August 2015, according to LMC Automotive.

The market analysis firm says last month’s sales volume (chart) equates to an annualized sales rate of 91 million units. The annual rate in March was 94 million units.

LMC says cooling demand in China and western Europe was responsible for last month’s slippage. The company predicts a return to positive growth in the next few months.

Vehicle sales in North America totaled 1.42 million units, representing an annualized rate of 16.8 million units, according to the company. It says steady retail demand was unable to offset a drop in fleet sales.

In Europe, demand in western Europe fell 7%. LMC notes that fewer selling days in most national markets, coupled with a tax hike in the U.K., contributed to the decline.