Japan Boosts Car Sales 7% in August

Carmakers sold 232,400 new cars, trucks and buses in Japan last month compared with 216,500 units a year earlier, the Japan Automobile Dealers Assn. reports.

Separately, the Japan Mini Vehicles Assn. says demand for minivehicles, which are powered by engines displacing 660 cc or less, surged 22% to 138,400 units last month.

August marked Japan's 12th consecutive month of year-over-year gains in sales of standard-size vehicles. But the 7% increase was the smallest since September 2011. Government incentives on the purchase of fuel-efficient cars helped boost volume 36% in July, 41% in June and 66% in May.

Last month's modest advance surprised analysts who expected Japan's sales pace to remain strong while the incentives last. The program is expected to exhaust its funding this month.

Toyota hiked sales 18% to 115,900 standard-size vehicles. Volume fell 7% to 31,400 units at Nissan and 5% to 24,400 units at Honda.