U.S. Car Sales Dropped 6% in May

Deliveries of passenger cars and light trucks in the U.S. declined to 1.54 million units in May from 1.64 million in the same month last year, according to Autodata Corp. A 16% drop in car sales overpowered a 2% gain for trucks.

It was the first year-on-year decline in unit sales since January, when sales dipped by 3,100 units. Last month’s annualized sales rate slipped to 17.5 million from 17.7 million for May 2015. 

Sales of traditional domestic brands dropped 9% to 679,400 units last month. Volumes fell for General Motors (-18% to 240,500 units) and Ford (-6% to 234,700). Sales by Fiat Chrysler Automobiles advanced 2% to 201,300 vehicles in spite of a 32% drop in car sales.

Asian brands posted combined sales of 721,300 units, down 3%. The slump was led by Toyota (-10% to 219,300 vehicles), Honda (-5% to 147,100) and Nissan (-1% to 133,500). The only bright spot was Hyundai, whose deliveries rose 12% to 71,000 units. Kia and Subaru each grew 1% to 62,900 units and 50,100 units, respectively.

European marques sold 135,500 vehicles in the U.S. in May, down 7% year on year. Volkswagen brand sales plunged 17% to 28,800 cars and crossover vehicles. Mercedes dipped 1% to 32,100 but maintained it lead over BMW (-6% to 29,000). Audi sales climbed 2% to 18,700 vehicles.