KBB sees 2015 as slowest growth in US auto industry in six years

Article by Christian A., on January 14, 2015

Analysts at Kelley Blue Book expect a sixth consecutive year of recovery in the United States auto industry this 2015, although the growth would be the lowest since 2010. They said at the eve of the Detroit auto show that for this year, US light-vehicle sales will surge 2 percent to 16.9 million units, up from 16.5 million in 2014.

So far since 2009, US light vehicle sales jumped 6.1 million units. Cars.com and Toyota Motor Sales U.S.A. have similar forecasts at 17.0 million and 16.7 million (conservative), respectively. KBB analyst Alec Gutierrez remarked that retail sales will surge from 13.5 million in 2014 to 13.9 million this year, which means that 2015 fleet sales would remain more or less at 3 million units.

But KBB expects carmakers to play tough this year to get those sales – higher incentives and net prices, and more leasing. KBB projects the number of new vehicles leased to hike to 3.51 million this year from 3.36 million in 2014.

On the other hand, Gutierrez expects average incentives to jump $159 to $2,950 per vehicle -- the highest dollar amount on record. However, customers may not feel the effect since prices of vehicles are also on the rise.

He remarked that such incentives are still not at a level that could be considered risky since the average transaction price is also rising. KBB expects 2015 incentives to be 8.8 percent of average transaction prices, which should be at $33,500.

If you liked the article, share on:

Topics: united states, sales

Comments

Recommended

TOYOTA GAZOO Racing revealed that it will be participating in the 2018 Tokyo Auto Salon with the theme “Meister's Workshop.” The company will showcase models that have been part of...
by - December 16, 2017
Infiniti has commenced sales of the new 2018 Infiniti QX80 full-size luxury sports utility vehicle. Aside from the standard specs and optional features, potential customers would want to know how...
by - December 15, 2017
If there is one thing that Pagani Automobili and Fiat have in common, it is the fact that they are Italian companies that build and assemble vehicles. There is currently...
by - December 15, 2017
It’s Star Wars fever once again, and the second installation of the trilogy sequel -- “Star Wars: The Last Jedi” -- is finally hitting theaters. Avid fans of the franchise...
by - December 15, 2017
Audi Sport is known for creating high performance versions of some Audi vehicles, with a focus on higher levels of sportiness. So far, its high-performance creations are all powered by...
by - December 14, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries