The auto sales momentum of new cars and light trucks established last year is likely to continue in 2013, predicts Paul Taylor of the National Automobile Dealers Association. NADA, at 15.4 million, joins Polk at 15.3 million and LMC at 15 million units for total light-vehicle sales and 12.2 million for retail sales. In 2012 14.4 million light cars, SUVs and trucks in total were sold in the U.S. as the auto market continued its slow recovery.
“Pent up demand, affordable auto loans and enticing new-vehicle designs add up to a solid sales year that will outperform the overall U.S. economy,” Taylor, the chief economist of NADA, said.
Earlier Polk observed that U.S. new vehicle introductions in 2013 will increase 50% from 2012, with 43 planned for the year. Industry veterans know the obvious implied here: that the launch of new and refreshed products with concurrent massive advertising and p.r. budgets behind them, tend to result in more showroom traffic and, in turn, increased sales. (December U.S. Auto Sales Forecast to Close the Best Year Since 2007)
As always, though, Harry Truman’s legendary search for a one-handed economist remains fruitlessl:
“The auto sector is likely to continue to be one of the key sectors that lead the U.S. economic recovery,” says Anthony Pratt, director of forecasting for the Americas at Polk. “However, our baseline forecast hinges on Washington’s ability to draft a budget plan that will avoid $600 billion in spending cuts and tax increases.”
We will see about that as taxes are clearly going up, as neither party will admit that 2013 will be a year when taxpayers get less – sooner of later – for more taxes sooner.
