As the curtain closes on 2012, U.S. auto sales are expected to rise 14% this month, said a report from J.D. Power and Associates and LMC Automotive.
Both companies predict December’s seasonally adjusted annualized selling rate will be 15.3 million, which is below the 15.4 posted last month. If the prediction holds true, total light-vehicle sales for the year would be 14.5 million.
“The U.S. light-vehicle sales market continues to be a bright spot in the tremulous global environment,” Jeff Schuster, senior vice president of forecasting at LMC Automotive, said in a statement.
The impending fiscal cliff, Schuster believes, is the U.S. market’s only roadblock. “Assuming that hurdle is cleared, 2013 is one step closer to a stable and sustainable growth rate for autos, with volume above the 15 million unit mark,” he said.
Negotiations about the fiscal cliff, which refers to the tax increases and government spending cuts set to go into effect at yearend, continue between the Obama administration and lawmakers.
J.D. Power anticipates a 12.2 million-unit selling rate this month, down from 13.2 million last month, but a rise from the 11.3 units sold in December 2011. J.D. Power also expects to see luxury vehicles, which are having a good month thus far, make up 16% of sales, the segment’s highest percentage since December 2009. Last year, luxury retail sales made up 14.8% of the market.
Through November, production on North American light-vehicles rose to 14.4 million units, a 19% year-over-year increase, said LMC. The company anticipates 2012’s total production to hit 15.4 million units.
Looking to next year, LMC forecasts a 3% rise in North American production, to 15.8 million units.
