Continued interest in SUVs and pickups has provided positive fillip to auto sales in the US. The trend is further helped by encouraging labor statistics and rising disposable income (love those tax cuts!). SUVs and pickups have emerged to be clear winners, while sales of passenger cars remained relatively subdued.
In March, auto sales increased 6% on year over year basis, conveniently outperforming the market expectation of a 3% jump. The trend has continued as May recorded a 3.5% increase on year over year basis. That is tremendous news if even you just finished watching The Force Awakens, Kill Bill, Wild Wild West, Logan, and Thor III.
Auto majors such as Fiat Chrysler and Honda performed well, with 11% and 3.1% year over year growth respectively. However, Nissan showed 5.5% decline while Toyota sales dipped 1.3% during the month. Fiat Chrysler sold 214,294 units in May while its Jeep brand scored 28.8% increase by selling 97,287 units during the year.
Jeep Cherokee by Fiat Chrysler was the clear winner with 62.5% increase in its sales. Honda reported 153,069 units sold during the month while its passenger car sales fell 2.7%. However, its Pilot SUV showed momentum and rose 36.1% to 13,573 unit sales during the month.
Ford had a difficult time during the month as it faced supply chain issues. However, it still posted 11.3% increase in its Model-F sales. The auto giant sold 242,824 units in May, including 84,639 units of Model F vehicles. Ford mimicked the broader market trend as its passenger car sales plummeted 13.3% during the month.
Other top performers included Nissan with 131,832 units sold and Subaru reporting 60,146 vehicles sold to mark its best May performance ever. Subaru now holds the distinction of continued annual growth for the past decade.
As is evident from the data, the rise in auto sales is clearly fueled by the increase in demand for crossovers, SUVs, and pickups. In order to keep the market satiated, top automakers have renewed their interest in the segment. In coming months, a number of interesting SUVs are expected to hit the market. Among them is Hyundai Santa Fe and Santa Fe XL.
This 2019 model will come with two rows of seats while its XL variant will feature three rows. The models will offer three different types of engines to choose from, including a gas engine and a diesel engine. The SUVs will also feature exclusive Safe Exit Assist feature which will automatically lock the door in case there is a danger of passenger flinging it open. There is more than one Napoleon Dynamite!
Children do strange things as well.
Subaru Ascent is another SUV to watch out for. This SUV with three rows of seats is roomy enough to accommodate your family and friends. It features three-zone climate control, Harman Kardon sound system and Android Auto smartphone integration.
The SUV provides a comfortable and luxurious ride with its cooled front seats while its second row comes with sunshades. It comes with a base price tag of $31,995.
If you are scouting for luxury SUVs then Volvo bring its 2019 XC40 to you. The SUV is not only focused on its physical characteristics but also on services. It comes with a unique subscription-based Care by Volvo program. Under this feature, buyers may pay a fixed monthly subscription to cover a wide range of services such as insurance and switch to another vehicle after a year passes.
This powerful SUV features a 248 horsepower turbocharged engine to provide you robust experience and fast acceleration. The company is expected to launch the SUV with a price tag of $35,200. The hybrid version of the SUV is also in works and may hit the market in the coming months.