Australia’s new motor vehicle sales achieved a best-ever monthly result in June, according to the motor industry’s statistical service VFACTS.
June sales hit a new monthly record high of 134,171, an increase of 4.4 percent to surpass the previous best result of 128,569 recorded in the same month last year.
Sales of Sports Utility Vehicles (SUVs) and light commercials provided the impetus for the strong June outcome. SUV sales were up by 11.7 percent over June 2016, and light commercials by 12.2 percent. Passenger vehicle sales were down by 5.9 percent compared with the same month last year.
The Federal Chamber of Automotive Industries noted that demand was mainly driven by the business sector, with sales to businesses for passenger cars increasing by 5.7 percent; demand for SUVs up by 16.6 percent and light commercials by the same (16.6 percent).
The FCAI also noted that a highly competitive market, low interest rates and the Government’s instant asset write-off provisions were likely contributors to the June 2017 record result. The June sales spike now has 2017 year-to-date results tracking slightly above (+0.2 percent) the 2016 YTD result.
The most significant June volume growth was in medium SUV segment (5,402 sales, up by 32.6 percent), upper large SUV (+20.8 percent), and pick-up/cab-chassis 4X4 light commercials (+16.7 percent). The two passenger vehicle segments that lifted during June were sports cars (+38.2 percent) and people movers (+15.4 percent).
All the states and territories except Western Australia produced sales increases, with Victoria leading the way with an 8.7 percent sales growth over June 2016. The South Australian market grew 7.9 percent, Northern Territory by 7.5 percent, followed by Queensland (+5.5 percent), Tasmania (+5.4 percent), New South Wales (+2.1 percent) and the ACT (+0.7 percent). WA sales declined by 5.5 percent.
The SUV market growth reflected demand across all buyer types with sales to business up by 16.6 percent, sales to government up 8.4 percent and private sales up by 5.4 percent compared with the same month last year. Light commercials showed a similar pattern across all the buyer groups, with business purchases up by 16.6 percent, sales to government up by 12.5 percent and private by 2.6 percent.
Toyota remained the industry leader in June with a market share of 18.3 percent, followed by Mazda with a 9.3 percent share and Hyundai on 9.1 percent. Holden (9,273
sales) and Mitsubishi (9,266 sales) both had 6.9 percent of the market.
The Toyota Hilux remained the country’s top-selling vehicle with 5,461 sales, followed by the Ford Ranger with 5,051, the Toyota Corolla third with 3,830, the Hyundai Tucson fourth with 3,741 sales, and Mazda3 fifth with 3,490.
The June 2017 market of 134,171 new vehicle sales is an increase of 5,602 vehicle sales or 4.4 percent on June 2016 (128,569) vehicle sales. June 2017 (25.0) had the same number of selling days as June 2016, which resulted in an increase of 224.1 vehicle sales per day.
The Passenger Vehicle Market is down by 3,186 vehicle sales (-5.9 percent) over the same month last year; the Sports Utility Market is up by 5,382 vehicle sales (11.7 percent); the Light Commercial Market is up by 3,079 vehicle sales (12.2 percent), and the Heavy Commercial Vehicle Market is up by 327 vehicle sales (92 percent) versus June 2016.
Toyota was market leader in June, followed by Mazda and Hyundai. Toyota led Mazda with a margin of 12,045 vehicle sales and 9.0 market share points.