AutoNation Inc. was hurt by sharply lower sales of imported Japanese brands and reported a 4 percent decline in new-vehicle sales last month compared with July 2010. Hit the jump to read the rest of the story.
Funk Flex
U.S. light-vehicle sales increased 1 percent last month as demand for small fuel-efficient vehicles overcame lingering tight supplies and economic concerns.
Japanese automakers remain hampered by inventory shortages resulting from the March 11 earthquake.
Toyota Motor Co.’s July sales fell 23 percent, and Honda Motor Co. was off 28 percent. Nissan Motor Co. sales rose 3 percent.
AutoNation CEO Mike Jackson, in an interview today with Automotive News, said the company’s July sales dip was entirely tied to the Japanese supply disruption. Jackson said June and July represented a low point on shipments from Japan, and they’re just starting to rebound in August.
“The worst is literally over right this minute,” Jackson said.
AutoNation said demand for its import brands fell 12 percent from last July. Sales of import brands accounted for about half of AutoNation’s nearly 19,000 new-vehicle sales last month.
Sales of domestic models were up 3 percent, and sales of premium luxury vehicles increased 11 percent, the company said.
