Analysts expect strong sales in December, up between 10% and 14% from the same period last year.
Truecar.com predicts vehicle sales will increase 10.3% this month, J.D. Power and Associates and LMC Automotive expect a 14% increase, while Edmunds.com sees a 13.5% spike. Jeff Schuster, senior vice president of forecasting at LMC Automotive, said that auto sales in the US is a bright spot in the country’s economy and 2013 will be closer to a sustainable and stable growth rate for vehicles.
“December will be the icing on the cake for 2012 — it’s a strong close for a year that had significant auto sales growth throughout,” said Edmunds.com Senior Analyst Jessica Caldwell. “Along with the momentum of the improving economy, December car sales have been helped by compelling advertising, generous deals from most automakers, and the rush of demand unexpectedly and unfortunately caused by Hurricane Sandy.”
According to Truecar.com December will bring an increase of almost 20% from last month, and could reach 14.5 million units by the end of the year, the highest level since 2007. The spike in sales is caused by the automakers’ strong incentives and by the fact that people have to replace cars destroyed by Hurricane Sandy. GM is expected to be the leader this month with over 236,000 vehicles.