Anyone who questions whether there’s a abolitionist about-face in the U.S. new car bazaar aloof has to attending at the November sales numbers.
On the whole, the bazaar accepted decidedly solid. But a afterpiece analysis reveals that while SUVs and crossover cartage acquaint able double-digit sales gains, appeal for sedans fell by about the aforementioned amount.
Just a decade ago, sedans, coupes and added commuter cars accounted for added than bisected the new agent market. Through the end of November, that confused to aloof 30.5 percent with the about-face accepted to abide for at atomic several added years afore leveling off, according to analysis close IHS Markit.
That helps explain why General Motors aftermost anniversary appear it will carelessness six once-popular sedans — shuttering three plants in the process. Rival Ford had already planned to carelessness all commuter cars but its Mustang, while Fiat Chrysler has confused abundantly in the aforementioned direction. But ability the Detroit Big Three be overreacting and, potentially worse, handing a allowance to their adopted rivals as Honda, Nissan, Toyota, Audi and added adopted competitors all eye the U.S. auto market.
The Los Angeles Auto Appearance aftermost anniversary offered some clues. While there are affluence of new SUVs, crossovers and pickups from both calm and foreign-owned brands akin debuting at the anniversary show, there are additionally a cardinal of new commuter cars, including the adapted Nissan Maxima, a complete makeover of the Mazda3.
“We’re still bullish on sedans,” said Dietmar Exler, CEO of Mercedes-Benz USA, which is announcement a mix of new annual vehicles, like the midsize GLE, as able-bodied as sports cars and sedans.
There’s no catechism adopted carmakers are aggravating to aggrandize their annual agent lines. Hyundai has suffered a aciculate blooper in sales over the aftermost three years, in ample allotment because it had alone three annual cartage in its mix. It has added three added this year, including the new Palisade. Debuting in Los Angeles, it’s the better SUV the Korean carmaker has anytime offered.
“There’s no catechism about it. We’re in the SUV bold big time,” said Brian Smith, Hyundai’s U.S. arch operating officer, during the Palisade’s actualization aftermost week. With yet addition annual agent advancing abutting year, Smith added, he expects ablaze trucks to annual for 55 percent of the company’s U.S. sales abutting year, up from 40 percent in 2016.
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