Resource states slow new car sales

Australian new-vehicle registrations have continued their slow start to the new financial year, in part due to dragging sales in Queensland and Western Australia.

According to official VFACTS figures due to be announced today by the Federal Chamber of Automotive Industries (FCAI), new vehicle registrations are 2.5 per cent down year to date compared to the same period in 2013.

In August 88,157 new vehicles were registered — down 5.5 per cent on the same month in 2013.

It was far from doom and gloom, however, with strong performers in the month from both prestige and mainstream brands.

Volume prestige brands Audi and BMW both had strong August registrations (up over 21.0 per cent) and, along with market-leader Mercedes-Benz, are also up year-to-date (YTD). Audi is up 18.5 per cent, BMW is 10.7 per cent ahead and Mercedes-Benz has notched up 11.8 per cent more sales year to date.

In terms of mass-market brands, Hyundai performed well in August (+10.2%) and Ford, though down year to date, boosted its monthly sales by 11.0 per cent year-on-year (YOY). Nissan, bouncing back from a period of significant re-alignment (and still down 18.9 per cent year-to-date, was up 7.5 per cent in the month.

Although Toyota's Corolla maintained its top-selling car status (over the Mazda3, 29,213 v 29,069), Toyota overall had relatively poor month, down 11.9 per cent. Softer registrations of Aurion and Camry vehicles accounted for more than a third of Toyota's sales decline.

Holden's performance in August (-18.6%) eroded nearly half of its previous year-to-date growth. It's now 2.9 per cent up on the same period in 2013. Cruze and Commodore were the culprits in August, the latter Holden's worst performer YOY (down 4706 units and 27.1% YTD).

Mazda too was down in August in main due to stock issues with its top-seller, the Mazda3, and the changeover to a new Mazda2 in late October. Mazda sales were down more than 1000 on the same month in 2013, the 3 accounting for around half of Mazda's rego reduction.

Standout performers in terms of percentage rego growth was Maserati, the Italian brand's new Ghibli, a BMW 5 Series and Benz E-Class competitor, substantially more than doubling the marque's sales YTD.

Of more significance and sitting in the 'mid-volume' ranks, Euros Renault (+56.2%) and Fiat (+13.5%) performed well YOY and continue to grow YTD. The same comments apply to off-road brands Jeep (+28.5%), Land Rover and Isuzu Ute (+64.0%).

Significant in terms of the month's overall numbers were fewer Queensland registrations. The Sunshine State's slump of more than 1900 units accounted for over a third of the YOY shortfall. Add in the other resource states, Western Australia and Northern Territory, and 60 per cent of the month's total shortfall is accounted for.

Indeed, it seems that on a YTD basis private buyer confidence remains at the worst, neutral. So far this year private registrations are still up 3859 units – around 1.0 per cent. This compares to business registrations which are down 23,307 units in total or around 8.2 per cent.

In comparison, rental regos YTD are also down 2.4 per cent, with government fleet sales up 6.1 per cent but now representing a relatively small overall number.