Growth in U.S. new vehicle retail sales for June is expected to be lower than the previous month, despite strong consumer demand, as supply constraints and chip shortages have led to lean inventories, consultants J.D. Power and LMC Automotive said on Friday.
Retail sales for new vehicles in June are estimated to reach 1.1 million units, up 12.4% from last year, the companies said in a statement, lower than their expectations for 34% and 110% growth in May and April, respectively.
Total new-vehicle sales for June, including retail and non-retail, are projected to reach 1.3 million units, a 19.5% increase compared with the same period in 2020.
“The effect of fewer vehicles in inventory at dealerships is finally starting to have a material effect on aggregate industry sales volumes, as eager buyers struggle to find their desired new vehicle,” said Thomas King, president of data and analytics division at J.D. Power.