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May 2016: FCA wins, Ford and GM stumble on weak car volumes

The May 2016 sales numbers are in, and it looks as though FCA is getting some vindication for boldly cancelling two slow-selling car models. Meanwhile, Ford saw overall sales dip and GM's May volume took a big dive versus the same month in 2015. While Marchionne's decision to axe the Chrysler 200 and Dodge Dart has drawn criticism as being short-sighted, it's working for FCA so far. Although the Dart and 200 aren't out of production yet and no capacity has been shifted to crossover or trucks, May's numbers show that the emphasis on Jeep and Ram models makes sense right now. FCA's US sales rose 1 percent last month compared to May 2015, putting the year-to-date total at 955,186 vehicles, an increase of 6 percent compared to the same period last year. Standouts included the Jeep Renegade, Compass, and Patriot, and the Fiat 500X. Ram pickup sales were down 3 percent. And your fun fact is that Alfa Romeo sales were up precisely 10 percent, for a total of 44 4Cs sold versus 40 in the same month last year. At FoMoCo, the Ford brand took a hit to the tune of 6.4 percent from May 2015 to 2016, registering 226,190 sales last month. Lincoln showed improvement on its modest numbers, going from 9,174 to 9,807, a 6.9 percent increase. Overall, Ford was down 5.9 percent for the month to 235,997; despite the slump, year-to-date total Ford sales are up 4.2 percent to 1,112,939. Strong sellers included Escape, Expedition, F-Series, and Transit - big stuff. Most small and/or efficient models (Fiesta, Focus, Fusion, C-Max) saw sales slides. Fusion sales were also down, likely due to effects of model changeover to the freshened 2017 model. Ford has promised four new crossovers and SUVs by 2020 and if things keep trending this way the company will be able to sell them, but things could change in the next four years. GM saw the worst of it for domestic brands. Retail and fleet sales were down for each of the four divisions, with the May 2016 total dropping 18 percent to 240,450 vehicles. GM's year-to-date sales are down 5.0 percent in 2016 to 1,183,705. Both the Sierra and Silverado were down significantly, and the majority of Chevy, Buick, GMC, and Cadillac nameplates saw sales decreases, with both small cars and larger utilities included. Not even big stuff could help GM this month, it seems. We'll have more on the rest of the industry's May sales as those figures trickle in.

GM plans to sell the Chevy Tahoe and Cadillac Escalade in China

General Motors Co plans to sell full-size sport-utility vehicle (SUV) models in China for the first time, and will import a range of models to beef up its product lineup into the world's biggest car market, its China chief told Reuters. The plan would mark a change of tack for GM, which currently produces all of the vehicles it sells in China within the country, which is set to be the only major economy to grow this year amid the COVID-19 pandemic. GM, China's second-biggest foreign automaker, is aiming to offer four models as it looks to improve its brand image and support a sales recovery: Chevrolet's Tahoe and Suburban, Cadillac's Escalade and the GMC Yukon Denali. The Detroit-based company is showcasing those models at the China International Import Expo, or CIIE, an annual import show in Shanghai which started on Wednesday and runs into next week. "Our intention is to get customer reaction and find a way to sell these cars in China," said GM's China chief Julian Blissett. The automaker sees opportunities for such vehicles, partly because Chinese families are expanding, he added. "We are looking into a variety of market sales plans for these vehicles, including online sales, leasing and others," he said, declining to give a detailed timeframe for the plan. GM's Buick and Cadillac mid-size SUVs helped the group's Chinese sales grow 12% in the third quarter this year, the first quarterly growth in the past two years. But it does not have full-size SUV models, which usually have a third row of seats and has room for six or seven people. BATTLEGROUND China, where over 25 million vehicles were sold last year, is a crucial battleground for global automakers including Volkswagen AG, the biggest foreign player by sales volumes, GM and Toyota, as well as local leaders Geely and Great Wall. The country has seen auto sales pick up in recent months following a COVID-19-induced slump, and authorities say they have largely brought the epidemic under control following its emergence in the central city of Wuhan at the end of last year. The expansion plan would also mark GM's first official sales in China of GMC vehicles, a premium brand in the group. Previously GMC vehicles were only sold in the country via unofficial grey importers. The imports will, however, not change GM's basic production strategy in China. It will still mostly sell vehicles made in China - for now, at least. "Depending on however we go we might make other decisions," Blissett said.

Chevy Volt, Nissan Leaf sales show big drops in September

As most readers likely know, it's not just lower gas prices that are affecting plug-in vehicle sales. The two long-time sales leaders in the US - the Nissan Leaf and the Chevy Volt - are getting long in the tooth. First introduced in late 2010, the vehicles have been updated here and there since then, but recent sales figures have been lagging behind where they were in 2014. This trend continued in September, with sales of both vehicles down in a big way compared to last year. Sales of Nissan Leaf totaled 1,247 for the month of September. This is down a whopping 56.7 percent from September 2014, but thankfully the year-to-date sales are not quite as negative. So far this year, Nissan has sold 13,630 Leafs, which is "just" 37.5 percent lower tan the YTD total at this point in 2014 (21,822). This decrease swims against the overall direction of Nissan's September sales, which were up 18 percent over last year and set a new September record. The Volt sold 949 units last month, down 31.9 percent from last September. Year to date, the Volt has sold 9,264 units, which is 36.3 percent lower than the number of Volts that were sold in the first nine months of 2014 (14,540). This downward trend might be coming to an end soon. The new Chevy Volt will go on sale in 11 US states later this fall, and the 2017 model will be available nationwide next spring. An updated Leaf for the 2016 model year also offers more miles – 107, vs 84 in the 2015 version – so potential customers who have been waiting for the latest and greatest will soon not have any excuses. We'll have our broader look at green car sales in the US up soon. Green Chevrolet Nissan Electric Hybrid ev sales hybrid sales volt