Hits and Misses

Asian auto makers, overall, saw a record year in the U.S. in 2006, with sales rising 5.1% to 6.52 million units compared with 6.21 million in 2005.

Nevertheless, Ward's data shows some brand sales stalled in the year, belying the notion Japanese and Korean OEMs are on an unstoppable upward trajectory.

Toyota Motor Sales U.S.A. Inc.'s annual sales grew 12.5% to 2.54 million units, eclipsing Chrysler Group's 2.14 million, while American Honda Motor Co. Inc. posted a 3.2% gain to 1.51 million units. However, Nissan North America Inc. deliveries tumbled 5.3% to 1,019,461 units in the period, down from 1,076,945 in 2005.

Nissan was hurt by a dip in light-truck sales and weak demand for its aging car lineup. The new Sentra arrived in October, and the new Altima sedan didn't launch until November.

Consequently, Altima sales for the year fell 9% to 232,457 units, although the new model made a notable showing in December.

In comparison, the Toyota Camry racked up its best-ever sales year with 448,445 units, surpassing its previous high of 448,163 deliveries in 1999, Ward's data shows.

Nissan's new Versa subcompact sold 22,044 units in 2006, on track with expectations, despite low inventories. Nissan plans to add Versa production to its Cuernavaca, Mexico, plant in March to meet demand. The auto maker's Aguascalientes, Mexico, plant currently is the sole source of the car for North America.

Nissan's light-truck sales, including Infiniti, declined 7.7% in the year to 465,844 units. The Titan fullsize pickup, Armada and QX56 fullsize SUVs, Xterra and Pathfinder midsize SUVs and Quest minivan all suffered drops of 20.9% or more.

However, due to strong demand for the Nissan Murano cross/utility vehicle built in Japan, Nissan imported light-truck deliveries rose to 81,365 units in the year, from 75,646 in 2005.

Soft demand for the outgoing G35 sedan for most of the year resulted in an 11.2% drop in Infiniti deliveries to 121,146 units in 2006. The late-year introduction of the new G35 sedan set a monthly record of 6,544 sales for the model in December.

Unlike Nissan, Hyundai Motor America experienced steady growth for much of 2006, but a few bad months later in the year slowed the auto maker. Annual sales inched up a mere 0.1% to 455,520 deliveries, a 508-unit difference from 2005. Hyundai missed its goal to hit the half-million mark in 2006 sales.

Demand for the new Sonata midsize sedan waned in the last quarter, with sales slipping below prior-year in September, November and December. Nevertheless, Sonata deliveries ended the year about 20,000 units ahead of 2005.

Hyundai also saw lackluster demand for its new Entourage minivan. The auto maker only sold 12,206 Entourages in 2006, far off the targeted pace of 30,000 units annually.

Although Hyundai sold 24,057 Azera large cars in the year, ahead of year-ago, it too failed to meet its annual goal of 30,000-40,000, set at the time of the car's launch in 2005.

Kia Motors America posted its 10th straight annual sales increase, ending the year 6,000 deliveries shy of its 300,000-unit goal. Kia sold 294,301 vehicles in 2006, up from 275,851 in 2005. The Spectra, Sportage and Sedona helped push sales above year-ago.

Toyota and Honda also shared disappointments in the year.

Sales of Toyota's redesigned Avalon sedan dipped 6.7% to 88,938 units, while deliveries of Lexus GS 300/350 and 430/450h midsizers trailed year-ago 14.9% and 34.1%, respectively.

Honda released its new Fit subcompact in the U.S. to rave reviews, but due to strong overseas demand, sold only 27,934 units. Honda says the rate of sale was in line with its annual goal of 38,000-42,000 units.

Accord sales, which at one time ran neck and neck with the Camry, racked up 354,441 units in the year, compared with prior-year's 369,293, largely due to the disastrous performance of the Accord Hybrid.