July Sales Strong as Australian Market Heads Toward Another Record Year

The Australian auto industry is on track for another best-ever year after its third straight month of record deliveries and the fourth record result of the year.

Industry statistical service VFACTS says July new-vehicle sales rose 1.6% to 92,754 units for a year-to-date total of 692,306, up 0.4% over like-2016, the current record holder. The previous July high was 92,308 units in 2015.

SUVs continue to gain popularity, with sales up 9.4% for the month to 36,979 units for a 7-month total up 5.6% at 270,477. By contrast, car sales dropped 5.9% in July to 35,792 units for a year-to-date total off 6.7% at 266,059.

Light-commercial-vehicle deliveries rose 0.8% during the month to 17,016 for a 4.8% jump year-to-date at 136,011.

The month saw significant gains in small SUV sales, up 15.3% to 8,579 units, and medium SUVs, up 18.6% to 15,082. The business sector helped push the SUV market, with sales there jumping 15.2% vs. year-ago.

Japan remained the biggest source of vehicles in July with 27,524 units, followed by Thailand (21,915), South Korea (13,656), Germany (6,542), the U.S. (4,026), and the U.K. (3,163).

Federal Chamber of Automotive Industries CEO Tony Weber says the July record demonstrates the industry’s ability to cater to the changing needs of Australian customers.

“The steady rise in small and medium SUV sales are indicative of our market’s changing dynamic, and manufacturers are moving quickly to meet those new needs and expectations,” Weber says in a statement.

Toyota continued as market leader in July with 17,951 units, ahead of Mazda (9,528), Hyundai (7,501), GM Holden (6,467) and Ford (6,270).

After seven months, Toyota sales are up 8.7% to 126,957. Mazda volume is up 2.3% to 71,024 and Hyundai results are off 7.5% at 57,320.

Toyota’s dominance ran across the board in July, with five of its models among the top 10 best-sellers for a market-leading 19.3% share.

The Toyota Hilux was the month’s top-selling vehicle with deliveries rising 19.3% to 3,742 units, followed by Toyota Corolla (3,208), Ford Ranger (3,076), Mazda3 (2,466) and Toyota Camry (2,385).

All that gave Toyota its best July and strongest January-July result since the days of the mining boom almost a decade ago.

The steady wind-down of local manufacturing saw just 4,821 Australian-built vehicles sold in July, down 30.8% year-on-year. This left the 7-month total off 30.2% at 33,233.

Ford sales of local vehicles plunged 91.6% to 95 units for a 7-month total down 78.2% at 1,900. GM Holden’s local contribution fell 36.6% to 2,080 vehicles in July and is off 38.3% to 15,532 units year-to-date. Toyota, which ends local production in October, saw home-built vehicle sales edge up 4.3% during July to 2,646 units for a 7-month total up 14.7% at 15,901.