U.K. Car Sales Continue Slide in June, But Commercial Vans on Roll

U.K. new-car sales slid 6.2% in June to 183,125 units, but the Society of Motor Manufacturers and Traders says the market still is on par with expectations to achieve 1.93 million units over the full year.

SMMT CEO Paul Everitt says June saw robust demand in the fleet sector, but a relatively weak retail market. However, the pace of decline moderated in the second quarter in line with the industry group’s forecast.

Ford Fiesta led car sales in June.

Despite falling new-car sales in each of the last 12 months, following the expiration of the government’s scrappage program, the SMMT says the private sector slowdown is near its end.

“Slow, but steady economic growth in the second half of the year should see volumes increase,” Everitt says in a statement.

First-half car sales of 1.03 million units were down 7.1% from 1.11 million year-ago.

By contrast, van and truck deliveries surged 12.7% in June to 25,968 units and up a healthy 24.4% in the first six months to 152,130.

Everitt says the result saw the 17th successive monthly rise for new-van registrations, up 13.5% to 22,850 last month, “demonstrating business confidence and commitment in the commercial-vehicle market.” Truck sales rose 7.4% to 3,117 units, the ninth successive monthly rise.

“Van registrations have recovered strongly from the depths of the recession in late 2009 and early 2010,” he says. “This trend is reflected across most of Europe, suggesting that the recovery could be robust.”

Sales of diesel-powered cars grew 4.0% in June to 91,323 units and rose 7.5% in the first half to 514,438.

The Ford Fiesta topped June sales with 8,829 units, giving it a leading 51,643 deliveries after six months. The Ford Focus was second with 8,055 sales in June and 43,825 year-to-date.

The two small cars, along with the Ford Transit van that continues its 46th year as the market’s best-selling commercial vehicle, helped the auto maker boost its U.K. leadership.

Ford’s sales of 24,461 cars in June were up 3.1% from prior-year’s 23,716. However, its 6-month deliveries of 144,481 units were down 8.7% from 158,350 year-ago.

Ford’s commercial-vehicle sales climbed 13.2% to 6,167 units in June from 5,447 in like-2010, taking its first-half total to 37,277, up 26.6% from 29,432 year-ago.