Japanese Among U.S. 10 Worst-Performing Brands Through April

Although the current historic downturn in U.S. new-vehicle sales resulting from an equally historic recession has dealt a damaging blow to most brands sold in the country, an examination of Ward’s data shows Japanese brands are among those most impacted by the decline.

Using the Ward’s Average Year 2007 (AY07) methodology, which compares sales for the first four months of 2009 with like-2007 – the last year seasonally adjusted annual sales rates were stable – reveals some surprising results.

With Chrysler LLC in bankruptcy, General Motors Corp. teetering on the brink and Ford Motor Co. cautiously steering around financial potholes, a natural assumption would be a top-heavy Big Three representation among the major volume losers year to date.

Yet, four of the 10 brands with the greatest sales decline through April are Japanese makes that already were delivering less than 200,000 units annually, the AY07 comparison shows.

The Isuzu brand, which soon will be exiting the U.S. light-vehicle market, suffered the greatest volume decline in the period. Mitsubishi, which has been struggling to right its ship since widespread defaults on 0% loans early in the decade, followed, down 59.4%. Scion, Toyota Motor Sales U.S.A. Inc.’s so-called youth brand, saw volumes tumble 54.7%, while Suzuki deliveries slid 52.2%.

Rounding out the 10 brands with the greatest volume losses in the year’s first four months are Hummer (-76.9%), Chrysler (-68.8%), Saturn (-64.7%), Saab (-60.9%), Mercury (-55.8%) and Dodge (-52.4%).

Scion’s sales through April fell by 20,171 units, using the AY07 comparison, from 36,898 to 16,727, largely due to the tC sport coupe, whose deliveries plunged 73%. The brand’s second-best seller, the xB cross/utility vehicle, saw sales drop 22.7%, from 9,673 units to 7,481.

Sales of Scion’s tC sport coupe plunged 73% from 2007.

Suzuki deliveries had been climbing steadily prior to last year’s escalating gas prices, followed by the U.S. economic downturn, with the brand finally surpassing the 100,000-unit mark in 2006. But sales of the XL7 CUV, a Chevy Equinox twin, have been on a slippery slope. The new Equator compact pickup truck also has seen little demand.

Additionally, the Suzuki brand has lost four passenger-car nameplates in recent years, including the Verona, Aerio, Forenza and Reno models. Although the Verona will be replaced with a new midsize sedan later this year, American Suzuki Motor Corp. currently sells just one car, the compact SX4 sedan and hatchback.

Most Japanese brands with declining volumes fall in the middle of the Ward’s overall AY07 comparison ranking. Sales of Toyota’s Lexus brand tumbled 43.5% in the first four months, giving it a No.21 ranking among worst performers. American Honda Motor Co. Inc.’s Acura follows at No.22 and the Honda marque places No.29.

One of only two brands to gain volume in the comparison is Fuji Heavy Industries Inc.’s Subaru, up 0.7% in the year’s first four months. BMW AG’s Mini is the top best performer among all brands, with sales climbing 6.2% through April.

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