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2015 – The Grand Year for US Automakers

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After the car financial year-end in March, the sales departments are ready with the next year’s sales forecast complete with analysis.

No different is the case, as we come closer to see off the year 2014, sales forecasts have been popping their heads up everywhere for over a month now. Some walk their destiny tall, while some are hammered out by the factor of unpredictability.

However the most promising of these is the NADA’s Chief Economist Steven Szakaly’s predictions. Why? Because a massive 3.3% rise in auto-sales (car & light truck) that would lead to a whooping number of about 17 million cars and light trucks sold which is something that would cause a stir and raise many brows.

Let’s track the footsteps of US auto sales:

Auto sales in the US totalled to 15.6 million (up 7.6%) in 2013.

As of Jan 2014 till date the sales are at 13.71 million (up by 5.5%).

Experts like Szakaly believe that, US economy is currently undergoing vital positive changes in terms of growth in the US gross domestic product that is predicted at 3.15% up in 2015. As a compounding effect the average of new job openings per month would be 242,000.

And as commonly known amongst Economics job growths are directly proportional to available disposable income, which will hence rise up by 2.5% in 2015.

Agreed that, since the 2008 petrol hike, US car buyers shifted focus from cars, SUV’s and trucks to small sedans, preferably imported fuel-efficient models like Toyota throwing big US auto sharks into a threatening financial backdrop. But according to Samarzich, Ford Europe and US Energy Information Administration, this month we have seen gas price decline and thus price drop.

So taking into consideration, as seen above, the steady increase in US auto sales, growing US economy and decline in the gas prices, already low US fuel tax rates, the drastic shift from small car sedans to cars like SUV’s and light trucks is quite predictable.

Seems like 2015 is definitely the grand year for US automakers!

We can very well say that the NADA’s forecast of about 17.5 million auto sales in the US in the year 2015, is a safe game to place the winning bet on.

About the author

Dean Smith