US Auto Sales Up in May 2007

Washington DC June 5, 2007; THe AIADAnewsletter reported that US Auto makers rebounded from dismal April sales results in May, but still face tough economic conditions ahead of the summer driving season.

The Wall Street Journal reports that total car and light-truck sales rose five percent to 1,563,941 vehicles in May.

In addition, Toyota bounced back from a sales decline in April, boosting May sales 14 percent from a year ago to a record 269,023 vehicles. Toyota's result leapfrogged Ford in monthly sales for the fourth time in the past year. However, this summer, all carmakers will have to contend with declining home values and rising fuel costs.

One segment possibly shielded by difficult economic conditions: luxury sales. Industry observers say fuel prices haven't fazed those with disposable income. Toyota's Lexus division posted record sales, as did Mercedes-Benz, despite relatively flat results from a year earlier.

BMW's U.S. sales rose 8.6 percent to 30,834 vehicles, and Audi sold a record 8,788 vehicles, up 23.4 percent. Honda's sales rose 2.5 percent to 145,367, also a record, the company said.