Nationally sales of new motor vehicles fell 3.6% in October following a record month in September. Despite the decline in sales during October the outcome was still the fourth highest on record. Over the year to October national sales rose 4.2%
Over the year to October, growth in new motor vehicle sales was strongest in Tasmania (14.4%) followed by ACT (11.8%), Queensland (8.9%) and NSW (5.7%). Growth was also seen in Victoria (3.7%) and South Australia (2.4%). Sales declined over the year in Western Australia (-8.6%) and the Northern Territory (4.2%).
Sales of SUV’s continue to grow strongly with 37% of total vehicle sales in October compared to only 32% in Oct 2015.
With favourably of low interest rates, a weaker Australian dollar and reasonable job growth we expect that sales of motor vehicles will expand moderately over the next 12 months. The caveat is that ‘growth’ will vary widely between the States and territories as is reflected in the current results.