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Tuesday, May 02, 2023

Vehicles Sales at 15.91 million SAAR in April; Up 11.4% YoY

by Calculated Risk on 5/02/2023 06:17:00 PM

Wards Auto released their estimate of light vehicle sales for April: U.S. Light-Vehicle Sales Continue to Surprise on High Side (pay site).

Wards Auto estimates sales of 15.91 million SAAR in April 2023 (Seasonally Adjusted Annual Rate), up 7.4% from the March sales rate, and up 11.4% from April 2022. 

Vehicle SalesClick on graph for larger image.

This graph shows light vehicle sales since 2006 from the BEA (blue) and Wards Auto's estimate for April (red).

The impact of COVID-19 was significant, and April 2020 was the worst month.  After April 2020, sales increased, and were close to sales in 2019 (the year before the pandemic).  However, sales decreased in 2021 due to supply issues.  The "supply chain bottom" was in September 2021.

Vehicle SalesThe second graph shows light vehicle sales since the BEA started keeping data in 1967.

Vehicle sales are usually a transmission mechanism for Federal Open Market Committee (FOMC) policy, although far behind housing.  This time vehicle sales were more suppressed by supply chain issues and have picked up recently

Sales in April were well above the consensus forecast.