“That’s a bit of a red flag,” Mason said. “It’s something to keep an eye on as we move into 2018.”
No. 1 U.S. automaker General Motors Co said its sales fell 2.9 percent in November, with sales to consumers flat against the same month in 2016. Much of the decrease was driven by lower fleet sales to rental agencies, businesses and government agencies.
GM said strong SUV and crossover sales pushed its average transaction price for the month above $37,000 for the first time. The company’s level of unsold cars, which has been a concern for analysts and the industry, rose slightly to 83 days supply, from 80 days at the end of October.
“More vehicles are sold in December than any other month and we are very well positioned because we have momentum in so many segments, but especially in crossovers,” said Kurt McNeil, U.S. vice president of sales operations.
Fleet sales are a low-margin business for automakers.
Fiat Chrysler Automobiles NV (FCA) in particular has targeted a significant reduction in this type of sale in 2017.
The automaker posted a 4 percent overall decrease in sales for November, but said fleet sales were down 25 percent while sales to consumers were up 2 percent on the year.
No. 2 U.S. automaker Ford Motor Co reported a 6.7 percent increase in sales in November, with fleet sales up nearly 26 percent and retail sales 1.3 percent higher than in November 2016.
Ford said SUV sales rose 13.3 percent in November, while its pickup truck sales were up 4.1 percent.
“November and December over the last few years has become a very big merchandising window for the industry,” Ford’s U.S. sales chief Mark LaNeve told reporters on a conference call.
He said price competition between automakers should continue into 2018, but it “should not be too disruptive.”
Volkswagen AG said its sales were down 1.6 percent in November.
In morning trading, GM shares were down 18 cents at $42.91, FCA was off 9 cents at $17.01 and Ford was up 0.8 percent at $12.63.
(Reporting by Nick Carey; Editing by Susan Thomas and Bernadette Baum)