Despite Drop, 10-Day Auto Sales Data Hints at Rebound

Sales of North American-built cars and light trucks dipped 7.5% in early July, but the shallow decline in figures released Monday buoyed hopes that a recovery was taking shape.

The numbers followed improvement in previous months and general economic indicators pointing to an upturn in the manufacturing economy.

Analysts said the latest figures suggested a return of individual buyers to the market as fleet sales to rental-car companies and large corporations begin to dwindle in the second half of the year.

“We just saw a really good May and June, and the question is, was it just because of fleet sales?” said auto analyst Scott Merlis of Morgan, Stanley & Co. of New York. “It will be interesting to see just how well July sales hold up without the strong fleet sales.”

Actual sales numbers from nine of the 10 major U.S. auto makers along with estimated Chrysler Corp. sales showed that the auto makers sold an average of 33,769 cars and light trucks a day during July 1-10 this year, compared to an average of 36,491 during the same time last year.

General Motors Corp.’s combined early July car and truck sales were down 5%, and Ford Motor Co. sales were off 20.8% during the period.

Chrysler reports sales every 30 days. An Associated Press estimate, based on Chrysler’s market share during the previous 12 months, showed that the auto maker’s vehicle sales for the period were a slim 0.9% behind last year.

Combined sales of North American-made vehicles with Japanese nameplates rose 23.5% for the period.

The comparisons came against a strong period last year.