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Car sales remain stronger than a year ago, despite a fall in sales of four-wheel-drive vehicles in May.
Australian Bureau of Statistics figures yesterday revealed that four wheel drives experienced their biggest monthly fall in sales for almost two years as surging world oil prices drove up the cost of petrol and diesel fuel.
The ABS said that total vehicle sales in the month dropped to an eight-month low in May as new vehicle sales slid 1.6% to a seasonally adjusted 87,821.
That was the lowest since last September when 87,690 vehicles were sold, but the ABS said last month’s figure was still 2.6% higher than the same month a year ago.
May saw the biggest monthly slide in four-wheel-drive vehicles since August 2006 when sales fell 8%.
Four-wheel-drive vehicle sales fell by 4% in May, the fourth consecutive month that sales declined. In the same month crude oil prices hit a record $US135 a barrel.
May’s four-wheel-drive vehicle sales tally of 17,002 was the weakest since July 2007, when 16,096 were sold.
The ABS said that May saw sales of other vehicles and sports utility vehicles fall 7.8% on April and 4.0% respectively, while passenger vehicles increased by 1.6%.
So the higher fuel prices didn’t damage passenger car sales, which hit 52,216 in May, the strongest monthly growth so far in this year. The fall in the "other” category, which includes trucks and buses, saw 18,603 units sold.
Federal Chamber of Automotive Industries chief executive Andrew McKellar said Australian vehicle sales would top one million in calendar 2008 for the second consecutive year.
"In terms of the million vehicles’ target, we’re well on course to break that mark in 2008 … even if there’s moderation in the second half of the year,” he told AAP.
Total vehicles sales from January to May added up to a seasonally adjusted 447,642.
Tasmania suffered the biggest seasonally adjusted fall in total vehicles sales, of 11.5%, but sales also fell heavily in Queensland (9.1%) and Western Australia (5.8%).
Victoria enjoyed the largest vehicle sales rise of 2.6% followed by NSW on 2.3%. South Australia showed an increase of 1.8%.
