American Car Sales Slightly Off in June

Matthew Guy
by Matthew Guy

As predicted, the catastrophic CDK ransomware outage seems to have had an impact on car sales in this country, with companies like Stellantis and Kia recording drops in volume.

Specifically, the Jeep brand was off by 19 percent last quarter compared to the same time last year, posting 147,147 deliveries. Every model was down save for the Wagoneer and Grand Wagoneer, with profit centers like the Wrangler and Grand Cherokee shedding 17 and 26, percent respectively. GC remains that brand’s top seller, if you’re wondering, at 52,296 units in the second quarter of 2024 and 106,751 so far this year (down 15 percent). Ram pickup trucks were down 23 percent last quarter and 20 percent on the year. Some, but not all, of these drops can be attributed to the cyberattacks.

Brighter news emerged at places like General Motors where sales were roughly flat thanks to Cadillac and Chevy losing a handful of units while Buick and GMC gained a few. Interestingly, GM is boasting that 40 percent of Blazer EV buyers are conquest customers defecting from brands like Jeep and Hyundai/Kia. Speaking directly to the CDK outage, The General said in an investor slide deck that “dealers who use the CDK platform are working to meet strong customer demand,” and that “some deliveries may be delayed until Q3.” This suggests paperwork for a number of June sales is simply moldering away on a sales manager’s desk, unable to yet be posted to the system and distorting actual numbers. Keep this in mind three months from now when viewing GM’s Q3 numbers – good or bad.

Honda, Subaru, and Mazda were up by notable margins at three, five, and seven percent respectively. Talking heads are looking at a seasonally adjusted annualized rate of sales somewhere in the 14.7 million to 16.2 million ballpark, with inventory continuing to rebound. With the latter comes incentives in some corners of the market, a development on which we will be keeping an eye after supply constraints led to some customers paying over sticker just to get behind the wheel. Analysts say average transaction prices are pegged around $44,800 last month after peaking at an eye-watering $47,329 in December 2022.

[Image: Gretchen Gunda Enger/Shutterstock]

Become a TTAC insider. Get the latest news, features, TTAC takes, and everything else that gets to the truth about cars first by  subscribing to our newsletter.

Matthew Guy
Matthew Guy

Matthew buys, sells, fixes, & races cars. As a human index of auto & auction knowledge, he is fond of making money and offering loud opinions.

More by Matthew Guy

Join the conversation
6 of 75 comments
  • Jeff Jeff on Jul 07, 2024
    The manufacturers need to make more affordable vehicles. When a new Tacoma MSRP is 50k to 70k and a new Tundra, Ram, F series, and Silverado/Sierra MSRP is 70k to 100k then sales slow and inventory rises. Monthly payments of 1k and more are not affordable for most buyers. Demand for the Maverick, Ranger, Colorado/Canyon, and Frontier has been rising not just because of their smaller sizes but also because they are more affordable. Manufacturers should offer more trucks and suvs that have less content at more affordable prices. A full size pickup priced around 40k with air and auto with more basic equipment would sell well.
    • See 2 previous
    • Lou_BC Lou_BC on Jul 08, 2024
      @Jkross22- I've noticed a few smaller town dealers with 2022 stuff. Usually by this time of year the carry-over stuff is gone.
  • MrIcky MrIcky on Jul 08, 2024
    Oh damn, Tacoma's are taking a shellacking.
    • Lou_BC Lou_BC on Jul 08, 2024
      Toyota shot themselves in the foot jumping on the turbo 4 banger bandwagon. They were famous for reliable normally aspirated small truck engines. Add in hybrid as the premium upgrade.....ouch.
  • Fred As a British Car Fan I liked them, but then I sat in one and changed my mind. I like the unique looks of the newer ones.
  • FreedMike Not much to look at, but these were sweet to drive.
  • EBFlex Ford finally making a good decision although they should shut down their EV operations and investment all together. Why lose that money too?
  • Mike Lol. This is the king of suvs. And its made by GM.Why is everyone trashing it?Top of its its class for a quarter century.
  • Frank Drove past there last week, plant has a huge poster of a bronco on the outside. I was thinking "Is that where they build the new broncos?" I know they use to make the Edge and that other mundane SUV there but I believe both have been canned.