-May 29,2020-
The California new vehicle market got off to a good start in the first two months of this year, and then the bottom fell out when the COVID-19 crisis took hold in March.
Reported new vehicle registrations in the state declined by less than 10 percent from a year earlier, but the reporting of registrations lags actual sales at dealerships. Auto Outlook estimates that the state new vehicle market fell by 24 percent during the first four months of 2020 versus a year earlier.
New light vehicle registrations this year are predicted to fall to 1,540,000 units, a 26% decline from 2019. Car sales are projected to fall 33% with light trucks down 21.7%.
This projection, however, is subject to an above average level of variability, due to uncertainties surrounding the spread of the virus and changes in governmental policies regarding business operations.
Barring a scientific breakthrough resulting in a vaccine or effective treatment for the virus, the auto sales recovery will be gradual.
In there first quarter report Auto Outlook says the best selling vehicle remains Honda Civic. Toyota market share in California rose this quarter to 17% vs 15.3% in the same quarter of 2019, highest to all makes.
Tesla market share grew to 4.6% up from 4%. Tesla registrations grew 9.3% year over year to 23,250 ,fastest growing of all larger car sellers in the state. Toyota sales were up 6%.