Analysts and economists say that U.S. auto sales will drop slightly next year, but expected to stay above 17 million vehicles sold. Bloomberg surveyed 10 analysts and the average predicted sales for 2017 was 17.2 million light vehicles, down just 1-2% from 2016’s expected final sales.
As retail demand softens, the largest manufacturers are trimming production in anticipation of the slower sales on the horizon. Even though sales are expected to dip, NADA’s Chief Economist, Steven Szakaly, says profitability of many dealers shouldn’t be hit too hard since light trucks (which are more profitable) account for about 60% of the new car sales.