Used-vehicle sales rose in January, reflecting a seasonal pattern, though the bump was off earlier years, according to Cox Automotive, which forecasts modest segment growth for the year.
More than 1.4 million used units sold during the month between franchised and independent retailers, up 8% year-over-year, it reported.
“Used retail vehicle sales usually rise this time of year. Although this year’s sales percentage increase exceeds last year’s, it is still below previous years,” said Senior Analyst of Economic and Industry Insights Scott Vanner in a press release on the month’s sales.
Certified preowned sales alone, though, fell 6% month-over-month and were flat year-over-year at a little over 203,000 units, said Cox, which attributed the lackluster result to January having one fewer selling day than last year, along with limited off-lease and trade-in supply.
Looking ahead to the full year, Cox predicts used-vehicle sales to increase 1% to 20 million units, with the exception of CPO sales, which it sees falling about 2% to 2.5 million.
It attributes the overall slow growth to limited wholesale supply from reduced pandemic-era manufacturing and fewer returning leased units, and the CPO decline to the latter.
