The number of new car registrations in Colorado fell in the first half of 2022 from a year ago, due to ongoing supply chain issues and rising inflation, according to a report from Colorado Automobile. Dealers Association.
Buyers registered 109,793 new cars through June, down 11.3% from the same period in 2021. Of those, 94,761 were light trucks. Nationally, the number of car registrations has fallen 17.9% from 2021 figures since the start of the year.
“Enrollment in the first half of this year exceeded 2020 pandemic lows, but was down 15% from the average total from 2016 to 2019,” according to the state report, also noting that enrollment fell in below the seven-year average.
The report points to “continuing microchip shortages and pandemic-related supply issues” as factors behind the decline, in addition to inflation and a possible recession.
“New vehicle sales almost always decline during economic downturns, but the shortage of supply has already pushed sales to very low levels,” the report said. “It would take a deep recession for selling rates to decline further.”
“Other factors slowing sales relate to price increases, higher interest rates and higher gasoline prices,” Association President Tim Jackson said in a statement. hurry.
The report predicts that there will be 236,500 cars registered in 2022. If so, that will fall below the 2021 mark of 242,936.
“News is mixed for Colorado’s new vehicle market in the first half of 2022. While new vehicle registrations are down in Colorado for the period, the state continues to outperform the US market,” Jackson said. . “Also, as inventory of new vehicles is sold out at dealerships across the state, there’s a silver lining. All three big-sell categories of battery-powered (electrified) cars are up, which include vehicles battery electric vehicles (BEV), pure hybrids and plug-in hybrids (PHEV).
Sales of hybrid vehicles took a larger market share of all vehicles compared to 2021, increasing by 8.7% in 2022, to 9,580. The market share of battery electric vehicles increased by 6.4 % to reach 6,975.
Colorado buyers preferred Toyota vehicles, which held 14.7% of the total market, followed by Ford, 11.3%, and Subaru, 8.9%. The top-selling model was the Ram pickup, 3.9%, followed by the Ford F-series, 3.9%, and the Toyota RAV4, 3.8%.
The largest markets in the state, by county, are Denver, 12.4%, El Paso, 11.3%, and Arapahoe, 10.4%. Interestingly, Pitkin County, which holds less than 1% of the state’s market share, was the only county to show a 2.3% increase in registrations over the same period last year. last.
Used-vehicle registrations fell 7.1% in the first half from 2021 levels, but the report gave no numbers.
“The government used vehicle market is expected to remain relatively stable in 2022,” according to the report. “Draining new vehicle inventories will drive demand for used cars, but historically high prices will limit any possible gain.”