[vztrt]

http://www.theage.com.au/business/ca...815-1itwm.html

Car sales rise most in a decade
August 15, 2011 - 12:13PM

Sales of new motor vehicles boasted their biggest rise in over a decade in July as the supply of cars from Japan finally began to return to normal after months of disruption from the March earthquake there.

Data from the Australian Bureau of Statistics on Monday showed that 84,733 vehicles were sold on a seasonally adjusted basis in July, up 8.6 per cent from 77,990 in June. That was the largest monthly rise since December 2000, and the highest level of sales since March.

Sales for July were up 0.9 per cent on the same month last year, a big improvement on June's 11.5 per cent decline.

The marked turnaround strongly suggested the weakness of vehicle sales seen in April and May was more a factor of supply than poor demand, and showed consumers still had the confidence to splash out on big ticket items.

Trade data showed Australian imports from Japan nearly halved back in April, with much of that accounted for by an 81 per cent decline in motor vehicles. Toyota also cut back its production within Australia due to a shortage of parts.

The impact was clear in industry figures that showed Toyota's sales fell by 40 per cent between March and May, giving Holden a rare spell at the top of the national sales ladder.

Imports of cars from Japan then surged in both June and July and are almost back to normal. Toyota's sales duly picked up in July, though its 16 per cent share of the market was still below pre-earthquake levels above 20 per cent.

The other Japanese auto makers had also suffered to various degrees, largely to the benefit of Ford, Holden and Hyundai, though sales are now back to more normal levels.

Reuters