Car market zooming but VW sales dip despite record set by its SUV – Chattanooga Times Free Press

Gregg Clark said Tuesday his family recently purchased a Jeep Patriot sport utility auto due to the fact that his wife liked the method it drives.

But, Volkswagen isn’t on the list of models he’d think about ordering as the diesel emission scandal would certainly be a stopper, said the Franklin, N.C., man outside the Tennessee Aquarium.

Contributed photo / The Tiguan GTE Energetic Concept, unveiled at the North American Global Auto Prove to in Detroit last week, is based off of the second-generation Tiguan SUV and has actually a plug-in hybrid drive system.

Contributed photo / The Tiguan GTE Energetic Concept,…

Photo by Contributed Photo /Times Free Press.

Volkswagen of America on Tuesday reported April sales fell 9.6 percent from the exact same period a year ago. Still, the sales shed was the lowest due to the fact that December as VW’s small Tiguan SUV set a tape for the month, according to the German automaker along with an assembly plant in Chattanooga.

Trucks and SUVs helped push a lot of automakers to healthy and balanced U.S. sales gains last month as Honda and Nissan reported best-ever April sales. Ford posted tape SUV sales, while Toyota broke a tape for SUV and truck sales.

Analysts anticipate U.S. sales of brand-new cars and trucks to be up 4 percent over last April as quickly as companies are done reporting figures. Car-ordering site Edmunds.com predicted April sales of a lot more compared to 1.51 million, beating the previous tape for the month set in 2005.

Jesse Toprak, chief executive of auto research website CarHub.com, said VW calls for brand-new products such as the midsize SUV the Tennessee factory will certainly begin assembling late this year or in early 2017.

“In the U.S., the fastest-growing category is small SUVs. Midsize and huge SUVs are carrying out well,” he said. “No matter the diesel fiasco, VW has actually to have actually a lot more variety.”

VW posted sales of 27,112 units in the month, along with the Chattanooga-gained Passat sedan falling 15 percent over April 2015 to 5,629 vehicles.

Tiguan created the most effective April outcomes on tape for the SUV along with 3,519 vehicles delivered, a 53 percent boost over March 2015, according to the company.

VW’s plant in Chattanooga is undergoing a $900 million expansion, including $600 million invested locally, to make area for the brand-new midsize SUV.

“We are glad along with the performance in our retail business, steered by vehicles enjoy the Tiguan, GTI and Golf R,” said Mark McNabb, chief operating officer of Volkswagen of America, in a statement. “While general sales reflect a decline, this is due in big portion to an intentional lower in fleet sales.”

Toprak said VW additionally has to rebuild trust among consumers amid the diesel scandal in which the business confessed it installed computer software in some vehicles to fool government emission tests.

“VW is actively attempting to regain trust, Yet it does take time,” he said.

Honda led severe automakers along with a 14.4 percent sales boost as the 2 its cars and SUVs sold well, while Nissan’s sales flower 12.8 percent.

Fiat Chrysler was up 6 percent on tape Jeep sales, and Ford rode an April tape for SUV sales to a 4 percent increase. Toyota sales flower 3.8 percent largely due to the RAV4 small SUV, which broke a monthly tape along with sales up nearly 32 percent.

General Motors, VW and Hyundai were the just severe automakers to report sales declines. GM blamed its 3.5 percent shed on a strategy of cutting low-profit sales to rental automobile companies. Hyundai sales were off 8.5 percent from a tape April last year.

Ford Motor Co. said it sold a lot more compared to 65,000 SUVs, the most effective April in business history, led by the Explorer along with a 22 percent increase. Fiat Chrysler was led by a 17 percent boost in sales of Jeep SUVs. It was FCA US LLC’s finest April due to the fact that 2005.

The Associated Press contributed to this story.

Contact Mike Pare at mpare@timesfreepress.com or 423-757-6318.