SACRAMENTO, Calif. — New-vehicle registrations in the state continued to improve during the first half of 2014 vs. 2013, according to a report from the California New Car Dealers Association (CNCDA). With an increase of 7.3% this year, California’s sales are still on track to approach 1.8 million new units.

California also continues to outpace the U.S. new-car sales growth of 5.4% this year. “Thanks to consistently better technology and improved fuel economy in these new models, the growth gain in new-vehicle sales compared to used sales is three times higher,” said Randy Denham, CNCDA chairman and owner of S.J. Denham Chrysler Jeep in Redding, Calif. 

California’s used-vehicle market is also on an upward trend of 2.4%, though the vast majority of vehicles sold at franchised dealerships are new — more than 910,000 through June.

The Toyota Camry took over as the state’s best-selling new model, slightly beating Toyota’s Prius and Corolla and Honda’s Accord and Civic. The Japanese brands continued to increase their sales by 10.2% and now account for 49% of the California new car market. 

Domestic brands held steady at 27.7% and Korean brands increased slightly at 7.9%. The Hybrid segment continues to trend at a decrease this year, while Plug-in and Electric vehicles experienced a slight increase. Interestingly, for the second consecutive quarter, Tesla experienced the sharpest year over year decline of any manufacturer listed in the report, officials said.