CNCDA: California New-Vehicle Sales Cool in 2016
The California new-vehicle market leveled off in 2016, with new light vehicle registrations increasing by less than 2% during the final three quarters of last year, according to the California New Cars Dealers Association (CNCDA).
SACRAMENTO, Calif. — The California new-vehicle market leveled off in 2016, with new light vehicle registrations increasing by less than 2% during the final three quarters of last year, according to the California New Cars Dealers Association (CNCDA).
Including both retail and fleet sales, California new-vehicle registrations increased 1.6% from 2015 to 2.086 million units, with car sales leading the way with a 57.7% share of the market last year. The share of light truck sales, however, grew 4.6% to 46.9%.
“It’s becoming evident that the robust growth that occurred between 2010 and 2016 is coming to an end,” the association noted in its monthly California Auto Outlook newsletter. “Between 2010 and 2016, the state’s new-vehicle market improved for seven consecutive years and doubled in size, with new-vehicle registrations increasing from 1.04 million units in 2009 to 2.09 million in 2016.”
The slow growth pattern in 2016 was expected and was evidence that the new-vehicle marked was stabilizing, the CNCDA noted. New-vehicle registrations in the state should remain right around the two million-unit mark this year, which is strong on a historical basis, the CNCDA added.
Retail new-vehicle registrations in 2016 were up 1.8% from a year prior, while fleet registrations were up marginally. Retail car registrations declined 7% from the year prior, while light trucks surged 13.9%.
Additionally, new-vehicle registrations in Southern California were up 2.1% from 2015, while Northern California registrations were up 1.6%.
The states used-vehicle market was basically flat last year, the association noted, with registrations declining by less than 1% to 3.53%. The association’s data also showed that the gap between the state’s new and six-year-old used-vehicle markets widened toward the end of 2016.
Additionally, registrations for vehicles in the four- to six-year-old category increased 8.1% in 2016. The seven- to 10-year-old market fell 15.1%, according to the association.
“Toyota was the used-vehicle market share leader in 2016,” the CNCDA stated in its report, adding that Honda’s share in the two-year-old or newer market was 6.6% compared to 10.7% for three- to five-year-old vehicles.
“Honda Civic was the top seller in the state used-vehicle market (only includes vehicles six years older or newer),” the associated stated. “Civic was also the best-selling new vehicle.”
More Auto Finance

Dealerships Are Paying the Price for Extended Car Loans
Growing negative-equity scenarios mean such lengthy terms should be addressed in a forward-looking way to make them work for the dealer and the consumer down the road.
Read More →
Trade-Ins in Negative Equity Reach New Heights
As such trade-ins rise in frequency, so do monthly loan payment amounts and interest rates, according to second-quarter data compiled by Edmunds.
Read More →
Auto Credit Plentiful
June numbers show lenders are readily granting access, including to risky borrowers, as consumers leverage themselves to take on high prices.
Read More →
Automotive Consumers Sink Further in Debt
Most financing metrics hit records in the second quarter as more buyers locked themselves into long terms and high monthly payments.
Read More →
Porsche Financial Services Shifts Structure
After 36 years with Porsche, the Financial Services Chief Financial Officer Konrad Riedl is retiring, and the department is realigning its management structure.
Read More →
Tariffs Could Raise Insurance Premiums
As U.S. import tariffs affect repair costs, consumers might find it more affordable to replace a damaged vehicle, according to recent Insurify tariff analysis.
Read More →
Smaller Loans, Longer Terms
The youngest generation of car buyers is more likely to finance less expensive vehicles, more than half of generation Z consumers borrowing less than $25,000.
Read More →
New Cars a Tad More Affordable
May averages show that combined circumstances gave auto consumers slightly better buying power for the month, though average prices were up year-over-year.
Read More →
First-Quarter Sees Long Auto Loan Growth
Experian data show more consumers are tapping the method, along with refinancings, to afford buying. Meanwhile, subprime borrowers are getting more access.
Read More →
Mastering Credit Friction
In this video, Josh Krach explains how to turn credit friction into an advantage.
Read More →