The data shows that 7,526,638 light vehicles were sold worldwide last month, up 2.2% on the total of 7,362,507 for June 2014. Meanwhile the seasonally adjusted annualised rate of sales came in at 87.2 mn units/year, similar to the previous month and up 0.5 on the same month in 2014.

Looking across the markets, LMCA said the decline in sales in China marked a significant change in the regional dynamics of the past couple of years in which that market has been a pillar of strength. US and West European markets fared better but Brazil and Russia continued to languish.

For the US, light vehicle sales were 1,475,062 units – resulting in the strongest June since 2005 – translating into a selling rate of 17.1 mn units/year. Several factors were evident in enticing consumers to purchase new automobiles including: an improving labour market, high consumer confidence, low interest rates, increased OEM incentives, and lower-than-normal summer gasoline prices.

Continuing with its record-setting monthly Light Vehicle sales, Canadian June sales registered at approximately 178k units, representing a selling rate of 1.81 mn units/year.

Central and East European sales continued to decline as the dramatic drop in Russian demand hit the regional total: Russia sales were down by almost 30% in June and 36% in the year to date. In the rest of the region, however, the market has continued to do well: sales in non-Russia Eastern Europe were up by almost 20% in June, and 14% in the year to date.

West European sales fared well in June, with sales rising by an estimated 14%.

According to preliminary data, China’s June selling rate was 22.8 mn units/year, down over 4% from May. The selling rate declined month-on-month in five out of the six months so far this year. On a year-on-year (YoY) basis, sales fell by nearly 2% in June. A notable development is that Passenger Vehicle sales declined YoY in June for the first time since the global financial crisis, excluding Januarys and Februarys in which YoY comparisons are distorted by the timing of the New Year holidays.

In Japan, the selling rate rebounded slightly to just below 5 mn units/year in June after a weak May. The summer bonuses from large corporations, a gradually improving job market, and higher stock prices helped support sales.

Defying expectations of a slowdown amidst the outbreak of the MERS virus, the selling rate in Korea surged to a record high of 1.85 mn units/year in June. Sales were boosted by robust demand for SUVs. Luxury imports from Europe also sold well, thanks to a strong won.

The Brazilian market continues to decelerate sharply along with the deteriorating economy. The June selling rate of 2.4 mn units/year was the lowest rate since the 2008 global financial crisis. The looming recession (the worst in 25 years) is of course hitting consumer spending.

And the Argentine market remains highly volatile. The selling rate surged by 31% in June from the previous month, following a 17% decline in May. Sales were supported by a surge in government spending in the run-up to the presidential election.