The American automotive sector, despite inducements to encourage sales, did not perform well last month (June) according to the latest figures.

Car and light-truck sales were down by four per cent (1,476,929 vehicles) from June 2002, generating a seasonally adjusted annual shipment rate of 15.9 million.

Sales for the first half of this year were two-and-a-half per cent down from the first half of 2002, a likely reflection of concerns over the SARS virus and war in Iraq, as well as a general lack of consumer confidence.

Industry big-hitters such as DaimlerChrysler, Ford Motor Co, General Motors, Hyundai Group, Isuzu, Mazda and Volkswagen all reported a decline in June.

Both Ford and General Motors have cut production for the third quarter to bring down inventories rendered excessive by falling demand.

However, the picture wasn't gloomy for the whole industry.

BMW, American Honda, Mitsubishi, Nissan, Porsche, Subaru Suzuki and Toyota all reported a small sales increase in June.