Despite a recorded decline in the TIV (total industry volume) for vehicle sales for May, the demand for luxury vehicles are on the rise and is very much demanded. This would be good news for the automotive makers as they gear towards better sales and more positive growth in the industry.
Volkswagen sold 455 units in the month of May and this is translated to 325% of increase as the year before, they only rolled out 107 units.
In the first five months of 2011, VW rolled out 2,057 units which is a 341% improvement. In other brands in the luxury car brands, Mercedes Benz rolled out 541 units in May while for May 2010, the sold 455 units, which is 19% better. The first five months saw Mercedes Benz improve 13% in terms of sales. Competitor BMW did better with a 38% increase for the month of May while to date sales saw sales surge to 30%.
MAA reported that the drop in TIV in the industry was mainly due to the recent earthquake in Japan that affected delivery of vehicles and parts. However, this was then spilled over to buyers turning their attention to the luxury car segments.