Auto sales across Japan and China continued to grow at a steady pace in December 2020, with the U.S. experiencing a sales increase thanks to higher retail activity during the Christmas period, an analysis by S&P Global Market Intelligence showed.

Meanwhile, Europe registered a decline in auto sales during the month.

New vehicle sales in US rise YOY in December 2020

Overall nonseasonally adjusted U.S. vehicle sales in December 2020 increased 6.4% to 1.61 million units from 1.51 million units in the same month of 2019. The increase reflected stronger retail activity during the holiday period and an upward shift in consumer sentiment, according to analysts at Cox Automotive.

During the month, sales of trucks, minivans and SUVs rose 11.4% year over year to 1.27 million units from 1.14 million units. Meanwhile, passenger car sales decreased 8.7% year over year to 341,101 units from 373,709 units.

2020 marked a historic low for U.S. passenger car sales as the coronavirus pandemic hit auto demand and consumers continued to favor trucks and SUVs.

Among automakers, sales at Toyota Motor Corp. jumped 20.4% year over year to 249,601 vehicles, while Honda Motor Co. Ltd.'s sales slipped 0.1% year over year to 136,467 units. Subaru Corp. posted a 1.9% increase in auto sales to 63,558 units for the month.

General Motors Co., Fiat Chrysler Automobiles NV and Ford Motor Co. do not report monthly U.S. sales data.

Europe registers decline in December sales

Across the EU, the U.K. and the European Free Trade Association, or EFTA, auto sales dropped 3.7% year over year to 1.21 million vehicles from 1.26 million vehicles, according to the European Automobile Manufacturers Association. The EFTA includes Iceland, Norway and Switzerland.

The monthly decrease was, however, slower than November 2020's 13.5% decline.

The coronavirus-related containment measures, lockdowns and other restrictions had varying impact on different EU markets. Germany registered a 9.9% year-over-year increase in auto sales in December, while sales in Spain remained flat. Italy and France reported double-digit sales declines during the month.

Across the EFTA countries, Norway reported a solid 82.8% jump in auto sales, while Iceland posted a 37% increase. Auto sales in Switzerland dropped 15.4% year over year in the month.

Among major automakers, Germany's Volkswagen AG reported an 8.2% year-over-year increase in auto sales to 316,534 vehicles, while sales at French automaker Renault SA fell 15.6% year over year to 125,830 units. Peugeot SA, which merged with Italian-American automaker Fiat Chrysler Automobile NV to form Stellantis NV, posted a 1.7% sales increase during the month.

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Japan, China report year-over-year sales growth

Japan and China continued to register steady growth in auto sales as the effects of the pandemic gradually subside in the markets.

In Japan, auto sales were up 10.9% year over year in December 2020 to 315,200 units from 284,278 units, according to data from the Japan Automobile Manufacturers Association Inc.

Major local automakers also reported an increase in monthly sales. Toyota's monthly sales rose to 110,535 units from 98,923 units. Honda sold 40,834 vehicles during the month, up from 35,617 vehicles it sold in the year-ago period. Nissan Motor Co. Ltd. also registered an increase in sales to 29,978 units from 26,047 units in the prior-year period.

Meanwhile, China reported a 12.5% year-over-year increase in total sales to 2.83 million vehicles in December 2020, data from the China Association of Automobile Manufacturers showed. Overall, auto sales dipped 1.9% in 2020 in the Asian country.

During the month, passenger car sales increased 7.2% year over year to 2.38 million vehicles, while commercial vehicle sales increased 2.4% from a year earlier to 456,000 units.