The continued weakness in the sedan segment compounded with declining fleet sales led to 1,464,277 new-car sales in June, a year-over-year decline compared to the previous year, according to the NADA.

Despite this weak showing, the NADA’s forecast for 2017 remains at 17.1 million new cars and light truck sales, compared to the record 17.5 million in 2016.

The average transaction price of a new vehicle in June was just over $34,500, according to NADA. This figure remained relatively unchanged compared to the previous year; however, this was only true due to increased incentive spending — specifically on small, midsize, and luxury cars.

Looking toward the second half of summer and early fall, NADA expects both fleet sales and incentive spending to rise.

Through the first six months of the 2017, dealers have sold 8,401,715 new vehicles, down 2.2% compared to the same time last year, according to the National Automobile Dealers Association. Year-over-year, car sales have fallen 11.8% while truck sales have grown 4.9%.

“Overall consumer demand for new vehicles is still very healthy,” said NADA Chairman Mark Scarpelli. “Consumer tastes continue to trend away from sedans and toward light trucks and SUVs. Sedans now account for 37% of sales, meaning that roughly two out of every three retail transactions are now a light truck, SUV or crossover. Simply put, there is great demand for the utility that SUVs and light trucks provide.”