Light-vehicle sales are on track to rise to a record 97.3 million units this year, despite a second straight annual decline in North America, according to an LMC Automotive forecast.

LMC projects sales of cars and light trucks will grow in every other region, resulting in a 2.1 percent increase in global demand. The biggest percentage gains are expected in South America and Central and Eastern Europe, while larger markets—China, the rest of Asia and Western Europe—are projected to show more modest gains.

The projected 1 percent decline in North American sales could shift for the better or the worse, said Pete Kelly, an LMC managing director. A breakdown of the North American Free Trade Agreement would probably raise vehicle prices and reduce demand, while accelerating economic growth could spur a surprise sales increase.

“That could go either way,” Kelly said during a webinar presenting the forecast. “Perhaps if we did see a bit more strength in the economy, that negative 1 percent could disappear, and it could be flat or slightly up. But at the moment, we’re assuming it will be down a little.”

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