July 2 (Reuters) - Growth in U.S. auto sales likely

slowed significantly in the second quarter, marred by a cyber

incident at CDK, even though steady demand and better

availability kept the sales for new vehicles elevated.

Market research firm Cox Automotive estimates U.S.

new-vehicle sales volume in the second quarter to grow 1% to

nearly 4.2 million units. New vehicle sales had surged about 16%

year-on-year in the corresponding period in 2023.

Industry experts have forecast some impact to sales after a

cyber incident at retail technology and software provider CDK

affected dealers across the country in June.

"The CDK cyberattacks have thrown a monkey wrench into sales

during the second half of June, affecting what is arguably one

of the most lucrative and busiest times of the month and quarter

for dealerships," said Jessica Caldwell, head of insights,

Edmunds.

The CDK outage was the latest hiccup for automakers in the

United States, with more than 15,000 retail locations in the

country relying on the retail technology provider for their

dealer management software.

Analysts expect vehicle retailers and automakers to recoup

most of the lost sales in July.

Automakers have benefited from pent-up demand for SUVs,

pickup trucks and hybrid vehicles. Discounts on certain models

and incentives have also attracted price-conscious shoppers.

General Motors ( GM ) is expected to hold its top spot in

the quarter, closely followed by Toyota Motor's ( TM ) North

America unit and Ford, according to Cox.

Automakers launching more affordable feature-packed models

also attracted some buyers looking to switch their older

vehicles.

Cox, however, remained "concerned" over auto sales growth

not being able to hold gains over the latter part of the year

due to uncertainties, including the U.S. presidential election.

"New vehicle affordability concerns remain prevalent and

inventories are not expected to advance as strongly as they have

done over the past 12 months," said Chris Hopson, S&P Global

Mobility analyst.