By Edwina Gibbs
TOKYO, June 3 (Reuters) - Japanese demand for new vehicles edged up slightly in May, the first rise in nine months, but most of the growth came in minivehicles and analysts said that would be of little help to the ailing economy.
Overall sales rose just 0.2 percent from a year earlier to 421,282 vehicles, data from the Japan Automobile Dealers Association and the Japan Mini Vehicle Association showed on Monday.
Sales of cheaper 660 cc minivehicles, which account for roughly one-third of the domestic market, climbed 3.9 percent to 136,456 units.
Nearly all of that growth could be accounted for by Nissan Motor Co's first foray into the segment with the Moco -- a car whose production is outsourced to Suzuki Motor Corp .
In contrast, ordinary vehicle sales, which offer much higher margins, slipped 1.4 percent to 284,826.
"Sales of ordinary cars and trucks are not going to perk up for the next six months," said Takaki Nakanishi, auto analyst at Merrill Lynch.
"There are some signs the economy is bottoming out but consumer spending is weak and it is going to take some time."
The number of sales registration days -- which excludes weekends and holidays -- was the same as May last year.
HONDA, NISSAN STRONG
Second-ranked Honda Motor Co continued its long winning streak, with overall sales shooting up 19 percent, pushed higher by the success of its Fit subcompact, also known as the Jazz, as well as the small minivan Mobilio.
Nissan Motor Co , which after two years of intense restructuring and few new models is looking for product-driven growth this year, saw its sales rise 16 percent.
Much of that came from the Moco which will not contribute greatly to earnings but the automaker also reported a 6.6 percent rise in ordinary vehicles, with sales of its new March subcompact beginning to make an impact.
Sales at most other major automakers declined, with the nation's largest automaker, Toyota Motor Corp , reporting a 3.6 percent drop for Toyota-brand vehicles.
"Toyota has just launched the upmarket "ist" subcompact but it's not enough to offset the fall-off in its once-successful small car series sales such as the Vitz, Platz and Funcargo," said Tatsuo Yoshida, auto analyst at Deutsche Securities.
On a group basis, including minivehicle maker Daihatsu Motor Co and truck unit Hino Motors Ltd , Toyota's sales slid 5.5 percent.
Mitsubishi Motors Corp , still suffering the effects of a customer complaints and recall scandal two years ago as well as a lack of new models, posted a 10 percent slide.
A nine percent rise in minivehicles, mainly its eK wagon, helped offset a 33 percent slide in ordinary vehicle sales.
The smallest of the five automakers, Mazda Motor Corp , logged a 16 percent drop in sales although it recently launched a new, mid-sized sedan, the Atenza or "Mazda6", which is expected to boost sales this year.