It’s rush hour in the nation’s car showrooms

Low rates, cool designs rev up sales

March is turning out to be the best month for sales of new autos in at least six years.

Major automakers including Ford, Chrysler, Toyota, General Motors and Nissan all reported increases, with some reporting their best monthly totals since the Great Recession started in December 2007.

The strong numbers are another sign that Americans are buying cars in increasing numbers as their financial situation improves.

Buyers were lured to showrooms by low interest rates. Plus they continue to replace older cars and trucks — the average age of a vehicle on the roads is more than 11 years.

“A strong first-quarter close and increased consumer confidence continue to position the auto industry as a leader in the economic recovery,” said Bob Carter, Toyota’s senior vice president of automotive operations.

Sales at Ford and General Motors each rose about 6 percent, while Chrysler sales rose 5 percent compared with

last March.

Toyota and Nissan each reported 1 percent sales increases. Nissan called March the best sales month in company history.

Chrysler sold nearly 172,000 cars and trucks, its best month since December 2007, while Ford reported its best month since May 2007 with sales of about 236,000 vehicles.

Toyota sold more than 205,000 cars and trucks in March, its highest total since August 2009, when the government paid people to trade in their clunkers for new vehicles.

But Toyota’s pace of growth is slowing because sales are being compared to huge monthly increases last year.

Both Toyota and Honda had big years in 2012 as they recovered from a 2011 earthquake in Japan that hobbled their factories and caused vehicle shortages.

Industry analysts estimate that total March sales reached nearly 1.5 million cars and trucks, a number not seen since May 2007. Total U.S. sales are expected to be up 3 to 5 percent over March of 2012.

Alec Gutierrez, a senior market analyst with Kelley Blue Book, said the improving job market is boosting sales.

The number of Americans seeking unemployment benefits fell to a fiveyear low during March. Low interest rates are also making new-car purchases more appealing, Gutierrez said. The average rate for a 60-month new-car loan is now 4.12 percent, down from 4.52 percent at this time last year, according to Bankrate.com.

And Gutierrez says tax refunds may have also spurred purchases. The average federal tax refund this year is nearly $3,000, or enough to cover the down payment on a threeyear lease of a Toyota Camry hybrid or a BMW 3-Series sedan.

Chrysler said sales in March were led by the Ram pickup, with an increase of 25 percent. It also recorded big gains for the Dodge Avenger and Challenger sedans.

Volkswagen’s sales were up 3 percent.