Auto sales see boost in March

Small cars, fuel-efficient models lead sales boom. Ford, Chrysler see best March sales in years.

NEW YORK — On the eve of the major auto show here, the auto industry received a boost Tuesday with strong March sales reports.

The sales boom was led by small cars and fuel-efficient models, recognition of the effect of gas prices nearing a national average of $4 a gallon.

Many brands reported the highest March sales in years, Ford Motor since 2007, and Chrysler Group since 2008. Nissan said it was its best U.S. month ever, and it even outsold Honda for the first three months of the year.

Overall, sales rose 12.7% for the month compared with a year ago, Autodata reports. Sales were on a 14.4-million pace for the year.

GM said sales were up 11.8%, Ford rose 5.0%, and Chrysler was up 31.7%, compared with a year ago.

The strong performance of the auto industry is in keeping “with improving employment, income and confidence,” says John Casesa, senior managing director of Guggenheim Securities and an auto industry analyst.

High gas prices aren’t putting a lid on sales. “People are more adjusted to gas price volatility,” adds Casesa, speaking after a conference here on the eve of the press preview of the New York International Auto Show.

Still, the most fuel-stingy models seemed to have an edge in March. General Motors says its sales increase included a record 100,000 cars and crossovers with a 30-mpg highway EPA rating or better.

At Hyundai, sales were up 12.7%, but sales of vehicles rated more than 40 miles per gallon on the highway were up 67.5% overall. At sister brand Kia, 80% of its sales were vehicles getting more than 30 mpg on the highway.

At Ford, the compact Focus sedan and Edge crossover had their bestever March sales. Ford F-series trucks, the biggest-selling model of any car or truck, had the biggest March since 2007. And the Fusion midsize sedan had its best-ever month.

Powered by strong Jeep sales and a doubling in sales of its flagship sedans, Chrysler Group said it was a 24th-consecutive month of yearover-year sales gains and a 10thconsecutive month of gains of at least 20%.

“The combination of credit availability, an improving economy, pent-up demand and even high fuel prices encouraging people to acquire newer, more fuel-efficient vehicles are all helping to drive industry sales,” said Reid Bigland, CEO of the Dodge Brand and head of U.S. sales, in a statement.