New domestic car sales rose 35.2% in...

New domestic car sales rose 35.2% in early May, the industry reported, surprising analysts, who continue to be amazed by the strength of the auto market in 1988. Ford, General Motors and Chrysler posted impressive gains for the period, which was the best for the domestic industry since 1986. Ford said its sales rose 30.5%, while GM’s increased 36.4%. Chrysler posted a 44.8% gain, the largest of any domestic producer. Honda’s sales of U.S.-built cars rose 37.6%, while Toyota posted a 28.6% increase. Even Nissan, which has been suffering from a sales slump, reported a 9.4% rise. Some analysts now believe that the nation’s low jobless rate, regional economic growth in previously depressed areas, and Detroit’s sales incentives, may all be contributing to the unexpected demand.

AUTO SALES

May 1-10 % 10-Day 1988 change GM 102,152 +36.4 Ford 60,274 +30.5 Chrysler 30,819 +44.8 Honda U.S. 7,066 + 37.6 VW U.S. 823 -33.2 Nissan U.S. 1972 + 9.4 Toyota U.S. 728 28.6 Mazda 436 Total 204,270 +35.2

There were 8 selling days in the selling period this year and last year.