Car Sales Up 26.5% Early This Month Due to Incentives

Big Three auto sales shot up 26.5% in early April, when incentives were in full force, compared with last year when the deals had expired, the companies said today.

General Motors, Ford and Chrysler said cars and light trucks sold at an average daily rate of 34,931 during the April 1-10 period this year, contrasted with a rate of 27,621 last year.

Car sales soared 27.6%, and sales of light trucks were up 24.6% during the period.

Late last month, Ford and GM announced new incentive packages featuring 2.9% interest on two-year loans and increased rebates. Chrysler got into the fray April 3, going one step further to interest-free financing on two-year loans for all of its cars.

While incentives surely contributed to some of the early April sales boom, some of the increase is attributable to slow sales during the period last year. Incentives in effect during the first quarter of 1988 expired March 31, persuading consumers planning spring or summer purchases to make them earlier.