DaimlerChrysler Breaks Sales Record; Other Makers See Gains

DaimlerChrysler sold 16.5% more Chryslers, Dodges, Plymouths and Jeeps in the U.S. last month than Chrysler did in March 1998, setting first-quarter and March sales records as Americans’ demand for new vehicles continued to grow unabated.

Nearly every auto maker that reported March results Thursday also had double-digit increases.

Toyota Motor Corp. said sales increased 10.5% over March 1998, fellow Japanese maker Mitsubishi Motors Corp. continued its rebound with a 63% improvement, and Germany’s Volkswagen posted a 52% gain for its best March in 18 years.

Among other Japanese firms, Honda Motor Co. reported that sales were up less than 1%, but that was enough to break its March record; a 7% drop in car sales was offset by strong demand for its Odyssey minivan and CR-V sport-utility vehicle.

Even ailing Nissan Motor Co. managed a 4% gain, in part because of increased sales of its redesigned 1999 Quest minivan.

Among the 12 major auto makers that have reported so far, total sales were up 15% over the first three months of 1998.

“It’s amazing, isn’t it?” said analyst Nick Colas of Credit Suisse First Boston.

Colas suspects that one contributing factor was the increase in electronic filing of income tax returns, which has resulted in earlier disbursement of refunds. But the major factor remains the soundness of the U.S. economy.

Colas said the industry may be nearing a sales peak.

Among smaller auto makers, Land Rover was up 76%; Subaru, 19.5%; Audi, 28%; Saab, 9.5%; Volvo, 8%; and Isuzu, 4%.

Ford Motor Co. plans to release its March sales figures Tuesday, followed by General Motors Corp. on Wednesday.