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Transportation equipment industry

Auto Sales Perk Up in March, Despite Woes at Domestic Carmakers

Strategic Insights

— 2 min read

American auto sales rose 0.8 percent in March, with foreign competitors gaining ground at the expense of domestic carmakers. General Motors (G.M.) and Ford Motor saw sales decline, while Nissan Motor had a 12.6 percent increase, its first time selling over 100,000 cars and trucks in the U.S. in a month. The Delphi Corporation, a major auto parts supplier, faced further scrutiny over an accounting scandal, with federal agencies joining the Securities and Exchange Commission in investigating the matter.

Key Takeaways:

  • Auto sales rose 0.8 percent in March, with a seasonally adjusted rate of 16.8 million cars and trucks sold in the U.S.
  • Nissan Motor reported a 12.6 percent increase in sales, setting a new record for sales in the U.S. in a month.
  • General Motors (G.M.) saw sales decline 1.5 percent, while Ford Motor's sales dropped 4.9 percent from the same period last year.
  • Delphi Corporation, a major auto parts supplier, faced further scrutiny over an accounting scandal, with federal agencies joining the Securities and Exchange Commission in investigating the matter.
  • Chrysler sold 4 percent more vehicles in March, propelled by strong sales of new products, including the Chrysler 300 sedan and minivans.
  • Toyota Motor and Honda Motor saw sales increases of 12.3 percent and 6.9 percent, respectively.
  • American shoppers continued to migrate to Asian brands, with Nissan selling one million vehicles for the first time in its fiscal year.
  • The Chrysler division of DaimlerChrysler reported a 4 percent increase in sales, with strong sales of the Chrysler 300 sedan and minivans.
  • G.M. and Ford are losing market share to foreign competitors, with traditional domestic brands accounting for 57.8 percent of American sales, down from 59.1 percent the previous year.

Statistics:

  • Auto sales rose 0.8 percent in March, to a seasonally adjusted rate of 16.8 million cars and trucks.
  • Nissan Motor reported a 12.6 percent increase in sales, the first time the company had sold over 100,000 cars and trucks in the U.S. in a month.
  • General Motors (G.M.) saw sales decline 1.5 percent in March.
  • Ford Motor's sales dropped 4.9 percent from the same period last year.
  • Delphi Corporation's shares fell 3.6 percent to $4.32 each.
  • The Federal Bureau of Investigation, the United States Postal Service, and the Securities and Exchange Commission are investigating an accounting scandal at Delphi.
  • Chrysler sold 4 percent more vehicles in March.
  • Toyota Motor and Honda Motor saw sales increases of 12.3 percent and 6.9 percent, respectively.
  • The unemployment rate in Michigan, a major hub for the auto industry, stands at 7.5 percent.
  • Traditional domestic brands accounted for 57.8 percent of American sales in the first quarter, down from 59.1 percent the previous year.

Sources:

  • Ward's AutoInfoBank
  • The Detroit News
  • The Securities and Exchange Commission (SEC)
  • The Federal Bureau of Investigation (FBI)
  • The United States Postal Service (USPS)

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