US March sales: GM, Ford and Chrysler post double-digit gains
Ford outsold GM in March 2011 as all three Detroit carmakers posted strong US sales increases, with Chrysler up 31 percent and GM up 24 percent for the quarter.
Ford overtook General Motors in US monthly sales for only the second time in 13 years, as March 2011 figures showed strong double-digit gains for all three Detroit carmakers. Ford delivered 212,295 light vehicles during the month, edging past GM’s 206,621. Both companies reported robust year-on-year growth, with Ford up 16 percent and GM’s quarterly sales up 24.1 percent to 592,545 units.
Detroit Three Post Strong March US Sales Gains
Chrysler also posted a significant recovery, with March US sales jumping 31 percent to their highest level in nearly three years. The company’s rebound followed a period of restructuring and product renewal, marking a return to stronger sales volumes not seen since early 2008.
Hyundai continued its impressive momentum in the US market, recording a 32 percent rise in sales and setting a new all-time monthly record of 61,873 vehicles sold. This performance highlights the growing presence of Korean manufacturers in the American automotive sector.
GM’s New Models Drive Retail Gains
GM’s performance in the first quarter of 2011 was supported by the introduction of new products, particularly the Chevrolet Cruze compact saloon. The Cruze attracted strong retail demand, contributing to GM’s market share gains across all its brands, including Chevrolet, Buick, GMC and Cadillac. Despite reducing incentives and discounts during the month, GM managed to increase both retail and total market share, indicating that its strategy to focus on retail rather than fleet sales was effective.
The company’s newly designed models led to increased showroom traffic, and executives noted that the Cruze, in particular, was a standout performer. GM’s approach of emphasising product quality and design appeared to be resonating with US consumers, even as the company scaled back on aggressive promotional offers.
Ford’s Milestone and Market Position
Ford’s March US sales topped GM’s for only the second time since 1998, marking a significant milestone for the company. Ford, which had been the most profitable of the Detroit carmakers in 2010, continued its upward trajectory, with a 16 percent year-on-year increase in March. The company’s focus on fuel-efficient models and strong brand loyalty contributed to its performance.
Ford’s ability to surpass GM, even briefly, reflected a shift in consumer preferences and the effectiveness of Ford’s recent product strategies. The company’s sales leadership in March was a rare occurrence, highlighting the competitive dynamics among the Detroit automakers.
Chrysler’s Recovery and Hyundai’s Record
Chrysler’s March sales increase of 31 percent was the highest among the Detroit Three, and the best monthly result for the company in almost three years. This growth followed a period of significant restructuring, with new models and refreshed line-ups helping to restore consumer confidence in the brand.
Hyundai’s 32 percent sales gain, resulting in a record 61,873 vehicles sold in March, demonstrated the increasing competitiveness of non-US brands in the American market. Hyundai’s achievement was particularly notable given the established dominance of the Detroit manufacturers.
Industry Concerns: Fuel Prices and Global Events
Despite the strong March figures, industry analysts expressed concern about the durability of the US auto market’s recovery. Rising petrol prices began to affect consumer confidence later in the month, and uncertainty following the earthquake and tsunami in Japan raised questions about the stability of global supply chains and future demand. Sales momentum reportedly weakened towards the end of March as fuel costs climbed, causing some hesitation among buyers.
Analysts warned that the recovery remained fragile, as external factors such as energy prices and international disruptions could quickly alter the positive sales trend. The situation in Japan, a key supplier of automotive components, was closely monitored by manufacturers and dealers alike.
Comparisons with Other Markets
The sales increases for GM, Ford and Chrysler in the US contrasted with more modest growth in other regions. For example, Canada’s March auto sales edged up by just 0.2 percent, according to industry reports, reflecting a far less dynamic market. In Europe, Ford saw a 12 percent sales gain in March, driven by strong demand in Germany and the UK, but this was still below the double-digit jumps seen in the US.
March 2011 US Auto Sales: Key Figures
| Manufacturer | March 2011 Sales | % Change (YoY) |
|---|---|---|
| Ford | 212,295 | +16% |
| GM | 206,621 (March); 592,545 (Q1) | +24.1% (Q1) |
| Chrysler | N/A (March total); up 31% | Highest since 2008 |
| Hyundai | 61,873 | +32% |
