In March, major car companies reported a significant increase in sales, with many achieving double-digit growth to compensate for a slow start to the year. Approximately 1.6 million vehicles were sold in the U.S. during March, representing a 13.6% rise. Sales for the first quarter reached over 3.9 million vehicles. Almost all automakers experienced a surge in electric vehicle sales.
There is uncertainty about the future months for automakers, following President Donald Trump's announcement of 25% tariffs on auto imports effective from April 3. The tariffs are expected to extend to relevant auto parts until May 3. This tariff increase could lead to higher costs and decreased sales, although Trump believes it will result in more U.S. factories opening.
Industry analyst Sam Abuelsamid highlighted that March sales were anticipated to be higher due to some pre-buying before the tariffs took effect. However, this pre-buying was likely constrained by affordability issues and persistently high interest rates.
Specific results for some major automakers are as follows:
General Motors: - Overall U.S. sales increased by 17% in the first quarter, driven by robust sales of full-size pickups and SUVs. - Chevrolet experienced a 14% sales growth, marking its best quarter since 2019. - GMC saw an 18% increase in sales, recording its best quarter ever, with electric vehicle sales nearly tripling.
Ford Motor: - Total sales surged by 10% in March due to strong sales of the F-150 pickup and electric vehicles, offsetting a decline in SUV sales. - First-quarter sales dropped by 1%, attributed to reduced sales to rental car companies and discontinuation of two models. - Sales of all-electric and hybrid vehicles grew and constituted about 15% of total sales in the first quarter.
Toyota: - U.S. sales at Toyota Motor North America rose by 7.7% in March. - Electric vehicle sales spiked by 44.1% in March, representing almost half of the total monthly sales volume. - Overall sales for Toyota Motor North America increased by 0.9% in the first quarter.
Honda: - Total sales at American Honda rose by 13.2% in March, driven by the best month of sales for the company's light trucks. - Electrified vehicle sales surged by 89.1% in March, constituting nearly a third of all vehicle sales. - First-quarter total sales increased by 5.3%, with truck sales growth offsetting a decline in car sales.
Nissan: - Total sales increased by 5.7% in the first quarter, boosted by strong performances from the Sentra sedan and the Kicks compact crossover.