US auto firms notched a double-digit jump in sales in May as they cashed in on an economic recovery while Japanese giant Toyota saw volume modestly rise despite a recall crisis, data showed Wednesday.
Chrysler, which together with General Motors emerged from bankruptcy about a year ago,posted the largest increase in year-on-year sales, which surged 33 percent.
It was the firm’s second straight monthly gain, with sales climbing to 104,819 units from 79,010 units in May last year.
Company executive said it was the first time monthly sales topped the 100,000 threshold since March last year, when the market was depressed after a financial crisis plunged the world’s largest economy into recession.
“May was another positive sign as sales momentum continues to build for Chrysler Group, exceeding the 100,000-unit threshold for the first time in more than a year,” said Fred Diaz, Chrysler’s president and chief executive.
“The company continues to show improvement each month, with May being our strongest month this year, exceeding overall industry growth for the second month in a row.”
GM, which reported last month its first post-bankruptcy quarterly profit in three years on the back of cost-cutting measures, said its US sales rose 16.6 percent in May from a year earlier.
It was the eighth consecutive month of gains for the top US automaker, with 223,822 units sold, outpacing April sales of 183,091 vehicles.
Steve Carlisle, vice president of GM’s US sales operations, said the company’s brands had outperformed the US auto market thanks to its newest products.
Ford, the strongest of the local auto giants, said its US sales soared 21.9 percent in May from a year earlier — the sixth month in a row its sales have increased more than 20 percent.
The company said total sales rose to 196,912 units from 161,531 units in May last year.
“Our laser focus on fuel efficiency and quality is paying off for our customers and for Ford,” said Ford vice president Ken Czubay.
Ford also announced it would phase out its 71-year-old Mercury brand in the fourth quarter as part of restructuring that will also see an expansion of its luxury Lincoln line-up.
Edsel Ford, son of company founder Henry Ford, established Mercury during the Great Depression as a mid-priced alternative to the mainstream Ford and upscale Lincoln.
Mercury will now join a host of other Detroit brands that faded away this decade, including GM’s Saab, Saturn, Hummer and Pontiac, along with Chrysler’s Plymouth brand.
Toyota meanwhile posted the smallest year-on-year sales increase in May among the top automakers after being plagued by massive safety recalls earlier this year.
Its US sales climbed 6.7 percent from a year earlier to 162,813 units.
Don Esmond, senior vice-president of automotive operations for Toyota Motor Sales, USA, said the company was working hard “to exceed our customers’ expectations for quality, safety, reliability and service.”
Toyota has pulled around 10 million vehicles worldwide since late last year for safety issues and has paid a record 16.4-million-dollar fine to settle claims it hid gas pedal defects.
The beleaguered auto giant also faces a host of lawsuits over “unintended acceleration” issues that prompted the majority of the recalls.
