March Sales Swell as Car Buyers Rush to Beat Tariffs
U.S. new-vehicle sales reported to the Automotive News Research & Data Center showed multiple double-digit gains and few losses in March as new tariffs set to go into effect starting April 3 are expected to raise prices.
Hyundai’s premium Genesis marque set the pace with a 20.4% year-over-year improvement; sales of Hyundai (13.6%) and Kia (13.1%) models improved as well. Subaru (16.6%), Mazda (16.1%), Honda (13%), Ford (10.5%) and Toyota (7.7%) also notched gains. Volvo’s U.S. sales slipped by 8.2%.
General Motors and Stellantis report sales to AN on a quarterly basis. GM’s Q1 sales were up 17% compared with the year-ago quarter, led by Buick (39%), Cadillac (18%) and GMC (18%). Stellantis registered its seventh straight quarterly decline, down 12% year-over-year, including slower sales from its Jeep (-10%) and Ram (-2%) divisions.
Tesla also reports sales quarterly. The U.S.-based EV maker moved 13% fewer units worldwide than in the prior-year quarter. Rival Rivian fared even worse; executives say the January wildfires in Los Angeles, near its Irvine, Calif., headquarters, contributed to a 36% drop in sales compared with Q1 2024.
AN’s David Phillips reports manufacturer incentive spending increased “significantly” on a year-over basis in March, exceeding the $3,000-per-vehicle mark, up by more than 8%.
“But some analysts expect some discounts to drop in the coming weeks if prices rise and inventory and vehicle selection decline in the wake of impending U.S. tariffs on car and light-truck imports,” Phillips notes.
