But General Motors Co came in below expectations as the US automaker eased off the generous deals it had offered consumers over the first two months of the year.
Ford Motor, Chrysler Group and Nissan Motor all reported stronger-than-expected results and Ford outsold GM for only the second time since 1998.
However, analysts worry that the rising gasoline prices and the uncertainty surrounding the Japan crisis could threaten any recovery in the auto sector.
“The recovery is fragile,” Edmunds.com analyst Michelle Krebs said, adding that sales in March weakened later in the month as gasoline prices rose.
“The consumer does not like uncertainty, and they had a heavy dose of it in March.”
GM sales chief Don Johnson does not expect a “significant” impact from the Japan crisis on sales at this time. The automaker expects US sales this year to finish between 13 million and 13.5 million, up from 11.5 million last year.
GM shares were up 3.3 percent on the New York Stock Exchange on Friday afternoon, while Ford stock was up 2.6 percent.
Auto sales represent one of the first snapshots every month of US consumer demand, and 34 economists surveyed by Reuters estimated March sales would rise 12 percent on average. Other automakers are scheduled to report March US sales later on Friday.
March is traditionally a stronger sales month than February, but lower incentive spending by GM, Toyota Motor Corp and others likely resulted in a lower growth rate than February’s stronger-than-expected 27 percent gain.
GM said total US sales in March for its four brands rose 11.4 percent from last year to 206,621 vehicles. Including its four former brands — Hummer, Pontiac, Saab and Saturn — GM sales rose 9.6 percent.
Edmunds had expected a gain of 11 percent including the former brands, and TruCar.com and JP Morgan also said the results missed expectations.
GM’s incentives per vehicle on average were $600 to $800 lower last month and the automaker would be prudent and disciplined with its deals going forward, Johnson said.
Ford sales rose 19 percent from last year to 212,777 vehicles, ahead of the 12 percent gain TrueCar had forecast.
Chrysler sales jumped 31 percent, far above the 13 percent increase TrueCar had predicted. Nissan sales rose 28.4 percent, beating TruCar’s 16.3 percent estimate.
The stronger-than-expected result at many automakers echoed the good news on the labor front as US employment on Friday recorded a second straight month of solid gains in March and the jobless rate fell to a two-year low of 8.8 percent.
Despite the March sales increase, rising oil prices and the resulting pain at the pump could push consumers away from more lucrative light trucks.
Light truck sales, which include pickup trucks and sport utility vehicles, make up a little more than half of US auto sales and account for a disproportionate share of profits at the US automakers because of their higher prices.
“With gasoline prices eclipsing $3.50 a gallon, consumers are placing a high priority on fuel efficiency in every size and kind of vehicle,” said Ken Czubay, Ford’s vice president of US sales.
Gasoline prices rose more than 3 cents to $3.60 a gallon over the last week, the Energy Department said. The average price of regular gas is 80 cents higher than a year ago as conflict in Libya and rising tensions in the Middle East have sent the cost of crude oil to above $100 a barrel.
Another focus is the aftermath of the Japanese earthquake and subsequent tsunami last month which caused many supplier plants there to close or cope with power outages.
Industry executives said they are monitoring the situation closely, but have declined to speculate on its impact. GM’s Johnson said the US automaker has a “very good” level of vehicle inventory going into April.
Ford said it is pursuing other sources of supply for affected parts as necessary, but was able to maintain its previously announced first-quarter production plans.
However, the US automaker warned that further problems in Japan in the weeks ahead could force it to reduce or idle output.
