Chrysler's U.S. Sales Rise 9.2% in June

Chrysler Group LLC said Tuesday that its U.S. auto sales rose 9.2% in June, as the company's Jeep and Ram brands continued delivering strong results.

After a torrid May, analysts had expected sales for the industry to cool off in June, as the month had two fewer selling days than the same period a year ago. Observers will be looking for signs whether the recent sales strength has legs amid a growing spate of recalls coming from the industry.

Chrysler, a unit of Fiat Chrysler Automobiles, said this week that it expanded a recall of minivans and sport-utility vehicles to fix an ignition-switch problem that could possibly result in the loss of power to air bags. The original recall in 2010 covered 196,000 vehicles built between Aug. 2, 2009, and June 17, 2010. The expansion covers 695,957 additional vehicles built between Jan. 29, 2007, and Aug. 1, 2009, the company said.

Chrysler was expected to post sales growth in June, according to Edmunds and auto researcher Kelley Blue Book. It sold 171,086 vehicles in June, up from 156,686 during the same month a year ago. The company said it was its best June sales result in seven years.

Truck sales, which made up 77% of total Chrysler sales in the month, improved 22%, while car sales fell 19%.

Sales of the Jeep brand jumped 28%, thanks to its Cherokee model, while the Ram brand posted a 14% increase, driven by the brand's pickup and its new ProMaster van.

Chrysler said it finished June with a 72-day inventory supply, compared with a 69-day supply at the end of May. It also projected June U.S. sales for the entire industry at a seasonally adjusted annualized rate of 17 million units.

Write to Michael Calia at [e-mail]

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