Chrysler Sales Rise 5.8% in April

By Chelsey Dulaney 

Fiat Chrysler Automobiles NV said Friday that its U.S. auto sales grew 5.8% in April, as a jump in car sales helped to offset flat truck sales.

April isn't traditionally the hottest sales month for the auto industry, as many consumers delay purchases until the summer selling season--a boom time for many car companies. Meanwhile, auto makers have been slowing the use of incentives to drive sales.

So far this year, U.S. car and light-truck sales have been strong, bolstered by low gasoline prices and despite nasty winter weather. Buyers are continuing to favor heavier vehicles that had fallen out of fashion when high gas prices and a weak economy restrained consumers near the end of last decade.

Auto executives expect the light-truck gains to hold as long as gasoline prices remain relatively low. Light trucks, which include SUVs and many so-called crossover wagons, generally command higher prices and profits than cars.

Automotive information provider Kelley Blue Book said transaction prices of new light vehicles in April rose 2.6% from a year ago to $33,560, lifted by interest in full-size and midsize trucks.

Fiat Chrysler's consistent monthly sales increases have been driven by sales of its Jeep and Ram brands. But in April, its Chrysler 200 led growth.

Overall, FCA US said sales of its Chrysler-branded vehicles rose 26%.

Sales of the midsize sedan jumped to 18,850 vehicles from 4,204 a year earlier.

That helped drive a 29% surge in car sales to 49,788 vehicles, offsetting a less than 1% drop in truck sales to 139,239 vehicles.

Overall, Fiat Chrysler sold 189,027 units in April, up from 178,652 a year ago. Still, Edmunds.com had forecast Fiat Chrysler would sell 192,027 vehicles.

The Ram brand reported a 4.3% uptick in sales, while sales fell 16% for the Dodge brand. Jeep sales rose 20%.

Chrysler projected total industry sales in the U.S. to be a seasonally adjusted annualized rate of 17 million units. Edmunds.com had projected a rate of 16.7 million.

Write to Chelsey Dulaney at [e-mail]

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