New Car Demand Increases As Supply Dwindles, Who Will Be The First To Run Out?

Consumers bought more new cars in March, giving the auto industry a big boost, but the surge in demand and shrinking supplies are fueling worries of higher vehicle prices.

Automakers sold more than 1.2 million vehicles in the U.S. last month, up 16.9% from the same period a year earlier, Autodata Corp. said Friday.

Small cars and hybrids were among the hottest sellers. Sales of Toyota Motor Corp.'s Prius hybrid rose 58% and the company has barely a two-week supply of the cars. Production delays caused by the March 11 earthquake in Japan are expected to shrink the inventory even more.



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