Washington  - Car sales in the United States remained very weak in March, plummeting more than 38 per cent on average from 2008, but carmakers pointed to signs that the market may be bottoming out as they struggle to survive the global recession.

General Motors Corp reported a 45-per-cent decline in sales in March compared to the same month a year earlier. Ford Motor Co said sales fell 41 per cent and Chrysler LLC reported sales dropped 39 per cent.

Asian carmakers have also struggled in the US environment. Toyota Motor Corp reported is first annual loss in company history last year, while Honda Motor Co on Tuesday said it was slashing production and cutting salaries in North America.

For March, Toyota said sales dropped 39 per cent from a year earlier. Honda Motor Co reported a 36-per-cent drop and Nissan Motor Co was down 38 per cent.

But the carmakers pointed to improved sales compared to February as a sign that the sales may be on the upswing. Chrysler, which faces a 30-day government deadline to restructure of face bankruptcy, said March sales had risen above
100,000 for the first time in six months.

GM, which faces its own 60-day deadline to restructure or lose government support, said sales had climbed 23 per cent from February.

"Sales for GM and the industry showed signs of life at the end of the month compared with January and February," said Mark LaNeve, vice president of GM's North American sales. "We are encouraged by actions taken by the federal government to stabilize the industry and stimulate demand."

The global recession has driven down consumer demand across a whole variety of products. Car manufacturers and others have been offering a variety of incentives to lure buyers back into their dealerships.

GM and Ford on Tuesday promised to subsidize car payments for anyone who loses their job after buying a new car, following a similar initiative by South Korean maker Hyundai Motor Co at the start if this year. (dpa)