CHRYSLER, Toyota and Ford each reported sales declines last month, but General Motors (GM), Nissan and Honda surprised industry analysts on Tuesday by showing an increase in a declining United States car market.

Toyota's 2.8 per cent sales drop, Ford's 14.4 per cent decline and Chrysler's 6.1 per cent decrease were symptoms of what analysts said would be a slumping US car market due to high petrol prices, rising mortgage payments and turmoil in financial markets.

But GM, led by higher pickup truck sales, showed an increase of 6.1 per cent, while Nissan reported that its sales increased 6.3 per cent and Honda reported a 4.7 per cent increase.

Ford has blamed declining sales through the year on efforts to wean itself off low-profit sales to rental car companies and other fleet buyers. It also said it had heavy incentives that boosted sales last month.

The carmakers' sales analysts said, however, they were being hit by a declining US economy that has rattled consumers.

"Overall, the industry experienced softer sales in August than a year ago," Mr Darryl Jackson, vice-president of US sales for Chrysler, said in a statement, adding that Chrysler's fleet sales are down more than 20 per cent from the same month last year.

Toyota, with 233,471 vehicles sold, beat Ford for last month. The Japanese carmaker sold 1.788 million vehicles during the first eight months of the year, edging out Ford, which sold 1.784 million. Many analysts have predicted that Toyota will overtake Ford for the No. 2 slot for the full year.

Ford's car sales of 64,864 were off 33.7 per cent when compared with the same month last year, while light truck sales, at 152,572, dropped 2.3 per cent, the company reported.