Chrysler Corp and Toyota Motor Corp both shattered all-time monthly sales records, while other auto-makers such as Honda Motor Co Ltd, BMW of North America Inc and Kia Motors Corp said they broke records for the month of May.

``The auto industry hit more home runs in May than Mark McGwire,'' executive vice president Yale Gieszl of Toyota Motor Sales USA said. But he also warned that any cutbacks on incentives could slam the brakes on the sales pace.

Chrysler said May sales shot up 27 per cent to an all-time record 250,031 cars and trucks. The previous record for a month was May 1996 when the US no 3 auto- maker sold 245,289 vehicles. All percentage changes are based on a daily selling rate. May had 25 selling days vs 26 a year ago.

Truck sales, including pickup trucks, minivans and sport utility vehicles, jumped 39 per centto 176,579. Total sport utility sales hit a new record of 60,138, up 55 per cent. Sales of the Grand Cherokee alone were 24,620, a 37 per cent increase.

The popular Dodge Durango sport utility had its best sales month ever, with 13,036 sold. Minivans as a group rose 16 per cent to 57,748, the best showing since May 1996.

Car sales, where Chrysler has been weakest, surpassed analyst estimates by rising 5 per cent to 73,452. Combined sales of the new Chrysler 300M and LHS upscale cars, introduced two weeks ago, were 2,800 units.

The new Dodge Intrepid, which went on sale late last year, continued to struggle as sales fell 31 per cent to 8,263. However the sister Chrysler Concorde had a sales increase of 78 per cent to 7,205.

Chrysler admitted the sales gains came after the company matched General Motors Corp and Ford Motor Co in offering so-called loyalty coupons. Lead by GM, Detroit's Big Three in April began offering current owners rebates ranging from $500 to $1,000 on top of existing incentives. GMand Ford are scheduled to report sales on Wednesday.

But executive vice-president James Holden at Chrysler for sales and marketing, predicted strong sales will continue for Chrysler. The company is running 8 per cent ahead of last year for the first five months of 1998.

``With five strong selling months behind us, including this record-breaking May, we're well on our way to a record year,'' he said.

Meantime, Toyota said its sales hit 136,274, a 17.4 per cent increase over last May and the Japanese auto-maker's best month since July 1986.

Driving Toyota's results were sales of 44,388 Camry sedans, an increase of 24.7 per cent and the car's best month ever. Sales of Toyota's Lexus luxury unit doubled to 14,620.

Honda reported an 18.5 per cent increase in May sales to 92,641, fuelled by strong gains in its car line. American Honda Motor Co Ltd, a unit of Honda, said sales of the Accord sedan were 36,142, a jump of 35 per cent. Civic sales were up 18 per cent to 32,650.

Among other auto- makersreporting on Tuesday, Mitsubishi Motor Corp said May sales rose nearly 30 per cent to 19,315, its best month so far this year. Kia said it sold 6,301 vehicles, a 33 per cent increase.

BMW said it sold 12,154 vehicles in the month, its best May ever and an increase of 9.4 per cent. Nissan Motor Co, one of the few auto-makers to report a down month, said sales fell nearly 12 per cent to 52,992.

Earlier, Subaru of America Inc said it sold 12,280 units in May, a more than 32 per cent increase, and its best May in 10 years.

(Reuters)