The Spaniard's three on the par-four 18th sent him into a five-way tie for sixth on four under overall. It is the first time since 2004 that he has posted a sub-par round at a Masters.
A shot further back is Sweden's Henrik Stenson,
while Padraig Harrington
of Ireland sits two under in his quest for a third successive major.
Harrington might have been in a stronger position had he not been handed a one-shot penalty after his ball was blown by the wind on the 15th green.
Because he had addressed it previously the penalty was imposed and instead of putting for birdie the putt he then sank was for par.
"It started to blow, so I stood off it, but a gust came and blew it three feet further away." the reigning Open and PGA Championship holder told BBC Sport.
"It's strange. It happened to me before when the referee ruled it was not a penalty, but I grew up thinking it was, so it wasn't hard to take and I was pleased that I collected my thoughts and knocked the putt in."
meanwhile, has made a fine start in his bid for a first major. If he achieves it, the 48-year-old will usurp Jack Nicklaus - 46 at the time of his 1986 triumph - as the oldest Masters champion.
"I feel like I can win," said Perry. "I'm driving it great. The wind is really swirling. You've got to be really careful out there. If I keep hitting the fairways like I've been doing it's going to be great."
Also in the hunt for his first major title, Campbell
set the early pace by birdieing two of his first four holes and adding two more at the 8th and 10th.
But the gusts peaked at 30mph when the Texan reached Amen Corner and he took bogeys at the par-four 11th and par-three 12th.
Leader Campbell in confident mood
His lead was shaved down to two shots as Perry sunk an outstanding putt to make three on the par-three 12th, his first birdie on a par three all tournament.
The gap was closed further when Campbell bogeyed 17 and although he then birdied 18 to extend his advantage, it was eroded by his US Ryder Cup team-mate.
"That was a great birdie on 18 - I was glad to see that ball hit the hole," said Campbell. "I am definitely happy with the way things are going. I feel like I am playing well and looking forward to the weekend."
Campbell missed the cut in three of his five previous Masters appearance but shared third in 2006. He has not won a PGA event since his fourth tour triumph at the 2007 Viking Classic and knows the year's first major is far from over.
"It feels great but we're only halfway there," he added. "There's a lot of golf to be played. I like my position. I'm looking forward to the weekend. Hopefully I can keep doing what I'm doing."
another US Ryder Cup player, set a Masters record with 11 birdies in his seven-under-par round of 65 that left him four under overall.
The previous birdie record of 10 had been set by Zimbabwe's Nick Price in the third round of the 1986 Masters.
The 23-year-old Kim, whose round was the lowest of the day, shared 75th place Thursday but has suddenly leapt into contention for a green jacket on his first Masters appearance.
climbed from 39th place to sixth with a sensational run that included a 10-foot eagle putt on the 13th.
The 19-year-old from Holywood had shot 57 after 15 holes but double-bogeyed the par-three 16th and triple-bogeyed the par-four 18th to drop back to one over.
Player is humbled after his final Masters appearance
On the last, McIlroy was bunkered in two, left his attempted recovery in the sand and could not get close with his next and needed three more shots before holing in seven.
McIlroy's place in the third round looked in danger after officials investigated after he was seen to kick sand up before playing his second bunker shot at the last, which could be deemed to be testing the conditions.
However, the teenager avoided any penalty and will go out for the third round with defending champion Trevor Immelman.
At the other end of his career, the 51-year-old Sandy Lyle,
champion in 1988, finished on two under to also make the weekend.
At one stage, Lyle was tied for top European with Graeme McDowell
and Stenson on two under, before Garcia's late run.
Lyle opened the tournament with a double-bogey six, but five successive birdies from the 13th on Friday lifted him to three under before he bogeyed the last for a 70.
Northern Irishman McDowell carded a 73 but was left to rue a six on the long 15th, where he went for the green in two and saw his ball sail 40 yards over the green. Lee Westwood
was also two under.
Englishman Ian Poulter
matched McDowell's 73 for a level-par aggregate, the same as Houston Open winner and compatriot Paul Casey.
champion in 1991, finished five over, while fellow former winners Ben Crenshaw
and Tom Watson
in his Masters farewell, missed the cut by two after a 77, while Fuzzy Zoeller,
also playing in his final Masters, carded a 76.
But the biggest cheer of the day was reserved for South Africa's three-time champion Gary Player,
who carded an 83 in his 52nd and final appearance at Augusta.
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