1 Million Americans Exit New-Car Market as Prices Near $50,000 and Tariffs Deepen Squeeze
Updated
Updated · The Daily Beast · May 28
1 Million Americans Exit New-Car Market as Prices Near $50,000 and Tariffs Deepen Squeeze
6 articles · Updated · The Daily Beast · May 28
Analysts now expect U.S. new-vehicle sales to reach no more than 16 million this year, down from roughly 17 million annually before 2020, after 1 million Americans left the market.
Near-$50,000 average vehicle prices, high interest rates and expensive fuel have pushed buyers out, with Trump tariffs adding pressure across the industry.
Ford alone absorbed about $2 billion in tariff costs last year, underscoring how trade policy is worsening the affordability crunch for automakers and consumers.
Record vehicle age of about 13 years shows more Americans are keeping older cars, a shift industry executives say threatens assumptions that demand would rebound to pre-pandemic levels.
With Americans driving cars for a record 13 years, is the era of frequent vehicle upgrades officially over?
As new car prices near $50,000, are automakers permanently abandoning the middle-class buyer?
Beyond sticker shock, how are trade tariffs permanently reshaping the global auto manufacturing landscape?