Electric Surge Drives 6% Rise in US Auto Sales for Oct Quarter
When compared to the same period in the previous year, it is anticipated that automobile sales in the United States will increase by approximately six percent during the third quarter. This is due to the fact that consumers appear to be speeding up their purchases of electric vehicles in anticipation of the expiration of certain tax credits, while the demand for SUVs and crossovers continues to remain stable.
In comparison to the 3.9 million units that were sold during the same time period in the previous year, the market research firm forecasts that the number of new vehicles sold in the United States will reach roughly 4.14 million units over the period of July to September. As a result of the One Big Beautiful Bill, which was signed into law by President Donald Trump on September 30, the tax credits of $7,500 for new electric vehicle purchases were withdrawn. This led to a temporary increase in sales during the quarter. The tariffs imposed by Trump have had a considerable impact on the sector, the result of which is an increase in the prices of various components and parts. In spite of this, the demand for new automobiles has been consistent up until this point.
The demand for pickup trucks and mid-size crossovers has continued to show strength in September, according to a report. Charlie Chesbrough, an analyst indicated in the research that it is predicted that new vehicle sales will decrease in the following months as a result of companies transferring their increased expenditures. “More tariffed products are replacing existing inventory, and prices are expected to be pushed higher as automakers pass along higher import costs,” Chesbrough explained. According to the information provided, it is projected that General Motors will continue to hold the leading position throughout the entirety of the quarter, with the North America subsidiary of Toyota Motor and Ford following closely after. Almost six percent of Tesla’s sales are expected to fall, according to projections.
According to J.D. Power, it was projected that the average retail price of new vehicles would reach $45,795 in the month of September. This represents an increase of $1,310 in comparison to October of the previous year. The average increases from the previous year were $938 and $985, respectively, for the months of July and August. It is anticipated by S&P Global Mobility that the demand for automobiles will decrease as the year proceeds. This fall will be influenced by worries regarding the affordability of automobiles, decreased sales volumes of electric vehicles, and a projected downturn in economic activity in the future quarters.
