High interest rates and an affordability crisis have suppressed car sales in 2024, but analysts are hopeful that 2025 will reverse the trend.
As 2025 approaches, the automotive industry is at a crossroads. Industry experts are predicting a modest rebound in car sales, but ongoing economic uncertainties and potential policy shifts leave plenty of uncertainty for an industry that has struggled to move inventory this year. Could 2025 mark a turning point for car sales in the United States?
“Affordability (or lack thereof) in the new vehicle market was the recurring theme of 2024,” said Jessica Caldwell, Edmunds’s head of insights. “Consumers are still feeling the pinch, but the market has become a slightly friendlier place for car shoppers than it was at the start of the year.”
