2024 New Vehicle Sales Expected to Show Steady Growth, Strong Q4 Performance Drives Sales Above Projections

As we near the end of 2024, the automotive industry is gearing up for a strong finish to the year. With new vehicle sales expected to show steady growth in December, according to the latest forecast from Cox Automotive, there is a sense of optimism in the air. The seasonally adjusted annual rate (SAAR) for December is projected to reach 16.5 million units, matching the sales pace of November and significantly increasing from the same time last year.

One of the key factors driving this increase in sales is the decreasing uncertainty following the U.S. election season. Consumers who were initially hesitant to make large purchases are now moving forward with their vehicle purchases in anticipation of potential policy changes that could impact pricing. This sense of urgency, combined with an improving economic outlook, has created positive momentum in the market.

The strong performance in the fourth quarter has also driven 2024 sales above initial projections. With a projected total of 15.85 million units for the year, marking a 2.3% increase from 2023, the automotive industry is on track for a successful year. General Motors is expected to retain its position as the top-selling automaker in the U.S., with Honda making significant market share gains and ranking fifth on the sales chart.

Looking ahead to 2025, Cox Automotive forecasts a 3% increase in new vehicle sales. With rising consumer confidence, improving inventory levels, and favorable financing conditions, the industry is poised for continued growth. Advancements in EV adoption, inventory replenishment, and evolving consumer preferences will also play a significant role in shaping the market in the coming year.

Overall, the automotive industry is ending 2024 on a high note, with strong sales performance and positive momentum heading into the new year. Stay tuned for more updates on the latest trends and developments in the automotive market.