Late-Year Auto Sales Off
Purchases of new and used vehicles were down in December despite several positive market turns for consumers, whose optimism didn’t match their big-ticket spending.

Average new-vehicle sales fell 4% year-over-year in the first three weeks of December, used-vehicle sales by about 1%, Cox reported.
Pexels/Tom Fisk
December auto sales were decidedly off from a year earlier, though consumers expressed greater optimism after the end of the federal government shutdown.
The year-over-year decline also came as interest rates eased in December and unemployment claims fell for much of the month, Cox Automotive reported. It said the new-vehicle annual percentage rate fell 13 basis points, the used rate by 25 basis points, the lowest rates of the year.
Consumer sentiment, though it revived somewhat after the shutdown, was still down year-over-year in December, Cox said, citing the Morning Consult tracker, which showed a 3% drop. That was still up about 4% from November.
“This week’s reading showed the fifth consecutive week of negative year-over-year growth in consumer spending, a key factor to watch as many market participants look for signs of slowdown in the economy more broadly,” Cox Interim Chief Economist Jeremy Robb said in the report. “Weakness in consumer spending typically shows up first in discretionary big-ticket purchases like vehicles, making these trends particularly relevant for automotive markets.”
Average new-vehicle sales fell 4% year-over-year in the first three weeks of December, used-vehicle sales by about 1%.
“Optimism doesn’t translate to showroom traffic when consumers are holding off on making purchases,” Robb said.
“The late-month improvement in weekly sales offers a glimmer of momentum, and we know consumers are about to enter a strong tax refund season. As we enter the new year, watch whether rate improvements can finally convert positive sentiment into actual sales.”
More Showroom

Affordable, Safe Cars for Teen Drivers
Families looking to balance affordability and safety in vehicles for their teen drivers can look to the updated list of recommended vehicles by IIHS and Consumer Reports.
Read More →
Auto Dealers Feel Better But Not Great
A second-quarter Cox Automotive poll of franchised retailers and independents found better views of the current market after a good spring but anticipation of third-quarter storminess.
Read More →
Holman Opens Porsche Dealership in Miami
The North Miami store features the brand’s signature Destination Porsche design concept, combining contemporary architecture and technology to create what the auto group calls an ultra-luxury experience.
Read More →
Chicago to Gain Cadillac Rooftop in 2027
The two-story Cadillac dealership is being constructed at the former Lincoln Yards site, owned and operated by Canada-based Jack Carter Auto Group.
Read More →
Mid-Atlantic Ford Store Has New Owner
A growing Maryland automotive group is only the 93-year-old dealership’s third owner after its longtime proprietors retired.
Read More →
Porsche Dealership Breaks Ground in Illinois
Barrington Porsche will be the new location for Murgado Automotive Group’s existing Porsche dealership currently in the Motor Werks of Barrington auto mall.
Read More →
Michigan Auto Group Acquires Ohio Rooftops
Feldman Automotive Group added two new brands, Honda and Toyota, to its portfolio with its latest acquisition of four Fireside dealerships in Ohio.
Read More →
California VW Dealers Go After Scout
The franchisees’ state-level actions follow a California auto dealers trade group lawsuit against the VW affiliate last year, both efforts to stop the EV maker’s plan to sell direct to consumers.
Read More →
EVs Gain Traction in Europe
First-quarter auto sales increased as more consumers took advantage of government incentives. Hybrid deliveries are leading the way on the electrifieds boom.
Read More →
California Holds EV Lead Despite Annual Decline
At nearly 14%, California had the lowest zero-emission vehicle market share in the first quarter since the fourth quarter of 2021, according to the California New Car Dealers Association.
Read More →