FI showroom red and grey logo
MenuMENU
SearchSEARCH

NADA Sticks to 17.1 Million-Unit Forecast

The National Automobile Dealers Association (NADA)’s chairman and chief economist cited strong demand and rising wages among high-income earners as reasons to be optimistic about new-car sales.

by Staff
April 6, 2017
NADA Sticks to 17.1 Million-Unit Forecast

NADA’s leadership is bullish on the new-car market despite economic concerns that could compel some buyers to opt for pre-owned units. Photo by htmvalerio

2 min to read


TYSONS, Va. — In a Wednesday-morning conference call with members of the automotive press, the National Automobile Dealers Association (NADA)’s chairman, Chicago-area dealer Mark Scarpelli, and its chief economist, Steven Szakaly, predicted new-vehicle sales would remain above the 17 million-unit mark in 2017.

Throughout the quarterly briefing, Scarpelli and Szakaly cited a number of factors working in the industry’s favor, including continued strong demand for new vehicles — particularly in the SUV and pickup segments — and new technology.

Ad Loading...

“One area that does not get enough attention is demand for technology and safety,” said Scarpelli, president of Raymond Chevrolet and Raymond Kia in Antioch, Ill., and co-owner of Ray Chevrolet and Ray Chrysler-Jeep-Dodge-Ram in Fox Lake, Ill., noting that his customers are seeking vehicles equipped with the “latest and greatest safety features,” including collision avoidance technology, which is developing “very rapidly.”

On the economic front, Szakaly listed a number of factors, both positive and negative, that are affecting dealership profitability. He expressed hope that Federal Reserve-ordered interest hikes and modest wage growth would be offset by increased customer incentives and the buying power of high-wage earners.

“While these headwinds will not have much of an impact on new-vehicle sales, they are a sign of a flat market as we look at the rest of 2017 and next year,” Szakaly said, adding that a glut of off-lease units and stretching loan terms, in combination with rising interest rates, could push some new-car buyers toward the used-car lot.

Both men praised dealers for finding new sources of revenue and lead generation. Szakaly said the NADA has tracked “tremendous growth” in service performed by franchised dealership, noting that, since 2010, the number of express service repair orders has doubled, repair orders for warranty work (including recalls) are up by six million, and customer-pay ROs are up by seven million.

Asked whether any decrease from the record 17.5 million new units sold last year would represent a cyclical retrenchment or a prosperous plateau, Szakaly said that, despite the aforementioned economic headwinds, the latter is far more likely.

Ad Loading...

“I don’t see sales collapsing anytime in the next few years,” he said.

Topics:Showroom

More Showroom

Photo of red SUV parked outside a car dealership after dark
Showroomby Hannah MitchellSeptember 9, 2026

Dealers a Little Down

A third-quarter Cox Automotive survey finds them in a mixed mood, bummed by fallen customer traffic but encouraged by better profits, costs and EV interest.

Read More →
Silver car driving down road with graphic that says “Europe Plugs In”
Showroomby Lauren LawrenceSeptember 9, 2026

European EV Sales Skyrocket

The EV market on the continent held strong in July with almost 25% of new-car sales being fully electric units, a stark contrast to the U.S., where EV sales declined about 42%.

Read More →
Mitsubishi shadow line-up
Showroomby Hannah MitchellAugust 25, 2026

Mitsubishi Unveils U.S. Plan

The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.

Read More →
Ad Loading...
A rear view of a red Hyundai Elantra
Showroomby Hannah MitchellAugust 17, 2026

Used Lots Getting the Business

Many consumers are seeking out the units to save money, and the demand – higher in July than normal – is keeping supply limited and prices up.

Read More →
outside shot of two trucks in front of a body of water with a cloudy sky
Showroomby Lauren LawrenceJuly 29, 2026

Used Market Stabilizes

The Carfax Used Car Index noted a major drop in used-vehicle price increases in July after several months of hikes.

Read More →
Twilight of white hybrid car.
Showroomby Lauren LawrenceJuly 22, 2026

California Hybrids Reach State Record

The Golden State still leads the country in electric-vehicle registrations, but much like the rest of the U.S. its hybrid market share is up while full electrics stabilize after a dramatic first-quarter dip.

Read More →
Ad Loading...
White meeting room in car dealership with rims displayed on wall and projected screen
Showroomby Hannah MitchellJuly 22, 2026

My Mercedes in the U.S.

The German brand debuted its studio dealership concept for the first time in the states in Los Angeles, tapping Americans’ penchant for creative distinctions.

Read More →
Photo of parked cars of various types for sale on a lot
Showroomby Hannah MitchellJuly 20, 2026

Used Sales Hit Summer Drag

The vacation season, combined with high prices, has dented deliveries and added to inventories, though supply is still slim enough to keep listings elevated.

Read More →
desert road with cars driving away, Rebates Incoming with red star graphic, F&I and Showroom logo
Showroomby Lauren LawrenceJuly 15, 2026

California Launches EV Rebate Program

Participating automakers are matching the state's $13.5 million investment in new electric-vehicle rebates scheduled to take effect later this summer.

Read More →
Ad Loading...
Aerial shot of a car dealership
Showroomby Hannah MitchellJuly 13, 2026

OEM Poll Sees Industry Evolution

Kerrigan Advisors’ survey of automakers finds that tariffs, technology, network tightening and other factors are poised to reshape auto retail.

Read More →