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May New-Vehicle Sales Expected to Cool After Tariff-Fueled Surge; SAAR Forecast at 16M

Detroit, USA
May 28, 2025 0 Neutral I own a car
May New-Vehicle Sales Expected to Cool After Tariff-Fueled Surge; SAAR Forecast at 16M
Detroit, USA: Cox Automotive projects a May 2025 SAAR of 16.0 million units, down from 17.8 million in March. Analysts note the earlier surge came from buyers rushing purchases ahead of possible tariff-induced price hikes. Now, inventories have tightened, and the days’ supply of vehicles is declining. Dealers are cautiously optimistic about ongoing demand, but new tariff threats loom, adding uncertainty for both consumers and automakers.
What this means for you:
Over the next 2–4 weeks, monitor dealer promotions; some might discount inventory to maintain sales momentum.
In the next 1–2 months, consider locking in financing if you’re concerned about interest rates creeping past 5%.
If you’re planning a big purchase 3–6 months from now, watch for possible tariff increases—vehicle prices could rise 2–5%.
For trade-ins, a short supply often works in your favor; compare multiple appraisals for the best deal.

Key Entities

  • Cox Automotive: Industry research firm forecasting sales.
  • U.S. new-vehicle market: Key driver of monthly SAAR data.
  • Auto dealers: Balancing inventory management and shifting demand.

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Presents straightforward data, references buyer behavior.

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