New car inventory trends: What marketers should know

In July 2025, available new car inventory in the US dropped more than 4% year over year, shedding nearly 115,000 units from July 2024 and standing at 2.6 million units. The last time retail inventory was lower than this was February 2024 (2.55 million).  

The decline in new car inventory highlights a noticeable shift in supply-side dynamics, as original equipment manufacturers and dealers navigate changing consumer demand, affordability challenges and evolving tariff impacts to production and costs. 

Understanding the underlying trends driving these inventory shifts will be necessary for optimizing sales and marketing strategies to effectively reach in-market shoppers.

Ford has reduced its available new car inventory by nearly 90,000 units, or 19.1%, since last summer.  Chevy recorded a decrease of 21%, reducing its inventory by nearly 65,000 units. Nissan experienced a 22% reduction in available inventory (43,000 units). Jeep and Buick also ranked among the top five decliners, with decreases of 24,000 and nearly 17,000 units, respectively.

There were a few notable mainstream exceptions. Toyota is the biggest outlier, adding more than 68,000 units and growing available inventory by nearly 36%. Kia increased its inventory by nearly 28,000 units, representing an increase of 21.6%. Volkswagen and Subaru were the only other mainstream brands with inventory gains, increasing 4.2% and 2%, respectively.

Available new car inventory shifts will vary by OEM. However, there is a trend of mid-size SUVs and compact utility vehicles (CUVs) experiencing some of the most significant inventory changes:

Chevy models: 

• Blazer -71.6%
• Colorado -27.2%
• Silverado -20.9%

Ford models: 

• Bronco -41.4%
• Escape - 57.4%
• Expedition -64.6%
• F-Series - 11.4%

Nissan models: 

• Altima - 70.8%
• Pathfinder - 41.1%
• Rogue - 42.1%

Toyota models: 

• Rav4 +48.5%
• Camry +69.8%
• Corolla +76%

Kia models: 

• Carnival +37.6%
• Niro +67.4%
• Soul +167%

With decreases across all current models, Lincoln has the biggest decline with available new car inventory dropping 41.0% year over year.  Infiniti had declines across all Q models that led to a reduction of 33.8%. Mercedes-Benz is not far behind with a decline of 29.7% then Volvo by 15.9. 

Similar to mainstream brands, a few luxury brands have increased their inventory. Lexus, like its mainstream sibling Toyota, leads with a 46.1% inventory increase. Genesis and Land Rover are the only other two luxury brands with increases over 6%, at 14.3% and 8.6%, respectively.  

As the industry strives to achieve optimal inventory levels and production cycles, OEMs and dealers will face the challenge of selling older inventory while preparing for the upcoming launches of new models, including gas, hybrid and electric vehicle fuel types.  

The bottom line for automotive marketers? Stay sharp or get left behind.

Success in this shifting market comes down to three critical moves:

Connect faster. Identify and engage ready-to-buy consumers before your competition does.

Target smarter. Use data and audiences to match the right offers with the right shoppers—by class, segment, and budget.

Win bigger. Leverage competitive insights to capture conquest opportunities, trade-ins, and returning customers.

The winners in this landscape aren't just watching trends — they're acting on them. Data-driven targeting isn't optional anymore; it's your competitive edge.

Take the next step: Gain a deeper understanding of today’s loyalty dynamics and how to apply them. Our upcoming webinar features expert analysis on 2025’s key retention trends, brand performance, and consumer behavior shifts.

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