U.S. Auto Sales Slip As Vehicle Prices, Incentives Continue to Climb
By CU Today Staff —
NEW YORK--U.S. new-vehicle sales slipped in July as buyers continued to face elevated prices, with GlobalData reporting light-vehicle sales declined 1.2% from a year earlier to 1.38 million units.
The annualized U.S. selling rate eased to 16.6 million vehicles from 16.7 million in June. GlobalData noted July marked the first year-over-year decline in three months, although the comparison was made more difficult by relatively strong sales in July 2025, when buyers were accelerating battery-electric vehicle purchases ahead of the expiration of federal tax credits at the end of September 2025.
Affordability remains a key issue for U.S. consumers. GlobalData said average transaction prices reached $45,969 in July, an increase of $1,129, or 2.5%, from a year earlier. Automakers were also spending more to move vehicles, with average incentives rising 5.7% year over year to $3,375.
The U.S. weakness came as the broader global market remained relatively soft. GlobalData said the worldwide light-vehicle selling rate improved slightly from June to more than 90 million units annually, but year-to-date sales totaled 50 million vehicles, nearly 4% below the first seven months of 2025. Results varied sharply by market, with China sales falling 22.9% year over year while India posted a record month with sales surging 33.8%.
Originally reported by CU Today.