AUTHORERS interpreted the sales data to mean that Americans wanted large trucks and SUVs – now demand for smaller cars is increasing dramatically.
However, it’s not because people want a more comfortable ride and better fuel efficiency.
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Instead, data shows that Americans are opting for smaller vehicles because of their affordability compared to the cars most people want, according to Cox Automotive, cited by Axes.
Since last year, demand for compact cars and SUVs, such as the Ford Escape, Subaru Forester and Chevrolet Trax, has increased between 18 and 21 percent.
Demand for Trax has seen the most dramatic increase, with a 230% increase in the first half of 2024 alone.
With an MSRP of just over $21,000, it’s one of the only new cars that costs well below the $40,000 average.
Read more about small cars
On the contrary, demand for full-size pickup trucks and large SUVs decreased by four percent.
In addition to the change in vehicle sizes, the outlet also reported that more families are opting to purchase used cars instead of new ones.
A big reason for the shift in market and demand is likely due to higher sticker prices and higher interest rates for financing large vehicles compared to smaller vehicles.
Rebecca Lindland, senior director of data and industry insights at Cars.com, told the outlet that the data doesn’t need to be interpreted negatively.
Looking at today’s smaller vehicles, many have as many safety features and comfort options as larger, more luxurious cars.
Buying a smaller car used to mean these features were passed over in favor of affordability and miles per gallon.
However, even the compact SUVs mentioned above have important features like blind-spot detection, automatic emergency braking, and backup cameras.
The Honda HRV is another great example of a worthy compromise, as the base trim level starts at $25,100 MSRP.
Some higher Trax trim levels even come with Apple CarPlay, though they’re still under $30,000 MSRP.
“You don’t really have these stripped-down vehicles anymore,” Lindland said.
“But that’s also part of the affordability challenge. Consumers, on average, are paying $11,000 more for a new car than they did five years ago.”
Other compact SUVs, like the Mazda CX-50, cost just over $30,000.
Mazda CX-90 review
Ben Shimkus, automotive journalist for The US Sun, tested the CX-90. Here are his thoughts:
The CX-90 is a flexible, luxurious SUV with a not-so-premium price tag.
My tester was efficient, very powerful and extremely beautiful.
From the outside, the CX-90 is aggressive yet elegant.
There are very few sculpting lines on the side, minus a bulge above the rear wheels.
A raised rear end and an elongated, sloping hood give the large car the appearance of a cat ready to pounce.
But inside, the warm colors combine with an opulence that feels more luxurious than the sub-$60,000 as-tested price.
A plug-in hybrid drivetrain powers the car — but Mazda offers an internal combustion-only version for less money.
I averaged 27 mpg, which is pretty good for a car this size.
I would recommend spending on the paired battery version. The car is more exciting when the battery is charged.
Mazda replaced the popular three-row CX-9 with this even larger platform in early 2024.
To me, this looks like a winning substitute.
Be that as it may, Lindland mentioned that the cost of new cars, even small ones, has increased significantly, even within a decade.
“If you haven’t bought a car in five years, your sticker shock will be real,” she added.
In addition to SUVs, some compact sedans are gaining popularity, such as the Nissan Sentra, Honda Civic and Toyota Corolla, due to their size and affordable price.
Ford CEO and self-proclaimed gearhead, was recently cited by The Guardian saying that much for smaller cars was imminent.
“We have to start falling in love with smaller vehicles again,” he said.
“It is very important for our society and for the adoption of electric vehicles. We’re just in love with these monster vehicles and I love them too, but it’s a big issue with the weight.”
This story originally appeared on The-sun.com read the full story
