Inventory of new vehicles decreased in April by 7.4 percent month over month and was down by 10.5 percent from last year, according to automotive services company Cox Automotive.
Inventories are “not being replenished at the same rate of sales,” the company said in a May 15 statement.
“Some automakers are likely holding the line on deliveries and production, as everyone struggles with the uncertainty surrounding the administration’s tariff policies.
“As automakers prepare to bring 2026 model year vehicles to showrooms and introduce post-tariff-announcement pricing, inventory is expected to rise, but higher prices may further slow the pace of sales.”
While inventory tightens, Cox noted a “sharp decline” in new vehicle affordability amid rising prices….