Latest news with #JeremyRobb
Yahoo
19 hours ago
- Automotive
- Yahoo
Fear of Trump's tariffs sparked a rush on used cars—now prices are easing
Used car prices ticked down slightly last month in spite of uncertainty around tariffs, but buying a new old whip still costs more than it used to. Supersonic air travel gets green light in U.S. after 50-year ban lifted Why you're catching the 'ick' so easily, according to science How to Watch George Clooney's Broadway play 'Good Night, and Good Luck' live for free In April, the average cost for a used vehicle shot up as consumers raced to lock in purchases ahead of potential price hikes driven by President Trump's ongoing trade wars. The Manheim Used Vehicle Value Index from Cox Automotive, which tracks used car sales in the U.S., showed a 1.4% drop in prices last month, but prices are still up 4% compared with the same time last year. In April, used car prices saw their biggest spike since October 2023. 'While the market continues to digest the impact of tariffs, we could see a bit higher levels of wholesale depreciation over the summer,' Jeremy Robb, Cox's automotive senior director of economic and industry insights, said in the report, while noting that low inventory could act as a counterbalance, driving prices back up. Compared with a year ago, luxury cars saw the biggest price increase at 6.5%, with SUVs close behind with a 5.2% year-over-year increase. Electric vehicle prices were up 3.1% compared with the same time last May. Used car prices in the U.S. have been a telling indicator of market forces in recent years. In the pandemic's early days, supply chain issues constricted the availability of new cars, driving more buyers to the used vehicle market. That demand sent used car prices up, and they mostly stayed that way. In March, Trump announced a 25% tariff on imported cars and car parts, sowing fresh inflation concerns and sending supply chains into chaos again. Trump later eased tariffs for vehicles assembled in the U.S. using foreign parts—a reprieve intended to give U.S. automakers a break while they scramble to determine the feasibility of building domestic supply chains to replace parts sourcing abroad. This post originally appeared at to get the Fast Company newsletter: Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Fast Company
2 days ago
- Automotive
- Fast Company
Fear of Trump's tariffs sparked a rush on used cars—now prices are easing
Used car prices ticked down slightly last month in spite of uncertainty around tariffs, but buying a new old whip still costs more than it used to. In April, the average cost for a used vehicle shot up as consumers raced to lock in purchases ahead of potential price hikes driven by Trump's ongoing trade wars. The Manheim Used Vehicle Value Index from Cox Automotive, which tracks used car sales in the U.S., showed a 1.4% drop in prices last month, but prices are still up 4% compared to the same time last year. In April, used car prices saw their biggest spike since October 2023. 'While the market continues to digest the impact of tariffs, we could see a bit higher levels of wholesale depreciation over the summer,' Cox Automotive Senior Director of Economic and Industry Insights Jeremy Robb said in the report, while noting that low inventory could act as a counterbalance, driving prices back up. Compared to a year ago, luxury cars saw the biggest price increase at 6.5%, with SUVs close behind with a 5.2% year-over-year increase. Electric vehicle prices were up 3.1% compared to the same time last May. Used car prices in the U.S. have been a telling indicator of market forces in recent years. In the pandemic's early days, supply chain issues constricted the availability of new cars, driving more buyers to the used market. That demand sent used car prices up, and they mostly stayed that way. In March, President Trump announced a 25% tariff on imported cars and car parts, sowing fresh inflation concerns and sending supply chains into chaos again. Trump later eased tariffs for vehicles assembled in the U.S. using foreign parts – a reprieve intended to give U.S. automakers a break while they scramble to determine the feasibility of building domestic supply chains to replace parts sourcing abroad.
CNBC
2 days ago
- Automotive
- CNBC
Used vehicle prices ease from tariff fear-buying highs but remain elevated
DETROIT — Used vehicle prices last month eased from their recent high in April as consumers who may have needed a vehicle but feared price hikes due to tariffs flocked to purchase a car or truck, according to a closely watched barometer of pre-owned prices. Cox Automotive's Manheim Used Vehicle Value Index — which tracks prices of used vehicles sold at its U.S. wholesale auctions — decreased 1.5% from April to May, but remained 4% higher than a year earlier. April's level was the highest since October 2023. "Wholesale appreciation trends were remarkably strong in April, but the market gave some of that strength back in May, though values remain well above last year's levels," said Jeremy Robb, senior director of economic and industry insights at Cox Automotive. Retail prices for consumers traditionally follow changes in wholesale prices, but they have not fallen as quickly as wholesale prices in recent years. While President Donald Trump's tariffs of 25% on new imported vehicles and many parts do not directly impact used car sales, changes in new vehicle prices, production and demand affect the used car market, which is how the majority of Americans purchase a vehicle. Demand has stayed relatively strong as inventory levels for used vehicles – 2.2 million – remain low compared to historical levels. That comes as consumers have been holding on to their vehicles for longer and as the industry deals with less production in recent years amid the coronavirus pandemic and global supply chain shortages. Cox reports retail used vehicle sales in May were down 3% compared with April but higher year over year by 4%. Cox previously said it was seeing used vehicle prices continue to stabilize after swinging wildly for several years before starting to calm down in 2024.
Epoch Times
08-05-2025
- Automotive
- Epoch Times
Cox Automotive Says Tariffs Impacted Wholesale Used Car Prices in April
Wholesale used vehicle prices in the United States rose in April on both a monthly and annual basis, driven up by the impact of tariffs, automotive services company Cox Automotive said in a May 7 The Manheim Used Vehicle Value Index, an indicator of pricing trends in the used vehicle market, jumped by 4.9 percent year-over-year last month to 208.2—the highest reading since October 2023. Compared with March, the index was up 2.7 percent. 'We expected to see strong price appreciation in response to the tariffs, and that's exactly what came,' said Jeremy Robb, senior director of economic and industry insights at Cox. 'As we move into the second half of the year, though, the auto market may slow as strong demand likely pulled some transactions forward in March and April as buyers tried to get ahead of expected higher prices due to tariffs,' he said. The Trump administration imposed 25 percent The order seeks to prevent overlapping duties from being applied to the same vehicle or auto components. Related Stories 5/8/2025 5/7/2025 While carmakers will still pay a 25 percent tariff on foreign-made vehicles, they are exempt from other import duties, such as the universal 10 percent baseline tariffs or the 25 percent tariffs imposed on aluminum and steel imports. The new policy adds the 'finishing touch' to the Trump administration's plan to strengthen domestic auto manufacturing, a Commerce Department official told reporters. 'This is designed to allow all of the domestic auto manufacturers to grow their plants, to grow new employment, and to build more factories in America.' Preventing the overlapping of various tariffs would avoid unnecessary price surges in both new and used vehicles. While wholesale used auto prices jumped last month, retail sales dipped 1.7 percent on a monthly basis. Sales were up 13 percent compared to a year back. US Auto Manufacturing When announcing the auto tariffs in March, the Trump administration said the move was necessary to 'protect America's automobile industry, which is vital to national security and has been undermined by excessive imports threatening America's domestic industrial base and supply chains,' according to a March 26 White House 'Employment in automotive parts manufacturing totaled approximately 553,300 jobs in 2024, a decline of 286,000 jobs or 34 percent since 2000.' An April 14 S&P Global S&P forecast U.S. auto sales to decline by roughly 700,000 units this year and by 1.2 million units in 2026. 'The U.S., Canada, and Mexico have built an interdependent trade and manufacturing ecosystem over the past thirty years. Trump's auto tariffs are providing a shock to the system and are expected to result in higher manufacturing costs and higher vehicle prices in all three countries,' the report said. Meanwhile, multiple auto companies have announced new investments or production shifts into the United States. In March, Hyundai Executive Chairman Chung Eui-sun, appearing with President Trump at the White House, 'All of these efforts will accelerate the localization of our supply chain in the U.S. to expand our operations and grow our American workforce,' Chung said. Last month, Honda Motor Co. During a conference call with analysts this month, Ford CEO Jim Farley
CNBC
07-05-2025
- Automotive
- CNBC
Used vehicle pricing barometer jumps to highest level since 2023 amid auto tariffs
A Ford mustang is seen at a used car dealership in Montebello, California on May 5, 2025. DETROIT — A closely watched barometer for used vehicle pricing jumped last month to its highest level since October 2023 as consumers rushed purchases amid fears of price hikes due to auto tariffs. Cox Automotive's Manheim Used Vehicle Value Index — which tracks prices of used vehicles sold at its U.S. wholesale auctions — increased 4.9% last month compared with a year earlier to a level of 208.2. It also marked a 2.7% increase from March. That's a significant increase compared with a historically typical month-to-month index move of 0.2%, according to the auto data and logistics firm. "The 'spring bounce' normally ends the second week of April, but this year, wholesale appreciation trends continued for the entire month and were much stronger than we typically observe," said Jeremy Robb, Cox Automotive senior director of economic and industry insights. "We expected to see strong price appreciation in response to the tariffs, and that's exactly what came." While the tariffs of 25% on new imported vehicles and many parts do not directly impact used car sales, changes in new vehicle prices, production and demand affect the used car market, which is how the majority of Americans purchase a vehicle. Retail prices for consumers traditionally follow changes in wholesale prices, but they have not fallen as quickly as wholesale prices in recent years. Cox reports retail used-vehicle sales in April were down 1.7% compared with March but higher year over year by 13%. Over the last four weeks, the average retail listing price for a used vehicle increased by 2% to more than $25,000, Cox said.. That compares to a new vehicle at nearly $48,000. The Manheim index remains off the record highs it hit during the Covid pandemic but is still relatively high compared to historic levels before the onset of the global health crisis in 2020. Cox previously said it was seeing used vehicle prices continue to stabilize after swinging wildly for several years before starting to calm down in 2024. Page 2
