US common new automobile worth tops $50k for the primary time – this is why

The common US new automobile worth crossed the $50,000 mark for the primary time in September, in response to new estimates from Kelley Blue Guide (KBB). Costs have been climbing steadily for over a yr, and the tempo picked up this summer season – however that hasn’t stopped People from shopping for.

KBB says September’s report common transaction worth (ATP) was partly pushed by luxurious fashions and EVs, which pushed the market into report territory. EVs made up an estimated 11.6% of all new automobiles bought final month, which can be a report excessive. The common EV bought for $58,124 – up 3.5% from August’s adjusted determine.

In Q3, EV gross sales hit one other milestone: 437,487 EVs have been bought within the US, giving them a ten.5% market share. That’s almost a 30% soar from the identical interval final yr. With government-backed EV incentives expiring on the finish of September, many consumers hurried to lock of their purchases.

Yr-over-year, the typical EV transaction worth is principally flat, down simply 0.4%. Incentives averaged 15.3% of ATP in September, or about $8,900 per car – barely decrease than August however increased than a yr in the past, when incentives averaged 13%.

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Tesla, which continues to dominate the EV market, noticed a median ATP of $54,138 in September. That’s a slight dip from August and down 6.8% from a yr earlier. With Tesla lately introducing the brand new Customary variations of the Mannequin 3 and Mannequin Y, KBB expects common costs throughout the phase to fall within the coming months. Erin Keating, government analyst at Cox Automotive, thinks the market is “ripe for disruption.”

“You will need to do not forget that the new-vehicle market is inflationary. Costs go up over time, and immediately’s market is actually reminding us of that,” mentioned Keating. “The $20,000 car is now principally extinct, and plenty of price-conscious consumers are sidelined or cruising within the used-vehicle market. Tariffs have launched new price stress to the enterprise, however the pricing story in September was principally pushed by the wholesome mixture of EVs and higher-end automobiles pushing the new-vehicle ATP into uncharted territory.”

Learn extra: US EV gross sales smash data in August as Tesla loses floor

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