Vehicle sales show a drop in pace among North American retailers following a pre-tariff increase surge
In a recent turn of events, the US car market has experienced a slowdown following a surge in new light-vehicle sales due to impending tariffs on vehicle imports. According to data from the North American Dealers Association (Nada), vehicle sales in May 2025 dropped to a seasonally adjusted annual rate (Saar) of 15.7 million units, a significant decrease from the 17 million units sold just two months prior.
This decline comes after a period of increased demand as consumers rushed to purchase vehicles before potential tariffs were implemented. The surge in sales, particularly in March and April 2025, resulted in an additional 149,000 vehicles being sold, according to figures from JD Power and referenced by Nada.
Despite the surge, the overall trend of vehicle imports into the US has been on a decline. In 2025, major brands importing the most vehicles into the USA included Japanese automakers such as Toyota, with models like the Camry and Corolla leading sales, alongside significant imports by Hyundai and Mitsubishi. However, overall imports of automotive vehicles have decreased amid rising tariffs and market adjustments in the year.
Interestingly, it appears that the subsidence of the tariff-induced surge in sales has been anticipated by the industry. The Nada expects the pull-ahead purchases to result in lower monthly sales later in the year, reflecting a normalisation of the stock market after the temporary boost.
As of the top three carmakers by volume importing vehicles to the US, General Motors, Toyota, and Mazda continue to hold their positions. The majority of vehicles sold in the US (approximately half) are imported, highlighting the significant role of international automakers in the American market.
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