Source: Gasgoo
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U.S. car shopping site Edmunds said on Dec. 13 that it expects U.S. new car sales to rise just 1 percent to 15.7 million next year as demand may be pressured by high interest rates despite an improvement in vehicle supply, Reuters reported.
Edmunds predicts that the sales of electric vehicles in the United States will account for 8% of total new car sales next year. According to Edmunds data, electric vehicle sales accounted for 6.9% of new car sales in the United States this year as of the end of November.
Jessica Caldwell, head of insights at Edmunds, said, “While inventories are expected to increase further in the coming year, the issue of high interest rates is expected to persist in 2023.” Automakers, however, said that market demand remains strong for now as the new crown epidemic has depressed demand.
Image source: Toyota
In terms of cumulative sales for the year, companies led by General Motors and Toyota posted strong sales performances as improved demand and easing supply chain issues allowed them to ship more cars to dealers.Edmunds said its data showed that new-vehicle pricing has topped out as improved inventories brought in more incentives.
But Edmunds added that consumers looking to buy affordable models will face a tougher time because those models are selling faster than more expensive models.
Additionally, Edmunds noted that the shift to all-electric vehicles has slowed in the U.S. market, and that hybrids are a more appropriate choice for most U.S. consumers looking to buy electrified products.Edmunds’ previous data showed that conventional hybrid electric vehicles (HEVs) accounted for 8.3% of U.S. vehicle sales from January through November 2023, which is higher than the share of sales of pure electric vehicles (6.9%).
