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Analysis: Experts from Cox Automotive say in the near term, after a short surge in buying, vehicle sales will likely fall amid price increases, and OEMs may eliminate some models if tariffs persist.
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Manheim Market Report (MMR) values saw some volatility but ended with stronger price appreciation in the last week of the month, with values rising 0.2% in the last week alone.
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The tightening of days' supply for new and used electric vehicle markets shows healthy consumer interest.
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The Manheim index is at its highest point since October 2023, after the market saw stronger-than-usual gains in non-seasonally adjusted values.
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Wholesale values declined slightly more than usual at year-end, but it was still the most normal year for depreciation trends since 2020.
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Used-vehicle sales were seasonally stronger than normal last month and higher year over year by 13%.
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Used EV sales rose a whopping 63% so far year over year, while new EV sales increased about 14%.
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Tight supply in wholesale and retail vehicle markets will support healthy dealer demand through December.
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Trends indicate that used-vehicle inventory is tighter despite the monthly rise in vehicles listed.
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Commercial vehicles, electric vehicles, and late model used vehicles all show strong double-digit volume increases.
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