Additional data supports that trend. S&P Global Mobility reported that the average age of vehicles on U.S. roads will reach 12.8 years in 2025, continuing a long-term pattern of Americans owning cars and trucks longer. Analysts say higher prices for new and used cars, economic uncertainty and increased vehicle durability are all contributing to fleet aging.
Cox Automotive’s Kelley Blue Book also reports that new car prices remain high. The average transaction price for a new car in May 2026 was still up year-on-year, despite a slight decline in prices and increased incentives from April. This shows that the market remains expensive for many middle-class buyers, especially as auto loan interest rates remain high.
The pace of new car sales in May was nearly 16.1 million on a seasonally adjusted annual basis, while year-to-date sales have remained at nearly 15.7 million, according to Cox Automotive. This is below the pace of 16.4 million units sold in the same period last year, indicating that although the market has improved in some areas, it has not fully returned to the strong sales levels the industry once expected.
The shift to hybrid has also been confirmed in other industry reports. According to Reuters, U.S. hybrid sales rose 37% in two months after the Iran conflict caused gasoline prices to rise, while EV sales growth slowed. Industry analysts say many buyers prefer hybrid cars because they offer better fuel economy without requiring charging stations or major changes in driving habits.
S&P Global Mobility reports that the average age of a vehicle in the United States in 2025 will be 12.8 years. This is less than 13 years, so for accuracy we will use “almost 13 years” or “12.8 years”.
Cox Automotive/Kelly Blue Book reported that new car prices in May 2026 are still rising year-on-year, but Cox also said that year-to-date sales are lower than a year ago, with sales pace in May at nearly SAAR 16.1 million. Reuters reported that the recent surge in sales of hybrid cars is related to soaring gasoline prices and consumers’ preference for more fuel-efficient cars.
