The U.S. auto industry sold nearly ************* cars in 2024. That year, total car and light truck sales were approximately ************ in the United States. U.S. vehicle sales peaked in 2016 at roughly ************ units. Pandemic impact The COVID-19 pandemic deeply impacted the U.S. automotive market, accelerating the global automotive semiconductor shortage and leading to a drop in demand during the first months of 2020. However, as demand rebounded, new vehicle supply could not keep up with the market. U.S. inventory-to-sales ratio dropped to its lowest point in February 2022, as Russia's war on Ukraine lead to gasoline price hikes. During that same period, inflation also impacted new and used car prices, pricing many U.S. consumers out of a market with increasingly lower car stocks. Focus on fuel economy The U.S. auto industry had one of its worst years in 1982 when customers were beginning to feel the effects of the 1973 oil crisis and the energy crisis of 1979. Since light trucks would often be considered less fuel-efficient, cars accounted for about ** percent of light vehicle sales back then. Thanks to improved fuel economy for light trucks and cheaper gas prices, this picture had completely changed in 2020. That year, prices for Brent oil dropped to just over ** U.S. dollars per barrel. The decline occurred in tandem with lower gasoline prices, which came to about **** U.S. dollars per gallon in 2020 - and cars only accounted for less than one-fourth of light vehicle sales that year. Four years on, prices are dropping again, after being the highest on record since 1990 in 2022.

The United States Used Car Market Report is Segmented by Vendor Type (Organized and Unorganized), Fuel Type (Petrol, Diesel, Hybrid, and Battery Electric), Body Type (Hatchback, Sedan, and More), Sales Channel (Online and Offline), and State. The Market Forecasts are Provided in Terms of Value (USD) and Volume (Units).

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US Used Car Market Size 2025-2029

The us used car market size is forecast to increase by USD 40.2 billion at a CAGR of 4.3% between 2024 and 2029.

The used car market in the US exhibits robust growth, driven by the excellent value proposition that pre-owned vehicles offer to consumers. This market trend is further bolstered by the increasing penetration of online platforms dedicated to selling used cars, providing greater convenience and accessibility for buyers. However, the market faces regulatory challenges as stricter emission regulations limit the sale of non-compliant used cars, necessitating investments in upgrading inventory and adhering to regulatory frameworks. These hurdles, while significant, can be navigated through strategic partnerships with emission testing centers and ongoing investment in fleet modernization. Companies that effectively address these challenges and leverage the opportunities presented by the growing demand for used cars and the digital shift in sales channels will thrive in this dynamic market.

What will be the size of the US Used Car Market during the forecast period?

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In the dynamic used car market, consumers face various challenges such as car scams and fraudulent activities. To mitigate risks, car buyers turn to comprehensive car buying guides and car detailing services. A VIN number check is essential for vehicle identification and history assessment, while emissions testing ensures environmental compliance. Car sharing and subscription services offer flexible mobility solutions. Vehicle registration and title transfer processes can be streamlined through digital means, and car refurbishment and connected car technology enhance safety and convenience. Blind spot monitoring and adaptive cruise control are popular safety features, while collision avoidance systems and lane departure warning systems provide added protection. Used car logistics and online financing applications simplify the purchasing process, and extended warranties offer peace of mind. Wireless charging, smartphone integration, and vehicle diagnostics are essential features for modern cars. Sustainable mobility and car comparison tools cater to eco-conscious consumers, while car maintenance schedules and roadside assistance ensure long-term vehicle care. Remote vehicle inspection and car care tips help maintain a car's resale value, and car subscription services offer flexible ownership alternatives. Used car fraud prevention and vehicle identification technologies protect buyers from potential risks. Car safety ratings and vehicle identification numbers are crucial tools for informed decision-making.

How is this market segmented?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments. Distribution Channel3P channel salesOEM channel salesProductMid sizeFull sizeCompact sizeVendor TypeOrganizedUnorganizedFuel TypeDieselPetrolGeographyNorth AmericaUS

By Distribution Channel Insights

The 3p channel sales segment is estimated to witness significant growth during the forecast period.

The used car market in the US is a dynamic and significant sector, with numerous entities shaping its activity. Used car buyers continuously seek value, leading to a high demand for pre-owned vehicles. Search engine optimization and online advertising play crucial roles in connecting buyers with sellers, whether they're private parties or car dealerships. Wholesale car lots and auctions provide inventory for dealerships, ensuring a steady supply of used cars. Fleet vehicles, often traded in for newer models, contribute to the used car inventory. Maintenance records and vehicle history reports are essential for buyers, influencing their purchasing decisions. Safety features, infotainment systems, and driver assistance are increasingly desired in used cars, especially among budget-conscious consumers and luxury car buyers. Electric and hybrid vehicles are gaining popularity, driving the demand for used models in these categories. Car negotiation, fuel economy, and vehicle valuation are essential factors in used car selling. Digital marketing, including social media, mobile apps, and data analytics, helps sellers reach a wider audience. Certified pre-owned vehicles, reconditioned cars, and consignment sales offer buyers additional options and peace of mind. Car financing, vehicle inspections, and warranties are essential components of the used car buying process. Autonomous driving technology and car pricing trends continue to evolve, impacting the used car market. As the average ownership cycle shortens, the market will see an increase in the availability of used cars, making it an exciting and ever-changing landscape for both buyers and sellers.

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In 2024, the auto industry in the United States sold approximately 15.9 million light vehicle units. This figure includes retail sales of about three million passenger cars and just under 12.9 million light trucks. Lower fuel consumption There are many kinds of light vehicles available in the United States. Light-duty vehicles are popular for their utility and improved fuel economy, making them an ideal choice for savvy consumers. As of Model Year 2023, the light vehicle manufacturer with the best overall miles per gallon was Kia, with one gallon of gas allowing for 30.4 miles on the road. Higher brand satisfaction When asked about light vehicle satisfaction, consumers in the United States were most satisfied with Toyota, Subaru, Tesla, and Mercedes-Benz models. Another survey conducted in 2018 and quizzing respondents on their stance regarding the leading car brands indicated that Lexus was among the most dependable brands based on the number of problems reported per 100 vehicles.

Total Vehicle Sales in the United States decreased to 15.30 Million in June from 15.70 Million in May of 2025. This dataset provides the latest reported value for - United States Total Vehicle Sales - plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

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Used Car Market Size 2025-2029

The used car market size is forecast to increase by USD 885.3 billion, at a CAGR of 7.4% between 2024 and 2029.

The market is experiencing dynamic shifts, driven by intensifying competition leading to an escalating launch of new car models and increasing consumer preferences for alternative mobility solutions. These trends are reshaping the market landscape, presenting both opportunities and challenges for stakeholders. Competition in the market is escalating, prompting automakers to introduce new models at a faster pace to maintain market share. This trend, in turn, is increasing the availability of pre-owned vehicles, providing consumers with a wider range of options. Meanwhile, consumer preferences are evolving, with a growing demand for car subscription services and car-sharing solutions.
These services cater to consumers seeking flexible, cost-effective mobility solutions, particularly in urban areas. However, this shift towards alternative mobility models poses a challenge for traditional used car dealers, requiring them to adapt and innovate to remain competitive. Digital marketing, including social media, mobile apps, and data analytics, helps sellers reach a wider audience. The market is undergoing significant transformation, fueled by increasing competition and evolving consumer preferences. Companies seeking to capitalize on opportunities and navigate challenges effectively must stay abreast of these trends and adapt their strategies accordingly. This may involve exploring new business models, such as car subscription services, or enhancing their offerings to cater to the changing needs of consumers.

What will be the Size of the Used Car Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
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The market continues to evolve, with dynamic market activities unfolding across various sectors. Internal combustion engines power the majority of the market, but the emergence of electric vehicles is reshaping the landscape. Steering systems and suspension systems ensure optimal vehicle handling, while safety features such as backup cameras, parking sensors, and blind spot monitoring are becoming increasingly essential. Title transfer and engine displacement are crucial components of the sales process, with customer service and fuel efficiency key differentiators for dealers. Inventory management and pricing strategies are critical for wholesale auctions and online auto dealers, who must navigate the complex interplay of supply and demand. Vehicle registration and title transfer processes can be streamlined through digital means, and car refurbishment and connected car technology enhance safety and convenience.

Car loans and auto auctions offer financing options for buyers, while certified pre-owned vehicles and vehicle history reports provide transparency and value assurance. Adaptive cruise control and lane departure warning systems are among the advanced technologies enhancing the driving experience. Fuel efficiency and body panels are essential considerations for buyers, with infotainment systems and navigation systems adding convenience and value. The market's continuous evolution underscores the importance of staying informed and adaptable to changing consumer preferences and industry trends.

How is this Used Car Industry segmented?

The used car industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Vehicle Type

  Compact
  SUV
  Mid size


Channel

  Organized
  Unorganized


Fuel Type

  Diesel
  Petrol


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    UK


  APAC

    China
    India
    Japan
    South Korea


  South America

    Brazil


  Rest of World (ROW)

By Vehicle Type Insights

The Compact segment is estimated to witness significant growth during the forecast period. The compact car segment in the used automobile market experiences significant growth due to increasing consumer preference for personal mobility and the availability of advanced features in compact vehicles. APAC and Europe lead the market, contributing a substantial share to the compact segment. Compact cars, which sit between subcompact and mid-size vehicles, offer easier handling in traffic congestion and lower emissions. Popular pre-owned compact models include the Fiat Panda and Volkswagen Golf in Europe. Inventory management plays a crucial role in the market, ensuring a steady supply of various models. Used car dealers source vehicles from private sellers, wholesale auctions, and trade-ins.

Vehicle history reports help assess the con

In 2022, U.S. auto shoppers bought approximately 2.86 million autos. Meanwhile, light trucks accounted for more than 79 percent of light vehicles sold to individual customers and corporate fleets in the United States.

Key information about United States Motor Vehicles Sales Growth

• United States Motor Vehicles Sales dropped 1.0 % in Feb 2025, compared with a growth of 2.8 % in the previous month.
• US Motor Vehicles Sales Growth rate is updated monthly, available from Jan 1977 to Feb 2025, with an average growth rate of 1.8 %.
• The data reached an all-time high of 109.5 % in Apr 2021 and a record low of -45.9 % in Apr 2020.
• Car Sales of US recorded 1,253,157.0 units in Feb 2025.

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The used car market in us is expected to grow at a CAGR of 2% during the forecast period. Proliferation of websites selling used cars, drivers.2, and drivers.3 are some of the significant factors fueling used car market in us growth.

Proliferation of websites selling used cars

Latin America Passenger Car Market Report is Segmented by Vehicle Type (hatchback, Sedan, and Sports Utility Vehicle), Fuel Type (gasoline, Diesel, and Electric), and Country (Brazil, Argentina, Mexico, and the Rest of Latin America). The Report Provides Market Size in Value (USD) for all Mentioned Segments.

The United States used car market size reached around USD 322.01 Billion in 2024. The market is projected to grow at a CAGR of 5.30% between 2025 and 2034 to reach nearly USD 539.70 Billion by 2034.

The North America Market Report is Segmented by Vehicle Type (Sedan, SUV/Crossover, and More), Drive Type (Internal Combustion Engine (ICE), Battery-Electric, and More), Price Band (Premium 50k–100k USD, Upper-Premium 100k–200k USD, and More), Sales Channel (Franchised Dealer, Direct-To-Consumer, and More), and Country (United States, Canada, and More). The Market Forecasts are Provided in Terms of Value (USD) and Volume (Units).

Used car dealers in the United States had a market size of ***** billion U.S. dollars in 2021. While the industry value dipped at the onset of the COVID-19 pandemic, used car sales quickly recovered, with used car dealers' market value hiking above its pre-pandemic levels. The used car market boom The used car market has been gaining steam since 2017 when the volume of used light vehicles sold hiked by just under ** percent year-over-year to **** million sales. By 2021, around **** million used light vehicles were sold in the U.S, representing just under ** percent of the total light vehicle sales in the country. While sales increased, the average used vehicle selling price also inflated—up ** percent year-over-year in 2021—with vans, sport-utility vehicles, and crossover utility vehicles recording the steepest price increase. The semiconductor shortage, forcing halts in new vehicle production, is partly responsible for this boom in the used car market. Most used vehicle retail inventory in June 2022 was priced above ****** U.S. dollars, making the used car market increasingly inaccessible to consumers. Light trucks at the forefront of sales U.S. consumer satisfaction with their overall shopping experience dropped in 2021, with used car buyers reporting a satisfaction rate of ** percent, compared to ** percent in 2020. While 2021 satisfaction is higher than in 2019, this denotes the impact of higher prices on customers. Most consumers opted for used light trucks instead of used automobiles. The net purchase of used light trucks spiked in the third quarter of 2019, reaching ***** billion U.S. dollars in the second quarter of 2022, while auto sales had a net purchase value of ** billion U.S. dollars that same quarter. The Ford F-150, Chevrolet Silverado 1500, and Ram Pickup 1500 were the 2016 to 2020 MY models with the largest share of used car sales in the U.S. Ford was also the third best-selling manufacturer for new vehicles in the U.S.

In Used Car Market in US, Car sharing services such as Zipcar and Turo are also driving up the demand for used cars to offer to their members.

Key information about United States Motor Vehicle Sales: Passenger Cars

• United States Motor Vehicle Sales: Passenger Cars was reported at 3,116,647.000 Unit in Dec 2023.
• This records an increase from the previous number of 2,858,575.000 Unit for Dec 2022.
• US Motor Vehicle Sales: Passenger Cars data is updated yearly, averaging 6,089,403.000 Unit from Dec 2005 to 2023, with 19 observations.
• The data reached an all-time high of 7,761,592.000 Unit in 2006 and a record low of 2,858,575.000 Unit in 2022.
• US Motor Vehicle Sales: Passenger Cars data remains active status in CEIC and is reported by International Organization of Motor Vehicle Manufacturers.
• The data is categorized under World Trend Plus’s Association: Automobile Sector – Table RA.OICA.MVS: Motor Vehicle Sales: by Country and Type: Passenger Car (PC).

Graph and download economic data for Retail Sales: Used Car Dealers (MRTSSM44112USN) from Jan 1992 to May 2025 about used, dealers, vehicles, retail trade, sales, retail, and USA.

Graph and download economic data for Motor Vehicle Retail Sales: Domestic Autos (DAUTOSA) from Jan 1967 to Jun 2025 about headline figure, vehicles, retail trade, domestic, new, sales, retail, and USA.

Used car dealers have recently experienced significant upheaval, primarily driven by global supply chain disruptions, changing consumer preferences and economic uncertainty. New vehicle shortages – partly caused by the well-publicized semiconductor crisis – have made it difficult for buyers to access affordable new cars, funneling greater demand into the used car market. At the same time, increasing migration to car-dependent cities and the rapid adoption of digital marketplaces have forced dealerships to evolve their business models rapidly. With heightened demand and tight inventories, dealers have enjoyed upticks in profit and greater pricing power, even as they’ve faced challenges securing vehicles and parts. Revenue for used car dealers expanded at a CAGR of 2.9%, reaching $147.4 billion through 2025, including a 2.1% jump that year. Over the past few years, these trends have fundamentally reshaped competition and operating norms for used car dealers. Used car prices have remained well above pre-pandemic levels, while dealers continually vied for a limited pool of quality inventory. Online-focused dealers gained a stronger foothold, pressuring traditional brick-and-mortar operations to enhance their digital presence and streamline purchasing. New financing options, including in-house and alternative lease models, emerged as key tools for capturing a broader range of customers. Meanwhile, interest in electric vehicles has grown, especially as prices have fallen, though concerns over battery life, resale value and serviceability have tempered wider adoption in the used segment. Tariffs and regulatory changes are expected to keep new car prices high, sustaining interest in used vehicles for price-conscious buyers. However, improvements in global supply chains are allowing new vehicle inventories to recover, intensifying competition and putting gradual downward pressure on used car prices. Dealers specializing in electric vehicles will need to navigate rapid depreciation and evolving consumer incentives. Persistent labor shortages and rising technological complexity will require ongoing investment in talent development and digital infrastructure. For used car dealers, the next few years will demand greater adaptability and innovation, as consumer expectations and market dynamics continue to shift. Revenue will climb at an estimated CAGR of 2.5% to $166.7 billion through 2030.

Unlock data-backed intelligence on the USA Used Car Market, size at USD 205 billion in 2023, featuring growth trends, market opportunities, and competitive landscape insights.

In Used Car Market in US, Car sharing services such as Zipcar and Turo are also driving up the demand for used cars to offer to their members.