July 2025 supply of new vehicle inventory by brand

[GON]

Looks like manufactures are not producing at maximum levels, and consumers are still actively buying new vehicles.

Chart implies tough negotiations if you are buying a Toyota, Lexus, Honda, BMW, or Chevrolet.

From the article:
New car inventory is thinning out for nearly every major automaker:

The average dealership days’ supply is now 73 days—a full week less MoM.

At the brand level—Kia, Hyundai, and Mercedes are moving EVs faster than they restock.

Meanwhile Mazda, Mitsubishi, and Nissan are leaning on incentives and fresh models to keep sales humming.

The signal: Automakers are keeping production tight despite rising sales—tightening supply across the board and setting the stage for firmer pricing into fall.

Here’s how each brand is stacking up…"

 

[Astro14]

Looks like it’s time to negotiate a good price on a Land Rover or Ram…

 

[4WD]

Looks like it’s time to negotiate a good price on a Land Rover or Ram…

Could I negotiate an extended warranty ?

 

[SC Maintenance]

What does a dealership consider "normal" months supply?

 

[rijndael]

I can't imaging buying a Mercedes EV / EQS, they lose so much value in the first few years, and I wouldn't be a long term owner of it.

https://evdepreciation.com/mercedes-eqs-depreciation/

 

[AZjeff]

Is Ram over producing or under selling? It seems they need to be 25% off MSRP new models to get buyers interested.

 

[rijndael]

Pre-orders for RAM w/ the (brought back) Hemi looked strong. Maybe folks want those rather than on-lot vehicles.

 

[duck__dodgers]

What does a dealership consider "normal" months supply?

50 - 60 days, but every dealer wishes they had Toyota's problem

 

[paulswagelock]

Is Ram over producing or under selling? It seems they need to be 25% off MSRP new models to get buyers interested.

I think Ram messed up last spring when they decided they were very proud of their trucks and were not offering incentives, causing loyal owners to look elsewhere, and now it is tough to recover.
I had new Rams every 2 years for 12 years. Tried last spring to purchase a new one like I did 6 times previously. Msrp price was the offer since there were no incentives. Needless to say my new truck was not a Ram.

 

[JeffKeryk]

EVs will move because the tax benefit is ending. Perhaps manufacturig cost increases are slowing ICE production? Or preparing for 2026 models? Just spit balling...

 

[SC Maintenance]

EVs will move because the tax benefit is ending. Perhaps manufacturing cost increases are slowing ICE production? Or preparing for 2026 models? Just spit balling...

I agree with you but other than Tesla who can ramp production in time?

Maybe some Euro companies could but I am pretty sure they don't qualify for the incentives anyway do they?

 

[trd1zz]

At the brand level—Kia, Hyundai, and Mercedes are moving EVs faster than they restock.

What? Mercedes EVs are a complete failure. Their EV sales are down like 30-50%+ from last year.

 

[GON]

What? Mercedes EVs are a complete failure. Their EV sales are down like 30-50%+ from last year.

Mercedes moves a lot of new vehicles through leases. A whole lot of new vehicles. Maybe Mercedes is offering EV leases at prices and individual can't say no to.

Offer me a new Mercedes EV lease for two years with unlimited miles, at a Tesla lease payment price, I am taking the MB lease.

Leasing a MB EV seems like a low risk endeavor, especially for a well off individual.

 

[JeffKeryk]

I agree with you but other than Tesla who can ramp production in time?

Maybe some Euro companies could but I am pretty sure they don't qualify for the incentives anyway do they?

If the vehicle is not on the mfg line soon, it will be too late. You have to take delivery by Sep 30.
At least that's how it was on our 2018 Model 3. In those days there was no income limit.

Yes, a certain amount of the EV must be American, but I'm not sure the exact parameters.

 

[Rmay635703]

What does a dealership consider "normal" months supply?

Back in ye olde times inventory should be near max levels right now to sell out by end of year.

Lean inventory used to be considered 90 days. (Depending on the month, remember that 2026’s are on the lot and 120 days was actually normal back in the day even if not target because of the massive production cost savings and you could easily blow out the remainder of cars Dec+)

Pandemic era dealers learned that if you don’t have adequate inventory you can price gouge making more selling less.

OEMs are terrified that the market has collapsed so they are doubling down on keeping minimal inventory and likely are paying furlough up the ying yang to keep lines off.

My guess is the strategy to make more selling less will fail since there won’t be used cars and people will exit the car market

50 - 60 days, but every dealer wishes they had Toyota's problem

Realistically that has only been target the last 5 years, used to be if you ran light volumes below 90 days in a healthy market you just lost sales and produced product less efficiently at a higher price.
Nobody cares about line efficiency anymore and just wants to squeeze max sales $$$ amount per car even though this destroys the future auto market.

 

[trd1zz]

Mercedes moves a lot of new vehicles through leases. A whole lot of new vehicles. Maybe Mercedes is offering EV leases at prices and individual can't say no to.

Offer me a new Mercedes EV lease for two years with unlimited miles, at a Tesla lease payment price, I am taking the MB lease.

Leasing a MB EV seems like a low risk endeavor, especially for a well off individual.

Not sure what Mercedes is moving EV wise other than the last of the remaining failed models that have now been discontinued in the US because no one wants them - EQS, EQE, EQB.

Simply a misleading headline from the article. Mercedes is moving the EVs faster than they can restock them - because they are not restocking them, lol.

 

[wag123]

What does a dealership consider "normal" months supply?

50 - 60 days, but every dealer wishes they had Toyota's problem

Anything at or below 30 days is essentially "sold out".
With Toyota, consider the fact that the total days supply of inventory includes trucks (the same for Ford and Chevy), so they are (and have been) sold out of pretty much everything else for several years. Unfortunately this puts the Toyota dealers in control when it comes to abusing the buyers. IMO, from personal experience, Toyota dealers are easily the most abusive to their customers.
"New car inventory is thinning out for nearly every major automaker. The average dealership days’ supply is now 73 days—a full week less MoM". Keep in mind that new model changeover occurs between the middle of July and the end of August every year and the auto manufacturers shut down their assembly lines during this process, which is also when they give the production line employees their vacations (production line employees don't generally get to take vacations whenever they want).

 

[JeffKeryk]

Not sure what Mercedes is moving EV wise other than the last of the remaining failed models that have now been discontinued in the US because no one wants them - EQS, EQE, EQB.

Simply a misleading headline from the article. Mercedes is moving the EVs faster than they can restock them - because they are not restocking them, lol.

Mercedes is making significant changes to its EV strategy, effectively "redoing" its approach to EVs.

 

[trd1zz]

Mercedes is making significant changes to its EV strategy, effectively "redoing" its approach to EVs.

Yeah... hybrids. (See Toyota).

Want a Toyota hybrid? Get in line.

 

[JeffKeryk]

Yeah... hybrids. (See Toyota).

Want a Toyota hybrid? Get in line.

Yeah, Toyota has been at the hybrid game for quite awhile. We have one. I gone to the dark side and prefer EVs, but hybrids make a ton of sense especially with crazy CA gas prices.