The US auto market is doing better than economists expected given the broader economic headwinds, and there are a few stories this week worth catching up on.
Mini is offering manual transmission driving lessons to promote the fact that it still sells cars with a third pedal — a reminder that one of the simplest and most engaging ways to drive is being phased out across almost every segment of the market. The Cooper has long been one of the few remaining attainable sports cars where a proper manual is available, and Mini apparently recognizes that not enough potential buyers know how to use one. The promotional driving school concept is clever marketing, and if it actually gets a few thousand people comfortable with a clutch, it’s doing real work.
SEMA show coverage has been rolling in from Las Vegas, and the show continues to demonstrate that the aftermarket industry is doing well despite everything. The aftermarket is often an underappreciated economic force — billions of dollars annually in parts, accessories, and labor, supporting thousands of small businesses that don’t show up in the big industry headlines. This year’s show had particularly strong representation from both traditional performance modification companies and a growing cohort of EV-focused aftermarket businesses.
The midterm election results are in and their implications for automotive policy are worth watching. The political balance in Congress will affect the fate of several proposed EV incentive modifications and the appetite for new emissions regulations. The details matter more than the headline results — which committee chairs are positioned to advance or block which proposals will shape what actually happens to the IRA’s EV provisions in the near term.
Used car prices continued their gradual softening this week. The pace is slower than some analysts expected given the rate of wholesale price declines, suggesting dealers are holding retail margins as long as possible. Buyers with time and flexibility to shop aggressively are in a noticeably better position than six months ago; buyers who need something specific quickly are still finding the market reasonably tight.