On the Dash:
- Ford sales declined 0.7% in November, with EV deliveries down 61% due to expired tax credits and supply issues.
- Hyundai sales fell 2%, with EV demand dropping sharply but hybrid vehicle deliveries rising 42%.
- Inventory constraints, rising prices, and reduced incentives are pressuring automakers across the U.S. market.
Ford Motor Co. and Hyundai Motor America reported modest declines in U.S. auto sales in November, driven largely by weakening demand for electric vehicles and production constraints.
Ford’s total sales slipped 0.7% to 164,925 units compared with November 2024. Deliveries of its EV models, including the Mustang Mach-E and F-150 Lightning, plunged 61% to 4,247 vehicles. The decline followed the expiration of the $7,500 federal EV tax credit in October and a fire at a key aluminum supplier, which limited F-150 Lightning production. While light-truck deliveries remained steady, overall sales were pressured by falling EV numbers and supply disruptions.
Hyundai’s November sales fell 2% to 82,306 units. EV sales of the Ioniq 5 and Ioniq 6 each dropped more than 55% as buyers shifted away from fully electric vehicles after the tax credit ended. However, hybrid vehicle demand surged 42% for the month, reflecting growing interest in electrified alternatives. Kia, Hyundai’s sister brand, posted a 2.7% increase in November sales, helping offset some of the decline at Hyundai.
Rising new-vehicle prices, reduced government incentives for EVs, and constrained inventories are creating headwinds for automakers. Some consumers who might have purchased fully electric models opted for hybrids, boosting those segments despite overall sales softness.
Automakers continue to roll out promotional incentives to maintain demand, including zero-down-payment and deferred-payment options for qualifying buyers. Average transaction prices remain elevated, reflecting higher sticker prices and limited discounts for EVs.
The November results illustrate broader market pressures as the U.S. auto industry adapts to changing consumer preferences, the end of federal tax credits, and ongoing supply chain challenges.
