U.S. auto sales are expected to slow during the second half of 2024

U.S. auto sales for the first half of the year are expected to be up by 2.9%. However, concerns have arisen about whether the industry can maintain this momentum in the second half of the year. Factors such as growing vehicle inventory, increasing incentives, and uncertainty surrounding the economy, interest rates, and the U.S. presidential election contribute to this apprehension. Cox Automotive predicts a slowdown in sales growth during this period, resulting in an estimated increase of 1.3% compared to 2023. Commercial sales are driving the growth, unlike previous years dominated by consumer sales. While this situation benefits consumers who have been waiting to purchase a new vehicle, it poses challenges for automakers.