U.S. vehicle sales fell 8% last year from 2021 as shortages of computer chips and other parts continued to hobble the auto industry. Dealer lot vehicle supplies are growing slowly and automakers expect a small easing in car prices.
Toyota, for instance, finished the year with just under 24,000 vehicles on Toyota and Lexus brand dealer lots nationwide. That’s up from about 19,000 at the end of 2021, but still far short of the 300,000 during normal years before the pandemic.
Whether that holds up all year remains to be seen. If demand stays strong and people are willing to pay sticker price, then dealers will get that, Christ said. But if demand wanes or supplies increase dramatically, discounts could rise and prices could drop a bit. Caldwell doesn’t see vehicle supplies or prices returning to pre-pandemic levels this year, and she’s not sure if we’ll ever get back to 2019 levels.
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