U.S. New Car Prices Hit Record High in December 2025, Averaging $50,326

In December 2025, the average transaction price for new vehicles in the U.S. reached a record high of $50,326, up 1.1% month-over-month and 0.8% year-over-year. The manufacturer's suggested retail price (MSRP) also climbed to $52,627, remaining above the $50,000 mark for the eighth consecutive month. Despite December typically being a month of aggressive automaker promotions, higher-priced models continued to dominate the market: sales of full-size pickup trucks exceeded 233,000 units—the strongest performance in five years—with an average transaction price of $66,386. Nearly one-fifth of new vehicle buyers opted for luxury brands. Meanwhile, electric vehicle (EV) sales declined by 2% year-over-year, with approximately 1.28 million units sold throughout the year, as manufacturers relied on promotions to offset the impact of reduced federal EV tax credits. Industry experts have expressed concern that the current model of sustaining high vehicle prices through long-term financing may be unsustainable and could pose financial risks.