Average New-Car Prices Up More Than 1 Percent Year-Over-Year for December 2018, Closing the Strongest Year of Growth Since 2013, According to Kelley Blue Book

IRVINE, Calif., January 3, 2019 – The analysts at Kelley Blue Book today reported the estimated average transaction price for light vehicles in the United States was $37,577 in December 2018. New-vehicle prices increased (up 1.3 percent) from December 2017, while decreasing $93 (down 0.2 percent) from last month.

“December closed out a very strong year for new-car prices, as they rose to more than $36,000 on average in 2018, a 3 percent increase,” said Tim Fleming, analyst for Kelley Blue Book. “Despite higher interest rates and incentives remaining flat year-over-year, this was the strongest growth in transaction prices since 2013. Average transaction prices were boosted in 2018 by tax reform and low unemployment, as well as the rapid ramp-up of Tesla and its Model 3.”

Excluding Tesla from the average, the rest of the industry rose 2.5 percent, a result more in line with the past few years. The sales mix of cars dropping to 31 percent (from 36 percent in 2017) also played a role in rising prices, and as more automakers like Ford discontinue their car nameplates in favor of SUVs and trucks, the average new-vehicle price will continue to grow.

Manufacturer December 2018 Transaction Price (Avg.)* November 2018 Transaction Price (Avg.)* December 2017 Transaction Price (Avg.)* Percent Change November 2018 to December 2018* Percent Change December 2017 to December 2018* American Honda (Acura, Honda) $29,347 $29,579 $29,329 -0.8% 0.1% Fiat Chrysler (Alfa Romeo, Chrysler, Dodge, Fiat, Jeep, RAM) $40,028 $39,708 $38,497 0.8% 4.0% Ford Motor Company (Ford, Lincoln) $40,256 $40,056 $40,643 0.5% -1.0% General Motors (Buick, Cadillac, Chevrolet, GMC) $40,943 $41,183 $40,722 -0.6% 0.5% Hyundai-Kia $24,705 $24,584 $25,166 0.5% -1.8% Nissan North America (Nissan, INFINITI) $30,880 $30,818 $30,202 0.2% 2.2% Subaru $29,636 $29,824 $28,104 -0.6% 5.5% Toyota Motor Company (Lexus, Toyota) $34,143 $33,891 $33,531 0.7% 1.8% Volkswagen Group (Audi, Volkswagen, Porsche) $42,322 $43,232 $42,798 -2.1% -1.1% Industry $37,577 $37,670 $37,077 -0.2% 1.3% *Kelley Blue Book average transaction prices do not include applied consumer incentives Similar to last month, strength in SUVs and trucks continued to push Fiat Chrysler and Subaru up year-over-year. Also benefitting from models in these segments, Nissan North America jumped 2 percent overall with Infiniti leading the way at a 5 percent increase. The QX50 was Infiniti’s top performer again, as average transaction prices were up 22 percent. Nissan prices also climbed (up 1 percent), led by the redesigned Altima (up 6 percent). However, the new Kicks subcompact SUV and its nearly $20,000 average transaction price brought down the Nissan brand average. Segment December 2018 Transaction Price (Avg.)* November 2018 Transaction Price (Avg.)* December 2017 Transaction Price (Avg.)* Percent Change November 2018 to December 2018* Percent Change December 2017 to December 2018* Compact Car $20,453 $20,429 $20,363 0.1% 0.4% Compact SUV/Crossover $28,739 $28,789 $28,356 -0.2% 1.3% Electric Vehicle $67,004 $67,357 $68,470 -0.5% -2.1% Entry-level Luxury Car $42,385 $42,505 $42,565 -0.3% -0.4% Full-size Car $34,925 $34,841 $34,526 0.2% 1.2% Full-size Pickup Truck $48,653 $48,777 $47,398 -0.3% 2.6% Full-size SUV/Crossover $63,207 $63,507 $61,896 -0.5% 2.1% High Performance Car $113,433 $121,440 $94,738 -6.6% 19.7% High-end Luxury Car $98,128 $97,944 $97,960 0.2% 0.2% Hybrid/Alternative Energy Car $27,595 $27,540 $27,134 0.2% 1.7% Luxury Car $57,471 $58,201 $58,485 -1.3% -1.7% Luxury Compact SUV/Crossover $44,485 $44,800 $43,898 -0.7% 1.3% Luxury Full-size SUV/Crossover $87,149 $86,978 $84,407 0.2% 3.2% Luxury Mid-size SUV/Crossover $56,664 $56,567 $56,514 0.2% 0.3% Mid-size Car $25,838 $25,799 $25,956 0.2% -0.5% Mid-size Pickup Truck $33,262 $33,593 $32,982 -1.0% 0.9% Mid-size SUV/Crossover $38,975 $38,982 $38,400 0.0% 1.5% Minivan $35,777 $35,440 $35,403 1.0% 1.1% Sports Car $35,345 $35,612 $34,511 -0.7% 2.4% Subcompact Car $16,365 $16,368 $16,164 0.0% 1.2% Subcompact SUV/Crossover $24,211 $24,033 $24,521 0.7% -1.3% Van $34,205 $33,477 $32,379 2.2% 5.6% Grand Total $37,577 $37,670 $37,077 -0.2% 1.3% *Kelley Blue Book average transaction prices do not include applied consumer incentives