There's a secret in the car industry that few will spill: The best time of the year to buy a car is upon us.
Car shopping experts say that between Black Friday and New Year's Day, consumers typically see some of the best discounts on new cars. They anticipate that will hold true this year, too, although some say the deals might be more brand-dependent rather than a broad sweep across the car industry as in years past.
That's because of the complexities the industry has had to navigate this year. First, there is the impact from President Donald Trump's 25% tariffs on imported vehicles and auto parts, potentially adding cost to some vehicles.
Also, there are some supply chain challenges for certain brands, such as an aluminum shortage for Ford Motor Co. that has disrupted some Ford truck production. Also, there is a potential semiconductor chip disruption from a political situation between the Dutch and Chinese governments. The chips are used in a variety of car parts, so without them, production across many manufacturers could be interrupted and create a shortage of inventory, thus causing new car prices to spike.
Then there was the Sept. 30 expiration of the federal tax incentive, which offered up to $7,500 back on the purchase of qualifying electric vehicles. In some cases, automakers are offering discounts on gasoline vehicles to offset the big dip in EV sales that followed the incentive's expiration. But in other cases, some automakers can't afford to offer big discounts across the board as they now must bear the full load of incentivizing EV sales.
