+++ Toyota’s BZ4X was the top-selling ELECTRIC VEHICLE IN JAPAN in October-December 2025, the automaker has announced. It marked the first time that Toyota has topped the country’s quarterly EV sales rankings. The company released the result on Thursday. The strong sales are believed to reflect Toyota’s strategy of offering buyers a 1-year free membership to a vehicle-charging service after purchase, among other measures. The BZ4X underwent a partial remodelling last October. Its cruising range was extended to a maximum of 746 kilometers on a single charge, the longest among models released by domestic automakers, a change that is also seen to have been well received by consumers. In the 3-month period, sales of the BZ4X increased 22-fold from a year earlier to 3.448 units. Honda’s N-one E: electric minivehicle came in second, at 2.732 units sold, followed by Nissan’s Sakura electric minivehicle, which ranked third with 1.895 units. +++
+++ GENERAL MOTORS has reported a dip in 4th-quarter U.S. auto sales, reflecting a sharp decline in electric vehicle transactions amid a broader slowing car market. But the U.S. auto giant also achieved an annual sales increase, pointing to growth in pickups and crossovers sales as evidence of resonance with consumers despite offering lower incentives than the industry average. The Detroit giant reported 703.000 deliveries in the final quarter of 2025, a drop from the year prior of 6.9 percent, in a period characterized by tepid consumer confidence surveys. Other carmakers to report a drop in U.S. sales in the 4th quarter included Honda, Nissan and Volkswagen, while Toyota and Stellantis were higher. Analysts at Cox Automotive had estimated a 4.7 percent drop in overall U.S. car sales in the 4th quarter, with concerns about a weakening job market, high interest rates and cost-of-living pressures weighing on sentiment. A driver of GM’s decline was a pronounced fall in EV sales from the third quarter, when consumers raced to take advantage of a $7,500 tax credit that expired at the end of September, earlier than initially intended due to legislation championed by U.S. President Donald Trump. EV sales at GM were 25.219 in the October to December period, less than half the level in the third quarter of 2025. GM’s annual sales were 2.8 million, up 5.5 percent from 2024. Among the vehicles with sizable gains were the Chevrolet Equinox (a small SUV) and the GMC Sierra (a line of pickup trucks). “Demand for our brands and products is strong at every price point, and we are well-positioned to build on this momentum in the year ahead”, said GM senior vice president Duncan Aldred. At Toyota, 4th-quarter sales rose about 8 percent to 652,195, in line with annual growth of comparable percentage. Total sales were 2.5 million for 2025. Toyota models with significant year-over-year sales increases included the Grand Highlander and the Tacoma pickup. Stellantis, meanwhile, scored a 4 percent increase in the 4th-quarter to 332.321, helping to reduce the size of its annual drop after a number of weak quarters. Stellantis annual sales fell 3 percent to 1.3 million. “With consecutive quarterly sales increases and market share growth, it’s clear that we are taking the right steps to reset our business in the U.S.”, said Jeff Kommor, head of U.S. retail sales, who pointed to five new vehicle launches scheduled for 2026. Throughout 2025, automakers were faced with a fast-changing policy environment as Trump announced myriad tariff actions and moved to gut climate measures enacted under predecessor Joe Biden. Tariff costs did not lead to significant hikes in retail prices in 2025, in part because dealers were selling autos from inventory. However, analysts say consumers may see greater car price hikes in 2026 due to tariffs, potentially affecting demand. Cox estimates that U.S. sales will come in at 15.8 million in 2026, or 2.4 percent below its projection for 2025 sales. +++
+++ HONDA plans to increase production of cheaper petrol-fuelled vehicles in the United States this year, a reflection of lower U.S. emissions standards and a new-car affordability crisis. The Japanese carmaker’s sales of electrified vehicles will take a back seat to petrol-fuelled cars and SUVs in response to growing demand for low-cost models, Lance Woelfer, the head of Honda’s U.S. sales operations, said in a media briefing. “We’re actually going to increase production of more affordable trims this year to make sure we can meet the needs of our customers. This means adjusting our production mix to include more lower-priced, petrol-powered models”, he told reporters. “Every manufacturer is talking about affordability being one of the main challenges in the marketplace”. The move comes as many American car-buyers are struggling to afford new-car prices that average nearly $50.000, and as the auto industry embraces less stringent federal rules on internal combustion engines. U.S. president Donald Trump’s administration is relaxing Corporate Average Fuel Economy requirements for cars and light trucks that were tightened under former U.S. president Joe Biden. Hybrids, which typically cost more than gas-only models, made up a large share last year of Honda’s most popular models, including 54% of its best-selling CR-V crossovers, half of Accord mid-sized sedans and 36% of Civic compacts. But the additional upfront costs for more fuel efficient powertrains could take longer to pay off due to falling prices at the pump. Petrol prices in many parts of the U.S. have fallen to the lowest levels in at least a year, official data show. A 2026 base model CR-V powered starts at around $32,370 in the U.S., about $5,000 less than the lowest-priced hybrid version of the vehicle. Woelfer declined to specify how many more petrol-powered vehicles the Tokyo-based carmaker plans to sell this year, but said that overall U.S. deliveries for its mainstream Honda and premium Acura brands should grow about 4% to 1.5 million vehicles. +++
+++ The N-Box lightweight car from Honda had the highest NEW CAR SALES IN JAPAN in 2025, highlighting its solid popularity since its release 2 years ago, according to a survey announced Thursday by the Japan Automobile Dealers Association and Japan Light Motor Vehicle and Motorcycle Association. Although it remained on top of the rankings, sales of the N-Box fell by 2.4% from 2024 to 201.354 units. Half of the top 10 best-selling models were from the Toyota Motor Corporation, while embattled automaker Nissan’s vehicles were outside the top-10 rankings for the first time in 5 years. Toyota’s Yaris secured second place followed by Suzuki’s Spacia, both of which maintained sales levels similar to the previous year and moved up one place in the rankings. +++
+++ At the NORTH AMERICAN INTERNATIONAL AUTO SHOW , tires squeal as gearheads put shiny new vehicles through their paces on a pair of indoor tracks that sprawl across the event space. One of those tracks used to be set aside exclusively for electric vehicles as U.S. automakers sought to quickly build out the cars of the future. But no longer. This year, both strips are open to hybrids and gas-powered vehicles as Detroit continues a pivot away from EVs since president Donald Trump returned to the White House with a pro-fossil fuels agenda. “The show will always reflect what’s happening in the industry at the consumer level”, said Todd Szott, chairman of this year’s event and an auto dealer. “Obviously things have changed in the EV landscape”. Some industry players say they’re emphasizing “consumer choice” in the cars they’re showing at Detroit’s premier auto event. But some experts expressed concern about the EV pullback’s long-term effect on American automakers as the rest of the globe (especially China) electrifies. “What we worry about is how competitive will we be on the global stage as the market continues to advance around us”, Michael Robinet, vice president of forecast strategy at auto market intelligence firm S&P Global Mobility, said during a panel Wednesday on industry trends. Including plug-in hybrid electric vehicles, U.S. sales of electrified cars grew just 1% last year, according to data released by Benchmark Mineral Intelligence this week. Compare that to China, which saw 17% growth in plug-in hybrid and electric vehicles last year, and Europe, which saw a 33% increase. (U.S. pure-EV market share was just under 8% in 2025, with 1.23 million EVs sold; a slight decline from 2024.) None of that seemed to alarm president Donald Trump earlier this week when he toured the Ford River Rouge Complex, which churns out pickup trucks and more in suburban Dearborn. Trump used his time in Detroit to boast of policy changes on EVs and tariffs that he says have boosted U.S. automakers. “Among my first acts in office was to end the radical left war on oil and gas and stop the crusade to kill American energy and, frankly, to open up cars so that you don’t have to have an electric car”, Trump said in remarks to an economic club before the plant tour. Trump revoked a Biden-era target for half of new vehicle sales in the U.S. to be electric, and has tried to block money obligated to EV charging across the nation’s highways. Under Trump, Congress cut tax incentives that saved buyers up to $7.500 on an EV purchase. The administration has also weakened fuel economy standards (going so far as eliminating penalties for the automakers who do not meet them) and mileage rules. “I love electric cars. I think they’re great”, Trump added. “But I’ve been saying it for 4 years. They wanted everybody to have an electric car in a very short period of time”. Those changes have cut into the U.S. industry in 2025 and cost automakers billions of dollars in investment. Ford announced last month $19.5 billion in charges from electrification efforts and ending production of the all-electric version of the F-150 Lightning truck. Detroit rival General Motors also recently announced $6 billion in EV-related charges, among other losses, and has also rolled back some of its EV commitments. Even once-market leader Tesla had a tough 2025. “I still push for it because, I mean, it is the future of the company”, said Shawn Strain, marketing manager at Ford. “We still are just completely committed to EVs. And it may not be as overt as we once were”. But industry experts at and outside of the show say it’s a tough time. The competitive auto landscape has been radically reshaped, they say, and China dominates what most see as the future of the industry. “We have to look at what we’re up against. In a word: China”, Michigan governor Gretchen Whitmer said in a speech at the show Thursday. “China wants to dominate every part of auto manufacturing. They’re making major headway. They’ve captured major market share almost everywhere except the U.S. and Canada”, she added. “We have to meet these challenges”. Will Roberts, automotive research lead at Benchmark Minerals that released the 2025 data, warned that U.S. policy has made all the difference. American automakers have responded to those changes, he said, but it would be good strategy if they made sure they were “keeping things ticking along in the background with a really compelling EV offering”. Otherwise, the U.S. sector runs the risk of falling behind, Pete Buttigieg, former transportation secretary under former president Joe Biden, agreed. In another panel at the show, Buttegieg said Trump can’t stop electric vehicles from becoming the leading automotive technology. “But he can stop America from being the leader in that technology”, Buttigieg said. “Industry should point a different direction”. +++
+++ A new electric ROLLS-ROYCE SUV appears ahead of A 2027 launch. Following the Spectre, this huge electric SUV will be the brand’s second EV, and it won’t be the last. Rolls-Royce is putting together an all-electric SUV (or ‘high-sided vehicle’ in Rolls-Royce terminology) that will join the Spectre coupe as the brand’s second all-electric model in 2027. Little is known on the record about the new EV, but new spy shots from BMW’s winter testing program reveal a prototype that’s both very large and quite different to Rolls-Royce’s first SUV, the more upright Cullinan. Instead, this new model is lower and sleeker, with an almost wagon-like silhouette and shallower windows. Yet while it looks lower, this new electric SUV is most certainly longer than the existing Cullinan. This is quite something considering that car’s already over 5.3 meter in length, so I expect this model to sit somewhere between the Ghost and Phantom saloons in size at around 5.3 to 5.4 meter. There’s no mistaking this car’s core Rolls-Royce design cues, dominated by a long bonnet, upright nose, and short front and long rear overhangs. Peer under the camouflage and you’ll also see the same rear-opening ‘coach’ doors, and a set of small Spectre-inspired rear lights. But up front there’s something more innovative going on. Central to the front-end design will sit a typical Pantheon grille, but the lighting on either side is promising something quite different. Look closely and you’ll see a set of led lighting strakes at the intersection of the bonnet and front bumper which taper from angled to vertical as they get closer to the centre of the car. Underneath these are vertically-arranged headlights, and while they aren’t the production units, their basic layout and placement will be correct to the future road car. Given this model’s placement in the Rolls-Royce range as one of its more progressive model types (after all, this isn’t a V12-powered saloon), I expect the interior to be more digitised than ever before in one of the brand’s creations. Expect larger screens and more digital customisation alongside Rolls-Royce’s famous leather, wood and metal craftmanship. Under the skin, this model will improve its electric driving range as its battery technology should be based on the Neue Klasse architecture from its parent company BMW. But the sheer size and weight of the new SUV will probably see the maximum distance on a charge remain somewhere in the 500 – 650 km ballpark. Expect a twin-motor layout with upwards of 600 hp; a 750 hp-plus Black Badge is also a given. However, as with the Spectre, this won’t be about outright speed, rather a feeling of effortless power. While I don’t know for sure, I believe the electric SUV won’t immediately be a direct replacement for the existing Cullinan, as the petrol-powered SUV still does big sales in petrol-hungry markets like the USA and the Middle East. However, it is unlikely that another generation of V12-powered Cullinan will materialise. What’s more probable is a third all-electric model replacing the flagship Phantom, destined for a 2028 launch. Of course, this big new Rolls-Royce won’t be the only ultra-luxury British electric SUV coming out next year, as Bentley’s ‘Urban SUV’ is also on the way. Due to be quite a lot smaller and more agile than the Rolls, given its shared underpinnings with the new Porsche Cayenne Electric, the Bentley won’t directly compete for the same customers. Instead it’s probably Jaguar, with its SUV follow up to the forthcoming GT that could be the more pointed competitor. Pricing will be in the style of Rolls-Royce, so it’s rude to ask, but if you must know, don’t expect any change from 400.000 euro. +++
+++ TOYOTA remained the world’s top-selling automaker in 2025 for the sixth straight year, data showed Monday, as Volkswagen released its full-year sales figures that fell short of the Japanese automaker’s total through November. Toyota sold 10.32 million vehicles worldwide between January and November, while its German rival sold 8.98 million units over the 12 months through December, down 0.5 percent from 2024. In China, Volkswagen’s major market, the automaker sold around 2.69 million vehicles, down 8.0 percent, amid intensified competition with domestic manufacturers. Its sales were also hit hard in North America due to U.S. president Donald Trump’s tariff measures, recording a 10.4 percent decrease. Meanwhile, the German automaker continued to see robust sales in Europe, and its worldwide sales of electric vehicles grew 32.0 percent to 983.100 units, with the figures for Europe and the United States far exceeding those in 2024. Toyota has held the top position worldwide since 2020. Its sales figures include those of its small-car manufacturing unit Daihatsu and truck-making unit Hino Motors. +++
+++ Auto industry experts expect car sales in the UNITED STATES to moderate in 2026 after last year’s churn of trade announcements and environmental policy changes spurred increased sales. Analysts attribute some of 2025’s sales gains to President Donald Trump’s announcements early in the year of huge tariff increases. Although the president ended up striking deals that moderated levies from the threatened level of 40 percent or more, initial headlines led to a noticeable spring surge in sales. A similar uptick in electric vehicle sales occurred at the end of September after Trump signed legislation phasing out a tax credit. Again, consumers flocked to dealerships before the $7,500 EV tax credit went away. Such a landscape was treacherous for car executives like Ford CEO Jim Farley, who complained in February 2025 that Trump’s tenure was producing “a lot of cost and a lot of chaos”. But by the end of year, automakers still did okay. U.S. auto sales for all 2025 came in at 16.3 million, up about 2 percent from 2024. “A lot of the activity we had in 2025 was driven by the president’s announcements”, said Cox Automotive economist Charlie Chesbrough. Ford announced final sales for the year of 2.2 million, up 6 percent from 2024 and the best year since 2019. But with the changing of the calendar, industry insiders expect a modest pullback in 2026 sales, pointing to tepid consumer confidence and a slowing job market, partly offset by more favourable factors like lower interest rates. Cox expects “the market to be similar to 2025 but just a little bit slower”, said Chesbrough, who described surveys of auto dealers as “very pessimistic”. Cox has projected 2026 sales to drop to 15.8 million, while Edmunds sees them coming in at 16.0 million. The new car market is heavily impacted by the split-screen nature of the U.S. economy, with wealthier households strengthened by stock market records, while working-class consumers struggle with increased prices. Economists now speak of the U.S. economy as “K-shaped” to reflect the opposite fortunes of these subsets, with new cars out of reach for lower-income shoppers. Average transaction prices for new autos approached $50,000 for most of 2025, compared with under $35,000 less than a decade ago. One wildcard heading into 2026 is pricing. Even with lower tariffs, automakers still face billions of dollars in added costs from the levies, but with retail prices already so high, they are reluctant to pass them on to consumers. Carmakers have opted to charge more for delivery costs, reduce incentives or strip away features that might once have been included, a step Chesbrough likens to “shrinkflation”. Ivan Drury, Edmunds’ director of insights, described deep reluctance to raise retail prices further. “The sticker shock is kind of flooring”, said Drury, who notes that there are currently no new models under $20,000. The landscape is particularly difficult for first-time buyers, consigning many to the used car market, Drury said. While the cadence of tariff news has slowed in recent months, the Trump administration is set to negotiate a new version of the USMCA, a trade agreement with Canada and Mexico, later this year. Given that Detroit automakers and other car companies have established much of their supply chains around the three countries, significant tariff changes could potentially impact prices. But Drury believes car consumers will be less tuned-in to tariffs in 2026. “At some point, it becomes a bit of a white noise”, he said. +++