US New Car Inventory Fell to 13-Month Low
In August 2026, the national supply of new vehicles dropped to 73 days as model rollouts slowed.
Updated on Sept. 28, 2026 in Buying/Selling
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United States new car dealers recorded their lowest inventory levels in 13 months during August 2026. The average supply of vehicles on lots fell to 73 days, driven by a slower-than-usual transition to new model years.
Why it matters
Market demand continues to outpace the supply of affordable vehicles while high oil prices and tariff issues hinder production. These constraints have forced an industry-wide shift as automakers struggle to stock lower-cost models.
New car dealers averaged 2.68 million vehicles in August, with 66% of inventory priced above $40,000. While supply for vehicles under $30,000 stands at 54 days, those over $60,000 have a 90-day supply.
The players
Toyota
This major automotive manufacturer has struggled with inventory constraints, particularly regarding its RAV4 model.
Honda
The automaker is currently on track to become the leading manufacturer of SUVs in the United States this year.
Dodge
This brand is currently experiencing a significant inventory surplus compared to the broader automotive market.
The details
Automakers are releasing 2027 models at a significantly slower pace, with current model year vehicles representing only 12.4% of total stock. Supply levels vary drastically by manufacturer, ranging from a tight 33-day supply for Toyota to a surplus of 133 days for Dodge.
Timeline
December 2025: The average listing price for a new car was $50,351.
August 2026: US car dealers reached the lowest inventory levels in 13 months.
2026: Toyota faced a significant supply shortage for its RAV4 model.
2026: Honda is projected to surpass Toyota as the top SUV manufacturer in the US.
Roadmap
The industry's struggle to restock aligns with a broader trend of slowed production cycles and persistent supply chain bottlenecks. This shift leaves automakers like Toyota vulnerable to losing market leadership as competitors like Honda gain ground in the SUV segment.
Consumers looking for vehicles priced under $30,000 may face limited selection due to tight supply levels. With the average listing price at $49,486, buyers should expect to pay a premium as inventory shortages remain a hurdle for the foreseeable future.
The takeaway
Buyers may need to broaden their search criteria or consider alternative models as high-end vehicle supply exceeds that of entry-level options. Keeping a close watch on manufacturer-specific inventory levels can help potential owners secure better pricing in a strained market.
Further reading
For more information on market trends, visit the United States Buying/Selling page.
Source note: This article includes information reported by CarBuzz.
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