Whether you’re a car aficionado or just someone who catches the occasional commercials, new car models are exciting. Even if you’re not in the market for a vehicle, it’s still interesting to hear about the new features and the updated technology that automotive manufacturers are putting on the market. But 2025 is shaping up to have fewer new car models on the market than ever before.
How Many Fewer New Car Models Are Coming Out in 2025?
Bank of America puts out an annual study called “Car Wars.” While the event itself isn’t until late June 2025, the American International Automotive Dealers Association (AIADA) reports that there’s already been a teaser released. According to AIADA, one of the senior analysts has already given out some of the numbers in this year’s study. That analyst, John Murphy, told reporters that “we expect 159 models to be launched over the next four years….a dramatic decline from above 200 last year.” Automotive News adds that of those 159 models coming out over the next four years, only 29 of them are slated for release this year. Murphy also noted that this decline in new car models is primarily in the electric vehicle sector.
Why Are There Fewer New Car Models This Year?
In the teaser he presented, Murphy speculated that “the tumult caused by slowing EV adoption rates, tariffs and regulatory hurdles is causing automakers to retrench into their traditional strengths.” Some of these regulatory hurdles could take years to sort out. California, for example, passed legislation requiring that “all sales of new light-duty passenger vehicles in California must be [Zero Emission Vehicles] ZEVs by 2035. ZEVs include battery-electric and fuel-cell electric vehicles.”
However, that law is being challenged at the federal level and according to Cal Matters, the matter ” is likely to become a high-stakes legal and political battle between California and the Trump administration.” Until automotive manufacturers are sure what material costs will be and what kind of regulations will be codified, it seems that they’re pulling back on alternative fuels.
Source
Bank of America ‘Car Wars’: Automakers Pull Back Hard on EVs, While Dealers Need to Tap Lost Service Via Connectivity, American International Automotive Dealers Association, 2025.
Bank of America Car Wars: Automakers pull back hard on EVs, while dealers need to tap lost service via connectivity , Automotive news, 2025.
Electricity Laws and Incentives in California: Light-Duty Zero Emission Vehicle (ZEV) Sales Requirement, US Department of Energy.
US Senate blocks California’s electric car mandate in historic vote, Cal Matters, May 22, 2025.
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