For many years, we’ve all heard the identical story — People love their large automobiles.
For greater than a decade, the three best-selling fashions in the USA had been persistently the full-size vehicles constructed by the Detroit Three automakers. The Ford F-Collection has been America’s best-selling car for practically 5 a long time. The Chevrolet Silverado has persistently held second place for greater than a decade, normally adopted by the Ram 1500.
The midsize SUV overtook the midsize automobile as America’s household automobile of selection, and people have been rising. Even the compact SUVs of right now would have certified as midsize when George W. Bush was president.
However, starting final yr, a brand new development has emerged.
People are beginning to decide on smaller automobiles once more.
Information from Kelley Blue Guide mother or father firm present that, since 2019, People have begun selecting smaller automobiles.
The Rise of the Compact SUV
Compact SUVs took over as America’s best-selling kind of auto in 2020. Since then, the variety of compact SUVs offered has grown whereas midsize SUV gross sales have retreated. Three compact SUVs overtook the Ram truck in gross sales in 2025. The Toyota RAV4, Tesla Mannequin Y, and Honda CR-V all outsold Ram’s full-size truck.
Extremely, the identical is now true for vehicles. Full-size vehicles nonetheless outsell midsize vehicles, however full-size truck gross sales have been shrinking since 2020. Midsize truck gross sales now present constant development.
This might elevate alarm bells in Detroit, the place automakers have centered their efforts on full-size fashions. Ram doesn’t at the moment construct a midsize truck for the U.S. market, although rumors persist that the Dakota title may come again on a smaller truck quickly. Within the meantime, its sibling model, Jeep, does provide the Gladiator midsize pickup.
Chevrolet’s Colorado and Ford’s Ranger, in the meantime, now come solely in a 4-door (crew cab), short-bed configuration. Toyota dominates gross sales within the rising midsize truck class and builds its Tacoma in combos of prolonged and crew cabs with brief and lengthy beds. Nissan is one other producer that makes its midsize truck, the Frontier, in a number of configurations. Nissan additionally discontinued its Titan full-size pickup, after the 2024 mannequin yr, which struggled to achieve traction out there.
In 2022, the Ford Maverick and the Hyundai Santa Cruz compact vehicles debuted to sturdy gross sales, rising from their respective shared platforms with the Ford Escape and Hyundai Tucson compact SUVs.
Even amongst vehicles, small is making a comeback. Each compact and subcompact automobile gross sales have been rising since 2022. Automakers have practically deserted the subcompact automobile class. Solely Nissan builds one in 2025, its Versa sedan. Mitsubishi sellers nonetheless have some 2024 Mirage hatchbacks and Mirage G4 sedans on tons, however there isn’t any 2025 Mirage.
Different rivals have left the ultra-small market fully. The Chevy Spark, America’s least-expensive new automobile for a number of years, left the market in 2022. So did the Hyundai Accent. Then, the Kia Rio.
A Pricing Drawback
The rise of smaller automobiles could also be a consequence of larger costs.
When the COVID-19 pandemic modified America’s buying habits, automakers understood that solely wealthier, better-credit customers may simply automobile store. They tailor-made their lineups to draw them, canceling cheap fashions and including extra options at luxurious automobile costs.
That has helped to bifurcate the automobile market. Final month, the typical new automobile offered for $48,039. However that common was deceptive. Consumers clustered at two ends of the size.
On the low finish, compact SUVs outsold all different automobiles, with a mean sale value of $36,198. On the different finish, People purchased a file variety of vehicles priced above $100,000.
That’s an issue for sellers, who more and more discover themselves with few cheap fashions to supply.
