With automakers selling a 2:1 ratio of trucks to cars, trucks are driving the rapid decline of sedans. We use the term “trucks” to classify SUVs, crossovers, and pickups which all fall under the broad class of “light trucks”. Though this includes a range of vehicles, the market trend speaks volumes to the decline of the traditional car.
In the United States, crossovers are the perferred vehicle of choice. According to Automotive News, truck sales have more than doubled car sales this year. The increase in sales has some carmakers increasing their large vehicle offerings and halting their production of sedans.
Many people view the car to truck switch as an upgrade and alternative to smaller cars. Why would drivers revert back to a standard size car? With the wide range of trucks avaliable, they don’t need to; SUV, crossovers, and pickups are now easily accesible and avaliable for varying budgets, styles, and needs.
For example, a 2018 Kia Soul, a compact crossover, starts at $16,200 while the Ford F-150 pickup ranges into a high of $60,520.
According to Edmunds, forty-six percent of car shoppers are exchanging their car for an SUV, crossover, or pickup. The trend is expected to continue, becoming the overwhelming market standard by 2025, if not sooner. The Bank of America Merrill Lynch forecast predicts that between 2019 and 2022, 71 percent of vehicles released will be categorized as light trucks. More options in the truck market are likely to generate higher profits for carmakers.