The average age of vehicles on the road in the US has reached a record high of 12.6 years, according to data from S&P Global Mobility. This trend is largely attributed to the high cost of new vehicles, which is forcing people to hold onto their older cars, trucks, and SUVs for longer.
The average age of vehicles has increased by two months compared to last year, although the growth rate is slowing down as new vehicle sales recover from pandemic-related shortages.
The high cost of new vehicles, with an average selling price of over $45,000, is an important factor in this trend. Many households are finding it difficult to afford new vehicles, leading them to keep their older vehicles on the road for longer. Additionally, some consumers are waiting to see how the market for electric and hybrid vehicles develops before making a purchase.
Despite the high average age of vehicles, many are well-maintained and still have a long life ahead of them. In fact, vehicles are built to last longer these days, and many owners are taking good care of their vehicles by following regular maintenance schedules.
This is good news for local auto repair shops, which are likely to see an increase in business as owners seek to keep their older vehicles running smoothly.
As new vehicle sales continue to recover, the average age of vehicles on the road is expected to stabilize and eventually decrease. However, for now, it seems that many people will continue to hold onto their older vehicles for longer, due to a combination of financial constraints and a desire to wait and see how the market develops