Automakers may have finally realized that we’re all out of money, so they’re now apparently planning on bringing back cheaper cars. The plan is to do this through lower-end trims, value-focused special editions and even reviving cheap dead vehicles from their pasts. It’s welcome news for folks who see the average price of a new car – $49,740 – and shutter.
At the National Automobile Dealers Association Show in New Orleans, Ford, Mini, Mitsubishi and Ram all told dealers that the plan is for them to build more affordable cars, according to Automotive News. This is on top of Chevy, Chrysler and Volkswagen – companies that have already made moves to offset rising vehicle prices with cheaper products.
Here’s what these companies are planning for the future. From Automotive News:
Ford touted plans to bring back the base Bronco for the 2025 model year and teased an upcoming ad campaign for the Maverick and Bronco Sport, two of its least expensive products. Executives also promised to increase output of the F-150’s lower-end STX variant and entry-level trims of the Escape and Explorer to give dealerships more economical offerings throughout the portfolio.
“What the dealers have told us loud and clear, through council, is that affordability can’t just be under $30,000,” Rob Kaffl, Ford’s director of U.S. sales, told Automotive News. “We have to look for affordability across all the segments.”
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Kaffl said Ford retailers have requested more allocation of certain models, such as the F-150 STX, which costs about 40 percent less than the F-150 Platinum.
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The automaker is also attempting to find the right production balance for various parts of the country, which Kaffl said have different needs. Dealers in Florida might want to focus on hybrid F-150s while those in Texas want more 4x2 models with the highest towing capabilities, he said.
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Mike Peyton, vice president of Mini’s Americas region, told Automotive News the brand soon will announce new, lower price points on some models. He said Mini also plans to reintroduce the Oxford Edition, last offered on the 2022 model of the two-door hardtop.
Mitsubishi told dealers it may reduce the price of the Outlander Sport compact crossover and add a less expensive trim, while Ram officials said they are planning more affordable Ram 1500 trims.
These moves could be very welcome for consumers. Right now, the average buyer is dealing with high inflation, high interest rates and prices that’ll soon be increasing as the fallout of Donald Trump’s tariffs takes shape. In any case, it means buyers are shelling out more money on new vehicles than ever before. In December, the average monthly loan payment was $756 per month, Auto News reports. That is astonishing.
Some automakers have been a bit quicker in bringing in cheaper models, seeing the writing on the wall for affordability.
VW in October added a value-oriented Wolfsburg Edition to the 2024 Tiguan compact crossover, the brand’s top-selling nameplate. In just three months, that model accounted for 6 percent of 2024 Tiguan sales, a spokesperson said.
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The Tiguan Wolfsburg Edition starts at $32,420 with shipping, about $600 less than the SE.
At GM, the Encore GX and Envista subcompact crossovers were Buick’s top sellers last year, with Envista sales more than tripling. Jaclyn McQuaid, vice president of global Buick-GMC, told Automotive News that the Envista is GM’s No. 1 gasoline-powered conquest vehicle, bringing in buyers who are close to college age.
GMC launched the redesigned Terrain compact crossover with the base Elevation trim instead of a loaded-up Denali version. The Elevation, the only 2025 Terrain available, starts at $31,395 with shipping.
Chevy has three crossovers — the subcompact Trax and Trailblazer and the compact Equinox — that start at less than $30,000. The Trax, which Chevy benched in 2022 before redesigning for 2024, logged the brand’s biggest year-over-year U.S. sales increase among gasoline vehicles last year, becoming the the No. 3 seller. The top Trax trim starts at $25,395 with shipping.
Of course, none of these vehicles are the über-cheap sub-$20,000 ecoboxes some folks were hoping for. There’s just not enough meat on the bone for automakers to actually make money with those types of cars. That’s why we’re getting slightly de-contented versions of bigger vehicles. That’s what the money and the margins are.