The automotive industry in the United States is demonstrating signs of robust recovery as both General Motors (GM) and Ford reported their best annual new vehicle sales since before the pandemic. This turnaround is significant, especially considering the challenges posed by disruptions in the supply chain and the lingering effects of COVID-19. The annual sales figures not only highlight a recovery in consumer demand but also showcase the resilience of American car manufacturers in adapting to market conditions.
On a preliminary evaluation, both GM and Ford’s sales numbers for 2024 have met, if not exceeded, industry expectations. Market analysts had projected that U.S. automakers would collectively sell nearly 16 million vehicles in the coming year, a figure reminiscent of pre-pandemic sales levels. This surge, representing a substantial leap from recent years, underscores the industry’s gradual return to strength.
General Motors captured the foremost position in the U.S. sales hierarchy, selling over 2.7 million vehicles, a 4.3% increase from the previous year’s totals and close to the sales volumes experienced in 2019. This upward trend extends beyond just the raw numbers: the enhancement in electric vehicle (EV) sales was a noteworthy factor, with GM witnessing a nearly 50% increase in this segment. Although electric vehicles accounted for only a modest 4.2% of total sales, the momentum indicates growing consumer acceptance of EVs, providing a bright outlook for the future.
Just behind GM, Ford reported a solid performance with 2.08 million vehicles sold in 2024, marking an increase from slightly less than two million units in 2023. Ford’s strategy to boost its electrified vehicle lineup seems to be paying off, as evidenced by a striking increase of 38.3% in sales of its electrified models, which include hybrids and fully electric vehicles. Though internal combustion engine sales only rose marginally (0.2%), the shift towards more sustainable options represents a conscious pivot that aligns with market trends and environmental considerations.
Interestingly, Ford’s electrified cars constituted 13.7% of their total vehicle sales, suggesting a successful integration of EVs into their traditional lineup. This growing acceptance of electrified vehicles indicates a potential long-term shift in consumer buying habits, prompting both manufacturers to invest further in this technology.
In addition to domestic powerhouses GM and Ford, other automakers are also exhibiting healthy growth in sales figures. Toyota, Honda, and Hyundai have reported modest single-digit increases, with Toyota seeing a 3.7% rise despite a dip in sales during December. Honda’s 8.8% increase, bringing its yearly total to 1.4 million vehicles, alongside Hyundai’s record-setting 836,800 units sold in 2024, underscores a competitive marketplace where established brands continue to vie for market share.
Equally noteworthy is Kia, which achieved record sales of 796,488 units, reflecting a 1.8% increase from its previous record in 2023. This competitive landscape emphasizes not only the resilience of these popular automotive brands but also highlights the necessity for continuous innovation as consumer preferences evolve.
As the automotive industry gears up for 2025, the emphasis on electric and hybrid vehicles will likely shape the narrative moving forward. Automakers are now tasked with the imperative of striking a balance between traditional combustion engine vehicles and the burgeoning demand for greener options. The progress seen in sales is encouraging, but sustaining this momentum will be crucial for long-term success.
The data emerging from GM and Ford indicates a promising recovery trajectory for the U.S. automotive sector. Continued growth in electric vehicle adoption, coupled with healthy sales for traditional models, suggests a balanced and adaptable industry ready to meet the challenges of the future. The upcoming years are poised to be pivotal as consumer preferences shift towards sustainability and innovation.