The latest data released by Cox Automotive, a multinational automotive services and technology company in the United States, indicates that there is an expected decline in the prices of used cars this year beyond previous forecasts. The main reason behind this trend is the rising cost of fuel, which is reshaping the American used car market as more consumers are shifting towards electric and energy-efficient vehicles.
According to the Manheim Used Vehicle Value Index by Cox Automotive, the company has revised its prediction by lowering the expected annual increase from the initial 2% to 0.2%. This index tracks the prices of used cars sold at wholesale auctions across the United States. The data released on Wednesday suggests that used car prices in the US have remained relatively stable for the third consecutive year, following a period of significant increases and subsequent declines during the pandemic.
In September, after adjustments for vehicle models, mileage, and seasonal factors, the Manheim Used Vehicle Value Index fell to 205.9 points, a decrease of 1.1% from August and a 0.6% drop compared to the same period last year.
Historically, the average year-over-year increase of the Manheim Used Vehicle Value Index is around 2.3%. However, the data for September this year indicates that for the first time since March 2025, the monthly figure did not surpass the same period of the previous year.
There was a noticeable price differentiation in September. The value index of electric vehicles saw a significant increase, rising by 0.6% compared to the previous month and 4.3% year-on-year. In contrast, the value index of non-electric vehicles decreased by 1.7% month-on-month and 1.6% year-on-year. Compact cars showed more resilience, while pickups and SUVs weakened.
Cox Automotive’s report also revealed that since January this year, the wholesale value of vehicles capable of achieving at least 40 miles per gallon of gas had increased by 9.9%, whereas the value of vehicles with fuel efficiency below 15 miles per gallon had dropped by 15%.
This indicates that as buyers face pressure on household budgets, the operating costs of vehicles are increasingly impacting the valuation of cars, particularly larger models.
Jeremy Robb, Chief Economist at Cox Automotive, stated in a release on Wednesday, “Despite facing rising fuel prices in the first half of the year, there was actually more appreciation in used car values than usual. However, with the ongoing Middle East conflict, historically high diesel prices, and rapidly rising interest rates, concerns among businesses and consumers are growing, and wholesale prices have felt the impact.”
According to Cox Automotive’s data, as of August, the average listing price for used cars in the US was $27,239, while the average price for new cars exceeded $50,000.