Home Newsletters Daily Report AM After betting on trucks and SUVs, automakers are reconsidering the sedan

    After betting on trucks and SUVs, automakers are reconsidering the sedan


    After walking away from sedans in favor of high-margin SUVs and trucks, Detroit’s automakers are rethinking their strategy as affordability pressures mount, The Wall Street Journal writes

    With the average new vehicle price now topping $50,000, executives at General Motors, Ford and Stellantis are reconsidering whether mass-market sedans—including hybrid or lower-cost models—deserve another shot.

    Ford scrapped its sedan lineup in 2018, Stellantis largely exited passenger cars and GM built its last mass-market Malibu in 2024. But leaders now acknowledge the sedan market remains “very vibrant,” even if profitability has been elusive. Dealers have pushed for the return of models like the Ford Fusion, and Chrysler is exploring a sub-$30,000 small car.

    The shift comes as EV demand cools, federal incentives fade and the Detroit Three absorb more than $50 billion tied to EV pullbacks. Meanwhile, foreign rivals dominate entry-level offerings, highlighting a gap in Detroit’s lineup—and a potential opportunity to win back cost-conscious buyers.

    Read the full story from The Wall Street Journal.

     

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