View the complete report\u00a0here<\/a>. Highlights and analysis of the report follow, but first, be sure to\u00a0join us\u00a0for our webinar on Wednesday, February 19, where we will discuss the latest economic and automotive trends, as well as share forecasts for the rest of the year and beyond. RSVP\u00a0here<\/a>.<\/strong><\/p>\n Industry and Economic Outlook<\/strong><\/p>\n What\u2019s Trending<\/strong><\/p>\n SEMA Says:\u00a0<\/strong>\u201cA whole lot of our consumers took on vehicle projects and modifications during COVID, so you used up some of the demand that might have come a year or two later,\u201d said\u00a0Gavin Knapp, director of SEMA Market Research<\/strong>. \u201cObviously, continuing inflation and high prices have also affected people, and there will be questions going forward about how long that will continue with possible tariffs and things like that. The expectation is we\u2019ll stay at current growth levels in 2025 and then return to our industry\u2019s usual 4%\u20135% growth rate next year and going forward.\u201d<\/p>\n Vehicle Trends in the United States<\/strong><\/p>\n What\u2019s Trending<\/strong><\/p>\n SEMA Says:\u00a0<\/strong>\u201cAs of last year, vehicle inventories had been climbing for a while, but there hasn\u2019t been much demand,\u201d notes\u00a0Matt Byun, SEMA\u2019s market manager<\/strong>. \u201cIf you keep getting cars on the lot, eventually you\u2019re going to have to start selling them. But the surprise is OEMs aren\u2019t lowering their costs. Instead, they\u2019re scaling back their production a bit.\u201d<\/p>\n Potential Tariff Impacts<\/strong><\/p>\n What\u2019s Trending<\/strong><\/p>\n SEMA Says:\u00a0<\/strong>\u201cIt\u2019s important to understand how President Donald Trump has historically used tariffs, which he sees as negotiating tools to create leverage against other nations on issues unrelated to trade, like immigration and defense spending,\u201d said\u00a0Karen Bailey-Chapman, SEMA\u2019s senior vice president for public and government affairs<\/strong>. \u201cTariffs with big numbers, like 25% or higher, are often introduced by President Trump at the negotiating table, or even publicly, but he also has shown a willingness to withdraw or suspend them when a deal is reached. As a result, what you see in the headlines does not always materialize.\u201d<\/p>\n Consumer Demographics<\/strong><\/p>\n What\u2019s Trending<\/strong><\/p>\n SEMA Says:\u00a0<\/strong>\u201cIf you look at the nation\u2019s demographics, we are getting much, much older, and the 65-plus demographic is getting much larger,\u201d Knapp said. \u201cHow that plays for our market is interesting. It keeps more cars on the road because there are more drivers over time. But that older demographic is also a lower-spending segment for our market. They have money but are less likely to wrench on their car.\u201d<\/p>\n Alternative Powertrains and EVs<\/strong><\/p>\n What\u2019s Trending<\/strong><\/p>\n SEMA Says:\u00a0<\/strong>\u201cThe EV hype has been a bit overblown, and some of the electrification market\u2019s growth has shifted into hybrids,\u201d Knapp explains. \u201cAs Toyota Motor Corp. Chairman Akio Toyoda has said, for everything it takes to build one pure EV, you can make 10 hybrids, but it\u2019s still an open question whether hybrids are an interim step or a long-term play.\u201d<\/p>\n ADAS and Autonomous Vehicles<\/strong><\/p>\n What\u2019s Trending<\/strong><\/p>\n SEMA Says:\u00a0<\/strong>\u201cADAS is really affecting the vehicle market; there is a broad mass of cars and trucks already on the road that have these features onboard,\u201d says Byun. \u201cFor example, as of May 2018, all new OEM passenger cars and light trucks were required to have backup cameras. In model-year \u201922, more than 90% had collision warning systems.\u201d<\/p>\n This story was originally published on February 7, 2025. The post SEMA Releases New Research Shedding Light on 2025 Future Trends<\/a> first appeared on Drag Illustrated<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" New research by SEMA sheds light on future and emerging trends impacting the automotive aftermarket, whose annual $337 billion economic impact is a key driver of the American economy. The annual report delivers critical insights to SEMA\u2019s 7,500 member businesses who develop, manufacture, and market parts and accessories that improve safety, performance, and comfort for […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-98690","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/racepages.com\/Videos\/wp-json\/wp\/v2\/posts\/98690","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/racepages.com\/Videos\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/racepages.com\/Videos\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/racepages.com\/Videos\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/racepages.com\/Videos\/wp-json\/wp\/v2\/comments?post=98690"}],"version-history":[{"count":0,"href":"https:\/\/racepages.com\/Videos\/wp-json\/wp\/v2\/posts\/98690\/revisions"}],"wp:attachment":[{"href":"https:\/\/racepages.com\/Videos\/wp-json\/wp\/v2\/media?parent=98690"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/racepages.com\/Videos\/wp-json\/wp\/v2\/categories?post=98690"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/racepages.com\/Videos\/wp-json\/wp\/v2\/tags?post=98690"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}\n
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