California consumers preferred hybrids over fully electric vehicles through the first half of the year, per a new report from the California New Car Dealers Association (CNCDA). To note, the only hybrid models that GM currently offers in the U.S. are the performance-oriented Corvette Grand Sport X and ZR1X. That said, GM says it has more hybrid models on the way. According to the report, which cites data sourced from Experian Automotive, zero-emission vehicle (ZEV) registrations were down, while hybrid models reached a record share of the state’s new-vehicle market. The Golden State has recorded 864,848 new light-vehicle registrations so far in 2026, a decline of 7.7 percent from the 936,543 registrations reported during the same period in a year prior. The broader U.S. auto market market fell 2.8 percent.

More than 22 percent of all California registrations were hybrids, up from 19.5 percent during 2025. The quarterly market share for hybrids increased from 20.9 percent in Q1 to 23.2 percent in Q2. The first six months of 2026 marked a total of 191,000 hybrid vehicle registrations.

Conventional gasoline-powered vehicles also expanded their share of the market, increasing from 54 percent in 2025 to 57.6 percent through the first half of 2026. Meanwhile, zero-emission vehicle (ZEV) registrations declined significantly, with 137,430 ZEVs registered in California during the first six months of the year, down 24.8 percent year over year, giving the segment a 15.9 percent statewide market share

That said, the report suggests that ZEV demand may finally be stabilizing, with ZEV market share improving from 13.8 percent in the first quarter to 17.8 percent during the second quarter, indicating some momentum as the year progresses. California remains the nation’s largest EV market, with 15.9 percent ZEV share and representing over 29 percent of all zero-emission vehicle registrations in the United States.

According to the data, total California registrations fell 9.1 percent during the first quarter and 6.3 percent in the second quarter. The report attributes the softer market conditions to persistent affordability challenges, including flat consumer income, elevated vehicle prices, and high interest rates. At the same time, purchases delayed during the pandemic continue to buoy overall demand. Looking ahead, the CNCDA forecasts 1.73 million new-vehicle registrations for the year, representing a 3.9 percent decrease from 2025.

Source: GM Authority

At the moment, U.S. lawmakers are mulling a bill that would uphold existing legislation banning Chinese connected vehicle software and hardware from the country. The Connected Vehicle Security Act of 2026 would prevent data from being collected on American roads and sent back to China by cutting off the supply of vehicles, software, and critical hardware originating from China or Chinese companies at every point in the chain, from the manufacturing process, to import, to sale. Regardless, Ford CEO Jim Farley still believes that Chinese vehicles will eventually make their way to the American car market.

According to Reuters, Farley hosted a town hall this week, where he told Ford employees that the automaker is preparing for the possibility that Chinese automakers may enter the U.S. market in the next five to ten years. Other executives present at the town hall noted that they believe Chinese vehicles will arrive stateside at the latter end of that prediction, but the automaker declined to publicly comment on the matter.

Regardless, this isn't the first time we've heard such comments - in fact, earlier this month, Blue Oval Executive Chair Bill Ford said "We have to go toe to toe with China, we can't expect to keep them out forever, and we have to be able to beat them at their own game. Even though we don't have some of the advantages that I just… So, look, it's a tough world out there, right?

As for Farley, his comments regarding Chinese vehicles have wavered a bit over the past few months. The executive has largely praised those models for being ahead of the pack in terms of technology, though he has also expressed concerns over unfair competitive practices from such companies. Despite this, The Blue Oval struck a deal with China-based Geely recently, selling part of its Valencia Assembly plant in Spain to that company while also forming a joint-venture and revealing plans to jointly-develop a new model for Europe.

Source: Ford Authority

Average gross profit per unit slowed in the second quarter of 2026, landing between $200 and $600 for many of the largest dealers, according to an analysis compiled by Stephens, Inc. The Automotive Retailing Industry rankings by Stephens looked into the Q2 performance of eight top dealer groups, all of which saw a decline in the gross per unit year over year. Meanwhile, the survey found that the used market is providing strength to the overall industry, as pointed out by the performance of the largest dealerships. Overall, strong June sales boosted the performance for the largest groups to close out the quarter.

Source: Car Dealership Guy

“A project car is a car bought with the intent to restore or modify over time. Instead of being a daily driver, it serves as an ongoing hobby where the owner spends time and money on new parts, modifications and restorations.” (Which is not to say that you’d have to spend time and money on new parts, hahaha)

Both American car makes are by far the most popular among project car enthusiasts, with a drop of almost 11% for Toyota in third place.

10 Most Popular Project Car Makes

Toyota ranked third among the most popular project car makes, receiving 839 mentions across the analyzed Reddit discussions, making up 5.68% of all discussions around project cars.

Pontiac followed in fourth place with 631 mentions, accounting for 4.27% of the total. Despite the last Pontiac—a fleet-spec G6—rolling off the Orion Assembly line in 2010, the brand remains a popular choice among project car enthusiasts.

BMW placed fifth overall, mentioned 615 times across Reddit discussions, Accu analysts said, representing 4.16% of total mentions. The Bavarian manufacturer continues to be a popular option for enthusiasts undertaking restoration and modification projects. While Toyota, Pontiac, and BMW all feature prominently in project car discussions, each records less than a third of the mentions achieved by Ford and Chevrolet, the study says, highlighting the dominance of the two American manufacturers within the project car community.

Source: Autoweek

Car shoppers are taking longer to buy and crossing more brands, dealers and marketplaces before they commit, according to a new Urban Science Harris Poll study. The sixth annual survey polled 3,012 U.S. auto buyers and 252 dealers in January 2026. It found the purchase journey now stretches one to three months as buyers cross-shop more widely than in past years. Dealers remain confident in their role. 74% said they play an essential part in the new-car buying journey, and 63% strongly agreed the traditional dealership model is built for the future. 

Source: CBT News

Subaru Corp., Subaru of America and Subaru Canada have jointly announced the Tokyo-based automaker will launch an as yet unnamed captive finance company to help dealers and customers secure financing. The new entity will provide a “full range” of services by 2030, including loans, leases and floorplan financing, according to the release. In the U.S., Subaru Motors Finance’s partnership with Chase Bank will extend through the transition; north of the border, Toyota Credit Canada (div. Toyota Financial Services Corp.) will continue to back Subaru Financial Services.

Source: Dealer Agent News