Automakers report mixed sales results in the US, where hybrids lead the market

DETROIT — U.S. auto sales in the second quarter are turning into a story of the haves and have-nots, as automakers with hybrid models outperform those without amid rising gas prices and declining demand for all-electric vehicles.

Global hybrid leader toyota motor On Wednesday, it reported a 1.1% increase in second-quarter sales, led by a nearly 20% increase in electric vehicle sales.

Hyundai Motor Co., which rose 4% during the last quarter, recorded a 67% increase in hybrid vehicles during the first half of the year, while Honda Motor It reported that record sales of electric vehicles helped it achieve an 8.4% increase in total sales during the second quarter. Kia, which rose by about 3%, also announced a 152% increase in hybrid car sales during the second quarter.

“Hybrid vehicles are definitely our growth engine right now,” Randy Parker, CEO of Hyundai and Genesis North America, said Wednesday during a phone call. “Hybrid vehicles are really taking off now as I think consumers are prioritizing fuel efficiency and lower operating costs due to rising gas prices.”

Gas prices are up more than 20% compared to the same time last year, according to AAA.

Meanwhile, GMwhich offers a wide lineup of electric vehicles but only one hybrid, the low-volume Corvette, posted a 4.2% decline in second-quarter sales.

The juxtaposition of hybrids between General Motors, the top-selling U.S. automaker, and No. 2 Toyota, led Cox Automotive to note last week that the Japanese automaker is working to close the sales gap with the Detroit automaker.

“At these rates, and what we’re seeing now in sales rates, GM may be looking here when we get to the end of the year, potentially overtaking Toyota as the best-selling manufacturer here in the U.S. market,” Charlie Chesbrough, chief economist and senior director of industry insights at Cox Automotive, said during a media event.

Cox Automotive and JD Power expect second-quarter sales to be roughly equal compared to the previous year. Cox expected industry sales to decline by 0.5%, while JDP forecast a 0.7% increase in vehicles sold.

Auto data firm Motor Intelligence estimated Wednesday that U.S. industry sales for June rose 7.5% from a year ago, resulting in a revised monthly sales pace of 16.67 million units, higher than many forecasters had expected.

As of last week, Cox Automotive expected U.S. auto sales to decline 2.9% to 15.8 million vehicles, including a 3.4% decline in retail sales. This included the June revised sales rate forecast of 16.1.

The outliers in Q2 include the parent company of Chrysler Stellantiswhich rose by 5.9% Nissan MotorAn increase of 9.6%. Both offer limited electric models, including hybrids and/or EVs, but are in the midst of sales-focused transformation plans.

“At a time when customers are focused on maximizing the value of every dollar they spend, our portfolio delivers strong quality, capability and the right mix of products,” Tiago Castro, Nissan America’s senior vice president of sales and marketing, said in a statement.

Getting the right mix of products is key for automakers. Right now, hybrids aside, the right mix increasingly means owning affordable cars, as many Americans struggle with inflation, rising gas prices and other issues being taken out of the new car market.

The outlook for new car sales in the United States this year is relatively flat, according to several forecasts from analysts and companies.

ford motorwhich reports sales results on Thursday, is also expected to be exceptional. Cox Automotive expects the company, which has been struggling with a loss in pickup truck production, to decline 11.5% during the second quarter.

Cox also expects Teslawhich does not report regional sales, will decline more than 20% during the second quarter, as demand for electric vehicles last year began to rise ahead of the Trump administration’s expectations of ending up to $7,500 incentives for consumers to purchase an electric vehicle.

General Motors said that sales of its electric cars during the second quarter decreased by 33% compared to last year.

Each GM brand saw its sales decline year-over-year during the second quarter, led by a 19.2% decline in Cadillac sales. Buick shares fell by 7.5%, Chevrolet shares fell by 3.9%, and GMC reported a decline of 0.3%.

Despite declines, including for its Chevrolet Silverado pickup truck, a GM executive described the company’s business as “doing well,” including maintaining discipline on sales incentives and highly profitable full-size pickup trucks.

“Our business is performing well, and customer demand is resilient, especially for our trucks and SUVs,” Duncan Aldred, president of GM North America, said in a statement. “The depth, breadth and appeal of our vehicle portfolio allows us to lead the market in sales, while maintaining discipline on inventory, pricing and incentives to achieve strong margins.”

GM said that despite a 7.7% decline in Silverado pickup trucks during the quarter, including a 25.9% decline in its electric truck, the company still expects to gain market share in the full-size truck segment during the period.

GMC Sierra pickup trucks fared better, with a 5% increase in sales, including double-digit increases for its electric and light-duty 1500 models amid tough comparisons. GM posted its best combined sales for its Silverado and Sierra full-size pickup trucks in 20 years in 2025, marking its sixth straight year leading the highly profitable U.S. segment.