P&A Providers & Administrators
MenuMENU
SearchSEARCH

NADA Sticks to 17.1 Million-Unit Forecast

April 12, 2017
2 min to read


TYSONS, Va. — In a Wednesday-morning conference call with members of the automotive press, the National Automobile Dealers Association (NADA)’s chairman, Chicago-area dealer Mark Scarpelli, and its chief economist, Steven Szakaly, predicted new-vehicle sales would remain above the 17 million-unit mark in 2017.


Throughout the quarterly briefing, Scarpelli and Szakaly cited a number of factors working in the industry’s favor, including continued strong demand for new vehicles — particularly in the SUV and pickup segments — and new technology.

Ad Loading...


“One area that does not get enough attention is demand for technology and safety,” said Scarpelli, president of Raymond Chevrolet and Raymond Kia in Antioch, Ill., and co-owner of Ray Chevrolet and Ray Chrysler-Jeep-Dodge-Ram in Fox Lake, Ill., noting that his customers are seeking vehicles equipped with the “latest and greatest safety features,” including collision avoidance technology, which is developing “very rapidly.”


On the economic front, Szakaly listed a number of factors, both positive and negative, that are affecting dealership profitability. He expressed hope that Federal Reserve-ordered interest hikes and modest wage growth would be offset by increased customer incentives and the buying power of high-wage earners.


“While these headwinds will not have much of an impact on new-vehicle sales, they are a sign of a flat market as we look at the rest of 2017 and next year,” Szakaly said, adding that a glut of off-lease units and stretching loan terms, in combination with rising interest rates, could push some new-car buyers toward the used-car lot.


Both men praised dealers for finding new sources of revenue and lead generation. Szakaly said the NADA has tracked “tremendous growth” in service performed by franchised dealership, noting that, since 2010, the number of express service repair orders has doubled, repair orders for warranty work (including recalls) are up by six million, and customer-pay ROs are up by seven million.


Asked whether any decrease from the record 17.5 million new units sold last year would represent a cyclical retrenchment or a prosperous plateau, Szakaly said that, despite the aforementioned economic headwinds, the latter is far more likely.

Ad Loading...


“I don’t see sales collapsing anytime in the next few years,” he said.

Topics:Industry

More Industry

Photo of white Ford F-10 pickup parked on a dirtl road next to a body of water and with a fishing boat hitched to it
Industryby Hannah MitchellJune 16, 2026

Texas vs. California

The state known for its pickups penchant threatens to overtake the traditional center of U.S. car culture as it grows sales of new vehicles and pays more for them.

Read More →
Toyota Sienna car driving down road.
Industryby Lauren LawrenceJune 16, 2026

Hybrids Record Highest Annual Mileage

A new study shows that conventional hybrids are the most heavily driven vehicles on the road, while plug-in hybrids are the least-driven power train.

Read More →
Graphic of used vehicle volume index
Industryby StaffJune 16, 2026

Black Book: Weekly Market Update

Last week's wholesale vehicle auction activity reflected seasonal patterns as buyers stayed choosy about selections, analysts reported.

Read More →
Ad Loading...
Photo of the back of an electric Mercedes
Industryby Hannah MitchellJune 10, 2026

Auto Prices Ride May Moderation

Flat ATPs and asking prices clocked in below long-term averages for the month, though some segments saw significant price gains, reported Cox Automotive.

Read More →
Photo of white Toyota car in front of dealership
Industryby Hannah MitchellJune 9, 2026

Auto Retail Families Get Out While the Getting’s Good

Kerrigan Advisors’ first-quarter Blue Sky Report shows a sharp uptick in buy-sell deals as more retailers take advantage of handsome values while seeking to escape market risk.

Read More →
daytime, front of car dealership Lexus of Vancouver
Industryby Lauren LawrenceJune 3, 2026

Holman Opens New Lexus Dealership

Located in the heart of Clark County, Lexus of Vancouver features a multi-level showroom, more than 30 service bays, an indoor drive for drop-off and pick-up and a fleet of courtesy vehicles.

Read More →
Ad Loading...
Subwoofer in trunk of car.
Industryby Lauren LawrenceMay 26, 2026

Ownership Priorities are Shifting

A new survey shows that in the U.S. vehicle quality for generation Z is largely defined by advanced safety features, intuitive technology and premium sound systems.

Read More →
Man's hand holding gas pump in fuel tank of white car
Industryby Hannah MitchellMay 26, 2026

Pump Price Jump Calculated

ISeeCars.com examined fuel costs for different power trains, finding which ones have experienced the biggest hits since the war in Iran commenced.

Read More →
Graphic showing previous week's truck and SUV segment prices
Industryby StaffMay 20, 2026

Black Book: Weekly Market Update

Wholesale values fell last week despite the spring season still being in the traditional full-gear mode, analysts said.

Read More →
Ad Loading...
Photo of dealership sign with Toyota logo
Industryby Lauren LawrenceMay 19, 2026

Arkansas Auto Group Acquires First Indiana Rooftop

Performance Brokerage Services represented both the buyer and seller in the sale of Carver Toyota of Columbus by Carlock Automotive Group.

Read More →