July 24, 2026

NADA continues to advocate aggressively on issues critical to the automotive retail industry. This article covers the latest updates on these issues.

The new vehicle market is softening. Cox Automotive projects new vehicle sales in the U.S. will fall 2.4% in 2026 to approximately 15.8 million units, driven by affordability headwinds, tariff-driven price increases, and the expiration of federal EV incentives. When new car traffic slows, dealers lean harder on used, and that’s exactly when disciplined used car operations separate the profitable stores from the ones chasing their tails.

Automotive dealerships generate enormous volumes of paper documents every day, including repair orders, sales contracts, finance agreements, warranty paperwork, HR files, compliance records, and customer documentation

In March 2026, the Federal Trade Commission sent warning letters to 97 auto dealership groups nationwide about “illegal” advertising practices, putting the industry on notice that advertised vehicle prices must reflect the true price consumers are required to pay.

t Donnelly Industries, we see facility upgrades as more than construction or energy projects. For dealerships, they are investments in customer experience, service department performance, and long-term competitiveness. That’s especially true when it comes to EV infrastructure.

Any type of business can find itself the victim of cybercrime, but automotive dealerships have been particularly targeted in recent years, likely due to the amount of data dealerships handle.

NJ CAR received several reports earlier this year from dealers describing attempted and completed vehicle thefts. They’re not happening in the middle of the night. They’re happening in your F&I office by people who look like legitimate buyers.

New Jersey dealers are operating at the center of one of the most affordability-sensitive environments in recent memory. Vehicle prices, interest rates, insurance costs, and everyday household expenses are all putting pressure on customers before they ever enter the F&I office. For many buyers, the question is no longer simply, “Can I afford this vehicle?” It’s, “Can I afford everything that may come with owning this vehicle?”

The Market is Forcing a Rethink
When unit volume is down, every controllable cost matters, and credit card processing is one that dealers often overlook. Front-end gross is under pressure. Unit volume is down. The easy money from the post-pandemic run has largely dried up.

That pre-owned car may look ready to sell — detailed, factory reset, and priced to move — but a factory reset doesn’t solve the bigger risk.

Energy is one of your largest operating expenses as an auto dealer. Showroom lighting, HVAC systems, service bays, and body and paint areas run constantly. Auto dealerships use roughly 18% more energy per square foot than the average commercial building.

New Jersey auto dealers care about their communities. From supporting and fundraising for local charities to engaging with elected officials at a grassroots level — they do it all! Giving back is a way of life for them, and New Jersey is better because of it.

NADA PAC helps elect qualified individuals to Congress who understand the needs of new car and truck dealers. NADA PAC is consistently ranked among the nation’s top trade association political action committees in both total fundraising and contributions to federal candidates. NADA PAC supports candidates for Congress on a bipartisan basis, based on recommendations from NADA PAC dealer leadership in each state.

NJ CAR appreciates the support of the more than 180 dealers who contributed to CAR PAC, the Coalition’s political action committee, between January 1, 2026, and June 30, 2026. CAR PAC relies on the contributions of ALL dealers for the financial resources needed to support candidates (on both sides of the aisle) who support the franchised retail automotive industry in New Jersey, as well as ensure dealers’ voices are heard in Trenton on a variety of important public policy issues. CAR PAC has been (and will continue to be) very active in supporting candidates who support our industry.