North America Used Cars Market, Opportunity, Growth Drivers, Industry Trend Analysis and Forecast, 2024-2032

North America Used Cars Market, Opportunity, Growth Drivers, Industry Trend Analysis and Forecast, 2024-2032

North America used cars market was valued at USD 457.9 billion in 2023 and is projected to grow at a CAGR of over 9% from 2024 to 2032. A key growth driver for this market is the rising affordability of used electric vehicles (EVs). As battery technology advances and charging infrastructure becomes more accessible, an increasing number of consumers view EVs as viable alternatives to traditional gasoline vehicles. The U.S. Department of Transportation reports a significant expansion in public EV charging infrastructure under the current administration. Publicly accessible EV charging ports have doubled, surpassing 192,000, and with about 1,000 new stations being added weekly, this growth shows no signs of slowing. As early adopters upgrade to newer models, the influx of used EVs offers cost-conscious consumers more affordable choices.

The overall North America used cars industry is classified based on the vehicle, fuel, sales channel, end-use, and country.

The market segments include hatchback, sedan, SUV, and others. In 2023, SUVs dominated with over 41% market share. The preference for SUVs in the North American used cars market stems from their spacious interiors, elevated seating positions, and multifunctionality. Families and outdoor enthusiasts favor SUVs for their perceived safety, attributed to their size and build. Enhanced fuel efficiency has alleviated concerns about fuel consumption, and certified pre-owned SUVs come with extended warranties and attractive financing, amplifying their appeal.

The market categorizes vehicles by fuel type: gasoline, diesel, electric, hybrid, and others. In 2023, gasoline vehicles held a dominant share of over 51%. Their popularity in the North American used cars market is largely due to the robust infrastructure supporting them. Gasoline vehicles, typically more affordable upfront than electric ones, attract budget-conscious buyers. Engine technology advancements have bolstered fuel efficiency and minimized emissions, enhancing their environmental appeal. The convenience of a widespread gas station network and the reliability of gasoline vehicles further cement their status in the used car market.

In 2023, the U.S. claimed approximately 95% of the North American used cars market. The U.S. dominance is fueled by its diverse population and varying transportation needs. Economic dynamics, like the steep depreciation of new vehicles and rising prices of new cars, tilt the balance in favor of used cars as a more economical choice. Certified pre-owned programs from manufacturers bolster buyer confidence, while the rise of online platforms broadens access to a diverse range of used vehicles, driving market expansion.