Lexus tops dealer reputation rankings, Trump hits the ground running on day 1, NHTSA investigates 1M+ vehicles

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Hey everyone. Gearing up for the 2025 NADA Show?

Whether you’ll be walking the show floor or following along from home— we’ve got you covered. Check out our guide here.

— CDG

Vehicle trade-in values hit a 4-year low in 2024:

The average trade-in value of a 1 – 5-year-old vehicle is now $33,741— down nearly $5,000 from the peak in 2022—

Yet, this is still $8,000 more than 2019 levels.

But with a limited supply of quality late-model used vehicles forecasted through 2025—the decline in trade-in values could come screeching to a halt.

My prediction: trade-in values will stabilize–or maybe even rebound–as supply constraints persist.

(Data source: Cars Commerce)

1. Lexus dealers top Brand Scorecard with near-perfect reputation

In a recent analysis of 8 million Google reviews across 18,000 U.S. dealerships, Lexus has once again claimed the top spot on Widewail's Brand Reputation Scorecard with a near-perfect score of 97 out of 100.

• Lexus stands out for its consistency, responding to 96% of reviews and earning high praise for professionalism, repair quality, and shorter wait times.

• Toyota and Honda follow in rankings, showing improvements in service engagement but facing challenges with wait times and pricing concerns.

Bottom line: Reputation is the ultimate currency in today’s hyper-competitive market … (Go deeper: 3 min.)

2. Trump ends "EV mandate" first day in office, could impose tariffs by Feb. 1

President Trump wasted no time on his first day in office—revoking a Biden-era policy targeting 50% EV sales by 2030 with a single executive order.

During his inaugural address, Trump pledged to prioritize American manufacturing, promising record vehicle production and thanking auto workers for their support.

He also outlined plans for aggressive trade policies, proposing tariffs of up to 25% on goods from Mexico and Canada, citing job protection and border security. These measures could take effect as early as Feb.1.

Industry reactions are mixed. Automakers like General Motors and Stellantis expressed optimism about rebuilding the U.S. auto sector, while the Alliance for Automotive Innovation urged caution, emphasizing the need for policies aligned with consumer demand … (Go deeper: 3 min. read)

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3. Federal regulators launch series of probes into Ford, General Motors, Honda

The National Highway Traffic Safety Administration (NHTSA) is ramping up its oversight, launching three high-profile probes into General Motors, Honda, and Ford vehicles over the past week.

• The largest investigation targets 878,000 GM SUVs and trucks (2019-2024) following reports of engine failures.

• Honda is under scrutiny for 295,000 Passport and Insight models (2019-2022) due to emergency braking systems activating unexpectedly.

• Ford’s probe involves 129,000 Mustang Mach-E crossovers (2021-2024), focusing on its BlueCruise hands-free driving system.

Big picture: While these probes won’t necessarily lead to recalls, they reflect growing challenges with software and advanced driver assistance systems in tech-forward vehicles … (Go deeper: 3 min. read)

• Stellantis Chairman John Elkann met Trump in Washington, report says.

• China both hopeful and on edge as Trump returns to White House.

• Michigan car dealers on guard as the number of customers with fake IDs increases.

• BYD is about to open another massive EV plant overseas with 150,000 vehicle capacity.

• Volkswagen had a tough year. Here's why 2025 could be tougher.

Thanks for reading everyone.

— CDG