Summary
National Automobile Dealers Association CEO Mike Stanton said dealer advocacy helped deliver a strong 2025 for U.S. franchised retailers, with sales on pace to top 16 million and profitability improving over 2024. He credited coordinated efforts by NADA and state/metro associations, and previewed a 2026 NADA Show centered on practical AI applications across dealership operations.
2025 Industry Performance
Stanton reported steady sales momentum through year-end, improving profitability versus 2024, and a market normalizing as supply stabilizes. Results varied by manufacturer and region, but overall trends across the franchise network were positive.
Policy Outcomes Credited to Dealer Advocacy
- FTC “vehicle shopping” rule: Dealers and associations “defended” the rule through coordinated industry action.
- CARB waiver: Efforts to block a California waiver were described as a win, tied to concerns about emissions mandate pace and structure.
- Tax policy: The administration’s package included dealer-favorable provisions, some made permanent, providing planning certainty.
- EV tax credit transition: A transition period following the federal credit’s expiration gives retailers time to adjust processes and consumer communications.
Stanton linked these outcomes to the practical needs of retail operations and consumers, citing the complexity of financing, trade-ins, and layered state and federal requirements.
Franchise Model and Direct Sales
NADA will continue involvement in litigation related to direct-sales efforts by EV makers including Scout, Rivian, Lucid, and Tesla. Stanton argued that bypassing franchised retailers undermines both dealers and consumers, oversimplifying a transaction with significant financial, safety, and regulatory implications.
Fuel Economy Standards
Stanton highlighted NADA Chairman Tom Castriota’s role in discussions to reform CAFE standards, calling the proposed changes more practical for the industry, while noting specifics were not detailed.
2026 NADA Show Focus
Scheduled for Tuesday–Friday, Feb. 3–6, the 2026 NADA Show is seeing strong registration after weather affected last year’s New Orleans event. With more than 600 exhibitors and tightening hotel availability, programming emphasizes real-world AI use in the showroom, service drive, and back office to automate tasks, enhance customer experience, and enable data-driven management.
Operational Priorities
NADA’s policy and education efforts center on day-to-day dealership realities—inventory management, financing, affordability pressures, and staff training—while coalition-building with state and metro associations pairs federal advocacy with state-level engagement.
Outlook and Agenda
Stanton framed 2025 as a proof point for dealer influence on policy and a platform for continued work in 2026. The association’s agenda focuses on three pillars: advocacy, education, and strengthening the franchise system.
Open Questions
The interview offered few specifics on how proposed CAFE reforms might take shape or how any changes to the EV tax credit could affect demand next year.
