The $25k car is going extinct?
Availability of Sub-$25k Cars Today
- Many commenters note multiple new models still under $25k (Versa, Corolla, Elantra, Trax, Impreza, Soul, etc.).
- Pushback that base trims are hard to actually find; dealer “mandatory” packages and fees often push real prices above $25k.
- Others argue the article cherry-picks; inflation-adjusted, entry-level prices haven’t changed as dramatically as implied.
Financing, Margins, and Consumer Behavior
- Strong consensus that manufacturers and dealers prefer high-margin SUVs/trucks and luxury trims.
- Dealership profits often come more from financing, add-ons, and warranties than from the car itself.
- Long 6–8+ year loans, perpetual payments, and rolling negative equity are seen as normalized, especially harmful for lower-income buyers.
Regulation, Safety, and Vehicle Size
- Safety/emissions/CAFE rules credited with adding cost and complexity (airbags, backup cameras, ABS/ESC, sensors, turbos, complex transmissions).
- Others counter that many of these features are cheap, genuinely improve safety, and that “regulation” is also used as a moat by incumbents.
- US footprint- and truck-specific rules (plus tariffs) are blamed for killing small pickups and econoboxes and pushing the market toward larger SUVs.
Chinese and Other Low-Cost Competition
- Repeated contrast with cheap Chinese EVs and low-cost Dacia/other small cars in Europe, Thailand, Brazil, etc.
- Some see Western makers “pricing themselves into extinction”; others note Chinese prices rely on heavy state support and may not be sustainable.
- US tariffs and regulatory barriers are viewed as key reasons Americans can’t access those vehicles.
Used Market, Complexity, and Long-Term Ownership
- Older, simpler cars are praised for ease of DIY repair and low TCO; modern “software-defined” cars seen as harder to keep running cheaply.
- Pandemic-era production cuts, Cash for Clunkers, and stricter standards are blamed for an anemic cheap used-car market.
- Strategies discussed: buy 1–3-year-old off-lease cars, keep “beaters” running, or wait for minimalist EVs (e.g., Slate Auto) if they materialize.