Vigorous December 2024 auto sales in the U.S. helped to reduce elevated Chevy dealer inventory levels according to the latest data, with the number of new Chevy vehicles dropping to a 77 days supply during the month.
According to Cox Automotive research, this is a 10 days supply reduction compared to the 87 days supply of Chevy vehicles on dealer lots during November 2024.
Last December, Chevy inventory was slightly lower at 70 days supply, though at the time inventory levels of the Bow Tie’s vehicles were growing rather than shrinking as they are currently. As a reminder, the optimal inventory level is widely considered to be 60 days supply in the auto industry. “Days supply” refers to the number of days current inventory would last at current sales rates at with no new inventory arriving.
Just as it was last month, Chevy inventory is very close to the average inventory level for the U.S. auto market overall. The current supply of vehicles at American dealerships averages out to a 75 days supply, just two days less than the Bow Tie’s supply. This is down the same amount – 10 days – month-over-month, too, from 85 days in November.
Full-size pickups and compact SUVs or crossovers are the best-selling body styles for December 2024. This fact probably helps to explain dropping Chevy inventory for the month, given the brand’s highly popular Chevy Silverado model and an earlier backlog of the vehicles.
Sales were up 12.7 percent year-over-year for December 2024, while inventory stood at 2.88 million unsold vehicles, or 18.1 percent more than a year previously. The number of vehicles is down from late summer and autumn 2024 however, when more than 3 million units had built up on dealership lots.
While Chevy is a mass-market brand, the inventory for luxury vehicles is dropping very quickly after rising to notable levels previously. Vehicles priced at $80,000 or greater now have a 62 days supply on average, which is basically at the optimum. GM rival Stellantis, which had very high inventory levels, has successfully brought Chrysler down to a 79 days supply, a 40-percent drop, and trimmed Dodge inventory by 52 percent.
According to Cox executive analyst Erin Keating, rising sales and falling inventories created an “ideal blend of improved consumer sentiment, bigger discounts and evident optimism in the market” for the end of 2024 in the U.S. auto market.
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