Dealership count holds steady, but big shifts loom

Through the first half of 2025, the U.S. new-car franchise network is remarkably stable, in terms of franchises and dealership rooftops. But the rest of 2025 and 2026 could bring changes due to tariffs on imports and the planned end of the $7,500 tax incentive on electric vehicles after Sept. 1, according to Urban Science. "I think the mix is going to be different" later this year and next, even if the number of dealerships remains relatively steady, says Mitch Phillips.