High Gas Prices Could Kill The SUV Craze, What Should Come Next?

Key Points:

• The average fuel economy of American cars reached a record 27.2 miles per gallon in 2024, with California leading at 33.5 mpg, amid rising gasoline prices and ongoing geopolitical tensions affecting fuel costs.
• SUVs now dominate the US market, accounting for over 60% of new vehicle registrations, a trend influenced by automaker strategies exploiting regulatory loopholes and changing consumer preferences away from traditional family vehicles.
• The author predicts a resurgence of station wagons as the next automotive trend, emphasizing their advantages in fuel efficiency, handling, cargo accessibility, and overall driving experience compared to SUVs.
• Despite automakers' claims that wagons are unprofitable, the article argues that consumer demand and advocacy could shift production priorities away from SUVs toward more practical and enjoyable wagons.
• The piece calls on consumers to reconsider their vehicle choices to improve fuel economy, reduce costs, and promote a more pleasant driving environment, urging a collective push for wagons as a viable alternative.