Navigating roadblocks in the ever-evolving automotive market

Welcome to Issue 6 of Insight Quarterly (IQ), Cox Automotive’s comprehensive analysis of the trends shaping the future of the UK automotive market. 

This edition arrives at a pivotal moment for the industry. While the year began with cautious optimism, the second quarter has revealed the fragility beneath the surface, particularly in the new car market, where manufacturer-led incentives have masked deeper structural challenges. Our latest analysis uncovers the growing pressure on manufacturers to meet sales targets, the rise of tactical registrations, and the shifting dynamics brought about by new market entrants, especially from China. 

In contrast, the used car market continues to offer a stabilising force. Supply shortages in key age segments are sustaining values, even as retail activity softens. Our report explores how affordability concerns and evolving consumer behaviour are reshaping demand, and what this means for retailers navigating a margin-sensitive environment. 

We also take a closer look at the electric vehicle landscape, where Chinese brands are not just entering the market, they’re redefining it. Their rapid expansion, competitive pricing, and technological innovation are accelerating the pace of change and shaking up the vehicle parc across both the new and used EV segments. 

As always, our forecasts provide structured scenarios, based on automotive industry data, to help you plan for the road ahead. Whether you're a retailer, manufacturer, or policymaker, we hope this edition offers clarity, context, and actionable insight. 

Finally, we welcome input from automotive industry experts from Interpath, ICDP and Regit, who delve deeper into key topics for the industry, such as supply chain pressure, evolving consumer preferences and the tactics employed by the UK’s most successful dealer groups.   

We welcome your feedback and look forward to continuing the conversation around the automotive market in our next issue.