Insights from NADA Chairman Thomas Castriota, Q3 2025

As you know, earlier this year, NADA, along with the Texas Automobile Dealers Association, successfully challenged the Vehicle Shopping Rule in a case against the FTC. And thanks to dealers nationwide who contacted their representatives, we stopped CARB’s harmful ZEV sales mandates that would have impacted dealers throughout the country. Just under a month ago, the president’s “One Big Beautiful Bill” secured critical tax provisions that will help dealers and our customers. 2025 has been a banner year for dealers!

NADA is now turning its focus toward EPA’s EV standards, Chinese automakers, tariffs, AI, and our consumer experiences.

The Biden EPA’s EV standards, which would require 26% of new vehicles to be electric by 2027 and 56% by 2032, are not in line with market demand. Despite billions invested, EVs make up less than 8% of market share. Expecting 26% of car buyers to switch to EVs within two years is unrealistic.  Instead of revising the rules, the Trump administration is proposing to eliminate the ability of the EPA to regulate greenhouse gasses (which are CO2 emissions) from vehicles entirely,  based on their finding that greenhouse gasses may not "reasonably be anticipated to endanger public health or welfare." NADA is in the process of reviewing the proposed rule to assess the impacts it could have on dealers and customers.

Chinese OEMs present complex challenges to dealers and pose a threat to our national security and our legacy OEMs. NADA’s board completed surveys regarding Chinese automakers and we are evaluating them so that we can formulate a policy that best represents our dealers and the country. After visiting China, Great Britain, Italy, and returning from Australia and Canada, I now have a better understanding of the economic threat China currently poses as a global automotive power.

In late August, I will travel to Brazil to meet with GM and Brazilian dealers who sell our brands as well as Chinese models. Since the Chinese government subsidizes the production of these cars, American manufacturers are less able to compete. Granting China access to this market could have serious and damaging consequences for many of the brands we sell.

We continue to address the effects of tariffs and hear from dealers (and OEMs) about how the situation affects their businesses. NADA is engaging in detailed discussions with the administration about the impact on car dealerships, consumers, and American-owned businesses. NADA will continue to keep our members informed about the evolving landscape of tariffs and update them on any significant developments.

Artificial Intelligence (AI) promises to transform the industry and the world as we know it, and no one knows precisely what those changes will entail yet. We need to continue learning about AI and explore how it can revolutionize our businesses and enhance the consumer experience. NADA Vice Chairman Rob Cochran heads a working group of dealers and staff to help NADA serve as the conduit for dealers and be a resource for them in this ever-changing (daily) technology.

We’ve had a tremendous year so far and have achieved some truly impactful wins (and I thank you for your support).

I look forward to the second half of 2025 and the ongoing success of NADA, and I am eager to share what I have learned during my travels and discussions with our global dealer partners, as well as their valuable insights and experiences as we confront major changes to our industry.

Semper Fi.

Tom