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The $25k car is going extinct?

(media.hubspot.com)
319 points pseudolus | 1 comments | 29 Jun 25 15:59 UTC | HN request time: 0.275s | source
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puzzlingcaptcha ◴[30 Jun 25 06:20 UTC] No.44420041[source]▶
You can still buy a new subcompact car (like a Renault Clio or Skoda Fabia) in Europe for under 20k EUR.

The more interesting question is why these cars disappeared in the US. And while many of the factors discussed here are true for both EU and US (inflation, interest rates, manufacturer profit margins etc) I am surprised no one mentioned the 'SUV loophole' of US regulations that effectively boosted the SUVs (off-road vehicles are classified as non-passenger automobiles with everything that entails, notably much less stringent emission standards) and made the small cars unprofitable to make in comparison.

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epolanski ◴[30 Jun 25 07:46 UTC] No.44420555[source]▶
> like a Renault Clio or Skoda Fabia

Few caveats:

- those are generally promotional prices

- those prices are generally tied to financing (you really can't buy it cash at those prices, you need to finance it through them at crazy 7/8%+ rates)

- you can wait for the car even 10 months

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1. OtherShrezzing ◴[30 Jun 25 09:29 UTC] No.44421210[source]▶
> those prices are generally tied to financing (you really can't buy it cash at those prices, you need to finance it through them at crazy 7/8%+ rates)

I can't talk for the rest of the continent, but in the UK we've got "price on the road" advertising laws here. So if you turn up to a dealership with £20k and ask for a new car that's advertised at £20k, you'll be sold a car for £20k in cash. The dealer might try to up-sell you for financing, but you can just say "I'm paying in cash, and I don't want any extras", and they'll complete the payment & paperwork in record time so that they're able to move onto a more profitable financed sale elsewhere.