🛑 The 2026 Mustang, Secret Discounts, and a BMW That Moos?!

Issue #136

Hey there, road warriors 👋

Before we dive into hybrids, Mustangs, and BMWs making strange noises on purpose (yep, it’s a thing)… we’ve got a pit stop of good news to share: Bernardo and his wife just welcomed a baby girl into the world! 🎉 Mom, Dad, and baby are all doing great — send 'em some horsepower-powered love!

Now buckle up, because in this edition we’ve got:

• The 2026 Ford Mustang: Same growl, no crazy price hike

• Toyota’s MPG kings: 5 hybrids worth your gas-saving dreams

• Ford Lightning's shockingly small sales ⚡

• A Toyota mid-engine sports car that just hit a wall (figuratively)

• Jay Leno, a Mustang GTD, and Ford’s CEO in the same car

Oh — and you might want to know which car brands are leading in recalls (spoiler: it’s not who you think) and how employee pricing is reshaping the market.

Let’s Go!

Market New

• 2026 Ford Mustang Avoids Big Price Hikes

• 5 HYBRID TOYOTAS WITH THE BEST MPG YOU CAN BUY TODAY

• BMW Patents Truly Bizarre Noise-Generating System For EVs And Hybrids

• Ford F-150 Lightning's Tiny Sales

• Here's Everything You Need To Know About The 2026 Toyota Corolla Hatchback

Car Culture

• Toyota’s Mid-Engine Sports Car Just Hit A Serious Snag

• Car Manufacturers With The Most Active Recalls In 2025: The Shocking Leaders

• Why Ford’s Forgotten Party Truck Is Exactly What America Needs Right Now

• 1957 BMW 503 Convertible Is The 507's Less Sexy, Dirt Cheap Sibling

• Watch Jay Leno’s First-Drive In His New Ford Mustang GTD With Ford CEO Jim Farley

Video Of The Week

Save On Car Shipping!

I’ve used UShip twice to take delivery of a Jeep from Idaho and a boat from Florida. Both were great experiences, so I wanted to bring this service to your attention.

👉 Check out UShip here (or click the image)

Yes, that’s an affiliate link. No, it doesn’t cost you anything extra. But every click helps support this newsletter and keeps the content coming. Win-win.

In The Know

How Employee Pricing Helped Automakers Jumpstart Sales and What Comes Next for the Car Market

After nearly two years of unpredictable pricing and limited supply, the U.S. car market is finally showing signs of stabilizing. A major part of that shift? Automakers have recently found success with employee pricing programs, a rare incentive strategy that is helping clear dealer lots and bring buyers back into showrooms.

What is Employee Pricing?

Employee pricing means manufacturers temporarily offer vehicles to the general public at or near the price company employees would pay. This usually includes reduced markups and lower profit margins for dealers but gives shoppers more transparent, upfront pricing. The strategy was first made popular during the Great Recession when brands like GM and Chrysler used it to increase demand.

Now, it is making a comeback.

Why Now?

New vehicle inventories have steadily improved. According to Cox Automotive, U.S. dealers had roughly 2.8 million new vehicles in stock as of July 2025. That is a significant increase from just 1 million at the height of the chip shortage in 2021. With more vehicles sitting on lots, especially in segments like sedans and entry-level SUVs, automakers are leaning on incentives to keep inventory moving.

General Motors, Ford, and Stellantis have all used employee pricing offers in recent months, particularly for slower-selling models or during long holiday weekends. One example is Dodge, which offered employee pricing in May on select Charger and Challenger models to help move remaining old inventory. Ford launched a similar program for leftover F-150s and Explorers.

Is It Working?

In short, yes.

Incentive spending is on the rise, and buyers are responding. Cox Automotive reported that average incentive spending per vehicle reached $2,800 in June 2025, the highest level since early 2021. That is up 61 percent compared to a year ago.

Retail sales volumes are also improving. Edmunds analysts noted a 6 percent year-over-year increase in new car sales during the second quarter of 2025. This was driven in part by the return of more accessible pricing. Brands using employee pricing saw stronger-than-average growth in showroom traffic, especially in markets where price-sensitive buyers had stepped back.

Jessica Caldwell, head of insights at Edmunds, said that consumers have been hesitant to reenter the market due to high interest rates and sticker shock. She added that employee pricing helps simplify the process and gives shoppers a clearer sense of value.

What is the Catch?

There are still headwinds. Interest rates remain elevated, with average auto loan APRs hovering around 7.1 percent for new vehicles, according to Bankrate. That continues to put pressure on monthly payments, which hit a record average of $753 in June.

Not all models are seeing price relief either. Popular trucks and newer electric vehicles remain in tight supply, with limited discounts or incentives available. And while employee pricing is effective in the short term, industry experts caution that it is not a long-term fix.

Margins are already thin, said Tyson Jominy, vice president of data and analytics at J.D. Power. If automakers rely too much on employee pricing, they risk weakening the perceived value of their brands.

What Comes Next?

Expect more targeted deals instead of broad, brand-wide pricing events. Manufacturers are using data to identify where inventory is building up and applying employee pricing offers selectively.

For buyers, that means timing and flexibility are important. Shoppers willing to consider less popular trims or 2024 models may find serious savings over the next few months.

At the same time, the used market is also shifting. Wholesale used vehicle prices fell by 9.2 percent year-over-year in June, according to Manheim. That gives consumers more leverage, especially when trading in a used vehicle with relatively low mileage.

The bottom line is this. The car market is still in recovery mode, but the days of sky-high prices with no discounts may finally be behind us. Employee pricing has helped create momentum and brought some predictability back to the buying experience. Whether you are a weekend enthusiast or a daily commuter, it is a welcome change.

Sources:

• Cox Automotive Market Insights, July 2025

• Edmunds Q2 2025 Auto Sales Report

• J.D. Power Weekly Automotive Insights, July 2025

• Bankrate Auto Loan Trends, June 2025

• Manheim Used Vehicle Value Index, June 2025