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Brand Loyalty Faces Headwinds as Tariffs Reshape New-Vehicle Shopper Behavior, J.D. Power Finds

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Brand Loyalty Faces Headwinds as Tariffs Reshape New-Vehicle Shopper Behavior, J.D. Power Finds
News

News

Brand Loyalty Faces Headwinds as Tariffs Reshape New-Vehicle Shopper Behavior, J.D. Power Finds

2025-09-24 19:59 Last Updated At:20:20

TROY, Mich.--(BUSINESS WIRE)--Sep 24, 2025--

While tariffs have introduced greater volatility into new-vehicle shopping behavior, brands with strong reputations—such as Toyota and Honda—continue to retain loyal customers, according to the J.D. Power 2025 U.S. Automotive Brand Loyalty Study, SM released today. In the current competitive landscape, automakers that consistently deliver vehicles aligned with evolving customer expectations and needs are best positioned to maintain and grow their loyal base.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20250924326228/en/

“Brand loyalty matters to vehicle buyers because it’s often associated with higher residual values, making vehicles from trusted brands a more financially sound choice over time,” said Tyson Jominy, senior vice president of data & analyticsat J.D. Power. “However, buyer loyalty tends to weaken when shifting to a different vehicle segment. Not only that, but changing market conditions, such as increased availability of models, varying age of products and more aggressive incentive offers, have also brought brand loyalty back below 50% after finishing at 51% last year. Brand loyalty averages 49% across all nameplates and segments in this year’s study.”

Highest-Ranking Brands

Porsche ranks highest among premium car brands for a fourth consecutive year, with a 58.2% loyalty rate. Mercedes-Benz (49.7%) ranks second.

Lexus ranks highest among premium SUV brands for a second consecutive year, with a 57.4% loyalty rate. BMW (54.0%) ranks second.

Toyota ranks highest among mass market car brands for a fourth consecutive year, with a 62.0% loyalty rate. Honda (55.5%) ranks second.

Honda ranks highest among mass market SUV brands for a second consecutive year, with a 62.0% loyalty rate. Subaru (60.6%) ranks second.

Ford ranks highest among truck brands for a fourth consecutive year, with a 66.6% loyalty rate—the highest loyalty rate in the study. Toyota (61.2%) ranks second.

The U.S. Automotive Brand Loyalty Study, now in its seventh year, uses data from the Power Information Network ® (PIN) to calculate whether an owner purchased the same brand after trading in an existing vehicle on a new vehicle. Customer loyalty is based on the percentage of vehicle owners who choose the same brand when trading in or purchasing their next vehicle. Only sales at new-vehicle franchise dealers qualify. The study includes brand loyalty across five segments: premium car; premium SUV; mass market car; mass market SUV; and truck.

The 2025 study calculations are based on transaction data from September 2024 through August 2025 and include all model years traded in for a new vehicle.

For more information about the U.S. Automotive Brand Loyalty Study, visit https://www.jdpower.com/business/us-automotive-brand-loyalty-study.

To view the online press release, please visit http://www.jdpower.com/pr-id/2025116.

About J.D. Power

J.D. Power is a global leader in automotive data and analytics, and provides industry intelligence, consumer insights and advisory solutions to the automotive industry and selected non-automotive industries. J.D. Power leverages its extensive proprietary datasets and software capabilities combined with advanced analytics and artificial intelligence tools to help its clients optimize business performance.

J.D. Power was founded in 1968 and has offices in North America, Europe and Asia Pacific. To learn more about the company's business offerings, visit jdpower.com/business. The J.D. Power auto-shopping tool can be found at jdpower.com.

About J.D. Power and Advertising/Promotional Rules:https://www.jdpower.com/business/about-us/press-release-info

J.D. Power 2025 U.S. Brand Loyalty Study

J.D. Power 2025 U.S. Brand Loyalty Study

The U.N. Security Council scheduled an emergency meeting Thursday to discuss Iran's deadly protests at the request of the United States, even as President Donald Trump left unclear what actions he would take against the Islamic state.

Tehran appeared to make conciliatory statements in an effort to defuse the situation after Trump threatened to take action to stop further killing of protesters, including the execution of anyone detained in Tehran’s bloody crackdown on nationwide protests.

Iran’s crackdown on the demonstrations has killed at least 2,615, the U.S.-based Human Rights Activists News Agency reported. The death toll exceeds any other round of protest or unrest in Iran in decades and recalls the chaos surrounding the country’s 1979 Islamic Revolution.

Iran closed its airspace to commercial flights for hours without explanation early Thursday and some personnel at a key U.S. military base in Qatar were advised to evacuate. The U.S. Embassy in Kuwait also ordered its personnel to “temporary halt” travel to the multiple military bases in the small Gulf Arab country.

Iran previously closed its airspace during the 12-day war against Israel in June.

Here is the latest:

In a joint statement, the foreign ministers of Canada, France, Germany, Italy, Japan, the United Kingdom, the United States and the European Union’s main foreign policy chief said the G7 members were “gravely concerned” by the developments surrounding the protests, and that they “strongly oppose the intensification of the Iranian authorities’ brutal repression of the Iranian people.”

The statement, published on the EU’s website Thursday, said the G7 were “deeply alarmed at the high level of reported deaths and injuries” and condemned “the deliberate use of violence” by Iranian security forces against protesters.

The G7 members “remain prepared to impose additional restrictive measures if Iran continues to crack down on protests and dissent in violation of international human rights obligations,” the statement said.

China’s Foreign Minister Wang Yi has spoken with his counterpart in Iran, who said the situation was “now stable,” China’s Ministry of Foreign Affairs said.

Abbas Araghchi said “he hoped China will play a greater role in regional peace and stability” during the talks, according to the statement from the ministry.

“China opposes imposing its will on other countries, and opposes a return to the ‘law of the jungle’,” Wang said.

“China believes that the Iranian government and people will unite, overcome difficulties, maintain national stability, and safeguard their legitimate rights and interests,” he added. “China hopes all parties will cherish peace, exercise restraint, and resolve differences through dialogue. China is willing to play a constructive role in this regard.”

“We are against military intervention in Iran,” Turkish Foreign Minister Hakan Fidan told journalists in Istanbul on Thursday. “Iran must address its own internal problems… They must address their problems with the region and in global terms through diplomacy so that certain structural problems that cause economic problems can be addressed.”

Ankara and Tehran enjoy warm relations despite often holding divergent interests in the region.

Fidan said the unrest in Iran was rooted in economic conditions caused by sanctions, rather than ideological opposition to the government.

Iranians have been largely absent from an annual pilgrimage to Baghdad, Iraq, to commemorate the death of Imam Musa al-Kadhim, one of the twelve Shiite imams.

Many Iranian pilgrims typically make the journey every year for the annual religious rituals.

Streets across Baghdad were crowded with pilgrims Thursday. Most had arrived on foot from central and southern provinces of Iraq, heading toward the shrine of Imam al-Kadhim in the Kadhimiya district in northern Baghdad,

Adel Zaidan, who owns a hotel near the shrine, said the number of Iranian visitors this year compared to previous years was very small. Other residents agreed.

“This visit is different from previous ones. It lacks the large numbers of Iranian pilgrims, especially in terms of providing food and accommodation,” said Haider Al-Obaidi.

Europe’s largest airline group said Thursday it would halt night flights to and from Tel Aviv and Jordan's capital Amman for five days, citing security concerns as fears grow that unrest in Iran could spiral into wider regional violence.

Lufthansa — which operates Swiss, Austrian Airlines, Brussels Airlines and Eurowings — said flights would run only during daytime hours from Thursday through Monday “due to the current situation in the Middle East.” It said the change would ensure its staff — which includes unionized cabin crews and pilots -- would not be required to stay overnight in the region.

The airline group also said its planes would bypass Iranian and Iraqi airspace, key corridors for air travel between the Middle East and Asia.

Iran closed its airspace to commercial flights for several hours early Thursday without explanation.

A spokesperson for Israel’s Airport Authority, which oversees Tel Aviv’s Ben Gurion Airport, said the airport was operating as usual.

Iranian state media has denied claims that a young man arrested during Iran’s recent protests was condemned to death. The statement from Iran’s judicial authorities on Thursday contradicted what it said were “opposition media abroad” which claimed the young man had been quickly sentenced to death during a violent crackdown on anti-government protests in the country.

State television didn’t immediately give any details beyond his name, Erfan Soltani. Iranian judicial authorities said Soltani was being held in a detention facility outside of the capital. Alongside other protesters, he has been accused of “propaganda activities against the regime,” state media said.

New Zealand’s Foreign Minister Winston Peters said Thursday that his government was “appalled by the escalation of violence and repression” in Iran.

“We condemn the brutal crackdown being carried out by Iran’s security forces, including the killing of protesters,” Peters posted on X.

“Iranians have the right to peaceful protest, freedom of expression, and access to information – and that right is currently being brutally repressed,” he said.

Peters said his government had expressed serious concerns to the Iranian Embassy in Wellington.

A demonstrator lights a cigarette with a burning poster depicting Supreme Leader Ayatollah Ali Khamenei during a rally in support of Iran's anti-government protests, in Holon, Israel, Wednesday, Jan. 14, 2026. (AP Photo/Ohad Zwigenberg)

A demonstrator lights a cigarette with a burning poster depicting Supreme Leader Ayatollah Ali Khamenei during a rally in support of Iran's anti-government protests, in Holon, Israel, Wednesday, Jan. 14, 2026. (AP Photo/Ohad Zwigenberg)

Protesters participate in a demonstration in support of the nationwide mass protests in Iran against the government, in Berlin, Germany, Wednesday, Jan. 14, 2026. (AP Photo/Ebrahim Noroozi)

Protesters participate in a demonstration in support of the nationwide mass protests in Iran against the government, in Berlin, Germany, Wednesday, Jan. 14, 2026. (AP Photo/Ebrahim Noroozi)

Protesters participate in a demonstration in support of the nationwide mass protests in Iran against the government, in Berlin, Germany, Wednesday, Jan. 14, 2026. (AP Photo/Ebrahim Noroozi)

Protesters participate in a demonstration in support of the nationwide mass protests in Iran against the government, in Berlin, Germany, Wednesday, Jan. 14, 2026. (AP Photo/Ebrahim Noroozi)

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