The discontinued Mitsubishi Mirage, with an average price of $18,484 in June, is expected to go extinct by the end of the summer.

The U.S. new-vehicle market continued a slow upward climb in June, with average transaction prices (ATPs) rising to $48,907, according to Kelley Blue Book, a Cox Automotive brand. That represents a modest 0.4% increase from May and a 1.2% year-over-year gain—the largest of 2025 so far, though still below the historical 3.9% annual average.

Amid these price increases, the industry reached a turning point: the Mitsubishi Mirage, long the only new vehicle transacting below $20,000, is disappearing from inventory following its discontinuation. With an average transaction price of $18,484 in June and virtually no incentives, the Mirage is expected to go extinct by the end of the summer, with fewer than 1,700 units remaining nationwide, according to Cox Automotive’s vAuto Live Market View.

“The months ahead are shaping up to be 'the big squeeze,’” said , executive analyst at Cox Automotive. “As average MSRPs continue to climb, the modest increase in transaction prices suggests the businesses are absorbing more of the burden and not passing the added costs to consumers — something that will impact profitability if the trend persists.”

While ATPs rose slightly, the average manufacturer’s suggested retail price (MSRP) climbed 2.3% year over year to $51,124 in June — marking the second-highest MSRP on record, trailing only December 2024.

Inventory levels continued their upward trend, reaching 82 days’ supply, up from 72 in May, while incentives ticked up to 6.9% of ATP, compared to 6.8% the prior month and 6.5% a year earlier. The new-vehicle sales pace slowed to a seasonally adjusted annual rate (SAAR) of 15.3 million, down from 15.6 million in May and a peak of 17.8 million in March.

Electric vehicle prices, meanwhile, saw a notable decrease. The average EV transaction price dropped to $56,910 in June, down from $57,236 in May and 2.8% lower year over year. At the same time, EV incentives reached a record high of 14.8% of ATP — more than $8,400 on average — up for the second consecutive month.

EV sales were higher in Q2 than Q1, but still down over 6% year over year, largely due to a continued decline in Tesla sales. Tesla's ATP in June was $54,989, down from $55,276 in May and down 5.7% year over year. The Model Y, while still the top-selling EV in the U.S. with 25,095 units sold in June, also saw its price drop to $53,224.

Despite softening consumer demand and elevated production costs, manufacturers appear to be restraining from fully passing those costs on to buyers. Kelley Blue Book suggests the ongoing disconnect between MSRPs and transaction prices could continue to shape the automotive market through the remainder of the year.