This year did not turn out the way many in the auto industry thought it would. Automakers and parts suppliers began 2025 cautiously optimistic about sales and production. But as the year went on, their optimism faded because of trade restrictions, a dynamic tariff environment, and even more supply chain disruptions. Firms pulled their financial guidance and put planned investments on hold. Yet, by the third quarter, the outlook became a little clearer. Optimism returned, and planning resumed.

The industry’s ups and downs were mirrored by wide swings among consumers. Just nine of the past 36 years had more volatile auto sales, and those were mostly in recession years. In 2025, new car buyers timed their purchases to either get ahead of anticipated price increases or take advantage of sunsetting federal electric vehicle incentives. Fluctuating consumer demand, ongoing supply chain issues, rising costs, difficulty in finding talent, and shifts in federal policy combined to test the mettle of automakers and suppliers.

What will 2026 bring? As we’re about to put 2025 in the rearview mirror, consumer sentiment is still slumping, auto loan delinquencies are rising, and auto insurance inflation is soaring. Suppliers continue to adjust to the new business environment. And AI and automation—in factories and vehicles—are rapidly changing how vehicles are built and function. Trade will again be in focus as the scheduled review of the United States–Mexico–Canada Agreement (USMCA) has begun. In addition, the global market is more competitive than ever. Will the nation’s auto industry gain the solid footing it needs to confidently move forward and compete?

For a comprehensive look at the forces shaping the U.S. auto industry’s future, join us for the Federal Reserve Bank of Chicago’s 32nd Annual Automotive Insights Symposium, taking place February 4–5, 2026, at the Bank’s Detroit Branch, with an optional pre-conference tour occurring on February 3, 2026 (space is limited).

Through panel discussions, keynote speeches, and optional site tours, attendees will hear:

• The 2026 outlook for U.S. and North American auto production, sales, and supply chains
• A review of automotive technology trends
• Discussion on what is driving up auto insurance costs
• Strategies automakers are pursuing as they retool to meet the market and their global competitors
• How companies are using AI, robotics, and other automation as they build the future factories—and what the limits of these technologies are
• Expert insights on U.S. trade policy and the 2026 USMCA review
• Developments in U.S. automotive policy and the regulatory environment
• How automakers are building more resilient supply chains
• Remarks from GM’s CFO Paul Jacobson

Through events like this, the Federal Reserve Bank of Chicago serves the public, fostering economic opportunity and advancing a strong economy for our region and nation.