April 16 news: According to automotive dealers and industry analysts, the inventory of new and used cars in the US market is experiencing a swift decline. This phenomenon stems from consumer anxiety over potential tariff increases, which they believe will drive up car prices, prompting a wave of pre-emptive purchases. Data from Cox Automotive reveals that the number of days' supply of new cars has shrunk from 91 days at the start of March to just 70 days this month. Similarly, the days' supply of used cars has also decreased by four days, reaching 39 days. Chief Economist Jonathan Smoke notes that such a significant drop in the days' supply of new cars is uncommon in recent years. Currently, new car sales are 22% higher than last year, with year-to-date sales surging by over 8% compared to the same period last year. The used car market is also anticipated to witness a notable 7% increase in sales. Nonetheless, the industry is apprehensive that once automakers and dealers clear their tariff-free inventories, sales might stagnate. Consulting firm Telemetry forecasts that due to rising costs in production, parts, and other factors, annual auto sales in the US and Canada could decline by 2 million vehicles. While automakers and suppliers may absorb a portion of these costs, a significant portion will ultimately be passed on to American consumers, thereby dampening sales.