Only U.S. Car Model Selling Under $20K Will Be Discontinued

Japanese automaker Mitsubishi is set to discontinue sales of Mirage in the United States, eliminating the only new car on the market that retails under $20,000. 

Automotive News reports that Mitsubishi will cease U.S. sales of Mirage by the middle of the decade and exit the sedan market altogether. Mirage retails at a starting price of just $17,340, by far the cheapest new car available in the month of July according to Cox Automotive. 

The subcompact sedan isn't exactly a blockbuster. First introduced in 2013, Mirage has never sold more than 27,000 units in a year. Sales fell 31 percent in 2022 and another 44 percent in the first half of the year. With a three-cylinder, 78-horsepower engine, it struggled to compete against other models of used sedans.

Mitsubishi joins brands like Buick, Ford, and Lincoln in ceasing production of sedans for the U.S. market, as consumer tastes continue to shift to more expensive trucks and SUVs.  

The 10 best-selling cars in the country this year only includes one sedan, the Toyota Camry, according to Car & Driver. Sedans now make up about 21 percent of the new car market in the country, while SUVs account for around 60 percent and pickup trucks and vans represent another 20 percent, per a report from the Automotive News Research & Data Center.

At the same time, Americans are paying more than ever for their cars. Lending Tree data shows an average $725-per-month car payment for new cars in 2023, an all-time high and an 11.5 percent increase from the year before. 

Now, they'll have one fewer low-cost option.