DETROIT — GM It has refreshed Chevrolet's highly profitable large SUV for 2025 to defend the brand's long-standing leadership in the segment.
The Detroit automaker's Chevrolet Tahoe and Suburban have led the full-size SUV segment for more than 45 years, according to GM. But increasing competition from automakers such as ford motor, Jeep and Nissan Motor have slowly eroded the automaker's market share.
“We're playing a small role here with what we're doing today,” Chevrolet Vice President Scott Bell said Tuesday during a media event in suburban Detroit. “We certainly have a response to our competitors from multiple sectors.”
2025 GMC Yukon AT4 Ultimate.
GMC
Chevrolet's retail market share of full-size SUVs is approximately 34.2%. Adding GMC's Yukon and Yukon XL SUVs, GM has a 64% share of the industry, according to the automaker. That's down from more than 70% when the vehicles were last completely redesigned for the 2020 model year.
GMC's large SUVs have also been updated for 2025. Both Ford and Nissan have updated their large three-row SUVs on sale this year.
Updates to vehicles generally include new design, larger interior displays, improved performance, and in some cases the addition of new, advanced models to increase profits.
For Chevrolet, the 2025 Chevrolet Tahoe and Suburban check many of these boxes and include the addition of GM's Super Cruise hands-free advanced driver assistance system.
“Overall, it's important in our portfolio,” Bell told CNBC. “It's very important to us from a profitability perspective, and has been for four years.”
Starting prices for the 2025 Tahoe will range from about $60,000 for the Tahoe LS to more than $83,000 for the upscale High Country. 2025 Suburban prices will start between about $63,000 and more than $86,000. Prices include a mandatory $1,995 destination charge.
The company said that the updated SUVs are expected to begin arriving at American dealerships in the coming weeks.
Edmunds.com, a wholly-owned subsidiary of Edmunds.com CarmaxReports indicate that the full-size SUV segment has grown to represent 2.7% of the US market this year, up from 2% in 2017. Total sales for the segment amounted to about 312,500 units through September of this year.
GM said Chevrolet Tahoe and Suburban sales were down significantly this year due to model year changes and lower fleet sales, but the brand continues to easily lead the segment.
Combined sales of Chevy's SUVs, which are essentially the same vehicle but in different sizes, fell 19.3% through September from a year earlier to 102,292 units.
Sales of the Ford Expedition — Chevy's closest SUV competitor — totaled 73,396 units in 2023. Sales of that vehicle were up 3% through September of this year to more than 58,000 units.
