Car repair prices are driving in the fast lane

Americans across the country have seen the cost of car repairs go through the roof in recent years, with prices accelerating even further over the past several weeks. Or enough to turn anyone into Dulé Hill from Holes: “I can fix that.”

• The average monthly cost to repair and maintain a vehicle has risen by 43.6% from January 2019 to January 2025, per data from the US Bureau of Labor Statistics.
• And repair bills have continued to rise this year, with the latest Consumer Price Index showing a 5% jump between July and August alone—representing the largest monthly increase on record.

A look under the hood

Analysts say several main factors are driving the recent surge in repair costs:

• Tech overload: Modern cars are essentially rolling computers, with advanced sensors, lidar cameras, and chip-heavy systems that make even routine fixes more complex and costly.
• Labor crunch: A shortage of qualified technicians—driven in part by the skills needed to service today’s high-tech vehicles—have pushed hourly wages higher across the industry.
• Vehicle age: The average vehicle on US roads is now a record-high 12.6 years old, meaning drivers are seeing more service visits, more parts failing, and more money fly out of their pockets.
• Tariffs: The US recently levied a 25% tariff on many imported vehicles and components—outside of those that comply with the United States-Mexico-Canada Agreement (USMCA)—in a move widely viewed as having contributed to higher auto repair costs.

Looking ahead…Prices for car repairs will likely continue to climb for the foreseeable future, according to industry experts, who say the trends placing upwards pressure on costs—as laid out above—are unlikely to change anytime soon.