Can we all take a moment to mourn the departure of the Audi A4? It arrived in the U.S. market in 1994 — the same year as its rival Mercedes C-Class — to chip away gradually at the surging popularity of the BMW 3-Series in what once was a banging compact luxury sedan segment.
Bavaria proved that Americans with money would flock to a premium foreign brand that could deliver European handling, world-class powertrains, upscale interiors and the dynamics of rear-wheel drive. Audi stuck with front-wheel drive for the A4, but lots of customers shelled out a little more for the quattro all-wheel drive experience, especially in the north. Maybe you couldn’t afford a 3-Series, but your shopping dollars went a little farther with an A4.
Feeling Nostalgic For A4
So as 2025 draws to a close and automotive sales are tallied for the year, we note the demise of the A4 sedan, which managed more than 7,000 deliveries in 2024 but mustered only 507 units, almost entirely in the first quarter of 2025, as the A4, S4 and Avant were being phased out and replaced with a redesigned, third-generation A5 in late 2024.
The A5 was a handsome vehicle when it first arrived in 2007 — and later in five-door sportback dress, looking like a smaller version of the A7 and setting itself apart stylistically from the conventional three-box shape of the A4 sedan.
But Here Comes The A5 and S5
While the all-new 2025 A5 distinguishes itself with a lower, wider stance, it, too, is revealing how fortunes have changed for European luxury sedan makers. It arrived in U.S. showrooms in spring of 2025 but ended the year down 31 percent to 16,886 units compared to 2024. A 15% Trump administration tariff on German cars has not helped.
Within the past few months, the ninth-generation 2026 Audi A6 has arrived in the U.S., so the brand will be looking for growth this year rather than the 19-percent drop (to 6,897 units) in 2025 A5 sales.
So Long Q8 e-Tron
Across the board, Audi faced a difficult 2025, down 16 percent to 164,942 vehicles. There were few bright spots, as the Q8 e-tron and Sportback e-tron were discontinued, along with the recently departed R8 and TT. Even the best-selling Q5 crossover fell 19 percent to 46,215 sales.
The only Audis showing growth were the A7 and Q8, both up 5.0 percent (to 1,654 and 10,881 deliveries, respectively). And the new all-electric Audi Q6 e-tron and e-tron Sportback have been extremely well received, achieving nearly 17,500 deliveries in 2025 despite 15% tariffs and the elimination of federal tax credits in the U.S.
BMW Cars Grow Sales Faster Than SUVs
As we pivot to BMW’s U.S. sales report, we see a company on better footing, delivering 388,897 vehicles in 2025, up 4.7 percent from 2024. And sales growth for sedans and coupes (up 5.1 percent to 172,155 vehicles) actually, surprisingly, outpaced SUVs and crossovers (up 4.4 percent to 216,742 vehicles).
Oddly enough, Bavaria groups the X1 and X2 small crossovers among “passenger cars,” while the X3 and everything larger are considered “light trucks.”
4-Series Best-Selling Car
BMW’s big gainers in 2025 were the X2 (up 86.2 percent to 6,739 units), 2-Series coupe and sedan (up 36.3 percent to 20,975) and the X6 crossover (up 26.6 percent to 12,000). The best-selling car was the 4-Series (down 7.6 percent to 39,379), while the No.1 seller overall was the X3 (up 11.3 percent to 76,546).
As for EVs, the iX was down 18.2 percent to 12,587 units, while BMW cleverly conceals its i4, i5, and i7 sales under the 4-Series, 5-Series and 7-Series umbrellas. But BMW said its U.S. EV sales fell 16.7 percent to 42,484 units while plug-in hybrid volumes climbed 30.7 percent to 25,351. Meanwhile, the Neue Klasse iX3 electric crossover arrives later this year to gauge America’s appetite for upscale EVs without tax credits.
Product Push Yields Mini Gain in 2025
Let’s not overlook BMW’s Mini division, which used 2025 for a full model-line relaunch that yielded 9.3-percent growth to 28,749 units. Mini’s top seller was the Countryman compact crossover, which was up 11 percent to 12,931 deliveries.
In case you’re wondering which brand earned the crown as America’s No.1 luxury brand in 2025, it’s BMW, at least for now, until Mercedes-Benz reveals its numbers next week. Lexus sold 370,260 vehicles in the U.S. (up 7.1 percent). If you believe Tesla competes with these traditional luxury brands directly, then Tesla is the likely top seller.
Source: Audi and BMW
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