By Dave Cruikshank
From Old Fords and Tri-Five Chevys to modern OEM offerings, here's what's reinvigorating an ever-evolving segment.
It's hard to believe the 2020s are half over. It's already mid-decade, and we've seen everything from a global pandemic, supply-chain meltdowns and the lagging but progressing electrification of the auto industry. Things have calmed down a bit, but the automotive industry is poised to experience a transformation unlike anything it's encountered in its more than 100-year history.
Perhaps the biggest challenge will be handing off the hot-rodding torch to a new generation of fans and producing enough skilled techs to fill the tremendous demand needed by the modern OEM and aftermarket industries. Many old-school car enthusiasts have slowly been fading away. Although senior guys still are a key demographic for the hot-rodding industry, anyone that has been to an old car show recently will know what we're talking about.
Nevertheless, the aftermarket has weathered many storms in its almost 80-year history and has the resiliency to withstand this latest round of challenges. In the morning light of 2025, we think the hot-rod business will emerge stronger and more diversified than ever.
HOT-RODDING HISTORY
Let's briefly look back to see how far we've come. Gls coming home from WWII-scoured junkyards and army surplus hangars for drop tanks and throwaway parts to cobble together a fast, cheap jalopy. Thousands of kids across the country invented the DIY movement and created the legendary hot-rod culture on the fly.
While America's "Arsenal of Democracy" was busy retooling for civilian auto production after the war, the specialty-equipment industry was still just a gleam in Vic Edelbrock's eye. By the end of the '60s, the automotive aftermarket took root and grew at an astonishing rate.
Today, "U.S. consumers spent more than $52 billion accessorizing and modifying their vehicles in 2024, and the industry is trending up," according to the "2024 SEMA Market Report."
This builds on the industry growth trends of 2023, as the report explains: "Some leveling of sales growth was to be expected in 2023 and falls close to our previous estimate for the year. Moving forward, we expect the industry to return toward a slightly higher growth rate."
"Companies are seeing most of the larger-scale disruptions from COVID beginning to dissipate, however, some [ongoing] supply challenges, inflation, and economic uncertainty continue to be a cause for concern. Even with some question marks dotted across the country, most recession talk has quelled down, and consumers continue to have jobs and spend money." Additionally, now that the 2024 presidential election is behind us, the industry looks ahead with guarded optimism and an outlook to maintain or grow sales.
HOT-RODDING TODAY
What is hot-rodding today? Old Fords, Tri-Five Chevys, pony cars and muscle machines are still in demand, but there is less demarcation now. Trucks are a hot commodity as they escaped the frontwheel-drive revolution back at the turn of the century. Millions of them were built, and a good chunk of them are still in service. All Big Three trucks can accept a modern V8 upgrade and that makes them a shoo-in for modification.
Other cars like GM G-bodies, and MTV-era Mustangs and Camaros, are finding new legions of fans. Let's not forget modern Detroit offerings with a factory V8 either. Chargers, 300s, Challengers, Mustangs and LS-/LT-powered Camaro/Corvette/Cadillacs are still red hot as well-especially since the Camaro and the Mopar triplets have gone to the great boneyard in the sky. Up-and-comers are Japanese and domestic mini trucks, '70s cars, JDM cars, and a resurgence of old-school hot-rod imports.
Although we'll stick with the term hot rodding, it now encapsulates many body styles, eras and national origins. For much of the aftermarket industry, it ultimately doesn't matter what platform is all the rage, as car enthusiasts still need maintenance, collision repair, wheels, floor mats, tint, paint and wraps. We spoke with key builders, manufacturers and tastemakers from around the country to put our "finger on the pulse" of the 2025 hot-rod industry. Let's dive in and look at several sectors that are key indicators of what's hot in 2025 and how SEMA members can leverage this for their company's success.
BUILDERS
The sky is the limit with modern builders. Unlike the custom car builders of yesterday, today's shops are essentially the final assembly of top-notch subsystems from the finest manufacturers in the world. We all know the drill. Start with an Art Morrison or Roadster Shop chassis, add Wilwood or Baer Brakes, Vintage Air and Dakota Digital gauges. Add custom wheels and big rubber and then drop in a GM, Ford or Mopar crate motor, in many cases packaged with an onboard ECM and transmission. These days, 750-plus hp is fairly ho-hum and 1,000 hp might be the new stepping-off point.
After all that heavy-duty hardware is assembled, the real test of a shop's mettle comes into play. resuscitate stalled builds," says Schulman. "We are seeing a younger customer coming in for a bespoke hot-rod build. They want name-brand gear incorporated into the build with all the amenities of a modern car. The trend of aggregating together topnotch gear is now the de facto standard, but the real differentiation will come from a shop's design chops, paint and finishing skills."
"We do everything but upholstery in-house and we build complete cars, perform repair work and Sean Bell, owner of So Cal Rods and Custom in Temecula, California, reports brisk business reflecting current trends. "We are seeing a decline in builds with a sub-$50k budget and an increase of high-end projects. We've also seen a slowdown with pre-war cars and attribute that to the graying of the hobby. Guys that are in their 50s and 60s want the car they had in high school and that is most likely an '80s-era or newer build. Anyone who attends car shows or bigger events knows that trucks are now the hottest platform in the industry. For So Cal Rod and Custom, business is mostly word of mouth, and we think that's
the best advertising. Taking care of the customer and delivering an exceptional final product is a simple blueprint that works every time."
MANUFACTURING AND MOVING PRODUCT
The obsession with speed is still very much with us and is a critical slice of hot-rodding trends for 2025. The good news is the market for speed equipment, replacement parts and aftermarket accessories is also still humming along, confirms Jeff Grantmeyer, sales manager for Borgeson Universal Co., based out of South Carolina.
"We're real busy right now with big demand for C10, square-body and OBS GM truck parts," Grantmeyer says. "We also are seeing a lot of interest in Fox-body Mustangs, GM G-bodies and old-school Chevy S-10s components. We rely heavily on parts suppliers like Summit, Keystone and Motor State to distribute our products."
Brick-and-mortar auto-parts chains are still a major player even in an era of online sales. In fact, in a recent SEMA survey, local auto-parts retailers were at the top of the list for where people buy parts. Folks hoping to retail more products are wise to utilize box-store distributors in combination with online advertising and content.
Physical-location retailers are in the catbird seat as they can't be replaced if you need a part "right now." That should be the top message for retailers to deliver via advertising, through whatever medium chosen. Even though car shows have a minuscule slice of the retail market, they are good "arrows" to have in a company's quiver for exposure and name recognition.
Grantmeyer continues, "We're seeing demand from younger enthusiasts, which is good because we've got a new pipeline of customers, but these folks are just getting started with their careers and families. Their disposable income needs more years to grow."
Translation? In the quest to keep new blood flowing in the business, keep reaching out to the old-school guys; they have more money.
Bolts, wiring harnesses and steering boxes are shy on glamor, but Grantmeyer says there are ways to compensate for that. "We like to have a fairly wide swath of exposure to the market to tell Borgeson's story and move products. We like to show completed builds and behind-the-scenes photos to add sizzle to our content."
"We employ a combination of our website, social media and advertorial content to keep Borgeson in front of buyers. My one caveat with social is to keep in mind who you're marketing to. Few of our older customers are on Tik Tok, while younger folks may shun longer-form content. Whatever the demographic, YouTube is a tremendous resource to reach customers, by creating content that gets them out of a pinch or provides
how-to instructions."
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