US Car Rental Growth Remains Muted Amid New Pressures

Phocuswright's U.S. Car Rental Market Brief 2026 shows modest growth in 2025, pressured by weaker international demand, vehicle recalls, and evolving booking behavior. Airport locations generate the bulk of revenue, making the decline in international visitors (especially Canadians) painful. Supplier-direct online already commands the largest share of gross bookings and is growing, while reservation and call center channels decline. Large operators invest in apps, digital keys, and personalized offers; smaller independents rely more on OTAs. The market is forecast to grow in low single digits through 2029.