Amex GBT reports car rental prices steady in 2026‑27

THE NEWS: American Express Global Business Travel forecasts car rental rates in Canada and the United States will rise only 1.5 % to 2 % in 2026‑27, keeping global rental prices relatively stable.

DETAILS:

• Amex GBT’s latest Ground Monitor projects a modest 1.5 %‑2 % increase for both Canadian and U.S. rental rates, citing restrained GDP growth and improved vehicle supply as the main dampening factors.
• Rising auto‑insurance costs could add upward pressure on rental prices, potentially offsetting some of the supply‑driven moderation.
• The firm also reports “significant growth” in the number and value of city surcharges across North America, including airport fees and day‑of‑week charges that were previously limited to a handful of locations.
• Globally, Amex GBT expects rental prices to remain largely stable through 2026‑27, indicating limited volatility for corporate travel budgets worldwide.

WHY IT MATTERS: A modest 1.5‑2 % increase combined with expanding city surcharges means corporate travel managers must closely monitor budgeting assumptions and negotiate contracts to manage incremental cost pressures in North American car‑rental programs.

FAQ

What price increase does Amex GBT forecast for car rentals in the United States and Canada for 2026‑27?
Amex GBT projects rental rates in both the United States and Canada will rise by only 1.5 % to 2 % during the 2026‑27 period, reflecting a modest upward movement amid otherwise stable global prices.

What factors are expected to keep global car‑rental prices stable, according to Amex GBT?
The forecast cites restrained GDP growth and improved vehicle supply as key reasons why global car‑rental prices are expected to remain largely unchanged through 2026‑27.

What additional cost pressures are highlighted in Amex GBT’s 2026‑27 car‑rental outlook?
The report flags rising auto‑insurance costs and significant growth in city surcharges—such as airport fees and day‑of‑week charges across North America—as emerging pressures that could push rental expenses higher.

Read Original Article.