15 States with the Highest Car Registration Fees in the US

In this article, we will look at the top 15 states with the highest car registration fees in the US. If you want to skip our detailed analysis of the car registration industry, you can go to the 5 States with the Highest Car Registration Fees in the US[1].

The automotive industry encompasses all matters related to motor vehicles. From the design to the distribution, manufacturing, and sales of motors all fall under this domain. It is crucial for the stability of the automotive industry that the government levies reasonable and affordable car registration fees so that the demand for new or used cars is not reduced. 

Analyzing the Automotive Market and its Latest Trends

According to a report[2] published by Mordor Intelligence, the North American Automotive market was valued at $0.94 trillion in 2023. The automotive industry is steadily progressing and the market is expected to grow at a compound annual growth rate (CAGR) of 5.43% between 2024 and 2028, reaching $1.22 trillion by the end of the forecasted period. 

While the COVID-19 lockdown had a negative impact on the automotive industry, it has since then restored to pre-pandemic levels of supply and demand. Demand for electric cars has risen in the market. Government initiatives to promote electric cars as the preferred environment-friendly option have been an integral factor in the increased demand for electric vehicles. Furthermore, the increasing popularity of e-commerce companies delivering goods and services commercially has driven up the sales of commercial vehicles for logistics and deliveries.

The report further highlights that the United States contributes the most to the automotive industry, the key automotive companies contribute to 3% of the country’s overall gross domestic product (GDP). The US government has introduced tax benefits to citizens using electric vehicles as opposed to the traditional options, resulting in a spike in electric vehicle sales. 

What are Leading Automotive Companies Up To?

As highlighted in the market analysis of the automotive industry, there is an increase in the demand for commercial vans for logistics and deliveries. Rivian Automotive, Inc. (NASDAQ:RIVN) is a US-based electric vehicle manufacturer that is working in the electric vans space. On November 7, Rivian Automotive, Inc. (NASDAQ:RIVN) announced that it is launching the Rivian Commerical Van for businesses across America in 2024. The company would be using the same platform as the Amazon Electric Delivery Van and the two entities will minimize the carbon emissions created in tons per year by fleets of commercial vans. Rivian Automotive, Inc. (NASDAQ:RIVN) will ensure that the fleets adopt a high standard for safety while maintaining sustainable costs for buyers. [3][4]

Story continues

Lucid Group Inc. (NASDAQ:LCID) is a US-based electric luxury sports car manufacturing company. On November 16, Lucid Group Inc. (NASDAQ:LCID) announced its latest Lucid Gravity luxury electric SUV. The Gravity is expected to give a range of over 440 miles and will be capable of accelerating from 0 to 60 mph in under 3.5 seconds. This seven-seater SUV is expected to start at under $80,000 and will be available in late 2024.[5][6]

The General Motors Company (NYSE:GM) is another big player in the US automobile manufacturing company. The company owns famous automobile brands including Chevrolet, GMC, Cadillac, and Buick. On October 12, The General Motors Company (NYSE:GM) announced its collaboration with the Connected Vehicle Systems Alliance (CONVESA), an alliance for the development of technologies for connected vehicle systems. The company announced that it is contributing a vehicle services definition known as ‘uServices’. This service will help standardize software and allow safe access to vehicle systems through the OEM’s vehicle ecosystem. This will, in effect, help reduce development time and cost for Software Defined Vehicles. The aim of this development is to create a community of software developers that would use, develop, and integrate these features but at reduced costs.[7]

Now that we have talked about some business developments from major automakers in the US, let’s look at the top states with the highest car registration fees in the US.

Top 15 States with the Highest Car Registration Fees in the US

Top 15 States with the Highest Car Registration Fees in the US

Top 15 States with the Highest Car Registration Fees in the US

Top 15 States with the Highest Car Registration Fees in the US

Methodology

To list the 15 states with the highest car registration fees in the US, we used data collected from Compare.com[8]. We have also included Washington D.C. in our list, even though it is a district and capital territory, since it has its local codes and regulations. We used data obtained for the latest year in their dataset, which is for the year 2021. The registration fees for each state is calculated in a different manner, some states have a flat rate, while others may charge extra fees based on the weight, age, and value of the vehicle. We have listed the states with the highest car registration fees in the US below in ascending order.

Top 15 States with the Highest Car Registration Fees in the US

15. North Dakota

Average Registration Fees: $49-$274 (Based on Weight and Age of Vehicle)

The state of North Dakota comes first on our list of the 15 states with the highest registration fees in the US. It shares borders Canada to the north and the US states of Minnesota to the east, Montana to the west and South Dakota to the south. As of 2021, the average registration fees for cars in North Dakota is between $49 to $274, depending on the weight and the age of the vehicle.

Some of the major automakers in the US include Rivian Automotive, Inc. (NASDAQ:RIVN), Lucid Group Inc. (NASDAQ:LCID), and The General Motors Company (NYSE:GM).

14. West Virginia

Average Registration Fees: $51.50 

The state of West Virginia is the 10th smallest state by area in the US and the 12th least populous. It is located in the southern or mid-Atlantic regions of the country. As of 2021, the average registration fees for cars in West Virginia is $51.50. 

13. Texas

Average Registration Fees: $51.75 (Plus Local Fees)

The state of Texas is the second largest state in the US with a population of over 30 million residents. Its city Houston is the most populated in the state and ranks 4th in the largest cities of the US. As of 2021, the average car registration fees in Texas is $51.75, however, there may be additional local fees to be paid. 

12. Massachusetts 

Average Registration Fees: $60 (for 2 Years)

Massachusetts ranks 12th on our list of the 15 states with the highest car registration fees in the US. It is located in the New England region of the US and is the 6th smallest state by land area. Boston is its capital city and the most densely populated area in the entire state. As of 2021, the average car registration fees in Massachusetts is $60 for a 2-year time period. 

11. California

Average Registration Fees: $64 (Plus Extra Fees)

The state of California is in the Western United States and is the most populated state. It is the third largest state in the US and borders Nevada, Arizona, Oregon, and Baja California. As of 2021, the average registration fees for cars in California is $64 and may include extra fees by the relevant authority. 

10. Washington

Average Registration Fees: $68.25-$115.25 (Based on Weight)

Ranking 10th on our list of the 15 states with the highest car registration fees in the US, Washington is located in the Pacific Northwest of the US. The state borders Canada to the north, the Pacific Ocean to the west, Oregon to the south, and Idaho to the east. As of 2021, the average registration fees for cars in Washington is $68.25 to $115.25 based on the weight of the car. 

9. Washington D.C.

Average Registration Fees: $72-$115 (Based on Weight)

Washington D.C. is the federal district and the capital of the United States. It is formally known as the ‘District of Columbia’ or simply Washington or D.C. As of 2021, the average registration fees for cars in Washington D.C. is between $72 to $115 based on the weight of the car. 

8. Vermont

Average Registration Fees: $76 for 1 Year and $140 for 2 Years

Vermont is a completely landlocked state in the northeastern region of the US. It is the second least populated state and the 6th smallest state by area. The capital of Vermont, Montpelier, is the least populated capital in the United States. As of 2021, the average registration fees for cars in Vermont is $76 for 1 year and $140 for a 2 year registration. 

7. Wisconsin

Average Registration Fees: $85 

The state of Wisconsin is famously known as ‘America’s Dairyland’ because of its dairy products, especially cheeses. It is located in the upper Midwestern region of the US and is the 25th largest state by area and the 20th most populated state. As of 2021, the average car registration fees in Wisconsin is $85. 

Some of the top automobile stocks to buy according to hedge funds include Rivian Automotive, Inc. (NASDAQ:RIVN), Lucid Group Inc. (NASDAQ:LCID), and The General Motors Company (NYSE:GM).

6. Oklahoma 

Average Registration Fees: $96 for New Registration, Decreased Over Time

Commonly known as ‘The Sooner State’, Oklahoma is located in the South Central region of the US. It is the 28th most populated state in the US and the 20th most extensive. As of 2021, the average registration fees for a car is $96 for new registrations, however, as customers apply for renewal the fees are decreased over time. 

Click to see and continue reading the 5 States with the Highest Registration Fees in the US[9].

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Disclosure: none. 15 States with the Highest Car Registration Fees in the US is originally published on Insider Monkey.[10]

References

  1. ^ 5 States with the Highest Car Registration Fees in the US (www.insidermonkey.com)
  2. ^ report (www.mordorintelligence.com)
  3. ^ RIVN (finance.yahoo.com)
  4. ^ announced (stories.rivian.com)
  5. ^ LCID (finance.yahoo.com)
  6. ^ announced (lucidmotors.com)
  7. ^ announced (news.gm.com)
  8. ^ Compare.com (www.compare.com)
  9. ^ 5 States with the Highest Registration Fees in the US (www.insidermonkey.com)
  10. ^ 15 States with the Highest Car Registration Fees in the US (www.insidermonkey.com)