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Why is Chevy discontinuing the Impala?

The Chevrolet Impala was retired after the 2020 model year as part of General Motors’ shift away from traditional large sedans toward SUVs, crossovers, and trucks. The move reflected evolving consumer tastes and a push toward higher-margin, more popular vehicles.


In a broader context, the decision underscores how U.S. automakers have reprioritized product lines to align with demand and profitability. This article explains why GM chose to end the Impala, what that means for buyers and Chevy’s lineup, and how the company is steering its future toward trucks and electrified vehicles.


What drove the decision to end the Impala


The following factors converged to persuade Chevrolet to discontinue the Impala after the 2020 model year.



  • Declining demand for full-size sedans in the U.S., as more buyers migrated to SUVs and crossovers.

  • A strategic shift within GM toward vehicles with higher sales volume and better margins, such as trucks, crossovers, and later, electrified models.

  • Rising costs to maintain a low-volume, traditional sedan in a market segment that has become increasingly unprofitable.

  • Market and fleet dynamics, including shrinking fleet purchases of large sedans and competition from other brands in the segment.

  • Product planning and platform strategy within GM that favored consolidating models and focusing on segments with stronger growth potential.


The Impala’s discontinuation, announced by GM in 2019 and implemented for the 2020 model year, reflected these market and strategic realities. With a shrinking share of new-car sales and ongoing investments in electrification and utility-focused vehicles, GM chose to reallocate resources away from a sedan that no longer fit its profitability targets.


What this means for buyers and the Chevrolet lineup


The end of the Impala has concrete implications for consumers and the brand’s catalog.



  • No direct replacement for the Impala in Chevrolet’s lineup; the Malibu remains the primary traditional sedan in Chevy’s U.S. portfolio.

  • Prospective buyers seeking a full-size, three-row-capable sedan may need to consider used Impalas or look at alternatives from other brands, as new-full-size sedans have become uncommon—even outside Chevy.

  • Chevrolet’s emphasis is now on SUVs and crossovers (such as the Blazer, Equinox, Traverse) and, increasingly, electrified models, shaping a lineup oriented toward versatility and efficiency.

  • Fleet and rental customers who valued the Impala have had to adjust to other Chevrolet options or offload remaining inventory as demand shifts.


In sum, the Impala’s retirement aligns with Chevrolet’s and GM’s broader approach: prioritize high-demand, high-margin vehicles and pivot toward a future that emphasizes SUVs and electrified options over traditional large sedans.


Looking ahead: GM’s sedan strategy and the path forward


Chevrolet and GM have signaled a continued emphasis on utility and electrification as core pillars of their product strategy. While the Impala exits the market as a traditional full-size sedan, GM plans to expand its lineup of SUVs and electric vehicles, investing in new EV architectures, battery technology, and crossovers that appeal to a broader set of customers. The move also dovetails with a wider industry trend that favors versatility, efficiency, and technology-driven offerings over legacy sedan formats.


For shoppers, this means a shrinking landscape for large sedans from Chevrolet and most competitors, with the emphasis tilting toward practical, family-friendly SUVs and, in the near future, more electric options from Chevrolet and the GM family.


Summary


Chevrolet discontinued the Impala after the 2020 model year due to shrinking demand for full-size sedans, profitability concerns, and a strategic pivot toward SUVs, crossovers, and electrification. The move reflects a broader industry shift and signals a continued focus by GM on high-demand segments and future EV/utility offerings, while leaving buyers to explore alternative Chevrolets or used options in the traditional sedan space.

Kevin's Auto

Kevin Bennett

Company Owner

Kevin Bennet is the founder and owner of Kevin's Autos, a leading automotive service provider in Australia. With a deep commitment to customer satisfaction and years of industry expertise, Kevin uses his blog to answer the most common questions posed by his customers. From maintenance tips to troubleshooting advice, Kevin's articles are designed to empower drivers with the knowledge they need to keep their vehicles running smoothly and safely.