EXHIBIT 23

                         CONSENT OF INDEPENDENT AUDITORS

The Board of Directors
Lithia Motors, Inc. and Subsidiaries:

We consent to incorporation by reference in the Registration Statements (Nos.
333-45553, 333-43593, 333-69169, 333-69225, 333-80459, 333-39092, 333-61802,
333-21673 and 333-106686) on Forms S-8 of Lithia Motors, Inc. of our report
dated February 6, 2004 relating to the consolidated balance sheets of Lithia
Motors, Inc. and Subsidiaries as of December 31, 2003 and 2002, and the related
consolidated statements of operations, changes in stockholders' equity and
comprehensive income and cash flows for each of the years in the three-year
period ended December 31, 2003, which report appears in the December 31, 2003
Annual Report on Form 10-K of Lithia Motors, Inc.

Our report refers to adoption, effective July 1, 2001, of SFAS No. 141, Business
Combinations, and certain provisions of SFAS No. 142, Goodwill and Other
Intangible Assets, and adoption, effective January 1, 2002, of the remaining
provisions of SFAS No. 142.

/s/ KPMG LLP
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Portland, Oregon
March 12, 2004