Thanks to the increasing wealth of the world’s elite, supercars have remained in fashion. Ferrari profits surged upward in the first quarter of 2017 as the Italian automaker continued a scheme designed to gradually accelerate volume.

The brand’s net income over the first three months of 2017 climbed to 124 million euros ($135 million) from 78 million euros during same period last year. Meanwhile, overall revenue increased 22 percent to €821 million, helped largely by engine sales to Fiat Chrysler’s Maserati — the car you buy when you wanted a Ferrari, but fell just shy of being able to afford one. Read More >

After improving in 11 consecutive months, U.S. sales of pickup trucks declined 4 percent in April 2017.

8 of the 11 truck nameplates on offer in America sold less often in April 2017 than in April 2016, causing declines in both the dominant full-size pickup truck sector and in the until-this-year burgeoning midsize category.

One month does not a trend make, but April’s downturn didn’t represent the first batch of evidence suggesting a forthcoming pickup truck sales slowdown.

Granted, not all trucks are heading in the same direction.

Nissan Titan sales quadrupled in April 2017. Read More >

April was the fourth consecutive month to see U.S. auto sales underperform compared to 2016, leading many to speculate that the long-awaited slump has finally arrived. New car sales aren’t the only thing slipping, as used vehicle values — diminished by a flood of off-lease stock and new car incentives — is on the same downward trajectory.

At the same time, the country’s biggest auto lenders have taken a look around and do not like what they see. No bank wants to be stuck with a low-value repossessed car, so purse strings are tightening across the United States. Securing that next loan just became harder.

Of course, this is the last thing any automaker wants to hear. Read More >

Why did America’s passenger car market tumble 11 percent in April 2017?

Midsize cars deserve much of the blame.

Why is America’s passenger car market down 12 percent through the first four months of 2017?

Midsize cars deserve most of the blame. Read More >

U.S. auto sales declined nearly 5 percent in April 2017, the fourth consecutive month where U.S. auto sales failed to live up to 2016’s prodigious pace.

Auto sales are now down by more than 2 percent through the first one-third of 2017, a year-over-year decline of roughly 130,000 sales caused in no small part by a bevy of Fiat Chrysler Automobiles’ brands. Chrysler’s 27-percent year-over-year downturn is the worst decline of any brand. Fiat and Jeep — yes, Jeep — have each posted double-digit percentage losses. Dodge is down, too.

But it’s not just FCA. Through the end of April, 18 different auto brands have lost ground, from Lexus and Acura through to Cadillac and BMW, with Buick, Chevrolet, Hyundai, Kia, and Toyota in their midst.  Read More >

In a manner of speaking, that is. A recent report cast doubt on the future of Lexus’ rear-drive performance sedan, the GS, claiming that development of a next-generation model was off the table. That would make next year the GS’ last.

While Lexus wouldn’t confirm the report, a spokesperson’s choice of words was enough to add to the rumor. In a marketplace that’s big on SUVs and downright miserable to cars, it would make sense for Lexus to get ahead of the “too many cars” problem faced by the likes of Hyundai and pare down its lineup.

Now, another report says Lexus will call on a different model to fill the gap. Read More >

We’re not talking about the K900 flagship sedan, as Kia’s luxo barge actually gets people talking — mainly due to its slow sales and LeBron James connection. No, the model lying in the casket this morning bowed out of people’s minds long before it vanished from Kia’s product cycle.

The Forte Koup.

Kia has confirmed there’ll be no future for the two-door variant of its popular Forte, though the writing was on the wall for some time. On the company’s website, too. Read More >

What a difference a few (hundred thousand) recalls make. In a sales market best described as stagnant, a widespread vehicle glitch can dog an automaker’s balance sheet. That seems to be the case at Ford Motor Company, which saw its first-quarter profit fall 35 percent on a combination of factors — not the least of which was a pair of recalls of engine fires and faulty door latches.

Elsewhere in the domestic market, General Motors rode to the financial finish line with a record post-bankruptcy net income while Fiat Chrysler Automobiles climbed further into the black. Read More >

The frustration never seems to end for Hyundai executives. After last year’s Korean labor strife and political scandal, the brand now faces flagging fortunes in the all-important North American market, all thanks to a car-heavy lineup that once guaranteed piles of profit.

Now, the automaker faces the same problem in another global growth engine — China. While that market has also discovered its love for crossovers and SUVs, there’s another problem that Hyundai can’t turn around by rushing a new vehicle to production. Hyundai, it seems, can’t do a damn thing about high-altitude defensive missiles. Read More >

“Levels that were once seen as excessive are now sustainable.”
—Uwe Ellinghaus, Chief Marketing Officer, Cadillac

Cadillac expects to see auto sales in the United States in calendar year 2017 fall just below 2016’s best-ever results, which GM’s premium brand considers a positive sign for the U.S. auto industry and Cadillac.

While the decline reported America’s auto industry in March 2017 drew headlines because 2017’s first-quarter encompassed three consecutive months of year-over-year decline, Cadillac’s chief marketing officer, Uwe Ellinghaus, views the results through another lens.

“What they call a cooling off I say is the best thing that has ever happened,” Ellinghaus told Automotive News. “We don’t see that the party is over. It’s continuing.”

Cadillac? Party? Huh? Read More >

It’s really a matter of when, instead of a question of “will it?”

This week’s Shanghai auto show saw the premiere of an electrified Honda CR-V that should hit Chinese dealers in the second half of this year. When that vehicle will get a chance to battle rivals on American turf remains a secret, but it’s abundantly clear that the model has a future on this continent. Read More >

Pretty? No.

Popular? Most definitely. In fact, the Lexus NX is twice as popular as Lexus anticipated.

The Lexus NX, a crossover you must never confuse with the Nissan NX, is marketed in the United States both in NX200t and NX300h variants. At the New York International Auto Show three years ago, Lexus revealed the brand hoped to sell around 26,000 NXs per year; roughly 2,200 per month. At that point, in the lead-up to the NX’s 2014 Q4 launch, there were two schools of thought. One, the NX was so ghastly to behold Lexus surely wouldn’t sell 2,200 per month. Or, because Lexus is such a luxury crossover powerhouse, even the NX — with a face even a mother couldn’t love — will be more popular than Lexus anticipated.

Dealers believed Lexus’ forecast was on the low side.

But could anyone have expected the Lexus NX would be more than twice as popular as originally forecasted; that the Lexus NX would be America’s fifth-best-selling luxury utility vehicle; that the NX would account for one-in-five Lexus sales in America? Read More >

Say you’re a dealer with a backlog of slow-selling models. What’s the last thing you would want?

The correct answer would be a springtime deluge of more of the same, whether you asked for it or not. That’s what some angry retailers across the Atlantic are facing after Fiat Chrysler Automobiles dumped 6,000 anemic sellers into Italian dealer management systems at the end of February. Read More >

The Ford Taurus’s North American demise is not unanticipated. Full-size car sales are flagging. The Taurus nameplate’s positive brand recognition is based on the success it enjoyed in another era. And Ford already revealed a new China-specific Taurus, based on the same CD4 platform as the Fusion and Lincoln Continental, with no announcement regarding the import of that vehicle to North America.

It also seems Ford, riding high on a wave of crossover and SUV sales on this side of the Pacific, won’t be bringing that Taurus to America anytime soon. Read More >

Earlier this year, Volkswagen received the necessary approvals to begin fixing vehicles equipped with 2.0-liter diesel engines that had been modified to circumvent emissions testing. While older VW and Audi models with TDI powerplants continued amassing on vacant lots via its mandatory buyback program, 2015 MY units have begun undergoing engine control module alterations.

Those vehicles are now back on sale and Volkswagen is offering them with a considerable discount attached, though the manufacturer hasn’t made a peep about the deal. Instead, the automaker is leaving it to dealers to break the news — or not. Read More >