In a market that shrunk 3.7 percent in July, Ford managed to escape the steep volume loss seen by some of its rivals. Still, the Ford brand saw a year-over-year U.S. sales drop of 2.7 percent last month, with its Lincoln division falling 11 percent. Over the first seven months of 2018, both brands posted a loss — 1.6 percent for Ford, 10.8 percent for Lincoln.

For the Blue Oval, at least, that’s in line with forecasters’ estimates of a slow industry decline in 2018. Lincoln’s another matter.

A peek at Ford’s sales figures shows why Dearborn hasn’t much love for cars. Minus the Fiesta, which you won’t have to worry about much longer, every other Ford passenger car model declined in both July and 2018 (with the niche exception of the GT). Try as they might, Ford’s truck sales couldn’t replace the lost passenger car volume, but they certainly dumped more cash in Ford coffers — on average — for each model sold.

It’s become a safe bet that no matter how Ford Motor Company fares at sales time, the F-Series will do just fine. (Read More…)

In a month Mike Jackson, chief executive of AutoNation Inc, described as a “clunker,” numerous automakers took a hit. New vehicle sales in the U.S. fell by 3.7 percent compared to the same month last year, and lucky was the automaker that escaped the buying public’s cold shoulder.

Among the Detroit Three, Fiat Chrysler had the distinction of heading in the right direction as rivals GM and Ford fell. It wasn’t even a close race. FCA posted a year-over-year sales gain of 6 percent, with year-to-date volume up 5 percent. Naturally, Jeep led the way.

But not everything’s rosy on the North American continent. North of the 49th parallel, fate detained FCA’s good fortune at the border, leaving the automaker with a very steep sales loss. Only two brands posted a sales gain in July, and one of them seems to only have one model in the running.  (Read More…)

Toyota’s not going silently into a potential future where tariffs are as prevalent as man buns and tattoos in a brewpub. In its submission to the U.S. Commerce Department, Toyota wants the government to know it’s a standout business, and that a tariff on imported automobiles and auto parts would backfire.

Even for vehicles built in the U.S., American buyers would face a steep price hike, Toyota claims. Care to fork over an additional $1,800 for a Kentucky-built Camry? Meanwhile, a Canadian supplier association representative warns of “carmageddon” if the tariffs come to pass. (Read More…)

If you forgot today was the deadline for finalizing North American Free Trade negotiations, don’t worry, so did practically everyone else. In fact, the whole affair is starting to feel like that old car that’s been sitting in your friend’s yard for far too long. He keeps telling you he’s going to fix it up and make it better than new. “This is the summer,” he says. But you know he’s just going to keep mowing around it while it continues to rust and collect mice, so you’ve tried to push it out of your mind.

Like the restoration, the entire concept of a deadline for the trade deal is rather arbitrary at this point. NAFTA’s initial target date for an agreement between the three countries was March 31st, roughly one year after negotiations began. The May 17th deadline was claimed by U.S. Speaker of the House Paul Ryan, who said Congress had to be notified under the Trade Promotion Authority statute.

“We need to receive the notice of intent to sign soon in order to pass it this year,” explained Ryan’s office. “This is not a statutory deadline, but a timeline and calendar deadline.”

Basically, Congress wants to influence the president and NAFTA negotiators to conclude talks swiftly and reach an agreement before midterm elections. But Mexican officials warned everyone not to get their hopes up. “The possibility of having the entire negotiation done by Thursday isn’t easy, we don’t think it will happen by Thursday,” said Mexican Economy Minister Ildefonso Guajardo earlier this week.  (Read More…)

While French automaker PSA Group’s newly created North American headquarters resides in the warm, sunny South (Atlanta, to be exact), PSA North America CEO Larry Dominique’s mind often turns to that frosty land to the north.

That’s where PSA, maker of Citroën, Peugeot, and DS vehicles, feels it can gain a firm foothold once it begins shipping its vehicles to North America. A decade-long re-entry plan is already underway, but French car aficionados must first make do with the company’s mobility services. Real, actual cars will follow, and Dominique sees Eastern Canada as key part of the company’s plan. (Read More…)

For a country that looks at its southern neighbor’s gasoline prices with lust and envy, you’d think small cars would make up a greater share of the vehicle mix. Well, they don’t. Canadians like their crossovers, pickups, and SUVs even more than Americans, and Ford’s future product lineup shows it.

It seems like just yesterday you could walk into a Ford dealer and check out a stingy and unsafe Aspire, before the hungry salesman upsold you on an Escort (or perhaps its sporty ZX2 sibling). Then there was the Contour, Taurus, and Crown Victoria to consider.

Those days are gone, and under Ford’s new truck-centric product plan, which ditches the Fiesta, Focus, Fusion, and Taurus, Canada won’t even get the crossover-ized Focus Active hatch. It’s a Mustang or nothing for small car lovers.

Apparently, we’ve made our bed and now need to lie in it. (Read More…)

The United States is softening the contentious automotive content requirement mandates pushed by the Trump administration as part of NAFTA renegotiation talks. While the demand is only one of many asks coming from the U.S., both Canada and Mexico said forcing 85 percent of a vehicle’s overall content to be sourced from the three countries (in order to side-step tariffs) was a nonstarter. Over the past year, the issue became a major sticking point in the trade talks — hindering progress and possibly dooming them to failure.

While Trump’s intent was to bolster domestic employment by incentivizing North American parts suppliers, automakers expressed concerns and noted it was often difficult to reach the current threshold of 62.5 percent.

The United States has now proposed applying the new content requirement only to major components (like a vehicle’s powertrain) while leaving fasteners (nuts, bolts, etc.) alone. As an automobile is made up of tens of thousands of individual parts, deciding what should and should not be counted will make a big difference. Still, some manufacturers are likely to have difficulty meeting the proposed content requirement on critical engine components.  (Read More…)

It has six cylinders, it’s front-wheel drive, and it carries cloth seats and an automatic transmission.

No, we’re not talking about your grandmother’s 1995 Buick LeSabre — today we’re discussing the stylish and French five-door liftback known as the Citroën XM.

(Read More…)

Ontario, that strange land located between Detroit and Buffalo (and elsewhere, too) became the largest Canadian market for electric vehicles in 2017. There was good reason for it, too. Imagine walking into a dealer showroom, eyeballing a flashy luxury car, and suddenly your local political representative rushes in and hands you a check for $14,000, no strings attached.

Thanks, fellow taxpayers!

This subsidy is what buyers of Tesla Model S and X vehicles, retailing for over six figures (Canadian MSRP), enjoyed in Ontario until very recently. It’s important to note, though maybe not to certain folks, that the province holds the world’s largest sub-sovereign debt, most recently tagged at $311 billion, and pays over a billion dollars a month to service the interest on that debt.

Sorry, Ontario Tesla buyers. The party’s over. Again. (Read More…)

After hitting it big with the Fab Four, George Harrison wrote the scathing song Taxman in protest of the British government’s “Super Tax” on high-income earners. At the time, the boys faced a 95 percent tax on their earnings (“There’s one for you, nineteen for me”), and Harrison reportedly did everything he could to offshore his wealth.

Britain’s dismal weather wasn’t the only reason rock musicians fled the country during this period.

In beautiful British Columbia, a mountain- and wine-filled area north of Seattle, the provincial government’s recent budget has some auto dealers steaming mad and worried their customers will hit the road in search of deal. The province’s New Democratic Party government, elected last year, plans to levy a 25 percent tax on the purchase of very high-end vehicles, with lesser models facing a 20-percent markup. However, many dealers wonder where the law of diminishing returns comes into play. (Read More…)

There’s more to living in Canada than just higher taxes, polar bear incursions, and brutally cold weather. For some reason, denizens of the Great White North are allowed to enjoy more choice at the bottom of the Mercedes-Benz model range.

For example, Americans can be forgiven if they weren’t aware of the B-Class Electric Drive, a low-volume EV hatchback that bit the dust late last year. MB sold just 744 of them in the U.S. in 2017. Meanwhile, Canadians can still walk into their local dealer and sign on for a 2018 B250, the conventional variant powered by the CLA-Class’ turbocharged 2.0-liter four-cylinder.

The EV model never made its way north of the border, while the conventional model never made its way south of the 49th Parallel.

On Friday, the automaker pulled the wraps almost all of the way off its new A-Class — a more refined front-drive entry-level model making its first foray into the North American market. Designed to lure buyers who wouldn’t otherwise have considered the brand, the A-Class will spawn a five-door and sedan variant in Europe, while American buyers can expect only the four-door. And Canada? Well, the country that really hates choice in wireless carriers and dairy products somehow gets the five-door, too. (Read More…)

Today’s Rare Ride is a small-medium sized five-door hatchback, and you’d be forgiven if you had no idea what it was upon first glance. It was only available to the fine people of Canada, and only for a short time.

It’s the Hyundai Pony, and it’s a beauty.

(Read More…)

Maybe it’s the Hoth-like climate and the urge to do anything in one’s power to warm it up, but Canada has so far taken a laid-back approach to the fires plaguing older Smart Fortwo models. A big part of the problem is that no one’s telling the country’s transportation regulator about them.

The models bursting into flames in the Great White North are of the same vintage as those which sparked an investigation by the United States’ National Highway Traffic Safety Administration. However, Transport Canada has yet to open a defect investigation of its own. (Read More…)

With everyone weighing in on the ultimate fate of the North American Free Trade Agreement, it almost seems as if we’re cataloging their bets to see just how right or wrong they’ll be in the negotiatory aftermath. Considering there has been such a limited amount of progress on the trade talks, there honestly isn’t much else to do.

Suggesting that NAFTA is “is going to blow up in 2018,” Jerry Dias, president of the Canadian union Unifor, has planted his flag on the side of a total breakdown of the agreement. Unifor represents 23,500 Detroit Three auto workers living north of the border, plus some 16,000 working in the supply chain.

As a union leader, Dias is prone to hyperbolic statements. However, his insight into the situation runs a little deeper than most. (Read More…)

General Motors is spending billions to upgrade certain factories, prepping them to build the next-generation Silverado and Sierra. As part of a four-year contract agreed to in September 2016, $310 million was invested in Oshawa’s so-called consolidated line so that it could handle truck production.

Now, Automotive News is reporting that while the Canadian plant may indeed be building trucks, it won’t be the snazzy new ones set to hit dealer lots for the 2019 model year. Instead, Oshawa will simply paint and perform final assembly of the outgoing 2018 trucks.

(Read More…)