“We created that segment,” BMW CEO says of the sector in which the BMW X3 arrived before Acura, Audi, Infiniti, Lexus, Lincoln, Mercedes-Benz, Porsche, and Volvo.

“The No.1 approach and target I clearly have is, there shouldn’t be anyone besides us who is No.1,” Krueger told Automotive News Europe.

In the U.S., where Krueger’s goals (expectations? demands?) for the South Carolina-built BMW X3 are lofty, the X3 ranked a distant fifth in the category in 2016.

But Krueger ain’t kiddin’ around. (Read More…)

ALG says new vehicle prices averaged $32,900 in June 2017, up 2 percent from last year and a record high for the month of June.

Yet month after month, for six consecutive months to begin 2017, automakers are witnessing fewer and fewer buyers walking into dealers after sales shot to record levels in calendar year 2016.

Incentives, at $3,550 per car, are an effective lure. But that doesn’t change the fact that buyers are paying, on average, $33,000 and borrowing, according to Edmunds, $31,000 in order to finance a purchase.

How do car buyers afford the highest prices on record? By stretching the payment period to the longest terms ever: 69.3 months in June, Edmunds says. (Read More…)

Maybe, we told you in early May, you’ll soon be able to get a deal on a Subaru Outback.

As new vehicle demand gradually shrinks in America, every automaker wants to grow their market share in order to maintain steady sales output. “Sure, there are fewer buyers,” the automaker says, “but we’ll grab more of them.”

Decreased demand has a tendency to increase competitiveness. Not surprisingly, Subaru anticipated the need to more dramatically increase incentives on the  least-incentivized cars in America as 2017 progressed. Even an in-demand automaker such as Subaru is going to struggle when rival automakers are routinely dropping prices by more than 10 percent.

Thus, according to ALG, Subaru’s average discount per vehicle shot up 63 percent, year-over-year, in June 2017. (Read More…)

In a release yesterday detailing the company’s 2018 lineup, Hyundai confirmed that U.S. market availability of the Hyundai Azera will be discontinued.

But have no fear, dear lover of affordable large sedans. The 2017 Hyundai Azera is not yet thin on the ground.

Roughly 1,000 Azeras are currently sitting on dealer lots across the United States, enough — at the Azera’s recent sales pace — to last until mid-fall.

The Azera doesn’t deserve to meet such a tragic end, but its demise is one we knew about long before Hyundai’s official announcement on July 5, 2017. U.S. sales plunged 82 percent over the last decade. (Read More…)

Nissan reported 34,349 U.S. sales of the Rogue in June 2017, a 17-percent year-over-year increase that drove the Rogue to its third monthly victory in America’s SUV/crossover sales race this year.

But June was the first time since March in which the Rogue — sales of which have now increased in eight consecutive months — topped the utility vehicle segment.

What propelled the Nissan back into the top spot after a two-month hiatus?

Another Rogue. Mysteriously missing from Nissan’s June sales report, despite six weeks of sales activity, was the Nissan Rogue Sport, known in other markets as the Nissan Qashqai.

Disappointingly, for the purposes of U.S. sales reports, Nissan is combining sales of the Rogue and new Rogue Sport. Thus, we’re left to wonder whether the Rogue, on its own, was America’s best-selling SUV/crossover in June or if the Rogue requires an asterisk alongside its position in the victor’s column. (Read More…)

March 2017 marked just the third occasion in three years in which Fiat Chrysler Automobiles’ Ram P/U line outsold the Chevrolet Silverado in the United States.

One month later, in April, Ram did it again.

Then in May 2017, Ram made it a threepeat, outselling the traditional No. 2 pickup truck in America by more than 1,000 units. By the end of May, the Silverado was only 5,055 sales ahead of the Ram on year-to-date terms, a narrow gap which served to highlight the possibility that the Ram could outsell the Silverado for the first time ever in calendar year 2017.

But June 2017 marked an end to Ram’s party, at least for the time being. General Motors reported 50,515 Chevrolet Silverado sales in June, a 2-percent year-over-year uptick and 7,442 more sales than FCA’s Ram truck lineup managed.

How did GM manage to end the trend? By earning less money per truck, naturally. (Read More…)

Midsize car sales volume decreased by nearly 200,000 units in the United States during the first-half of 2017.

Year-over-year, that 18-percent decline was caused by virtually every member of America’s midsize sedan fleet. Escaping unscathed, on its own, was the Volkswagen Passat, though Passat sales are significantly lower than they were in 2012, 2013, 2014, and 2015.

Aside from the Passat, midsize cars are selling much less often this year than last at every competing automaker; from the top-selling Toyota Camry to the slow-selling Mazda 6, from the all-wheel-drive-optional Ford Fusion to the all-wheel-drive-standard Subaru Legacy; from the new-last-year Chevrolet Malibu to the never-again-new Chrysler 200.

Most automakers, however, are blessed to possess similarly priced compact crossovers that are making up all, much, or some of the slack. (Read More…)

Auto sales slid 3 percent in the United States in June 2017, marking the end to a first-half of 2017 in which U.S. auto sales declined in six consecutive months.

Despite Acura-fuelled improvements at American Honda, RAV4-powered increases at Toyota, Volkswagen’s continued bounce-back from the brink, a 6-percent jump in full-size pickup truck sales, and modest gains at a number of America’s top-selling premium brands, June volume fell by roughly 45,000 units, year-over-year.

June wasn’t a horrible month for auto sales in America, just as the first-half of 2017 was not a dreadful stretch. The comparison with 2016, a record year for auto sales in America, causes 2017 to appear worse than it really is. (Read More…)

Automakers likely sold fewer than 1.5 million new vehicles in the United States in June 2017, a modest decrease of around 2 percent compared with June 2016.

While auto sales remain high by historic standards — 1.48 million sales would still make June 2017 more than 15-percent better than the 1.33 million June average from 2011-2015 — June nevertheless represents the persistence of a negative trend.

After 2016 ended with a December boom to close out the highest-volume year on record, auto sales in the United States declined on a year-over-year basis in each of 2017’s first five months. A 2-percent drop in June, worth roughly 30,000 lost sales, will run the streak of decreases to a full half-year.

The American auto industry’s decline comes as automakers continue to incentivize heavily and, fortunately for manufacturers, consumers grow ever more willing to pay higher prices. (Read More…)

General Motors no longer expects the U.S. auto industry to collect more than 17.5 million new vehicle sales in 2017.

GM’s chief financial officer, Chuck Stevens, revisited the automaker’s U.S. sales forecast and turned the wick down from the mid-17-million-unit range, according to Automotive News, to the low-17-million-unit range.

That’s not a low number. In fact, 2017’s reduction of some 300,000 sales across the industry, year-over-year, would produce the second-best year for auto sales since 2001.

But reduced demand is complicating matters for the entire industry, most particularly for large automakers with excessive inventory. (Read More…)

In September 2017, General Motors will be forced to lay off a large number of workers at its Kansas City, Kansas assembly plant where the Chevrolet Malibu is built.

Only two days ago we learned General Motors would stretch the Fairfax assembly plant’s summer shutdown by an additional three weeks — from two to five in 2017 — because of excessive Malibu inventory. But as GM seeks to maintain a more reasonable grip on incentives than in the past, the only remaining way of reducing an inventory glut is to stop building so many cars.

Unfortunately for some of GM’s Kansas employees, the announcement of a temporary shutdown — the third this year according to the Kansas City Business Journal — will be an insufficient means of reducing stock. The Kansas City Star reports the number of shifts at the plant will be reduced to two in late September.

After Chevrolet’s U.S. midsize sales rapidly elevated to a 36-year high in calendar year 2016 during the ninth-generation Malibu’s launch, volume has declined hard and fast in early 2017. (Read More…)

Got your heart set on a 2018 Volkswagen Atlas, one with upsized wheels, stickier tires, bigger brakes, some red piping around the grille, and tartan seats?

I feel you. But Volkswagen’s illustrious GTI range is not about to co-sign any legislation on the other side of the aisle. Atlas? Tiguan? Tiguan Limited? Touareg? T-Roc? Amarok? Westfalia? Eurovan?

No.

“I think with the three [GTI models] we have now, we are set,” Volkswagen board chairman Herbert Diess told Autocar.

Unfortunately for the United States hot hatch market, however, only one-third of Volkswagen’s GTI lineup actually makes it to America.

Maybe a Tiguan GTI wouldn’t be so bad? (Read More…)

All across America, Hummer H2s are rolling over in their graves.

What even is a Toyota C-HR? Is the Hyundai Kona an indirect Kia Borrego replacement? The Jeep Renegade shares its platform with… an Italian cute-ute?

But have no fear, dead Hummer. The body-on-frame SUV is here to stay. The surge in crossovers — both the number sold and the number of nameplates available — has not caused the American consumer to leave traditional SUVs behind entirely.

U.S. sales of traditional body-on-frame SUVs are up 7 percent through the first five months of 2017, right on par with the growth rate achieved by the SUV/crossover sector as a whole. (Read More…)

General Motors evidently hopes you like the Chevrolet Colorado and GMC Canyon the way they are.

The midsize truck twins, which arrived in second-generation form nearly three years ago, won’t be replaced for another five years.  (Read More…)

The 2018 Honda Odyssey went on sale three weeks ago. The Chrysler Pacifica has only been on the market for a year. The Toyota Sienna will enjoy another refresh for the 2018 model year.

If ever there was a time in which America’s minivan segment needs to shine, the second-half of 2017 is it.

Minivan sales tumbled 14 percent, year-over-year, through the first five months of 2017. Only 3 percent of the auto industry’s volume is now minivan-derived. Year-over-year volume decreased in nine consecutive months between August 2016 and April 2017.

There are far fewer competitors now than there were a decade ago. Therefore, the minivan market doesn’t need to produce the sort of volume it did a decade ago. However, minivan sales can’t continue to plummet, month after month after month.

Minivan sales need to rise. If they can’t do so now, then when? And if the segment can’t do it with fresh product from Chrysler, Honda, and Toyota, then who can supply the growth? (Read More…)