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Mixed sales results, but automaker stocks rise on need for cars in Houston

DETROIT — The Big Three Detroit automakers on Friday reported better-than-expected August sales and issued optimistic outlooks for demand as residents of the Houston area replace flood-damaged cars and trucks after Hurricane Harvey, sending their stocks higher. General Motors, Ford and Fiat Chrysler posted mixed August U.S. sales, with GM up 7.5 percent and Ford and Fiat Chrysler down. Japanese automaker Toyota improved sales by nearly 7 percent, while Honda fell 2.4 percent. Still, analysts focused on the potential for Detroit automakers to cut inventories and stabilize used vehicle prices as residents of Houston, the fourth largest city in the United States, are forced to replace tens of thousands, perhaps hundreds of thousands, of vehicles after the devastation from Hurricane Harvey. Mark LaNeve, Ford's U.S. sales chief, told analysts on Friday that following Hurricane Katrina in 2005 "we saw a very dramatic snapback" in demand. That said, Ford sales fell 2.1 percent in August. It sold 209,897 vehicles in the United States, compared with 214,482 a year earlier. Sales were down 1.9 percent in the Ford division and off 5.8 percent at Lincoln. Demand was down for cars, crossovers and SUVs. It was not clear how many vehicles in the Houston area will be scrapped, LaNeve said, saying he had seen estimates ranging from 200,000 to 400,000 to 1 million. Ford's Houston dealers may have lost fewer than 5,000 vehicles in inventory, he said. Ford is the No. 1 automaker in the Houston market, with 18 percent share, according to IHS Markit. The company plans to ship used vehicles to Houston dealers and has "every indication we would have to add some production" of new vehicles to meet demand, LaNeve said. Investor concerns about inventories of unsold vehicles and falling used car prices have weighed on Detroit automakers' shares most of this year. Now, automakers can anticipate a jolt of demand from a big market that is a stronghold for Detroit brand trucks and SUVs. "It's got to be a positive for the industry," LaNeve said. Investors appeared to agree. GM shares rose as much as 3.3 percent to their highest since early March. Ford increased 2.8 percent at $11.34, and Fiat Chrysler's U.S.-traded shares were up 5.2 percent $15.91, hitting their highest in more than five years. GM reported a 7.5 percent increase in U.S. auto sales in August, helped by robust sales of crossovers across its four brands.

Audi SQ5 comes to America with 354-hp gasoline engine

When we first saw the Audi SQ5 TDI unveiled back in June, we could feel that pit in our stomach. Here sat a powerful, sporty, mean-looking crossover, and we just knew that Audi wasn't going to be bringing it to the US. And we were right. While we won't be getting the diesel version of this crossover with its 479 pound-feet of torque, we will instead be getting a gas-powered, supercharged V6 - the same powertrain as the S5 - and that's a mighty fine consolation prize if you ask us. The US version of the 2014 Audi SQ5 will debut next week at the Detroit Auto Show, and it will go on sale this fall.
Ditching the diesel engine, the US-bound SQ5 loses some torque but gains plenty of horsepower with Audi quoting power ratings of 354 horsepower and 346 lb-ft from the supercharged 3.0-liter V6. Power is fed through an eight-speed automatic to all four wheels giving the small CUV impressive performance numbers. The 0-60 mile per hour time is expected to be in the low five second range to go with an electronically limited top speed of 155 miles per hour. The suspension has been upgraded as well to improve handling, but it also gives the SQ5 a sportier appearance with a ride height that has been lowered by more than an inch compared to a standard Q5.
Speaking of styling, the 2014 SQ5 gets all of the expected "S" model upgrades, especially when it comes to the new front fascia and grille, the standard 20-inch, triple-spoke wheels and the quadruple exhaust tips. Only two colors will be available on the SQ5: Panther Black and Estoril Blue. Inside, the SQ5 will get a sportier cabin with bright, "aluminum-look" pedals and shift paddles, and the materials will also get an upgrade to include Nappa leather and Alcantara as well as accent options that include carbon fiber, piano black, aluminum or wood finish.

Audi Adaptive Cruise Control | 2017 Autoblog Technology of the Year Finalist

Not your father's cruise control, Audi's adaptive system is another step on the road to autonomous driving. That earns it a spot as one of our Technology of the Year finalists. Audi Adaptive Cruise Control can slow down or speed up your vehicle depending on the conditions. It's also capable of coming to a full stop and then resuming speed. This allows the vehicle to move with traffic without engagement from the driver using Traffic Jam Assist at speeds up to 40 miles per hour. It's not being marketed as an auto-pilot setup. Rather, this system can increase driver safety by automatically braking as the vehicle in front slows and then accelerating once the path becomes clear. The cruise control has five programmable settings to regulate distance between vehicles. Linked with the navigation system, Audi's ACC suite uses a camera and radar to respond to its environment, a key development for future systems that will need to communicate with the grid. The system can read street signs, allowing it to slow down or speed up. Additionally, when a destination is set, the vehicle will automatically brake when a turn is looming to alert the driver he or she needs to take action. It will brake through the turn and then speed up upon completing the maneuver. We especially liked this, as many navigation systems don't inform the driver when to turn or take an exit until the last possible moment. Further, when navigating curves, the Audi system will brake the vehicle and resume speed as conditions require. This Adaptive Cruise Control is a layer of artificial intelligence we can get on board with. It's like having a co-pilot to assist the driver when the inevitable fatigue or distractions appear. It engages like a normal cruise control system. Simply pull the stalk in the steering wheel mount, and there's a button to modulate the distance. We tested Audi's Adaptive Cruise Control on an A4, where it is an $1,800-option as part of the Driver Assistance Package. Working in combination with Audi's Virtual Cockpit and head-up display, ACC provides the driver a sense of awareness and greater level of information than other systems on the road. Companies like Volvo and Porsche offer similar setups, but we like the intuitiveness of the Audi program. Automakers have been saying for years that the autonomous technology is essentially here, they just need the infrastructure and regulations to catch up.