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Average new-vehicle transaction price hits a whopping new peak in December

Elevated prices for products and higher borrowing rates led to record high transaction prices for new vehicles in December, with the average cost in the U.S. rising to a record $49,507, according to data from Kelley Blue Book released today. The report notes that ATPs — average transaction prices — have climbed above suggested retail prices — MSRPs — for more than a year. Sales volumes were up in December on a year-over-year basis by more than 5%, a situation Kelley attributed to improved supply. Overall sales for 2022, however, were off 8% year over year. “The transaction data from December clearly indicates overall prices showed no signs of coming down as we headed into year-end,” said Rebecca Rydzewski, research manager of economic and industry insights for Cox Automotive. “Luxury prices fell slightly in December, but non-luxury transaction prices were up. Truck sales were particularly strong last month, and with many trucks selling for more than $60,000, a new record was all but inevitable.” Industry analysts claim the most obvious headwinds in the new car market are generated by higher interest rates, forced by the Federal Reserve's rate hikes intended to tame inflation, and by generally limited inventory. A recent report from J.D. Power showed that the average monthly payment for a new vehicle loan in December was $718, up $47 from a year ago. But 16% of consumers in December took out loans with monthly payments of over $1,000. Consumers think vehicles, and electric vehicles especially, are way too expensive. Fortunately, manufacturersÂ’ incentives, all but extinct in the past two years, are returning, especially in the electric-vehicle and luxury market, the Kelley data suggest. Plus, "With the new tax credits on the way, electric vehicle ATPs will drop lower for qualifying vehicles,” Rydzewski said. Non-luxury brands, such as Honda and Kia, showed particularly strong performance in December, with the average price paid at $45,578 — a record high and an increase of $994 month over month. Meanwhile, the average luxury buyer paid $66,660 for a new vehicle last month. Mercedes-Benz and Land Rover showed the most price strength in the luxury market, transacting between 2.6% to 6.5% over sticker price. But luxury brands Audi, BMW, Infiniti, Lexus, Lincoln, and Volvo showed the least price strength with some discounting in effect, selling 1% or more below MSRP in December, according to the survey.

Audi is working on a suspension that gets power from bumpy roads

Regenerative brakes aren't new. They're on virtually every hybrid and EV, and they're even starting to pop up on traditional gas-powered cars, like with the i-ELOOP-equipped Mazda6. But even with these systems, cars can get more efficient, and Audi thinks it found yet another source of wasted energy. The source? The suspension. The idea is to turn the kinetic energy that goes into the dampers into usable energy instead of as waste heat. Audi isn't the first auto company to come up with regenerative suspension – nearly three years ago, ZF introduced its GenShock technology, which used a valve attached to traditional, oil-filled hydraulic shocks to recapture kinetic energy from movement caused by bumps in the road. Audi's prototype technology, which it calls eROT, replaces traditional dampers with horizontally oriented electromechanical rotary dampers. eROT is apparently short for electromechanical rotary damper. Neat. In testing, eROT recovered an average of 100 to 150 watts on a typical German road, three watts from a fresh piece of pavement, and 613 watts on a rough stretch of tarmac (wattage is calculated as power over time, so this is actually the rate at which the system harvests energy). The dampers channel that energy to a tiny, 0.5-kWh, 48-volt battery. The prototype is claimed to cut CO2 emissions by three grams per kilometer (4.8 grams per mile), while the company believes a future production version could save up to 0.7 liters of fuel per 100 kilometers of driving. Converting the savings to American miles per gallon isn't easy, so we'll use a practical example. In the US, the Q7's supercharged 3.0-liter V6 returns a combined rating of 21 miles per gallon, which works out to 11.2 liters per 100 kilometers. Apply eROT's 0.7L/100km savings, and the Q7's economy would improve to 10.5L/100km, or 22.4 mpg, a 1.4-mpg improvement. That's not huge, but because math, 0.7L/100km is more dramatic on a more fuel efficient vehicle – taking an A3's 27-mpg combined rating and adding eROT would drive efficiency up 2.4 mpg, for example. There are a few other big benefits beyond fuel and emissions savings – Audi claims eROT provides a more comfortable ride than traditional active suspensions, because engineers can tune the compression and rebound strokes independently of each other. Beyond that, the horizontally oriented rear suspension geometry means more cargo space, since the dampers don't poke up into the cabin like they normally do.

Audi's CES interior concept foretells a screen-filled A8

Audi is once again offering a glimpse into its future interior-design plans at CES. The new setup is called Virtual Dashboard and is both an extension and an evolution of Virtual Cockpit, which made its debut in Vegas two years ago before winding up in the TT. While this interior mockup is pulled from Audi's recent E-Tron Quattro concept, our man on the ground at CES was told this is "very close" to the interior we'll see in the next Audi A8, which is due in a year or so. Virtual Dashboard is screen-heavy in stark contrast to Virtual Cockpit's single, driver-focussed gauge display. It keeps that and adds a pair of screens to the mix, all of them using OLED (organic light-emitting diode) tech. The central screen measures 14.1 inches diagonally and is curved with a rhomboid border; its AMOLED (active matrix organic light-emitting diode) allows for the irregular shape and curvature. Below that sits a more normal, rectangular screen; both are very well integrated into their surroundings. And as in many current Audis, the shift lever acts as a comfy wrist rest. On the top screen, drivers and passengers get what Audi calls classic information – navigation, audio, settings. The lower screen provides big favorite buttons and also houses on-screen buttons for the climate control. When it's called for, the lower display turns into an input tablet for handwritten entries, an evolution of the small separate touchpad offered in current Audis. The displays use swiping and other gestures familiar to smartphone users, which allow them to interact with each other, for example when swiping to accept a call and move its info to the gauge display. The screens provide haptic feedback that goes beyond what automakers are offering today. Our man at CES says button presses only result from deliberate presses of the screen, meaning you can rest a finger over your selection and it won't activate until you press, just like a real button. Novel. The steering-wheel controls also provide haptic feedback and have been simplified compared to what's on Virtual Cockpit today. When it hits production in the A8 and other vehicles, all of this will be built on the next generation of Audi's infotainment platform, which it's creatively calling MIB2+. It offers more computing power than the current MIB2 system, allowing it to run more displays and offer more connected services over an LTE connection.