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GM recalls select Tahoes, Yukons, Escalades for rear driveshaft issue

GM is recalling a number of its full-size SUVs due to an issue with the rear driveshaft assembly that could ultimately result in driveshaft failure. The actual number of total vehicles involved in the recall is small at just 1,789, but it’s spread out across the entire 2021 model year full-size GM vehicle lineup. That means a small number of every model is being recalled, including the Chevrolet Tahoe, Suburban, GMC Yukon, Yukon XL and the Cadillac Escalade and Escalade ESV. GM traced the issue back to certain driveshaft assemblies with ball bearings that were not properly heat treated. If theyÂ’re not properly heat treated, GM says that the balls may deform over time, causing noise and vibration. Continue to drive in this condition, and GM says the affected joint in the driveshaft assembly could seize, causing loss of drive power. However, the problem wonÂ’t present itself all at once, as GM says there will be a gradual increase of noises and vibrations before total failure. For those few owners with affected vehicles, GM says that it will replace the left and right rear driveshaft assemblies with properly-built units. Per usual with recalls, this will be done at your local dealership at no cost to the owner. If you have one of the recalled SUVs, expect to be notified mid-March. Related video:

GMC talking to dealers about possible Jeep Wrangler competitors

With respect to the team at GMC, it's pretty much fair to say the manufacturer prospers on a lineup of nothing more than gussied up Chevrolets. The brand's successes aside, GMC can be boiled down thusly – the Sierra is a Silverado, the Terrain an Equinox, the Canyon a Colorado and the Acadia is a Traverse, albeit with sometimes dressier duds. Strictly speaking, it's not that simple – Acadia and Terrain have siblings beyond the Bowtie – but the brand is remarkable for its lack of distinctive models. That could change, though, as The Wall Street Journal is claiming General Motors has broached the idea of a building a GMC-badged competitor to the Jeep Wrangler during a meeting with dealers. WSJ claims the new off-roader would "borrow cues and capability" from the defunct Hummer brand. That, of course, could mean many, many different things. While the original Hummer, the H1, was an exceptionally capable vehicle off-road, the H2 and H3 weren't nearly as single minded. It's unclear if a Hummer-inspired, off-road-ready GMC would lean more towards the former than the latter. According to WSJ's report, the GMC Jeep appears to be in the very, very early planning stages, with one unnamed source saying the idea was "being kicked around real hard." GM is still courting dealers for feedback, while it refused the Journal's request for comment. What are your thoughts? Is a Wrangler competitor long overdue for GM? Do you think GMC is the best brand to introduce such a model? Have your say in Comments. Related Video: Featured Gallery 2013 Jeep Wrangler Unlimited Rubicon 4X4 View 12 Photos News Source: The Wall Street JournalImage Credit: Copyright 2015 AOL GM GMC SUV Off-Road Vehicles

U.S. new-vehicle sales in 2018 rise slightly to 17.27 million [UPDATE]

DETROIT — Sales of new vehicles in the U.S. rose slightly in 2018, defying predictions and highlighting a strong economy. Automakers reported an increase of 0.3 percent over a year ago to 17.27 million vehicles. The increase came despite rising interest rates, a volatile stock market, and rising car and truck prices that pushed some buyers out of the new-vehicle market. Industry analysts and automakers said strong economic fundamentals pushed up sales and should keep them near historic highs in 2019. "Economic conditions in the U.S. are favorable and should continue to be supportive of vehicle sales at or around their current run rate," Ford Chief Economist Emily Kolinski Morris said after the company and other automakers announced their sales numbers Thursday. That auto sales remain near the 2016 record of 17.55 million is a testimonial to the strength of the economy, said Mark Zandi, chief economist at Moody's Analytics. The job market, he said, has created new employment, and wage growth has accelerated. "That's fundamental to selling anything," he said. "If there are lots of jobs and people are getting bigger paychecks, they will buy more." The unemployment rate is 3.7 percent, a 49-year low. The economy is thought to have grown close to 3 percent last year, its best performance in more than a decade. Consumers, the main driver of the economy, are spending freely. The Federal Reserve raised its key interest rate four times in 2018 but is only expected to raise it twice this year. Auto sales also were helped by low gasoline prices and rising home values, Zandi said. It all means that people are likely to keep buying new vehicles this year even as they grow more expensive. The Edmunds.com auto-pricing site estimates that the average new vehicle price hit a record $35,957 in December, about 2 percent higher than the previous year. It will be harder for automakers to keep the sales pace above 17 million because they have been enticing buyers for several years now with low-interest financing and other incentives, Zandi said. He predicts more deals in the coming year as job growth slows and credit tightens for higher-risk buyers. Edmunds, which provides content, including automotive tips and reviews, for distribution by The Associated Press, predicts that sales will drop this year to 16.9 million.