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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.

2016 GMC Sierra All Terrain X is cool but no Raptor threat

If you want a brutish off-roader from Ford or Fiat Chrysler Automobiles, you're spoiled for choice. There's the F-150 SVT Raptor, the Jeep Wrangler, and the Ram Rebel and Power Wagon. But since General Motors killed the Hummer brand, it's been without any real competitor to those trucks. The new, special edition GMC Sierra All Terrain X is not going to be that vehicle, but it's close enough to be worth a look. The oft-overlooked Sierra All Terrain's off-road suspension and Eaton locking rear differential give it some real trail credentials. The All Terrain X builds on both with cosmetic and performance upgrades. For most owners, the big draw will be the brawnier 5.3-liter V8. Fitted with a performance exhaust, it should deliver a meatier tone, and according to GMC it bumps output up from 355 to 365 horsepower. The other big performance upgrade comes from the tires, knobby Goodyear Wrangler DuraTrac MT mud-terrain-rated things. The tires and their accompanying 18-inch black aluminum wheels are nice touches. Cool as the All Terrain X might be, it strikes us as an odd strategy for the GMC brand. For one, the trail-ready tires and performance exhaust of the All Terrain X don't seem to fit into the more premium market position that GMC occupies. Moreover, Chevy already has an off-road-oriented pickup in the new Colorado Z71 Trail Boss. Visual upgrades like the black bed-mounted sport bar, LED off-road lights, blacked-out accents, and the 18-inch wheels, the look of the All Terrain X is more in line with the Colorado Trail Boss theme. It's just our two cents, but it seems like attaching the All Terrain X's aesthetic to the Silverado would have been a stronger strategy, and would give Colorado buyers a larger off-road-focused truck to aspire to. You can look for the special edition All Terrain X in GMC dealers this spring, with prices to be announced closer to the on-sale date. Read on for the official press release from GMC. Related Video: GMC Announces Sierra All Terrain X The News GMC today announced the 2016 Sierra All Terrain X – a special edition of the All Terrain model, featuring exclusive premium content that enhances off-road capability and an aggressive, monochromatic appearance. The All Terrain X's powerful attitude reflects a popular personalization trend among off-road enthusiasts, executed with the top-range refinement GMC has cultivated for years with models such as the Sierra Denali.

2018 GMC Terrain Drivers' Notes Review | Summon the Druids, it's a better Equinox

We've had plenty of time in the all-new Chevrolet Equinox, testing it with all three of its available turbocharged four-cylinders: the 1.5-liter, the 2.0-liter performance upgrade and the diesel fuel economy upgrade. Finally, however, we get a turn behind the wheel of its brother from a different corporate mother: the 2018 GMC Terrain. This duo is certainly one of the most disparate pairings in GM's long badge-engineering past, with virtually no visual similarities inside and out. They're even less similar than the last Equinox-Terrain, which themselves were a far-cry from the Blazer-Jimmy days. They're largely the same under the skin, however, including their selection of engines. For the 2018 Terrain, we sampled the 1.6-liter four-cylinder turbodiesel good for 137 horsepower and 240 pound-feet of torque. It's an unusual powertrain to be sure, as no other compact crossover SUV in this country offers one (though Mazda has been threatening to do so for years now), but boasts an EPA-estimated fuel economy rating of 28 mpg city, 39 mpg highway and 32 mpg combined with front-wheel drive. It's basically the same with all-wheel drive. The as-tested price of the SLT Diesel was a rather hefty $39,605. It did, however, have most options, including the Infotainment Package II and Driver Alert Package II that together include all the extra entertainment and safety gadgets. Contributing Editor James Riswick: Let's be honest, the main difference between the 2018 GMC Terrain and its Equinox sibling is the way they look. As such, I can definitively say I prefer the Terrain. It's far more cohesive and better proportioned than the rather dumpy Equinox. It also avoids the garish over-adornment of the last Terrain even if the floating roofline D pillar has passed its expiry date. I think the interior looks better too. As for the way it drives, the 2018 Terrain demonstrates great improvements from one generation to the next. The steering in particular is greatly superior in its feel and feedback. Body motions are also kept nicely in check. Is it a Mazda CX-5 or Ford Escape beater? No, but it's far more confidence inspiring now. So that's the good. Now, the extremely bad. This diesel engine vibrates so much I can't imagine anyone taking one for a test drive and choosing it over the 1.5-liter gasoline turbo. You feel it through the wheel, the pedals and the seat of your pants constantly. It's particularly bad when stopped and even present when just cruising on the highway.