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Average transaction prices climb to a record $36,270 in January

The automotive sector made a hash of the numbers last month, a mess of pluses and minuses clogging the transaction-price charts according to Kelley Blue Book. The overall industry rose one percent, even though buyers bought fewer cars and light vehicles in January 2018 vs 2017 using the selling-day adjusted rate. Due to January transaction prices rising to $36,270, a record for January, the value of new vehicles sold climbed more than $1 billion compared to January 2017. KBB's transaction prices don't include customer incentives, which changes the complexion slightly; average incentive spending rose to just over ten percent. The average transaction price in December 2017 was $36,756, so January dropped a bit - nothing unexpected, with the month annually blamed for "January doldrums." More revealing is the fact that the average transaction price in January 2017 was $34,910. This year's plumped-up figure came courtesy of the continued shift to crossovers, SUVs, and light trucks, which shouldn't surprise anyone who's read an automotive blog in the past 20 years. That category comprised nearly 70 percent of new vehicle sales for the month. Some manufacturers profited more than others, though. Fiat Chrysler managed 12.8 percent fewer sales in January compared year-on-year, but the company's vehicles sold for $1,300 more. The Ford brand suffered a 6.3-percent dip in sales, but brand transaction prices increased $2,000, while a Lincoln sold for $8,700 more on average. General Motors sold more cars and sold them for more money; overall GM transaction prices rose four percent, or $1,270, while a GMC traded hands for seven-percent more than in January 2017 and a Cadillac got $2,300 more on average. Of KBB's listed automakers, the Volkswagen Group got the most of out its customers, transaction prices rising at the German automaker by 5.6 percent to $42,243 in January 2018 compared to a year earlier. American Honda followed with a 4.3-percent increase to $28,991, GM in third at 4.1 percent to $40,313. Find your next car at Autoblog using our new and used car listings or the Car Finder tool. Broken out by segment, minivans rocked the table, transaction prices leaping by 7.9 percent to $35,380 compared to January a year earlier. Luxury cars boasted the next-highest rise, at 3.6 percent to $58,533.

Honda To Expand Takata Air Bag Recall Nationwide

Under pressure from federal regulators, Honda is expanding a recall of driver's side air bags to all 50 states. The air bags, made by Japanese supplier Takata Corp., can explode with too much force, sending metal shrapnel into the passenger compartment. Takata insists that current recalls covering 8 million U.S. cars in high-humidity areas are sufficient. But the National Highway Traffic Safety Administration wants the recalls expanded nationwide after some incidents outside the high-humidity zones. Rick Schosteck, Honda's executive vice president for North America, told House lawmakers Wednesday that Honda will expand the regional recall it began in June, but will continue to prioritize high-humidity areas. He also said Honda is working with other air bag manufacturers to make sure it has enough parts. Related Gallery Consumer Reports Least Loved Cars 2014 Recalls Honda Safety NHTSA list

2015 Honda Civic Type R prototype

With a name like Earth Dreams, you'd be forgiven for assuming that Honda's new family of turbocharged VTEC engines is more about environmental credentials than performance. And to a large degree they are - particularly in 1.0- and 1.5-liter forms. But the 2.0 is another beast altogether.
Thanks to a high-output turbocharger, direct injection, a high-performance cooling system and, of course, variable valve timing, Honda's new 2.0-liter four produces upwards of 280 horsepower while still complying with upcoming Euro 6 emissions standards. Although actual output has yet to be confirmed, that preliminary figure already compares favorably with the Ford Focus ST (252 hp) and Mazdaspeed3 (274 hp) and rests comfortably in between the Volkswagen GTI (270 hp) and Golf R (296 hp).
Although Honda has already shoehorned the smaller 1.5-liter turbo four and 1.0-liter turbo three-cylinder engines into an Acura ILX and another Civic hatchback, the home it gave the 2.0 betrays more than an engine swap. What you see here is essentially the next Civic Type R, following a long line of Honda hot hatches. With this latest model, the Japanese automaker is targeting the front-drive lap record at the Nürburgring that belongs to the Renaultsport Megane Trophy and before that, to the lightweight Megane R26.R. A tall order, to be sure, so we headed to Honda's R&D center in Tochigi, Japan, to take it out for a ride.