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Trucks, SUVs — and Camry — shine in mixed U.S. January vehicle sales

DETROIT — Automakers posted mixed U.S. new vehicle sales data for January, with American consumers continuing to abandon passenger cars for the larger pickup trucks, SUVs and crossover models that manufacturers also love because they are far more profitable. Total industry auto sales for the month rose 1 percent versus January 2016. According to Autodata Corp, which tracks industry sales, the seasonally adjusted annualized rate (SAAR) of U.S. car and light truck sales in January fell to 17.12 million units from 17.44 million a year earlier. Analysts polled by Reuters had expected a January SAAR of 17.2 million units. U.S. auto industry sales fell 2 percent in 2017 to 17.23 million vehicles after hitting a record high in 2016 and are expected to drop further in 2018 despite a solid economy. Interest rates are rising and around 4 million late-model used cars will return to dealer lots this year to compete with more expensive new ones. Automakers have used consumer discounts to boost sales, a growing concern for observers who say this undermines resale values and profits. Discounts declined in January, but remained above 10 percent of manufacturers' recommended prices. ""I think the industry has accepted that (sales) volumes will fall somewhat in 2018 ... and I don't think the industry is going to go over the cliff with insane incentives," Mike Jackson, chief executive officer of AutoNation Inc, told Reuters after his company, the largest U.S. auto retail chain, posted a higher quarterly net profit. Mark Wakefield, head of the North American automotive practice for consultancy AlixPartners, had a gloomier perspective. The industry's less-than-stellar sales performance for January showed "we are now past the peak," he said. "Automakers are now selling the deal instead of the vehicle," he said. "That's a tough spot to be in because that treadmill is hard to get off once you're on it." General Motors January sales rose 1.3 percent, driven by a 16 percent rise in fleet sales. Sales to consumers fell 2.4 percent. GM posted strong gains for models such as the Silverado pickup truck and Equinox crossover model, while its passenger cars continued to struggle. Ford The Blue Oval posted a 6.6 percent sales decline for January, with retail sales down 4.3 percent. Sales of Ford's F-Series pickup trucks - America's best-selling vehicle brand for decades — rose 1.6 percent. Passenger cars were down more than 23 percent.

Inside Honda's ghost town for testing autonomous cars

On the edge of the San Francisco suburb of Concord, California sits a ghost town. Dilapidated buildings and cracked roads are framed by overgrowth and slightly askew street signs. The decommissioned five acre portion of the Concord Naval Weapons Station that once housed military personnel and their families is now home to squirrels, jack rabbits, wild turkeys and Honda's mysterious testing lab for autonomous vehicles. This former town within a Naval base – now dubbed "GoMentum Station" – is the perfect testing ground for Honda's self-driving cars. An almost turn-key solution to the problem of finding somewhere to experiment with autonomous vehicle inside an urban area. Thanks to the GoMentum Station, the automaker has access to 20 miles of various road types, intersections and infrastructure exactly like those found in the real world. Just, you know, without all the people getting in the way. While the faded lane markers and cracked asphalt might initially make it difficult for the car to figure out what's going on around it, that's exactly what you want when training a self-driving system. Many roads in the real world are also in dire need of upkeep. Just because autonomous vehicles are hitting the streets doesn't mean the funding needed to fix all the potholes and faded lane markers will magically appear. The real world doesn't work that way and the robot cars that will eventually make our commutes less of a headache will need to be aware of that. Plus, it's tougher to train a car to drive downtown than to barrel down the highway at 80 miles per hour. A company is going to want to get as much practice as possible. While semi-autonomous driving on the everyone-going-the-same-way-at-a-constant-speed freeway is already a reality, navigating in an urban environment is far more complex. If you've driven on the streets of Los Angeles, San Francisco, New York, Chicago or Seattle you know that driving downtown takes far more concentration than cruising down the interstate. With all that in mind, Honda's tricked out Acura RLX did a good job during an (admittedly very controlled) hands-free demo. It didn't hit either of the pedestrians walking across its path. It stopped at stop signs and even maneuvered around a mannequin situated in the middle of the road. The reality is, watching a car drive around the block and safely avoid stuff is boring. Not to metion, Google has been doing this for a while in the real world.

Honda Civic overtakes Toyota Corolla as America's best-selling compact

The battle to claim October's best-selling compact sedan title has been won by the Honda Civic. The Japanese four-door sold 27,328 units, leaving the Toyota Corolla - September's title holder - in its wake with 23,637 units sold. In terms of year-to-date sales, the Civic sits at 280,899 units, with the Corolla trailing at 257,184 vehicles.
Sitting in third place, separated by a significant gap from the leaders, is the Chevrolet Cruze with 16,087 units sold. The Ford Focus earned fourth, with 15,108 units moved out of showrooms. (It is interesting to note that while the Civic and Corolla have both enjoyed double-digit sales increases year-over-year, the Cruze and Focus have seen significant decreases during the same period.)
Sales of the Hyundai Elantra hit 14,876 units, putting it in fifth place, with the Volkswagen Jetta earning sixth place with 11,710 units. Rounding out the ten top sellers were the Nissan Sentra (8,399 units), Mazda3 (7,647 units), Dodge Dart (5,617 units) and Subaru Impreza/WRX (4,923 units). The Kia Forte (4,706 units) and Volkswagen Golf (2,249 units), eleventh and twelfth respectively, have fallen behind.