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How new car shortages may impact your buying experience

If you want further proof that the auto industry is bouncing back, look no further than the empty lots and forecourts of your local dealership. According to a story by The Wall Street Journal, continued high demand for mainstream cars is overtaxing automakers' ability to produce enough models. Several dealers interviewed for the story are reporting two-week supplies as opposed to the typical two-month allocations.
With sales expected to hit 1.4 million units when August numbers arrive shortly and incentive spending down to its lowest amount since January, these limited supplies are pushing prices even higher. For example, according to the WSJ, the average price of a Ford Fusion is up past $26,000. Unfortunately, it's difficult for manufacturers to increase production quickly. If it invests in its facilities, as many manufacturers have done, it risks wasting cash if growth suddenly slows. At the same time, the momentum gained over the past several years could be short lived if vehicle supplies continue to dwindle. "Manufacturers are in a precarious situation," notes Karl Brauer, a senior director at Kelley Blue Book.
Low interest rates and a wealth of desirable features are also allowing customers to purchase more expensive vehicles while justifying their higher overall price tags, a situation that is compounding supply shortages. Even now, during the annual end-of-summer clearance season, deals on new vehicles are remarkably difficult to come by. According to the report, the Toyota Corolla is in a self-inflicted state of shortage, as Toyota clears out inventory in anticipation of the new 2014 generation arriving in dealers. Ford's supplies should rebound as Fusion production comes on line at its Flat Rock, Michigan factory. The Chevrolet Impala, Honda Odyssey, Civic, and Accord and Subaru Forester are also facing shortages.

Volkswagen's latest ad is not subtle | Autoblog Podcast #509

On this week's podcast, Mike Austin and David Gluckman are joined by special guest James Riswick, who has been driving a lot of new cars lately. All of them are discussed, plus a few more from Mike and David, and Mike rants a bit about a new VW Atlas commercial. The episode wraps up with the traditional doling out of Spend My Money buying advice, during which David briefly goes out into left field. (He's back now, don't worry.) The rundown is below. Remember, if you have a car-related question you'd like us to answer or you want buying advice of your very own, send a message or a voice memo to podcast at autoblog dot com. (If you record audio of a question with your phone and get it to us, you could hear your very own voice on the podcast. Neat, right?) And if you have other questions or comments, please send those too. Autoblog Podcast #509 Topics and stories we mention GMC Sierra HD Mazda MX-5 Miata RF Mazda CX-5 Honda CR-V vs. Mazda CX-5 Mini Countryman Honda Clarity Fuel Cell Ford F-150 Raptor Lexus RC 200t VW Atlas "Luv Bug" commercial Used cars! Rundown Intro - 00:00 What we're driving - 02:43 Ad of the week - 41:40 Spend My Money - 49:14 Total Duration: 56:27 Get The Podcast iTunes – Subscribe to the Autoblog Podcast in iTunes RSS – Add the Autoblog Podcast feed to your RSS aggregator MP3 – Download the MP3 directly Feedback Email – Podcast at Autoblog dot com Review the show on iTunes Marketing/Advertising Podcasts Ford GMC Honda Lexus Mazda MINI Volkswagen mazda cx-5 ford f-150 raptor gmc sierra hd volkswagen atlas mazda mx-5 rf lexus rc 200t

On sale in Japan, Honda won't bring $31k Odyssey Hybrid to US

Japanese minivan customers have been spoiled for choice when it comes to gas-electric versions of their favorite family haulers. Toyota, for example, started selling the Estima - the world's first hybrid minivan – in 2001, and it also offers the Aphard hybrids. Starting tomorrow, buyers will be able to buy the new Odyssey Hybrid minivan from Honda for a not-unreasonable price. US buyers? We're not so lucky. That's because the Japanese Odyssey and the version sold in the US don't share much except the name. That means that the only company bold enough to put a hybrid powertrain – and a plug-in version at that – into a US-bound minivan is FCA, which just introduced us to the Pacifica Hybrid. So, we'll have to just pine for what's available over in Japan. There, the new Odyssey Hybrid comes with an updated dual-motor Sport Hybrid i-MMD powertrain that uses a 2.0-liter and no transmission. It is offered in two versions (standard and 'Absolute') and a total of six trim levels. The hybrid Odyssey starts at the equivalent of $31,235 US and tops out at $34,725, which is a level that Honda says is, "affordably-priced." Related Video: Honda to Begin Sales of Refreshed Odyssey and Odyssey Absolute -- Hybrid model will be newly added to the Odyssey lineup TOKYO, Japan, February 4, 2016 - Honda Motor Co., Ltd. will begin sales of an affordably-priced hybrid version as well as the newly refreshed gasoline-powered version of the Honda Odyssey and Odyssey Absolute premium minivans on Friday, February 5, 2016 at dealerships across Japan. A new addition to the Odyssey lineup, the hybrid version realizes both excellent fuel economy and high-quality driving in the Odyssey and Odyssey Absolute which have been well-received for their spacious cabin, stately styling and exhilarating yet stable driving experience. The newly-added Odyssey Hybrid and Odyssey Hybrid Absolute are the first Honda premium minivan models equipped with the revolutionary Honda-developed powertrain Sport Hybrid i-MMD*1 and realize class-topping*2 fuel economy of 26.0 km/L (JC08 mode)*3. In the thorough pursuit of system efficiency, Honda developed a new motor that features an innovative winding method and structure. This newly-developed motor is approximately 23% smaller and lighter than the previous version and yet realizes high torque and high output.