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Luxury car brands scrambling to avoid a blue Christmas

DETROIT — When financial markets surge to new records, sales of luxury cars usually rise, too. Instead, October U.S. auto sales reports on Wednesday showed that a collapse in sales of luxury sedans is accelerating. Consumers have gradually shifted over to luxury sport utility vehicles from sedans in the past decade, but the trend — which has occurred in both the non-luxury and luxury sedan segments of the auto market — was particularly pronounced in October. Sales of Daimler AG's Mercedes-Benz S-Class, long a global benchmark for large, premium sedans, plunged 49 percent in October, and are down 24.8 percent for the year to date. General Motors' Cadillac brand said it sold just 779 of its CTS sedans in October. Demand for that car, designed to compete with German luxury sedans, is down nearly 33 percent for the year. "There's still a significant portion of the market that wants a car, but I'm sure there were people who preferred a horse to a car at one point." Cadillac's best-selling model this year is the XT5 compact SUV, which has more than doubled sales from a year ago. The shift within the luxury vehicle market away from sedans toward SUVs of all sizes is forcing some of the most prestigious brands to scramble to add SUV models to their lineups or boost SUV production to meet demand. "In the short term, there will be pressure to add (consumer) incentives, cut production or both," said Cox Automotive analyst Michelle Krebs. "And we just don't see an end in sight to this trend." The Dow Jones Industrial Average has been trading at all-time highs, usually a good sign for luxury sedans, but as major automakers reported new U.S. vehicle sales for October on Wednesday, sales for passenger cars continued their slide while luxury SUV and crossover sales rose again. According to Kelley Blue Book data, in 2007 luxury sedans made up 7.6 percent of U.S. new vehicle sales, while luxury SUVs made up 4.2 percent. Through September this year, luxury SUVs made up just over 7 percent of the market, compared with 4.9 percent for luxury sedans. In the short term, luxury brands could use holiday season sales promotions to clear slow-selling sedans off dealer lots, analysts said. Toyota's Lexus brand said on Wednesday it will launch its "December to Remember" year-end sales promotion for the 18th straight year.

Editors' Picks August 2021 | Honda Civic, Mercedes S-Class and more

This month of Editors' Picks saw us award the honor to a couple of redesigned stalwarts like the Honda Civic and Mercedes-Benz S-Class. Plus, a new crossover that splits the difference between the compact and subcompact class takes home the prize. On top of this, we'll introduce you to a new term: midcompact. We'll be using this to describe those in-between crossovers that are a tad too small to be considered compact, but too large to neatly fit into the subcompact class. For a few examples of these "midcompact" cars, we'll point you to the Ford Bronco Sport, Kia Seltos and VW Seltos. In case you missed our previous Editors' Picks posts, here’s a quick refresher on whatÂ’s going on here. We rate all the new cars we drive with a 1-10 score. Cars that are exemplary in their respective segments get EditorsÂ’ Pick status. Those are the ones weÂ’d recommend to our friends, family and anybody whoÂ’s curious and asks the question. The list that youÂ’ll find below consists of every car we rated in August that earned an EditorsÂ’ Pick. 2021 Genesis G70 2022 Genesis G70 View 26 Photos Quick take: Genesis hits all the right buttons with its G70. It's attractive, fun to drive and can be had for a fair price. Enthusiasts should give it a shot before taking home one of its German competitors. Score: 8 What it competes with: Alfa Romeo Giulia, Lexus IS, Acura TLX, Infiniti Q50, Audi A4, BMW 3 Series, Mercedes-Benz C-Class, Cadillac CT4, Volvo S60 Pros: Sharp handler, stunning exterior looks, strong engines Cons: Average interior, loses manual option, small backseat and trunk From the editors: News Editor Joel Stocksdale — "I was already a big fan of the Genesis G70. It has brilliant handling, and the twin-turbo V6 is a beast. It's even a bargain against the competition. And Genesis just made it look a lot better. I wish they'd done a bit more to update the interior, but it's still not a bad cabin. Besides, you won't think too much about it when you're hustling down a fun back road." Features Editor James Riswick — "Yes, it is small, but in a sport sedan segment where "sport" means increasingly less, the G70 still delivers (in part because of that smallness).

2016 Mercedes-AMG G65 coming to US this fall, priced from $217,900*

The top end of the luxury SUV market keeps edging northwards. Where the prospect of spending six figures on an off-roader once seemed unthinkable, a new class at the top end of the segment has emerged with prices exceeding $200k. And now American buyers will have another choice on their hands with the arrival of the Mercedes-AMG G65. The flagship model of the Gelandewagen range, the G65 is based on Benz's immortal SUV that's been produced in Graz, Austria, since 1979 and (officially) arrived in the US in 2002. But while the G-Class has been offered in a number of specifications even here in America – up to and including the eight-cylinder G63 AMG – the top-of-the-line G65 was kept away from these shores. But now the German automaker has announced it's bringing its ultimate sport-ute to American showrooms. Distinguishing the G65 from 'lesser' G-Wagens is its 6.0-liter twin-turbo V12 – the same essential unit that already powers the S65 coupe and sedan, SL65 roadster and the Pagani Huayra – producing in this application 621 horsepower and 738 pound-feet of torque. That's said to be enough to shuffle the big ute up to 60 in just 5.3 seconds. Of course all that power and prestige comes with a price, and as you might have guessed, it's astronomical: $217,900 plus $925 delivery, to be specific. In that ballpark, it'll be tangling with the new Range Rover SVAutobiography and the upcoming Bentley Bentayga. Not even the top-of-the-line, $157k Porsche Cayenne Turbo S wears that high a price tag. Look for the Mercedes-AMG G65 to reach showrooms in November, and check out the ever-so-slightly facelifted G-Wagen in our gallery above, live from New York. Related Video: Mercedes-Benz Announces Pricing on 2016MY Mercedes-AMG G65 An SUV in a Class of its Own to Start at $217,900* MONTVALE, NJ (April 1, 2015) – Mercedes-Benz USA announced pricing today for the ultra-exclusive 2016 Mercedes-AMG G65. Starting at an MSRP of USD $217,900, this model joins the G550 and G63 AMG in the U.S. lineup in November 2015. It is also the fourth exclusive AMG model priced above $200,000: SL65 ($215,250), S65 sedan ($222,000), and S65 Coupe ($230,900). Powered by a V12 bi-turbo engine, the G65 AMG delivers 621 hp and 738 lb-ft. of torque, with an estimated 0-60 mph acceleration in 5.3 seconds. The G-Class is the only off-road vehicle in its class to combine the electronic traction system 4ETS with a transfer case and three 100% differential locks.