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Audi Q2 is coming soon to a city center near you

For a company that exploded into modern consciousness through its Quattro all-wheel-drive technology, delivering a crossover with just two-wheel drive could be a big leap for Audi. While some models offer all-wheel drive, Audi will deliver the entry-level versions of its all-new segment-stealing Q2 baby crossover SUV with just front-wheel drive. All Q2 models will run as front-wheel-drive cars most of the time anyway, with the all-wheel drive doled out by an electronically controlled, multi-plate differential. Fitted as standard only to the range-topping 2.0-liter petrol and diesel models, and optional on the 1.4-liter petrol and less-powerful 2.0-liter diesel models, the system only moves torque to the rear axle when the front end has run out of grip. Looking past which wheels are driven, there are more reasons to be positive than negative about the Q2. First, where the Prologue concept was the first car from new(ish) design boss Marc Lichte to wear an Audi badge, the Q2 will be his first production model. No more sausages cut to different lengths, he insists, and you can tell he means it when you look at the huge, chamfered cut they've taken out of the top of the doors at the tornado line. Designed and conceived for a younger, more urban audience than any Audi before it, the Q2 will also deliver buyers a full Mini-style level of individualization for its five-seat cabin. View 47 Photos Audi will launch the car with six different engines and the teasing promise of plug-in hybrid power "one day" in its life cycle. At 13.7 feet long, the Q2 is 7.67 inches shorter than the Q3 and far lighter, too. At just 2,657 pounds, it's light enough that Audi felt comfortable giving it a 114-horsepower, 1.0-liter, three-cylinder engine as its entry powerplant. From there, Q2 buyers can step up to a 1.4-liter, turbocharged four-cylinder engine with direct injection, variable valve timing and lift, and cylinder-on-demand technology, with 148 hp. The top petrol-powered variant will have the 2.0-liter, four-cylinder turbo motor, with both direct and indirect fuel injection and 190 hp. A 114-hp version of the 1.6-liter, four-cylinder turbodiesel provides the step-in point to the diesel range (in Europe, anyway), followed by a 148- and 190-hp versions of the 2.0-liter turbodiesel.

Hydrogen could deliver one fifth of world carbon cuts by 2050, industry says

BONN, Germany — Increasing the use of hydrogen in power, transport, heat and industry could deliver around one fifth of the total carbon emissions cuts needed to limit global warming to safe levels by mid-century, a report by the Hydrogen Council said on Monday. To encourage industries to use hydrogen, Toyota and Air Liquide helped set up the Hydrogen Council, a global lobby launched in January this year. Its 27 members include automakers Audi, BMW, Daimler, Honda and Hyundai, and energy firms such as Shell and Total. The council said using hydrogen for transport, energy generation, energy storage, industry, heat and power could cut annual carbon emissions by 6 billion tonnes by 2050. "This would ... contribute roughly 20 percent of the additional abatement required to limit global warming to two degrees Celsius," the council said in a report released on the sidelines of a U.N. climate conference in Bonn. To achieve a two-degree limit this century agreed by governments in Paris in 2015, the world must reduce energy-related carbon emissions by 60 percent by 2050. The report said one in 12 cars sold in California, Germany and Japan were expected to be powered by hydrogen by 2030. By 2050, hydrogen could power 400 million cars, 15 million to 20 million trucks, around 5 million buses, a quarter of passenger ships and a fifth of non-electrified train tracks, as well as some airplanes and freight ships. Achieving this shift in transport and other sectors would require investment of $280 billion by 2030, with about $110 billion to fund hydrogen output, $80 billion for storage, transport and distribution, and $70 billion to develop products. Fuel cell vehicles combine hydrogen and oxygen to produce electricity to power an electric motor, producing water as a byproduct. However, making hydrogen from fossil fuels, a common route, also produces some greenhouse gas emissions. So far the take-up of hydrogen vehicles is tiny and industry experts say their wider use is years away, with high purchase prices and a lack of refueling stations the major barriers. But some firms, such as miner Anglo American and carmaker Toyota, are pushing for fuel cell cars to play a role even with the rise of battery-powered electric vehicles (EVs). Woong-chul Yang, vice chairman of automotive research and development at Hyundai said EVs and hydrogen fuel cell cars were needed because EVs were better for city driving and fuel cell vehicles better for longer journeys.

Average new-vehicle transaction price hits a whopping new peak in December

Elevated prices for products and higher borrowing rates led to record high transaction prices for new vehicles in December, with the average cost in the U.S. rising to a record $49,507, according to data from Kelley Blue Book released today. The report notes that ATPs — average transaction prices — have climbed above suggested retail prices — MSRPs — for more than a year. Sales volumes were up in December on a year-over-year basis by more than 5%, a situation Kelley attributed to improved supply. Overall sales for 2022, however, were off 8% year over year. “The transaction data from December clearly indicates overall prices showed no signs of coming down as we headed into year-end,” said Rebecca Rydzewski, research manager of economic and industry insights for Cox Automotive. “Luxury prices fell slightly in December, but non-luxury transaction prices were up. Truck sales were particularly strong last month, and with many trucks selling for more than $60,000, a new record was all but inevitable.” Industry analysts claim the most obvious headwinds in the new car market are generated by higher interest rates, forced by the Federal Reserve's rate hikes intended to tame inflation, and by generally limited inventory. A recent report from J.D. Power showed that the average monthly payment for a new vehicle loan in December was $718, up $47 from a year ago. But 16% of consumers in December took out loans with monthly payments of over $1,000. Consumers think vehicles, and electric vehicles especially, are way too expensive. Fortunately, manufacturersÂ’ incentives, all but extinct in the past two years, are returning, especially in the electric-vehicle and luxury market, the Kelley data suggest. Plus, "With the new tax credits on the way, electric vehicle ATPs will drop lower for qualifying vehicles,” Rydzewski said. Non-luxury brands, such as Honda and Kia, showed particularly strong performance in December, with the average price paid at $45,578 — a record high and an increase of $994 month over month. Meanwhile, the average luxury buyer paid $66,660 for a new vehicle last month. Mercedes-Benz and Land Rover showed the most price strength in the luxury market, transacting between 2.6% to 6.5% over sticker price. But luxury brands Audi, BMW, Infiniti, Lexus, Lincoln, and Volvo showed the least price strength with some discounting in effect, selling 1% or more below MSRP in December, according to the survey.