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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.

Honda returning to F1 as McLaren partner

Honda must really love Formula One racing, as evidenced by today's announcement that the Japanese automaker is returning to the world's most popular motorsport for the fifth time in its history. Honda has entered into a team partnership with McLaren to develop and manufacture power systems - the engine and energy recovery system - for the 2015 F1 season. McLaren will be in charge of chassis development and running the day-to-day operations of this newly formed team, which will be called McLaren Honda.
Honda says its decision to reenter F1 racing had to do with new regulations for the 2014 season that require cars to be powered by a 1.6-liter direct-injection turbocharged V6 engine paired with an energy recovery system. Apparently the chance to develop this particular powertrain for F1 racing was too enticing for Honda to pass up, which suggests it has bigger plans for the knowledge learned while developing these systems beyond just winning races.
As mentioned, this is Honda's fifth foray into F1 racing, the first being back in 1964 when it participated as its own team through 1968. Its longest stint came from 1983-1992 as an engine supplier, during which time it partnered with many teams, including McLaren, and won six Constructor Championships. Honda then returned from 2000-2005 as an engine supplier for British American Racing (BAR) before buying that team outright and running it as Honda Racing from 2006-2008. Then the global economic crisis hit. Honda's return to the sport will surely be welcomed by fans as its partnership with McLaren should produce a formidable team. It's a strong signal that the company has returned to health after a few tumultuous years, and hopefully its rediscovered motorsports mojo will help yield more passionately engineered street cars.

Honda aiming for new mpg-record on European hypermile drive

Here's a warning that there will be a Honda Civic clogging up the right lane of a bunch of highways throughout Europe next month. Honda wants to set the Guinness World Record for best fuel economy for a car going through the European Union's 24 contiguous countries. To do so, we can't expect any high speeds on the autobahn. Two of Honda's finest from its UK factory will hit the road June 1 for a 25-day journey in a Honda Civic Tourer that will take the pair through two-dozen countries in 25 days. That means about 370 miles of very measured driving per day. The Civic Tourer will be equipped with a tracking device and other telematic services, and the goal is to see what kind of fuel economy the pair can get from the car's 1.6-liter i-DTEC engine. Honda isn't saying what kind of fuel-sipping figure it's looking to achieve over those three-plus weeks, which will take the car through countries such as the Netherlands, Germany, Italy, France and Spain, but the Japanese automaker is shooting for a fuel economy record irrespective of any type of powertrain, hybrids included. Take a look at Honda's press release below, and if you want to avoid or find the car en route, you can watch it on this tracker site. Honda targets new GUINNESS WORLD RECORDS™ title for fuel efficiency with 8,500mile drive across Europe Honda will put the real-world fuel economy of its super-efficient 1.6 i-DTEC engine to the ultimate test in an 8,500mile drive across all 24 contiguous EU countries, with the aim of setting a new GUINNESS WORLD RECORDS title for fuel efficiency. On Monday 1st June 2015, two members of Honda's European Research & Development (R&D) team will climb into a Honda Civic Tourer and set out on an epic journey from Aalst, Belgium. Heading towards the Netherlands and Germany, their trip will see them navigate the Continent in a clockwise direction, with the aim of returning to their starting point some 25 days later, on June 25th, having covered a planned total of 8,459miles. The GUINNESS WORLD RECORDS title attempt comes on the back of several independent tests which have proven Honda's 1.6 i-DTEC engine to consistently out-perform its quoted fuel efficiency in real-world driving conditions. Keen to once again underline this performance and in the challenging spirit for which the brand is famed, Honda aims to set a benchmark with a GUINNESS WORLD RECORDS title never before attempted in Europe.