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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 recalls 2016 Civic 2.0-liter engine for piston issue

The Basics: Honda will recall 42,129 examples of the 2016 Honda Civic sedan with the 2.0-liter four-cylinder engine in the US. These models have build dates between September 22, 2015, and February 3, 2016. The issue does not affect the Civic Coupe. The Problem: The pistons might not have a wrist pin circlip or the part's installation could be incorrect. This problem could cause the engine to seize, leading to engine damage and an increased risk of fire or a crash. Injuries/Deaths: There are no deaths, but there was an unconfirmed report of a minor injury that didn't require medical attention, according to Honda. There was also a report of one engine fire, which was separate from the minor injury. The Fix: Dealers will inspect the engines and replace any damaged parts as necessary. If You Own One: Honda won't have the parts ready until this summer. Owners will receive initial notification about the recall in March, and they'll get a second letter when the components are ready. More Information: Honda already issued a stop sale on the 2016 Civic Sedan equipped with the 2.0-liter engine due to this problem. RECALL Subject : Piston Wrist Pin Circlips may not be Secured Report Receipt Date: FEB 09, 2016 NHTSA Campaign Number: 16V074000 Component(s): ENGINE AND ENGINE COOLING Potential Number of Units Affected: 42,129 All Products Associated with this Recall close Vehicle Make Model Model Year(s) HONDA CIVIC 2016 Details Manufacturer: Honda (American Honda Motor Co.) SUMMARY: Honda (American Honda Motor Co.) is recalling certain model year 2016 Civic vehicles manufactured September 22, 2015, to February 3, 2016 and equipped with 2.0L engines. The affected vehicles have engines with piston assemblies that may have been manufactured without a piston wrist pin circlip or with an incorrectly installed piston wrist pin circlip. CONSEQUENCE: If a circlip is missing or incorrectly installed, the piston wrist pin may not be secure and may drift and damage the engine cylinder causing the engine to seize, and increasing the risk of a crash or a fire. REMEDY: Honda will notify owners, and dealers will inspect and replace the piston assemblies, as necessary, free of charge. Parts are expected to be available in the Summer of 2016. Owners will be mailed an interim notification beginning March 15, 2016, and will be mailed a second notice when parts are available. Owners may contact Honda customer service at 1-800-999-1009. Honda's number for this recall is JX9.

Average new-car fuel economy figures continue record pace

Manufacturers are making more efficient cars and trucks; we've known that to be true for some time. Nearly every new car has some sort of trick to eke a few extra miles out of every gallon of fuel. Whether that be turbocharging, active aerodynamics or hybrid technology/electrified powertrains, the fact is that our vehicles are more efficient than ever before.
Thanks to a recent study by TrueCar, we've got fresh quantitative data to support the above statements. For the fourth month in a row, we've seen an improvement in national fleet fuel economy. We Americans are 0.7 miles per gallon more efficient than we were last month, and our cars are 1.6-mpg better than at this time last year. That said, we're still down on 2013's high, which was set back in January at 24.5 mpg.
Not only does this reflect the improved technologies in our vehicles, but it demonstrates a changing mindset among consumers, who are purchasing more efficient vehicles despite the relative stabilization of fuel prices. Every fuel-efficient model sold drives its manufacturers fleet average up.