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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.

Junkyard Gem: 2001 Acura MDX

The point of the Junkyard Gems series is to share automotive history, and the period of the middle 1990s through early 2000s is a very interesting one for U.S.-market new vehicles. The SUV revolution went into high gear with the introduction of the 1991 Ford Explorer and 1993 Jeep Grand Cherokee, and sales of sedans, hatchbacks, and minivans began their steady decline. The Detroit companies were in good shape to cash in on the commuter-truck craze, with plenty of additional models ready for a quick slathering of luxury features. Toyota, Mitsubishi, Nissan, and Isuzu were ready as well … but Honda was completely unprepared for the Next Big Thing at that point. With American sales absolutely critical to Honda (which has never held much market share for four-wheeled vehicles in its home country), a deal was made to rebadge the Isuzu Trooper as the Acura SLX and the Isuzu Rodeo as the Honda Passport while an all-Honda big SUV could be developed. That SUV was the Acura MDX, which debuted for the 2001 model year. Here's one of those first-year MDXs, a huge turning point in Honda history, found in a Denver-area self-service boneyard recently. Oh, sure, Honda began selling the CR-V over here in 1997 and so wasn't completely out of the SUV game during the 1990s, but that little Civic-based machine was never going to lure away many Explorer or even Montero shoppers. The MDX was a proper three-row crossover SUV, despite being based on the same platform as the not-so-imposing Accord, and a Honda-badged version (the Pilot) followed two years later. Here's that third row, which looks quite cramped, but so what? MDX sales started out respectable and stayed that way. Every 2001-2013 MDX ever sold here came with a VTEC-equipped V6, automatic transmission, and all-wheel-drive (some later MDXs could be bought with front-wheel-drive). This engine is a 3.5-liter DOHC plant rated at 240 horsepower and 245 pound-feet, decent enough for a truck that tipped the scales at well beyond two tons. The MSRP on this truck was $34,370, which amounts to around $58,260 in inflation-adjusted 2022 dollars. The base '01 Ford Explorer started at just $25,210, but the swankified Eddie Bauer Edition was better-suited to the Acura-shopper demographic and listed at $32,025. You could buy a new Montero XLS and do some serious off-roading for $31,397 that year, but it had warlord-grade ride to go with its warlord-grade abilities in the bundoks.

180,000 new vehicles are sitting, derailed by lack of transport trains

If you're planning on buying a new car in the next month or so, you might want to pick from what's on the lot, because there could be a long wait for new vehicles from the factory. Locomotives continue to be in short supply in North America, and that's causing major delays for automakers trying to move assembled cars.
According to The Detroit News, there are about 180,000 new vehicles waiting to be transported by rail in North America at the moment. In a normal year, it would be about 69,000. The complications have been industry-wide. Toyota, General Motors, Honda and Ford all reported experiencing some delays, and Chrysler recently had hundreds of minivans sitting on the Detroit waterfront waiting to be shipped out.
The problem is twofold for automakers. First, the fracking boom in the Bakken oil field in the Plains and Canada is monopolizing many locomotives. Second, the long, harsh winter is still causing major delays in freight train travel. The bad weather forced trains to slow down and carry less weight, which caused a backup of goods to transport. The auto companies resorted to moving some vehicles by truck, which was a less efficient but necessary option.