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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 ending CR-Z, Insight sales in Europe

Death by diesel? That may be the epitaph of the Honda Insight and CR-Z in Europe, where the Japanese automaker will discontinue sales of the two hybrid models before to the 2015 model-year. A Honda spokesman confirmed the discontinuation to Automotive News, and information on those models has been taken off of Honda's official websites in Germany, Spain and Italy. The European embrace of all things diesel and fuel efficient as well as competition from Toyota are the primary culprits. The cancellation is not a surprise. Insight sales in Europe fell a whopping 62 percent last year while CR-Z sales there plunged 66 percent. Combined, both models sold less than 2,000 units in Europe last year, Automotive News says, citing JATO Dynamics. Honda is having trouble moving the Jazz Hybrid (also known as the Fit) in Europe as well. European sales declined about 40 percent last year to around 4,500 units. Those numbers compare rather unfavorably to a 43 percent surge in Toyota's hybrid sales in Europe to about 153,000 units. The Insight may face the same fate in the US. Last year, US Insight sales fell 18 percent to 4,802 units, a small, small challenge to the more than 234,000 Toyota Prius variants sold in the US in 2013. Honda has not made an official statement on the Insight's fate here, but the sales are speaking for themselves. Featured Gallery 2014 Honda CR-Z Hybrid View 14 Photos News Source: Automotive News - sub. req. Green Honda Hybrid hybrid sales

Honda recalls 304k Accords for sudden side-airbag deployment

Honda is recalling 303,904 US examples of the 2008-2009 Accord because the side airbags or curtains can inadvertently deploy. The automaker said the problem is not related to Takata's airbag problem or any other supplier. Instead, the issue concerns the software's deployment threshold for side impacts. These sudden deployments can happen if the ignition is on, and the door is forcefully closed. They might also occur if there's a strong enough impact to the underside of the vehicle, like from road debris. As of October 12, 2015, Honda has 19 allegations of injuries from this problem; plus 311 warranty claims and 160 field reports, according to a chronology submitted to the National Highway Traffic Safety Administration (as a Word document). The fix will be a software update to adjust the Supplemental Restraint System, and Honda will begin mailing notifications to owners in mid-December. Statement by American Honda Regarding Side Airbag Inadvertent Deployment Recall: 2008-2009 Honda Accord Sedan Oct 29, 2015 - TORRANCE, Calif. Side and/or side curtain airbags may inadvertently deploy if the ignition is on and a door is forcefully slammed or there is a significant impact to the vehicle underbody. Issue arises from side impact deployment threshold specification; Not a hardware or supplier issue. Free software update will adjust the deployment threshold. Honda will voluntarily recall 303,904 model-year 2008-2009 Accord vehicles in the United States to update the side Supplemental Restraint System (SRS) software, free of charge. The SRS threshold setting for the side impact sensor is such that with the vehicle ignition on, if there is a strong, non-vehicular collision impact to the lower body of the vehicle or if a door is shut with extreme force, the SRS control unit may interpret the input as a crash and command the side seat airbag and/or side curtain airbag to deploy. Airbags that unexpectedly deploy may increase the risk of injury. Honda has received 19 injury claims related to this issue. Honda is announcing this recall to encourage each owner of an affected vehicle to take it to an authorized dealer as soon as they receive notification of this recall from Honda. Mailed notification to customers will begin in mid-December 2015. Additionally, owners of these vehicles can now determine if their vehicles will require repair by going to www.recalls.honda.com or by calling (888) 234-2138.