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How new car shortages may impact your buying experience

If you want further proof that the auto industry is bouncing back, look no further than the empty lots and forecourts of your local dealership. According to a story by The Wall Street Journal, continued high demand for mainstream cars is overtaxing automakers' ability to produce enough models. Several dealers interviewed for the story are reporting two-week supplies as opposed to the typical two-month allocations.
With sales expected to hit 1.4 million units when August numbers arrive shortly and incentive spending down to its lowest amount since January, these limited supplies are pushing prices even higher. For example, according to the WSJ, the average price of a Ford Fusion is up past $26,000. Unfortunately, it's difficult for manufacturers to increase production quickly. If it invests in its facilities, as many manufacturers have done, it risks wasting cash if growth suddenly slows. At the same time, the momentum gained over the past several years could be short lived if vehicle supplies continue to dwindle. "Manufacturers are in a precarious situation," notes Karl Brauer, a senior director at Kelley Blue Book.
Low interest rates and a wealth of desirable features are also allowing customers to purchase more expensive vehicles while justifying their higher overall price tags, a situation that is compounding supply shortages. Even now, during the annual end-of-summer clearance season, deals on new vehicles are remarkably difficult to come by. According to the report, the Toyota Corolla is in a self-inflicted state of shortage, as Toyota clears out inventory in anticipation of the new 2014 generation arriving in dealers. Ford's supplies should rebound as Fusion production comes on line at its Flat Rock, Michigan factory. The Chevrolet Impala, Honda Odyssey, Civic, and Accord and Subaru Forester are also facing shortages.

The Honda Crosstour is no more

While hardly the most surprising news in the automotive world, it's with sad hearts that we report the passing of any automotive nameplate... even when it's as generally unloved as the Honda Crosstour. In a statement from American Honda, Executive Vice President John Mendel confirms the quirky, sort-of wagon's demise for the 2016 model year. The Crosstour was introduced in 2010 as a compromise between a crossover and a traditional station wagon. However, unlike the popular Subaru Outback with a similar melding of styles, Honda's was never able to really catch on. Honda America's CEO was disappointed with sales as far back as 2011, and an attempt to make the model look a little more rugged didn't work. In 2014, 11,802 Crosstours were sold, a 29.9-percent drop from the year before. In its announcement for the vehicle's discontinuation, Honda says the new HR-V should "play a more significant role as a gateway model." The company thinks the crossover segment today has changed from when the Crosstour debuted. The capacity at the East Liberty Plant in Ohio previously required for Crosstour production will be used for the more popular CR-V, Acura RDX and, as of early 2017, the MDX. Meanwhile, production of the Honda Accord Hybrid will be moved from the Marysville Auto Plant in Ohio to Japan. Statement by John Mendel, Executive Vice President, American Honda Motor Co., Inc. Re: North American Production Portfolio Apr 8, 2015 Honda's growth strategy in North America is keyed to aligning our product portfolio and related production around the needs of our customers and growth segments in the marketplace. This includes the fortification of our light truck line-up with the recent introduction of a refreshed version of America's best- selling SUV, the CR-V, as well as the all-new 2016 HR-V, a new 2016 Pilot, and the next generation Ridgeline truck, coming to market next year. The strategy also includes strengthening our leading lineup of passenger cars with the introduction this fall of an all-new Civic lineup that will include more variants than ever before, including a new five-door model. In order to fulfill this customer-focused strategy, we are making several changes to the lineup of vehicles we build in our auto plants in Ohio.

Honda Civic Concept is your average neon green, turbocharged show stealer [w/video]

At an auto show where the hottest cars and concepts are increasingly shown off the night before the official doors even open, surprises are rare. But Honda pulled off a big one this afternoon, with a nuclear green Civic Concept that takes dead aim at the brand's naysayers. Honda "concept" cars have tended towards the literal in recent years, and never has that been more exciting than with this coupe. The prelude to the tenth-generation Civic has a face that fits in well enough with the company's current lineup, but the rest of the bodywork feels far more JDM-inspired. The sides are complex without being too busy, and the bold graphic elements, especially the wraparound taillight, seem punctuate the mass. You might not dig the green meanie as much as we do, but if you're a Honda fan (even lapsed) the performance news should have you high-fiving your nearest bro. To start, Honda has confirmed that this Civic will be the first in the US to incorporate turbocharged VTEC engines. The turbo'd 1.5-liter four will get hooked up to both a six-speed manual and a CVT. Civic is also going to get a bodystyle that Honda has neglected in our country for too long: the five-door hatchback. A moment of silence, please... Of course sedans and coupes will be part of the mix, too. But perhaps the most exciting news for lead-footed fan boys will be the inclusion of both a Civic Si and the Nurburgring-champion Civic Type R for our market. We'd both hoped and suspected that the Type R might make the leap to North America, and Honda hasn't disappointed. The gen-ten Civic will go on sale in the US this fall, though no specifics have yet been offered about which variants will be first and last. Stay tuned. Honda Debuts Sportiest Civic Design in Brand History with 10th-Generation Civic Concept at New York International Auto Show - 10th-generation, 2016 model year Civic focuses on sporty, fun-to-drive dynamics - Civic lineup to include Sedan, Coupe, and 5-door Hatchback body types, as well as Si and Type-R versions - First Honda model to apply new VTEC® Turbo engines in North America Civic, America's most popular small car is designed, developed and produced in North America Today Honda unveiled its ultra-sporty Civic Concept at the New York International Auto Show as the brand prepares to launch its completely reimagined 10th-Generation Civic models beginning this fall.