2014 Kia Optima Lx on 2040-cars

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Average new-vehicle transaction price hits a whopping new peak in December

Elevated prices for products and higher borrowing rates led to record high transaction prices for new vehicles in December, with the average cost in the U.S. rising to a record $49,507, according to data from Kelley Blue Book released today. The report notes that ATPs — average transaction prices — have climbed above suggested retail prices — MSRPs — for more than a year. Sales volumes were up in December on a year-over-year basis by more than 5%, a situation Kelley attributed to improved supply. Overall sales for 2022, however, were off 8% year over year. “The transaction data from December clearly indicates overall prices showed no signs of coming down as we headed into year-end,” said Rebecca Rydzewski, research manager of economic and industry insights for Cox Automotive. “Luxury prices fell slightly in December, but non-luxury transaction prices were up. Truck sales were particularly strong last month, and with many trucks selling for more than $60,000, a new record was all but inevitable.” Industry analysts claim the most obvious headwinds in the new car market are generated by higher interest rates, forced by the Federal Reserve's rate hikes intended to tame inflation, and by generally limited inventory. A recent report from J.D. Power showed that the average monthly payment for a new vehicle loan in December was $718, up $47 from a year ago. But 16% of consumers in December took out loans with monthly payments of over $1,000. Consumers think vehicles, and electric vehicles especially, are way too expensive. Fortunately, manufacturersÂ’ incentives, all but extinct in the past two years, are returning, especially in the electric-vehicle and luxury market, the Kelley data suggest. Plus, "With the new tax credits on the way, electric vehicle ATPs will drop lower for qualifying vehicles,” Rydzewski said. Non-luxury brands, such as Honda and Kia, showed particularly strong performance in December, with the average price paid at $45,578 — a record high and an increase of $994 month over month. Meanwhile, the average luxury buyer paid $66,660 for a new vehicle last month. Mercedes-Benz and Land Rover showed the most price strength in the luxury market, transacting between 2.6% to 6.5% over sticker price. But luxury brands Audi, BMW, Infiniti, Lexus, Lincoln, and Volvo showed the least price strength with some discounting in effect, selling 1% or more below MSRP in December, according to the survey.

2020 Kia ProCeed is a gorgeous wagon with a spunky turbo engine option

The 2020 Kia ProCeed wagon has finally been unveiled, and it looks pretty much like the concept from the last Frankfurt Motor Show. It has the almost-fastback roofline of the swoopy concept, the wide taillights, and the signature chrome window trim with a dorsal fin highlight at the back. According to Kia, it's also the longest and lowest member of the Ceed compact car family. It's an all-around striking wagon that should stand out in the parking lots of Europe. Still, while it is attractive and distinctive, the ProCeed's design has been a bit compromised in the shift to a production car. The taller body and less dramatic curves detract a bit from the radical roof. The concept also had distinctly rear-drive proportions with the front wheels pushed far forward and plenty of space between them and the base of the windshield. Since the production ProCeed is based on the front-drive Ceed, the long, lean nose is truncated and less elegant. These are nitpicks, though, as the car is far sleeker than the regular Ceed Sportswagon, and we applaud an automaker anytime they come close to delivering on a beautiful concept. The ProCeed is more than just a pretty body, though. Despite being lower and sleeker than the regular Ceed Sportswagon, it only loses about one cubic foot of cargo space. Under the hood, a couple of small-displacement turbo gas engines and a turbo diesel are available, but the really interesting engine is the 1.6-liter turbocharged four-cylinder that's shared with the Veloster Turbo. Just like in the force-fed Veloster, it makes 201 horsepower and 195 pound-feet of torque, and it can be coupled to a 6-speed manual or 7-speed dual-clutch automatic. The engine is only available in the ProCeed GT trim, which Kia notes had its ride and handling tuning overseen by former chief engineer at BMW's M division, Albert Biermann. While the ProCeed GT has unique suspension tuning, all models benefit from fully-independent suspension and sticky Michelin Pilot Sport 4 tires. Pricing hasn't been announced yet for the ProCeed, but it will go on sale early in 2019. Of course, it won't be coming to the U.S., since we don't even have the regular Ceed. Interestingly, it appears it will only be available in Europe, since the press release says it will go "on sale exclusively to European drivers." So even Kia's home market of South Korea may not get the wicked wagon.

Kia offers first glimpse at new Optima ahead of New York debut

The Optima is far and away Kia's top-selling model in America, outstripping anything else in the Korean automaker's lineup by some margin. But after four years, Kia is set to roll out an all-new model at the New York Auto Show next week. Before it does, though, it is giving us our first glimpse at the new sedan with the image above. Previewed by the Sportspace concept earlier this month in Geneva and in the pair of teaser renderings from last week, the new Optima should be instantly recognizable to anyone familiar with the current model – particularly from the front end we see here. The headlights line up with the tiger-nose grille, but now bear a little kink in the lower edge, and the full-width lower air dam has now been split between a taller center section flanked by twin vents. That front fender vent is still evident, a black roof is once again framed by the body-color window surrounds, but the hood appears more sculpted. Kia says the new Optima will be "available with multiple engine choices" and "features a more spacious interior, class-up premium features and a number of technologies not previously offered on Kia's best-selling midsize sedan." Just what those engine options and new technologies will be, we can't say for sure at this point, but the current model is offered around the world with a range of four-cylinder gasoline, diesel and hybrid engine options. We'll just have to wait another week or so to find out more. ALL-NEW 2016 KIA OPTIMA MAKES GLOBAL DEBUT AT NEW YORK INTERNATIONAL AUTO SHOW Instantly recognizable yet thoroughly fresh, Kia will introduce the all-new 2016 Optima at the upcoming New York Auto Show on April 1st at 1:20 PM. Available with multiple engine choices, the all-new Optima features a more spacious interior, class-up premium features and a number of technologies not previously offered on Kia's best-selling mid-size sedan. #KiaOptima #NYIAS