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U.S. new-vehicle sales in 2018 rise slightly to 17.27 million [UPDATE]

DETROIT — Sales of new vehicles in the U.S. rose slightly in 2018, defying predictions and highlighting a strong economy. Automakers reported an increase of 0.3 percent over a year ago to 17.27 million vehicles. The increase came despite rising interest rates, a volatile stock market, and rising car and truck prices that pushed some buyers out of the new-vehicle market. Industry analysts and automakers said strong economic fundamentals pushed up sales and should keep them near historic highs in 2019. "Economic conditions in the U.S. are favorable and should continue to be supportive of vehicle sales at or around their current run rate," Ford Chief Economist Emily Kolinski Morris said after the company and other automakers announced their sales numbers Thursday. That auto sales remain near the 2016 record of 17.55 million is a testimonial to the strength of the economy, said Mark Zandi, chief economist at Moody's Analytics. The job market, he said, has created new employment, and wage growth has accelerated. "That's fundamental to selling anything," he said. "If there are lots of jobs and people are getting bigger paychecks, they will buy more." The unemployment rate is 3.7 percent, a 49-year low. The economy is thought to have grown close to 3 percent last year, its best performance in more than a decade. Consumers, the main driver of the economy, are spending freely. The Federal Reserve raised its key interest rate four times in 2018 but is only expected to raise it twice this year. Auto sales also were helped by low gasoline prices and rising home values, Zandi said. It all means that people are likely to keep buying new vehicles this year even as they grow more expensive. The Edmunds.com auto-pricing site estimates that the average new vehicle price hit a record $35,957 in December, about 2 percent higher than the previous year. It will be harder for automakers to keep the sales pace above 17 million because they have been enticing buyers for several years now with low-interest financing and other incentives, Zandi said. He predicts more deals in the coming year as job growth slows and credit tightens for higher-risk buyers. Edmunds, which provides content, including automotive tips and reviews, for distribution by The Associated Press, predicts that sales will drop this year to 16.9 million.

2018 GMC Terrain Drivers' Notes Review | Summon the Druids, it's a better Equinox

We've had plenty of time in the all-new Chevrolet Equinox, testing it with all three of its available turbocharged four-cylinders: the 1.5-liter, the 2.0-liter performance upgrade and the diesel fuel economy upgrade. Finally, however, we get a turn behind the wheel of its brother from a different corporate mother: the 2018 GMC Terrain. This duo is certainly one of the most disparate pairings in GM's long badge-engineering past, with virtually no visual similarities inside and out. They're even less similar than the last Equinox-Terrain, which themselves were a far-cry from the Blazer-Jimmy days. They're largely the same under the skin, however, including their selection of engines. For the 2018 Terrain, we sampled the 1.6-liter four-cylinder turbodiesel good for 137 horsepower and 240 pound-feet of torque. It's an unusual powertrain to be sure, as no other compact crossover SUV in this country offers one (though Mazda has been threatening to do so for years now), but boasts an EPA-estimated fuel economy rating of 28 mpg city, 39 mpg highway and 32 mpg combined with front-wheel drive. It's basically the same with all-wheel drive. The as-tested price of the SLT Diesel was a rather hefty $39,605. It did, however, have most options, including the Infotainment Package II and Driver Alert Package II that together include all the extra entertainment and safety gadgets. Contributing Editor James Riswick: Let's be honest, the main difference between the 2018 GMC Terrain and its Equinox sibling is the way they look. As such, I can definitively say I prefer the Terrain. It's far more cohesive and better proportioned than the rather dumpy Equinox. It also avoids the garish over-adornment of the last Terrain even if the floating roofline D pillar has passed its expiry date. I think the interior looks better too. As for the way it drives, the 2018 Terrain demonstrates great improvements from one generation to the next. The steering in particular is greatly superior in its feel and feedback. Body motions are also kept nicely in check. Is it a Mazda CX-5 or Ford Escape beater? No, but it's far more confidence inspiring now. So that's the good. Now, the extremely bad. This diesel engine vibrates so much I can't imagine anyone taking one for a test drive and choosing it over the 1.5-liter gasoline turbo. You feel it through the wheel, the pedals and the seat of your pants constantly. It's particularly bad when stopped and even present when just cruising on the highway.

2015 GMC Canyon gets the party started [w/video]

The 2014 Detroit Auto Show press days officially kick off tomorrow, but the night before all the madness commences, General Motors drove its new 2015 GMC Canyon pickup truck out for all to see. To refresh your memory, the Canyon is GMC's new midsize pickup - essentially a re-skinned version of the Chevrolet Colorado that debuted at the LA Auto Show in November.
Many of us at Autoblog prefer the look of the larger GMC Sierra to that of its Chevy Silverado kin, and we're having similar feelings about the new Canyon, especially after seeing it in person. It's sort of a pint-sized version of the Sierra, and it looks great. Clean lines are found throughout, and the Canyon's styling is decidedly premium.
At launch, the Canyon will be offered with the same engines as the Colorado - a 2.5-liter inline four-cylinder engine with 193 horsepower and 184 pound-feet of torque on the base end, and a larger 3.6-liter V6 with 302 hp and 270 lb-ft as an option. The Colorado's 2.8-liter diesel inline four-cylinder will be available after launch. Both two- and four-wheel drive configurations will be available, depending on the model.