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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 Acadia with 'Christmas Aero' modification gets in the wind tunnel

Tis the season of "Big" - big cheer, big parties, big bowls of eggnog, big decorations, and when it comes to your family hauler, big drag. Festive drivers who festoon their crossovers, minivans, and SUVs with wreaths, Rudolph noses, fuzzy antlers, and rooftop Christmas trees undo the years of work that car engineers devote to fractional gains in fuel economy. To put numbers to such fuel-guzzling madness, GMC started with a 2018 Acadia, optioned it with the Xmas Aero Package - both Standard and Plus versions - put it in Lockheed-Martin's wind tunnel. The resulting dip in fuel economy results probably won't surprise anyone who's used a roof rack - or, for that matter, their car's air conditioning. However, it might surprise you to find out which seemingly substantial decoration had no effect, and which seemingly innocuous decoration was about twice as bad as running the A/C on its Mr. Freeze setting. Check out the brief video above for the results. And consider placement of that bow carefully.

2015 Chevy Silverado, GMC Sierra heavy duty trucks unveiled

Proving just how important trucks are in the Lone Star State, General Motors has chosen the State Fair of Texas to reveal its new heavy-duty trucks from Chevrolet and GMC. Looking to take some of the wind out of the sails of the 2014 Ram HD and 2015 Ford F-Series Super Duty, the 2015 Chevy Silverado HD and 2015 GMC Sierra HD will have plenty to brag about when they go on sale in the first quarter of next year.
The bragging starts right up front with two available engines. The standard engine is a Vortec 6.0-liter V8 that produces 360 horsepower in the 2500HD and 322 hp in the 3500HD to go along with 380 pound-feet of torque in all applications. The true benefit of this powerplant is that buyers can opt for it to run on straight gasoline, E85 FlexFuel or even compressed natural gas (CNG). For maximum towing and even more flexibility, the 6.6-liter Duramax turbodiesel B20-capable V8 is the way to go, with its carryover 397 hp and 765 lb-ft of torque. Though the max towing abilities of 23,200 pounds (with a fifth-wheel trailer) are less than the 30,000-pound rating of the new Ram, the GM HD trucks offer better conventional trailer towing (19,600 pounds) and payload (7,374 pounds) than rival heavy-duty trucks...for now. The Duramax is paired with a six-speed Allison automatic transmission, while the gas engine gets GM's six-speed Hydra-Matic - no manual transmissions are offered.
Including the engines, GM continues to offer a broad range of configurations (more than 150, to be exact) including three cabs, two cargo bed lengths, numerous trim levels and, of course, the choice of single- or dual-rear wheels on the 3500. The HD trucks have faces that are similar to their half-ton counterparts, with the exception of a larger grille and bigger for improved air flow, and like the current HD offerings, the new Silverado HD and Sierra HD DRW models feature a one-piece bed design incorporating the fender extensions.