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How new car shortages may impact your buying experience
Wed, 04 Sep 2013If 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.
Honda recalls 2.7 million vehicles for new air bag inflator defect
Wed, Jan 22 2020WASHINGTON — Honda said on Tuesday it will recall 2.7 million older U.S. vehicles in North America for potentially defective air bag inflators. The defect involves a different type of Takata inflator than those that have prompted the largest-ever auto safety recalls worldwide covering more than 42 million U.S. vehicles by 19 automakers with Takata air bag inflators. The new recall covers Honda and Acura automobiles from the 1996 through 2003 model years. Honda said it is aware of one field rupture of an inflator in the new recall campaign — a 2012 crash in Texas that resulted in an injury — and two in junkyards in Japan. The campaign covers 2.4 million U.S. vehicles and 300,000 in Canada, Honda said, adding that it has not determined recall numbers for other countries. Takata issued a new defect notice in November for inflators from four automakers, including Honda. Honda said all three vehicles "potentially were exposed to unusually high amounts of moisture prior to the rupture events." Honda said the recalls cover driver front airbag inflators manufactured with non-azide propellant and said "all inspections and repairs will begin in approximately one year, as replacement parts from alternative suppliers are not yet available." Honda said it "regrets any inconvenience or distress that this situation may cause to our customers as we seek to resolve this situation. Honda believes that the risk of improper airbag deployment in its vehicles remains very low at this time, but we cannot absolutely guarantee the performance of any recalled part." Related Video:
Honda shows us 'The Challenging Spirit of Honda'... in Japanese
Sun, 29 Dec 2013Just as Porsche has done with its lengthy Le Mans gear-up, Honda is is laying the table for its Formula One return more than a year before we'll actually see it on track. We've heard what it's 2015 engine will sound like, reminisced with the 1988 McLaren Honda MP4/4 and the 1964 Honda RA271 and spoken to the company's CEO about what F1 involvement could do for its production car engines.
The automaker has now released a video called The Challenging Spirit of Honda that traces the development of its in-house F1 program and the jump from motorcycles to the first RA270 F1 chassis in 1962, to the RA272 chassis that won the 1965 Grand Prix. The only catch: the video is in Japanese. However, you can read about the winning car in English, and the video ends with another sound check of the 2015 power unit. That is a universal language, and you'll find it being spoken below.