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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.

Honda shows facelifted Euro Civic hatch with new Sport variant

Honda has released the details on its freshened Euro-spec Civic ahead of its debut at the 2014 Paris Motor Show, whose media days are set to open next week. Aside from a fairly pleasant visual upgrade for both the standard Civic as well as the Civic Tourer, Paris will also see the arrival of a new Civic Sport model.
The new Civic wears a sportier front fascia, while the rear end is home to a new, stylish set of LED taillights. Honda has also revised the rear bumper, side skirts and spoiler. In the cabin, a new, Android-powered infotainment system called Honda Connect takes its place in the center stack, providing typical functions like radio, media, navigation and Bluetooth, as well as the ability to browse the Internet. The entire system is confined by a seven-inch display that offers pinch, swipe and tap functions that should be familiar to smartphone owners.
The big news, though, is the new Sport model (shown above). While this isn't a Civic Type R - with its 1.8-liter, 140-horsepower engine, it's not even a decaf Type R - it does deliver some more aggressive looks to the Civic line. There are standard 17-inch wheels, as well as a new, sportier Type R-inspired front fascia and a color-coded rear spoiler. Alongside that 1.8-liter gas engine is a 118-hp diesel mill that displaces 1.6 liters.

Four-leaf clovers, hybrid Hondas and the next automotive downturn | Autoblog Podcast #561

On this week's Autoblog Podcast, Editor-in-Chief Greg Migliore is joined by Senior Editor Alex Kierstein and Associate Editor Reese Counts. The group discuss the Alfa Romeo Stelvio Quadrifoglio, the Mercedes-Benz CLS 450 and the Honda Clarity PHEV Alex has been driving in Seattle. They also discuss the future of the auto industry, how customer tastes and needs are changing and what might happen if the world faces another economic downturn. Finally, we spend your money.Autoblog Podcast #561 Get The Podcast iTunes – Subscribe to the Autoblog Podcast in iTunes RSS – Add the Autoblog Podcast feed to your RSS aggregator MP3 – Download the MP3 directly Rundown Alfa Romeo Stelvio Quadrifoglio Mercedes-Benz CLS 450 Honda Clarity PHEV The next automotive downturn Spend My Money Feedback Email – Podcast@Autoblog.com Review the show on iTunes Related Video: