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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.

Subaru Forester named Motor Trend 2014 SUV of the Year [w/video]

Each year, Motor Trend hands out its coveted Golden Calipers to its Car, Truck and SUV of the Year, and in the latter category, this year's bragging rights belong to the redesigned Subaru Forester. In the 14-year history of the SUV award category, Subaru is the only automaker to win three times (2009, 2010 and 2014) and the Forester is the only model to make a return appearance having also won the award back in 2009. In the last six years, this award has either gone to a Subaru or to a luxury crossover/SUV (Mercedes GL-Class in 2013, Land Rover Range Rover Evoque in 2012 and Porsche Cayenne in 2011).
Out of the 13 new or updated crossovers and SUVs in contention for the award, the 2014 Forester came out on top thanks its value, fuel efficiency and fun-to-drive attitude. Rather than a head-to-head battle, the utility vehicles are all judged on six criteria (design, engineering, efficiency, safety, value and performance of intended function). Other vehicles on the consideration list included the Acura MDX, Jeep Grand Cherokee, Land Rover Range Rover Sport and Toyota RAV4.
Scroll down for a video report from Motor Trend as well as a press release from Subaru.

New Subaru Outback spied for the first time

The Outback has been a strong seller for Subaru, especially in its most recent generation when it combined station wagon utility with crossover looks. The model is getting an imminent redesign just like its platform-mate the Legacy, and here are the first spy photos of it testing in Europe against an Audi Q5.
The cladding makes it very hard to tell what exactly Subaru is doing with the styling, but it's clear that they are sticking to the combined wagon/CUV look from the current gen. Many parts appear taken almost directly from the new Legacy like the door-mounted mirrors, creased hood and angular headlights. The windshield also appears more steeply raked than today's Outback, and at the rear the taillights look thinner and more vertical.
We are expecting the new Outback to use the revised 2.5-liter four-cylinder and possibly the 3.6-liter boxer six-cylinder from its sedan counterpart at launch. However, a previous rumor indicated the possibility of a smaller six-cylinder and a turbocharged four-cylinder being added to the lineup, but these new engines might still be a few years away.