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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.

Here are all the cars GM is axing as part of its restructuring

GM plans to kill off a couple of great and a few meh cars as part of its restructuring. Here's a rundown of all the cars being phased out of production. None of the vehicles GM axed were SUVs or crossovers. Instead, it was an action reminiscent of what Ford recently decided to do by discontinuing U.S. sales every Blue Oval sedan. GM just didn't explicitly say, "We're killing our cars," like Ford did — probably a smart move by GM. Keep scrolling down to see the full list of deceased GM models. Chevrolet Volt This one was the most surprising of all the cars GM decided to can, primarily because cars with plugs are supposed to be our future. However, maybe consumer demand just isn't quite there yet for a plug-in like the Volt. We came up with all sorts of ideas for what was to blame for the untimely demise of the Volt, so go check that out for a full breakdown of the situation. Cadillac CT6 Here's another car we'll be sad to see go. Cadillac's flagship sedan was such a joy to drive, and it served as the conduit to deliver GM's semi-autonomous Super Cruise system, which still hasn't been surpassed by any other company's technology in our books, even Tesla's Autopilot. That being said, GM does plan to produce the CT6 until March, with the last cars coming off the line set to be twin-turbo V8 V-Series models. If it's going to go, this seems like a pretty great way to make an exit. We'll be patiently awaiting the next flagship Cadillac once this one finally fades away. Chevrolet Impala The Impala is actually a pretty good car. It doesn't sell terribly, and we think it's a completely satisfactory car to drive. However, people would rather have a Traverse or Equinox these days, making the Impala one of the vehicles to find itself on this list. Chevrolet is keeping its smaller brother, the Malibu, but a big, full-size sedan just isn't what people are ordering up these days. It's unfortunate to see it go, but we won't be broken up over it. Chevrolet Cruze We wouldn't rank the Cruze at the top of the compact car class, but if you were looking for a small, cheap American car, it was either this or the Focus. The Cruze had the potential to be a true small performance car if Chevy had ever wanted to make it into one. But sadly, we're seeing it bow out before Chevy ever tried to slot a hot engine and suspension in there to make it competitive with other hot hatches. A Cruze SS would have made enthusiasts take notice.

Buick rolls out more potent Encore Sport Touring

Buick has announced a new Sport Touring version of the Encore. And more than a trim level or special edition, we're glad to report that the new model packs a more potent engine. Instead of the 1.4-liter turbo four that produces 138 horsepower and 148 pound-feet of torque in the standard Encore, the new Sport Touring model features a newer, more powerful engine that GM says shares little with the existing unit aside from its displacement. The new 1.4-liter turbocharged, direct-injection engine produces a more commanding 153 hp and 177 lb-ft of torque, which is up a good 11 percent and 20 percent, respectively, over the existing engine. It's still mated to a six-speed automatic transmission, and features a stop/start system to optimize fuel efficiency. Buick wasn't willing to estimate where the mile-per-gallon numbers might land, though that information will be available closer to sale. Along with the upgraded engine, Buick is also throwing in 18-inch wheels, a rear spoiler, and the features from the Convenience package as well. The new Encore model follows just a couple of months after we first caught wind of a trademark filed for the Sport Touring name. At the time, it looked like it was set to be applied to the Regal and LaCrosse sedan, which could still follow as well. Related Video: Buick Introduces 2016 Encore Sport Touring New 1.4L turbo engine adds performance, exclusive exterior cues add distinction 2015-07-20 DETROIT – Buick today introduced the 2016 Encore Sport Touring – a more spirited take on the brand's popular crossover. It is distinguished by unique exterior cues and driven by an exclusive, all-new 1.4L turbocharged engine featuring direct injection and stop/start technology. The exterior features include a winged rear spoiler, 18-inch aluminum premium-finish wheels and body-color door handles, while the technologically advanced 1.4L turbo is part of a new, global family of small, power-dense engines developed to balance performance and efficiency with exceptional refinement. Direct injection helps it generate an estimated 153 hp (112 kW) and 177 lb-ft of torque (240 Nm), for about 11 percent more horsepower and nearly 20 percent more torque than the Encore's standard engine – and a greater feeling of power on demand, particularly at low- and mid-range engine speeds. It's matched with a six-speed automatic transmission. Stop/start technology contributes to reduced fuel consumption in stop-and-go driving.