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2016 Honda Pilot packs more of everything

Honda has come a long way over the course of its history, evolving from motorcycles to automobiles, marine engines, power equipment, robots and even jet aircraft. But its biggest push over the past couple of decades has been in crossovers and SUVs. From the Passport that was rebadged from the Isuzu Rodeo in the early 90s, Honda's high-riding lineup has expanded to include the CR-V, the smaller HR-V, the oddball Crosstour, the soon-to-be-updated Ridgeline pickup, a smattering of luxury crossovers from Acura, and this, the biggest of them all, the Pilot. And Honda has just revealed an all-new version here at the Chicago Auto Show. Now in its third generation, the all-new 2016 Honda Pilot is, like its predecessors, a three-row family-hauler. Compared to the decidedly boxy model it replaces, the new Pilot is certainly more dynamically styled to more closely match the latest crossovers in the Honda lineup, but it may start to resemble the Odyssey minivan (with which it shares its underpinnings) too closely for some tastes. The new Pilot is three inches longer than the model it replaces, primarily to the benefit of cargo space: Honda says you can now fit a full-size 82-quart cooler in the back without infringing on the third row of seats – ingress and egress from which are now enabled by a power folding second row that opens a wider aperture to the back to more easily fit in all eight passengers. (That is, unless you go for the available second-row bucket seats that reduce capacity to seven.) Interior amenities are increased all around, with a proliferation of power outlets and connectivity ports and an available panoramic roof. Despite the growth, though, the new Pilot is 300 pounds lighter than the model it replaces. It is also built on a more solid platform, to the benefit of handling, crashworthiness and NVH insulation. Of course the new Pilot benefits from all the latest safety and driver-assist systems, and Honda anticipates top ratings from both the National Highway Safety Administration and the Insurance Institute for Highway Safety. Power comes from a 3.5-liter V6 with all the tricks in the book (short of a hybrid assist) to make it as economical as possible. The i-VTEC engine has direct injection, cylinder deactivation, stop/start ignition and an automatic transmission with either six or (for the first time from Honda) nine speeds, depending on the trim level. Buyers will also be able to choose between front- or all-wheel drive.

United States drivers buying fewer Mexican-made cars

Crossovers and pickup trucks are not only growing in market share, they're also more profitable than cars. A crossover on the same platform as a sedan retails for thousands more, despite similar components. It's one of the reasons we've seen automakers rapidly shifting production of their sedans and hatchbacks to Mexico, where cheap labor preserves the thin profit margins on these inexpensive vehicles. But as the market continues to shift in the United States, Mexico is getting burned by its lack of product diversity. The country's auto exports, which are heavy on cars, suffered a 16-percent drop last month, Automotive News reports. In total, year-over-year exports fell from 233,515 to 197,020 last month, while year-to-date exports are down by 7.4 percent, from 922,029 to 854,118. The number one culprit? America – which usually accounts for 75 percent of Mexico's exports – and its appetite for crossovers and pickup trucks bolstered by cheap gas prices. While Mexico does build some light truck models – AN specifically calls out the Ram 2500, Honda HR-V, GMC Sierra, and Toyota Tacoma as export leaders – the vast majority of vehicles rolling out of its factories are sedans and hatchbacks. In fact, the three biggest drops in Mexican exports came from companies whose south of the border factories only build cars – Ford (Fusion/Lincoln MKZ and Fiesta), Mazda (Mazda3), and Volkswagen (Golf and Jetta). Mexican Automotive Industry Association President Eduardo Solis told AN the export shortfall will likely be sorted out sooner rather than later, thanks to a pair of new factories – a Kia car factory and an Audi SUV plant – that are coming online by year's end. The two facilities will add around 100,000 vehicles to the country's export totals, which Solis said should leave the industry on the verge of breaking another export record in 2016. But how sustainable will these record-breaking years be? Slapping an "Hecho en Mexico" sticker on a new German SUV won't be enough to change the fact that Mexico's product mix is tilted too heavily towards body styles that are not growing in volume. Mexico's record-breaking export years probably aren't at an end, but we'd argue they're certainly under threat. News Source: Automotive News - sub. req.Image Credit: Omar Torres / AFP / Getty Images Plants/Manufacturing Ford GMC Honda Mazda RAM Volkswagen Truck Crossover SUV Mexico

Trucks, SUVs drive U.S. October new vehicle sales

DETROIT — Major automakers posted mixed U.S. new vehicle sales in October on Wednesday, though America's love affair with high-margin pickup trucks and SUVs remained in full bloom as larger, pricier vehicles fared better than passenger cars. Auto industry publication WardsAuto put the seasonally-adjusted annualized rate (SAAR) for light vehicle sales in October at a robust level of 18 million units. But after a long boom cycle, carmakers are still ill-prepared for the slight decline in sales anticipated for full-year 2017 and have taken too few steps to trim production, said Doug Mehl, a partner in consultancy A.T. Kearney's automotive practice. "When you make a new vehicle, you have volume assumptions tagged to it, and who wants to be the guy who says, 'I'm going to make less of this really cool model'?" Mehl said. "But eventually the market is the reality, and it's going to force companies one way or other here." General Motors GM reported a sales drop of 2.2 percent for the month, with consumer sales down 6.6 percent. But sales of high-margin pickup trucks, sport utility vehicles and crossovers all rose. GM also cut its inventory of unsold vehicles — a source of concern for the market — slightly. The automaker has worked to reduce its volume of excess inventory, including through significant production shutdowns in the third quarter. GM had said its inventory would rise in October. "We are heading into the fourth quarter with good momentum, thanks to a strong U.S. economy and very strong pickup and crossover sales," said Kurt McNeil, GM vice president for U.S. sales operations. GM slightly reduced consumer discounts as a percentage of average transaction prices to 13.5 percent, from 13.7 percent in the third quarter. Industry experts believe consumer discounts above 10 percent of the average transaction price are unhealthy as they erode resale values and are unsustainable in the long term. Consultants J.D. Power and LMC said last week that based on preliminary October sales numbers, discounts have exceeded 10 percent in 15 of the past 16 months. Ford The U.S. auto industry posted record sales of 17.55 million vehicles in 2016. New sales received a strong boost in September as consumers replaced vehicles damaged in southeast Texas by Hurricane Harvey the previous month. Full-year 2017 sales are expected to be slightly lower than 2016.