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Luxury car brands scrambling to avoid a blue Christmas

DETROIT — When financial markets surge to new records, sales of luxury cars usually rise, too. Instead, October U.S. auto sales reports on Wednesday showed that a collapse in sales of luxury sedans is accelerating. Consumers have gradually shifted over to luxury sport utility vehicles from sedans in the past decade, but the trend — which has occurred in both the non-luxury and luxury sedan segments of the auto market — was particularly pronounced in October. Sales of Daimler AG's Mercedes-Benz S-Class, long a global benchmark for large, premium sedans, plunged 49 percent in October, and are down 24.8 percent for the year to date. General Motors' Cadillac brand said it sold just 779 of its CTS sedans in October. Demand for that car, designed to compete with German luxury sedans, is down nearly 33 percent for the year. "There's still a significant portion of the market that wants a car, but I'm sure there were people who preferred a horse to a car at one point." Cadillac's best-selling model this year is the XT5 compact SUV, which has more than doubled sales from a year ago. The shift within the luxury vehicle market away from sedans toward SUVs of all sizes is forcing some of the most prestigious brands to scramble to add SUV models to their lineups or boost SUV production to meet demand. "In the short term, there will be pressure to add (consumer) incentives, cut production or both," said Cox Automotive analyst Michelle Krebs. "And we just don't see an end in sight to this trend." The Dow Jones Industrial Average has been trading at all-time highs, usually a good sign for luxury sedans, but as major automakers reported new U.S. vehicle sales for October on Wednesday, sales for passenger cars continued their slide while luxury SUV and crossover sales rose again. According to Kelley Blue Book data, in 2007 luxury sedans made up 7.6 percent of U.S. new vehicle sales, while luxury SUVs made up 4.2 percent. Through September this year, luxury SUVs made up just over 7 percent of the market, compared with 4.9 percent for luxury sedans. In the short term, luxury brands could use holiday season sales promotions to clear slow-selling sedans off dealer lots, analysts said. Toyota's Lexus brand said on Wednesday it will launch its "December to Remember" year-end sales promotion for the 18th straight year.

Volvo, Kia and BYD duke it out in the finals for World Car of 2024

Three electric vehicles — none produced by an American manufacturer — will compete next month for the title of 2024 World Car of the Year, it was announced Monday. The finalists are the Kia EV9, the Volvo EX30 and the BYD Seal (shown above). The latter two are built in China. The three top finalists in five other categories were also named at the Geneva Motor Show in Switzerland. The winners in all six categories will be revealed live during an awards ceremony at the New York International Auto Show on March 27. This year marks the 20th year of the World Car Awards and the partnership with the New York show. Besides car of the year, the other finalists are: Electric vehicle: BMW i5, Kia EV9, Volvo EX30; Luxury car: BMW 5 Series/i5, Mercedes Benz E-Class, Mercedes Benz EQE SUV; Performance car: BMW M2, BMW XM, Hyundai Ionia 5 N; Urban car: BYD Dolphin, Lexus LBX, Volvo EX30; World Car Design: Ford Bronco, Ferrari Purosangue, Toyota Prius. Only Ford among U.S. companies has an entry in the final selections, and only in one category, design, for the Bronco. BMW has four vehicles in the finals, Volvo has three, Kia and Mercedes have two each. BYD from China has two entries as well. The Seal went on sale in in its home market in 2022 and is now available in most of the rest of the world. The BYD Co. (which stands for Build Your Dreams) has surpassed Tesla to become the worldÂ’s biggest maker of electric vehicles, and has its sights set on the U.S. The selection process for World Cars involves 100-plus automotive journalists from 29 countries who vote, as they review and test-drive the eligible vehicles for the 2024 awards. Their journey is captured virtually on World Car TV. Design/Style Geneva Motor Show BMW Ferrari Ford Hyundai Kia Lexus Mercedes-Benz Toyota Volvo Best Cars World Car of the Year

2022 Lexus LS 500 gets subtle changes, the same price

The Lexus LS 500 glides into 2022 with a modicum of changes. The most notable update for new owners will be the retuned suspension, spring and damper rates adjusted to provide a more comfortable ride and anti-roll bars enlarged to tamp down body roll. On sedans optioned with the adjustable-ride-height function, Lexus said that feature has been "enhanced" to make getting in and out even easier. Output from the 3.5-liter twin-turbo V6 doesn't change from 416 horsepower and 442 pound-feet of torque, but a trio of tweaks are said to upgrade the experience. Reshaped tops on the pistons deliver "quiet operation when cold" — as if engine noise has ever been a Lexus problem — and lower emissions. New wastegate control logic means better turbo efficiency. And the 10-speed automatic transmission gets recalibrated shift mapping to keep the engine in the meatier part of the power band. The other changes for every LS 500 trim start with Lexus making its Safety System+ 2.5 standard across the range. This adds active safety features like Pre-Collision System (PCS), Frontal Collision Warning (FCW), Automatic Emergency Braking (AEB), Pedestrian Detection and Bicyclist Detection. Inside, Lexus says the infotainment system "provides additional control options for driver and passenger," without going into what those are. Those who option the Luxury or Executive Packages can get a new foil interior treatment called Haku. This is derived from 400-year-old the Japanese art of decorative gold leaf, the most well known being Kanazawa-haku, the leaf made by hammering gold until it was one or two ten-thousandths of a millimeter thin. Yes, you read that thickness correctly. The foil is so delicate that Lexus says it has to be applied by hand. Lastly, the 2,400-watt, 23-speaker Mark Levinson stereo can be optioned on the entry-level LS for the first time. Prices don't change from the current MSRPs for the 2021 sedan, the base LS 500 with rear-wheel drive starting at $76,000 and adding a $1,075 destination charge for $77,075 total. The rear-driven LS 500 F Sport starts at $80,675. Optioning either with AWD costs another $3,250. Related video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. 2021 Lexus LC 500 Convertible Walkaround