Auto sales reports will trickle out today, so please back later today for an update as we find out if the sales boom is ending.
The average transaction price for a new vehicle climbed to $34,264 in July, a gain of 2.5 percent or $832 from July of 2015. “Low interest rates, longer loan terms and increased leasing are helping consumers afford their monthly payments, which would be upwards of $550 per month on a traditional 60-month term,” said Tim Fleming, analyst for Kelley Blue Book. “As the price gap to late-model used cars increases, more shoppers may turn to the pre-owned market for their next vehicle, which could mark a big departure from the new-car sales growth the industry has seen during the past five years.”
Honda has reported a quarterly profit of $1.7 billion, an amount that was more than what analysts expected, but below the figure rung up a year earlier. Honda is still recovering from the costs associated with the Takata airbag recalls, and an earthquake that damaged a motorcycle plant in southwestern Japan. Unfavorable foreign currency rates also played a part.
South Korea has banned the sale of 80 Volkswagen models and fined the company about $16 million, the latest fallout from the diesel emissions scandal. On its South Korean website, VW called the action “regrettable” and said it would cooperate with authorities to resolve the matter in the near future.
Fiat Chrysler is rolling out a new tagline for its performance cars – “Domestic. Not Domesticated.” It will appear in ads to be aired this coming weekend featuring the Dodge Charger SRT Hellcat, and Challenger SRT Hellcat.
Chevrolet just sold its 100,000th Volt plug-in hybrid, a car that made its first appearance on the market back in 2010. “Not only is the Volt a class-creator, it serves as the foundation of a Chevrolet electric family that will soon add the first long-range, affordable EV available to customers across the U.S., the Chevrolet Bolt EV,” said Steve Majoros, director of marketing, Chevrolet Cars and Crossovers.