Tag Archives: auto sales

2026 Toyota Corolla Cross XSE

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Considering the Corolla. . .

By Gary S. Vasilash

Although people who live in places like southeastern Michigan would probably answer the question “What is the best-selling automotive nameplate of all time?” with “Ford F-150” because there are so many of them evident on the roads and in the driveways (in fact, it almost seems as though the “most people” have one), that is not the right answer.

The right answer is “Toyota Corolla,” the compact car that can.

Even though the F-Series has been available since 1948 and the Corolla since 1966, the Corolla has about 20% more sales (~50 million v. ~40 million), even with the 18-year difference in availability.

That’s largely because whereas there is a huge concentration of F-150s (and yes, Chevy SIlverados and Ram 1500s) in places like southeastern Michigan, the Corolla is available on five continents. (There is yet to be a Toyota dealership in Antarctica.)

Even though many people maintain there is waning interest in cars—especially compact cars—because everyone wants trucks or crossovers, there is still immense interest in cars.

Consider: through Q3 2025 Toyota sold 179,983 Corollas. GM’s Buick Div., which offers only crossovers, had sales of 156,835.

But this is not to say that the folks at Toyota don’t recognize a couple of things, like the value of the Corolla badge and the interest in crossovers.

So it has on offer the Corolla Cross which, too, is doing well in the U.S. market. Through Q3 it outsold the F-150’s little brother, the Ranger: 73,341 to 48,278.

Now there’s another aspect to the Toyota approach to the market, which in its case is a global market. (Yes, the Corolla Cross is available around the world, too.)

Toyota has not only maintained its hybrid offerings, but it has expanded them throughout most of its lineup, including to things like the Corolla Cross. While there have been some people who were critical that the company wasn’t going “all-in” on electric vehicles in a way some of its competitors seemed to be, because Toyota does have more of a global view than some of its competitors, it recognizes that EV charging isn’t as everywhere convenient as gasoline, so hybrids are a sensible alternative.

2026 Corolla Cross Hybrid XSE. Note the available Cavalry Blue body color and Jet Black roof. Also the hexagonal pattern of the upper grille is specific to the hybrid trim. (Image: Toyota)

And the U.S. market is certainly interested in the hybrid powertrain offerings. Of the Corollas Crosses sold through the first quarter 24,594 are hybrids, which is more than the Chevy Blazer EV, at 20,825 or the F-150 Lightning, 23,034 (not that anyone is likely to cross-shop a pickup with a compact crossover).

The Corolla Cross is categorized as a crossover. Presumably that has a lot to do with ground clearance. That is, a Corolla sedan has 5.3 inches of ground clearance and the Corolla Cross 8 inches, which is just 0.1 inch less than that of a RAV4, which is clearly a crossover.

But the Corolla Cross and the Corolla sedan are both built on the same platform, TNGA-C, whereas the RAV4 is based on the TNGA-K, which goes to the point that the Corolla Cross really drives, well, like a car, albeit with a higher seating position for better visibility.

The Corolla Cross Hybrid (it is also offered with no electrification of the 2.0-liter engine) provides a system horsepower of 196 net, which is reasonably peppy for the vehicle. What is more to the point of it vs. the standard is its superior fuel economy: 46/39/42 city/highway/combined miles per gallon for the hybrid and 31/33/32 mpg for the standard engine.

It is also worth noting the Hybrid—available in three trim levels—are all all-wheel drive, using Toyota’s 5th Generation Hybrid System. (The whole Toyota “continuous improvement” approach is something it has been applying to its hybrid systems, which can certainly provide consumers with a sense of confidence.)

The 2026 Corolla Cross Hybrid XSE has a base MSRP of $33,330 and with the $1,450 delivery, processing and handling fee (which gets you out the door), it is up to $34,780.

Exterior-wise, the XSE trim brings things like 18-inch black-finished alloy wheels, and black rocker panels, over-fenders and badging. There is a special grille design that has intimations of electrification.

On the inside there are a 12.3-inch digital gauge cluster and a 10.5-inch infotainment setup. There’s a heated steering wheel and heated front seats (good for those in southeastern Michigan this time of year).

There is Toyota Safety Sense 3.0 (Pre-Collision System with Pedestrian Detection, Proactive Driving Assist, Full-Speed Range Dynamic Radar Cruise Control, Lane Departure Alert with Steering Assist, Automatic High Beams, Lane Tracing Assist, and Road Sign Assist)—again, going to the point of continuous improvement.

All in, it is a competent package that, because in large part of its global footprint, has the kind of build quality and amenities that are a consequence of this massive scale.

2026 Volkswagen Tiguan SEL R-Line Turbo

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This is where things become interesting for this oft-overlooked crossover. . . .

By Gary S. Vasilash

Volkswagen has had a Tiguan on offer in the U.S. market since model year 2009. It is now on its third generation of the compact crossover.

The first two generations—model years 2009 to 2017 then 2018 to 2024—were OK vehicles in a segment where the likes of the Toyota RAV4 and the Honda CR-V reside. That means OK is, well, not enough. The second gen vehicle was built all over the place—from Germany to Indonesia, from Algeria to India, yet in the U.S. it was something of a shrug.

That is, if we look at the total sales in the U.S. for the Tiguan for 2024 (gen two), it is 94,372 (and that made it the best-selling VW model overall in the U.S. for that year). Meanwhile, over at Toyota, there were 475,193 RAV4s sold.

And if it seems unfair to compare it with the top-seller in the segment (although it should be noted that on a global basis, Volkswagen is just a smidge behind Toyota in production volume, so it is actually fair; in addition to which, the third-largest global player is Hyundai, and in the U.S. market in 2024 its Tucson had sales of 206,126), that’s the segment in which it competes, so it is up against seriously stiff competition.

And Now This. . .

And with the third gen, and the R-Line Turbo model in particular, VW has a Tiguan that people who are looking for a compact crossover simply need to consider.

I won’t predict huge sales for the Tiguan (an unfortunate circumstance is that the models sold in the U.S. are built in the VW plant in Puebla, Mexico, and as such are hit with a 25% tariff), but it is, unlike its predecessors, a more serious player and if you’re going to be offering something in this highly competitive segment, it needs to be serious because otherwise it will be merely interesting.

When I mentioned to a friend that I was driving a Tiguan, he immediately responded, “The turbocharged one with 268 hp?!?”

Yes, that one.

That is a surprising level of awareness, and if it goes out to the general public, it should do good things.

A word about that performance: the standard engine provides 201 horsepower, which is a bit below the 2025 RAV4, which delivers 203 hp, but a considerable amount more than the 187 hp for the Tucson.

Improved Engine

The Tiguan is powered by the company’s venerable (it was originally launched in 2006) EA888 2.0-liter engine that has, to borrow a Toyota term, been the object of “continuous improvement” over the years. Now it is the Evo5, which brings with it plenty of improvements, notably the variable geometry turbo and a 500-bar fuel pressure system. The turbo, of course, handles the exhaust while the higher fuel pressure system (they are typically 350 bar) helps with the fuel injection into the combustion chamber (it provides smaller droplets of fuel that facilitate a better air-fuel mixture which means better combustion for both performance and fuel efficiency).

The VW Tiguan SEL R-Line Turbo: improved exterior and exterior styling and performance that is notable. (Image: Volkswagen of America)

An addition word about the turbo. Chances are the sticker on the fuel door of a vehicle with a turbocharged engine will say that premium fuel is “Recommended.” Sometimes it is “Required.” Premium generally runs about $1 per gallon more than regular. While that might not be a big deal for someone who is driving, say, an Audi or a Lexus, for many people that buy vehicles in this category it is.

Regular fuel is Recommended for the Tiguan. Yes, even the turbocharged version. Often putting regular into a turbocharged engine results in reduced output. That’s not the case with the EA888 Evo5: that 268 hp is what you get with regular unleaded.

And while of the subject of gasoline, the vehicle is stickered at 22 mpg city/29 mpg highway/25 mpg combined, with the combined number being accurate during my time with the vehicle.

There is an eight-speed automatic and VW’s 4Motion all-wheel drive system.

(Here’s something clever–and surprising: that combined mpg number for the turbo AWD Tiguan is the same as the 25 mpg combined number for the standard version with AWD. No fuel sacrifice for improved performance.)

Size and Screens

A few more numbers: it has a passenger volume of 101 cubic feet—so it can seat five—and a cargo volume behind the second row of 27 cubic feet; with the seat folded, 59 cubic feet—so you can transport stuff.

There are a 15-inch infotainment screen and a 10.25-inch reconfigurable gauge cluster. A word about that infotainment screen. The graphics have a fresh, clean look.

On the subject of fresh and clean, the vehicle as driven has a “Mistral” leather interior package that is light colored and even has American walnut trim. Often interiors of German cars seem as though the inspiration came from the Black Forest. Not this one, which is a definitive plus.

Solid Offering

But then there’s that issue of being a “German” vehicle.

It has long seemed to me that the characteristic that is most prevalent in German products—vehicular or otherwise—is that they have a lot of serious mechanical engineering behind them. Robust. Solid. (One could argue that this is not merely a stereotype given VW’s contract with Rivian to source Rivian’s electrical architecture and software stack.)

One of the things that I discerned in this third-generation Tiguan that I would comparatively lacking in even recent iterations of gen two is that this solidity is back, that when you shut the door there is a “thunk” indicating substance.

There are lots of things to like about this Tiguan, from its quickness to the puddle lamp and front light illumination when you near the vehicle at night.

But that solidity. That’s something that sets it apart from that array of other compact crossovers.

This makes a big difference.

Survey Reveals OEMs’ Anticipation of EV Market Penetration

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Well, optimism is always a good thing to have. . .

By Gary S. Vasilash

The Kerrigan Advisors 2025 OEM survey—which was conducted from December 2024 to March 2025, so it is pre-tariff—indicate that OEM execs are still bullish on the prospects for electric vehicles in the U.S. market.

Asked what their expectation is for EV market share by 2025—presumably that would be “by the end of 2025”—the largest cohort, 46%, answered 10% to 20%. While that bandwidth may have included a lot of 10%s and 11%, it still shows a certain sense of bullishness among these execs.

The second largest cohort, 40%, answered 7% to 10%.

So either way, there is a solid number of execs who see things growing, which is reasonable given the amount of new EVs that are being rolled out.

(The remaining 14% of respondents: 8% say 21% to 30% market share, 2% 31 to 40%, 3% 41% to 50%, and 1% greater than 50%. It would be interesting to know who that 1% is.)

That said, they are willing to admit that the EV transition isn’t happening as quickly as anticipated.

80% say that it is going slower than planned. 10% say faster than planned and 9% as planned.

Still, there is an evident stick-to-it-ness among the OEMs.

One question that might seem ominous—remember that in 2024 Elon Musk said that if Chinese EVs come into the U.S. market they would “pretty much demolish” U.S. OEMs—has it that 76% of OEMs “think Chinese OEMs will eventually enter the U.S. market.”

While “eventually” is possibly a long time, perhaps that recognition that it may happen will allow the U.S. OEMs to make the necessary countermeasures.

How BMW Is Doing Well

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What it takes to be successful is more than any one thing. . .

By Gary S. Vasilash

When it comes to the German luxury Big Three, it seems as though Mercedes is roiling with things like headcount reductions and other measures to reduce costs; Audi is somewhat invisible (in the U.S. its 2024 sales were down by 14%, which puts it in third place, but at 196,576 to second place Mercedes’ 324,528, so that is a far-away third), and BMW, well, it would be fair to say it is doing well.

Last year BMW Group sold a total 371,346 vehicles in the U.S., up 12.3%.

(Image: BMW)

There are arguably two reasons this is likely the case:

  1. BMW has an assortment of powertrains: ICE, hybrid and EV. Customers have a choice.
  2. The company’s supervisory board made an announcement today regarding members of its board of management, focusing on the Development Division, but going beyond that. Oliver Zipse, chairman of the board of management, said: “Technology and innovation are and will remain key success factors for BMW. “That is why we have been combining the technological expertise and the great innovative capacity of our Development, Production, Purchasing and Supplier Network Divisions in our comprehensive technology clusters for years.”

Note well Development, Production, Purchasing, and Supplier Network.

The success of a company just isn’t what it puts under the hoods of its vehicles or what kind of ADAS is deploys.

It is predicated on the integration of parts of its organization.

Without this solid integration, something gets left out and problems arise.

Tariff Time

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The price of eggs still hasn’t come down and soon the prices of vehicles are going up. . .

By Gary S. Vasilash

If you were thinking about buying a new vehicle, you might hurry given the application of tariffs on vehicles imported from Canada and Mexico.

No, it won’t mean that the price will go up 25%. But they will go up sufficiently such that you’ll more than notice it on your loan payments.

Anderson Economic Group has figured that vehicle prices will rise on the order of $4,000 to $10,000.

Now, of course, this pass through of pricing isn’t going to be instantaneous.

But it is going to be significant.

According to Stephanie Brinley, analyst at S&P Global Mobility, the vehicle manufacturers are going to be building some 20,000 fewer vehicles per day.

Brinley, speaking to the Automotive Press Association, also pointed out that there is a whole lot of trade going back and forth across the borders, and this is not only parts being produced by suppliers.

Say you want to buy a Ford F-150. Those trucks are built at plants in Dearborn and Kansas City. No problem there.

But say you want a V8.

That’s built in Windsor, Ontario, Canada.

EV sales are already tough.

Chevy has a hit with the Equinox EV. A large part of that is undoubtedly that it is a 315-mile range EV that starts at $41,900. For now.

It is built at the GM plant in Ramos Arizpe, Mexico.

So are the Chevy Blazer EV and the Cadillac Optiq.

Let’s say you want to buy a Ford Mustang GT, which ranks highly in the 2024 Made in America Auto Index from Kogod School of Business.

What’s the likelihood that if the price of other things in the showroom go up (the Mustang Mach-E is built in Cuautitlan, Mexico) the price will be held on the Mustang GT with the gas engine?

Low, I suspect. After all, not only are there going to be fewer vehicles to sell, they’re going to want to make something, and there’s only one way that’s going to happen.

Sure, maybe the vehicle manufacturers will eat the costs. For a while.

But if the trade dispute carries on, there will be little appetite for that.

EU Powertrain Picture

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Seems that gasoline is still reasonably popular. . .

By Gary S. Vasilash

The good news for companies in the European Union that make things like con rods and pistons is that according to the most recent vehicle registration figures from the European Automobile Manufacturers’ Association (ACEA) people are still buying vehicles that use internal combustion engines.

Its figures for January 2025 show that 29.4% of EU new vehicle registrations in January were for “petrol” powertrains.

The number in January 2024 was 35.4% petrol power, so clearly things are moving in the wrong direction for those in the business of making engines and the components thereof.

However, looking at the numbers for hybrids, things appear in a different way.

In January 2024 hybrids represented 28.7% of the new registrations in the EU.

But in January 2025 hybrids are at 34.9%.

So while there was a 6% decline in petrol registrations between the two months, there was a 6.2% increase in hybrid registrations.

And hybrids, of course, use internal combustion engines, too.

So if we sum the figures, 64.3% of the new vehicle registrations in the EU in January have internal combustion engines.

If the plug-in hybrids are added (7.4%), that gets to 71.7% of the market.

Electric vehicles?

They’re 15% of the January 2025 new vehicle registrations, which is a move toward the upside compared to January 2024, when EVs were at 10.9%.

However, EU regulations regarding CO2 emissions are such that 20% of the vehicles sold by automakers must be zero emissions.

If the ~37% increase from January 2024 to January 2025 for EVs holds, there is not going to be a problem reaching that figure.

Still, presumably when the 20% rule was written it was a stretch goal but not one thought to be wholly unattainable.

At the end of the day, the Market will decide on what powers its vehicles.

Yes, California Is Different

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Here’s what the dealers sold in the state in 2024. It may surprise you

By Gary S. Vasilash

If someone asked what the best-selling automotive brand was in California in 2024, odds are “Tesla” would leap to mind as the leader.

Close, but no whatever the alternative to a cigar is.

Tesla, which has 3.9% of the total U.S. market, with 11.6% in California, is in second place.

Toyota is the top seller in California according to the California New Car Dealers Association (CNCDA).

In 2024 it had 16.4% of the California market. 12.8% in the U.S.

Coming in third in the Golden State is Honda, with 10.9% of the market. Nationally it is at 8.1%.

So far as California numbers go, after third place the rest of the brands have single-digit (not including the bit to the right of the decimal) shares of the market:

• Ford 7.4%
• Chevy 6.2%
• Kia 4.8%
• Hyundai 4.5%
• Nissan 3.9%
• Mercedes 3.9%
• BMW 3.7%
• Lexus 3.6%
• Subaru 3.4%
• Mazda 2.3%
• GMC 2.1%
• Audi 1.9%

Although some have chastised Toyota for its limited EV offering, odds are Toyota dealers are happy with the approach.

Note how Toyota has a 4.8% advantage over Tesla. Tesla has just a 0.7% advantage over Honda.

You may note what’s missing from the top 15 brands: any Stellantis brand.

They didn’t do particularly well in the California market in 2024.

Compared to 2023 new car registrations in the state:

• Ram -21.5%
• Jeep -28.6%
• Chrysler -32.1%

The good news is that apparently people like muscle cars in California because Dodge registrations were up 6.9%. (What’s interesting is that on the list of those in the positive territory, Toyota’s increase was just 4.4%, which indicates that having 16% of the total market is probably about as good as you can get.)

What is notable is how Ford and Chevy play so very well on the national level.

While Ford, as mentioned, has 7.4% of the California market, it has 11.8% of the U.S. market.

And Chevy, with 6.2% in California, is at 10.9% nationally.

While it probably has a lot to do with pickups, Californias do buy a number of those, too: 37,655 Chevy Silverados and 36,546 F-Series trucks were registered in 2024.

Here’s something to consider:

According to the CNCDA:

“New light vehicle registrations in California declined a slim 0.3 percent from 2023 to 2024. The U.S. market improved by 3.4 percent last year.

“All of the decrease in the state market last year was attributable to Tesla, which had an 11.6 percent decline. Registrations for all other brands increased 1.4 percent.”

If Musk didn’t seem to be so occupied elsewhere you might think he be thinking long and hard about that non-trivial decline in California.

California has some 1.1-million EVs registered. If you take the next four states with high levels of EV registrations—Florida, Texas, Washington, and Arizona—combined they have 520,000 EVs rolling around.

One part of the decline for Tesla in California could be saturation and aging models. Another could be politics, but if that’s an issue, it will really come to the fore in the results for 2025.

//

Incidentally: if you want more shinymetalboxes, check out the Substack at https://shinymetalboxes.substack.com

2025 Mazda CX-5 2.5 S Carbon Edition

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Don’t just consider the top-of-mind when thinking “compact crossover”. . .

By Gary S. Vasilash

During a recent “Autoline After Hours” co-host John McElroy, talking about a Mazda CX-90 he was driving, said, “I don’t know why more people don’t buy Mazdas.”

Which is a solid observation.

First, however, it should be noted that Mazda’s fortunes in the U.S. market considerably improved in 2024 compared with 2023.

In ’24 it sold 424,382 vehicles. The previous year it was just 363,354. That’s nearly a 17% improvement.

Compare that with the overall U.S. market being up a mere 2.2% and you can see that Mazda’s bump is impressive.

But then there is what Mazda is up against.

In 2024 Ford sold 124,701 Bronco Sports, 146,859 Escapes and 194,094 Explorers, for a total of 450,125 vehicles.

Of course, Mazda has about 550 dealerships in the U.S. and Ford 3,000, so there is something to be said for access and availability.

The 2024 sales for the CX-5 were 134,088 vehicles. That is a drop of 12.8% compared with 2023 sales.

Mazda CX-5: Ripe for consideration. (Image: Mazda)

However, one might argue that the Mazda CX-50, another compact SUV that is approximately the same size as the CX-5 but which has a bit more of a rugged execution (sort of like the Bronco Sport and the Ford Escape, but (a) the Bronco Sport is far more rugged overall than the Escape and (b) the two Mazdas are on different platforms, so there is that difference). CX-50 sales in 2024, at 81,441, were up 82.6%.

Of course, someone looking at a new vehicle is looking now, not last year, so. . . .

The comparison with the Ford Escape isn’t coincidental. The vehicles are quite similar with a few notable differences.

For example, the CX-5 comes standard with all-wheel-drive. The Escape has that as an option.

The engine in a CX-5 is a 2.5-liter four that produces 187 hp and 186 lb-ft of torque. The base engine in the Escape is a 1.5-liter in-line three cylinder engine that produces 180 hp and 199 lb-ft of torque.

The Ford has an eight-speed automatic. It is six for the Mazda.

For those who are interested in cargo capacity the Escape clearly has the advantage with 37.5 cubic feet versus 30.8 cubic feet for the CX-5.

But to get back to McElroy’s original question, it goes to the point of why there are probably far more people who had a default thought to an Escape (or an Equinox or RAV4 or CR-V) and not the CX-5: good as they are, Mazdas are largely invisible in the market.

With a base MSRP of $32,600 the 2.5 S Carbon Edition brings such things as leather seating and a power moonroof; a 10.25-inch center display and wireless charging, Apple CarPlay and Android Auto.

It is competent and contemporary.  And because of that, the CX-5 needs to be considered.

OEM Websites Need Work

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If car companies want to convince consumers they are cool, the site is a place to start

By Gary S. Vasilash

Auto manufacturers are seemingly hell bent on making sure everyone understands that they are not just purveyors of transportation equipment but tech wizards, as well.

After all, they don’t want to be seen as digital luddites compared to, say, Tesla.

But the recent J.D. Power 2025 U.S. Manufacturer Website Evaluation Study—Winter indicates that consumers aren’t seeing them as particularly advanced so far as the OEM websites go.

“The auto industry is falling short on modernization and organization of their websites. Consumer expectations are high and having an updated, organized and aesthetically pleasing site is one of the most important things manufacturers can do to drive site satisfaction,” says Kristen Coffin, analyst of digital solutions at J.D. Power.

Guess what OEM website in the Premium category is the most satisfying?

Tesla.

On a 1,000-point scale it scored 752 among the surveyed.*

The average for the segment is 708.

The companies below the line are Cadillac (704), Jaguar (702), Porsche (700), Genesis (699), Volvo (688), and Alfa Romeo (641).

Over on the Mass Manufacturer side of things, the numbers across the board are lower, with the segment average at 692.

Ford has the highest ranking, at 719.

Mitsubishi, which needs all the help it can get in the market, ranks lowest at 661.

Arguably it is harder to convince people that the vehicles on offer by an OEM are as up to date as they can possibly be if they see better websites for home improvement tools or running shoes.
//
*11,406 people who indicated they’d be in the market during the next 12 months. The study was conducted in October-November 2024.

EV Issues in the UK

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There is the mandate. Then there is the market.

By Gary S. Vasilash

One of the questionable Christmas presents that car companies doing business in the UK happened just before the holiday, when the country’s Department of Transport, which has on the books a mandate that by 2030 there will be no new vehicles sold with gasoline or diesel engines under their hoods, announced an eight-week period during which the OEMs would have the opportunity to weigh in on how this can be achieved.

Note this is not an “If.”

As things stand, there are annual targets that must be achieved in terms of zero-emission vehicle—a.k.a., electric vehicles—by the companies.

The UK government is committed to this, apparently, although one wonders if the auto industry begins to crumble because of the penalties associated with not meeting the targets.

Penalties in the form of a fine of £15,000 for every vehicle sold that doesn’t meet the target.

For example, consider Ford, which has been part of the UK’s automotive structure since 1911.

The mandate has it that 22% of a carmaker’s sales in 2024 are electric.

How did Ford do? Apparently 6.8% for the first 11 months, so unless there was some massive change, it will be well below the government bogey.

Which means serious fines.

This is sort of an insult-to-injury situation in that the company has been investing billions of dollars/pounds/euros—pick your currency—in EVs, and because people aren’t as interested in buying them as they are other products, it costs Ford (and other companies that don’t meet the mandate) more.

Heck of a business.

Or as Mike Hawes, head of the Society of Motor Manufacturers and Traders trade association for the auto business in the UK, put it:

“Aside from the billions invested in new technologies and products, it has cost manufacturers in excess of £4 billion in discounting in the UK this year alone. This is unsustainable and, with the 2025 market looking under even greater pressure, it is imperative we get an urgent resolution, with a clear intent to adapt the regulation to support delivery, backed by bold incentives to stimulate demand.”

Which probably means that the government is going to have to pony up more money in order to generate demand.

And Ford isn’t the only company with the lack-of-demand situation. It is estimated EVs will represent 18.7% of the UK car market in 2024, not the mandated 22%.

In 2025 that goes up to 28%.

Hawes’ “unsustainable” is an understatement.

This isn’t just a UK issue.

In the US, where EV sales in 2024 were on the order of 9%, currently standing EPA greenhouse gas regulations have it that more than 50% will need to be EVs by 2030.

The word for that may be “unachievable.”