It remains absolutely wild to me that Acura doesn’t build their own version of my CR-V Hybrid, which seems exactly like what the market wants right now. The decision to double-down on EVs made advancing the company’s non-EV platforms a low priority. Honda’s parent company seems to recognize this and is now doubling down on the kind of big crossovers and hybrids that people are buying.
Having swapped Los Angeles for New York, I’m now contending with the reality that The Morning Dump comes three hours earlier, so I hope what I write makes sense (which isn’t a guarantee even when I’m awake). Acura is going to lead with ICE-based crossovers, though there’s still room for EV crossovers. Volvo had high hopes for its EX60, and now its dealers in the United States are going to be deprived of even that.
Everything is expensive, and the latest CPI report shows the biggest increases are coming from fuel costs. That doesn’t mean people can’t buy cars, it just means that lenders are going to have to be a little more flexible with credit.
The Acura XL Is A Pretty Good Name, Actually
Acura is teasing a bunch of new crossovers as it’s trying to recover from its own haphazard switch to EVs. The brand is actually selling decently well, as people are getting good deals on the ADX and MDX, which are both up a lot year-over-year.
Here’s the word from the company’s big press release touting these future vehicles:
- Acura will introduce new products in segments where the brand does not currently compete, building customer lifetime loyalty and attracting new buyers to the brand
- New Acura adventure-ready SUV set to arrive in the first part of 2028
- All-new fourth-generation Acura RDX, coming to market in 2028, will be first Acura model to feature the company’s award-winning two-motor hybrid-electric technology
- New Acura 8-passenger SUV – its largest ever – currently in development
- New V6 hybrid powertrain in development for Acura D-Segment models
What’s going on here?
“We are making a big commitment to Acura by delivering products and services that meet the needs of our customers at all life stages, which will create a sustainable long-term direction for the brand,” said Eiji Fujimura, president & CEO of American Honda. “The Acura business foundation is sharply focused on the needs of the customer, delivering new products that offer value for money on a premium level, and increasing our speed to market to ensure that our products are highly competitive and meet the latest market conditions.”
Neat. Let’s break this down as best as I can. The adventure-ready SUV is almost certainly a rebadged Honda Passport TrailSport. That’s a good truck, and with some beefy, SLX-inspired aesthetics maybe that could be a hit. In fact, I think Honda should call it the Acura SLX. A new fourth-generation Acura RDX is just the return of the recently discontinued model, this time with the hybrid it always deserved. The V6 hybrid is that same big hybrid that’ll go in all of Honda’s big vehicles (Passport, Odyssey, Pilot).
What about the largest ever SUV? Internally, this is called the Acura XL according to Automotive News, and I am here for that name. It’s probably not usable, so we’ll get some sort of other alphanumeric. Hear me out: the Passport-based model can be called the SLX, and the eight-seat version of the new three-row Honda can be the Acura XLX. Charlie XCX can be a part of the ad campaign.
This news also supports my theory that every new car is just going to be a big three-row hybrid crossover.
Volvo Has Screwed Up Yet Another Launch
If I’m in the bag for any automaker… it’s Škoda. If I’m in the bag for any automaker that sells cars in America, it’s probably Volvo. I have owned two of them in reality, and dozens in my dreams. I was sort of gently looking forward to the new Volvo EX60, which seems like a reasonably well-performing, attractive, competitively-priced EV crossover.
Of course, that’s how I felt about the EX30, and look how that turned out. As Automotive News reports, history is repeating itself again with the EX60:
Volvo Cars’ highly anticipated EX60 electric crossover is mired in a production crisis that’s likely to leave U.S. dealerships without “significant volume” deep into 2027.
The Swedish automaker had expected to sell about 7,000 EX60s in the U.S. this year, dealers told Automotive News in January.
Instead, two manufacturing problems have the company on track to deliver a fraction of that volume, according to a person with knowledge of the situation.
That’s not going to leave Volvo dealers with much to sell.
Latest Inflation Report Is A Doozy
Above is the latest Consumer Price Index report from the Bureau of Labor Statics and, woof, it’s bad. Overall, un-adjusted inflation is up 3.7% year-over-year, and 0.6% over last month, which indicates that it’s accelerating. What’s getting more expensive? As you can see, energy costs are through the roof.
Gasoline of all-types is up 34.2%, and that’s not great, which is probably why used cars and trucks have seen a price drop (it’s the trucks). It’s almost like going to war in the Middle East while also putting up huge tariffs makes everything more expensive? I’m shocked.
The one line in here that’s absolutely terrifying is fuel oil. While fuel oil and diesel are different products, they’re similar enough that prices often move together. When it starts to get cold in the Northeast, just wait for people to absolutely freak out if something doesn’t change.
Sensing this might be politically inconvenient, President Trump has made a deal with Russian to release some of its stocks (which have been embargoed since Russia’s invasion of Ukraine). Most Democrats and many Republicans have opposed this move, with Trump’s former Vice President Mike Pence saying that “Paying [Russian President Vladimir] Putin blood money for fuel America already exports is wrong, illegal and stupid.”
Will it help fund Russian’s war? Probably. Will any of that oil come to America and make things appreciably cheaper? Probably not.
Auto Credit Availability Is Improving, But There’s A Catch
Two charts in one TMD? What is this, Christmas?
This is the Cox Automotive/Dealertrack Credit Availability Index, and it shows access to credit is still improving. This means that, if you’re a car buyer, it’s a little easier than it was a couple of years ago to finance a car. Is there a catch? Of course there’s a catch.
As vehicle prices have continued to rise this year, loan structure is where the pressure is showing up. Longer terms can lower the monthly payment, while smaller down payments and financing above a vehicle’s value reduce the cash borrowers need up front. All three moved further in that direction in September. Loans booked in September leaned more toward these structures than those booked in August, giving borrowers more ways to fit a vehicle into their budget.
This means more consumers underwater for longer, which is not terrible unless there’s some sort of economic collapse.
What I’m Listening To While Writing TMD
I was watching Gilmore Girls with the kiddo this morning, and, what was that? Does Jess listen to Pavement? It seems like he listens to a lot of Pavement, including “Texas Never Whispers” off the Watery, Domestic EP, which is a reasonably deep cut. Dean would never.
The Big Question
What does Acura need to do?
Top photo: Acura
The post Acura Is Going For That Big Hybrid SUV Energy appeared first on The Autopian.
