Latest News From Bumper to Bumper Radio

New Vehicle Sales Expected to Drop in June, Closing a Second Down Quarter in 2020

Analysts forecast a healthier-than-expected SAAR of 12.8 million in June as the country expands reopening and more consumers resume car purchases, but warn that new market factors could create trouble ahead

SANTA MONICA, Calif., June 25, 2020 -- The car shopping experts at Edmunds say that June will be another down month for auto sales as the industry continues to combat market challenges posed by the coronavirus (COVID-19) pandemic, forecasting that 1,080,656 new cars and trucks will be sold in the U.S. in June for an estimated seasonally adjusted annual rate (SAAR) of 12.8 million. This reflects a 28.7% decrease in sales from June 2019 and a 3.6% decrease from May 2020.

Edmunds experts note that sales are also down for the second quarter in a row this year, forecasting sales of 2,914,860 new cars and trucks in the second quarter, which reflects a 34.3% decrease from the second quarter of 2019.

"It comes as no surprise that the second quarter was a disappointing one for the automotive industry, but the good news is that auto sales didn't come to a complete standstill either," said Jessica Caldwell, Edmunds' executive director of insights. "The fact that retail sales — not fleet — are what kept the market propped up speaks volumes to the resilience of the American consumer. And the way that dealers were quick to pivot to online sales also underscores the incredibly responsive and resourceful nature of the industry in the face of adversity."

AAA Forecasts Americans will take 700 Million Trips this Summer

Trends show travelers are eager, but anxious to explore, booking last-minute trips; INRIX provides travelers with insight on summer traffic

ORLANDO, Fla. (June 25, 2020) – This summer, AAA forecasts Americans will take 700 million trips based on economic indicators and state re-openings. That number is down nearly 15% compared to last July through September and is the first decline in summer travel since 2009. AAA booking trends show Americans are making travel plans, though cautiously and more spur of the moment.

“Americans will get out and explore this summer though they’re taking a ‘wait and see approach’ when it comes to booking and are likely to book more long weekend getaways than extended vacations,” said Paula Twidale, AAA’s senior vice president of Travel. “When they do venture out, travelers will take to the road with 683 million car trips to satisfy their wanderlust.”

Price Increases Slow Alongside Dip in Gas Demand

The rate at which gas prices are increasing across the country is slowing. Thirty states only saw an increase of a penny or two, causing the national average to push more expensive by three cents to $2.13 since last Monday.

The slower rate can be tied to demand. Measuring at 7.87 million b/d, gasoline demand saw a small week-over-week decline and continues to be significantly lower (21%) compared to this week last year.

“Demand levels are likely to ebb and flow in the coming weeks as people continue to be cautious about travel,” said Jeanette Casselano, AAA spokesperson. As a result, pump prices will likely continue to increase, but at a slower rate through the end of the month.

Today’s national average is 19 cents more expensive than a month ago, but remains significantly cheaper – 53 cents – than a year ago.

Quick Stats

The nation’s top 10 largest weekly increases: Delaware (+10 cents), West Virginia (+9 cents), North Dakota (+9 cents), Montana (+8 cents), Washington, D.C. (+6 cents), Virginia (+6 cents), Colorado (+6 cents), Ohio (+6 cents), Maryland (+5 cents) and Wisconsin (+5 cents).

The nation’s top 10 least expensive markets: Mississippi ($1.76), Louisiana ($1.79), Alabama ($1.83), Arkansas ($1.83), Texas ($1.83), Oklahoma ($1.84), Missouri ($1.85), South Carolina ($1.86), Tennessee ($1.89) and Kansas ($1.92).

West Coast

Pump prices in the West Coast region mostly increased last week, and prices likely are poised for more increases this week. Nevada (+5 cents) saw largest increase in the region, while Hawaii (-2 cents) saw the only decline. Hawaii ($3.16) and California ($3.04) remain the most expensive markets in the country. Washington ($2.68), Nevada ($2.58), Oregon ($2.57), Alaska ($2.43) and Arizona ($2.29) follow.

According to EIA’s latest weekly report, total gas stocks in the region increased slightly from 30.1 million bbl to 30.2 million bbl last week. Increasing stocks, alongside increasing demand, may help to slow pump price increases this week in the region.

2020 AAA Car Guide Gives Extra Credit for Vehicle Safety Systems

Volvo Sedan earns top spot among 50 vehicles reviewed

ORLANDO, Fla. (June 18, 2020) – AAA announced a 2020 Volvo luxury sedan has earned the top score in its first edition of the newly released AAA Car Guide, a consumer resource on the latest and greatest in vehicle technology. The guide provides consumers with reviews based in part on how many advanced driver assistance systems (ADAS) are included in the vehicle as well as a number of other criteria. The majority of the category winners for 2020 are either electric, plug-in electric hybrids or hybrids, signaling that eco-friendly vehicles tend to offer the most cutting-edge vehicle technology.

The 175-page guide includes comprehensive, easy-to-read reviews of each vehicle which are based on 13 criteria, including braking, fuel economy, emissions, handling, ride comfort, acceleration and the number of ADAS safety features. These vehicles are tested, scored and placed in one of five vehicle categories by the Automotive Research Center (ARC) of the Automobile Club of Southern California, a member of the AAA federation of motor clubs.

“With an increasing number of vehicles equipped with advanced safety features, we thought consumers would benefit from an in-depth review of how they stack up with other driving criteria,” said Greg Brannon, AAA’s director of Automotive Engineering and Industry Relations. “Previous AAA studies have shown that many drivers don’t understand some of the features in their new vehicles and believe they can do more than is technically possible.”

Bad Behavior: Drivers Know It’s Wrong, But Many Do It Anyway

New research shows crash-involved drivers admit to risky driving behaviors

WASHINGTON, D.C. (June 11, 2020) – The AAA Foundation for Traffic Safety’s latest research finds drivers who have been in at least one crash in the past two years are significantly more likely to engage in risky behaviors like speeding or texting, even when they think the police may catch them. After three months of staying at home, AAA urges drivers to keep everyone safe on the roads and warns motorists against falling back into dangerous driving habits.

“The frequency of drivers in the United States engaging in improper behavior is too high. While drivers acknowledge that certain activities behind the wheel – like texting, are dangerous, some do them anyway,” said Dr. David Yang, Executive Director of the AAA Foundation for Traffic Safety. “We need to be aware of the serious consequences of engaging in these types of dangerous driving behavior and change course.”

The Foundation’s annual Traffic Safety Culture Index (TSCI), which highlights the gap between drivers’ attitudes and their reported behaviors, found that drivers perceive distracted, aggressive and impaired driving as dangerous. Yet many of them admit to engaging in at least one of these exact behaviors in the 30 days before the survey. The numbers were even higher for those involved in a recent crash:

Bumper Audio Clip of the Week

Bumper to Bumper Radio helps a listener who has noticed a clunking sound coming from their 2013 GMC Sierra.