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The average car on American roads is now 12.6 years old

Auto journalists and enthusiasts love buying new cars, but the general public isn’t as hyped about the process. A recent study from S&P Global Mobility found that the average age of vehicles on U.S. roads has continued increasing, reaching 12.6 years in 2024.

That figure, which applies to cars and light trucks, grew two months from 2023’s study. That increase has presented a prime business opportunity for aftermarket parts and service providers. S&P Global Mobility’s aftermarket practice lead, Todd Campau, said, “With average age growth, more vehicles are entering the prime range for aftermarket service, typically from six to 14 years of age. With more than 110 million vehicles in that sweet spot – reflecting nearly 38 percent of the fleet on the road – we expect continued growth in the volume of vehicles in that age range to rise to an estimated 40 percent through 2028.”

Owners holding onto their cars means fewer are heading to scrapyards, though the number of scrapped vehicles has not increased since last year. That said, two cars are scrapped for every new passenger car registration, adding up to 27 million vehicles leaving the roads since 2020 with just around 13 million new ones registered.

Even with the pace of scrapping, the number of vehicles on our roads has grown significantly since last year. As of January, there were 286 million vehicles in service, two million more than last year. The number of vehicles aged six years or less fell from 98 million in 2019 to 90 million in 2024, driven in part by pandemic-related shortages and supply chain issues.

At the same time, the number of EVs in service continues to grow, despite some prognosticators’ view that the sky is falling. There were 3.2 million EVs in operation at the beginning of this year, an increase of more than 50 percent since 2022. That said, S&P noted that the 3.5-year average age of EVs on the roads could increase in the near term as adoption slows.

Remember last year’s Memorial Day traffic jams? Expect much worse this year

You didn’t think summer travel would be easy, did you?

Highways and airports are likely to be jammed the next few days as Americans head out for Memorial Day weekend getaways and then return home.

AAA predicts this will be the busiest start-of-summer weekend in nearly 20 years, with 43.8 million people expected to travel at least 50 miles from home between Thursday and Monday. The Transportation Security Administration says up to 3 million might pass through airport checkpoints on Friday alone.

And that is just a sample of what is to come. U.S. airlines expect to carry a record number of passengers this summer. Their trade group estimates that 271 million travelers will fly between June 1 and August 31, breaking the record of 255 million set – you guessed it – last summer.

The annual expression of wanderlust is happening at a time when Americans tell pollsters they are worried about the economy and the direction of the country.

A slowdown, and in some cases a retreat, from the big price increases of the last two years may be helping.

Airfares are down 6% and hotel rates have dipped 0.4%, compared with a year ago, according to government figures released last week. Prices for renting a car or truck are down 10%. The nationwide price of gas is around $3.60 a gallon, about 6 cents higher than a year ago, according to AAA.

Johannes Thomas, CEO of the hotel and travel search company Trivago, said he thinks more customers are feeling the pinch of prices that have plateaued but at much higher levels than before the pandemic. He said they are booking farther in advance, staying closer to home, taking shorter trips, and compromising on accommodations — staying in three-star hotels instead of five-star ones.

Many travelers have their own cost-saving strategies, including combining work and pleasure on the same trip.

“I have largely been able to adapt by traveling at strange hours. I’ll fly out late at night, come in early in the morning, stay longer than I intended, and work remotely,” said Lauren Hartle of Boston, an investor for a clean-energy venture firm.

Hartle, who flew from Boston to Dallas on Wednesday for a work conference, plans to attend a summer family gathering in North Carolina but is otherwise considering trips closer to home — and maybe by train instead of plane.

Catey Schast, a nanny and piano teacher in Maine, said her Boston-Dallas flight cost $386 round trip. “It wasn’t terrible,” but it was higher than the $200 to $300 she paid in the past to visit family in Texas, she said.

Schast plans a beach vacation in Florida in July. High prices could discourage her from taking other trips, but “if I really want to go somewhere, I’m more of a how-can-I-make-this-happen type of person, as long as I have the time off work.”

As in past years, most holiday travelers are expected to travel by car – more than 38 million of them, according to AAA. The organization advises motorists hoping to avoid the worst traffic to leave metropolitan areas early Thursday and Friday and to stay off the roads between 3 p.m. and 7 p.m. Sunday and Monday.

“We haven’t seen any pullback in travel since the pandemic. Year after year, we have seen these numbers continue to grow,” AAA spokesperson Aixa Diaz said. “We don’t know when it’s going to stop. There’s no sign of it yet.”

There’s certainly no slowdown at airports. The number of people going through security checkpoints is up 3.2% this year. The TSA said it screened 2.85 million people last Friday and nearly as many on Sunday — the two busiest days of the year so far.

TSA predicts it will screen more than 18 million travelers and airline crew members during the seven-day stretch that begins Thursday, up 6.4% from last year. Friday is expected to be the busiest day for air travel, with nearly 3 million people passing through checkpoints. The TSA record is 2.91 million, set on the Sunday after Thanksgiving last year.

“We’re going to break those records this summer,” TSA Administrator David Pekoske said.

The agency, which was created after the 9/11 terror attacks, has struggled at times with peak loads. Pekoske told The Associated Press that pay raises for front-line screeners have helped improve staffing by reducing attrition from more than 20% to less than 10%.

Airlines say they also have staffed up since being caught short when travel began to rebound from the COVID-19 pandemic in the spring and summer of 2022.

With any luck from the weather, travelers could see fewer canceled flights than in recent summers. So far this year, U.S. airlines have canceled 1.2% of their flights, according to FlightAware data, compared with 1.4% at this point last year and 2.8% in 2022 — a performance so poor it triggered complaints and increased scrutiny from Transportation Secretary Pete Buttigieg.

Even before the holiday weekend started, however, storms caused widespread cancellations at Dallas-Fort Worth International Airport, the biggest hub for American Airlines. The carrier dropped more than 200 flights, or 5% of its schedule, by late afternoon.

Stranded travelers were not happy.

“Our flight got canceled right before the check-in. And now there’s no flights here until Friday because (open seats on other flights) went really quickly. We might wind up driving. Isn’t that terrible?” said Rosie Gutierrez of Allen, Texas, who was trying to get to Florida along with her son, daughter-in-law and granddaughter.

American’s chief operating officer, David Seymour, said the airline has beefed up its staffing and technology in preparation for the seasonal rush.

“It’s a long summer, but we’re ready for it. We have the right resources,” he said.

American is offering its most ambitious summer schedule ever — 690,000 flights between May 17 and Sept. 3.

United Airlines forecasts its biggest Memorial Day weekend, with nearly 10% more passengers than last year. Delta Air Lines expects to carry 5% more passengers this weekend, kicking off its heaviest summer schedule ever of international flights.

According to AAA, the top domestic and international destinations are familiar ones. They include Orlando, Las Vegas, London, Paris and Rome.

So what about nervousness over the economy?

It’s important to note that people often say their own finances are better than average. In an AP survey from February, 54% said their personal situation was good — but only 30% felt the same about the nation’s economy.

That could explain why they can afford to splurge on travel.

___

Rebecca Santana and Rick Gentilo in Washington contributed to this report.

The 10 cheapest vehicles to own and operate over 5 years

It’s no secret that cars cost money to own and operate, but the differences in running expenses between models can be shocking. MarketWatch Guides‘ new study calculated the five-year costs for gas models, finding that the Hyundai Venue is less than half as expensive to own as some luxury vehicles.

The Venue’s five-year costs amounted to $22,761 in the study, followed by the Hyundai Elantra at $22,788.

The 10 cheapest vehicles to run for 5 years:

  1. Hyundai Venue: $22,761
  2. Hyundai Elantra: $22,788
  3. Nissan Sentra: $23,407
  4. Honda Accord: $23,509
  5. Toyota Corolla: $23,854
  6. Hyundai Tucson: $24,543
  7. Kia Soul: $24,543
  8. Hyundai Sonata: $25,788
  9. Ford Escape ST-Line Select: $25,869
  10. Volkswagen Tiguan: $26,149

MarketWatch used gas, insurance, repairs, and financing costs to calculate its running expenses. Looking at the purchase prices of the vehicles on this list, it’s not surprising to see that most of them are going for affordability, and that extends to operating expenses. The Venue’s 31 mpg combined fuel economy rating likely helped it achieve its impressively low running costs.

A handful of models went the opposite way. The most expensive vehicle to run in the study, the Porsche Cayenne, required an outlay of $56,010 over five years. The Porsche Macan was second, at $48,653, and the BMW X5 xDrive40i was third, at $48,456.

The study did not use depreciation to calculate running costs, but MarketWatch ran the numbers to separately compare residual values between comparable gas and electric models. The Mini Cooper Countryman and Mini Cooper Electric had similar depreciation costs over five years, with just $283 between their numbers. The Chevy Malibu and Chevy Bolt were second closest after five years, with $635 between them. The Audi A3 and Audi E-Tron GT had the most significant difference in depreciation, with the electric E-Tron registering a $29,164 larger price drop after the five-year period.

U.S. drivers in this study have the lowest fuel costs in the world

Owning a car comes with a bunch of unexpected expenses, but most people understand that fuel costs are a big part of the process. Britain’s Xcite Car Leasing recently analyzed fuel costs compiled by GlobalPetrolPrices.com, which showed that drivers in the U.S. pay the least in fuel costs worldwide.

That is, the U.S. is cheapest at least among the nations included in the study. Because Xcite is a British firm, it was most interested in comparing the United Kingdom to the U.S. and the rest of Europe. Note that not even, say, Canada is on this list. But it’s a good reminder that the United States, which among other things is the world’s biggest petroleum producer, is better off than many/most places, if not all.

The United States joins Turkey and Bulgaria as the three countries in the survey with the cheapest global fuel prices. The data looked at gas, diesel and electricity prices in May 2023, and even measured availability of public EV chargers.

The top 10 countries with the cheapest gas prices:

  1. United States
  2. Turkey
  3. Bulgaria
  4. Romania
  5. Hungary
  6. Spain
  7. Sweden
  8. Austria
  9. Portugal
  10. Poland
  11. Czech Republic
  12. Belgium
  13. Germany

The United States’ gas prices were only slightly cheaper than Turkey’s, at 97 cents per liter — which comes out to $3.67 a gallon. (And in fact, the U.S. average price in that calculation is actually higher than the average calculated by AAA for that week in May, which was $3.53.)

The U.S. average for diesel was $1.05 per liter ($3.97/gallon). Turkey landed at $1.26 per liter. Both have solid electricity prices, but they are behind other countries’ EV charging infrastructure to a notable degree. The United States has just 0.05 chargers per square mile compared to the Netherlands, which has 9.02.

Italy was ranked as the most expensive country in the study for fuel, thanks in part to its high electricity costs and sparse EV infrastructure. Xcite noted that the country’s fuel costs are not the most expensive, an honor that Denmark earned, but Italy’s poor scores in electricity costs and other areas helped it grab the “top” spot.

The Xcite study was conducted with an eye on the European market. There, diesel costs are expected to climb significantly over the next two decades. Countries like Sweden and Turkey could see diesel fuel prices increase by as much as 80 percent over the next 30 years.

Diesel prices are one thing, but gas (petrol) prices are another. Switzerland is expected to have the highest gas prices by 2050. Turkey and the U.S. remain at the bottom of the list, but all countries in the study showed significant gains in gas prices over 30 years.

Just looking as far out as 2030, the data indicate Americans will be paying an average of £0.89/liter ($3.37/gallon), still the cheapest by far. While on the more expensive end of the range, drivers in Denmark and Sweden could be paying over £2/liter — that’s $9.60/gallon. 

2024 GMC Acadia First Drive Review: Big on character

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2024 GMC Acadia First Drive Review: Big on character originally appeared on Autoblog on Thu, 13 Jun 2024 09:00:00 EDT. Please see our terms for use of feeds.

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2025 GMC Terrain fully revealed in spy photos

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Continue reading 2025 GMC Terrain fully revealed in spy photos

2025 GMC Terrain fully revealed in spy photos originally appeared on Autoblog on Mon, 10 Jun 2024 11:51:00 EDT. Please see our terms for use of feeds.

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Rating the best rental car companies in 2024 (and ‘best’ is not so good)

If taking an airline flight doesn’t generate enough anxiety, there’s the march from the arrival gate to the rental car counter. A recent report from the ConsumerAffairs watchdog organization examined consumers’ experiences to rate the best rental car companies from among eight major brands. The highest score possible was five stars, with one star the lowest.

The top rated company, National, received 2.3 stars.

That’s not an awfully convincing measure of trust. And consider that six of the eight rental firms were each rated at less that two stars. Besides National and its sister brands — Enterprise and Alamo — the companies that were ranked in the survey included Hertz, which owns Dollar and Thrifty, and Avis, aligned with Budget.

What’s wrong with this picture? The customer reactions can be attributed to one major factor: frustration. To illustrate the situations, ConsurmerAffairs asked some customers to tell them about their dealings with rental car services.

Among them was Drew, of Lakeville, Minn., who said he rented a car from Alamo at the Sarasota, Fla., airport. After driving off the lot, he said a dashboard warning advised that there was zero percent of life left in the engine oil, suggesting the vehicle had not been serviced recently.

“After speaking to roadside assistance, they told me I was unable to drive the vehicle and they were sending someone to tow the vehicle and setting up an Uber to bring me to another branch to exchange the vehicle,” Drew wrote. But Drew said the new location had no cars. He was told to drive to his lodging and that a manager would call with a new plan. Drew said no call ever came.

Another episode involved tolls. A Massachusetts woman said she’d rented a car from Dollar at San Francisco’s airport and was asked if she would cross any toll bridges. Nope, she said. Nonetheless, she was charged an extra $134.91 for pre-paid tolls, just in case. She said she was told she would be credited that amount if she encountered no tolls.

“When I returned the car I told the attendant that I did not use any toll roads and wanted that charge removed,” she told the consumer group. “He told me I would have to speak with someone in the office. I contacted them when I returned home and was told that since I signed the rental agreement with the charge, that I was responsible for the charges.”

ConsumerAffairs has compiled more examples of rental car drama, listed here.

Rating the best car rental companies in 2024:

  1. National, 2.3 stars
  2. Alamo, 2.1
  3. Enterprise, 1.6
  4. Dollar, 1.2
  5. Hertz, 1.1
  6. Thrifty, 1.1
  7. Avis, 1.1
  8. Budget, 1.1

Costco Auto Program adds the Chevy Silverado and GMC Sierra through July

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Costco Auto Program adds the Chevy Silverado and GMC Sierra through July originally appeared on Autoblog on Mon, 3 Jun 2024 12:45:00 EDT. Please see our terms for use of feeds.

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Used car lemon law: Your rights and protections explained

Car repairDoes it seem that your car is in for repairs more than it’s in your driveway, or more to the point, for the same repairs, over and over again? If that’s the case, lemon laws might apply to you. Simply put, lemon laws are meant to give you some legal leverage to seek a refund for the purchase price of your vehicle (or replacement) and…

Lamborghini Huracan Sterrato and GMC Acadia driven | Autoblog Podcast #837

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Plus some sad discontinuation news and rumors

Continue reading Lamborghini Huracan Sterrato and GMC Acadia driven | Autoblog Podcast #837

Lamborghini Huracan Sterrato and GMC Acadia driven | Autoblog Podcast #837 originally appeared on Autoblog on Fri, 21 Jun 2024 13:24:00 EDT. Please see our terms for use of feeds.

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