Tracks & Playlists not being added to my iCloud library, and some that used to play have been removed.

I hadn't added any tracks to my library lately, but got a new CD recently. I downloaded it into ITunes and I can play it there. But when I try to make a playlist out of it to play in my car I get this:

Is this some new ploy with a recent update to force me to buy all of my music from Apple, or is there a way I can listen to it through iCloud library in my vehicle? I've even lost some files I used to listen to all the time. Only some of my older playlists remain.