For countries up north, this was the end of the malaise and the beginning of party time. In Brazil, it was the decade of doom and gloom. Politically, the military regime was running out of steam. Gradual democratization was unavoidable. Culturally, the country exploded. Censorship, which had marked the 70s, disappeared. Playboy showed full frontal (female) nudity to grateful teenage boys and men. Brazilian rock came into its own. Economically, the country tried hard, but ran hard to stay in the same place. This decade is often referred to as the lost decade. Foreign debt was the overriding problem. The dollar became king. Inflation was reaching hyper mode. People didn’t have money. Smaller and smaller cars took a bigger and bigger piece of the sales pie. (Read More…)
The oft predicted collapse of the Chinese market does not seem to happen. GM is the canary in the Chinese coalmine, and January, the month before the Lunar New Year festivities, is a key selling month. So goes GM, so goes China, so goes January, so goes the year. This time, January was especially critical: Many had predicted that the cancellation of tax incentives for sub 1.6 liter cars, that went in effect on January 1, would have serious pull-forward repercussions. Not as far as GM is concerned. (Read More…)
Car enthusiasts have been apt to criticize SUVs as irrational because few owners ever take them off-road. But, by the same token, how many owners of high-performance sports cars drive them at anything approaching their full potential? Venturing beyond cars, how many owners of diver’s watches actually scuba dive? And how many dSLR cameras are […]
Via designauto.fr, come these first pictures of Fiat’s Chrysler-cum-Lancias, the Thema (Chrysler 300) and Flavia (Chrysler 200). But are these rebadges worthy of the Lancia name? Hit the jump for the context necessary to answer that question… (Read More…)
Regular TTAC readers know that there’s more to a successful performance from an automaker than pure volume alone. Average transaction prices, market share, and incentives all play a role in translating production numbers into profits. Luckily, our pals at TrueCar have broken all that lovely data down, and they’ve sent over the numbers behind Ford’s recently-announced $8.3b profit, the Blue Oval’s best performance in over a decade. And, as you can imagine, a performance like that requires not only a hefty increase in volume (up nearly 20% on the year) but also improvements in market share (up 1.23%), and transaction price. Yes, incentives stayed stronger than they perhaps needed to be, but they now make up a lower percentage of the average transaction price. And that, ladies and gents, is how you make a $5.4b pre-tax operating profit in the US market alone [Q4 and historical data after the jump].
Holden may be rightly proud of its competition-creaming new Caprice Police Pursuit Vehicle, but Phoenix’s Finest just have one question: how often do you have to change those tires? And, as TTAC’s commentariat pointed out during the Michigan State Police’s trials, maintenance costs are nearly as important for police fleet buyers as pure performance. So, though the Caprice might out-hustle and out-interior-size its police-duty competition, the fact that only a limited number of civilian Zeta-sedans will make it to American roads means parts and maintenance won’t be as cheap or easy as the old Panthers. And because it hustles so nicely, those tires won’t be the only thing that will inevitably wear out. Still, it’s probably safe to assume that at least a few police departments will be seduced by the Caprice… so you’d better start burning that grille into your memory banks.
I was not the only journalist to feel a little let down by Volkswagen’s latest Jetta. After building a name in the US by offering classy European-style appointments without charging European sports-sedan prices, the latest Jetta is, well, just a little too American. VW insists that the stripped-out interior helps bring the Jetta’s pricetag down to American expectations, but it’s not at all clear that competing on Toyota’s turf will be a winning strategy for the German automaker. And it certainly won’t work in Europe, where VW offers the same Jetta with an improved interior, the multilink rear suspension offered stateside only in GLI trim, and more options like multi-zone climate control. But will US-market consumers ever have the option of buying a European-spec Jetta with all of its upmarket features?? When asked by InsideLine, VW’s Jetta boss Frank Donath answered
There is the strong chance that the midlife Jetta for North America could get all of the European features. It depends on sales performance.
VW has played this game before, hinting that the Amarok pickup truck might come to the US if consumers buy 100k units. In this case, there’s a better chance of VW having to make good on the offer, as consumers could well buy quite a few Jettas. But then, if Americans are buying lots of the cheap US-style Jettas, why bring in the Euro model? Let’s face it: the days of old-style Volkswagens is as good as over. At least until it brings the very European Scirocco over.
The Fiat 500 faces an interesting challenge in the US Market. Yes, it offers the fashion-nugget flair of a MINI Cooper at a lower price… but it’s also smaller, less powerful and not all that much more efficient. Automotive News [sub] reports that the new 500, which offers 101 HP from its 1.4 MultiAir engine, will be rated at 38 MPG Highway/30 MPG City with a manual transmission, and 34 MPG Highway/27 MPG City with an automatic. Compared to a 120 HP MINI Cooper, the manual 500 enjoys a 1 MPG advantage on both city and highway ratings, but with the popular automatic transmission, it actually gets worse mileage than the 36/28 MPG slushbox Cooper. Why the big discrepancy in the 500’s manual-versus-autobox efficiency? Probably because the European-spec 500 doesn’t offer an automatic, which was added to the vehicle (along with retuned suspension and more sound deadening material) just for the US market.
So, while the 500 starts some $5k lower than the MINI, and it’s not all that much smaller on the inside (front legroom is down about an inch compared to the MINI, while rear headroom is short by some 2.5 inches… but the 500 wins on other measures), the efficiency with an autobox leaves quite a bit to be desired… especially for a 100 HP, 98 lb-ft car. And with the Fiesta offering a less flashy but larger 40 MPG option (with a self-swapping gearbox) at a similar price point, the 500 has some serious charming to do.
Residents in four cities in Washington state may opt for a ballot vote to ban the use of red light cameras and speed cameras. This week activists launched a coordinated effort to place the future of photo enforcement to a vote of the people in Bellingham, Longview, Monroe and Wenatchee. Each local group is following the battle plan established in Mukilteo where 71 percent of voters last year ousted automated enforcement.
According to data published today by Ford, the company sold 5,313,000 units worldwide “to wholesale” (i.e. out of the door.), up 447,000 units or 9.19 percent. With Volvo eliminated, the growth was 771,000 units. Record sales in the U.S.A. and Asia were partially offset by lower sales in Europe. Ford is not strong enough in China to profit like its competitors that are strong in China. One of these competitors is Hyundai. (Read More…)
Ford did not disappoint and today announced its biggest annual profit in a decade. According to a Ford release, the company booked $8.3 billion in pre-tax profits for 2010. That is a $3.8 billion increase from a year ago. (Read More…)
The civilian version of the car shown in the video will soon be available for purchase, reports TheTycho from Beijing. It won’t come with the microphones and the stand-up podium behind the driver. Instead, it will have full reclining seats in the back. (Read More…)
Emboldened Tata has announced new plans to export their Nano. To markets such as Thailand, Sri Lanka and Bangladesh. And Tata will do that carefully. “We will go after these markets one after another,” Tata CEO Carl-Peter Forster told Bloomberg at an industry event in Bochum, Germany. Gone are bravado and hype. No more mentions to export the $3,000 car to Europe or god forbid the U.S.A. (Read More…)
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