Though it doesn’t get the play it deserves in the auto media, Project Better Place is one of the most ambitious, potentially disruptive plays anywhere in the world of cars, uniquely positioning itself to eliminate the biggest shortcomings of electric vehicles. TTAC was on hand when the “end-to-end” EV services firm opened its first battery swap station in Israel, and now the firm has launched its first European swap station in Denmark. Better Place’s single model, the Renault Fluence Z.E won’t be widely available in either of the two initial launch markets until later this year, but having sold over 70,000 of its initial order of 100k units from Renault, Better Place is keeping its foot on the gas… er, juice.
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Smell that? It’s the gathering scent of a new industry trend towards natural gas. Honda’s expanded its pioneering Civic GX to 50 states, Sergio Marchionne wants to replicate his Italian CNG success at Chrysler (eventually), and now GM is jumping on the bandwagon while it’s still relatively uncrowded. The Winnepeg Free Press reports that GM has signed a development deal with Vancouver, B.C.-based Westport Innovations which could see a prototype light-duty natural gas-powered engine completed “within 18 months” if preliminary study proves promising. A Westport spokesman boasts

If both parties agree to move ahead with commercialization this would be one of the first pure OEM [natural gas-powered] products

You know, except the Civic GX which has been prowling American streets since 1998. Still, with Chrysler targeting CNG commercialization no earlier than 2017, GM could have a strong head-start on a fuel technology that promises to be a viable and promising gasoline alternative, especially if the NatGas Bill [PDF] passes, expanding $7,500 plug-in tax credits to natural gas vehicles. And GM’s got a strong partner in Westport, which has heavy-duty commercial deals with Cummins and Caterpillar. With Nissan all-in on EVs and years ahead of the competition in terms of global EV production capacity, look for other competitors to hedge their alt-energy bets… and natural gas is rapidly becoming the most popular alternative.

Ronnie Schreiber reckoned that Chrysler would be able to protect its rights to the phrase “Imported From Detroit” in its lawsuit against local clothing firm MODA, but Automotive News [sub] reports that

U.S. District Judge Arthur Tarnow ruled that Chrysler’s request didn’t show that it would suffer irreparable harm or that it had a strong likelihood of winning its case. That means Pure Detroit’s owner, Detroit retailer Moda Group LLC, can continue selling its “Imported from Detroit” products.

Tarnow also noted that Chrysler doesn’t have a trademark on “Imported from Detroit” and rejected the automaker’s argument that trademark law isn’t applicable to the case.

Interestingly, the last time Chrysler fought over its brand intellectual property (in a dispute with a Florida high school that had adopted the Ram’s Head logo as its school symbol), it won… only to stop using the the logo for Dodges when it spun off its Ram brand. In any case, this latest ruling may take Chrysler’s tagline out of its complete control, but it should also stimulate a strong market in knock-off goods bearing the line, ultimately increasing its exposure. And, at the end of the day, Chrysler needs to look past Detroit-boosting if it wants to get its marketing back on a nationally-appealing footing and win back sales on the coasts. This ruling may not be sucha bad thing after all….

According to Wards Auto, global auto sales through May hit 32.62 million units, up 6.0% from the year-ago number. But as the chart above shows, the rate of growth in global deliveries has slowed dramatically over the past year-and-a-half, falling below five percent the last several months. So what’s the problem? At this point, what isn’t the problem? The US and Japan have been hit hard by the Japanese tsunami, while the once-blistering-hot markets of China and India are shrinking and growing more slowly respectively.

Collectively, markets in the Asia/Pacific region accounted for 2.35 million vehicle deliveries, equating to 37% of world sales, the region’s lowest global market share since May 2009.

In the U.S. and Canada, sales of Japanese vehicles slipped precipitously below the rest of the market in May due to supply shortages, pulling North America’s year-over-year performance 2.3% below like-2010 on a volume basis, despite an 11.7% increase in Mexico.

So where’s the good news? After a forgettable few years, Europe is back… and South America is staying strong.

Overall deliveries in Europe rose 14.2% in May, to 1.85 million units. The resulting 29.2% share of world sales was the region’s highest take since June of last year…

Double-digit growth in many of South America’s smaller markets lifted regional sales in May 27.6%, compared with year-ago, for a 7.9% share of global deliveries – a 9-month high.

Talk about bad associations! Bloomberg reports that

General Motors Co.’s European Opel unit is introducing models with advanced options typically sold on luxury cars, seeking to revive a business that’s lost $14.5 billion since 1999.

The GM unit is working with AlixPartners LLP on how to tweak options packages or production plans to spur higher prices, said two people familiar with the matter. They are also studying ways to reduce engineering and manufacturing costs, said the people, who asked not to be identified disclosing private plans. Some new features include headlights tuned to high-speed driving on the Autobahn.

Which leads to one damning conclusion:

“They can’t price their cars like Audi or BMW,” said Thomas Stallkamp, principal of Collaborative Management LLC, a Naples, Florida-based consulting firm. Stallkamp, a former Chrysler Corp. president, was a partner at private-equity firm Ripplewood Holdings Inc. when it tried to buy Opel in 2009. “They’re like the Chrysler of Europe.”

Keep in mind, this isn’t just any old analyst… this is a guy who tried to buy Opel back when it was officially for sale. And though pricing issues in the face of rising costs are one Chrysler-like problem facing Opel, there’s another issue that may even be more troubling…

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Saab has reached a deal to sell 50.1% of its real estate holdings to a consortium led by Hemfosa Fastigheter AB, for about $40m, and has also received an order for $18.4m worth of vehicles from an unnamed Chinese firm according to AN [sub], giving the dead-alive Swedish firm the faintest, cruelest glimmer of hope. The real estate deal was for about a third less than the property had previously been valued at, and still needs to be approved by the Swedish Debt Office, the EIB and GM. Meanwhile, the real struggle is ongoing, as a Saab spokesperson tells Reuters that

Today’s news takes us a good way in the right direction, but it is the agreement (with suppliers) that matters and only then will we be able to communicate a date when we can restart production

But suppliers aren’t even the first in line for Saab’s much-needed cash injection: that goes to workers who are promising to take the company into bankruptcy if they aren’t paid soon. These two recent deals should be enough to pay worker salaries through July, but if suppliers aren’t brought back as well to restart production, the bulk sale and an earlier order from PangDa will never be filled. And those suppliers are currently mulling over an offer of ten percent of what they are owed until the Chinese inject more cash later in the year… not the greatest deal ever. Meanwhile, Saab says

There are other initiatives still being pursued. There is not much we can say about that until we have something concrete to communicate

Like what? What could there possibly be to communicate?

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One of the greatest things about the internet is its ability to disseminate information that levels the playing field in relationships that have long been defined by asymmetrical information. Our buddies at TrueCar are tackling one such informational imbalance by posting its dealer holdback calculation for every brand on sale in the US. They note

Dealer Invoice is generally the amount the dealer pays the manufacturer for the vehicle. Because Dealer Holdback is paid to the dealer after the vehicle is sold, it represents an additional profit center for the dealers that is not immediately available to consumers. This is one reason why some dealers are able to sell some vehicles below Invoice and still make a profit.

The more you know!

The “big car safe, small car unsafe” debate took another interesting turn this week, as researchers from UC Berkeley have released a report arguing that large cars significantly increase the risk of death on American roads. Recent data on the most and least died-in vehicles seemed to show that larger vehicles do indeed keep drivers safer, but this new report seems to roll back the impact of that finding. Slate reports that researchers

studied accident data from eight states, identifying the type and weight of vehicles involved in collisions by their VIN numbers. The researchers confirm that the heavy cars kill. Indeed, controlling “for own-vehicle weight, being hit by a vehicle that is 1,000 pounds heavier results in a 47 percent increase” in the probability of a fatal accident. The chance is even higher if the heavy car is an SUV, pickup truck, or minivan. (Taller vehicles tend to do outsize damage, too.)

The researchers then set out to calculate the value of the “external risk” caused by our heftier vehicles. First, they considered a scenario in which a driver chose between a car with the 1989 model-year average weight of 3,000 pounds or the 2005 weight of 3,600 pounds. The heavier car increased the expectation of fatalities by 0.00027 per car—27 deaths per 100,000 such vehicles. “Summing across all drivers,” they write, “this translates into a total external cost of $35 billion per year,” using the Department of Transportation’s value of a statistical life of $5.8 million. Judging against a baseline in which a driver chose the smallest available car, such as a Smart Cars, the cost is $93 billion per year. The price tag climbs beyond $150 billion per year if you include the cost of pedestrian and motorcyclist deaths and figure in multi-car collisions.

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Here is a table of the May production numbers of Japan’s bigger carmakers. What do we see? (Read More…)

I love General Motors. I’m bringing this age-discrimination suit action because it’s the right thing to do — for me, my family, as well as my GM peers who have been severely affected by GM’s conduct.

A critical aspect of GM’s turnaround was breaking a culture that has been held up for decades as an example of insularity, stagnation and inefficiency [for more read Ron Kleinbaum’s classic four-part editorial on the subject here], a task that various recent CEOs have gone about differently. Fritz Henderson had a “change agent” vanguard approach, while Ed Whitacre took more of a “set tough goals and fire regularly” tack towards GM’s culture wars. But regardless of differences in tactics, everyone’s agreed that GM’s culture needed to be seriously retooled if the company’s huge advantages after a government-backed bankruptcy-bailout weren’t going to be pissed away, and as a result a lot of GM’s “lifers” found themselves on the outside looking in. And rather than slinking away, one of those jilted lifers is suing GM for age discrimination.

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The Speed Holes Racing AMC Marlin took home the Organizer’s Choice award at last year’s Colorado 24 Hours of LeMons race, because A) it has a 454 yanked from a wrecked GMC truck set back about three feet from the Marlin’s normal engine location, B) it has a Jaguar XJ6 rear suspension and differential, C) it has hundreds of speed holes punched into the body and, most of all, D) it’s an AMC Marlin. The Marlin wasn’t exactly fast (the tall Jaguar gears and very tired 300,000-mile EFI small-valve engine didn’t make for great acceleration out of the turns), but the handling was surprisingly good for such a big car. For the 2011 B.F.E. GP, Speed Holes Racing decided that more power would be needed. (Read More…)

Chris writes:

Hi, love the site. I want a play car, but my wife and I have to agree on the purchase.

First, the details on our current situation. My wife drives a 2001 Suburban with 120,000 miles on it. I’m driving a 96 Cherokee 4wd with a 5-speed and 90k on the meter. We’re both happy with our daily drivers.

What I’d like to have is a car with, say, 50-75k miles on it, maybe built in the mid-2000’s, that we could take on trips. Perhaps something less thirsty for $4/gallon gas than the other two vehicles. And I’d like to stay in the $7,000 to $12,000 range, with a preference for the lower end.

I’ve got it narrowed down to a few contenders:

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The UK government on Sunday officially terminated the policy of concealing safety and revenue information for individual speed camera locations. The Labour government had held this information secret, but Road Safety Minister Mike Penning, a member of the Conservative Party, insisted on making it readily available to the public online.

“We want to improve accountability and make sure that the public are able to make informed judgments about the decisions made on their behalf,” Penning said in a statement. “So if taxpayers’ money is being spent on speed cameras then it is right that information about their effectiveness is available to the public.”

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Toyota’s Japan  production (all vehicles and brands) slumped 46.5 percent in May to 156,379 units. Overseas production did not fare much better, falling 43.3 percent to 196,073 units. All in all, Toyota’s global production plummeted 44.7 percent in May to just 352,452 units. Could it be any worse? Yes, it can:  Exports from Japan cratered 61.7 percent to  47,167 units. (Read More…)

Remember the mid-mounted “passing light” Subaru installed in some of its Late Malaise Era cars? I had forgotten all about this oddball option until I ran across this ’82 in a Denver wrecking yard. (Read More…)