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By on August 16, 2011

With Chevrolet already offering a Cruze Eco, WardsAuto reports that the forthcoming Cruze diesel made a case for itself based on attributes that go beyond mere efficiency. Which is interesting because a GM source tells Wards that the Cruze diesel will get around 50 MPG on the freeway… and unlike the Eco, it will achieve that high number with an automatic transmission (the Cruze Eco’s 42 MPG highway rating is only for manual transmission models). Equally importantly, the oil-burning Cruze will return better performance alongside better efficiency, with 147 HP and 236 lb-ft, compared to the 1.4T engine’s 138 HP and 148 lb-ft, which would make it the performance model of the range… which some say is just what the Cruze needs.

Joseph Lescota, chair of the Automotive Marketing Management Dept. at Northwood University in Midland, MI, thinks a diesel Cruze will draw buyers.

“Chevrolet has a great price-point vehicle that has tremendous eye appeal and options but may not meet the performance needs of a select market group,” he tells Ward’s.

A diesel version would hit that group between the eyes by adding a sturdy engine, extra torque and top-end performance to the mix, he says.

GM executives meanwhile highlight the diesel option’s value as what GM North America boss Mark Reuss calls “a hedge against the unknown.” Only three percent of current US sales are of diesels, but as American brands start rolling the oil-burning options out, and as Americans are exposed to their higher performance and efficiency, that segment could just grow. After all, who doesn’t want more performance and more efficiency for a mere $1k-$4k premium?

By on August 16, 2011

Bloomberg BusinessWeek reports that Saab has to pay some $620,000 today in order to keep Sweden’s Debt Enforcement Agency at bay. Should Saab fail to pay suppliers Kongsberg Automotive and Infotiv within the next 24 hours, Swedish Debt Enforcement Agency officials say

The collection process that may start tomorrow would include investigating Saab’s bank accounts and potentially also other assets.

Assets will be frozen while Saab’s worth is assessed, a move that would essentially end the existence of Saab as it currently (barely) exists. Saab spokesman Eric Geers says

We’re of course totally aware of this situation with the collection agency, but I can’t comment on what we’re going to do,

but other than pulling out from the Frankfurt auto show in order to focus funds on restarting production and selling another tranche of value-diluting shares, Saab hasn’t done much to respond to the latest crisis. And with another $795m due to suppliers in “about a week,” time is slipping away. Luckily for the True Believers, there’s still a shred of hope-against-hope to hang on to, as Saab’s PR man Steve Wade says something called “The Deal” is in the works.

(Read More…)

By on August 16, 2011

The International Crime Complaint Center (IC3) warns that

Online vehicle shoppers are being victimized by fraudulent vehicle sales and false claims of vehicle protection (VPP) programs… Criminals also attempt to make their scams appear valid by misusing the names of reputable companies and programs. These criminals have no association with these companies and their schemes give buyers instructions which fail to adhere to the rules and restrictions of any legitimate program. For example, the eBay Motors Vehicle Protection Plan (VPP) is a reputable protection program whose name is commonly misused by these criminals. However, the VPP is not applicable to transactions that originate outside of eBay Motors, and it prohibits wire transfer payments. Nevertheless, criminals often promise eBay Motors VPP protections for non-eBay Motors purchases, and instruct victims to pay via Western Union or MoneyGram.

No wonder online new car sales have been struggling. Hit the jump for IC3’s list of warning signs.

(Read More…)

By on August 16, 2011

Does the world need another luxury car brand? Hold up, let me rephrase that: does the world need another $250k luxury crossover with a new brand that sounds like a bad Infiniti knockoff? Well, whether we need it or not, it’s coming… and from Britain, not China! Or maybe it does?
(Read More…)

By on August 16, 2011

Police in Texas have the right to stop motorists if a license plate recognition camera system suspects the vehicle’s owner lacks automobile insurance. In an unpublished ruling last Wednesday, a three-judge panel of the Texas Court of Appeals refused the attempt by Kenneth Ray Short to have a March 2010 traffic stop declared illegal.

(Read More…)

By on August 16, 2011

At the Frankfurt Motor Show (13 – 25 September 2011), Daimler will show a bicycle. A lot of manufacturers have shown two-wheeled design studies at shows. This one will go on sale. In Frankfurt, you will see a “near-series version of the smart ebike,” as Daimler’s press release says. The ebike will be launched in the first half of 2012 and will initially be marketed by dealers in Europe and North America. (Read More…)

By on August 15, 2011

In contrast to rapid changes in the compact and midsized segments, the subcompact segment is moving along established trendlines. Kia’s Soul has completely overtaken this segment’s previous champ, but that’s been a long time coming. A new Accent is arriving at dealers, and that model’s starting to take off… in fact, if there’s news here, it’s that the Accent appears to be outselling the segment’s next-freshest offering, the Ford Fiesta. Otherwise, Aveo and Rio are dropping off ahead of their replacement by new models, the 500 is getting closer to MINI’s monthly volume, and Mazda2 can’t quite get past the Cube The YTD chart doesn’t show too many changes either… but watch this space as the A/B segment heats up with new models later this year.

 

By on August 15, 2011

Wake up. Have breakfast. Head off to work. Wait… you need to put on some decent clothes for goodness sake! You’re not a teenager anymore.

You put on the finest thrift store clothes you can find and head off to your car and… wow! Who put a Delorean with a flux capacitor and gullwing doors on your driveway?

(Read More…)

By on August 15, 2011

Among the many new SKYACTIV technologies that Mazda plans on introducing to its global lineup, a unique start-stop system is one of the most important. Initially Mazda had decided not to bring its idle-stop system to the US as the EPA system didn’t measure a major improvement in efficiency, but ultimately the decision was made to make all of its vehicles idle-free by 2015. But an early test of a SKYACTIV idle-stop-equipped Mazda2 by Automotive News [sub]’s Hans Greimel reveals an interesting characteristic:

a funny thing happened when I paused for a red in Tokyo’s harbor district.

After a few moments of silence, the engine clicked on, as designed, to help keep the air conditioner going. OK, that’s normal. But as the engine jumped to life, so did the steering wheel. To my surprise, I found the engine’s start-up vibrations turning the wheel to-and-fro in my loose grip.
(Read More…)

By on August 15, 2011

Steinway & Sons may be the last great American brand: from 1853 to the present day, the company has built world-class musical instruments by hand in New York. Unlike their contemporaries in the guitar-making business, Steinway never went through “bad times”, even after the family sold out in 1972. (Interestingly, although CBS bought both Fender and Steinway, the paths taken by the two companies under CBS ownership were very different.) Nor have they become mere cloacae for the diarrheal discharge of Foxconn’s suicide factories the way Hewlett-Packard, Dell, and Apple have. Steinway’s business model is simple and hasn’t changed for over a century. They build the pianos in the United States to exacting standards, charge premium prices for them, and everybody is happy.

The power of the Steinway brand is such that everybody from random auto reviewers to big-time ad agencies feels compelled to mention their products in an automotive context. Googling the Steinway name together with that of any major auto-media outlet will yield results ranging from dismal to pathetic. Engines, body panels, dashboards, radio switches, and brake feel are all likened to the company’s eight-hundred-pound musical gorillas. There’s something about Steinway that gets car guys excited.

Wait till they find out that Steinway was in the business of building automotibles before Soichiro Honda was born, and remains so, in minor fashion, to this day.

(Read More…)

By on August 15, 2011

Despite marketing its Lincoln brand as “not just luxury… it’s smarter than that,” Ford has finally admitted what the car guy world has been saying for some time: Lincoln isn’t a luxury brand… it’s a rebadge brand. Ford’s product honcho Derrick Kuzak tells Automotive News [sub] that the jig is up and there will be

No more badge engineering

Promise?
(Read More…)

By on August 15, 2011

Volkswagen intends to become the world’s largest auto maker. Selling far more cars in the United States would accomplish this goal. Euro-spec cars haven’t been doing the trick, as too few Americans have been willing to pay the resulting semi-premium prices. So VW engineered a new Jetta compact sedan and a new Passat midsize sedan […]

By on August 15, 2011

In the past, when a sitting president has hit the campaign trail, they’ve leased their own campaign bus which the Secret Service would then retrofit with all the latest security features. But no longer, as Talking Points Memo reports that the presidential bodyguards are buying their own bespoke campaign bus, reportedly from Hemphill Brothers Coach Company. Secret Service spokesman Jim Mackin explains

We’ve never been fully comfortable with the security provided by a bus we lease and then try to retro-fit. This would be just like other vehicles we’re adding to our fleet. We’d use them for the campaign, but they’re not for campaign purposes. They would be part of our fleet — just like our limos, just like our follow-ups, just like our emergency vehicles.

And this isn’t just for President Obama: one of the two new buses will be made available to the Republican candidate as well. And because the buses are government property, they won’t be allowed to have campaign logos and both campaigns will have to reimburse the Secret Service for their use. There’s no word on what retrofits the new buses will receive, but we’d be disappointed to find there’s not at least one minigun turret. Because you can never have enough miniguns on the campaign trail… [Hat Tip: Dan Licht]

 

By on August 15, 2011

The debate over July’s sales results is going to heat up again with this infographic showing the fleet and retail results for the major US brands. And one thing is clear: Toyota and Honda’s tumble from the top was not disguised by a huge bump in fleet sales. Though retail volume at the top two Japanese brands dropped by between 20 and 30 percent, both cut way back on fleet sales as well… which is a highly recommendable move when supply problems hit. After all, you have to squeeze every last penny out of the remaining volume until inventory levels even out. On the other hand, both Ford and GM cranked up fleet volume last month, with Ford’s fleet percentage leaping to an industry-leading 31%. That gives Ford the lowest retail percentage of all major automakers, with GM only five points ahead. Chrysler was the only other major OEM under 90% for the month, at 84%. So those who argue that domestics are taking over the industry need to dial back their expectations a bit for the moment: between the supply issues and the fleet picture, it’s too early to determine what exactly is going on in the industry. But if the domestics trim back on fleet and Toyota and Honda continue to lose volume over the month of August, then we can start talking about the kinds of seismic shifts that some are already reading in the sales numbers.

 

By on August 15, 2011

The easy answer: desperation. More literally though, all three have recently employed the talents of hip hop producer Swizz Beatz in more or less desperate attempts to recapture some much-needed cool. Unfortunately for Lotus, the most recent employer of Mr Beatz, they’re not only getting “sloppy thirds,” but they have to actually share promotional space with Reebok, of all brands. So why did Lotus, a brand with loads of heritage and under-the-radar cool, hire a guy to pass along such brilliant advice as “the key is to infiltrate the market in a cool way” and “for a premium sportscar, they want the flash”? According to Lotus’s release (with video)

1. Like Group Lotus , he means business: He’s a risk taker with considerable credentials including music producer, rapper, designer AND painter.

2. Like our cars, he’s multi award winning: This year he shared a Grammy Award with Jay-Z.

3. Like Group Lotus he keeps good company: This man regularly works with the likes of Bono, Kanye West, Beyoncé and Alicia Keys.

Even if you think Lotus should avoid the “enthusiast trap,” this is a bad call. Having already pimped for Aston-Martin, Swizz’s automotive-sector cool has been spread thin… and does Lotus really want to be associated with his other comeback client, Reebok? The answer: no, but it’s already too late. Lotus was already putting the cool cart before the new product horse, and hiring a prominent and over-booked shill certainly won’t help.

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