Nobody (except for lawyers who desperately try to keep the fire burning) talks about Toyota SUA anymore. No ghosts were found in any machines. The matter doesn’t make the news anymore, and customer complaints suddenly dropped by 80 percent. However, the witch-hunt against GM’s Japanese nemesis, launched by GM’s owner, the U.S. government, had its effect: According to Automotive News [sub] data, Toyota’s market share in the U.S. dropped by 1.5 percent compared to September 2009. That’s a lot when you drop from 16.9 percent to 15.3 percent. Ironically, the bigger ward of the U.S. government, GM, did not pick up those sales. They lost 2.8 percent. The winners were Ford (+ 1.4 percent), and would you believe it Chrysler (+2.1 percent).
After a lot of bowing and apologizing, Toyota now goes on the counter offensive. (Read More…)
When a country gets desperate, it closes its borders to imports. It’s a sign of surrender: We can’t compete anymore, so let’s close the doors. Closed borders rarely create jobs. In the contrary, they drive prices up, and everybody pays. Import restrictions are the most insidious tax a country can levy on its citizens. And they readily pay for it. Trade wars are an easy sell. Especially to people who cannot balance their checkbook. The price will be paid later. (Read More…)
Here is another myth that won’t die, as hard as we might be trying to debunk it: “Japan is a closed market for cars. They do everything to keep foreign cars out. Those Nips are unfair, and it’s time to do something about it.”
Speaking of India, it’s about time that GM gets its act together on the subcontinent. If you aren’t somebody in India you are missing the boat. If the augurs augur right, the subcontinent will be the fastest-growing car market in the world. (Read More…)
Popular wisdom was that foreign companies have to tread carefully in China, lest they’ll be robbed blind of their vaunted intellectual property and thrown by the wayside. Now it has come to the total opposite: GM has made a mess out of India. And they turn to their old Chinese buddies at SAIC to help them out. Not just financially. Technologically. “GM hopes to take advantage of Shanghai Automotive Industry’s expertise in making small, low-cost cars to raise its share” in India, reports The Nikkei [sub]. (Read More…)
With the aftereffects of the Abwrackprämie, that German cash for clunkers on steroids, slowly abating, Germany is slowly coming back to normal. In September, car sales were 17.8 percent below September 2009 (red line), but only 0.6 percent below September 2008 (blue line). For the first nine months, sales are 27.5 percent below prior year, but only 8.6 percent below the same period in 2008. (Read More…)
About a year ago, a mutual friend introduced me to Uwe Gemballa. He looked a bit like a pimp from central casting: bleached blond hair, a flashy watch, gold chain. He tuned Porsches. He wanted to import Gemballas to China, and could I help him? Like many China deals, that deal never got off the ground. And as I read the news today, I think to myself: I’m glad it fizzled. Dodged that bullet. Literally. (Read More…)
I sit here in China, where supposedly the police is glued with one ear to my door and has directional microphones beamed at my windows. Looking and listening to America, I can only shake my head. No authorities needed. We are self-policing. Where did the great times of the 70’s and 80’s go? Where is true freedom of speech hiding? Pretty much nothing can be said and done anymore for fear of insulting someone, somewhere, somehow. The other day, we showed two car ads, made for network TV, and all hell broke loose. “Too racy!” “I will get in trouble with HR when I watch TTAC during work!” “Sexist!” (Read More…)
New car registrations in Italy fell 18.9 percent in September to 154,429 vehicles. Of course that means major pain for Fiat, which holds about 30 percent of the market. Actually, more than major pain: Fiat’s sales in their home market cratered by 26.3 percent to just 44,161 vehicles in September. That according to Transport Ministry data, published by Reuters. And what did Sergio Marchionne have to say to that disaster? (Read More…)
U.S. auto sales climbed 29 percent last month, the biggest gain of the year. (Nearly) everybody was a winner: All but two booked increases in September. Suzuki lost 12 percent (itai!), and the “others” brand lost 4 percent. Ford shot up 40 percent. Chrysler rocketed up by 61 percent. GM looked downright lame in comparison by growing only 11 percent. From Porsche (+ 25 percent) to Hyundai (+44 percent), from Daimler (+ 18 percent ) to Toyota (+17 percent), everybody reported huge gains. But why is nobody partying? (Read More…)
Some of our readers have complained that a few pictures could not be SFW. Where are you working anyway? In a gay club? And shouldn’t you be working instead of browsing TTAC? Which gave us an idea. We declare this sexual exploitation weekend. Send us your sexiest car ads of all times. (Read More…)
TTAC (and just about everybody who comments on the Japanese market) saw it coming: After 14 months of government subsidies-induced growth, the Japanese car market took a corner. And now its nowhere but down. Japanese sales dropped 4.1 percent on the year to 308,663 units in September, the Japan Automobile Dealers Association told The Nikkei [sub]. This number does not include Kei cars, which will be published separately. (Read More…)
When I started as a budding (and driver’s license less) copywriter on the Volkswagen account in fall of 1973, they were just introducing a (for Volkswagen) highly unusual car. They called it the Passat. After that followed in rapid-fire fashion the Golf, the Scirocco, the Polo. They turned the company around. And kept me employed for more than 30 years. With the Golf being the volume Weltmeisterr, it is often forgotten that it was the Passat that started a new era at Volkswagen. And now, the car enters its 7th generation. (Read More…)
Japanese automakers keep saying the ever appreciating yen will be their undoing. So their government intervened, sending the yen back to 85 to the dollar. Once the intervention stopped, the yen continued its march upwards. Today, the Japanese currency stood at 83.31 to the dollar. Which is losing strength across the world. The Europeans received $1.36 for their Euro today. A higher yen making Japanese cars more expensive should hurt Japanese car exports, don’t you think? Let’s see. (Read More…)
Porsche just announced something highly unusual: Record full-year revenues from selling Porsches. No more option plays with attached sheet metal bending operation. Revenues rose 17.9 percent to a record €7.79b ($10.5b), and Porsche said it expects to see the positive trend continue in the current business year, reports Reuters.
And where do all these sales come from? Definitely not from Porsche’s core markets, the U.S.A. and Germany. (Read More…)
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