Nobody in possession of his or her faculties doubts that China will remain the world’s largest auto market for this year and years to come. In 2009, Chinese bought 13.6m vehicles, up 45 percent. In the U.S.A. 10.4m units changed hands in 2009, down 21.2 percent. This year, the U.S. A. is expected to recover, but not by much: J.D. Power forecasts 11.2m units sold in the U.S. for 2010. How many will be driven off dealers’ lots in China this year? (Read More…)

Toyota definitely keeps us on our toes. Last week, the tete-a-tete between Toyota and Tesla had the world speculating about an electric push by the world’s largest auto maker. That was last week. This week, it’s hydrogen. (Read More…)

Pretty soon you’ll hear about a breakthrough for Opel, and that there will be state aid. If not, you’ve read it here first. In any case, treat the news carefully. Munich’s Süddeutsche Zeitung, usually well-informed in Opel matters, reports that the state of Thuringia offered help to Opel. The Süddeutsche calls it a “symbolic offer.” (Read More…)

At the Beijing Auto Show, Geely had a whacko two-seater, gullwing adorned concept car on display. I didn’t deem in worthy of mention, along with the hundreds of other whacko concepts. I didn’t even snap a picture. I wish I did. If Chinese media is not mistaken, I missed taking a picture of the world’s cheapest car, cheaper than the Tata Nano. (Read More…)

Last week we told you that Volkswagen could announce this week that they would buy Giorgetto Giugiaro’s Italdesign. Sure enough, they did. At a joint press conference held today in Turin, both companies announced that Volkswagen Group will take a 90.1 percent stake in IDG. That buys them the company lock, stock and barrel, including the brand name rights and patents. (Read More…)

Ford is in-sourcing important parts of their hybrid-electric vehicles, and they are putting $135m behind the effort to bring the parts home and in-house. Currently, core parts are made abroad. Moving the making home to Michigan will create a whopping 170 jobs in Rawsonville and Van Dyke. But it’s a start. “I am proud of the tremendous success of the UAW and Ford in working together to keep good manufacturing jobs in the U.S.,” said Bob King, UAW vice president, National Ford Department. (Read More…)

Further signs that Volkswagen’s SEAT is due for euthanization emanate from China. If there ever were plans to bring SEAT to China, well, the plans are no more, says China Car Times. (Read More…)

Any minute, or at least by the end of the month, the Chinese government will reveal super-secret plans to throw serious subsidy money at clean energy cars. The plans have been so secret that the Chinese market from mild hybrids all the way to full plug-ins came to a standstill with everybody waiting for the government to dole out heavy cash. Of course, GM doesn’t want to stand on the sidelines of this bonanza. (Read More…)

No, the UAW doesn’t want to invest into Tesla like Daimler, or, a few days ago, Toyota did. The UAW wants Tesla to go union, says Reuters. “Our union’s hope is that this venture will give first hiring preference to former NUMMI employees who are already trained and highly skilled,” UAW boss Gettelfinger said. Well, one can always hope. (Read More…)

The conversion of vegetables into car fuel continues. In Japan, the Agriculture Ministry teams up with Toyota, Denso, the Chuo university in Tokyo, the Kyoto university and others with the goal of producing fuel from produce. From algae, to be exact. Are algae food? In certain parts of the world, they are. As I’m in Tokyo, dried algae are in the snack tray next to the computer, and they begin to infest the keyboard. The green stuff that wraps sushi is dried and pressed algae. (Read More…)

Opel has received a new lease on life. Nobody knows how long the lease will last, but Opel is an important step ahead and gained an even more important ally in its beggathon for state aid. Opel cut a deal with its unions, led by labor leader Klaus Franz.

“For much of the past year, Klaus Franz has been a thorn in General Motors Co.’s side,” wrote the Wall Street Journal. Franz “has blamed the European car unit’s troubles on its American parent, saying GM was ‘filled with yes-men’ and that it had a ‘centralized planning system worse than in East Germany.’ Now, GM needs to make nice with Mr. Franz.” With their backs to the wall, GM finally paid the price and made nice. (Read More…)

Chrysler is doing better than GM. At least when it comes to winning arbitration cases brought by culled dealers. GM lost both cases brought against them. Chrysler bats much better. (Read More…)

In January, the Chinese government had warned its (mostly government-owned) car companies to go easy on capacity expansion. Car sales in China were expected to show more sedate numbers than last year’s torrid growth rate of 45 percent. Sales did not follow government orders. In the first four months of 2010, Chinese car sales grew 60.51 percent. Now finally, the government can say “we told you so.” China’s car dealers sit on a mountain of unsold cars. (Read More…)

Nissan won’t sell their much ballyhooed pure plug-in Leaf until December. But a successful launch wants to be well planned, and Nissan thinks of everything. They won’t sell you the Leaf just yet. But you can already buy the charger. If you bank account is properly charged. (Read More…)

After exhaustive study of the U.S. economy and buying patters, J.D. Power raised their U.S. sales outlook. From previously forecasted 11.7m units to 11.8m units.  Rental car lots are seen to absorb a good chunk of the total. True retail sales are projected to be 9.7m units when the year is over. “Much of this is due to the increased fleet mix,” says Jeff Schuster, executive director of global forecasting at J.D. Power and Associates. In May, J.D. Power is “looking for fleet sales to account for 24 percent of total sales.” (Read More…)