In this day and age, it’s nothing short of a minor miracle that giant multinationals still build cars that are as ridiculously potent and expensive as the LF-A. Especially giant multinationals which have made good headway in recent years with a green-friendly, Prius-powered image. The LFA is rare enough that few non-car-nuts know it exist, let alone associate it with their new ES350. It costs $375k a pop and Toyota still loses money on each one built. In fact, thus far, only this video (a promotional shoot by Lexus Europe at the 2010 Goodwood Festival Of Speed) comes close to properly explaining why this car was built (starting at around the 1:10 mark). In fact, I challenge anyone to come up with a more concise argument for the continued existence of hugely expensive, hugely fast cars.
Posts By: Edward Niedermeyer
Well, how’d you like to have a brand-new Chevrolet Corvette?
With that line, GM CEO Ed Whitacre keeps GM’s streak of giving Corvettes away to well-compensated guys alive in a speech at the Austin Chamber of Commerce. When Whitacre asked the chairman of the chamber and president of Tokyo Electron US Holdings Barry Mayer what kind of car he drove, Mayer responded that he drove a Lexus. That’s hardly a surprising response, points out the Freep, given that Mayer is the head of a Japanese company’s US operations. But it surprised and embarrassed Whitacre enough to drop some Corvette keys in Mayer’s lap and offer discounts on GM cars to everyone else in the audience. Because chambers of commerce are, after all, the truly needy. Besides, it’s just tax money…
Via Top Gear comes this in-car footage of the Porsche GT3 R Hybrid lapping a racetrack and making some peculiar sounds in the process. Part Porsche purr, part RC Car whine, this new note is one of the first hints at what future supercars will sound like, in particular the forthcoming Porsche 918 Spyder. It may not be the most viscerally evocative sound ever recorded, but dammit, it’s the future.
Like GM’s infamous “payback” commercial, this Toyota ad walks right up to the point of a big lie, allowing the viewer to believe something while they’re actually being told something subtly different. Toyota never says “we spend a million dollars every hour on safety-related technology,” but they sure make you want to believe it. In reality, the “million dollars every hour” represents Toyota’s global R&D budget, some undisclosed portion of which is spent on safety-related technology. Toyota’s explanation of this intentionally confusing claim, after the jump.
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After a year of bitter battles with its dealers in the wake of a bankruptcy-era dealer cull, Chrysler is about to do the unthinkable: start a whole new dealer network to sell Fiats built in Italy by its new owner. The Detroit News reports that
existing Chrysler, Dodge, Jeep and Ram dealers will get a chance to apply to sell the Italian Fiats, but they must be able to operate separate facilities with different sales and service teams in order to win a franchise.
Fiat will return to the US by the end of this year, starting with the Mexican-built Fiat 500.
Got range anxiety? Tesla does… [Hat Tip: someone at Chrysler]
Despite having more cash than debt for the first time in decades, GM is going back to Wall Street in search of fresh debt. Over the weekend, The General has been in talks with several banks to secure a $5b revolving line of credit to shore up its liquidity position ahead of an IPO that’s rumored to take place in August. At $5b, GM’s desired line of credit would essentially replace the $5.8b the automaker has repaid to the Treasury, and will help it deal with a number of pressing cash needs to maintain its shaky global empire. But with so many pressing uses for the cash, and political pressure mounting for a rapid IPO, can GM deal with its issues and take on more debt and be worth what the government wants it to be worth? Troublingly, the answers to these questions are not to be found on GM’s balance sheet.
And you thought it was over. You thought that, with Top Gear’s “Car Of The Decade” trophy accompanying Ferdinand Piëch’s “Ego Of The Decade” award in the Volkswagen trophy case, Bugatti could move on and let tiny companies based in sheds and garages fight over who has the world’s fastest “production” car. But no. That’s not how things work in Wolfsburg… er, Mollsheim.
One of these cars is two years old and has a base price of £19,365 in the UK (it is not sold in the US), while the other is brand-spankety new and starts at £88,325 in that same UK market (it arrives stateside this fall). Which is which? And, since this is an easy one for the crazy car-identification ninjas that prowl this site, is this much family resemblance good or bad for Mercedes?
Now that we can basically predict the styling of future Buicks by putting waterfall grilles on current Opels, and the brand’s biggest market is China, it’s safe to say that Buick is no longer a particularly American brand anymore. It should come as no real surprise then, that it took a German to build the Ultimate Buick. That “B” on the grille stands for Bitter, an old-school German tuning house that has been to Opel what Alpina is to BMW. But because Erich Bitter has spent his life improving mass-market cars rather than Bavarian bahnsturmers, he brings a unique approach to the Opel Insignia, also known as the Buick Regal. In fact, you could almost call it more Buick than Buick.
Because we are halfway through the year, we’re mixing things up a little by comparing June sales to six-month totals instead of to June 2009 sales.
Toyota takes the C-Segment crown with the one-two punch of its mixed Corolla/Matrix sales. A breakout here would be nice, but since Toyota’s not offering, we’ve included the HHR with Cobalt and the Jetta with Golf to even things up a little. Credit the Focus for selling with the best of them without a hatchback platform-mate, and note that the Elantra’s monthly number has improved considerably relative to its six-month average.
These six sedans are the fleshy part of the American car market. Big-name D-segment sedans sell like crazy, and pretty much made Honda and Toyota what they are today. Their dominance of this segment, often called “Camccord” after their two best-sellers, remains unchecked as each has spent three months on top of the chart. But there’s danger down below. Hyundai’s Sonata has been making steady progress all year (June excepted), and the Malibu has enjoyed more modest, but equally steady growth. Altima all but matched Camry in February, and gave Accord a scare in March. There’s still a tight pack of four nipping at the heels of the big dogs. Time to start coming up with a new nickname for the D-Segment?
Just yesterday, I noted in my write-up on Mazda’s June sales performance that
with a Nagare-saddled Mazda5 replacement waiting in the wings, Mazda isn’t even well positioned to defend the segment it helped define in the US market, just as GM finally starts taking it seriously
Well, today Mazda announced to Automotive News [sub] that it would be targeting 30k annual sales of the Mazda5’s “Nagare-saddled” replacement. Last year’s 18,488 units was the second-best sales year on record for the 5, as sales fell from 2008’s all-time high of 22,021. In short, Mazda’s compact CUV has always been at least 8k units away from its new Mazda5 sales goal. On the other hand, Mazda never properly marketed the 5, and both GM and Ford are moving into the segment with the GMC Granite and Ford C-Max. Will Detroit’s move into this otherwise-ignored segment (currently contested by only the 5 and the Kia Rondo) bring buyers in, or force already-marginalized players like Mazda out? The fate of the 5 seems to hang on the answer to that one question.
Look at our overall June sales numbers, and it’s clear that Daimler beat BMW Group last month (with help from an estimated 11 Maybach sales). By brand though, BMW won the volume game by nearly 1,000 units, with Lexus about another 1,000 units behind Mercedes. In general though, things were good in the luxury sector last month. In terms of percentage, the three “backmarkers” of the luxury field made some of the most dramatic gains, with Porsche booming 137 percent, and Jag/Landie combining for a 53 percent increase. Full numbers post-jump.
In the first six months of 2009, Mazda sold over 7,000 more vehicles than did Subaru. This year, Subaru’s six month volume is over 10k units higher than Mazda’s. Meanwhile, in a scenario that does not bode well for the forthcoming Mazda2-Fiesta showdown, Ford’s Escape outsold its Mazda Tribute cousin 15 times over. In 2002, for comparison, that ratio was closer to three Escapes for every Tribute sold (145,471 to 44,989). And with a Nagare-saddled Mazda5 replacement waiting in the wings, Mazda isn’t even well positioned to defend the segment it helped define in the US market, just as GM finally starts taking it seriously. Mazda has little room for failure… and plenty of opportunity. There will have to be many more months like this one.
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