Chinese firm BYD (better known as an industry leader in NiCad and Lithium Ion batteries) unveiled its second plug-in hybrid at the Geneva Auto Show. Green Car Congress says its unique three-mode hybrid drivetrain starts in full-electric mode, switches to range-extending serial hybrid mode, and finally to Prius-style parallel hybrid setting (with gas and electric motor operating together). Scheduled for 2010 (isn't everything?), the new F3DM is aimed at the European market. BYD is not shy about its chances for success in the hybrid and electric car markets. "Battery technology is our core competency," Chairman Wang Chaunfu boasts. "And we think we are well-placed against GM and Toyota." No surprise then, that the company's 20kWh lithium-iron phosphate battery pack can go 70 miles on a single (long-ish) nine-hour 220 VAC charge… with a gas engine ready to kick in to extend range or increase power at any time. With a BYD test-fleet of taxis preparing to take to the streets of Shenzhen, the first automaker to sell an out-of-the-box, plug-in hybrid could well be Chinese. 

Britain's Advertising Standard Authority has called-out a Saab ad for its E85-capable, "BioPower" vehicles. The ad claims "bioethanol consumption does not significantly raise atmospheric levels of CO2." The watchdog agency also received complaints about the ad's claim that E85 reduced C02 emissions by 70 percent over normal gasoline– but dismissed them. Saab was able to prove that the assertion is factually true… if you use Brazilian sugar-ethanol. Still, it seems like Saab ad execs could have done the math and discovered that even with a best-case 70 percent reduction in C02 emissions, 30 percent of a gas-powered Saab's emissions still qualify as a "significant contribution" towards atmospheric carbon. Of course they didn't, which is why the ASA ruled that the ad is "misleading" as readers are "likely to infer that bioethanol did not add a significant amount of CO2 to the atmosphere." What a concept: requiring fairness, math skills and even-handedness of people who are just trying to save the world by selling more cars. Now if only we had a watchdog to similarly debunk the pro-E85 falsehoods spewed by America's business and political leaders. Oh wait… you're reading it. 

Ford has spent considerable amounts of money trying to make its North American workforce more cost-effective. Last year's contract with the United Auto Workers (UAW) allowed Ford to hire new workers at lower pay rates, while trimming higher-paid labor through buyouts and early retirements. But when the 54k buyout offers translate into actual gains in efficiency is "anyone's guess." That's the straight dope from VP for Labor Affairs Marty Mulloy [via Wards]. Ford's cost savings are directly related to the number of employees actually taking the buyout offer ('natch), and Ford still isn't saying how many workers are expected to sign up and bail out. Meanwhile, Mulloy says the American automaker will not be making any new entry-level hires this year. That's because five thousand highly-paid Ford workers still languish at the 11 factories once owned by Automotive Components Holdings (ACH), which Ford (in its infinite wisdom) bought in 2005. While Ford wants to sell or shutter the plants by year's end, it has to either hire or buy-off the ACH employees. Folks, it could be years before the Blue Oval's labor costs approach those of Toyota, Honda and other transplant competitors. And Ford's talking about insourcing?

Cnet reports that it all starts innocuously enough: upgraded Sync-based navigation systems with live, local updates. Next, Mircosoft will offer "points of interest" navigation to local businesses and attractions featuring fresh information on products, prices etc. And then… in-car advertising. We're talking pop-up ads on your navigation, free mp3 downloads when you stop at a Starbucks, and anything else Bill Gates' boffins can think of to suck the cash out of your wallet. While web-based ads are unlikely to inspire immediate action (i.e. significant click-through revenue), the head of MS' Automotive Unit says in-car advertising's worth will be "measured in dollars." Martin Thall reckons that's because the driver is out of the house and more likely to follow through on the ad's suggestions. Because after all, you're just driving. You've got plenty of attention to spare. Especially when it means 35 cents off your next Frappuccino.

The custody battle over Plastech's injection mold tooling just got a lot more complicated. Mlive.com reports that H.S. Die, the company who manufactured Plastech's Chrysler-specific parts tooling, says that it holds a special-tool lien. In theory, the agreement gives them legal priority to reclaim the equipment now that Plastech has entered bankruptcy. (Chrysler is appealing the decision barring the automaker from reclaiming the same tooling.) H.S. Die was surprised to find itself on top of the "unsecured creditors" list; Plastech owes it $9m. H.S. Die has filed a legal notice, arguing its legal right to the equipment– registered with the state of Michigan– as unpaid-for merchandise. If the court rejects the die maker's arguments under this under-interpreted lien jurisprudence, H.S. Die stands to lose millions. If, on the other hand, the tooling is handed back to H.S. Die, Chrysler could find itself in the awkward position of having to work-out a deal with yet another supplier to keep production lines moving. The saga continues…

Mass High Tech reports that General Electric is dipping a toe in the electric car business, investing $4m in electric car maker Th!nk and another $20m in A123 Systems, the MassiveTaxes-based battery company. The announcement comes as the formerly Ford-owned Norwegian EV manufacturer unveils its new Ox crossover in Geneva. GE says it plans on opening a new research center in upstate New York, where it will work with A123 to develop high-capacity, lithium-ion batteries for electric and hybrid cars. Last year, A123 received a $15m contract for next-generation vehicle batteries from the U.S. Advanced Battery Consortium (Chrysler, GM and Ford) and a contract to supply batteries for the Saturn Vue Green Line plug-in program. It's good to see investment in homegrown battery development that's a little more sophisticated than just strapping a bunch of laptop batteries together.

Attention car companies who desperately want to beat Toyota at the green car game: start building diesel hybrids now. Accordingt to Automotive News [sub], Toyota President Katsuaki Watanabe says his company has no plans to build a hybrid diesel car. Toyota leads worldwide sales of gas – electric hybrids, plans to offer diesels on the Tundra/Sequoia platform and sells a truck in Japan with a hybrid diesel powertrain. So what's the issue? Unlike other companies we could mention (cough, GM, cough), Toyota doesn't see the value in rushing prohibitively expensive green technology to market. "A diesel hybrid car would cost more than a gasoline hybrid," explains Watanabe, reminding the greenrush crowd that the car business is still a business. So what of diesel hybrid concepts from Mercedes and Volkswagen? We can only assume that consumers have long become accustomed to overpaying for German offerings. 

As the American Axle (AA) strike stretches into its second week, Automotive News [sub] reports that GM may be considering bailing out yet another troubled supplier. Thus far, GM has claimed the Axle-caused work stoppages gave them an opportunity to trim bloated truck and SUV inventories. But as the strike begins to halt all of GM's high profit North American truck production, and hobbles hundreds of other suppliers, this shit is getting serious. Negotiations between the United Auto Workers (UAW) and American Axle management are deadlocked. American Axle wants to cut UAW wages in half across the board, from $28/hr to $14/hr. The only viable scenario at this point: the now-standard package of buyouts, buydowns and flowbacks. Once GM has finished buying out enough of its own workers, it could move the holdout American Axle workers to its own payroll, freeing AA management to hire new employees at the now-competitive rate of $14/hr. But isn't the point of GM's buyout program to trim its payroll fat? And hasn't GM already blown its bailout budget on Delphi? Chapter 11 if they do, Chapter 11 quicker if they don't.

In an announcement that surely had industry-types frantically calling their favorite headhunters, Businessweek reports that nine of Toyota's top U.S. executives will be retiring by the end of the year. There are now openings for vice president positions in logistics, sales, motorsports, business technology, Toyota University and the top job at Toyota Racing Development. Toyota maintains that these are all normally-scheduled retirements but… what of the Jim Press effect? Aren't experienced Toyota managers learning that they're worth their weight in gold to, ahem, less successful, car companies? Analysts say that this year's sagging sales mean the the time is right for ToMoCo of NA to bring-up a new generation of leaders. Before you polish-up your c.v., the Japanese automaker has a long history of promoting from within. Hai!

Lamborghini has unveiled the new Gallardo LP560-4, claiming its lighter, faster and, inexplicably, greener than its predecessor. I know, I know; you're thinking thank God, I can finally drive one of Sant'Agata's finest without the painful pangs of eco-guilt. So what really makes this Lambo more eco-friendly than other supercars? Why they've improved carbon emissions by 18 percent! Yes, it now gets 17mpg combined– up from 14mpg on last year's model! Exactly the kind of engineering achievements that will have current owners trading in their old, dirty, sinful Gallardos. Lambo CEO Stephan Winkelmann couldn't help but undercut his own bizarre marketing canard, saying "being a supersports car is all about accelerating and top speed… If you want to go fast, you consume, and if you consume, you have emissions. You will never come to the average emissions of the average car." Um, so… is there something we're missing here? Why on earth announce that your expensive, handmade Italian sportscar uses Volkswagen technology to improve its environmental footprint by "lessening friction between mechanized gears, improving the power/weight ratio and engine design?" There may well be a better way to eviscerate the passionate, emotional image of Lamborghini, but we can't think of it.

When Renault bought a 25 percent stake in Russia's AvtoVAZ late last month, we thought it was just another company chasing the big money in Russia's expanding car market. Having jointly manufactured cars with VAZ for years, GM clearly sees the French incursion in slightly more threatening terms. Speaking in Geneva (via CNN Money), GM Europe president Carl-Peter Forster says "it's too early to tell" exactly how the Renault play will affect the Chevy Niva joint factory in Tolyatti. But he's clearly worried. So worried in fact, that he became downright effusive while describing his company's desire to continue the Tolyatti venture. Calling the factory "a nice little diamond, a gem," Forster unwittingly raised serious concerns about his mental health and/or his local knowledge. Less than a week ago, the head of procurement for AvtoVAZ was found stabbed to death in his Tolyatti apartment. It's hard to decide which is funnier: Renault buying a stake in VAZ within days of the stabbing of one of it's executives, or GM's concern that it won't be the only game in a town where gangs are waging a turf war to control the auto industry. As the Brits say, it's six of one, a half dozen of the other.

Plastech may not have done so well in the plastics molding business lately, but it sure knows how to play the doormat with aplomb. In a touchingly "stand-by-your-man" moment, Plastech General Counsel Kelvin Scott confirmed yesterday that the bankrupt firm would continue supplying Chrysler with parts "indefinitely." This announcement comes despite the fact that the Pentastarred lawyers are currently working on their second attempt to legally extricate the very tooling Plastech uses to produce Chrysler parts. So why is Plastech eliminating the threat of work stoppages at Chrysler plants and thereby losing all of its negotiation leverage? Is it playing nice for Judge Shefferly, who has already staved-off round one of Chrysler's legal predation? Our theory? Plastech knows it's products are of such poor quality that the best way to hurt Chrysler is to keep 'em rolling into their plants. Just kidding. I think.

According to the Financial Times' "Who's who" roundup, relations between the two halves of Porsche's ruling family are chilly– despite joint ownership of what will be the largest automaker in Europe. Apparently, Ferdinand Piech, chairman of Volkswagen, and Wolfgang Porsche, chairman of Porsche, had a bit of a spat at a recent Porsche board meeting. The two ordered everyone out of the room while they hashed out their unspecified difference. When they emerged, Wolfgang was "the surprising winner." According to an unnamed source close to both men (presumably not in a sexual way), the two grandsons of the legendary Ferdinand Porsche "are not scratching out each other's eyes but it is no secret that the Porsches and Piëchs were never really a loving couple." (Then again…) "Who's who" implies that Wolfgang Porsche's power is on the wane. And yet… his close relationship with Porsche CEO Wendelin Wiedeking (is it me?) is said to give him an upper hand in the new power politics at Porsche Automobil Holdings, VW's new master. Supposedly. Anyway, it's good to see the "collegial partnership" is off to such a good start…

Hyundai Chairman and CEO Chung Mong-koo was convicted in Korean court for embezzling some $100m in company funds. Thanks to Korea's corporate crime-friendly legal system, Chung didn't spend day one (day woo?) in prison. While Hyundai's profits soared under Chung's leadership, indignant shareholders are baying for blood. Moral outrage? Nah. Hyundai's stock growth slowed to six percent last year in the wake of the scandal, well below the Korean benchmark index of 32 percent in the same period. Chung and his son Eui-son (who heads Kia Motors, so add nepotism to the score card) hoped to deflect public criticism by donating over $1b in stock to the public. Only they haven't done it yet. Most of the funds Chung removed from Hyundai's corporate coffers were spent on a slush fund to bribe public officials, which at least partially explains Chung's continuing freedom. It may also explain why many institutional investors appear to be standing behind Chung. Meanwhile, a minority group of shareholders is preparing a lawsuit claiming damages stemming from embezzlement and other mismanagement. This is so not a good thing.

Reuters reports that Ford is developing a new business plan for Volvo, which would require allow the Swedish subsidiary to operate on a more independent basis. Citing slides posted to the company's website– which will accompany a presentation to analysts at the Geneva Auto Show– the report indicates that Volvo's return to "sustainable profits" is "the top priority." Not a bad plan, considering the persistent rumors that Ford had shopped Volvo around without garnering a single serious purchase offer. Whether the "appropriate business arrangements" can really improve Volvo's lousy recent performance remain to be seen… especially if this moves turns out to be some kind of accounting shell game. Jaguar and Landie sale in trouble. Volvo hung out to dry. Will no one relieve me of these brands?