Posts By: Edward Niedermeyer

By on January 8, 2011

In this age of non-local communities, it’s amazing to be able to make connections with car enthusiasts the world over. Still, there’s nothing like making a personal connection with those who share your passion. In that spirit, and as promised, TTAC invites its community of readers and commenters to come down to the Detroit Beer Company this Tuesday (January 11) at 6:30 to meet TTAC’s NAIAS team. I will be joined by our Detroit staffers Michael Karesh and Ronnie Schreiber, as well as the infamous Jack Baruth at the downtown brewpub for an evening of beer, grub and car chatter. If you’ve got a spare moment, we’d love to have you join us.

By on January 7, 2011

I didn’t plan on attending the North American International Auto Show this year… I really didn’t. TTAC generally avoids the expense and hoopla of the major auto shows, focused as we are on analysis more than “check out this new hotness” reportage. But this year things are a little different. After my third New York Times op-eds in the last year or so, I’ve been asked by the PBS NewsHour to appear in their piece on the recovery (or, as we like to say here at TTAC, not) of the American auto industry… so in a few hours I will be hopping a plane to Motown for my first-ever NAIAS. While we’re in Motown (and that’s not the editorial “we”… my beautiful and long-suffering life partner has taken the time off work to come support me and take in the sights of Detroit in January) we’ll be stopping in at the UAW protest, reporting on the new launches and reveals, and rubbing elbows with industry reps as well as meeting with TTAC’s staff and our owners from VerticalScope. But there’s another reason we’re headed to Detroit: it’s time to do a little PR work of our own.

(Read More…)

By on January 7, 2011

As the biggest week in the American auto industry, the annual North American International Auto Show in Detroit regularly attracts a sideshow of protesters bent on sending a message to the hordes of executives and analysts who cram Cobo Hall. In 2009, UAW members marched against the possibility that the auto bailout (then still a work-in-progress) would require union concessions. Last year, Tea Party groups rallied to protest the government’s ownership of GM and Chrysler, while UAW members counter-rallied in support of the bailout (apparently those concessions weren’t so bad). This year will be no exception to the trend, as dissident UAW members will be protesting the union’s two-tier wage system, a pre-bailout concession that has created considerable controversy of late. And they’ll be getting support (if only in word, not action) from across their friends from the North, as the Canadian Auto Worker boss has recently called for an end to the two-tier system, saying

That has to be a strategy of the UAW to gradually get out of the two-tiered system. I don’t know if it can happen overnight, but they’ve got to start sending signals to future employees that the low, tiered wages are not something that can sustain families long term

(Read More…)

By on January 7, 2011

As one of California’s leading bastions of privileged liberalism (2009 per-capita income: $91,483) , Marin County is probably one of the top counties worldwide in terms of EV market potential. But apparently the local government isn’t ready to tap its unique combination of money and idealism to become a leading market for electric cars. Even as Californian EV activists are being forced to install second power meters to separate EV charging from home electricity use in order to take advantage of lower electricity rates for EV charging, the NYT reports that Marin County has banned the use of “smart meters” which would allow more widespread EV adoption.

Smart meters, which communicate electricity use wirelessly to the power company would allow EV charging to be easily separated from home use, but they also raise a number of issues that Marin County simply doesn’t want to have to deal with. Privacy, health risks from electromagnetic frequency radiation, and radio communication interruptions are all cited in the Marin County ordinance [PDF here] which bans installation of the smart meters in unincorporated areas of the county. The upside for EV enthusiasts is that this affects on 70k of the county’s 260k residents… but again, knowing Marin County, the county’s numerous rural mansions are probably a huge part of its potential base of EV support. And the towns of Fairfax and Watsonville have already banned smart readers, as has Santa Cruz County, another prime EV market. Time to start rethinking those running costs?

By on January 6, 2011

GM and its Korean battery partner LG Chem have signed licensing agreements with the Department of Energy’s Argonne National Laboratory, giving the two firms access to Argonne’s proprietary lithium and manganese-rich metal oxide mix for use in lithium battery cell cathodes. The material will need “several years of testing” according to The General, but could extend battery life, increase charging voltages and storage, and make Li-ion cells safer. Energy Secretary Stephen Chu says GM’s agreement with the publicly-funded lab

gives General Motors the ability to use cutting-edge battery technology throughout its supply chain. The licensing of this technology will also spur the renewal of the American battery industry, creating hundreds of new jobs where they are needed most.

But that’s not quite the whole story. According to press releases, GM’s deal with Argonne allows the automaker to

to use Argonne’s patented composite cathode material to make advanced lithium-ion batteries

But LG Chem’s agreement allows the Korean firm

to make and use Argonne’s patented cathode material technology in lithium-ion battery cells

In short, a publicly-funded lab has licensed technology in a way that appears to deepen the (partially) government-owned automaker’s dependence on a foreign firm. Confused? So is the mainstream media. And so, to some extent, are we.

(Read More…)

By on January 6, 2011

At least in the insular world of the automotive media, 2010 may well go down as “The Year Honda Lost Its Mojo.” The Motor Company’s first 2010 model-year launch, the Accord Crosstour failed to get off the ground last year, and the much-hyped CR-Z hybrid coupe launched to thoroughly mixed reviews. In fact, the new 2011 Odyssey seems to be Honda’s first big new launch in the US since the latest Accord debuted in 2008, although it’s not clear how many of the Oddy’s 10,147 December sales were leftover 2010 models. And after Acura’s 2009 model-year beak-ification, Honda’s luxury division launched only one new model, the ZDX, which sold a paltry 3,259 units last year. In short, Honda seems to have pulled off only one legitimate hit in its last five launches (including 2009’s Insight flop)… but unlike some other automakers, the big H isn’t dependent on novelty to move metal. Underneath Honda’s string of missteps are some fairly sound fundamentals… as well as signs that change needs to happen soon.
(Read More…)

By on January 6, 2011

Why would Ferrari’s test drivers waste their time trundling around the streets of Maranello in the non-road-legal 458 Challenge, the racer-boy version of the 458 Italia? Because it hadn’t yet passed the the crucial test of hypercar performance found at 3:17 in this video. Next up, the “asshole test.”

By on January 6, 2011

Last year, Saab sold 31,696 vehicles in markets around the world. For some contrast, that’s less volume than the Mazda6, Ford Flex or Acura TSX sold in the US alone last year. But don’t worry folks, according to Saab-Spyker boss Victor Muller [via Automotive News [sub]], everything is going to be just fine. As it turns out, Saab has a very specific problem with an easy cure.

One of the largest challenges in 2010 was to restock our dealers around the world to normal levels again, especially in a market like the United States, where you need dealer stock in order to be able to sell cars. For instance, when we acquired the company, there were a mere 500 cars left on the ground in the United States. Normal inventory levels in this market should be at 6,000-7,000 units. In 2009, Saab Automobile sold 39,800 cars, but built only 21,000. As a result, inventory levels were depleted by almost 19,000 units. In 2010, we only filled the pipeline with less than 4,000 units. All in all, with all the accomplishments made so far, I am very confident that the foundations for delivering on our business plan are in place.
Except for the fact that, according to Wards Auto, Saab-Spyker ended November with 269 days of supply, the largest inventory in the business. In November of 2009, when Saabs were allegedly “depleted,” Saab’s US operations were rocking an industry-leading 156 days of supply. As recently as 2007, Saab matched its current global number in the US alone; last year, the brand sold 5,445 units, a 37.3% drop from 2009’s abysmal (but, given the firm’s turmoil, understandable) 8,680 unit performance. Next year, Saab wants to sell 80,000 units worldwide, and plans call for 120k units and profit in 2012. I’m not sure where Muller gets his optimism from, but I could sure use a hit of it about now.
By on January 6, 2011
France’s industry minister Eric Besson lashed out at those who may have attempted to steal EV secrets from the French automaker Renault using the language of international relations rather than economics. He tells RTL Radio [via Automotive News Europe [sub]]
All I can tell you is that the matter seems serious, that it illustrates once again the risks our companies face in terms of industrial espionage, and economic intelligence, as we call it today. It is an overall risk for French industry. The expression ‘economic warfare’, sometimes extreme, is appropriate and this is something we should monitor in future.
To which ANE helpfully adds
France has for some years been worried about potential attacks on its industrial secrets and even has a “school of economic warfare” aimed at rooting out economic subversion.
But who is behind the alleged “economic warfare”? China is the obvious scapegoat in internet speculation, but thus far there is no proven connection between Renault’s suspended executives and any foreign company or country. The highest-ranking of the suspended execs, Michel Balthazard, was born and educated in France, and has been at Renault since 1980. And, according to French media reports, this may have less to do with foreign attackers than in-house rivalries…
By on January 6, 2011

Buick’s Verano aims to bring a touch of class to the compact segment, and what’s classier than a Latin motto? Especially Ad Astra Per Aspera (Through Hardship, To The Stars), the motto used by such refined institutions as Dr Challoner’s Grammar School in Buckinghamshire, England and (of course) Starfleet. Unfortunately, the Buick Verano isn’t aiming for the stars… it’s got more humble foes like the Audi A3, Volvo S40 and Lexus IS250 in its sights. In fact, it’s actually “from” the stars… well, it’s closely based on the Opel Astra, anyway.  So, make that “Ex Astra Per Aspera.” Although, come to think of it,  it didn’t really come through “hardship” so much as “China.” So I suppose the official classy Buick Verano motto should probably  be “Ex Astra Per Sina.”

The hardship part comes when GM tries to slot this bad boy between the $22,695-$26,780 Cruze LTZ and the $26,995-$36,105 Buick Regal. Or when they realize that neither the Audi A3 nor the Volvo S40 cracked 7k units last year (Lexus doesn’t break out IS250 numbers, but if were half of the IS-line mix, it would have sold 17k units last year). Keeping it classy in the compact segment just isn’t that easy.

By on January 5, 2011

In response to our confusion over engine specs for the new 2011 Nissan Quest, Nissan’s product communication team wrote in to let us know that

At our media preview we received the new torque and hp figures during the middle of the event of 240 and 260 respectively but for some reason the rpm figures [in promotional materials] weren’t updated.

Thanks to Nissan’s prompt response, we can now officially report that the confusion is over. Engine power specs for the 2011 Nissan Quest are as follows

Horsepower : 260 hp @ 6000rpm

Torque (lb-ft) :  240 lb-ft @ 4400rpm

By on January 5, 2011

Automotive News [sub] reports that three Renault executives, including one who works for the automaker’s electric vehicle development program, have been suspended without pay pending an industrial espionage investigation. According to a Renault source

[The investigation] involves people who were caught red-handed for industrial espionage. Renault is a victim in this story. The group is a bit worried about its electric vehicle program — it hopes that its leadership in this technology won’t be threatened.

(Read More…)

By on January 5, 2011

The story of Dimitrios Biller has been one of the more colorful sideshows in last year’s media-scourging of Toyota, complete with a “book of secrets,” accusations of corporate criminality, counter-accusations of mental instability and a congressional pissing match. But with the Toyota media circus long gone, it now seems that l’affaire Biller was just another distraction from the mundane truth of the unintended acceleration scare. As the Detroit News reports, Biller and Toyota’s legal struggle is over… and Toyota, not Biller, is going to get paid.

Biller, a California attorney who worked at Toyota Motor Sales USA for four years, from 2003 to 2007, and Toyota had agreed to have their disputes settled by binding arbitration, which limits the grounds for appeal.

Biller had sued Toyota for defamation and fraud, while Toyota had sued him for violating confidentiality and severance agreements.

Gary Taylor, a retired judge serving as the arbitrator, concluded in a final award that Toyota should receive $2.5 million in damages from Biller for 10 disclosure violations, plus $100,000 in punitive damages.

“The evidence showed that Toyota suffered, and will continue to suffer, multiple harms from Mr. Biller’s contract breaches,” Judge Taylor wrote.

He also ordered Biller to return documents, including attorney-client documents, he’d taken from Toyota and allow the company to inspect his computers.

By on January 5, 2011

With TTAC bringing retail market share into its year-end sales analysis, we’re fascinated by the results of Consumer Reports’ Car Brand Perception Survey. The results show Toyota falling slightly but holding onto the top spot, and Ford making strides towards overtaking the Japanese Juggernaut. That trend at the top absolutely comports with our retail market share data for 2010, as does Honda’s less-dramatic slide in favor. CR also shows Chevy losing some ground in most of the survey’s rating areas, especially “Design/Style,” where the bowtie brand dropped out of the top five brands. Still, Chevy does surprisingly well in the CR survey, considering it lost more retail share than any other brand besides Toyota. Between TTAC’s year-end retail share numbers and CR’s brand perception survey, industry-watchers now have more ways than ever to track the performance of automotive brands in the minds of consumers, rather than as measured by sheer volume.

By on January 5, 2011

The tuning house Gull Wing America have a huge thing for vintage Mercedes models, resulting in such bizarre creations as a re-interpreted W-121 and a retro-fied SLS. But for its latest project, GWA has taken on the most ambitious gullwing Mercedes ever, the “forgotten gullwing” known as the C111. Based on a tubular steel chassis, and sporting a 400 HP Mercedes V12, the “Ciento Once” is more of a re-interpretation than a strict replica. Still, it’s heartening to see such an influential yet forgotten car re-appear on the automotive scene, if only as a one-off prototype.Perhaps it will even inspire the the boys in Stuttgart to come up with their own “take two” on the great gullwing C111.

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