Posts By: Frank Williams

By on October 31, 2007

hummer-h3t-concept.jpgWith the pickup truck market headed for the crash barrier and consumer demand shifting from SUVs towards more fuel-efficient cars and CUVs, GM has decided to introduce a pickup truck version of one of its slowest-selling SUVs. CNNMoney reports GM is wasting spending $73m to equip its Shreveport, Louisiana plant to build the Hummer H3T alongside Chevy Colorados and GMC Canyons. You may recall– then again why would you?– that the H3T was introduced as a two-door concept at the LA Auto Show in 2004. Although the concept looked kinda cool and (relatively) compact in a Jeep Gladiator kinda way, the new Hummer pickup will have a four-door cab. GM describes the forthcoming H3T as "larger than a mid-sized truck but smaller than a full-sized truck." Which raises an interesting question: "Why?"

By on October 31, 2007

corolla.jpgAudi has the A3. Mercedes has the B-class. BMW has the 1-series. And now Lexus is jumping on the small car bandwagon. According to Redbook (the Aussie website, not the thirty-something fashion mag), Toyota's upmarket car brand is dumping plans to build a RAV-4-based SUV in favor of crafting the Lexus of small cars. An unnamed, overly-grammatical Lexus executive claimed "the booming small passenger market in Europe has required us to rethink the situation in terms of the sub-RX entry-level SUV. In response, we have decided to shift from SUV to passenger car, under the project name of C-Premium." The new baby Lexus will be offered in both sedan and hatchback versions. It should arrive just in time to help Lexus meet stricter CO2 and fuel economy standards. Let's just hope the "C" in "C-Premium" doesn't mean "Corolla."

By on October 30, 2007

dodge-hornet-concept.jpgAs predicted here, Chrysler's plans to import Chinese-built subcompact cars into the American market has hit a few snags. When Chrysler replaced Malcolm Bricklin as Chery's American partner of choice earlier this year, the new dream team announced they'd have a subcompact car ready for export to the North American market by 2009. Now The Detroit News reports it ain't gonna happen (dot com). Chrysler's head of Asian operations, Phil Murgaugh, admitted that "the task we decided to bite off is a little bit more challenging than either Chery or Chrysler thought at the beginning." Sensibly enough, "when we're both satisfied that we've got cars that will meet… market requirements, then we'll begin exports." Thomas Hausch, Chrysler's executive director of international sales, revealed that they're still (cough) discussing the car with Chery and could not say when a US-compatible product would emerge from The People's Republic. With the just announced demise of the PT Cruiser, that leaves the chunky Dodge Caliber as Chrysler's smallest offering in a market where subcompact cars are the hot property. How great is that?

By on October 30, 2007

07silverado.jpgAs common sense suggests, GM's new "two-tier" contract with the United Auto Workers (UAW) works best (at least for the automaker) if the majority of their employees are on the lower tier. The Detroit Free Press reports that GM is using its corporate wiles to move its workforce's wage structure in a decidedly downwards direction. To that end, the automaker is dropping an entire shift at their Pontiac pickup truck assembly plant beginning in May. It's just one of three layoffs GM's planning under the new UAW contract that will eventually divest the domestic of several thousand jobs. GM claims the cuts are "to keep production in line with demand" and deny it's part of a plan to prime high paid hourly workers for a buyout– so they can hire cheaper "second-tier" replacements. Credit Suisse's Chris Cearso suspects "GM will be back before too long with an announcement of an attrition program geared to induce current noncore workers to retire so they can be replaced with new Tier Two workers at about one-third the cost." RN auto analyst Erich Merkle agrees. "I think GM wants to put as many people as possible into retirement and get young hungry workers, that are still treating their acne, in there at the lower rate." GM has responded to talk of buyouts or other attrition programs by labeling it "absolutely wild speculation." The UAW can't claim they didn't see this coming. And if they didn't, they sure as Hell should have. 

By on October 29, 2007

caw-3d-logo-colour.jpgEven though he says he's not surprised by the outcome, Canadian Auto Workers union (CAW) president Buzz Hargrove is disappointed with the contract agreement signed by his American comrades at GM and Chrysler. The London Free Press reports the union leader feels the agreement "worsens things in the sense that one more time the U.S. government is let off the hook in terms of dealing with the [closed foreign markets] trade issue." In a more piercing glimpse into the obvious, Hargrove says the Chrysler contract's narrow margin of victory "shows there's an enormous amount of dissent among the rank and file members." When the CAW starts their contract talks in July of next year, Hargrove vows the CAW won't follow the same path as the UAW. Considering Canada's national health care program obviates retiree health care discussions, negotiations can't follow the same path. However, it'll be fun to see what Buzz has to say when the automakers try to lower Canadian wages to match the UAW's new two-tiered structure.

By on October 29, 2007

lex_boat_vip_tcm254-523136.jpgAccording to the Luxury Institute's "2007 Social Responsiblity WealthSurvey" [sic], Lexus is the wealthy motorist's green machine of choice. The Institute (can they really call themselves that?) polled a "national sample" of 950 consumers with an average net worth of $3.1m and an average income of $307K. These not-so-super rich folk pegged Lexus as the "most admired brand for environmental concerns." The CEO of the Luxury Institute dismissed critics who dismiss his eco-oriented survey as PC pandering. "Being 'green' is no longer a luxury," Milton Pedraza asserted. "It is a requirement of doing business according to wealthy consumers." Apparently, 70 percent of well-heeled car buyers look for environmentally-friendly brands "with whom to do business." Environmentalists may be heartend to discover that America's most conspicuous consumers base their purchasing decisions on biodegradable packaging, zero-landfill manufacturing and EPA ratings.

By on October 29, 2007

chrysler_handshake2.jpgMuch to the dismay of the Soldiers of Solidarity and World Socialist Web Site, the United Auto Workers (UAW) rank and file were railroaded into narrowly approved the new four-year contract with Chrysler. The Detroit Free Press cited the results from a UAW statement: 56 percent of production workers, 51 percent of skilled-trade workers, 94 percent of office and clerical workers, and 79 percent of engineering workers voted in favor of the new labor pact. (Again with the percentages, rather than raw numbers. Hmmm.) Although the UAW leadership is crowing about their victory, eight locals that represent over 16K workers rejected the deal. They won't be too happy working under its provisions– especially if Ford workers win the job guarantees missing from the Chrysler agreement. Speaking of which, Chrysler is now free to announce its long-awaited product cull and close the plants making the duff products. Or did the UAW get them to agree to wait until Ford's sorted, before the full betrayal can be revealed? 

By on October 26, 2007

four_horsemen_apocalypse.jpgThe apocalypse is at hand, at least according to the World Socialist Web Site. Apparently, after the United Auto Workers (UAW) ratify their contract with Chrysler, Cerberus "will accelerate their plans to carve up the number three US automaker by shutting down or selling off dozens of factories." Fair enough (or not). The Socialists go on to prognosticate that the "Chrysler deal condemns the next generation of auto workers to near poverty" and "workers will face a campaign of harassment by management, which is eager to replace higher-paid veteran workers with low-paid new hires." And just when you think things couldn't get any worse, "with wages frozen and Cost-of-Living Adjustments diverted, workers will be ravaged by higher housing, food, fuel, education and health-care costs." Then they equate the "economic destitution" this will cause with the devastation caused by Hurricane Katrina. They didn't predict human sacrifice, dogs and cats living together or mass hysteria, but Ford's contract is still under negotiation, so stay tuned.

By on October 26, 2007

rolls-bug.jpgNot content in diluting the BMW brand exploring lower-priced markets with their 1-series, BMW's planning a "downsized model" for their Rolls-Royce sub-division. The new, $260k motorcar will slot below the only model in the erstwhile British brand's arsenal: the epic, 7-Series-based Rolls Royce Phantom. Business Week explains their corporate masters' goal: a prestigious ow-tow-mobile that "its owner- not chauffeur- can drive." Or, to use BMW design chief Chris Bangle's more prosaic description: "your everyday Rolls." Rolls-Royce CIO Ian Robertson is quick to quash any suggestion that "downsized" means "lower class." "We're not going downmarket," Robertson snapped. He's got a point. The "entry level" Roller's price tag compares to a Phantom "tab close to $500k, and sometimes as high as $2m." Still, seen in that light, you could call the new model a bit of a bargain, Mate. 

By on October 26, 2007

st-catherines.jpgWell, at least that's the opinion of passersby at the St Catharines Powertrain Plant in Ontario. The Standard reports the Ontario Ministry of the Environment and General Motors both received "quite a few" calls from residents near the plant complaining about a "musty burnt smell" emanating from the facility that could be detected several blocks from the factory. Eventually they found the source: "90,000 litres of mouldy lubricating oil" that circulates through some of the equipment. Although the lubricating system wasn't leaking, it is vented, releasing the pungent odor. GM plans to replace the infected lubricant post haste.

By on October 26, 2007

edsel60finalcar.jpgThe voting for the 2007 TTAC Ten Worst Autos award continues apace. You have until midnight tomorrow to make your choices. If you haven't voted yet, click here to jump over to the polls. If you have voted, thanks. You've done your part to help rid the world of four-wheeled turkeys. We'll announce the "winners" on November 1, so you won't have long to wait to find out if your selections won. In the meantime, here's an update of what's been going on behind the scenes.

By on October 25, 2007

2008_subaru_tribeca_official.jpgHot on the heels of its 2006 TTAC Ten Worst Autos award, and its position as a 2007 finalist for the same, comes news that the Subaru Tribeca has scooped another major nod: Best Resale Value in the crossover segment. A Subaru press release on PRNewswire announces the Tribeca's glorification by Automotive Lease Guide (ALG). ALG says their gong is "derived after careful study of segment competition, historical vehicle performance and industry trends." It shows that "compelling design, high quality manufacturing, disciplined pricing and volume programs" lead to high residual value. The fact that Tribecas coming off lease don't have to compete with a flood of fleet units being dumped into the used car market has a lot more to do with the high residuals than "compelling design" (unless they're talking about Tribeca observers' compulsion to avert their gaze). The press release concludes by listing other awards the Tribeca has received, such as high crash test ratings and some award for interior design. Their tally totally ignores the honor TTAC readers bestowed on Ye Olde "Flying V" last year. Go figure.

By on October 25, 2007

chadhang1.jpgDoes the UAW have its own version of a hanging chad? After telling TTAC they weren't concerned about union votes being reported in percentages rather than absolute numbers, the Detroit Free Press reports some United Auto Workers (UAW) members are questioning the lack of oversight in the voting on the new Chrysler contract. Chrysler retiree and union activist Larry Christensen summed up their fears: "I know that the people that run the balloting process are the same people whose fundamental interest is for this to pass. Because of that you can't help but wonder if it wouldn't be different if there were independent oversight of the process by the membership." The UAW declined to discuss the union's efforts (if any) to ensure the accuracy and security of the contract ratification process. With the fate of the UAW and Chrysler hanging in the balance, you can bet there will be a lot of questions about the outcome, regardless of which way it goes. Perhaps the union should enlist the services of former president Jimmy Carter to monitor their next "democratic vote" over at Ford. 

By on October 25, 2007

chevrolet-volt-concept-cutaway-1-lg.jpg"I would be surprised, shocked and dismayed if we decide not to do it." "It" is the Chevy Volt plug-in hybrid, and the speaker is Bob Lutz, quoted in the New York Times. Unfortunately, time waits for no man, even Maximum Bob. It's a little over two years until 2010, when GM has promised they'll have Volts on the road, silently whizzing around on their lithium-ion batteries. Except they still haven't developed a Li-Ion battery capable of powering the car. And once they finally have a viable design, auto industry economist Walter McManus surmises "when they break ground on a plant to make batteries, two years later the Volt will come out." In the meantime, GM is already advertising the Volt on TV, but with the disclaimer "Not yet available for sale" in small print at the bottom of the screen. Perhaps they should listen to Tony Posawatz, vehicle line director for the Volt, who admits "Until the product is done there is always some degree of uncertainty. No such batteries exist today, but our confidence builds as days go on." And as days go on, the clock keeps ticking down to 2010. Tick. Tick. Tick.

By on October 24, 2007

edsel.jpg

It is time. You've nominated 136 candidates for The Truth About Cars' (TTAC) recently rechristened “Ten Worst Automobiles” awards. TTAC’s stable of underpaid and overeducated scribes surveyed the damage and did their duty: they've winnowed the roll call of automotive abominations down to the terrible twenty. Now it's your turn to tell the truth about cars. Go to the bottom of this post and vote for ten vehicles you consider worthy of public recognition as TTAC's Ten Worst for 2007.

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