Carburetors, fuel injection, headlights, satellite radios, ECU, ABS, air conditioning, drive-by-wire— today’s automotive technologies are variations on well-established themes. If “Crazy Henry” Ford resurrected, he’d have little problem driving– or understanding– a modern car. While automakers continue to tweak automotive systems for greater ergonomics, power, fuel economy and reliability; the improvements are evolutionary, not revolutionary. Even alternative powerplants aren’t game changers. But something else is…
Posts By: Samir Syed
The Financial Times confirms the news everyone's been expecting (and endlessly reporting): the Indian conglomerate Tata has been named the "leading bidder" for the coupled Jaguar/Land Rover brands. In other words, the deal is their to lose. While the FT says Tata will enrich Ford's corporate coffers by somewhere between $1.8b and $2.2b, and you can bet we'll hear the words "core business" from Ford on sale day, the sale represents an abject failure/humiliating defeat for FoMoCo. Comments like this have got to hurt: "Efraim Levy, automotive analyst at Standard & Poor’s equity research arm, said Tata would be able to invest in Jaguar and Land Rover in ways Ford could not afford to." More irony: Tata is something akin to India's Ford; the company that's pledged to build a $2,500 car for its domestic market. So why would Tata repeat Ford's mistake? Enquiring minds, like Michael Tyndall at Nomura Securities in London, want to know. “Tata gets recognition on the global scene. You could argue that it gets technology expertise. But … overlap between the two company’s product portfolios is practically zero.” Meanwhile, Ford gets to burn through a few month's more cash. I jest, I jest. Perhaps this heralds the return of Lincoln as more than just "Ford with leather seats."
CNN Money reports that Jim Press, the Toyota-poached (not yet fried) Vice Chairman of the new Chrysler Corporation, has announced that his employer is striving to reduce its fleet sales to 20 percent of total sales. While that number may seem high, it would be a major accomplishment. Fleet sales of some Chrysler models have run well over 50 percent. From January to June '07, the Magnum (61 percent), PT Cruiser (65 percent), Crossfire (71 percent) and Avenger (79 percent) easily crested that benchmark. Mind-bogglingly enough, these figures do NOT include fleet sales made through Chrysler dealers. Though Press forgot to talk about Chrysler's current fleet sales percentages, he suggested that anything above 30 percent is "not a healthy way to manage our business." Ya think? Neither CNN nor Press deigned to specify which aspect(s) of fleet sales are detrimental to the domestic automaker's business, such as lower residual values, less incentive to design cars that compete at the retail level, brand stigmatisation, etc., etc. On the flip side, Chrysler plans a modest increase in retail sales. To the scrying eye, Press is preparing the press for a [rapid and continuing] decline in Chrysler's '08 market share.
General Motors has canceled development of it's new Ultra V8, originally set for production at its Tonawanda engine plant. You hurt your what? The little-known Ultra V8 was the engine slated to replace the aging but iconic Northstar V8. Nestling in the noses of big Caddies and the Buick Lucerne, the Northstar has become something of a red-headed step-child: a DOHC humbly going about its business while the small block, pushrod LS3 and LS7 engines screamed for– and got– all the attention. As the Cadillac CTS-V has done right well with the LS6 V8, the General may be itching to try out the LS in other models. While the idea of a pushrod in a luxury car isn't new (think Bentley Arnage), DOHCs are generally considered a better fit for [alleged] luxury brands like Caddy and Buick, owing to their mellower sonic signature and smooth revving nature. Which leaves us with… a Buick with a Corvette engine? It's happened before; the 94-96 Buick Roadmaster had a 265hp version of the LT1 (as did the Caddilac Fleetwood and Chevrolet Impala SS and Caprice).
Buying an Audi sedan without Quattro all wheel-drive is like dating a Swedish brunette. That said, there’s nothing wrong with the right brunette, Bergman movies notwithstanding. And Audi makes and sells plenty of products where only the front wheels are driven, from economy cars to its aufwendig TT. In fact, Audi’s UK website proudly proclaims “a front-wheel-drive car is in principle more controllable and tracks better than conventional rear-wheel drive.” OK then, in advance of the all-new A4 headed our way in '09, let’s have a look at the Audi A4 2.0T and see if we can get past the FWD thing.
Looks like oil isn't the only liquid that will challenge car owners' budgeting skills in the near future. The Ottawa Sun reports that come 2008, a methanol shortage may cause two-fold hikes in the prices of windshield washer fluid. According to the Sun, the Vancouver-based company Methanex, which produces methanol for companies that produce windshield washer, is selling the critical ingredient at $832 per metric tonne, up from a low of $309. The Sun speculates that we may be looking at $5 or $6 a (4L) jug, up from about $3 right now. The cause of the shortage is two-fold: natural gas supplies becoming more difficult to come by and export tariffs imposed by (the methanol-producing nation of) Argentina. With one of the worst winters hitting the North East in 40 years, it seems like perfect timing.
Manitoba is set to become the second province of Canada to adopt the same emissions standards as California. CTV News reports that Manitoba premier Gary Doer– fresh off winning his third election– is hot (so to speak) to make the Canadian province Kyoto compliant. "[Cars] represent 33% of our challenge," says the former corrections officer. Earlier this month, Québec became the first province to adopt California's stringent auto regs, setting average emissions targets that must be attained as early as 2010 (CAFE by any other name?). Doer suggests that Manitoba's measure is only a first step on the way to more stringent federal standards. He notes that having provinces and states enact tailpipe standards produces a piece-meal approach to Kyoto and, thus, reducing greenhouse gas emissions. Readers are invited to gloss over the fact that pollution of any kind has a global scope, not a national one.
Europe is all set to bask in its my-farts-don't-smell green virtuosity– if only Germany would go along for the ride. Easier said than done; the new standard dictates that no car sold in the Eurozone can emit more than 130gm/km by 2012. Mercedes, Porsche and BMW don't build a single gas-powered vehicle that conforms to the new regs. In fact, BMW's lowest petrol-powered CO2 emitter, the 116i, spits out 139gm/km. If the new regs are enacted, the propeller people will have to pay €180 fine for every 116i they sell in the European Union (EU). The situation is not much better at the Volkswagen Group, which shelters high CO2 producer Audi and more than a few gas hogs of its own (e.g. Touareg SUV). Which is why BBC News reports that German Chancellor Angela Merkel called the CO2 limits "not economically favorable." For its part, BMW calls the legislation "naive." Peugeot– which makes a small car or two– joined the German chorus of complaint, suggesting the legislation would give advantage to foreign carmakers residing in countries with less powerful Green movements. Let the lobbying and loopholes begin! [thanks to katiepuckrik for the calculations]
The Corvette Z06 can outrun a 911 Turbo and hang tight with the rest of the supercar frat pack. To maintain the model's mechanical momentum, General Motors will unveil the new Corvette ZR1 at January's North American International Auto Show. The ZR1 abandons natural aspiration for global aspirations; The General says the ZR1's development team benchmarked a Ferrari 599 GTB Fiorano. To out-muscle Maranello's madmen, Chevy's replaced the Z06' LS7 engine with a supercharged 6.2-liter small block fed by an open air-to-water intercooler. GM rates the new LS9 mill at 650hp. Other improvements: a carbon fiber roof, wider tires and aero bodywork to suck the 'Vette to the tarmac. Though the Chevrolet Corvette will never, ever match the Ferrari's cachet, and what's with that radio head unit, the 'Vette's party piece has always been maximum bang-for-the-buck. The new model clocks-in at around $100k according to our friends at The Detroit Free Press.
940News reports that Quebec's transport minister Julie Boulet has tabled a motion in the legislative assembly prohibiting car ads that "promote speed." The motion would give the SAAQ (Quebec's equivalent of a DMV) the power to set guidelines on what kinds of come-ons can be included in car ads aired and printed in Quebec. No mention of any study correlating advertisements to speeding, but I'm sure the Minister has one. Right? Right? Thankfully, scantily clad women washing a car using extra-bubbly car soap remains an option. In other news, QC's transport committee has turfed the lowering of the legal BAL (previously reported on TTAC) from 0.08 to 0.05– but has taken up the cause of mandatory snow tires in the province. Under the new proposal, Quebec's motorists can only use their "all season" rubber from April 16 to November 16. With over one metre of snow having fallen over Northeastern North America in the last month, perhaps this idea has gained some- wait for it- traction.
CTV reports that the Canadian province of Nova Scotia has become the first Canadian jurisdiction to ban adults from smoking in cars with anyone under the age of 18 on board– regardless of whether or not a teenager in the car is smoking (hence the headline). The move has encouraged other provinces to study the idea of doing the same: New Brunswick, British Columbia and The Yukon (OK, it's not a province, but close enough) are all thinking of following suit, with Ontario slowly in tow. The move is hailed as a big victory by the Canadian Cancer Society, who maintain that one in five children are exposed to smoke in a car on a regular basis. No word on the penalties involved.
As if diabetes, cardiac problems and the inability to tie one's shoes aren't enough, DAIJIWORLD (West India's gate to the rest of the World) reports that obesity increases a persons chance of fatal injury while in a car. According to a study led by the U.S. Center for Disease Control, the obese tend to have a lower rate of seat belt usage– which translates directly into a higher fatality rate where accidents are concerned. The report could reignite the debate over seat belt extenders, which some manufacturers provide free of charge and some don't, for insurance reasons. (Reported by our own RF for The Detroit News/AP back in '04.) Not surprisingly, one of the sponsors of this research was State Farm. How long before we have to divulge our body-mass-index on insurance forms?
Last week the credibility of the UK's anti-speeding jihad took a knock, when "Top Traffic Cop" Meredydd (Med) Hughes received a 42-day driving ban for excessive speed (90 in 60). After it was revealed that the camera-crazed cop had two previous speeding convictions, road safety groups criticized the sentence as overly-lenient. But that's nothing as compared to the brouhaha surrounding revelations by the BBC that twenty-six speeding cases against Med's fellow South Yorkshire officers were dropped on a "technicality." The Sun reports that the cops in question refused to admit they were behind the wheel. Oh, sorry, I mean they couldn't be sure IF they were in the car caught speeding. "Bob Pitt, South Yorkshire branch secretary of the Police Federation, said: 'This is not necessarily a matter of our members refusing to come forward. There will be a lot who have used a police vehicle fleetingly who didn’t realise they had gone through a speed camera and genuinely are unable to say they were the driver at the time.'" Not necessarily a matter of one rule for some, one rule for others. Got it. Of course, if a civilian is caught by a speed camera, the law forces the registered keeper to name the driver at the time of the infraction, or face a fine and imprisonment.
Nothing is more quintessentially British than an old Mini (save fagging at Eton). The new German-owned MINI, on the other hand, is a German car in all but place of manufaktur. In a move that pushes the MINI concept even further away from its spiritual origins, The Globe reveals that a Canadian company will build an estimated 40k of MINI's Don't-call-it-an-SUV SUV in Austria. Canadian auto-parts maker MAGNA CORP has won the contract to build the new "Mini-based Multi-Activity Vehicle" (MBMAV?). As predicted here, it will do so at its Magna-Steyr plant in Graz, Austria, shifting X3 production stateside in 2009. For those of you keeping score at home, MAGNA made a play for Chrysler after it was dumped by Daimler, and recently unionized its work force in advance of a possible second go.
Fresh off the financial success of, well, nothing, really, The General has laid down a bid of an undisclosed amount for Russian carmaker OVO AvtoVaz. Bloomberg reports that Russia, awash in oil money, will be a booming car market in the near future– and the General wants a piece of that action. GM has already joint-ventured with AvtoVaz since 2001, building the Chevrolet Niva SUV and Viva sedan. The bid comes despite the fact that The General has had "issues" with the Russian government's unique take on private enterprise of late– as in you enterprise and we profit– and the recent labor troubles at Ford's Russian factory. While analysts predict a hook-up with AvtoVaz could significantly boost GM's current 132k Russian-made cars per annum total, the American automaker is playing it safe (ish). They're also building a plant near St. Petersburg, set to open next year. хороший удача with that.
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