And now, back to the usual blood and tears from Europe: July new cars sales dropped 7 percent in France and thudded 17 percent in Spain “as consumers cut back on costly goods in the face of economic uncertainty,” says Reuters. Read More >

Fiat & Chrysler CEO Sergio Marchionne’s pointed remarks have attracted the ire of Europe’s 500 pound gorilla Volkswagen. VW demanded that Marchionne steps down as president of the European auto manufacturers association ACEA. If he won’t resign, Volkswagen could resign its ACEA membership – which would send the club into instant irrelevancy, not to mention insolvency. Read More >

It looks more and more like a divided Europe. While carmakers Opel, Ford, PSA, Fiat etc. are wailing with pain, German carmakers report expectation-beating profits. Read More >

Sergio  Marchionne accuses Volkswagen of exploiting the European crisis to gain market share by offering aggressive discounts, the New York Times writes.  “It’s a bloodbath of pricing and it’s a bloodbath on margins,” the Fiat and Chrysler CEO told the paper. Read More >

Your humble author is TTAC’s resident cycling enthusiast, as shown in the eminently regrettable photo above which can best be titled “35-Year-Old Man Takes Mountain Bike To Skatepark For No Good Reason.” When I was younger, I had unveiled contempt for people who drove somewhere when they could ride. Three knee surgeries and a child later, I’m not so sure. Still, cycling is gaining momentum across Europe in precisely the same way that the economy isn’t. The public-bicycle scheme in Paris, Velib, now profitably shares 23,000 public bicycles across a subscriber network of 225,000 people — and the electric-auto-sharing service which has been operating for over half a year now looks to be headed for similar success. The implications regarding private and public property raised by both services are worth discussing.

Read More >

Ford announced a second-quarter net profit of $1 billion, which was better than analysts expected. That’s the good news. The bad news is that Ford expects to lose more than $1 billion in Europe this year. Earlier this year, Ford forecast an annual loss of between $500 million and $600 million, Reuters says. Read More >

“Should Opel, Chevy coexist in Europe?” This is what Automotive News [sub] asks today without offering a real answer. Let’s have a look. Then, cast your vote. Read More >

Yesterday, we talked about the odd occurrence of Toyota if not saving the hide of GM’s new partner PSA Peugeot Citroen, then at least keeping one of PSA’s plants from being closed. This by having vans made by PSA for the European market, instead of  shipping them from Japan.

When we wrote that, TTAC correspondent th009 rightfully questioned why in the world does Toyota order a van from PSA if they have a Hiace. Correspondent felix offered the explanation that due to its “cab-over configuration, the Hiace won’t meet European frontal impact crash standards.” This sounded like a logical explanation, until from Finland, correspondent Perc offered a resounding “mitää???”, explaining that the Hiace has been a big success in Suomi. Finland has the same safety standards as all on Europe.

So, what is it then? Read More >

While all eyes are on GM’s hemorrhaging Opel, Ford is said to be even more affected by the European contagion. Ford could have to close at least one plant in Europe, analysts say, with Southampton, England, and Genk, Belgium, in the cross-hairs. Read More >

While France’s new leftist government mulls a new “drive French” plan and makes threatening gestures in the direction of French car makers that dare to do something about overcapacity, in an odd change of events it is a Japanese company that will prevent a much anticipated plant closure at PSA Peugeot Citroen. Read More >

PSA Peugeot Citroen’s Chairman Thierry Peugeot lashed out against what he calls “evil attacks” by the new leftist French government and its industry minister Arnaud Montebourg. He also raised a specter that makes any patriotic politician sit up and listen: Hostile takeovers. Read More >

Now here is something that is rarely heard these days. A top EU Commissioner told European automakers to get out of the way of European trade deals with Asia. Europe’s carmakers must reform their industry and cannot place the blame for falling sales on foreign trade, Reuters reports. Read More >

Also suffering from the European contagion is Ford. The blue oval’s western European are down 10 percent in the first half of 2012, Reuters says. June sales are down a hefty 16.1 percent. Read More >

After putting Opel CEO Stracke abruptly out to pasture, one would think that his (allegedly interim) successor Steve Girsky has a new plan to rescue Opel and to spare GM shareholders further losses. Not so. The new man will keep the old plan. “GM fully supports the current plan to strengthen Opel and improve its operational competitiveness,” a spokesman for Opel told Reuters. Read More >

BMW did not buy Mitsubishi’s Nedcar plant , a Dutch busmaker did. Mitsubishi today said it signed a principal agreement on the sale of its Dutch Nedcar plant to local bus maker VDL Groep. The busmaker gets a deal: The plant with a book value of 493 million Euro ($605 million) goes for exactly one euro. Read More >