So what are they saying in China about the Pangda/Youngman/Saab threeway? The blogs and message boards are full, of course. Cars are of high importance in CCC (car crazed China.) Much more important, what does China’s government say? Multiple agencies of the government will have to approve a deal with Saab. However, officials won’t utter a word before, often even after a deal is done or has been denied. But then, the government owns newspapers. Analysis of state media is a refined science in China. Let’s see some of it in action. Read More >

At the suggestion of a well-wisher, I picked up the July copy of Motor Trend for my flight back home Iowa yesterday. Though some of the stories showed improvement in that publication’s quality of coverage, the item pointed out by our tipster [online here] was disappointing indeed. The piece, on Fiat’s ongoing acquisition of Chrysler’s equity includes the following paragraph:

Fiat is expected to obtain another 5 percent of Chrysler soon to bring its interest to 51 percent, provided it introduces a 40-mpg (highway) EPA-rated car built in the U.S. wearing a Chrysler brand badge before the end of 2011. With Fiat and Chrysler pulling the plug on electric car development, the 40-mpg car is likely to be a 1.4-liter Multijet-powered Dodge Caliber. The Caliber is scheduled for replacement in model year 2013, so the Multijet version could be a 2012 model only, with the powertrain carried on to its replacement.

So, what’s the problem? Well, as TTAC (and precisely nobody else) has reported, the government’s agreement with Fiat is not for that firm to build “a 40-mpg (highway) EPA-rated car.” It takes some digging through the corporate agreement between Fiat, Chrysler, the UAW and the Treasury, but it’s clear that the government requires that Fiat build a car that tests at 40 MPG combined, using the old “unadjusted” (Pre-1985) CAFE fuel economy rating. Which means that, although Fiat could build a car capable of 40 MPG EPA highway, the government’s agreement requires as little as 31 MPG EPA Combined. Which means M/T’s write-up technically falls on the wrong side of the truth. Although, to be fair, I have yet to find a media outlet that has got this story right…

Don’t blame Jerry Hirsch for this headline. Heck, don’t blame the LA Times either. This headline comes courtesy of the Modesto Bee, which demonstrates its auto reporting incompetence by making the oldest assumption in the non-car-guy book: if they make V6 and V8 engines, they must make V4s as well. And though this abject ignorance may be good for a chuckle, it’s indicative of a larger problem: no matter how good of an auto writer you are, chances are you have to send your piece through an editor who knows little to nothing about cars.

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With new compact and subcompact models from Ford and GM enjoying respectable sales, the mainstream media has been indulging in some “feel-good” headlines, like the New York Times’s Detroit’s Rebound Is Built on Smaller Cars, or CBS’s more equivocal Can small cars rebound U.S. auto industry? It’s an understandable instinct, as the media has long battered Detroit’s inability to build competitive compact and subcompact cars, and in the post-bailout atmosphere of redemption, these headlines definitely help reassure Americans about the value of their “investment.” Unfortunately (if unsurprisingly), however, these pieces gloss over the full truth of the situation. Yes, Ford and GM are enjoying improved sales success with small cars. The “U.S. auto industry,” on the other hand, isn’t actually getting all that much out of the situation, beyond some fluffily positive press. Here’s why:

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Ladies and gentlemen, today is a historic day for the Aston-Martin brand. Never in the rich and storied history of the British sportscar maker has there ever been a vehicle, and therefore a review, quite like this one. Autocar handles the burden of history with the soft touch that defines nearly every “first drive” review, demeaning its own readers’ inability to purchase this exclusive Aston rather than daring to question its point, purpose, performance or purchase price. So read on, dear reader… because what we have here is a piece of automotive history. And since you’ll never own one of these proud and noble machines, you might as well use this opportunity to bask in its reflected glory. To wit:

The 97bhp four-cylinder engine feels and sounds energetic up to 50-60 mph. The optional CVT transmission gives easy step-off at traffic lights. In this car it it’s a much better option in a city car than any fiddly five-speeder.

The [Aston-Martin] can produce a quite refined cruising performance on motorways if necessary, though passing performance isn’t its forte.

The steering is feather-light and nicely accurate. If you haven’t sampled [this Aston-Martin] you’ll be surprised by the sheer pleasure that flows from using its scooter-like turning circle, especially when it’s a viable three-seater, that can occasionally cope with four if you don’t mind having no boot space.

But wait… that’s not all! Hit the jump for the answer to the question you’re doubtless asking yourself at precisely this moment: Should I buy one?
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Chrysler’s bailout “thank you” event today was long on praise for the redemptive power of its government bailout and short on talk of remaining challenges, but at least one important fact was acknowledged: this highly-touted “payback” was only for 85% of the money loaned to Chrysler during the bailout period. Although, to be perfectly accurate, it wasn’t exactly Chrysler who acknowledged the outstanding obligation [the firm avoids any such nuance in its release], as CEO Sergio Marchionne simply stated that

We received confirmation this morning at 10.13 am from Citigroup that Chrysler Group repaid, with interest, by wire transfer to the United States Treasury and by bank transfer to the Canadian government, every penny that had been loaned less than two years ago. [Emphasis added]

That last bit was the important part… as in, the part that was most often repeated in Chrysler’s presentation and in subsequent media reports. But it’s not the whole story…

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An executive from American Traffic Solutions, a purveyor of red light cameras, has been suspended after being exposed for posing as an area resident in 43 comments on red light camera-related stories at the Everett Herald. The Herald reported last Friday

Some readers have suggested “W Howard” has been posting comments as part of a marketing campaign run by American Traffic Solutions, Inc. The Scottsdale-based company contracts to provide enforcement camera services in Lynnwood and Seattle. It had inked a similar deal in Mukilteo last year, then [anti-camera activistTim] Eyman pushed for a public vote. Upshot: no cameras in Mukilteo, and a spreading movement around Washington that has growing numbers of people asking questions about enforcement camera technology.

Heraldnet.com requires that people who wish to post comments supply us with a live email address at the time they create their user account. “W Howard” gave an address at American Traffic Solutions. It is one used by Bill Kroske, vice president of business development at ATS. Somebody techie here ran down the internet protocol address that’s being used for “W Howard’s” posts. The electronic trail led straight back to Kroske’s company in Scottsdale.

Kroske pitched Mukilteo on the cameras. He recently was in Bellingham, suggesting a similar arrangement. He’s been the public face of American Traffic Solutions in arranging camera contracts in Washington.

ATS spokesman Charley Territo (whom TTAC readers may remember from his days as spokesman for the Alliance of Auto Manufacturers and TTAC guest editorialist) tells the Spokane Spokesman-Review (where, it turns out, Kroske had left nine pro-camera comments) that his co-worker had expressed his uncontrollable pro-camera passions “the wrong way” by not identifying himself and posing as a local resident. Ya think? [Hit the jump for a full statement from ATS President James Tuton].

Meanwhile, are there any TTAC commenters who have something they need to get off their chests?

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Last January, Toyota’s Prez Akio Toyoda visited Salesforce.com CEO and cloud computing proselytizer extraordinaire Mark Benioff in Benioff’s sprawling compound on the Big Island of Hawaii.

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Pop quiz: when does an eight-month-old story generate a huge amount of interest? When it’s got political overtones, of course. And what better way to milk the last dregs of bailout resentment than by telling a story that seems too bizarre to be true: Cadillac is a “proud” chief sponsor of a Chinese Communist Party-produced film entitled “The Birth of a Party” (or “The Great Achievement of Founding the Party” depending on the quality of your translator). The story started last September, at ChinaAutoWeb.com, and was recently revivified by the Washington Times, Commentary Magazine, and Big Hollywood. Our main interest in the story has to do with its lessons about the rise of China, that country’s tortured relationship with luxury goods, its foreign (from the American perspective) political economy and Cadillac’s continued need for better momentum in China… but clearly others are more interested in it for different reasons.

The political point seems to be that government money is being funneled to the Chinese Communist Party via General Motors, an accusation that, though shocking, doesn’t hold up well to scrutiny. After all, nearly anyone doing business of any kind in China ultimately supports the political and economic structure created by the Chinese Communist Party, legitimizing it and lining its pockets. And surely nobody is suggesting GM abandon China altogether, thus eliminating its greatest opportunity for growth. Meanwhile, as the Freep helpfully points out, Caddy needs all the help it can get in China: without a single vehicle in the luxury car top-ten, Cadillac needs to be aggressive in marketing to China. Still, from a PR perspective, Cadillac clearly has a line to walk here… perhaps it should look for less visible (and risible) ways of building up guanxi (connections) with the powers that be in the world’s largest market for cars.

It started as a flippant Twitter comment, in which GM Global Marketing Officer Joel Ewanick agreed to champion a return for the “El Camino” if 100,000 potential buyers raised their hands for it. Smelling an opportunity for some publicity, Jalopnik quickly picked up on the “challenge” and urged readers to leave a comment in support of the trucklet. At first Ewanick tried to hedge, saying he needed 100k deposits, rather than blog comments, to approve an El Camino for the US market. But now the former Hyundai marketer has taken Jalopnik’s challenge to Chevy’s Facebook page, giving a surprising amount of credibility for a “challenge” that began with a throwaway tweet. What makes Chevy’s endorsement of the “El Camino Challenge” even more surprising: the total lack of apparent enthusiasm.

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The Brazilian autoblogosphere is up in arms because of an alleged censoring attempt by Toyota do Brasil. A month after the Brazilian blog Notícias Automotivas had run a piece on the upcoming Toyota Corolla S, they received a letter from Toyota do Brasil’s Legal Department. The Corolla S looks like not much more than a customized Corolla with red stitching on faux racing seats. The letter, dated April 29, 2011, looks scary.

We have received what we believe is a faithful translation of the letter from Brazilian Portuguese Legalese to English. The letter demands, within 24 hours of receipt, the takedown of the whole story, plus something unheard of: Read More >

On April 18th, BMW CEO Jim O’Donnell met in New York with reporters, amongst them TTAC’s Jack Baruth. At the meeting, O’Donnell opined that the U.S. government should end the $7,500 tax credit for EVs. “I believe in a free economy. I think we should abolish all tax credits,” O’Donnell said, noting that it was his personal opinion.

O’Donnell also said that “from a practicality point of view, EVs won’t work for most people. For at least 90 percent and maybe more of the population, an EV won’t work at the current battery range.” What else is new? A 10 percent market share for EVs usually is regarded as widely optimistic. And we all know that German automakers are not particularly excited about electrification. The quote wasn’t newsworthy, and did not rate a mention in Jack’s report about the meeting.

Interestingly, the meeting had been the kick-off for BMW’s ActiveE EV lease program.  If a CEO says that a new product is not all things to all people, he usually gets praises for being candid. This apparently does not apply in the world of faith-based motorization. Read More >

Lenses at the Shanghai Auto Show definitely test both sides of the envelope. Some photographers came  with lenses long and wide enough to take close-ups of concept cars shown on the moon. Read More >

The ever-evolving world of auto journalism ethics took an interesting turn recently, when GM’s European brand Opel offered 200 journalists the opportunity to test “some interesting models from our product range” on the Mediterranean vacation island of Mallorca. What raised the eyebrows of the German Journalist’s Association: the fact that the test offered access to only a few new features (stop-start on the Astra Sports Tourer diesel, and a six-speed autobox on the Insignia OPC), while offering journalists the opportunity to bring their families along at “a special rate neogtiated by Opel.” The GJA called the offer “practically an attempt to bribe journalists,” prompting Opel to withdraw the offer. Hit the jump for a translation of Opel’s statement [via Autobild].

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“Toyota will not be resuming vehicle production at most of its plants next week, contrary to what has been reported.”

This was Toyota spokesman Paul Nolasco’s answer when we reached him this (Tokyo) morning for a comment on a story that had appeared in The Nikkei [sub] at 2 a.m. last night. (Emphasis ours.) Without quoting sources, the Nikkei had written that “Toyota Motor Corp. has decided to reopen most of its domestic automobile plants as early as next week to start churning out a limited number of models.” This is clearly humbug. The Nikkei has done it again. Read More >