Category: News Blog

By on October 13, 2010

Remember Toyota’s alleged sudden acceleration? And the hysteria surrounding it? Dubious databases were searched for dead bodies. The Secretary of Transportation himself recommended to stop driving your Toyota, and to drive it to the dealer instead – very carefully. Luckless swing club entrepreneurs took to driving a Prius instead, brakes smoking. Lawyers around the nation had wet dreams involving a Gulfstream V (or a 80 foot Sunseeker as a fall-back position.) As nothing of substance was found, the NHTSA asked the august body of the National Academy of Sciences to find the ghost in the machine.

Don’t even bother to look, it’s a worthless search. That’s what Paul Fischbeck, a professor of social and decision sciences and engineering and public policy at Carnegie Mellon University, told the National Academy of Sciences. Read More >

By on October 13, 2010

Approximately two weeks ago, I reported how Volkswagen CEO, Martin Winterkorn, confirmed that Porsche was going to bring us a new, smaller SUV. A sort of younger brother to the Cayenne called the “Cajun”. Well, it appears that the “Cajun” and few other things aren’t so clear cut. Either that or someone doesn’t value their career at Volkswagen. Or rather Porsche. Read More >

By on October 13, 2010

A few days ago Ford reported that 35 percent of the Lincoln dealers are superfluous and should be sent out to pasture – to avoid the word “cull.” The metro areas appear to have a particular overabundance of Lincoln dealers. According to Mark Fields, President of Ford Americas, this is where “the efficiencies” need to come from. The news didn’t go down too well. The Freep quoted one dealer. “It was a somber day,” said Larry Taylor, Lincoln-Mercury dealer near Dayton, Ohio, “I’m secure. But there are some guys who have had a store for 50, 60 years who are going to have to give that up.” Mark Fields, President of Ford Americas is adamant: “We are fully committed to transforming Lincoln into a world-class luxury brand.” Now Ford is upping the ante against uppity Lincoln dealers. Read More >

By on October 12, 2010

If the recent flap over the Volt’s drivetrain has taught us anything it’s that A) GM’s internal-combustion-assisted plug-in is more complicated than we thought, and B) GM is fine with simplifying its complex reality in order to make it appear as attractive as possible. Which is just fine: they’re the ones trying to sell a $41k car, and as such they’re entitled to do what they can to make it seem worth its many shortcomings. What the automotive media needs to take away from the brou-ha-ha isn’t necessarily that GM’s hesitance to bring forward “the whole truth” is an intrinsically big deal (let’s just say this wasn’t the first time), but rather that knowledgeable writers should focus on explaining the Volt in ways that are both comprehensible and fully accurate. In this spirit, the most important question isn’t “what should we call the Volt?” but “how efficient is the Volt in the real world?”And on this point, there’s plenty of room for some truthful clarification.

Read More >

By on October 12, 2010



I’m not a big fan of Ford. But you have to respect their turnaround. They took a huge gamble at a really, economically-speaking, dangerous time. What’s also hard to deny is Alan Mulally’s charisma and ability to get people to work together.

Without it, Ford would be tapping that line of credit they secured from the US government. Well, while I was reading the BBC website I came across this radio show, Global Business with Peter Day. And Alan Mulally was the guest for today’s episode. I found it very interesting and I hope you do too. Click on the link  to take you to listen.

By on October 12, 2010


There’s no replacement for displacement? Sure, as long as you own an oil well. If you want to save gas, there are three ways to do it:

  1. Make the car as light as can  be (you can’t fool Newton.)
  2. Use the smallest amount of displacement you get get away with, and make it up with direct injection, a turbocharger, and computer smarts.
  3. Combine 1 with 2.

And what’s the easiest way to reduce displacement? Lose cylinders. That way, you also lose a lot of internal friction. If “Laufkultur” is part of your vocabulary, don’t read further, you’ll get sick. If you want to sick it to Big Oil, by all means, read on. Read More >

By on October 12, 2010

With some 17.5 percent of GM owned by the UAW’s VEBA trust, workers have been finding that their union has a hard time juggling its ownership and union responsibilities. And since workers have no real recourse against their union, GM is giving them the opportunity to profit from their sacrifices… and pay back taxpayers in the process. Automotive News [sub] reports that

GM is offering [a directed] share program as part of an IPO scheduled for November… giving about 600,000 employees and retirees [and dealers] in the United States and Canada the chance to buy stock in the company’s upcoming initial public offering at the IPO price.

The only downsides: you have to register by the 15th, and the minimum buy-in is “expected to be greater than $1,000.” Otherwise, getting in on the ground floor of GM’s IPO is a swell opportunity to keep GM’s merry-go-round spinning. Sure, the UAW VEBA fund is likely to dump all its stock at the first possible opportunity, likely driving down post-IPO values. And yes, the government will eventually have to sell off its entire stake in The General as well, meaning another 60 percent of the company’s equity will also be up for sale in the short-to-medium-term, likely depressing prices even further. Still, GM is going to need all the help it can get if it wants to be valued at or above the $50b taxpayers put into it. It’s time for the employees, retirees and fanboys to step up, put their money where their pro-bailout rhetoric is, and take their beloved company off the taxpayers’ hands.

By on October 12, 2010

Paul writes:

I’m about to shell out $3500K for a Honda Odyssey transmission. A very unexpected turn of events for me, given the Big H’s reputation for quality…or so I thought. Googling shows that transmission problems are endemic. They are across all brands, all styles, all price points, all years. I was pretty surprised.

Your readers have a pretty high collective wisdom and -usually- leave insightful commentary. I wonder what they would say if asked, ”What make and model car has the most trouble-free transmission? The worst transmission?” I’d use the feedback to guide my next car purchase.

Read More >

By on October 12, 2010

Chrysler has taken advantage of the kerfluffle over GM’s Volt to release the first full images of its most important car to date: the Chrysler 200, or the artist formerly known as the Sebring. As with the Volt, we’re not entirely convinced it’s as revolutionary as Chrysler’s making it out to be, but we’ll obviously wait for a test drive to reach a definitive conclusion. Meanwhile, the 200’s design has more than a few hints of Sebring about it (and that’s without a proper side-on view), although the overall effect is of a much-cleaned-up car. It’s not distinctive in a way that’s going to instantly win over skeptics, and Chrysler’s midsize sales probably won’t improve until reliability and resale data shows real signs of improving, but the journey of a thousand miles begins with a single step. Given what Chrysler was working with, namely the least competitive car in its segment, this 200 is shaping out quite nicely as a first, tentative step towards viability.

By on October 12, 2010

“They are two nasty disgusting fucks in an SUV.” Stan’s fingers were literally shaking with anger as he slammed his door after driving sixty-five miles to change a flat tire. “I’ll tell you one other thing Steve. That tire of there’s was slashed! There is no way a rock on the side of the road is gonna leave a three inch gash on the sidewall.”

This was my ‘welcome back’ moment from a nice long vacation. Stan the Old Man was making everyone’s life crazy at the lot and as far as I was concerned, he was already living on borrowed time. Two pissed off long time customers had called me directly while I was in Honduras. One had been responsible for four separate purchases between family and friends over the past year. He was followed a few days later by a mild mannered Grandmother who told me in not so many words that Stan behaved like an old Southern bigot.

Read More >

By on October 12, 2010

The US Court of Appeals for the Third Circuit on September 30 used a loophole to uphold the legality of Massachusetts Turnpike toll road rates that discriminate against most out-of-state drivers. Those participating in the “Fast Lane” program, almost always residents of Massachusetts, receive a 25 cent discount on Allston-Brighton tolls and a 50 cent discount at the Sumner and Ted Williams tunnels. Regular commuters would save between $250 and $500 a year.

Read More >

By on October 12, 2010

The EU has ambitious CO2 targets: Less than 130g/km by 2012, less than 95g/km by 2020. Carmakers are shaking their heads: No way! Even the most electro-agnostic firms tinker with EVs (even if they are from Japan) to bring their average down. “No problem,” says a new study. The targets are a cinch to reach. What’s more, no heavy and expensive batteries to lug around. use the existing engine! No range anxiety. What is that miracle technology? Read More >

By on October 12, 2010

A few months ago I reported how Renault was planning on pulling out of IBC Vehicles (a joint venture between Nissan, General Motors and Renault) so they could take production of their Renault Trafic van to their underutilized plant in Sandouville, France. This would have left IBC Vehicles in trouble as valuable volume would have left the plant in a precarious position. Well, it seems IBC Vehicles can now afford to say “Au Revoir” to Renault. Read More >

By on October 12, 2010

We knew that something was wrong with this month’s whisper number for  Chinese car sales. If China’s largest carmaker, SAIC, improves by 23 percent , if Dongfeng is up 22.3 percent, then the total number will be somewhere  in that neighborhood, and not “up by nearly 40 per cent over September 2009,” as it was rumored yesterday (no wonder we couldn’t find the official Xinhua release, it either had been withdrawn or it was never there.) Read More >

By on October 12, 2010

When Renault, Nissan and Daimler all tied up together many people thought this was just a symbolic gesture. The venture may help each other out in designs and joint ventures, but personally, I didn’t see anything of real substance happening from it. Well, it seems that Nissan and Daimler are taking this cross holding seriously. Very seriously. Read More >

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