Dow Jones [via Easybourse.com] has a hot release that is sure to be burning up the wires: Daimler and Chinese EV firm BYD have signed a deal to develop an electric vehicle “specific to the requirements of the Chinese market.” The new EV will be sold under a new, jointly-run brand and will be developed at a new Chinese technology center to be built as part of the joint venture. According to the release, “the companies’ understanding also includes further discussions on additional business opportunities of mutual interests,” all of which raises some interesting questions. Like why Volkswagen was caught napping: the Wolfsburg boys reportedly signed a MOU with BYD last March, but somehow Daimler has beaten them to the punch… on the very same day that VW announced that it wants to be the electric-mobility market leader by 2018, no less. Another open question: why develop a EV for the Chinese market, when that market’s tolerance for EV premiums appears to be fairly low? After all, with Daimler providing the car expertise, BYD might have a chance at the US and European markets where EV demand is actually proven. Also, how screwed is Tesla at this point? Though these questions remain very much unanswered, BYD is certainly making progress towards becoming a major car biz player, despite the many criticisms that have been leveled against it.
Edmund’s has been leading the NHTSA data dives to shed light on the UA issue. I used their numbers of NHTSA complaints in our attempt to correlate the complaints to specific cars and their sales in the ’05-’10 period to determine the rate of UA complaints. Now there’s a major new wrinkle that throws that effort into question: Over half of UA complaints against Toyota since 2005 were filed after Toyota issued their On Sept. 29, 2009 consumer safety advisory regarding floormats that could trap the accelerator pedal and cause unintended acceleration. That still leaves Toyota with the highest rate (4.81 per 100k cars sold) number of complaints for UA events before that date, but only marginally ahead of Ford (3.12). That means our stab at individual car model rates is flawed, and we’ll try a Take 2 when we have more accurate sales and adjusted NHTSA complaint numbers before that cutoff date. It’s obvious that incorporating the flood of complaints against Toyota since the mat issue hit the media would just be feeding the frenzy. Read More >
Cadillac relaunched [release in PDF format here] its perennially disappointing European effort last week, revealing that a new sales and import firm, Cadillac Europe, had been formed. Why would Cadillac double down on a market that it until recently blighted with its ill-advised Opel Vectra-based BLS (which bizarrely still appears at the cadillaceurope.com website)? Caddy boss Brian Nesbitt explains:
Europe is an important market for Cadillac. Re-establishing distribution of our premium offerings is good news for those who seek import exclusiveness
Except that Europe and America are fundamentally different markets, with different tastes in luxury. Unless the Cadillac boffins have some kind of alternate explanation for why Lexus sells like hotcakes in the US, but can barely move the needle in Europe and is resorting to Euro-specific models to make headway. But apparently success in the US luxury market is just a few European sales away. Really.
Ask a non gearhead on the street (or pub, restaurant, clubs, etc) “who builds the most reliable cars?” and names like “Toyota”, “Hyundai”, “Ford” and “Honda” will crop up. Ask who builds the safest cars on the road and almost certainly, the name “Volvo” will be said.
The thing is Volvo lost their safety crown a long time ago to those 35 hour a week working, industrial action initiating, part government owned Frenchies. Renault. Renault consistently set new standards in safety and crash tests, lapping up praise from Euro NCAP. Some of this technical know-how has even trickled into Renault’s partner, Nissan. The Nissan Qashqai (thankfully renamed Rogue in the U.S., although it wasn’t a big improvement) achieved the highest ever Euro NCAP score. But now, it seems, Volvo is fighting back to regain the coveted safety title. Read More >
Chrysler’s long-disfunctional“Five Star Dealer” program may be on its way out, reports Automotive News [sub], as a new Fiat-created dealer rewards program rolls out to a Chrysler dealer body that’s fighting for survival. The new program, which may still be merged with Five Star, addresses several longstanding dealer complaints about Five Star, perhaps the most important of which is third-party verification [to be done by the Swiss audit firm SGS Group]. Given the deep mistrust that exists between Chrysler dealers and the mothership, bringing in outside auditors to perform certification was probably a prerequisite (and brings the Chrysler program in line with Ford’s practice of independent dealer rewards program auditing). But the biggest change also helps explain why Chrysler employees will no longer judge dealerships: instead of a mere star rating system, now there’s money at stake.
Brazil and some in the U.S are firmly backing ethanol as the fuel of the future. The UK thinks that electricity is the way forward, and they’re putting our money where their mouth is. The Independent UK reports that 11,000 charging points for electric cars are to be built in London, Milton Keynes and the North East. This project is being part supported by the UK government to the tune of £30 million. Coincidentally, the North East is where Nissan’s UK plant is. Is the government trying to butter someone up to produce a certain type of vehicle there? If successful, (or the government wants to force it on the public) then a second wave of charging points will roll out.
This shouldn’t really come as a, well, shock as the government is solidly pro-electric cars. In the pre-budget reports, Chancellor Alistair Darling announced tax rebates for electric cars. But there is another little problem: Read More >
Last November, Suzuki received a fuel leakage complaint on three cars in Europe and one in India. Suzuki did what Suzuki was required to do: Send owners of the “A-Star” (A.K.A, Suzuki Alto, Nissan Pixo) an invitation to go to their dealer and have the fuel pump fixed. As usual, this story received next to no media attention. In the years BT (before Toyota,) who cared about a yet another recall?
That was then, this is AT. Today, someone said “Suzuki has a recall” on the floor of the New Delhi stock exchange. Holy cow! Read More >
I have a 1995 BMW E34 530i, and I’m looking into getting it lowered. At first I thought this was a simple affair, that I just needed lowering springs. But some people are telling me that I can’t just put new lowered springs without buying new shocks that are designed to handle these lowered springs, for fear that I’ll wear my tyres out and possibly other components. I thought this might be true for going super-super-low, but these springs will only lower my car 1.5″ at most (Bavauto springs 1.0″-1.5″), if I’m lucky. Is this just my mechanic trying to sell some extra parts, or do I really need new lowering shockers, even for going just a little lower?
Koenigsegg wasn’t able to buy Saab, so they made an “all-new” supercar instead. But can you tell the difference between the new Agera and the old CCX? Headlights aside, it’s a tough assignment. And in the world of million-dollar supercars, the term “all-new” implies just a little bit more.
Shortly after emerging from bankruptcy last July, when GM’s sales were still showing few signs of recovery, then-Sales and Marketing boss Mark LaNeve had his marketing responsibilities stripped about a week before monthly sales came out. In a matter of months, LaNeve was out the door. Sales and marketing were rolled together again when Susan Docherty took over for LaNeve, but over the weekend it was once again stripped away, in one of the first signs that Docherty’s star is no longer rising at GM. And lets go ahead and start assuming that February sales must be looking fairly grim, because the only real explanation given to Automotive News [sub] is that
The shakeup shows that Chairman and CEO Ed Whitacre is impatient to boost sales and for consumers to appreciate what he believes is the high quality of GM vehicles. When he became chief executive in December, Whitacre said his sales and marketing team would need to show results quickly.
The perception gap claims another victim! But Docherty’s downgrade is Mark Reuss’s gain. The former Holden boss, now GM’s President of North American operations, will assume the sales responsibilities, leaving Docherty time to focus on the marketing side and polish up her resumé.
The industries that profit from photo enforcement are scrambling to convince Florida lawmakers to adopt legislation that will forgive municipalities for installing red light cameras contrary to existing state law. A circuit court judge last week ruled that red light cameras were illegal in the state, following the legal argument presented in a 2005 attorney general opinion. On the day the decision was handed down, an insurance and camera company-backed front group headed by Melissa Wandall, the widow of an accident victim, released new polling data intended to jump-start the legislative effort.
Japanese sales of new cars and trucks continue their solid comeback in February. Japan has filed away carmageddon. Japan is utterly unimpressed by the Toyota troubles. Japan has not been spared Toyota recalls. The hearings and public apologies have received wide coverage in Japan. And what is the Japanese reaction? A plus 47.9 percent vote of confidence. With the currently very tight Japanese wallets. There is a long waiting list for the Prius, Toyota’s best selling car. [Editor’s note: Japan is currently in the throes of its own Cash-for-Clunker prgram]
Also interesting: Sales of minivehicles, formerly feted as the future, are barely holding their own, whereas sales of “real” cars continue their double digit climb. Let’s look at the numbers: Read More >
The gen 1 Infiniti Q45 (G50) deserves a full-on CC. But when I stumbled unto these two together in CA over the holidays, I realized how incredibly rare the gen2 Q45 (FY33) is. I don’t think I’ve ever seen one in Eugene. Well, it was a sales bomb, and from an enthusiast’s point of view, a well deserved one. The original Q45 (’90-’96) was such a remarkable beast, one of the best things to ever come along in its era. It had a killer motor, rated conservatively at 278 hp, which put the big German sedans to shame at the time. It had a fast steering ratio, and its suspension tuning was all about the right stuff. But except for the (limited) enthusiast crowd, it never broke through in sales like it Lexus LS 400 competitor. And then it went downhill. Read More >
Let’s make something very clear: This is not a post about Toyota. We are not advocating or accusing any brand. This is a post about a phenomenon called sudden unintended acceleration. An American phenomenon, as it seems at first glance. To get to the bottom of it, we need your help.
Call it the ultimate of ironies. Yesterday afternoon I headed to the Toyota dealer in my 2005 Toyota Scion xB for the purpose of shooting photographs of various Toyota gas pedals to see why certain models seemed to have a higher rate of UA complaints to the NHTSA. In search of some intended acceleration, I headed up the up-hill I-105 connector on-ramp at Washington Street at full throttle. As I lifted my foot off the accelerator pedal, it stayed wide open… Read More >
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