“In Europe, Lancia is an undersized, underdeveloped brand, with nothing bigger than the Delta. Chrysler, which has a true global reach, has nothing smaller. Put them together and you have a full line-up,” is the short version of Sergio Marchionne’s plans for the Chrysler and Lancia brands. The surprising bit [via Autocar]: “we could see the two converge as early as the end of the year.” For Americans this means that some of the holes in Chrysler’s lineup could be plugged up by rebadged Lancias along the lines of the Delta shown at the Chrysler stand at the Detroit Auto Show. And hey, who are we to say no to all-new Chrysler products? Goodness knows the brand needs something new besides special edition lipstick on the same old pigs. There’s only one hitch…

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In November last year, we reported about rumors in the Chinese press that Volkswagen might introduce the SEAT brand to the Middle Kingdom. We didn’t put much credence in the rumor, due to some inconsistencies in the reports. The Guangzhou auto show, at which the news was supposed to be announced, came and went with no announcement. Another Chinese rumor.

Now, the matter is back on the ticker. Read More >

Japanese car manufacturers, reeling from a doubly whammy at home (down 9.3 percent) and in the U.S.A. (down 21.2 percent) are looking increasingly to growth markets such as China (up 45 percent) and India (up 18.7 percent.) Large players like Nissan, Honda and Toyota in China, and Suzuki in India, have been there for years. Now there is a virtual stampede. A collection of news from today’s Nikkei [sub]: Read More >

Today’s Nikkei [sub] clarified the Japanese position on US cars qualifying for Nipponese cash fur clunkers money. The program offers up to 250,000 yen ($2,800) in subsidies to buyers of cars that meet Japanese fuel efficiency standards.

According to the Nikkei, about 30 percent of U.S. imports to Japan enter the country through the “Preferential Handling Procedure,” that does not require them to pass Japanese fuel efficiency tests. These cars, which had been excluded from the program, will now be considered – based on mileage data collected in the U.S.  Good luck with that. Read More >

Remember how GM brags that they are the largest auto manufacturer in China? CAAM, the China Association of Automobile Manufacturers says otherwise (via Gasgoo.) Here is the official CAAM list of the 10 largest passenger vehicle manufacturers in China, and their units sold in 2009:

1. Shanghai Volkswagen Automotive Co: 708,100 units
2. FAW-VW Automobile Co Ltd: 669,200 units
3. Shanghai General Motors Co Ltd: 668,200 units
4. Beijing Hyundai Motor Co: 521,000 units
5. Dongfeng Nissan Ltd: 459,300 units
6. BYD Co Ltd: 448,400 units
7. Chery Automobile Co Ltd: 409,300 units
8. Guangqi Honda Automobile Co Ltd: 337,200 units
9. Tianjin FAW Toyota Motor Co Ltd: 334,700 units
10. Geely Holding Group Co Ltd: 329,100 units

Taken into account that VW makes their Chinese cars with two joint ventures, SVW and FAW-VW, Volkswagen’s  combined total rises to 1,377,300. The imported VWs bring the number well above 1.4m . Read More >

1. VW GOLF 571,838 +23.9%
2. FORD FIESTA 472,091 +44.0%
3. PEUGEOT 207 367,160 -9.7%
4. OPEL/VAUXHALL CORSA 351,807 -2.5%
5. FIAT PUNTO 323,536 +15.9%
6. RENAULT CLIO 312,925 -6.8%
7. FORD FOCUS 309,134 -15.1%
8. FIAT PANDA 298,914 +33.8%
9. VW POLO 282,780 +2.4%
10. OPEL/VAUXHALL ASTRA 275,638 -14.1%

With all the now-distant brouhaha over the VW – Porsche tie up, it’s easy to forget that they started out as kissing cousins siblings, in more ways than one.

Starting this week, the fine citizens of Quebec will be required to take 24 hours of theory and 15 hours of practical driving instruction before getting their driver’s licenses. According to CTV, the provincial government has capped the expense of courses at $825 in order to prevent the cost from becoming too onerous of a burden on new licensees. Still, even in Canadian dollars that’s no chump change. And as instinctive as it is for me to resist this kind of regulation of personal mobility, mandatory driving instruction is common in much of the developing world (i.e. Europe). Moreover, the next time I’m on the interstate having an aneurysm over rampant on-road incompetence (let alone lane etiquette), I’ll approach the idea with a lot less libertarian zeal. Still, unless Ray LaHood (or Oprah?) gets more traction in the War on Distracted Driving, I don’t see the idea catching on in the US. Especially at the prices that Quebec is talking about. Do you think mandatory driver education is a reasonable option in these car-crazed United States?

Forget distracted driving, the new Shelby GT350 proves that obesity is the real epidemic in America’s automotive life.

Shortly after GM’s bankruptcy, we wondered why so many people were still trading “old GM” stock. After all, old GM stock is in a liquidation company with no chance of ever emerging from bankruptcy.  In order to clear up any confusion, the SEC forced GM Liquidation (then GMGMQ) to change its ticker to MTLQQ. Apparently that didn’t work. CNN Money reports:

On Jan. 11, the first day of the big auto show in Detroit, about 41.6 million shares of MTLQQ exchanged hands. To put that in perspective, that’s more than the volume of Apple (AAPL, Fortune 500), Google (GOOG, Fortune 500) and IBM (IBM, Fortune 500) combined that day.

Holy fiduciary responsibility, Batman! The report goes on to note that MTLQQ is the ninth most-researched stock of 2010 at CNN Money, beating stocks like Microsoft and ExxonMobile. TTAC has expressed skepticism in the past about GM’s forthcoming IPO on silly grounds like the firm’s lack of profit, turmoil in overseas divisions, weak sales and questionable strategy. Frankly, this news makes us question whether any of these things matter. If a 70 cent (but worthless) stock in a company that has no bearing on New GM can rack up that kind of trading volume, clearly there are some unfathomable dynamics at play. Maybe a $60b GM IPO market cap is possible after all!

Recent comments on today’s Japan’s C4C program post and 487 billion similar web posts since Al Gore invented the internet make it clear that there is a lingering misunderstanding about the import of US cars to Japan. Specifically, that Japan has managed to stave off a tsunami of Chevy Cavaliers and all the other wonderful American cars that the rest off the world has been snapping up by the imposition of certain restrictions, barriers or other obstacles. It’s way time to shed a bit of light on the Toyota Cavalier and this subject of great import. Read More >

In case you were wondering, Ed Whitacre’s assessment that the Volt will “make a margin” at a price point “in the low 30s” is the GM Chairman/CEO’s second big lie in as many weeks. Well, lie might be a bit harsh. Gross and willful misrepresentation is probably more accurate. GreenCarReports‘ John Voelcker got in touch with a GM spokesman who confirms what we all pretty much knew from the get go: GM “has not officially announced final Volt pricing, a price in the low 30’s after a $7,500 tax credit is in the range of possibilities.” In other words, we’re back to the same old $40k-ish number that GM execs have been throwing around for ages. Unless GM is talking about the electric-only (non-range-extended) Volt that Bob Lutz recently confirmed. But what about the margin thing?

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Despite everything we tell our kids, sometimes procrastinating and prevaricating actually pays off. Like this photograph, for instance. I’ve been wanting to do a Rabbit/Golf CC focusing on its role in succeeding the Beetle ever since I started this series, but the cars I kept finding weren’t genuine early (’75-’76) versions. So I just kept pushing it off. Then one day on our daily walk: bingo! A superb red specimen, exactly like the first Golf I ever drove. I shot its profile first, than moved  to shoot it from the front quarter (above), and just as I was about to push the trigger, I realized there was a red Beetle in the background. Kazaam! It doesn’t get better than this if you want to tell the story of how VW replaced the Beetle with the Golf, especially considering how much dithering and just plain luck played into its birth and existence. It also perfectly captures the day I stepped out of my ’64 Bug and drove a new ’75 Rabbit; I couldn’t have staged it better. Children: there are times when dithering and dumb luck trumps all the (business) plans in the world. Read More >

Truck marketing is so out of ideas. Despite a few hesitant signs that the old “bigger, stronger, butcher” paradigm might be giving way to less primitive appeals to consumers, GM’s Tom Stephens has dragged truck marketing back to the stone age, issueing the following challenge to Ford [via Pickuptrucks.com].

You’re going to love our new diesel Duramax engine in the new Heavy Duty. You know what I want to do to prove it? I want to take our truck and Ford’s [new Super Duty] and chain them together back -to-back. Then I want to have them pull against each other. I know our truck will beat theirs.

Pickuptrucks.com has passed the memo on to Ford, in hopes of spawning a “V-Series Challenge”-type media stunt. Too bad it will never happen. When the trucks are evenly-matched, these contests tend to come down to driver skill, timing and luck. And what would that prove? Note to GM: if you want to market your trucks in wholly unoriginal ways, leave reality out of it and just make an ad showing your truck kicking the other trucks asses or mocking owners of competing brands. You know, the way the good lord intended trucks to be marketed. These guys have it figured out.