Lotus is one of those brands that every auto enthusiast loved to lionize, despite (or possibly because of) the fact that it hasn’t made a profit for its owner, Proton, in 15 years. But now things are changing. Lotus itself is in the midst of a makeover, seeking to transition from niche sports- and track-car company to a Ferrari and Porsche-rivaling aspirational brand. Meanwhile, back in Malaysia, its owner, Proton, is undergoing a few changes itself. Having been founded as a state-backed business, Proton may soon be privatized, reports Bloomberg. And as a result, Protons private investors could push for a quick divestment of the firm’s Lotus holdings. One such investor, Gan Eng Peng of HwangDBS Investment Management, tells Bloomberg

It will make sense for them to sell it. Proton and Lotus are not a good fit. They are in different market segments, both in terms of geography and product.

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Over the past few weeks, we flew over Romania, South Africa, Zimbabwe and New Caledonia. And what could be the complete opposite of a paradisiac island with white sandy beaches currently right in the middle of Summer? Try one with only a couple of hours of daylight, right in the middle of a traditionally very intense Winter: Iceland.

For those of you dear readers for which geography was not the forte at school (yes you in the back with the red shirt, I’m talking to you), Iceland is a lovely island up north of the Atlantic Ocean roughly midway between Greenland and England. Just don’t visit it in winter because 1) everything is closed, and 2) blink and you missed daylight. Iceland was under the spotlight so to speak last year when the Eyjafjallajokull volcano (say that word very very quickly so we can have a laugh) erupted, causing widespread air travel disruption.

If very very very long winter nights by the fire are not your thing, that’s OK, I’m with you, and this is why I prepared 159 additional countries for you to visit in my blog, so don’t be shy and click away!

Now. Cars. Yes. It’s a car site after all. The Icelandic car market, although very limited, has gone through a radical transformation since the economic crisis of 2008-2009…

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The familiar wail of a police siren cuts through the chilly early winter morning air rudely snapping me out of a cold-induced slumber. Our minibus slows to a crawl as our minder winds down the window to wave his papers at a bunch of stern-faced traffic policemen.

The officer that checked the papers gave the 17 university students on the bus a once-over before waving to his partner to turn off the siren. It seems that a Toyota Coaster minibus filled with students is a rare sight in this part of the world.

Then I caught sight of a little round badge bearing the smiling face of the “Eternal President” Kim Il-Sung on the officer’s coat.

“Toto, I’ve a feeling we’re not in Kansas anymore,” the voice in my head whispered.

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Reasonable minds can disagree about the wisdom of the auto bailout, but according to analysis by the EPA and Department of Transportation (based on data from the Department of Energy and auto forecasters CSM), the Government’s rescue of GM and Chrysler may not have been the best idea (at least from a market perspective). According to data buried in the EPA/DOT proposed rule for 2017-2025 fuel economy standards [PDF here], Fiat-Chrysler is predicted to be the sick man of the auto industry by 2025, losing over half of its 2008 sales volume, while GM is expected to improve by only 3%, the second-worst projected performance (after Aston-Martin). In terms of percentages, even lowly Suzuki and Mitsubishi are projected to grow faster than The Mighty General. Ouch.

On the other hand, the proposed rule notes that data will be finalized before the final rule comes out. Besides, the agencies appropriately admit (in as many words) that projecting auto sales so far into the future is one hell of a crapshoot. Still, with the obvious exception of “Saab-Spyker” and with some skepticism about the projection’s optimism about overall market growth aside, these are not the craziest guesses I could imagine. Who knows what the future holds, but it certainly is a bit troubling that the government’s own data suggests the two automakers it bailed out may well have some of the weaker performances of the next 14 years. At least the Treasury could have sold off their remaining GM stock before this report was released…

Tesla released the finalized features and pricing for the Model S sedan this week, with deliveries of the most expensive variants to begin in “mid-2012,” the others to follow by the end of next year. More than a few people who thought they were going to be able to buy a “premium electric sedan” for $50,000 seem miffed by the final pricing. Yes, there will eventually be a $50,000 car (after a $7,500 tax credit). But it won’t have full motor power, leather, nav, or the ability to use fast-charging stations. Tick off all the boxes, and the Model S pushes double the hyped number. But, let’s face it, these guys have to turn a profit and must pay at least as much for parts as the big established car companies, on top of that big expensive battery pack. So does the announced pricing seem reasonable?

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A week ago, we predicted that „Toyota will start the year with guns blazing and the lines rolling.” Toyota agrees, and delivers the numbers to back-up the claim. According to data released today, Toyota and Lexus alone intends to grow global production in the coming year by 24 percent to 8.65 million units. This number does not include Daihatsu and Hino. This is an ambitious plan, slightly exceeding the peak level of 2007.

Toyota/Lexus Projections 2012 (Ex Daihatsu, Hino)

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It’s been a fascinating year for the compact car, as all six of the segment’s leading competitors brought out new or updated models over the last 18 months. But as our Chart Of The Day shows, the competition has hardly sent the segment into overdrive, as after an early-year boom, compact car sales have slackened considerably. Intriguingly though, Honda and Toyota, which lost sales early this year due to supply interruptions in the wake of the Japanese Tsunami, seem to be the only brands with recovering compact sales. What’s especially interesting about this is the fact that Toyota’s modest refresh and Honda’s poorly-received new Civic were once widely considered by automotive pundits to be under threat from the resurgent competition. Indeed, Honda’s Civic has been especially hard-hit by media criticism, earning a harsh review from TTAC’s Michael Karesh, losing its coveted “recommended” rating from Consumer Reports, and engaging in some ugly media-bashing. But now that the Civic seems to be one of the only compacts to enjoy a late-year sales rebound, Honda’s announcing that it will be upgrading the Civic for the 2013 model-year, just one year after the new model was introduced.

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TTAC Commentator Astigmatism writes:

Dear TTAC,

My wife wants to replace her 275,000-mile 1999 RX300.  Its sins, in order: fuel economy (15-17mpgs at this stage in ordinary driving); brakes that don’t inspire confidence (we’ve had the fronts completely replaced, and the rears and ABS checked multiple times, but it still pumps and grinds like crazy coming to a full stop); and the general feeling of looseness in a high-mileage SUV (not to mention rust spots, tears in the leather, etc., etc.).  She’s starting school in the fall, about 15 miles away through city traffic, and my hope was to have a replacement by then if possible. Read More >

It came at the prime of Honda’s dominance. The Accord was the best -selling car in America. The Prelude, Civic and Integra? All market leaders par excellence. Del Sol’s and Vigors? Well, nothing’s quite perfect in the eyes of the marketplace. But the last of the Legends was pretty close for that time.

You wanted a highway cruiser? It competed with the best of Detroit’s V8’s and offered better fuel economy as well. Comfort? Nice thick leather seats that were built to satisfy posteriors aplenty. To be frank I’m trying to figure out if there was anything bad about this vehicle circa 1994.

If I remember correctly the Legends were quite pricey. It was about $55,000 in today’s dollars new. About the same as an E-Class in this day and age. But a used one with 169,000 miles as of yesterday afternoon at a Carmax sale? It was only $1515 ($1400 plus $115 auction fee).

Best deal I had in a while. Should I….

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In August, we brought you a sensational story about a Volkswagen dealer in Daqing who used naked girls to get car buyers interested. Today, Carnewschina found another one, a Toyota dealer in Shanghai who hired a naked girl to sell some Camrys. Well, not quite naked, she stripped down to shorts and pasties. Not sure how many Camry that sold, but the building quickly teemed with ‘journalists’ and ‘car buyers’ . The girl appeared unperturbed. Warning: Hitting the jump could get you fired in prude America. Read More >

By the time this Junkyard Find ’78 Corolla was built, the Corolla was an institution in North America (at least in the western parts of the country). Not so with this ’73, built when Toyota was still a slightly oddball import marque and the fuel-economy penalty for a Valiant or Nova didn’t mean much to small-car buyers (this all changed because of certain events in October ’73). Read More >

Over the last couple of weeks, we have stopped in Canada, Romania, South Africa and Zimbabwe. And I will continue to surprise you because this week our stopover is New Caledonia. Now before the geeks among you raise their voice, I know, I know, technically this is not a country but a French Territory (and I would know, as I am French oui oui).

If you are not into paradisiac islands with white sand beaches currently in the middle of Northern Hemisphere summer, I don’t believe you but hey that’s still ok because I have prepared 159 additional countries for you to visit in my blog, so don’t be shy and click away!

Now this French Territory located East of Australia is actually 12,000 miles away from Metropolitan France, and therefore its car market behaves very differently from France.

So differently that a landmark event happened there last month…

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TTAC commentator/writer David Holzman writes:

 Sajeev,

My ’99 Accord 5speed with 200k on the clock needs a new gas tank. The fuel pump is inside the gas tank. Should I get a new fuel pump with that gas tank? Changing the tank will cost about $600; including a fuel pump will add $300. I’m planning to keep this car another year and a half to two years, at which point it will have about 230k. Read More >

Today, Toyota started Chinese production of its third gen Prius hybrid. The car is being assembled at Toyota’s joint venture plant with FAW in frigid Changchun in China’s northern Jilin Province. Sales of the vehicle will begin in early 2012. Read More >

The Index of Effluency, LeMons racing’s top prize, gets handed to the team that accomplishes a lap total far beyond what any sane person would have imagined possible for such a terrible, terrible car. Sometimes that means getting 10th overall in a Toyota Tercel EZ, and other times it means taking 36th out of 57 entries in a 1977 Ford Mustang II. Macaroni Racing, in their Cologne V6-powered “big Pinto,” managed the latter achievement at the Heaps In The Heart of Texas 24 Hours of LeMons today. Read More >