On December 1, a B-sized sedan went on sale in India without a single car in the showroom. It is called the Etios, it is made by Toyota, and sight unseen, it already received 12,000 pre-orders as of today. Production of the Etios will start on December 20 in Toyota’s factory near Bangalore, India. Boring story so far?

While in Toyko for the rest of the year, I had a chance today to talk to Toyota’s lead engineer of the Etios, Yoshinori Noritake. And a much bigger story emerged: Toyota is engineering and building new cars, made for the special demands and targeted at the world’s new growth markets. Developed markets may not apply.

Noritake is a soft-spoken, humble man. Read More >

With the effects of the various scrapping incentives across Europe slowly working themselves out of the system, the worst appears to be over in Europe. According to the official numbers of the ACEA, registrations of new cars across the EU27 fell by 7.1 percent to 1,069,268 units in November. However, this November is above the 904,577 units sold in November 2008. From January to November, a total of 12,349,743 new cars were registered, or 5.7 percent less than over the same period of 2009. All in all, Europe seems to have weathered the carpocalypse much better than the New Country. Read More >

We have said the race for who will be the #1 luxury brand in the U.S.A. is too close to call and that it will come down to the wire. Now, those weenies of Mercedes throw in the towel and concede defeat. “I’m pretty sure we’ll be No. 3,” Ernst Lieb, president of Mercedes-Benz’s U.S., told Bloomberg. Whatever happened to “we will never surrender?” (Sorry, that was a Brit.) But look at those numbers, and join us in shouting “boohoo” at Lieb. And Mercedes. No fight left in them no more? Read More >

Call me a cro-magnon cave dweller, but whenever I read these “car of the future” stories, I am reminded of a discussion I had with a Volkswagen engineer, some time in the late 70s. I was a wide-eyed copywriter and believed anything.

“I am working on the car for the year 2000,” the engineer announced.

“Wow! What will it be?” the wide-eyed copywriter asked in awe. Read More >

Toyota may have won a near-monopoly on modern hybrid drivetrains over the last decade, but at least until recently its Hybrid Synergy Drive has been limited to use in car and crossover applications. Sensing the vulnerability, GM, Chrysler, Daimler and BMW collaborated to develop a large V8-based hybrid system capable of powering large light-duty trucks. The resulting “Two-Mode” hybrid system has largely proven to be a bust, as BMW and Mercedes have limited its use to one-time X5/X6 and ML Hybrids. GM and Chrysler have tried to sell Two-Mode versions of their full-sized trucks and SUVs with little success over the past several years, as relatively low fuel prices and high MSRPs conspired against the hybrid truck segment. Now Toyota may be targeting the hybrid pickup market, as its Hino truck unit has begun testing a hybrid drivetrain for light-duty trucks that it hopes to commercialize by net year.  Greencarcongress.com reports:

The hybrid system, which features a clutch between its engine and motor, offers an all-electric drive mode for the truck. Internal Hino testing showed an improvement in fuel efficiency of a diesel truck by about 50%.

Testing by the Japanese postal service, and several private firms should give a better sense of the efficiency benefits of this system, but that will still leave the question of price. And gas prices. And America’s willingness to buy pickups from Toyota in Detroit-like numbers. On the other hand, it’s not safe to underestimate any Toyota hybrid. If this new drivetrain can do for trucks what Hybrid Synergy did for cars, things could get interesting…

Thought the Toyota brand had been dealt the death blow during the recall crisis? That brand seems to be more resilient than imagined: The latest Kelley Blue Book Brand Watch study has Toyota on top “as the most-considered auto brand among new-car shoppers.” That according to a press release just released by KBB. Read More >

Global alliances between humongous corporate entities are always intimidating and mostly ill-performing. Oftentimes they just don’t work (née Daimler-Chrysler). Other times we just don’t see the point (Ford and various ex-PAG members or GM-Saab). The Renault-Nissan Alliance, who-would-have-believed-it is maybe, just maybe, the most successful of the lot. As TTAC itself has reported earlier, the French car known as the Nissan Tiida is now America’s best-selling compact car. In Brazil, Nissan has just sprinkled some of its Nippo-fairy-wand-dust on Renault’s latest gambit in the relatively small, but very profitable executive level segment in Brazil.

Now, let’s clarify a bit. Read More >

Lately, we’ve often been blamed to be “against electric cars.” We aren’t against electric cars. We are The Truth About Cars. We are against hype and we are for facts.

These days, Google will deliver you your “facts” any which way you want them. Let’s have a look at two particular gems. They are from the world’s largest auto market, from the market that will dethrone the U.S.A. this year as the country with the most car sales in any given year.  They are from the country that has problems with pollution, and if pundits are right, will choke on oil imports. You guessed it: China. How are electric cars doing in China? Take Google, and take your pick. Depending on what you click on, EVs will either take off like gangbusters real soon now. Or they are the proverbial epic fail already. Read More >

Having been cut off the lucrative (and in the end deadly) derivatives business, Porsche looks for other sidelines. And it seems very much like they have found one: Consulting.

“Just as car enthusiasts envy Porsche drivers,” reports Automotive News [sub] “company executives salivate over the carmaker’s profit margins, the highest in the industry.” Said salivation generates juicy business at Porsche. Read More >

According to Brazil’s Globo, Brazil’s baby darling, the new Uno, is outgrowing its baby shoes. Fiat must expand to keep up with the demand. The likely winner will be the northeastern state of Pernambuco. Fiat announced that it is in negotiations with that state’s government. Though the Italians denied that a factory was in the offing, what else should an automaker discuss with a state government? Police cars? It is a well known fact that Fiat needs more capacity. It is also well-known that Fiat and various state governments have been doing the habitual mating dance whenever a maker says it’s looking for a new place to call home. Next year will witness the beginning of operations at three new sites as Hyundai, Toyota and even Chinese Chery are busy building their new factories. The Big 4 (Fiat, VW, GM and Ford) in Brazil all have two factories, except for Fiat. Fiat only has one. Market conditions are now forcing the Italians to commit: Double-up or fold? Read More >

$2, $20, $200. $2000. Which one of the four would you like to pay? I always liked to opt for that simple $2 key. A crafted piece of metal cut to fit another crafted piece of metal. Turn the key for 20 years and enjoy a simple solution. But not everyone thinks that way.

Read More >

The 2010 JD Power owner loyalty ratings are out. The no-surprises? Honda, Toyota, Lexus, of course. The happy surprise? Ford is now tied with Honda for the loyalty crown, and the Hyundai/Kia axis now sits firmly in the top half.

On the other hand, if you’re a Saab dealer, Jaguar salesman, or if your daddy was unlucky enough to take the Nissan/Infiniti axis instead of the ToyLexus one…

Read More >

Uh-oh. Septuagenarian Ferdinand Piech is expressing youthful impatience with octogenarian Osamo Suzuki. Volkswagen’s Chairman of the board “is reportedly irked at the slow progress of his firm’s alliance with Suzuki,” says The Nikkei [sub]. The reason? “A year after Suzuki and Volkswagen agreed on a capital and business tie-up, the track record of their partnership remains devoid of significant accomplishment.” Read More >

It’s a strange question to ask, considering that Hyundai is already selling the Genesis and Equus luxury sedans, but apparently Hyundai decided to bring out the cars before launching a brand. According to the Wall Street Journal

There are three branding scenarios under consideration. The most likely is to create a subbrand called “Genesis,” and sell the models under the same dealership roof as Hyundai but in a separate part of the showroom, possibly with dedicated salespeople, said John Krafcik, the president of Hyundai Motor America.

The other scenarios are to keep the premium cars badged as Hyundais, or—in the most ambitious move—spin off the brand into separate dealer facilities, much like Lexus or Honda Motor Co.’s Acura

Those are the options, but for a little more context, let’s check in with Hyundai USA boss John Krafcik…

Read More >

Steve C. writes:

Currently I own two cars, a daily driver and a completely impractical two seat roadster with no trunk. The daily driver is a 1996 Toyota Corolla that has 145K miles. It has been in my family since new and has received good maintenance. I’ve had the car since 75K miles, doing all of the maintenance myself, and have enjoyed a mostly problem free ownership experience as is usually the case with these cars. However, the car did overheat once about 4 years ago while sitting in traffic due to a fan failure. The coolant actually boiled before I even realized there was a problem. I replaced the fan and thermostat, changed the coolant, and had no problems since.

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