Like us, Autocar has been paying close attention to the development of Toyota and Subaru’s forthcoming rear wheel-drive (RWD) coupe. The Brit pub says Subie’s working on the engine (two liter boxer) and chassis, while Toyota gets the interior right. And once again, this is not an Impreza replacement we’re talking about. Autocar quotes a Subaru rep as saying “this will be a smaller, lighter car with more niche appeal.” And the “smaller, lighter” ethos means there will not be turbocharged WRX or STI versions of the coupe– part of its rationale is passing Europe’s new, tougher emissions laws. Meanwhile, 7Tune has some rendered speculation on the looks of the wee beastie, while raising some concerns about the development process. Besides noting that Toyota is looking to answer its styling critics with the new design, 7Tune reports that “members of Toyota’s development team have admitted that the suspension from the Legacy is ‘weak and terrible’ but have endeavored to make some changes that will produce more sports car-like handling.” Still, the new coupe should provide plenty of opportunities for the tuning and aftermarket crowd, while also offering a light, fast, efficient coupe for the mass market. Still sounds good to us. You know; in theory.

GM is preparing (and preparing) to put its faith in some form of Lithium-ion batteries from some manufacturer at some point for its Hail Mary-shaped plug-in electric – gas hybrid Chevy Volt. Meanwhile, Noburu Kikuchi, the Director of Toyota’s NA Research Institute, says his employer isn’t abandoning ye olde nickel-metal-hydride battery anytime soon. “The auto maker’s goal is to begin selling 1 million HEVs annually in the next decade and to offer hybrid powertrains in every vehicle in its lineup in 2020-2030,” WardsAuto reports. But what percentage of those will be built with more advanced and still largely unproven Li-ion batteries, ‘I really can’t say…  But in the near future, if you look at it realistically, we have accumulated so much technology in NiMH that simply giving up (on that) might not be a good idea.'” Does that sound, I dunno, realistic? Well, there’s more common sense after the jump.

Read More >

The mainstream media suffers from “opinion inertia.’ Once the press corps adopts a certain angle on a story, its superglue city, facts be damned. To wit: TTAC’s been slamming Chrysler for horrendous product quality, bizarre model choices, asinine marketing and a bloated, piss-poor dealer network since… ever. Meanwhile, our colleagues have been playing the underdog American automaker meme. Post Cerberus purchase, they’ve been ignoring Chrysler’s failed products and telltale gaffes, such as CEO Bob Nardelli’s infamous “operationally bankrupt” admission. But now that rumors of a GM – Chrysler merger have surfaced, the media’s woken up. And the fangs are out.

Detroit News contributing author Alisa Priddle normally puts her keyboard to use for Car and Driver’s blog, where she’s more PR repeater than news reporter. In September, she parroted “Chrysler shows it has a slew of electric vehicles in the pipeline, including a Chevy Volt competitor, and they’re coming to a road near you soon.” Not only was this blatant press release regurgitation, it was also patently false. “They” weren’t going into production; a fact that Priddle acknowledges later in the article (only one, at best, would be produced).

And now, Priddle pens “Chrysler, GM deal confronts obstacles,” which would better be titled, “WTF are these asshats thinking?” “Statements that Cerberus bought Chrysler for the long haul are falling on deaf ears,” Priddle writes. “Especially with the financial tiff that has broken out between GMAC (which is 51 percent owned by Cerberus) and GM, which is now paying dealers an incentive for sales financed outside GMAC.” Well, someone’s ears are open, now.

Co-writer David Shepardson is also a recent convert to the growing “Chrysler’s up excrement creek” camp.

In an August 6, 2007 column called “Controversial CEO,” Shep responded to CEO Nardelli’s critics. “But Nardelli improved the company [Home Depot] by several measures. Sales jumped from $46 billion to $91 billion in 2006, while profits doubled to $5.8 billion.” Shep quoted the usual (anonymous) sources, happily reporting that “A person close to the situation said Cerberus was deeply impressed with his financial performance. ‘If we get anywhere near what he has accomplished previously, we’ll be delighted,’ the person said.”

Now Shep’s taken off his rose-colored glasses and begun chronicling the folly of the mix ‘n match “too big too fail” theme. “Among the hurdles to any deal is whether Congress would agree to provide financing to help a merger. Congressional aides said any kind of money would likely include strings.”

Detroit News columnist Daniel Howes is also showing his ability to eviscerate a hometown hero. His October 2007 column “As Toyota falls, Detroit Big 3 rise” gives way to today’s “GM hasn’t learned bigger isn’t better.” “Forget the back-channel spin from those with self-interested agendas rationalizing the boss’s current negotiating position. Would this mega-deal, another stunning blow to Michigan’s wobbly economy, make sense to Joe the Autoworker and others not drinking the Kool-Aid of the moment?

In yesterday’s post on the Wall Street Journal blog, Heidi N. Moore asked “What If the U.S. Auto Makers Don’t Survive?” That’s a sharp turn from her June 10, 2007 post on Chrysler’s rosy prospects: “The honeymoon at Chrysler clearly isn’t over: Chrysler CEO Robert Nardelli couldn’t be happier about Chrysler getting rid of Daimler and public shareholders in one fell swoop.”

Clearly, the press has “reassessed the Chrysler situation,” working their way towards acknowledging Former CEO of American Motors Corp and current professor at University of Michigan Gerald Meyers’ assertion that “there is no economic justification for the existence of the Chrysler Corp.”

And now that press is beginning to face that uncomfortable reality, they’re showing remarkable insensitivity towards their former champion, newfound object of ire.

The current media group-think is, simply put, Chrysler’s going away. Get used to it. Whether through a merger or a sell-off, tens of thousands of jobs, hundreds of suppliers, thousands of dealers and tens of thousands of customers will soon be S.O.L. Chrysler’s presumed recovery has become Chrysler’s presumed oblivion. But is that necessarily true?

Even before day one, TTAC warned that Cerberus bought Chrysler to strip and flip the company. But before Chrysler is laid waste, someone in the media should stop for a moment to consider an alternative. Assuming the U.S. government is going to bailout GM, perhaps they should start by practicing on Chrysler. Where’s the talk of a Chrysler “intervention?”

The fact that a Chapter 11 reorganization isn’t part of the mainstream media discussion about Chrysler’s fate shows that the wolf pack press shares the same ADD and lack of imagination as Chrysler’s protagonists. In that sense, just like voters and their politicians, a story gets the coverage it deserves. We here at TTAC will continue to think independently, even as Chrysler is dismembered by greed, arrogance and indifference, on all sides of the story.

Toyota’s announced that Canadians will no longer have to spend $30k to import a grey market Scion xB from The Land of the Free. Soon they can overpay for a Scion at their very own local Toyota dealer. Maybe. In 2010, Toyota will open Scion sub-stores at Toyota dealers in Toronto, Montreal, and Vancouver. Unfortunately, Toyota seems to be sticking with the “urban youth music snowboarder DJ myspace iPod tuner culture” marketing image, rather than the “people that don’t have a ton of money but want a practical, reliable, relatively fuel efficient Toyota.” The Scion that does do well with the youngins: the aging tC – which hopefully will be replaced by the time Scion launches in the Dominion. Overall, Scion should have good prospects for our neighbors to the north, where “hatchback” and “downmarket econbox” aren’t synonymous. While Toyota of Canada has nothing to say about whether Canada will get the forcoming iQ – heading to the stateside as a Scion – will come to Canada, you can bet your zimmer frame on it.

DaveAdmin over at Allpar Weblogs is just as unhappy with the coverage of the potential GM – Chrysler debacle merger as your faithful TTAC correspondents. But for different reasons. Apparently, it’s OK for the mainstream press and armchair analysts to suggest that this is a done deal, but they don’t “get it” when it comes to what might come next. In the main, DaveAdmin reckons they’re all guilty of the sin of omission. “No article I have seen suggests that maybe, because the Dodge trucks are clearly superior (especially in Class 3-5), that GM might shift over to Dodge’s designs. Only one mentioned the Dodge trucks in any way other than ‘to be canned’ at all, and that was to point out the bad timing of their launch. Ford’s big, trucklike Flex, Toyota’s Tundra (with one factory already being converted to other uses), and Ford’s upcoming F-series were apparently examples of good timing. No article I’ve seen mentions the Hemi except disparagingly, as in ‘dummies make V8s when people don’t want them any more.’ (Four years ago.) Never mind that trucks still need V8s and the Hemi is best in class, especially in variable cam form. No article I’ve seen mentions the Phoenix engines or the dual-clutch transmission technology. The latter, to be fair, appears to be dead at the moment, as Chrysler chose to cancel their launch by picking a fight with Getrag and abruptly canceling all talks.” Yeah, to be fair. It gets better…

Read More >

From the moment it announced it gray-matter-celebrating name, it was pretty obvious that Toyota was developing its iQ city with one eye fixed firmly on the Smart playbook. So it comes as no surprise to hear that ToMoCo will leverage its “small-but-premium” city car platform with a small roadster version, set to debut at the next Tokyo auto show. Auto Motor und Sport hired veteran Swiss illustrator Mark Stehrenberger to speculate on the iQ Spider’s styling, coming up with a design they say follows in the footsteps of the Suzuki Cappucino and Daihatsu {Cuore} Copen. With only 1.0 and 1.3 liter gas and diesel engines on offer, don’t expect the iQ Spider to offer much more performance than the Smart Roadster or the previously-mentioned Kei-class ragtops. The standard iQ’s generous safety equipment should be found in the Spider as well, which will boast ESP, ABS and more airbags than a Senate quorum. There’s no saying when the Spider should arrive on the market (likely sold as a Scion), but it will be interesting to see if this fares better than the ill-fated Smart Roadster.

Reuters reports that Mercedes COO Rainer Schmueckle says his company is in a “full blown sales crisis.” In other words, he’s checking his pension plan and prepping his people for a big ass round of layoffs. “While it [Mercedes] has not yet discussed reduced working hours, it has already cut the number of temporary workers. As of the end of June, Daimler’s Mercedes-Benz Cars division that also includes its Smart badge of microcars employed a staff of 98,000 worldwide.” And as that’s about it for this one, how about a tidbit from the world of Mercedes onership, via Kenya’s The Standard? “Police have questioned High Court Judge GBM Kariuki over the stabbing of a motorist after a minor road accident in the city… Police said Justice Kariuki and Kamau were driving from opposite directions on Lower Kabete Road at about 8pm on Saturday when their vehicles were involved in a minor accident. The judge, who was driving his official Mercedes Benz car, was alone at the time of the incident, while Kamau had two passengers in his Toyota Corolla vehicle… The judge seemed disturbed when journalists arrived at the police stations to take his pictures. At one point, he shouted at them, saying they were free to ‘take even his buttocks.'” And do what with them, precisely?

No major surprises here, as ChryCo’s AWD option box is ticked on fewer than five percent of Caliber purchases and even less often on Avengbrings. “For the Avenger, the take rate was 1.5% for 2008, and for the Sebring it was at 0.7%.” Chrysler spokesman Jiyan Cadiz tells Ward’sAuto. “So obviously the bottom line is people want fuel economy, and the AWD modules are not profitable for us. That’s something we can get rid of as we’re consolidating products and finding what’s profitable.” And while we wish Chrysler the best of luck in their hunt for “what’s profitable,” AWD supplier BorgWarner has a case of sour grapes for Chrysler. “What we’re seeing in terms of market forecasting is that (AWD) in the B-, C- and D-segments is growing globally,” say BorgWarner’s product business director, Chris Cook, who calls Chrysler’s move an “aberration.” And Cook blames Chrysler’s Jim Press, lately of ToMoCo. “Press comes from Toyota (Motor Corp.), where they don’t have AWD on a lot of vehicles (in those segments),” Cook says. “So (the decision) was philosophical.” Or rational. Anyone who wants an AWD Caliber can always spring for a Jeep Compass, and AWD has always been an under-advertised afterthought on the Sebring and Avenger. In fact, Press’s Toyota roots don’t make him “anti-AWD.” Toyota’s partial ownership of Subaru proves that a dedicated AWD-peddling niche brand (hello, Jeep) allows the mainstream brand to focus on efficiency and affordability. And with CAFE bumps looming, offering AWD on every model “because you can” makes less and less sense every day.

TTAC reader steronz writes:

“I’m sure you’re familiar with the advertising claim in the subject. I just noticed it on a billboard during my morning commute, sans question mark. I did a brief search to see if I could figure out what marketing math GM is using to back up this claim, but I’m coming up
dry. I did my own quick check on Edmunds and came up with the following list:

Chevy Honda Toyota
Aveo* 24-34 Fit 28-34 Yaris 29-36
Cobalt** 25-36 Civic 26-34 Corolla 28-37
HHR*** 21-30 CR-V? fail Matrix 26-33
Malibu 22-30 Accord 22-31 Camry**** 21-31
Malibu Hy 24-32 Accord Hy dead Camry Hy 33-34
Civic Hy 40-45 Prius 48-45

* GM may be trying to bill the Aveo5 and the Aveo as two different models. I’m not buying that.
** Cobalt numbers are for the elusive XFE model, but that shouldn’t make a difference
*** GM may be trying to bill the HHR Panel Van as a different model than the HHR, but I’m REALLY not buying that
**** If GM is indeed playing tricks with model counting, the Camry Solara could potentially count as a separate model here

I’m not even sure if I feel comfortable calling hybrid versions of regular cars as new models, but since it doesn’t give anyone an advantage, I’ll allow it. Therefore, by my count, Chevy has 5 models, Honda has 4, and Toyota has 6. Claim busted, right?”

There are some cars that just haven’t been properly replaced. It might be because of safety and emissions laws; in other cases its because the manufacturer changed their focus (or went out of business). Me though, I would buy a brand new Mercedes W123 if they still made ’em. I just love the bulletproof build and the dictatorial image. What car would you get, price not being an object, right now if you could get your hands on a new one? (And no, picking random exotic cars from the past so that you can resell them at auction is not part of the game).

Click through for my favorite Nigerian scam. Read More >

Although the U.S. pickup truck market is suddenly a lot smaller, it’s not small. And while Ford is scrambling to make something, anything profitable in the car segment, the F-150 is still a large part of the reason why the company remains out of bankruptcy court. In fact, the Ford F-150 outsells all Ford cars combined. That’s a lot of pressure for a truck to carry on its frame, even with over 3000 lbs of payload capacity. And so, the 2009 F-150 is here, hoping to prove the value of the old British adage, if you’re in a hole, the first thing you do is stop digging. Or at least shore-up the floor so you don’t sink into an abyss. Does the new F-150 have what it takes to at least keep Ford in the game?

As many of you know I manage Autofiends.com . Our unofficial motto (can’t get the tech guys to change the site…) is “No Boring Cars.” Which means as the news of the day rolls in (grist to the mill) I need to parse it to determine what is and what isn’t “boring.” For instance there’s those pics of the new Prius that Jalopnik has whipped itself into its daily frenzy over (PRIUSGASM!!!!). And through the magic of search engine optimization Autofiends could probably get some decent traffic out of the post. More traffic makes the boss happy and (maybe) gets me more money! Only problem: the Prius is dull. Like, rock in sand dull. And not fancy Japanese rocks in Zen sand, but regular Texas Hill Country rocks in Great Plains dust. There’s a lady I know and I think she’s massively boring. She falls asleep at parties, says perhaps one sentence over the course of a night out and at restaurants has the tastes of a six-year-old. I mean really, what adult says, “I hate tomatoes?” To further solidify my view I saw her driving away in a white 1998 Toyota Camry. Which makes perfect sense, as I can’t think of a more boring car. Before you accuse me of Toyota bashing, let me state up front that I think the AE86 Corolla is one the most exciting cars ever built. Especially certain nitrous powered Formula D AE86s that pull away from Vipers on the track. Some of them 1,000 hp Supras are pretty damn thrilling, too. So I ask you: what makes boring?

This week, I went to Detroit on an all-expenses-paid junket extravaganza, where I drove the snot out of the new Ford F-150. What I took away from the experience, in addition to the F-150 (full review tomorrow) is twofold. First, Ford may have seriously lucked out on the 2009 F-150, because rather than focusing on peak horsepower, or acceleration, or size of wheels, or bling, or whatever else, it’s as though they’ve designed the truck pretty much directly for commercial users and heavy haulers. The people that actually need pickup trucks. Also known as “the only people that are going to continue buying pickup trucks in the forseeable future.” The F-150 performed extremely well in the proving grounds testing (Why wouldn’t it? Though I really liked the Chevy Silverado as well). Secondly, I’m not a fan of the Toyota Tundra. I drove it back to back with the Chevy Silverado, F-150, and Dodge Ram. The Tundra performed embarrassingly: TTAC has put in a call to Toyota to see if they want some kind of rebuttal.

Battery maker and hybrid powertrain dark horse BYD got quite a legitimacy boost when the Oracle of Omaha (and possible Obama cabinet member) Warren Buffett dropped $230m on ten percent of its stock. And that boost seems to be translating into accelerated plans to bring BYD cars to market. China Car Times reports that BYD will begin selling its “dual mode” (not to be confused with GM’s disasterous “two-mode”) hybrids (specifically, the Toyota Corolla F3DM compact) before the end of the year, several months before the previously-publicized release date. No plans have been announced to accelerate European sales, set to begin in 2010. And U.S. sales are still a gleam in Warren Buffett’s shrewd eye. BYD hybrids have been extensively tested in China, and the firm claims that its proprietary batteries are good for 62 mile of plug-in charge and will last over 300k miles before needing to be replaced.  The parallel/serial hybrids can be charged to 50 percent of capacity in ten minutes, while a 100 percent charge takes seven hours, according to BYD. If these numbers hold up and quality is up to snuff, BYD could soon be a big name in the hybrid game. After all, Ma Buffett didn’t raise any fools.

The techies who bring you TTAC have informed me that they’re working on a back end solution (heyyyy) that will allow us to choose which stock to feature in our Yahoo! stock ticker. As there’s a plethora of patches in the hopper, it may not make it here by– well, it might take a while. But my man Bryan says he’ll spot us one change as an interim measure. So, B&B, what’s it going to be? Which stocks do you think we should list on our widget? I’d like to limit it to fifteen for the mo. Ford, GM and Toyota are a given. The rest are up for grabs. And what about a supplier or two, like Ener1, maker of hybrid batteries. Or sucklike. Whatever your opinion make it snappy, both in that usual way you do but also in terms of time. Bryan’s got a clarinet to play. Honest-to-God.