Volkswagen was all grins when litigating hedgies lost the first round in court in the U.S. (it’s on appeal) and when the public prosecutor in Stuttgart dropped some of the  investigation into former Porsche CEO Wendelin Wiedeking and former CFO Holger Härter (only to add new angles.)  Until the matters are cleared, Volkswagen and Porsche officially are not married, unofficially, they share all available beds.

Now, a new lawsuit causes frozen faces and acid reflux at the very top of Volkswagen: German investment funds intend to involve prominent supervisory board members of Volkswagen AG in a billion dollar court case. (Read More…)

The Brazilian autoblogosphere is up in arms because of an alleged censoring attempt by Toyota do Brasil. A month after the Brazilian blog Notícias Automotivas had run a piece on the upcoming Toyota Corolla S, they received a letter from Toyota do Brasil’s Legal Department. The Corolla S looks like not much more than a customized Corolla with red stitching on faux racing seats. The letter, dated April 29, 2011, looks scary.

We have received what we believe is a faithful translation of the letter from Brazilian Portuguese Legalese to English. The letter demands, within 24 hours of receipt, the takedown of the whole story, plus something unheard of: (Read More…)

On April 18th, BMW CEO Jim O’Donnell met in New York with reporters, amongst them TTAC’s Jack Baruth. At the meeting, O’Donnell opined that the U.S. government should end the $7,500 tax credit for EVs. “I believe in a free economy. I think we should abolish all tax credits,” O’Donnell said, noting that it was his personal opinion.

O’Donnell also said that “from a practicality point of view, EVs won’t work for most people. For at least 90 percent and maybe more of the population, an EV won’t work at the current battery range.” What else is new? A 10 percent market share for EVs usually is regarded as widely optimistic. And we all know that German automakers are not particularly excited about electrification. The quote wasn’t newsworthy, and did not rate a mention in Jack’s report about the meeting.

Interestingly, the meeting had been the kick-off for BMW’s ActiveE EV lease program.  If a CEO says that a new product is not all things to all people, he usually gets praises for being candid. This apparently does not apply in the world of faith-based motorization. (Read More…)

Mother Nature appears to have issues with the auto industry. First, a once in a millennium tsunami crippled Japanese automakers and suppliers for most of the year. Now, the most powerful long-track tornado in US history hit automakers in Alabama. (Read More…)

Saab will either be owned by Russians or Chinese. That’s the way it looks today. Which is no guarantee that it will look the same on Monday. (Read More…)

Forecasts for April U.S. new vehicle sales differ widely amongst the industry soothsayers this month. (Read More…)

This video says it all.

The Department of Transportation’s Bureau of Transportation Statistics (BTS) today released A Decade of Decline in Person Crossings From Mexico and Canada into the United States, a review of the 10-year decline in border crossings by. “This report examines the trends in person crossings by mode rather than reasons for the decline,” says a DOT press release. In the quest for reasons, Ed and I road-tested the entry from Canada last night. We might have found an answer for the decline: (Read More…)

For nearly a year, readers of TTAC have known what’s coming now. As reported back when, Fuji Heavy’s Subaru will end its 54-year history of producing minivehicles in February next year. (Read More…)

Things have been a little quiet around Better Place and their battery switching solution. Everybody is waiting for their Denmark and Israel projects to finally take off. The promised land of EVs of course is China: A huge population, a large untapped car market, and a government that gets nervous when thinking about long and perilous supply lines of foreign oil. The Chinese government demands EVs from its automakers, and just about each had a prototype or more at the Shanghai  Auto Show that had a plug and a cord. Just don’t ask when you can buy one. (Read More…)

So Saab had called an all hands meeting for today. 3,700 employees attended with great expectations or knots in their stomachs. This could have been the first day of a great future or the last of Saab. Instead  …. (Read More…)

“This is the worst situation we’ve faced since the war,” a source close to Toyota told the Yomiuri Shimbun. The Japanese car industry is facing post-war-like shortages when it comes to auto parts. Toyota is short 150 parts positions, which can be anything from a bolt to a complete dashboard.

Dealerships are empty – of cars. Test drive cars do double duty as display vehicles. “We get a lot of customers coming in, but we don’t have cars to sell them,” a salesperson told the Tokyo paper. (Read More…)

At a meeting of the Automotive Press Association at the old-money, establishment Detroit Athletic Club in downtown Detroit, a stone’s throw from GM’s headquarters, UAW President Bob King warned Detroit auto journalists not to listen to “extremists in the Republican Party,” just like people in Germany and Italy should not have fallen for Hitler and Mussolini. (Read More…)

Ford beat expectations with a first quarter 2011 net income of $2.6 billion, an increase of $466 million from the first quarter 2010. First quarter 2011 pre-tax operating profit was $2.8 billion. Ford Credit contributed $713 million to the pre-tax operating profit. (Read More…)

Today, 3,700 employees of Saab received an invitation to come to an all hands meeting tomorrow, Wednesday. It will be a break from the doldrums. In Trollhättan, the lines have been down for three weeks now because Saab has no money to pay parts suppliers, reports Automobilwoche [sub]. Tuesday ended in Sweden without a solution. Suppliers, unions and Swedish politicians demand immediate action, or Saab will go down the drain.

Talk about a Chinese savior has died down. All hopes hinge on Vladimir Antonov, and the sale of the factory to the Russian, well, business man. The problem is: The real estate is collateral for a loan from the European Investment Bank (EIB). Saab told Automobilwoche that the sale is “no sure” due to harsh demands by the EIB. (Read More…)