Up to now. GM saw a limited, Europe-only role for Opel. That’s pretty much a death knell. No serious brand can survive on Europe alone. With the weak Euro, it would be utter stupidity to try to survive on Europe alone. Finally, this fact dawned on GM. Opel now received the o.k. to expand into markets outside of Europe. You probably can guess which markets they have in mind. (Read More…)
Mercedes, BMW and Volkswagen/Audi are all moving inexorably towards a major downmarket expansion, as they develop a new generation of compact and subcompact cars based on front-wheel-drive architectures. Though Volkswagen has played in this space for some time, the move is a major cultural shift for BMW and Mercedes, which are typically associated with rear-drive luxury cars, particularly in the US market. But the truth is that the German luxury brands have always sold products in the German and other European markets that don’t match their premium overseas brand images (see, among other examples, the ubiquity of Mercedes taxis in Germany). But the strange thing about this next push towards smaller cheaper cars is that it’s not not aimed at Germany at all.
If the German magazine Focus is informed correctly, then Dr. Z’s days at Mercedes are counted. Focus heard that Wolfgang Bernhard will run Mercedes, while Dr. Z. will run all of Daimler. „In a second step, Bernhard could succeed Zetsche 2012 as Daimler CEO,“ says FOCUS. Currently, Bernhard is responsible for production and purchasing of Mercedes. (Read More…)
What is the fastest sedan under the sun? Up until a few days ago, it was a Mercedes E-Class, tuned by Brabus. That car can kiss the world record good-bye. (Read More…)
Automobilwoche [sub] picked up strong signals that Volkswagen is interested in adding Alfa Romeo to their growing roster of brands. Last December, Marchionne had put Alfa on strategic review, and gave the brand, as Ed Niedermeyer put it so delicately, “a year to get its proverbial shit together.” They popped some Imodium, and in April, Marchionne was “determined” to build the brand into a “full-line premium carmaker.” Nevertheless, here and there whispers had popped up that Alfa could be sold if the right buyer would show. (Read More…)
After the onset of carmageddon, premium and luxury cars were considered as unsalable. According to mutual agreement, the future of the automobile was small ecoboxes. If there was any future at all.
Fast forward to Germany … (Read More…)
In June, we reported about a catfight between Porsche and Audi. The bitching and eye-scratching was about who will design the kit for all future sports cars of the Volkswagen empire. The contenders: Audi and Porsche. The thinking was that the fight is just for show. And it was. If Automobilwoche [sub] has it straight, then Porsche will not just develop the mid-engined kit for all sportscars. Porsche will lead the engineering of the complete kit and kaboodle. (Read More…)
Malaysia is a country of close to 30m people and Volkswagen wants a slice of the pie. They already tried, but found out that getting a slice is not a piece of cake. Playing footise with Malysia’s Proton was a perennial on again, off again affair that led to nothing. Last time, it looked like VW would set up a CKD operation in Malaysia by themselves, but now it seems that they have found a partner. Not Proton. Not again. (Read More…)
Remember jetgate? Imagine what congressional roasters would have said if they would have found out that their wards of the state not only own their own airline, but a sizable share of an airport? Unthinkable. In Germany, nobody bats an eye. (Read More…)
In the last installment of our New Or Used? series, Sajeev, Steve and our Best and Brightest teamed up to help a reader find the modern equivalent of a Volkswagen Microbus. Because answers were limited to US-market vehicles, this CrossTouran wouldn’t have made the cut, but in a perfect world, this might just have been the car our reader was looking for. But with a starting price of €27,700 ($35k) for a 105 HP version, it’s still missing the kind of US-market appeal that might tempt VW planners to send it stateside… especially with the more American-friendly Tiguan starting at $23k, and the more off-road-capable Touareg going for about $40k. But if a small, AWD van is what you’re looking for, there is an automaker willing to take a risk on your peculiar tastes: the next-gen Mazda5 may not be a looker, but it’s said to come with an AWD option when it debuts in the US early next year.
If you are under water with your car, will any friendly GM dealer bail you out? Of course. If you live in what was formerly called “East Germany.” (Read More…)
TTAC’s writers don’t always agree with each other, but we can’t help but rub off on each other a little bit. After all, as our Jack Baruth puts it, “great artists steal.” Lately we’ve been treated to a tour of Jack’s love-hate relationship with the Porsche brand in his take on Paul Niedermeyer’s “Deadly Sins” series. And if the latest news on Porsche’s product plans [via Auto Motor und Sport] are anything to go on, we can probably expect more Baruthian takedowns of Zuffenhausen’s flights of fancy going forward.
Just how American is the new Volkswagen Jetta? When a German car company comes out with a new car, they usually release it in Germany first, so the Teutonic car bible Auto Motor und Sport can run a big multi-page review in the front of the magazine. Not only was the 2011 Jetta launched in the US, but the latest issue of AM und S carried only a half-page mini-review. In the final paragraph, the buff book explains that smaller gas engines and a variety of diesels should be available for Germany, and that
Here [in Germany], the comfortable Jetta will get a higher-quality appointments/equipment (hochwertigere Ausstattung) as well as a multi-link rear suspension.
The hochwertigere Ausstattung line is (purposefully?) vague, and could mean that the German-market Jetta will get a better-quality interior (as implied by the caption “US version with hard plastic and simple instruments”) or that it will simply come with a higher equipment level. In any case, don’t expect the German market to be thrilled by the version that we drove. Or that VW’s “Das Auto” tagline means much of anything to our Mexican-built Jetta.
Hush. Don’t tell American GM customers how GM’s Opel subsidiary plans to prop up seriously flagging sales. Opel can use a serious injection of something. Opel’s German sales were down by 43.5 percent in July. And Opel doesn’t have China to save their necks. Today, Opel announced their version of the Ardennen-Offensive: A last massive strike at the hearts and minds (and pocketbooks) of their customers. A warranty for life. As they say: Read the fine print. (Read More…)
Running a multi-national car company the size of, say, General Motors, Ford or Toyota means having lean, efficient operations. In the SUV/light trucks segment, turning a profit is easy. Because of the inherent profitability of these products, your operations don’t need to be that efficient to turn a decent profit. Where you really need to concentrate on profits is the other end of the scale. The small car market. This is where raiding the parts bin, nicking a platform from another division and moving production to a low cost country are taken as read when producing a plan for your next small car. But what if you’re trying to break into a market where small cars need to be firmly in the “four figures” price bracket? Well, this is the problem that Volkswagen is having in India. Like China, every car maker wants a piece of this Asian Tiger Elephant, but Volkswagen just simply doesn’t have the presence there to make their cars profitably. Or do they? (Read More…)
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