Japan’s Ministry of Economy, Trade and Industry is electrified. They think, next-generation automobiles will make up as much as half of the new passenger cars sold in Japan in 2020, says The Nikkei [sub].
By 2020, the ministry aims to have 2 million household chargers for electric vehicles installed, along with 5,000 fast-charging stations for commercial fleets. The ministry promotes joint development of infrastructure projects between the government, industry and academia to help pave the way for Japan to become the world’s most electrified nation.
People who make cars for a living have a more conservative outlook. Privately, they think the ministry should lay off the sake. (Read More…)
Goodness gracious, but the re-born Volkswagen Phaeton [as spied by AutoExpress] sure looks like a giant Passat. If anything, it might even be less distinctive than the old version. Because sometimes you have to learn a lesson the hard way. Twice.
Guess who was matchmaker for Daimler’s three-way tie-up with Renault and Nissan? The Nikkei [sub] thinks it was Volkswagen. VW’s alliance with Suzuki “spooks Daimler into thinking small,” says the Tokyo business paper. And that’s quite a change for formerly bigthinking Daimler. (Read More…)
Nearly everything ever written about BYD in the Western press has focused on the Chinese automaker’s hybrid or electric drivetrains, or the firms and investors who have bought into their future promise. It’s an understandable state of affairs: after all, the firm started life as a cell phone battery maker, providing OEM cells for firms like Nokia. Meanwhile, BYD sold nearly a half-million cars in China last year, all gas powered, doubling both sales and profit over 2008 levels. And with plans for a pure EV now on hold, BYD is going back to basics, readying a range of new, allegedly more upscale, gas-powered cars for the Beijing Auto Show later this month. (Read More…)
As you are reading this, worker bees in the employ of Volkswagen are putting the last touches on a revamped model of the venerable Phaeton, overtime be damned. When everything is in Ordnung and the Spaltmass (panel gap) is as tight as a vise, the Phaeton will be loaded on the next Lufthansa freighter, and – eat your heart out, Jack Baruth – it will be flown to Beijing. As China Daily has it, “Volkswagen AG is speeding up a face-lift of the $88,000 Phaeton sedan in time to unveil the model at the Beijing auto show and target China’s millionaires.” (Read More…)
When you are a Chinese car company, especially one that is mostly government owned, reporting profits is not one of your prime objectives. As long as you don’t lose money hand over fist, as long as you provide jobs for many people, as long as you grow in market share and influence, having money left over is sometimes just a (taxable) nuisance. But in times like these, it’s unavoidable. And it doesn’t hurt your stock when you are a publicly traded company. Shanghai Automotive Industry Corporation, better known as SAIC, has announced that their net profit for 2009 jumped 900 percent from the previous year, reaching a record of nearly $1b ($966m, to be exact.) (Read More…)
Suzuki is saying sayonara to plans of hybrid and V6 equipped versions of their new Kizashi sedan. It’s not that they are against those mills. They just don’t like the company that makes them. That company is GM. (Read More…)
Malaysia is an economic boom-town, and a country of 28m people. Import duties on foreign cars can run as high as 300 percent. According to unconfirmed rumors, this is to protect the two local makers, Proton & Perodua.
Many foreign car makers have tried to get a chunk of that protected market. One of them is Volkswagen, which does a booming business next door in China. (Read More…)
Volkswagen and Porsche will set up a research and development center in Qatar, reports Arabian Business. Yes, you did read right, Qatar. Qatar Holding has signed a memorandum of understanding with Qatar Science & Technology Park (QSTP), Volkswagen and Porsche. According to the MOU, research and development, testing and training facilities will be built in Doha. “Other avenues of cooperation” may also be visited. (Read More…)
Chinese battery maker and aspiring automaker BYD earned $215m in the fourth quarter of 2009, bringing its net profit for last year to $555.2m, reports Automotive News [sub]. BYD’s performance outstripped analyst estimates, which projected fourth quarter profits of $130.5m, and full-year profits of $473.2m. Though the Chinese auto market grew 46 percent to 1.6m vehicles, 47 percent of BYD’s 2009 sales came from the firm’s cell phone battery business, which is expected to give back recent gains as the global economic crisis takes its toll. Not so with BYD’s auto business: the firm has raised its 2010 car sales projections 14 percent, with sales of 800k foreseen. And as China’s car market takes off, BYD, which has one of the nation’s best-selling cars in its F3 compact, is expected to keep growing. Says one JP Morgan analyst:
BYD is a company that can’t be underestimated. If the Chinese vehicle market expands 10 percent this year BYD’s sales will grow at least 40 percent — 50 or even 60 percent is also a possibility.
Volkswagen and its freshly hitched 20 percent bride Suzuki will have a sit-down next week to “flesh out their joint projects by welding together a number of ideas,” reports The Nikkei [sub] from an earnings briefing in Wolfsburg.
The Nikkei guesses that Volkswagen will provide hybrid and electric-vehicle technologies to Suzuki. In turn they are interested in know-how on manufacturing subcompacts at low cost. As far as distribution goes, the two will most likely compare notes on China, where VW is strong, and on India, where Suzuki rules the roost.(Read More…)
When the automotive historians look back at GM they will point to many factors as to why they fell. Some might point to the Unions, some may point to their lack of reliable products, others may even point to their shoddy dealer service. But one factor which undeniably led to GM’s bankruptcy is lack of brand management. If anyone questions the harm poor brand management can do, then, may I point you in the direction of the Cadillac Cimarron? Muddled brands leave people confused and wondering why should I stay loyal to this brand? Your brand is your stamp of a promise to your customer. Safe cars? Volvo or Renault. Reliability? Toyota or Honda. Driving dynamics? BMW. Now I raise this point, because people said that this problem was endemic to GM only. It was a GM-centric problem. But is it, really? Was it really a GM-only problem? Or did GM suffer from “big company” syndrome? Well it seem there’s evidence that poor brand management isn’t just for American auto companies.
Der Spiegel reports that Volkswagen CEO, Martin Winterkorn, is utterly fuming at Skoda. What could the reason be? Profits? Well, they are down, but we’ll come to that later. No, the main reason why Herr Winterkorn is seething at Skoda is because Skoda is doing well. So, well, in fact, that their cars are now creating problems for VW cars, their main brand. (Read More…)
Financial Times calls “Volkswagen a long-time sceptic about hybrid and electric cars.” However, the pink sheet announces that Wolfsburg “has officially shifted gears.” That VW had been a sceptic is an understatement. Despite green initiatives for public and political consumption, internally, they laughed about hybrids and electrics. Their private position was that the consumption and emissions of a hybrid could be achieved with their low displacement supercharged engines and some weight savings. Pure plugins? Ach du mein Lieber. People have their next vacation in mind when they buy a car, and last VW looked, there were no charging stations on the Brenner Pass to Italy.
The official gear shifting occurred at last week’s Geneva motor show, where Volkswagen announced an “unprecedented” drive into electric vehicles. (Read More…)
India is going to be an economic powerhouse, just like China. With 1.1 billion people, that’s a lot of potential customers for your goods. Suzuki knew this, which is why they pushed hard in India. Suzuki is the undisputed market leader in India. Whenever there are developments in that market, we should probably listen. Listen up: (Read More…)
Hello Mr. Mehta, I am currently in Brazil visiting my in-laws. I am more and more falling in love with the 1974 1.5L Fusca (what the Beetle is called here) my brother-in-law owns. I can’t imagine they go for much in the US, and I thought it might be another fun car to stick in the garage. I’m not much of a do-it-yourself’er, so I have the following questions…
1) Is it going to be impossible to find a vintage “Fusca” that is not rusted out? (I’m in the Chicagoland area)
2) How hard is it to find parts for these? Considering the production run, I’d imagine it should be pretty easy.
3) What should I be cautious of when purchasing? (Also, I only want the 4MT. Not sure if they were made in an AT form)
4) Any idea what price range these go for? How about insurance for a married male in his mid 30s.
I’d be appreciative of any discussion & insight TTAC readers can give. I’m including (scaled down) pictures of the Fusca, the car that brought about this question…thanks!
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