Europe Will Punch Back Against Any U.S. Car Tariff: EU Trade Commissioner

It’s been a trade-heavy week. Earlier, the White House decided to postpone any major tariff decisions following a discussion with the Commerce Department over a draft report on the impact of auto imports, giving trade representatives from the United States and European Union room to talk.

Unfortunately, things don’t appear to have gone swimmingly. European Trade Commissioner Cecilia Malmström left her Wednesday meeting with U.S. Trade Representative Robert Lighthizer promising that the EU would have retaliatory tariffs at the ready if America pulls the trigger on auto import duties. However, she also said some progress was made during her talk with Lighthizer, but had nothing conclusive to announce

Negotiating with the EU has grown difficult and, frankly, the automotive aspects have become less important of late. The European Union is now discussing the possibility of creating its own army, leaving president Trump to tweet angrily about historical precedents.

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Volkswagen Has a Low-priced EV Plan to Keep Rivals At Bay: Report

Volkswagen doesn’t want competitors unsurping its electric car efforts, so there’s a plan afoot to give buyers what they want at a much lower price, sources claim. Two reports, citing those with knowledge of a strategy not yet approved by the automaker’s supervisory board, state the company plans to go cheaper than its upcoming line of I.D.-badged EVs.

How cheap, you ask? How about $21,000?

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Sure, GM Europe Is Gone, but the Automaker Hasn't Entirely Pulled up Stakes

General Motors vacated the continent in fine style last year, flushing the Vauxhall and Opel brand to Groupe PSA in a deal worth about 2.2 billion Euro. However, it turns out Ren Cen remains as a lingering presence in moving metal across the pond.

All this was spurred by a tweet by David Shepardson of Reuters revealing The General sold about 3,000 vehicles in the first nine months of 2018, compared to 684,000 during the same period one year ago. This makes sense, given the sloughing of Vauxhall/Opel.

Since the word “Europe” shows up exactly zero times in GM’s Q3 earnings report, it left your author wondering: what models comprised those sales? Not the ones I thought, as it turns out.

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After 2019, the Only Volkswagen Convertible Will, of Course, Be an SUV

Say the words “drop-top utility vehicle” and American minds desperately conjure up memories of Chevrolet, GMC, Ford, Dodge, and International Harvester models of the 1970s — anything to avoid visions of the defunct Nissan Murano CrossCabriolet and somehow still alive Range Rover Evoque Cabriolet. That latter model, it should be noted, is not for everyone.

In the Volkswagen stable, one convertible still exists in the North American market — the Beetle Cabriolet — but that model disappears after 2019. The retractable hardtop Eos left the scene a couple of years ago, hot on the heels of the long-running Golf Cabriolet. In Europe, VW dealers stock exactly zero convertibles, but that will soon change.

Right around the time Americans lose access to a drop-top VeeDub, Europeans will get a new one. And, naturally, it will be an SUV.

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Forget Diesel - Tough Times Now Lie Ahead for the European Plug-in Crowd

The European new car market is in a period of extreme flux. Once-dominant diesels are on the way out thanks to new regulations, looming bans, and cancelled tax incentives, with electrified vehicles poised to take over the high-MPG role.

But not everything’s rosy in the clean, green market on the other side of the Atlantic. A new, more accurate way of measuring fuel economy went into effect last month, and governments — as well as automakers — suddenly realized certain vehicles weren’t as clean as initially thought. Looking to buy a plug-in hybrid in the UK? Say goodbye to that juicy government incentive.

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European Union May Not Be Unified On Emission Regulations After All

With California and the Trump administration squabbling over vehicle emissions, it’s easy to assume that Europe’s green initiatives are progressing trouble free. In truth, things are a little more complicated. Europe has come together to endorse tougher emissions rules but one of its member states appears to be reaching its breaking point. Unsurprisingly, it’s the one that builds the most automobiles.

Earlier in the week, EU environment ministers announced a need for countries to decide on reduction targets for the foreseeable future. Germany has endorsed a proposed target for a 30-percent reduction by 2030, compared to 2021 levels. However, France and several other nations are pushing for a stricter 40-percent limit while Austria wants to see 35-percent reductions. Although, the most interesting thing about this is how closely Deutschland’s arguments for softer standards are to America’s.

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Cadillac's Hazy Diesel Engine Program Tentatively Bites the Dust

It’s looking increasingly like the compression ignition engine won’t get an opportunity to redeem itself at Cadillac. After making diesel a dirty word in the early 1980s with the help of Oldsmobile’s cantankerous, oil-burning 5.7-liter V8, GM’s luxury arm dived back into diesel development towards the end of the last decade. A recession and bankruptcy put the kibosh on those outsourced plans.

Then, in 2014, happier economic times brought about a renewed interest in the pursuit of diesel. Cadillac hoped to woo MPG-loving Europeans by outfitting new sedan models with diesel powerplants developed in-house. Americans would get a taste, too.

Scratch that, says Cadillac president Steve Carlisle.

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Crossover Takeover: Nissan's Compact Cars Leave Europe Indefinitely

Nissan is ending sales of its last two compact cars in Europe and Russia, citing a the growing demand for crossover vehicles as the reason. The automaker stopped producing the Pulsar hatchback for Europe in June and says it will end production of the Almera sedan in Russia later this year. Both models are the sister car to our own Nissan Sentra.

The Pulsar was launched in 2014 to give Nissan a fighter for the competitive compact-featherweight category and fill a gap left in the brand’s European range in the wake of the discontinued N16 Almera. Unfortunately, it hasn’t been the sales success Nissan hoped for. The Pulsar never quite managed to match the N16’s volume. Nissan’s decision to abandon it leaves the Leaf EV as the only non-utility compact sold by the manufacturer in the region.

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Foreign Influence? Europe Tilts Even Further Into SUV Mania; Diesel Popularity Plummets

The continent that spawned microscopic postwar bubble cars and made the “city car” segment a thing is moving ever further away from its automotive past. European buyers, perhaps influenced by their American counterparts, are beginning to realize they truly can have it all, adjusting their buying habits accordingly.

Of course, by “all,” we mean all the cargo space.

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It's Happening Again: Ford Europe Wants to Shift Attention/Money Away From Cars

In an earlier analysis of Ford’s lackluster share price, we noted that Europe and China posed a significant problem for the automaker’s bottom line. Europe, which was previously pretty good to the brand, has gradually lost its share of the market since 1994. While Ford still moves a lot of metal in the region, something’s definitely wrong.

On Wednesday, Ford announced that its European operations had endured a $73 million second-quarter loss. It’s anticipating a full-year loss in the region after earning $234 million last year. “We’re extremely dissatisfied with our performance in Europe,” said CEO Jim Hackett.

Something has to be done to avoid further setbacks. According to Jim Farley, Ford’s head of global markets, the clear remedy is concentrating on vans and crossovers because that’s where the money is. It’s a similar strategy to what’s being done in the United States, where Ford eventually aims to cull the lineup to a point where the Mustang is the only vehicle that qualifies as a traditional car. But is it the correct one, considering how we’ve arrived at this point?

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America's Favorite Sedan to Take a Boat Trip

The Toyota Camry holds the remarkable distinction of being a midsize sedan with U.S. sales that actually increased over the first five months of 2018. Impossible, you say. It can’t be. You’d trade your kids for a crossover, but wouldn’t stoop to pick up a “free sedan” voucher if you passed one on the sidewalk.

Well, it’s true. Year to date, Camry sales are up 2.1 percent in the United States. Last year’s introduction of an eight-generation midsizer seemed to halt the sedan’s sales decline, though we’d be fools to think it’s anything other than a temporary lift. Camry volume sunk 7.9 percent in May. June could send the model into the negative.

Toyota seems aware of this, too. Maybe that’s behind the decision to send the Camry somewhere it hasn’t been in years.

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GM to Europe: Don't Be so Down on Diesel

Even though General Motors gleefully offloaded its European division to the French, it still maintains a slight presence in the region. A powertrain engineering center in Turin, Italy remains in the GM fold, which gave the automaker an opportunity to dish on a much-maligned propulsion source: diesel fuel.

Hey, this stuff’s still useful, the automaker’s CEO of global diesel development, Pierpaolo Antonioli, told an uncertain European crowd this week.

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Nissan Withdrawing From European Diesel Market, Rest of Japan Likely to Follow

Despite recent claims from Bosch that it’s prepared to save the diesel engine from becoming outlawed in Europe (which is like a prettier and less-free version of America), Nissan has announced its intent to withdraw sparkless motors from the market. Thanks to dwindling demand, the automaker claims it’s going to begin a gradual retreat until it no longer sells diesel vehicles in the region.

The announcement follows a similar plan unveiled by Toyota in March of this year and calls into question what the remaining Japanese manufacturers will decide in the months to come. Nissan said Monday that it will shift its focus to electrified vehicles, hoping the emerging technology can fill the void. But European manufacturers have the most to lose as the market changes.

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Ford Presents Endearing Little Fiesta Sports Van

We’re always surprised with what counts as a van in Europe. For example, Ford just showcased a new one based on the Fiesta at the Birmingham Commercial Vehicle Show — and it’s kind of wonderful. However, we’re unlikely to see it on our roads. A vehicle like this makes almost no sense for the North American market.

In fact, I can only think of a handful of applications for such an automobile: high-volume pizza delivery, flower delivery, amateur plumber, organ transport, and pet grooming for a business that only takes modestly sized animals. But they would all have to take place in an extremely-dense urban environment to rationalize the use of such a small vehicle. Otherwise, business owners are going to splurge on a proper small van like the Transit Connect.

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Ford Continues Fighting for Europe

Ford Motor Company has a lot invested in Europe. While the continent spent decades operating facilities under the lose leadership of Ford of Britain, Detroit acquired direct ownership in 1950. From there it extended its influence dramatically, buying up established European manufacturers near the close of the 20th century. But things haven’t always been good; economic hardships have been par for the course and things haven’t been easy in a long time.

Presently, Ford makes around $75,000 in profit for each of its employees in the United States. In Europe, that number is about $4,300 per worker. While we’re sure that makes domestic line workers feel entitled to a small pay increase, the point is that the profit margins across the pond are pretty slim for Ford.

However, unlike General Motors, the company doesn’t want to abandon the region. The automaker says it’s taking a renewed interesting in figuring how to keep profits up and is avoiding any speculation that it might duck out of Europe entirely. But let’s revisit its hardships over the last decade so we can establish a framework for why Ford is having a rough go of it.

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Is Europe Saving the Mustang? Well, Not Exactly

The Ford Mustang grabbed its passport and went overseas in 2015, crossing border after border as its parent company followed through on a plan to plunder (and grow) the right-hand-drive sports car market. Customers in Europe and China finally got a taste of pony car action as Mustang sales expanded to over 140 countries.

At home, the Mustang remains a strong seller, but the market’s growing distaste for passenger cars means even rear-drive coupes and convertibles with a storied heritage aren’t immune to volume loss. After reaching a post-recession U.S. sales high of 122,349 cars in 2015, Mustang sales fell to 81,866 units last year. Volume over the first two months of 2018 is down 21.1 percent over the same period last year.

Not to worry — the Mustang’s European popularity is keeping executives in Dearborn happy, right? Well, European customers help, but they’re far from the model’s savior. Especially if they stop buying.

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Volkswagen CEO Really Wants the Good Old Days Back, Predicts Diesel Resurgence

Despite a multi-billion-dollar emissions scandal, a massive corporate black eye, and all signs pointing towards a future devoid of diesel passenger cars, Volkswagen Group CEO Matthias Müller isn’t willing to let go of the past.

While addressing media at the the Geneva Motor Show, the VW boss — perhaps angered by all the newfangled electric cars in attendance, one of which is a Volkswagen — predicted the public would soon realize the error of its ways and return to the comforting arms of diesel propulsion. There’s a renaissance on the way, he said.

However, the fly in Müller’s soothing ointment appears in the form the The Government and the industry’s (and public’s) inclination to go where the incentives are.

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Retro Is Your Future: Honda Confirms Production of an EV That's Hard Not to Love

Electric vehicles. Yawn, right? It’s easy to be cynical about the high-flying production promises tossed about by practically every automaker, but if the real-life version of Honda’s Urban EV Concept looks half as quirky as the show car, the big H might have a bonafide green hit on its hands.

As the Geneva Motor Show opens to journalists, Honda has announced a production version of the retro-styled hatchback. It turns out CEO Takahiro Hachigo wasn’t lying when he said the Urban EV wasn’t just auto show eye candy.

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The World Needed a Second Crossover Convertible, and Volkswagen Answered the Call

You’ve no doubt read about how demand for the defunct Nissan Murano Crosscabriolet will surely fund the retirements of those willing to let go of their beloved vehicles. In the wake of that model’s cancellation, only a single drop-top crossover remained: the Range Rover Evoque Cabriolet.

Well, not for long. Volkswagen has announced its newest crossover, the Golf-based T-Roc, will give fans of this peculiar segment a cheaper option. The T-Roc, which sported a targa top and two-door layout when it first appeared in concept form in 2014, converted to a typical four-door hardtop when launched last year. Now, there’ll be a two-door soft-top arriving for 2020.

Arriving, we should point out, an ocean away. VW has different plans for North American consumers, and you can bet on it not having an open-air option.

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Fiat Chrysler to Stomp Out Diesel Across Its Lineup, Report Claims

The popular thing among automakers last year, besides the incessant preaching of “mobility,” was the pledging of allegiance to an electrified future. This year, it seems diesel fuel is the bogeyman all automakers must reject. We’ve already told you about Porsche’s abandonment of the blacklisted power source. Now, it’s Fiat Chrysler’s turn.

Though unconfirmed at this time, the Financial Times (subscription required) reports that FCA’s mid-term plan, due out this June, will announce the dropping of diesel across its lineup by 2022. If you’re currently wondering how you’ll tow a horse trailer using a battery, don’t get too upset just yet.

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After Falling Out of Love, Porsche's Diesel Divorce Is Now Complete

It always felt little odd whenever a diesel-powered Cayenne sidled up to you next to a stoplight. A Porsche that builds SUVs, we used to mull, and diesels, no less!

The public’s discomfort with a German sports car maker entering the utility vehicle field is long gone, and we can now say the same for Porsche’s short-lived dalliance with diesels. The automaker has stated it’s pulling its last remaining oil-burning models off the market.

A new Porsche is born, cleaner, but perhaps no purer.

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It's No Wonder the Germans (and Brits) Want Electric Flagships

Stately. Elegant. Dignified. Endangered?

This isn’t the first time someone has applied that final descriptor to flagship passenger cars, and with good reason. As SUVs gobble into traditional passenger car market share, sales of even the most prestigious sedans have taken a hit — leaving premium automakers wondering “what’s next?”

Well, more SUVs, for one, but also more electrification. Luxury car buyers have shown themselves to be more receptive to plug-in hybrid or fully electric vehicles, but more importantly, one pesky American automaker — Tesla — is threatening to eat everyone’s lunch.

In Europe, competition between the Old World and Silicon Valley is heating up, and the newcomer is winning the sales race.

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China's Lynk & Co May Get Help From Volvo in Its Westward March

Fresh-faced automotive brand Lynk & CO began selling its first vehicle in China about two months ago. But it has bigger aspirations than procuring a place in Asia’s largest market — it wants to achieve global domination through westerly expansion and is now preparing to take its first steps.

While the goal seems unrealistic for a fledgeling automaker producing only one model, the brand has friends in high places. Volvo Cars, which is also owned by Geely Automotive, may be tapped to assist Lynk in Europe by offering its factory in Belgium and opening up its servicing infrastructure. If so, that would set a precedent for a Volvo-based support network that could eventually extend to North America.

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Europe's Growing Distaste for Diesel Is Great News for Hybrids - and an Opportunity for Toyota

In the first half of last year, the number of new vehicles sold in Europe with a diesel engine under the hood (or bonnet, depending on your port of call) fell below that of gasoline-powered vehicles.

Spurred on by various tax incentives aimed at boosting national fuel economy, diesel’s popularity hit a high water mark in 2011, with 55.7 percent of all passenger cars sold in Western Europe that year leaving the lot with a compression ignition powerplant. However, since Volkswagen’s debacle, automakers, governments, and consumers are having second thoughts about the fuel.

After seeing the diesel take rate fall 17 percent in 2017, Britain anticipates the overall market share for oil burners could hit 15 percent in 2025. Germany, birthplace of diesel fandom, saw sales sink 7 percent last year, now standing at 38.8 percent of new vehicles. The French take rate is now below 50 percent, as well.

Replacing the incentivized high-torque engines isn’t a job that can be handled by gasoline alone, not in that market, anyway, which is where hybrid vehicles come in. For Toyota, this as much a problem as an opportunity — one that could have an impact on North America.

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Moving Forward: Audi Dissolving Dieselgate Task Force

Audi CEO Rupert Stadler has announced his company will dismantle the task force assigned to investigate how many of its diesel cars came equipped with defeat devices. The company established the team after Volkswagen Group admitted to selling 11 million diesel models, through its various brands, with illegal engine management software that hid peak NOx emissions during testing.

Even though Volkswagen has found itself smack-dab in the center of another costly controversy, Stadler claims that Audi is on the cusp of wrapping up its own diesel crisis. “We will have documented and processed all the engine/transmission combinations by the end of the first quarter 2018,” the CEO told journalists at Audi’s headquarters in Ingolstadt, Germany, this week.

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With These Sales, It's No Wonder Porsche Wants a Plug-in 911

It’ll be a long time before Porsche removes any hint of internal combustion from its beyond-iconic 911. The flat-six is safe for the next decade or so.

However, Porsche CEO Oliver Blume says the company wants a plug-in hybrid version, hopefully by 2023 — when the next-generation model reaches its mid-cycle update. “It will be very important for the 911 to have a plug-in hybrid,” Blume told Automotive News last week. There’s no stamp of approval yet, but Blume feels the German automaker “will go for it.”

This shouldn’t come as a surprise. If European sales of the recently introduced Panamera E-Hybrid are any indication, an electrified 911 is an insurance policy that’s sure to pay off.

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Germany and Italy Oppose Stiffer European Car Approval Rules

Italy and Germany are opposing attempts to give the European Union more authority over the way national car regulators approve new cars for sale. As wild as it is to learn that Germany is standing in the way of stricter automotive regulation and oversight, allow us to assure you that you’ve not misread the above statement. For some reason, Deutschland doesn’t want to see enhanced industry surveillance.

Our best guess is that the opposition has something to do with Volkswagen Group’s diesel crisis, recent concerns that BMW may have utilized a “shut off” device that masked NOx emissions, and the ongoing investigation into a German automotive cartel that may have operated for decades. But there’s also a chance these automakers simply don’t want to deal with the red tape that comes along with piling on government oversight.

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PSA to GM: Pay Up for That Dirty Fleet You Sold Us

The handover of General Motors’ money-losing European division to France’s PSA Group seemed complete last July, but now the maker of Peugeot and Citroen cars isn’t happy with the bag it’s holding.

PSA claims the acquisition of the Opel and Vauxhall brands left it on the hook for massive fines, all stemming from looming European emissions regulations and the not-so-squeaky-clean state of its new holdings. The automaker’s now seeking nearly $1 billion from GM — more than half of what it paid for the brands.

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Europeans Slowly Fall Victim to Pickup Truck Fever

Don’t worry, they aren’t suffering. As shown by the rise of pickup trucks as daily drivers and family haulers in North America, Europe’s burgeoning love affair with versatile light trucks isn’t hurting the owners. It’s traditional passengers car makers who must worry.

Sales stats arriving from the Continent show a marketplace that’s increasingly different from years gone by. The increasing popularity of SUVs and crossovers in the land of diesels, manual transmissions, and small displacements is nothing new, but the exploding popularity of honest-to-God pickups is.

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France Says 'Au Revoir' to Some of Its Renault Stake

A couple of years ago, the French government increased its stake in Renault to 19.73 percent, boosting its influence and secure double voting rights for longer-term investors – itself included – in an alleged attempt to block a resolution that could’ve reduced its control over the company.

At the time, many viewed it as a challenge aimed squarely at Chief Executive Carlos Ghosn and decried the use of the company as a political football. Today, the French government sold 14 million Renault shares, cutting its stake back to 15 percent.

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Rare Rides: Behold the 1969 Marcos GT, a Story of Continual Collapse

Struggling for decades, Marcos Engineering produced very few examples of its flagship GT model. This excellent condition restored example recently made its way up onto the eBay auction block, which presents a good opportunity to take a look at this stylish British sports car.

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Made for America, the Nissan Titan Expands Its Horizons

In terms of monthly U.S. sales, Nissan’s line of Titan pickups ended September in the number nine spot, ahead of the midsize GMC Canyon but behind its own paleolithic Frontier. While the 3,773 Titan and Titan XDs sold last month represent a tiny fraction of the 82,302 Ford F-Series models sold in the same time frame, it’s still a 52-percent increase from the same month in 2016.

Year-to-date, however, Titan sales are up 224 percent in the United States. That’s enough to get Nissan thinking about the pickup’s potential in markets not dominated by tried-and-true nameplates from the Detroit Three.

It seems Nissan’s planning to seize some ground for itself on fertile — but traditionally unfriendly — terrain. Looking back, the looming push was obvious.

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FCA: Under Investigation and in Dutch With Europe

Emission probes have been in fashion for a couple of years now, especially in Europe. In France, the most recent target is FCA. Fiat Chrysler Automobiles is currently under a judicial investigation as to whether or not it misled customers and cheated during emissions testing.

Though the terms of probe are unclear, a letter from the French magistrate kicked off the new investigation earlier this month. In the letter, the head of the investigation says the suspected emissions cheating dates back as early as September 2009, and involves the Fiat, Alfa Romeo, and Jeep brands. FCA is also under investigation in the United States over possible emissions cheating with its light-duty diesel truck engines.

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Brexit Seems to Have Really Screwed Up Britain's Car Market

While some of Europe saw modest auto sale gains through the first nine months of 2017, the region has mirrored North America’s decline in deliveries since the end of the summer. The United States saw eight consecutive months of declining sales this year, with a positive bump in September and better than expected volume in Canada.

Europe, meanwhile, saw the inverse. Passenger car registrations fell 2 percent year-over-year to roughly 1.43 million deliveries in September, despite August seeing a 5.6-percent improvement. Overall, 2017 has the makings of a unsatisfactory sales year for both regions. But Europe seemed to be doing alright before the U.K. suddenly stopped buying cars.

British registrations took a massive nosedive after Brexit. By September, it represented a monthly decline of 9.3 percent, compared to Germany’s 3.3 percent slide. Even though the rest of the continent saw a gain in sales, having Europe’s two largest markets lagging guaranteed the net loss.

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Old Hat: European Sale of Diesel Cars Overtaken by Gasoline for the First Time Since 2009

Diesel-powered passenger vehicle sales have fallen in Europe. Data from the European Automobile Manufacturers Association (ACEA) showed diesel’s year-over-year market share plummeting in the first half of 2017, sinking from 50.2 percent to 46.3 percent of all new car registrations in the EU.

Helped by negative publicity and governmental intervention, it’s the first time diesels have dipped below the 50 percent mark since 2009. ACEA’s figures indicate 152,323 fewer diesel cars sold so far in 2017, attributing some of the decline to a renewed interest in gasoline-powered vehicles. Of course, if you aren’t buying diesel, you don’t have a lot of other options.

Still, deliveries of “alternative” vehicles — which include hybrid, electric, and natural gas-powered automobiles — also rose by more than 35 percent. Those categories now account for 5.2 percent of Europe’s total auto sales.

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We Regret to Inform You… the Hyundai I30 N Is Outstanding

Unfortunately, the new Hyundai i30 N is, by all accounts, a terrific hot hatchback.

The i30, you’ll recall, is essentially the Hyundai Elantra GT that’s beginning to arrive in U.S. showrooms, a pleasantly tasty car in Sport trim.

But Hyundai’s new performance N sub-brand, headed up by former BMW dynamics sage Albert Biermann, is not yet America-bound. And while European critics broadly praise the i30 N — not just as “a pretty stunning first effort from Hyundai’s N division” but “up there with the best” competitors — and celebrate the availability of yet another viable performance car, the car will not make it across the pond.

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Put Those Next-Gen Ford Fiesta ST Dreams to Bed, America - It's Not Happening

Over the last seven years, America, you didn’t buy many Ford Fiestas. Fewer than 430,000, in fact. For perspective, in the much smaller United Kingdom market, Ford sold over 500,000 Fiestas in just the last four years.

But the Fiesta’s lack of popularity — and its dramatic loss of popularity in America — is not a unique-to-Ford situation. U.S. sales of subcompact cars plunged by more than a fifth, year-over-year, during the first eight months of 2017. That tumble comes after U.S. sales of subcompact cars declined in 2015 and 2016, as well.

Nevertheless, it comes as no surprise that Ford, after exploring America’s affordable avenues for one generation of Fiesta, isn’t bringing the seventh-generation version to America. And now we have confirmation that there is absolutely no hope the next-gen Ford Fiesta ST will come stateside, either.

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More Teasing From the French: Citron and Peugeot Cars to Be Built America-ready
For some, including TTAC’s in-house Francophile, Chris Tonn, the wait is simply unbearable. PSA Group, maker of Citroën, Peugeot and DS cars, plans to re-enter a market it hasn’t done business in since the last Peugeot left a U.S. dealer in 1991.It’s a slow and steady comeback for the French automaker. Steamlined, flush with products, and no longer the fiscal basket case it was earlier in the decade, PSA plans to conquer untapped and underperforming markets, including the United States. The American arrival comes by way of an extremely cautious 10-year plan. While the automaker remains hesitant to show its cards, it now admits that, if the buying public is willing, it can have cars ready for U.S. purchase in three years.
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With Mercedes-Benz Going Electrified, How Does the Company Avoid Tanking?

Everyone’s doing it. It’s as popular as the fidget spinner and Pokémon Go crazes all those years months ago. In a rush to signal their environmental bonafides and display their dedication to the Next Big Thing, luxury automakers are tripping over themselves in an effort to promise an all-electrified model lineup as soon as technology and finances allow.

This time, it’s Mercedes-Benz. The world’s oldest car brand doesn’t want its rivals cashing in once governments around the globe start turning off the fossil fuel taps. So, earlier this week, Daimler CEO Dieter Zetsche stepped up and made a promise we’ve heard ad nauseum as of late: every model in the brand’s lineup will soon sport some form of electric propulsion, be it a hybrid setup or full-on battery electric powertrain.

For Mercedes-Benz, this means 50 hybrid or EV models, including at its irrelevant-to-Americans Smart brand. The move isn’t without a steep cost, however — Daimler is bracing for a slashing of vehicle profit margins. In some cases, the green collected from green cars could be half that of a gasoline Benz. What to do?

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Evidence Exhibit #127 In the Case of Market V. Small Cars: Volkswagen Considering Pulling the Up City Car From Europe

The global auto industry is not a place in which small car production is as straightforward as it was a decade or two ago.

Brought closer to home, Americans are buying roughly 30-percent fewer subcompact cars now than they were just three years ago. With next to no fuel economy advantages; limited payment upside; and less refinement, power, and space, why would a car buyer choose a subcompact over a compact sibling? Most buyers don’t. In the United States, compact car sales are five times stronger than subcompact sales. August’s top three compacts (Civic, Corolla, Cruze) outsold their subcompact brethren (Fit, Yaris, Sonic) by more than seven-to-one.

Many automakers don’t even bother selling their smallest cars in North America. Mazda’s latest 2 never saw U.S. import. FCA has left the compact market, having long since left the subcompact sector to rivals. Subaru doesn’t dive below the Impreza platform. And Volkswagen stops at the Golf, leaving the subcompact Polo for more small-car-friendly countries.

But how keen on small cars are those other countries? In some instances, not keen enough. Volkswagen boss Herbert Diess tells Autocar, “Selling small cars is not easy.” And he’s clearly not just talking about F-150-loving America. “It’s a very European problem,” says Diess. As a result, the Volkswagen Up city car, a Lupo successor, may pull out of Europe in favor of emerging markets only.

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The Honda Urban EV Concept Is What We All Want Honda to Be

“This is not some vision of the distant future,” Honda CEO Takahiro Hachigo says of the Honda Urban EV Concept that debuts at the Frankfurt Motor Show. “A production version of this car will be here in Europe in 2019.”

Be a skeptic if you like. Honda’s recent history is full of pie-in-the-sky small car concepts that never came to production fruition: Remix, Step Bus, IMAS, Puyo, P-Nut, Gear. But there are also Honda concepts that ended up in the real world. The Model X Concept became the Element, the CR-Z Concept became the CR-Z, the SUT Concept arrived as the Ridgeline.

Honda has every intention to introduce the delightfully retro-modern Urban EV, albeit most assuredly without suicide doors, gigantic wheels, a front bench, or the unusually minimalistic interior. Yet if Honda can maintain the silhouette, a blend of early Civic and Mk1 Golf GTI, we’ll begin to wonder whether Honda’s lost decade – in which mistakes were made and costs were cut — is about to produce evidence of a reinvigorated Honda.

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Rare Rides: The 1983 DeLorean DMC-12 - a Gold-plated Opportunity?

The DeLorean DMC-12 is forever linked to the classic film Back to the Future, where the stainless steel wonder was converted into a conveyance for the purposes of time travel. But the silver screen was not the only place the DMC-12 underwent a transformation. A certain credit card company had a PR stunt in mind that saw the DeLorean plated with 24-carat gold.

Our Rare Ride today is what happens when a private owner attempts the same thing.

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Rare Rides: The 1990 BMW Z1, a Little Bimmer Time Forgot

Though not the first BMW-powered vehicle in our Rare Rides series, and not the first with two doors, it is the first BMW convertible we’ve seen here. And the two aforementioned doors on this little convertible have One Simple Trick up their sleeve — disappearing into the body of the car. It’s the kind of detail you’d only expect on some crazy old Citroën.

But that’s not the only unique aspect of the Z1. Want to learn something?

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Potential Buick Regal-based SUV Reportedly DOA, But We'll Always Have the Regal TourX

It was to be called the Monza.

GM Europe expected to assemble the Opel Insignia-based SUV, roughly the size of the Ford Edge, right alongside the Opel Insignia at its Rüsselsheim, Germany, assembly plant. Which is in Rüsselsheim.

But development of the so-called Monza was either lost in the shuffle or used as a bargaining chip, depending on whom you ask, when Groupe PSA (Peugeot and Citroën) announced the $2.3-billion purchase of its European brands, Opel and Vauxhall. Now it appears the Monza project is suspended, according to AutoExpress, as PSA decides to “freeze all GM-related projects.”

What’s it mean for Buick?

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Ford B-Max Is the Latest Deceased Minivan - When Sliding Doors Die, Angels Cry

It’s a question parents don’t ask often enough: are is our children learning?

More commonly queried: why not are our doors all is sliding? Furthermore, why is minivans are not mini?

Ford gave it a five-year whirl, slapping sliding doors on the side of the Fiesta-based B-Max. But according to a report in Romania’s Automarket, production of the Romanian-built B-Max ends this fall.

Are is our automakers learning?

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After Hyundai I30 N, Nrburgring Tuning Will Come to All New Hyundai Models

In Hyundai’s mind, consumers now know the brand builds reliable cars. Quality cars. Attractive cars. “But now we have the knowledge to add sportiness to that image,” says Klaus Köster, Hyundai’s European director for high performance vehicle development.

The Hyundai i30 N, essentially a high-performance version of the Hyundai Elantra GT that Americans will soon be able to purchase in less powerful iterations, is instantly becoming the foundation for a Hyundai brand that wants to be taken more seriously for its athleticism.

Just as the i30 N spent much of its development time at Hyundai’s six-year-old technical center beside Germany’s iconic Nürburgring circuit, now every Hyundai will be assessed at the Nürburgring.

The Santa Fe’s ‘Ring time probably won’t be published.

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Domestics Abroad: Part II - Chevrolet's Foreign Fare

Today we feature the second entry to our Domestics Abroad series. Here’s where we take a look at the international models proffered around the world that wear a domestic company’s badge on the grille, but are not offered in their brands’ domestic markets. This is ground zero for “you can’t get that here.” All nameplates you’ll see in this series are current production models.

We kicked off this series with Ford, and its 13 qualifying models. Our second entry is Chevrolet, which also places second in number of models.

Here are Chevrolet’s nine entries, in alphabetical order:

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Rare Rides: The Special 1988 Alpina B7S Turbo Coupe in Tartan Plaid

The glorious green Alpina coupe before your eyes nets three firsts for the Rare Rides series. It’s the first coupe coated in any shade of green paint, the first BMW, and indeed the first German vehicle in the series (I don’t count last week’s Rolls-Royce as German, though you might).

Time for some eye candy.

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Rare Rides: The Stunning 2009 Maserati Quattroporte Wagon Has Passion, Flair, and NSFW Wheels

Our last Rare Ride was a true bespoke vehicle — a one-of-one Rolls-Royce coupe which drew mixed opinions from our readers. But we’ll have none of that today, as I expect only passionate and flair-y discussion once you’ve reviewed this beautiful Maserati Touring Bellagio Fastback.

Prepare yourselves.

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Rare Rides: The Rolls-Royce Sweptail, a Bespoke Ultra-Luxury Coupe

Sweeping fender flares sculpted by hand, luggage trunks affixed to the rear by the help, and huge headlamps housed in metal spheres. These details come to mind when considering the old era of coachbuilding. Grand vehicles reflected personal touches and design cues requested by the customer, which the coachbuilder was all too happy to include in the vehicle in exchange for large sums of money.

This tradition is alive and well today at Rolls-Royce, which recently debuted a one-off bespoke coupe for an unnamed customer of taste and subtlety in design.

I present to you the Sweptail.

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Can EVs Survive Without a Government Check or Tax Break? Not in Denmark

Despite the protestations of many members of the green car crowd, dollars and cents do seem to play a major role in the motivation to purchase an electric or plug-in hybrid vehicle. Right now, EV proponents and domestic automakers are worried the U.S. won’t renew the green car tax credit — a segment-boosting incentive that shaves thousands off the price of a new electric vehicle.

Some would argue if green car buyers are really devoted to the planet’s health, purchase price wouldn’t be an issue (assuming the buyer’s bank balance is sufficient). Individuals being what they are, motivations and circumstances will vary. Still, no one can argue that a tax credit doesn’t sweeten the pot, just as dealer incentives on the hood of a truck help move sluggish inventory.

In Denmark, however, lawmakers have discovered that once-steady sales of EVs will slow to a trickle when green vehicle buyers are treated like regular car buyers.

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Dueling Development Centers Force GM to Slam the Brakes on Opel Sale

The handover of General Motors’ European operations and creation of a new Opel corporate identity, which was expected later this week, has come to a screeching halt.

As part of the $2.3 billion sale to France’s PSA Group, GM’s longtime German subsidiary will take on the name Opel Automobile GmbH — but not until the two companies clear a big hurdle. It seems the problem comes down to a tale of two development centers: one owned by GM, the other by PSA.

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Overseas Demand Boosts Ford Mustang as Domestic Sales Wane

The Ford Mustang, a nameplate actually deserving of the word “iconic,” is no less vulnerable to the whims of the market than any other model. As domestic light vehicle demand in North America cools off, so have Mustang sales.

Fortunately for Ford, the automaker took it upon itself to fling Mustangs to every corner of the world for its most recent generation, and buyers in 140 countries are now able to take delivery of the original pony car. That volume, while not America-like, has bolstered sales.

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8 Series Coupe is Coming Next Year, BMW Finally Confirms

It once sat at the pinnacle of BMW’s model podium, but cutting-edge technology, German opulence and a choice of eight or twelve cylinders couldn’t keep the 8 Series in production. It was only rival Mercedes-Benz’s decision to push the S-Class into the luxury stratosphere that compelled the Munich automaker to consider climbing the luxury ladder again.

Now, a year after the automaker trademarked a slew of 8 Series model names and insider sources assured us of its return, BMW has officially confirmed it. The 8 Series will reappear next year.

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Next-Generation Jetta to Launch in December: Volkswagen CEO

Lost amid the automaker’s newfound focus on bringing as many utility vehicles to global customers as possible, Volkswagen’s stalwart Jetta soldiers on without a diesel option, wearing more or less the same duds it donned for 2011. A mild — some would say unnoticeable — refresh came in 2016, but the Jetta’s U.S. sales have continued to slide at a remarkably steady rate ever since the current generation’s debut.

Naturally, Volkswagen wants to arrest the plunge. As part of its newly crafted product strategy, the automaker plans to find time for a new Jetta among all the crossovers.

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Stop Being So Mean to Diesels, Pleads Jaguar Land Rover Boss

Ralf Speth isn’t having it. Across Europe governments are cracking down on the use of diesel vehicles in a bid to lower air pollution, especially in the Jaguar Land Rover CEO’s own country. London has announced plans to levy stiff charges on anyone driving a diesel-powered vehicle through central areas of the capital starting in early 2019, adding fuel to the anti-diesel fire. Paris, Berlin and Athens also plan to ban the technology.

With compression ignition still a significant part of the automaker’s engine lineup — both in Europe and North America — Speth recently defended the technology’s importance in a finger-pointing spiel. The world needs diesel, he claimed, and the media (and Volkswagen) haven’t done anything to help the situation.

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Resurrected TVR Has a New Car, a Lineup of Buyers and an Old Model Name

It’s exciting times for the independent British automaker. TVR, which reappeared on the automotive scene in 2013 after an absence of seven years, plans to unveil a production sports car in September.

Apparently, many TVR aficionados were itching for an opportunity to get their hands on a boutique vehicle from the low-volume automaker, money in hand. When the company showcased a prototype at a private event, hundreds ponied up deposits for a vehicle that might appear bearing a familiar name.

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Detroit Money City: GM Leads the Pack as Ford Profit Sinks

What a difference a few (hundred thousand) recalls make. In a sales market best described as stagnant, a widespread vehicle glitch can dog an automaker’s balance sheet. That seems to be the case at Ford Motor Company, which saw its first-quarter profit fall 35 percent on a combination of factors — not the least of which was a pair of recalls of engine fires and faulty door latches.

Elsewhere in the domestic market, General Motors rode to the financial finish line with a record post-bankruptcy net income while Fiat Chrysler Automobiles climbed further into the black.

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Too Hot: Killer Lease Deal Got German Peugeot Managers Fired

When you’re hot, you’re hot. And when you’re the architect of a leasing promotion gone bad (by way of being too successful), you’re fired.

PSA Group reportedly canned its top German managers after a scorching lease deal on Peugeot 208 hatchbacks sent the country’s residents clamoring for wildly discounted French cars.

It wasn’t supposed to be that way.

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Ford is Trying to Stop Your Kids From Puking

Few things are more annoying than trying to extract vomit from cloth upholstery while pulled over at a gas station. Depending on the meal that preceded the involuntary stomach evacuation, it could be a tough slog.

Ford Motor Company, always one for innovation, is actively seeking out ways to reduce instances of lost lunches and tossed cookies. No, it hasn’t installed a “turkey dinner” mode on its Fusion Sport, but it has put its German research and development team on the case.

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  • SCE to AUX The fix sounds like a bandaid. Kia's not going to address the defective shaft assemblies because it's hard and expensive - not cool.
  • Analoggrotto I am sick and tired of every little Hyundai Kia Genesis flaw being blown out of proportion. Why doesn't TTAC talk about the Tundra iForce Max problems, Toyota V35A engine problems or the Lexus 500H Hybrid problems? Here's why: education. Most of America is illiterate, as are the people who bash Hyundai Kia Genesis. Surveys conducted by credible sources have observed a high concentration of Hyundai Kia Genesis models at elite ivy league universities, you know those places where students earn degrees which earn more than $100K per year? Get with the program TTAC.
  • Analoggrotto NoooooooO!
  • Ted “the model is going to be almost 4 inches longer and 2 inches wider than its predecessor”Size matters. In this case there is 6” too much.
  • JMII Despite our past experience with Volvo my wife wants an EX30 badly. Small, upscale, minimalist EV hatch is basically her perfect vehicle.