Tag: Industry

By on June 2, 2017

2017 Chevrolet Bolt, Image: General Motors

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.  (Read More…)

By on May 27, 2017

2018 Toyota Camry - Image: Toyota

Which automaker stands the best change of gobbling up more of the U.S. light vehicle market in the near future? According to the results of a newly released study, and not entirely unsurprising, it’s two of the world’s largest automakers.

General Motors and Toyota are each planning a slew of new and refreshed products over the next few years — something which should serve to lure buyers away from other brands. Among domestic automakers, one brand is forecast to suffer at the hands of its Detroit rival’s success. You know the one. (Read More…)

By on May 23, 2017

lansing assemblyl

As the clock counts down to the beginning of talks aimed at revamping the North American Free Trade Agreement, automakers in Mexico, the U.S. and Canada know one thing they don’t want to see changed — rules of origin.

Auto manufacturers must abide by minimum regional (NAFTA-wide) content rules in order for vehicles to remain free from import tariffs. President Trump’s proposed reforms aim to benefit U.S. companies, but could lead to greater costs heaped onto automakers — something no profit-minded company desires.

Naturally, automakers wants their feelings known well before the three countries get down to brass tacks. (Read More…)

By on May 9, 2017

2016 Ford Focus RS

There’s a reason we run Midsized Sedan Deathwatch. North American consumers want space for six dogs, and nothing’s going to stop them from forking over big bucks for cargo volume and a third row. Traditional passenger cars be damned.

Increasingly, it looks like the market has been condemned — it’s down 12 percent over the first four months of this year. But the shrinking market presence isn’t solely the domain of the midsize. Compacts are in trouble, too. Full-size cars? You know the answer. However, if the vehicle in question started out as a conventional grocery getter but piled on the horsepower before leaving the factory, chances are it isn’t hurting. (Read More…)

By on May 5, 2017

2018_toyota_tundra_trd_sport_01_8ee19ebe1c41ad354b59edf3a42fdf0bac4ded48

As automakers dial back sales projections in a year that’s seen a rough start, the industry could be holding out hope for a legislative solution to lagging demand.

Toyota North America CEO Jim Lentz made this claim during the opening of the company’s expanded Ann Arbor research and design center on Thursday, adding that incentivizing new vehicles to draw down bulging inventories can’t continue forever. In his view, automakers are keeping extra vehicles on hand for a reason, not just because production hasn’t adjusted for slow sales.

Lentz, like other auto executives, is hoping for a sales bump in the event the Trump administration green-lights its proposed $1 trillion infrastructure plan. (Read More…)

By on April 28, 2017

1-Ethanol-Gas-006

Higher-octane fuel holds more energy than bargain basement gasoline, giving it the potential to generate more horsepower and deliver highly marketable fuel economy figures to automakers. It should be at the top of every car manufacturer’s wish list. But, because an extra-high octane rating would warrant an extra-large bill at the pump, muscle car owners are left hunting for that one station that sells 94.

Unlike Europe, it’s a low-octane lifestyle here in North America, though hushed, tentative first steps are being taken to give car manufacturers what they so desperately crave.

Still, no automaker wants to say it. (Read More…)

By on April 21, 2017

BMW 4 Series

To industry watchers, the manual transmission’s future seems as rosy as that of the Steve Miller Band, circa 1983.

Automakers on both sides of the Atlantic and Pacific have pried the stick shift out of an ever-increasing number of vehicles, and some manufacturers have chosen to drop the technology altogether. With market share reaching never-before-seen lows, the three-pedal lifestyle seems headed towards an unavoidable (and imminent) grave.

Blame technology. Blame laziness. Blame yourself.

Over in Munich, the sentiment seems quite similar. BMW has long occupied the ranks of true driver’s cars, but its leaders make no bones about the brand’s eventual abandonment of the row-your-own transmission, even in relatively stick-happy Europe. Lately, even dual-clutch transmissions appear to be in Bimmer’s bad books. And as for an American solution to its manual transmission problem, well, forget that. (Read More…)

By on April 13, 2017

lansing assemblyl

General Motors will be idling multiple North American plants for 10 weeks this year to allow for the factory retooling necessary to build upcoming models. It also provides a buffer for the overabundance of product it currently has. At the moment, GM has a 97-day supply of vehicles. That’s well above industry average and substantially higher than its domestic peers. As of April 1st, Ford Motor Co. had 80 day’s worth of product and FCA had 82.

“Our inventory is high because we’re going to take 10 weeks out in the back end of the year as we’re modifying our plants, particularly with pickup trucks,” Alan Batey, GM’s head of North America, explained to reporters after GM unveiled a redesigned Buick Enclave. (Read More…)

By on April 9, 2017

ford-raptor-china

Ford’s Mark Fields had plenty of positive things to say about last week’s meeting between Donald Trump and Chinese President Xi Jinping. After spending months of his campaign accusing China of stealing American jobs, Trump left the conference optimistic at the prospect of improving the relationship between the two countries.

That’s welcome news for Ford, which wants to dramatically expand its presence in Asia over the coming years. The automaker has already decided to launch Lincoln models in the Asian market, hoping to piggyback off Buick and Cadillac’s success in China. On Thursday Fields also outlined a company decision to have 70 percent of all Ford nameplates sold in China by 2025 be part or fully electric — helping the company meet stricter emission standards and maintain volume in the East.  (Read More…)

By on April 7, 2017

2017 Chevrolet Bolt EV

So far, there’s no evidence the Trump administration plans to extend the federal tax credit incentive for the purchase of electric and plug-in vehicles.

Designed to kick-start the fledgling technology, the credits — totaling up to $7,500 per vehicle — will run out after automakers finish selling their first 200,000 eligible vehicles — a date that could occur as early as next year for some companies. This means a segment still as embryonic as the infrastructure meant to serve it could soon bite the dust.

A recent report from Edmunds predicts what will happen if the credits die, using a cancelled state credit as a crystal ball. Despite the hype around EVs, those incentives are an intravenous bag keeping the patient alive. (Read More…)

By on April 4, 2017

tesla factory fremont

Workers are likely spinning in office chairs and there’s probably a second frozen yogurt machine on its way to Fremont as you read this.

After hitting a springboard on Monday morning, Tesla’s stock market value has now surpassed that of the former top-ranked U.S. automaker General Motors. This comes just a day after the electric automaker’s surging shares pushed past Ford, placing it in the number two spot.

There’s nowhere to go except down. What, too cynical? (Read More…)

By on March 31, 2017

Bob Lutz

If you’re unfamiliar with Bob Lutz, it’s likely that you’re a recent addition to the world of automotive enthusiasm. Allow me to be the first to welcome you. The rest of us have been following Lutz’s career shift from extremely outspoken auto executive to extremely outspoken car blogger for years. Now 85, he hasn’t become any less critical of the industry after entering his “retirement,” nor has his advanced age done much to soften his frank rhetoric.

Love or hate him, Lutz’s time spent jumping between the Big Three has provided him with unique insights — and he always has plenty to say on the current state of the American automotive industry. His most recent revelations circle around the unsustainable nature of Tesla and his growing distaste for president Trump, despite his having voted for him.  (Read More…)

By on March 30, 2017

2017 Audi A4 Ultra

Today’s car rental services span the gamut in terms of vehicular offerings and price, but it used to be a more utilitarian affair. Granted, the norm is still to hop online and click the little box next to economy or compact with those full-size sedans reserved for when your employer is footing the bill. However, special discounts or a base Mitsubishi Mirage occasionally make SUVs and even premium cars too tempting to pass up. For those with more discerning tastes, there are entire agencies devoted to specialty cars.

Silvercar is a rental firm that allows customers to charter an Audi A4 similarly to how you would reserve a ZipCar — log in, schedule a pickup, and remotely unlock the vehicle for as long you need access. It’s akin to BMW’s ReachNow, General Motors’ Maven, and Mercedes’ Car2Go — that latter of which is finally replacing its fleet of Smart cars with Benz-branded vehicles. But Audi doesn’t actually own Silvercar, it just happens to be a company providing the exact service that every single automaker wants to include as part of an updated mobility identity. Oh, and it exclusively rents out A4s.

Obviously, Audi is purchasing it. (Read More…)

By on March 29, 2017

eq concept mercedes-benz

After a Wednesday announcement stating it had failed to cut fleet emissions for the first time since 2007, Daimler has promised to expand its electric vehicle program and shorten the timeline. However, the automaker isn’t willing to shoulder all the blame for not being green enough. Consumer trends have shifted strongly toward larger, less efficient crossovers and SUVs in recent years. Daimler knows this better than anyone with global sales of the Mercedes-Benz GLA, GLC, and GLE gradually replacing its more-stagnant sedan deliveries.

Still, Europe has set very specific emissions requirements and the German company has fallen behind. It’s time to make amends by publicly promising new electrified models and a corporate goal closer to the state-sponsored pollution target.  (Read More…)

By on March 28, 2017

supreme-court

A Supreme Court ruling between two food companies may benefit the Detroit Three and its many domestic suppliers.

The case of TC Heartland LLC v. Kraft Foods Group Brands focused on where plaintiffs in an intellectual property or patent infringement dispute can file a lawsuit. Current U.S. law dictates that the plaintiff may file a patent infringement suit in any court district where the defendant does business. This has saturated the Eastern District of Texas with countless patent and I.P. lawsuits. Plaintiffs prefer the region because rural Texas juries are more likely to rule against big businesses and the district is known for expediting proceedings.

According to a January study by the Stanford Technology Law Review, only about 15 percent of cases heard in the court actually involved a patent invented within the district or had an accused party that had an office in the area. However, the Supreme Court is expected to put the kibosh on the practice by forcing plaintiffs to try cases near the defendant’s headquarters — meaning domestic automakers could have the home field advantage in future legal proceedings.  (Read More…)

Recent Comments

  • mcs: @addm: I used the 4-mile per kW consumption rate that I get in my Leaf vs. a 40 mpg ICE car and a 10 gallon per...
  • Big Al from Oz: NMGOM, Yes, Stamp Duty. It varies from state to state. Most taxation in Australia is levied by the...
  • RobertRyan: @zip89123 You have a company that is possibly guilty of manslaughter getting away with a fine.,FCA caught...
  • bd2: Wouldn’t say that the sheetmetal is an improvement, but the dash design is a marked improvement over the...
  • bd2: Good move by Mazda. Too many were already complaining about the lack of room (considering its length/size, esp....

New Car Research

Get a Free Dealer Quote

Staff