Whenever the good folks at Daimler hear about European overcapacity, they ask: “Why can’t we have some of it?” Daimler’s compact cars are so popular that the plants in Rastatt, Germany, and Kecskemét , Hungary, are already bursting at the seams, and will even more so once the new A-Class starts shipping in fall.. Therefore, Daimler outsourced A-Class production to Valmet, the Finnish contract manufacturer.

We honestly appreciate it when a press release does not mince words and helpfully says it right in the first sentence: “New full-LED headlights, a prominent BMW kidney grille and a modified front apron define the unmistakable appearance of the new BMW 7 Series range.”

A 1962 Rolls Royce Silver Cloud II, adorned with over a million Swarovski crystals is on display at the Four Seasons Hotel in Munich, Germany.

The legendary Nürburgring, purveyor of records an dreams, is dead. Well, it’s clinically dead, but it might be brought back to life. What else would you do with a 16 mile road that goes nowhere in the middle of nowhere? The Ring is bankrupt. Out of money. Can’t pay its bills. Broke. Bust. Pleite.

GM throws fresh troops in Opel’s losing battle. For keeping more money, Opel has a new CFO. For eventually making more money, the Rüsselsheim automaker has a new R&D chief.

How would you feel if you start your new job and people greet you by speculating who will replace you? This is how Thomas Sedran must feel. Only hours after he has been made the new interim CEO of Opel, German media speculates who will be next in his ejection seat in Rüsselsheim. The roster of likely candidates is not encouraging.

Opel has a new CEO, the second in a week, and he will soon be out of a job: As expected by TTAC, GM named Thomas Sedran as interim CEO of Opel, replacing the current interim CEO Stephen Girsky, who replaced the not quite interim CEO Karl-Friedrich Stracke.

The summary execution of Opel chief Karl-Friedrich Stracke, and the mess this has created, is front page material in the German press today. The fingers point in the direction of Detroit. Detroit has no clear strategy and changes directions like soiled underwear. The fingers also point at an impulsive Dan Akerson who is out of his depth.

According to Germany’s Handelsblatt, the firing of Opel chief Karl-Friedrich Stracke went down like this:

Opel’s stand-in boss Stephen Girsky demands changes from his workforce. “Our successful revitalization demands from all of us that we accept to do business differently than before, and that we do it quickly,” Girsky wrote in an email to staff, cited by Germany’s BILD Zeitung. How different, remains unsaid. Workers and unions expect a fight and gear up for one. Opel is running out of money. Bankruptcy rears its head.

After putting Opel CEO Stracke abruptly out to pasture, one would think that his (allegedly interim) successor Steve Girsky has a new plan to rescue Opel and to spare GM shareholders further losses. Not so. The new man will keep the old plan. “GM fully supports the current plan to strengthen Opel and improve its operational competitiveness,” a spokesman for Opel told Reuters.

Volkswagen has published group sales for June and the first six months, and they are better than those of most other European makers. Global deliveries for the half year are up 8.9 percent to 4.45 million. June looks surprisingly good with sales up 11 percent to 798,500. Nevertheless, Volkswagen looks like no threat to the leading positions of Toyota and GM.

The Opel mess claims another victim. “Opel’s Karl-Friedrich Stracke stepped down from his position as chief executive of the embattled carmaker to take on “special assignments”, where he will report to the Chairman and CEO of parent General Motors,” Reuters says.

The new energy relationship between PSA Peugeot Citroen and BMW is just about done now that BMW and Toyota intensified their cooperation. An Opel executive dashed hopes that the French will be able to use GM technology instead. “The honest answer is I can’t imagine that,” Opel development chief Rita Forst told Reuters, when asked if the two companies would share green car technology.

Porsche’s soon-to-be 100 percent owner Volkswagen is making money hand over fist. At the same time, the German tax payer is contributing 43.67 million euros to the expansion of Porsche’s plant in Leipzig, Germany, where the new Macan will be made starting in 2014. This has attracted the attention of EU competition regulators.

By 2015, Audi wanted to overtake BMW and become the world’s largest maker of premium cars. These plans have been postponed. Not until 2018, but until 2020. The road ”is getting bumpier,” Audi CEO Rupert Stadler told the Sueddeutsche Zeitung, and said that world domination now will happen “by 2020 at the latest. It is not about overtaking BMW tomorrow or the day after, but to seize and secure the top position.”

Not all automakers in Europe have too much capacity. BMW will invest $388 million over the next three years to increase capacity at its Mini plants in the UK, Reuters says.

Volkswagen wants to be the world’s biggest, most profitable, most innovative, and most loved automaker by 2018, and everybody at Volkswagen has been sworn-in to do their share. US managers promised that they will deliver a million sales a year to the group. It’s a tall order. To get there, “American consumers will need to buy a lot more new Volkswagens, Audis and Porsches,” Reuters says.

They have been together for a while. Behemoth Volkswagen and tiny, but bigger than life Porsche shared technologies and booths at auto shows, Volkswagen generals are in key positions at Porsche. Fitting the German Zeitgeist, they lived together without being formally married. This will be rectified in a few weeks.

Germany’s new car market recovered slightly in June. Sales were up 2.9 percent to units, Germany’s Kraftfahrtbundesamt reports.

GM has blamed Western Europe location for Opel’s woes, unions, the economy. Opel has a brand crisis, and the crisis is “a self inflicted-wound,” says Christiaan Hetzner, Reuters’ man in Frankfurt, Germany, in an article on why Opel is in so much trouble. “Reputation is seen as the problem, not cars.” The recent attempts to move the Opel brand up-market ripped those old wounds open and could kill the patient.

The intensified alliance between Toyota and BMW shines a new light on a technology that has been discussed for decades, but that never quite made it: Hydrogen fuel cells. BMW will get access to Toyota’s fuel cell technologies. This most likely spells the end of the fuel cell cooperation between BMW and GM. Let’s take another look.

“At the Nürburgring, there is always a car that passes me. It is a BMW.“ So said Toyota Chairman Akio Toyoda today as he announced a deepening of the relationships between Toyota, and the company that makes those cars that pass Toyoda on the Ring. The surprising part: BMW and Toyota will jointly “develop architecture and components for a future sports vehicle.”

A mysterious Lexus LFA that went from Motomachi to (the green) hell is fueling the fantasy of bloggers. Some say the Tiffany-blue bolide belongs to the Sheikh of Qatar, who just happens to like his cars in Tiffany blue. Others say it is the LFA going out with a bang, attacking the elusive Nordschleife ring record one last time “with an engine over 600 bhp.” They all made it up.

This is not a story about the LFA. This is a story about bloggers sucking stories out of their thumbs.

Toyota and BMW will announce a closer alliance as early as Friday, The Nikkei [sub] and Tokyo scuttlebutt say. According to the Nikkei, the two will share Toyota’s hybrid and fuel cell technology. BMW will try seeking scale effects for its CFRP technology. TTAC will feature a closer look into Toyota’s carbon fiber capabilities once we have finished our own research.

Tomorrow, Thursday, the management of Opel will present an allegedly comprehensive turnaround plan to its supervisory board, Reuters reports. If GM stockholders expect a big bang to lift their holdings, they will most likely be disappointed. The plan is expected to deliver less and that later. However, it looks like Opel might share pain and plants with PSA Peugeot Citroen.

While other carmakers are treading water or worse, BMW’s global sales were up 9.1 percent for the first five months of the year, mostly on strong gains in China. That party is about to end, claims Citi Investment Research and downgraded BMW AG from “buy” to “neutral,” Reuters reports.

In the euphemistic world of stock analysts, a “neutral” usually means a sell.

Five years ago, former and now disgraced Porsche chief Wendelin Wiedeking started the Porsche SE. It was a holding company, destined to hold the shares of Volkswagen after a successful takeover. Porsche cars are made by Porsche AG. The takeover never happened. Volkswagen bought nearly 50 percent of Porsche AG, and wants the rest ASAP. What will become of Porsche SE?

If the shareholders agree – and the shareholder meeting is today – Porsche SE will become a trading house, selling rare earths, building solar farms, and offering car sharing services, Germany’s ARD says.

Last Saturday, Opel CEO Karl-Friedrich Stracke wanted to address the workers at Opel’s Bochum plant. All he addressed was 2,000 backs as the workers got up and left.

If you read Volkswagen’s global sales report for May, you get the impression that this was yet another great month. Global sales are up 7.8 percent in May. Things don’t look so rosy when you analyze the numbers a bit further.

A few months ago, Volkswagen’s 2018 goal of world domination was in gripping distance. In a record run, and helped by tsunamis and floods, Volkswagen had finished 2011 as world’s second largest automaker after GM and before Toyota. Overtaking GM was seen as a matter of short time. Six months later, the advantage is slipping away. A visibly rattled Volkswagen now musters all energy to stay in the race.

For all intents and purposes, Porsche is part of Volkswagen. Except for one niggling detail: Officially, Porsche still owns Volkswagen, and not Volkswagen Porsche. See complicated graph. Volkswagen had planned to swallow Porsche whole, and to add it to Volkswagen’s large collection of brands, but there were some nasty details. The most worrisome detail is solved: The tax bill.

Up until last month. the German car market was oblivious to the European carnage that had started in Mediterranean countries. and then slowly crawled north. In May. the car consumption disease arrived inside of Germany’s borders.

Managers of premium auto brands keep asking themselves (and sometime me): “What is the secret of Audi’s success?” 30 years ago, Audi had an image worse than Opel. Last April, Audi outsold Bavarian rival BMW for the first time on a global basis. These days, any large automaker that has a luxury division seeks to emulate Audi’s success. Now, Nissan’s Infiniti could be one step closer to getting its hands in Audi’s elusive secret sauce. They hired one of Audi’s key men.

In the late 70’s, Volkswagen had plans to take over truck maker MAN and to sell a whole range of commercial vehicles, from light vans to heavy trucks under the MAN brand. MAN was never taken over, much to the relief of Volkswagen’s commercial vehicle division in Hannover that feared for its independence. Some 35 years later, the plan is close to become reality.

Dutch classic car collector Frans van Haren paid $3.8 million for a 77 year old Mercedes 500K Spezial Roadster. The regrets came when he tried to sell the rare car of which only 58 were built. When the car was offered for sale at last year’s Techno Classica car show in Essen, Germany, the car was impounded. Van Haren can kiss the car good-bye. A German court ruled that the car goes back to the estate of its erstwhile German owner.

The UAW can write off organizing Volkswagen’s U.S. plant in Chattanooga. The effort has been damned by German unions. Volkswagen’s works council will explain to Chattanooga workers that there is no pressure from German unions for them to join the United Auto Workers union. With Reuters taking notes, Volkswagen works council chief Bernd Osterloh offered the most lukewarm support he can afford to give as a union brother:

A day before GM officially announced that the Astra production will be moved to Ellesmere Port, a move that is widely believed to seal the fate of Opel’s Bochum plant, we said that the decision won’t go down well in Germany, and that it will be very tough working with a doomed workforce. The workforce is already getting restive.

Opel chief Karl-Friedrich Stracke was asked to tell his workers unambiguously whether the Opel plant in Bochum will be closed or remain open. Today, Stracke met with workers in Bochum. He told them that no decision has been made – yet.

An obviously Axis-inspired driver was seen today in Kamakura, Japan, complete with aloha shirt and toy poodle . A British crime writer who stood next to me swore up and down that this is the real thing and an original Messerschmitt Kabinenroller. What do you think?

Allegedly, there is rampant overcapacity in Europe. Not so at BMW. “The BMW plants are busting at the seams,” writes Germany’s Handelsblatt. BMW is looking into building new factories abroad. Possible locations are Central Europe. Or rather Mexico, writes the paper.

Each year around this time, owners of – what is the German equivalent to rice racer? Reichs Racer? – overengined hatches congregate around the Wörthersee in Austria for the annual GTI Meeting. This is the 31st year it will take place, the roads will be packed, beer and gasoline will flow in equally monstrous quantities, and the bucolic lake will boil. Also as usual, Volkswagen will send some special specimens to entertain the devotees. Here they are.

What was highly probable yesterday is definite: GM will shift production of the Astra compact from Germany to Ellesmere Port, England. Workers at the UK plant agreed nearly to a man and a woman (approval rate 94 percent) to a deal with GM that keeps Ellesmere Port open and that spells the near certain doom of Opel’s plant in Bochum.

Workers agreed to a four-year deal that freezes wages for two years, and that allows only moderate rises of around 3 percent for the following two years, Reuters heard from a source. The source also said:

Tomorrow, Thursday morning, GM will most likely announce that the new Opel Astra will be built at the Ellesmere Port plant near Liverpool, and no longer in Germany. This ends weeks of hard-nosed gamesmanship, where one plant was played against the other.

While GM is withdrawing from Facebook advertising, over in Europe, Opel does the opposite: Opel spent untold budget amounts to hire Orlando Higginbottom, better known as Totally Enormous Extinct Dinosaurs. The hot UK producer, remixer and DJ was hired to flog … clicks to Facebook.

You would have to travel far to shoot (bad boy as you are) a Bali tiger. Germany’s Auto, Motor und Sport Magazin did not have to travel further than the Golfanlage Schloss Nippenburg to shoot themselves a Macan. Macan is Indonesian for tiger, better known as the name for Porsche’s upcoming SUVlet.

In case you have surplus cash sitting around, doing absolutely nothing, hang on to it until the end of 2013. This is when Porsche finally wants to crank up production of its Über-Porsche, the 918 Spyder. Porsche has finished the initial prototypes, which are cleverly camouflaged: If you see something whizzing by, and you think to yourself: “This looked just like a Porsche 917 race car,” then you actually saw a 918 in drag.

A lot of the Opel news seen below emanated from an all hands meeting at Opel’s ancestral home in Rüsselsheim. Opel CEO Karl-Friedrich Stracke explained the restructuring plan for Opel. According to German media reports, Stracke delivered more questions than answers . According to Reuters Germany, “the management of the lossmaking GM subsidiary did not contribute to a heightened confidence of employees.” The impression is that the management has no plan.

The tempo of Porsche’s global growth slowed to 7.2 percent in April on sales of 12,588 units. This is down from the 12.6 percent gain the folks from Zuffenhausen racked up from January to April. “What do you expect, European malaise,” is the knee-jerk reaction.

The surprising malaise is elsewhere, further east, much further east.

If GM’s Opel would have a jobs bank, its accounts would be bulging. Opel has far too much capacity for far too little sales. The situation at Opel “is more dramatic than thought,” writes Germany’s Focus Magazin. The magazine got is hands on confidential production plan (most likely leaked by interested parties,) and the numbers are horrific.

Good news for armchair brand strategists: Porsche’s race to the bottom (of the price range) has been cancelled. There will be no entry-level roadster below the Boxster, Porsche CEO Matthias Müller told the Stuttgarter Zeitung today. It’s not that there won’t be lots of new customers for the bargain-Porsche. Current customers don’t want their brand to be devalued and debased, Müller says.

Yesterday, Volkswagen sent out a gushing report, saying that group deliveries rose 6 percent in April and 8.6 percent January to April. Something smells in Wolfsburg. Let’s take a look.

Audi is on a roll. In April, the four ringed brand outsold BMW on a global basis. Today, Audi CEO Rupert Stadler promised at the annual shareholders meeting back home in bucolic Ingolstadt that Audi may reach its goal of selling 1.5 million cars per year earlier than planned. The reason: Unabated demand in China, the U.S. and Russia.

The contract manufacturer Magna Steyr will assemble “a future luxury entry level compact vehicle” for Nissan’s premium brand Infiniti. This according to a joint statement issued by both companies. Production of the mystery vehicle will start in 2014.

Today, Opel revealed the real name of its Junior. Via Facebook. Everybody, say Hallo to Adam. Give that boy an apple!

After a lot of talk, GM is beginning to create facts at Opel: The production of Opel’s volume model, the Astra, will be moved from Rüsselsheim to Opel/Vauxhall sites in Ellesmere Port and Gliwice, Poland. This according to reports in Germany’s Frankfurter Allgemeine Zeitung, which receives usually reliable information from Opel’s unions.

At the Beijing Auto Show, Volkswagen dropped jaws with a W12 motorized monstrosity of a Bentley SUV and a 600hp off-roadable Lamborghini. While these super SUVs are good for headlines, much slighter specimens will produce volume. Volkswagen plans SUVlets based on the Polo, and is working on pocket SUVs based on VW’s midgetmobile, the Up! If you think Volkswagen’s Tiguan is small, you’ll assume that the target group for the new class of minus-sized SUVs is ants.

BMW turns more and more into the world’s purveyor of engines. If recent talks are successful, BMW motors could power Hyundai cars. This according to a report in Germany’s industry publication Automobil Produktion.

The magazine reports that Chung Eui-Sun, Vice-Chairman of Hyundai Motor Company and only son of und Hyundai CEO Chung Mong-Koo, has been in Munich to start the talks.

This weekend, Audi’s R18 e-tron quattro hits the track at the World Endurance Championship (WEC) in Spa, Belgium. Not enough that the race car is powered by a V6 diesel engine. It also uses a flywheel as energy storage. Why should we care? Audi makes noises that this technology could soon show up in production cars.

Germany defies the European downtrend of car sales. In April, Germans bought 2.9 percent more cars than in April 2011. Europe’s largest car market most likely has cushioned the fall in other EU countries again, which will be evident once ACEA numbers for the EU are published in a week or two.

While other car companies are perfecting the art of the slow on-line strip-tease of their car pictures, over in Germany, GM’s Opel does a slow reveal of a name.