PSA-Opel Marriage Best for Both Companies, Says GM's Barra

It comes across as a movie scene where the departing mother soothes the nerves of two children frightened by their father’s impending remarriage.

In this case, the children are the trembling employees of German General Motors division Opel, and the departing parent is GM CEO Mary Barra. Well, “departing” isn’t accurate, at least not yet. The American automaker is in talks with France’s PSA Group to potentially sell off Opel, as well as its Vauxhall sister division.

Yesterday, Barra spoke to employees at Opel headquarters, hoping to allay fears and quell protests from Opel’s works council and union, as well as the German government. Her words, or what we know of them, relayed the message, “Kids, it’s gonna be okay.”

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Mary Barra Tries to Calm German, British Fears After PSA-Opel Freakout

After yesterday’s shocking news of a potential takeover of GM-owned Opel and Vauxhall by France’s PSA Group, General Motors CEO Mary Barra hopped on a plane to the Fatherland.

Given the sudden uncertainty surrounding a major employer, Opel’s works council, labor union and the German government staged a collective panic attack. Soothing words were needed, stat. Britain, home of Opel’s Vauxhall sister division, would also like to hear a few assurances of its own.

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Possible French Takeover of Opel Ruffles German Feathers

Maybe it’s leftover regional rivalry from generations past, or perhaps Germany just doesn’t want anything to affect its status as Europe’s financial powerhouse. Whatever the deep-seated reason, the residents of Deutschland are none too pleased about a possible French takeover of the Opel brand.

Earlier today, PSA Group, maker of Citroën and Peugeot vehicles, was revealed to be in serious talks to acquire the General Motors-owned automaker (as well as its Vauxhall sister company). Politicians and the head of Opel’s workers union apparently didn’t see this coming.

On the other side of the Maginot Line, the French seem just fine with the idea.

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Fishmonger, Tiny Country Deliver Bad News to Volkswagen

Minus an ongoing criminal probe that has some executives, including the company’s former CEO, sweating bullets, Volkswagen has seen relatively little blowback from the emissions scandal in its home country.

Its emissions-rigged diesel vehicles continue to ply the roadways of the Continent, with nothing like the multi-billion-dollar American buyback scheme in sight. It’s not smooth sailing, however, as some burned customers have decided to come for their own pounds of flesh. This week, a company that knows all about flesh showed up in search of payback.

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Strange Bedfellows: BMW Wants a Cozier Relationship With Daimler to Make Life Easier

According to BMW’s new head of purchasing, Markus Duesmann, the company intends to expand its cooperation with Daimler AG in acquiring automotive components from suppliers.

The competing automakers began their cooperative purchasing in 2008, limiting it to elements most manufacturers typically share already — items like seating frames, radiators, tires, or air conditioning systems. Despite the cost benefits and leverage from their massed buying power, the companies still keep each other at arm’s length. More recently, however, the two have managed to maintain a healthy rivalry while seeking mutually beneficial ventures together.

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Finally, an Automotive Scandal is Compared to Horse Meat Lasagna

Three German judges claim that Volkswagen’s actions leading up to the diesel emissions scandal was akin to putting horse meat in lasagna.

Bloomberg reports that the comparison was made when a court in Hildesheim ordered the car manufacturer to buy back someone’s Skoda Yeti at full sticker price. The ruling was warranted, as VW intentionally committed fraud, the court said.

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Trump Angers the Germans; BMW Won't Pull a Ford With Its Mexican Plant

After being warned against producing vehicles in Mexico, German automakers are not scrambling to re-think their production plans.

In an interview with the German publication Bild, President-elect Trump issued a now-familiar warning to the country’s manufacturers — essentially, any vehicles imported into the U.S. from Mexico will face a 35 percent tax.

The Germans, for the most part, aren’t buying it. Meanwhile, the country’s economy minister saw Trump’s remarks as an opportunity to engage in some not-so-friendly automotive ribbing.

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Germany Finally Gets in on the Diesel Action With Its Own Compensation Lawsuit

A lawsuit has been filed in Germany against Volkswagen in the hopes of forcing the automaker to buy back emission-cheating cars in Europe in the same manner it was ordered to in the United States.

The suit, filed today by a solitary vehicle owner, will become the test case for thousands of other European claimants and aims to put pressure on VW to compensate continental customers for the ongoing emissions scandal.

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Germany Asks for Improbable Ban on Internal Combustion Engines by 2030

The German government has passed a resolution to ban the sale of internal combustion engines in the European Union by 2030.

Receiving bipartisan support in the German Bundesrat, the resolution calls on the EU Commission in Brussels to ensure only zero-emission passenger vehicles be approved for sale within the next fourteen years.

While the act has no direct legislative implications for Europe as a whole, German regulations could still undoubtedly influence and shape future automotive policies in the EU.

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Volkswagen Sets a New German Record (for Investor Lawsuits)

It’s not the podium an automaker wants to find itself on top of.

After marking the first anniversary of its emissions debacle, former “clean diesel” builder Volkswagen finds itself staring down the barrel of $9.15 billion in investor lawsuits, the Wall Street Journal reports.

When it comes to being sued by investors, no German company can match Volkswagen’s performance.

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GM Under Fire in Germany; Company Denies Installing 'Defeat Devices'

Volkswagen must be enjoying watching its rival squirm on the end of the same hook.

German regulators have singled out GM’s Opel division over carbon dioxide emissions from some of its vehicles, but the automaker says it isn’t in the wrong.

Facing accusations that it used a ‘defeat device’ to shut off emissions controls, Opel must now submit information to an investigating committee. During a meeting yesterday, Opel executives admitted that the popular Zafira model has software that shuts down exhaust treatment systems at high speeds and altitudes.

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Is GM Europe About to Be Swallowed by the Dieselgate Maelstrom?

Rumors have swirled for months that Opel would be implicated in the dieselgate scandal. Over the weekend, serious allegations took flight that Opel does in fact use defeat devices in two diesel models.

Opel has been summoned to appear in front of the German Transport Ministry investigative committee this week to answer claims that its cars are capable of skirting emissions laws.

Der Spiegel reported last week the Opel Astra was found to contain software that will deactivate emissions control systems when the outside temperature is either below 20 degrees Celsius (68 degrees Fahrenheit) or above 30 degrees Celsius (86 degrees Fahrenheit). Additionally, it discovered the emissions systems do not work when engine speed exceed 2,400 rpm, the car is moving faster than 145 km/h, or ambient air pressure is less than 915 millibar, which would indicate an elevation of more than 850 meters.

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Hoping for a Jaguar Wagon? Dream On, Says Ian Callum

Jaguar’s design chief just broke the hearts of that tiny, tiny group of enthusiasts who were holding out for a new Jaguar wagon.

Ian Callum threw an ice cold pot of tea onto speculation that the British automaker would offer a wagon version of one of its new sedans, telling a group of auto journos in London that they were done with estate cars, Automotive News Europe has reported.

The reason for this has a lot to do with why Callum and the journalists were in the same room. The event concerned the 2017 Jaguar F-Pace, the automaker’s first crossover SUV.

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Decal Douchebags: Fhrerocious Sticker Adds Ten Very White Horsepower
Volkswagen gets a lot of unflattering press these days, but a faction of the automaker’s fan base seems determined to malign its name even more.A disturbing subculture exists on the fringes of the Volkswagen fanboy community, and it manifests itself in decals and not-so-subtle window stickers that feature Nazi imagery.Most normal, reasonable people would want to avoid associating themselves with a man who can claim responsibility for causing the deaths of about 70 million people, but there’s weirdos out there, and some of them are really keen on their Volkswagens. Frankly, it’s as depressing as the atmosphere inside the Fuhrerbunker, circa early May, 1945.
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Sausage Fight! Decadent Daimler Shareholders Tangle in Bratwurst Brouhaha

Sometimes, stereotypes exist for a reason.

Things got heated yesterday at a Daimler AG shareholders meeting in Germany, where a fight broke out over lengthy, plump sausages, Bloomberg has reported.

This, despite the fact the lucky shareholders were told they’d be receiving the biggest dividend in the company’s history — 3.25 euros ($3.70) per share. You’d think the windfall would have tempered flare-ups, but you’d be wrong.

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  • Lorenzo The unspoken killer is that batteries can't be repaired after a fender-bender and the cars are totaled by insurance companies. Very quickly, insurance premiums will be bigger than the the monthly payment, killing all sales. People will be snapping up all the clunkers Tim Healey can find.
  • Lorenzo Massachusetts - with the start/finish line at the tip of Cape Cod.
  • RHD Welcome to TTAH/K, also known as TTAUC (The truth about used cars). There is a hell of a lot of interesting auto news that does not make it to this website.
  • Jkross22 EV makers are hosed. How much bigger is the EV market right now than it already is? Tesla is holding all the cards... existing customer base, no dealers to contend with, largest EV fleet and the only one with a reliable (although more crowded) charging network when you're on the road. They're also the most agile with pricing. I have no idea what BMW, Audi, H/K and Merc are thinking and their sales reflect that. Tesla isn't for me, but I see the appeal. They are the EV for people who really just want a Tesla, which is most EV customers. Rivian and Polestar and Lucid are all in trouble. They'll likely have to be acquired to survive. They probably know it too.
  • Lorenzo The Renaissance Center was spearheaded by Henry Ford II to revitalize the Detroit waterfront. The round towers were a huge mistake, with inefficient floorplans. The space is largely unusable, and rental agents were having trouble renting it out.GM didn't know that, or do research, when they bought it. They just wanted to steal thunder from Ford by making it their new headquarters. Since they now own it, GM will need to tear down the "silver silos" as un-rentable, and take a financial bath.Somewhere, the ghost of Alfred P. Sloan is weeping.