Main page | September 2007 »

Germans Land on Saturn and Things Shape Up

Saturn is making a comeback, but the cars aren’t really emanating from Detroit, according to the New York Times.

There is a good reason that some of the new Saturns — the no-apologies Aura sedan, the new Vue crossover utility wagon and a crisp Astra compact yet to come — are easily the best-looking, best-driving cars ever to grace a Saturn dealership: they’re German.

Specifically, they’re Opels, courtesy of G.M.’s Deutsche division. Sure, they’re wearing Saturn badges on their metal (no more plastic) lapels, and get a nip here and a tuck there from United States designers and engineers. But the Astra, Aura and Vue are near clones of the respective Opel Astra, Vectra and Antara models sold in Europe.

Posted by Peter C. T. Elsworth  at 9:55 AM to GM | Permalink | Comments 0

Car cameras get candid approval as buyers seek extra views

The video revolution is coming to a car near you, according to USA Today.

Automakers are finding new ways of using small cameras in vehicles in a quest for greater safety and security, including the first 360-degree cams that give drivers a view of blind spots in their surroundings.

The proliferation of uses for automotive video systems reflects their growing popularity. Chrysler finds nearly a third of buyers of its Pacifica family hauler opt for a backup-camera option, which costs $399 and up, spokesman Nick Cappa says.

Posted by Peter C. T. Elsworth  at 9:51 AM to Safety , Technology | Permalink | Comments 0

Elderly Australian drivers could be confined to six-mile radius after child is run over by pensioners - twice

Drivers aged 85 and over will be limited to a six-mile radius of their home under a scheme being studied in Australia, according to that nation's Daily Mail.

The restricted licence is being proposed by the New South Wales Traffic Authority as doctors predict a rise in eyesight problems and dementia.

With older drivers more frequently being blamed for collisions, the rules would also insist that 75-year-olds take an annual medical test. This currently applies at age 80.

For motorists living in the outback, where homes are located long distances from shops, the radius would be extended, with a "home to town" restriction being available to them, rather than a set six miles.

Posted by Peter C. T. Elsworth  at 9:44 AM to Safety | Permalink | Comments 0

Oil dips but holds above $73

LONDON - Oil retreated when the New York market opened on Thursday, handing back some of the previous session's two-percent gain, but analysts said declining crude stocks in top consumer the United States should limit losses, according to Reuters News Agency.

U.S. crude was down 40 cents at $73.11 a barrel by 10:09 a.m. EDT, having jumped $1.78 on Wednesday to its highest settlement in over three weeks.

Posted by Peter C. T. Elsworth  at 9:43 AM to Oil | Permalink | Comments 0

'08 auto show adds 5 Chinese manufacturers

In a bold display of intent to become major players on the global automotive scene, five Chinese vehicle manufacturers will bring cars and trucks to Detroit for display at the 2008 North American International Auto Show in January, according to Detroit Free Press columnist Tom Walsh.
Only two Chinese automakers have previously exhibited at the Detroit show -- Geely Automobile Co. in 2006 and Changfeng Group this year.

Posted by Peter C. T. Elsworth  at 11:37 AM to China | Permalink | Comments 0

Credit crunch may hurt auto sales

DETROIT — August car sales could be down 10% compared with a year ago as the mortgage credit crunch makes homeowners feel less secure and unwilling to sign on for another large monthly payment, according to Edmunds.com and reported by USA Today.
Edmunds.com estimates that sales will be down about 10% compared with last August, even as the automakers continue to pile on incentives to lure customers. Auto sales are particularly weak in regions such as Florida, Nevada and California, where the housing market also is being hard-hit.

Posted by Peter C. T. Elsworth  at 11:30 AM to Sales | Permalink | Comments 0

Automakers go hatchback to the future

The next shape in cars comes close to how most people might like to chisel their own bodies — broad shoulders and a shapely rear end, according to USA Today.

Nissan's Infiniti just unveiled its EX35 luxury crossover that points to the look of things to come in automotive design, a small hatchback that blurs the differences between SUV and sedan.

Revealed at an automobile gathering south of San Francisco, EX35 stands tall and confident from the front like an SUV. But the roofline arcs to a slope over the back seat and cargo area.

Think of it as an SUV without the U. It's sporty. And it's certainly a vehicle. But utilitarian? Nah, not really, not without the ability to carry more.

Posted by Peter C. T. Elsworth  at 11:28 AM to Design | Permalink | Comments 0

Energy Futures Up on Inventory Report

NEW YORK -- Energy futures jumped after the government reported larger-than-expected declines in gasoline and oil inventories and an unexpected decline in refinery activity, according to the Associated Press.

Light, sweet crude for October delivery rose $1 to $72.73 a barrel on the New York Mercantile Exchange, while September gasoline rose 4.01 cents to $2.0555 a gallon on the Nymex.

In London, October Brent crude rose $1.05 to $71.60 a barrel on the ICE futures exchange.

Posted by Peter C. T. Elsworth  at 11:24 AM to Oil | Permalink | Comments 0

DaimlerChrysler's 2Q Profit Fell 14 Pct

FRANKFURT, Germany -- DaimlerChrysler AG said Wednesday that its second-quarter profit fell 14 percent and disclosed plans to spend about $10.2 billion buying back nearly 10 percent of its shares as it moves forward without its Chrysler division, according to the Associated Press.

DaimlerChrysler's profit decline excluding results from Chrysler and its finance arm - which did better in the latest quarter than a year ago - was a steeper 20 percent.

Posted by Peter C. T. Elsworth  at 11:21 AM to Chrysler | Permalink | Comments 0

thecarconneciton.com's trivia quiz

Here is thecarconnection.com's latest car trivia quiz plus answers:

1. In the early 1970s, which Big Three company's dealers sold the DeTomaso Pantera sports car?

2. On what platform was the 1991-1996 Ford Escort based?

3. What road joins Dawson Creek, British Columbia and Fairbanks, Alaska?

4. What did Lara Croft drive in the 2001 movie Tomb Raider ?

5. What brand were the cop cars on the 1960s Andy Griffith Show ?

6. Who sang Paradise by the Dashboard Light ?

7. In 1980, this U.S.-built model introduced full-time, all-wheel-drive to the passenger-car market.

8. Which Chrysler car line was named for a 16th century Spaniard who explored the Mississippi?

9. Which U.S. carmaker advertised its Lifeguard safety design in 1956?

10. This 1969 model had an Eliminator performance-package option.

Posted by Peter C. T. Elsworth  at 9:57 AM to Fun | Permalink | Comments 0

Ford Stays the Course, Wherever It May Lead

DEARBORN — What has changed in the year since Alan R. Mulally left Boeing to be chief executive at Ford?

In a sense, everything and nothing, according to the New York Times' Micheline Maynard.
Since his appointment last September made him the first outsider in recent memory named to run a Detroit auto company, Mr. Mulally has brought discipline to a company known for rivalries and infighting.

An admirer of the development team that created the Taurus sedan, he revived the nameplate, most recently relegated to a rental car. He mortgaged virtually all of Ford’s assets to amass the billions of dollars the company needs for its restructuring, and he has put up for sale Ford’s British luxury nameplates: Jaguar, Land Rover and Aston Martin.

Despite that, Mr. Mulally, who turned 62 this month, has not dispelled concerns about the future of Ford, which Toyota passed this year for second place in the American market.

Posted by Peter C. T. Elsworth  at 9:48 AM to Ford , commentary | Permalink | Comments 0

GM engine may save fuel

General Motors is showing off a new engine technology that could cut fuel consumption by up to 15%, according to the Detroit Free Press.

The savings are the product of an engine-transmission system known as homogeneous charge compression ignition, or HCCI, that marries the high fuel economy of a diesel engine with the relatively low emissions of gasoline engines.

With the potential to deliver better fuel efficiency than even some of its gas-electric hybrids, GM calls HCCI "the most awaited advanced combustion technology of the past 30 years." Mercedes-Benz soon will show its own version of the technology, though neither automaker has said when it will make them in production vehicles.

Posted by Peter C. T. Elsworth  at 9:44 AM to Fuel economy , GM , Technology | Permalink | Comments 1

Same parts, different auto brands

There's a little bit of Toyota inside the Chevrolet HHR, according to the Detroit Free Press.

The HHR's seat frame was designed by the General Motors Corp. rival and produced by one of Toyota Motor Corp.'s suppliers.

This kind of sharing takes to a new level a trend the auto industry has been moving toward for decades. More recently, the Detroit automakers have been picking up speed with it.

Posted by Peter C. T. Elsworth  at 9:41 AM to Auto industry , GM , Technology , Toyota | Permalink | Comments 0

Verve points to future for Ford

Ford gave the first hint of its future small-car design vision in the new Ford Verve concept, photos of which were released Thursday, according to the Detroit Free Press.

The bullet-shape concept is bold, sporty and in a design style that Ford calls kinetic, for the visual effect that makes the vehicle look like it's in motion even when standing still.

The Verve, which will debut next month at the 2007 Frankfurt Motor Show, is the first of three subcompact concept vehicles that will debut in the key regions of Europe, Asia and North America.

Posted by Peter C. T. Elsworth  at 9:37 AM to Ford , Fuel economy | Permalink | Comments 0

Soybean price jump fueled by biodiesel

The alternative-fuel revolution is driving prices of another energy-producing crop to near-record levels, according to USA Today.

Soybean prices are expected to hit their second-highest average mark ever this year — and highest since 1983, says the Agriculture Department. Soybeans are used to make biodiesel fuel.

Production of biodiesel, a renewable alternative to diesel fuel, has increased more than 1,200% in the past three years, showing how the nation's truckers are being drawn into the alternative-fuels frenzy along with the auto industry.

Posted by Peter C. T. Elsworth  at 9:30 AM to Alternative fuels , Environment | Permalink | Comments 0

Oil drifts below $70, US slowdown fears weigh

LONDON - Oil hovered below $70 a barrel on Friday, overshadowed by worries about a possible U.S. slowdown and after Mexico's Gulf oil rigs suffered only minor damage from Hurricane Dean, according to Reuters News Agency.

U.S. light crude for October delivery was 9 cents lower at $69.74 a barrel by 0901 EDT. U.S. crude had gained 57 cents on Thursday, ending a three-day losing streak that had knocked prices to their lowest since late June.

Posted by Peter C. T. Elsworth  at 9:27 AM to Oil | Permalink | Comments 0

2 G.M. Brands, a Similar Car, but Very Different Results

DETROIT — When General Motors first showed off the Pontiac Solstice, the low-slung, head-turning roadster, it seemed the perfect antidote for the brand, whose flagship sedan had become known as the “Bland Am," according to the New York Times.
But the car, while a hit, did not generate much more interest in the Pontiac brand over all, and as a result even the Solstice itself appears to be hurting, just two years into its lifespan.

Meanwhile, demand for the Solstice’s fraternal twin, the costlier and more angular Saturn Sky, has shown no signs of subsiding. G.M. has about one month’s worth of the Sky available, and many buyers still have to wait several weeks or months for their Sky to arrive.

Posted by Peter C. T. Elsworth  at 11:18 AM to GM , Sales | Permalink | Comments 0

Mulally upbeat despite setbacks

DETROIT - Ford missed a key target for sales of new cars and trucks in the United States last month, according to the automaker's latest internal report card, which was released to employees Wednesday and obtained by the Detroit Free Press.

Cost savings are on track despite challenges, the report says, and employee optimism continues to grow, "but sales in July did not meet expectations."

Still, Ford Chief Executive Alan Mulally remains optimistic about Ford's future.

At a dinner with journalists Wednesday night -- set, in part, to commemorate Mulally's first year as the company's CEO -- Mulally said his vision for a new Ford, which is more centered than ever on the namesake blue-oval brand worldwide, is taking root.

Posted by Peter C. T. Elsworth  at 11:08 AM to Ford | Permalink | Comments 0

Chrysler to cut body weight by 13%

DETROIT - Using advances in high-strength steels and new design techniques, Chrysler LLC expects to improve fuel efficiency by reducing vehicle body structure weight by 13% over the next three to six years, a company executive said Wednesday, according to the Detroit Free Press.

The reduced weight -- 120 pounds from the vehicle's skeleton -- should improve fuel efficiency by 1%, said Bill Grabowski, Chrysler's director of body core engineering.

The method also will improve vehicle safety by strengthening its structure, the company said.

The move comes as Chrysler takes other steps to improve fuel efficiency, such as investing $3 billion in more efficient engines, axles and transmissions.

Posted by Peter C. T. Elsworth  at 11:02 AM to Chrysler | Permalink | Comments 0

High-tech lights could save gas

In a big garage-size laboratory in Ford’s sprawling research complex in Dearborn, Mich., Mahendra Dassanayake stands beneath a planetarium-like dome that can replicate the sun.

It can surround new cars and trucks with an eye-squinting 5,000 watts of light. Or mimic the fading light of dusk. Or make the room turn black, like a backwoods street where there are no city lights or ambient light from the stars or moon.

The research here is about improving fuel economy with more efficient lights, such as those that use light-emitting diode (LED) bulbs, according to the Detoit Free Press.

About 5% of fuel consumption goes directly to power a vehicle’s interior and exterior lights, said Dassanayake, a senior staff technology specialist at Ford. So, more efficient lighting systems, which offer good luminosity with less power, could ultimately save consumers at the gas pump.

Posted by Peter C. T. Elsworth  at 10:51 AM to Ford , Technology | Permalink | Comments 0

GM Cuts Production at 6 Plants

DETROIT -- General Motors said Wednesday it has cut production at six plants that make large sport utility vehicles and pickups, citing fuel prices and competition in the market, according to the Associated Press.

The largest U.S. automaker did not specify how deep the production cuts were.

But GM spokesman Tom Wickham said that starting this past Monday, the company eliminated previously scheduled overtime production at plants in Arlington, Texas; Janesville, Wis.; Fort Wayne, Ind.; Flint, Mich.; Silao, Mexico; and Oshawa, Ontario.

Posted by Peter C. T. Elsworth  at 10:44 AM to GM | Permalink | Comments 0

Oil Prices Climb to $69.68 a Barrel

Oil prices rose Thursday after hitting eight-week lows in the previous session on news of increased U.S. stockpiles, according to the Associated Press.

The U.S. Energy Department reported that crude inventories rose 1.9 million barrels to 337.1 million barrels last week, sending light sweet crude down 31 cents to $69.26 a barrel.

Posted by Peter C. T. Elsworth  at 9:59 AM to Oil | Permalink | Comments 0

Backseat Driver: Blood and money equals cheap fuel

Recent studies have found that we Americans prefer big vehicles and - manna to the auto manufacturers - small cars are not as safe as big cars.

Duh.

Of course we prefer big vehicles. Gas, after all, is still very cheap in the U.S. Yes, I know it is now hovering around the $3 a gallon mark, but that is less than half the price that it is in Europe. And when you are paying $8 a gallon, you can be sure that you are not going to drive a gas-guzzling SUV.

Why is gas so expensive in Europe? Because the governments tax the heck out of it. Here such a notion is anathema to a large portion of the body politic - in addition to the auto, oil, steel, rubber and plastics industries - and for a very good reason.

Unlike the Northeast and other urban centers - where small cars do make sense - most Americans live surrounded by vast expanses of space unimaginable in Europe. Small, economic cars don't make a lot of sense in Texas, for example, where the Chevy Suburban was always referred to as the state vehicle when I lived down there in the late 1980s.

And many Americans have rural roots they revere and for them a pickup is the only way to go. Many may use their pickups mostly for driving to and from work in the nearest city, but that is beside the point. The vehicles serve an emotional role, as indeed all vehicles do.

So forget about raising taxes on fuel. It is not going to happen and even if it did it would still be a nominal amount compared to European levels.

And so we will continue to have the best of both worlds, being able to afford to run big cars and SUVs and pickup trucks and, as an added bonus, having bought them, be comforted that we are safer in them.

Only two things cast a shadow on this self-indulgent picture: If you think the price we are paying in the Mideast - the lives of our military personnel, the maiming of thousands of others, the same of countless more Iraqis, the billions of dollars to equip our forces and run the war in Iraq and Afghanistan, the billions of dollars in aid we grant to Egypt, Israel, Pakistan and others to keep the peace - if you think all that blood and money is ALL about George W. Bush's war on terror and has NOTHING to do with the supply/price of crude oil and the price of gasoline you pay at the pump, then I would like to know the name of your drug dealer because you are obviously getting good stuff.

Personally, I think all that blood and money is a pretty high tax to pay for our cheap gasoline.

And the other shadow is the nebulous business of global warming which, while blindingly obvious to a simpleton like me, remains a debatable propostion in some quarters of our petro-driven administration.

- Peter C.T. Elsworth

Posted by Peter C. T. Elsworth  at 11:38 AM to commentary | Permalink | Comments 0

Clean or Efficient? An Engine Goes for ‘Both of the Above’

FROM the outside, the dark blue Saturn Aura accelerating to a steady 50 miles an hour on the high-bank oval here at General Motors’ proving grounds looked altogether unremarkable, according to the New York Times.

From the driving position it’s another story. A laptop computer placed between me and a G.M. engineer, Jun Mo Kang, displays a graph that plots the car’s changing engine speed against the load on the engine, just colorful enough to draw my attention away from future cars and trucks in full disguises zipping by in the faster lanes of the track.

My time behind the wheel last month was the first test drive G.M. has given to a journalist of its prototype homogeneous-charge compression-ignition engine. An H.C.C.I. engine runs on a combustion process that researchers say holds the potential for significant gains in overall engine efficiency. G.M is one of several automakers developing H.C.C.I. technology.

Posted by Peter C. T. Elsworth  at 11:08 AM to Fuel economy , GM , Technology | Permalink | Comments 0

A New Chrysler and a New Marketer

AUBURN HILLS, Mich. — From the executive suite to showroom lots, Chrysler L.L.C. is wasting no time in trying to persuade customers that it has come out from under the wing of its former German owners, according to the New York Times.

On Wednesday, Chrysler said it had hired Deborah Wahl Meyer, vice president of marketing at Lexus, the luxury division of Toyota, as its new vice president and chief marketing officer. She will start Aug. 28.

Her appointment came just 10 days after Chrysler’s new owners, Cerberus Capital Management, hired Robert L. Nardelli, the former chief executive at Home Depot, to run the auto company.

Posted by Peter C. T. Elsworth  at 11:05 AM to Chrysler | Permalink | Comments 0

Toyota plans new small car for India

NEW DELHI — Toyota plans to build a new small car and introduce it in India within two years, the company chairman said Wednesday, according to the Detroit Free Press.

“We are looking at several markets, but the first production will be in India,” Fujio Cho told reporters on the sidelines of a meeting of Indian and Japanese business executives. Cho, however, said the company was yet to finalize the type of the small car it plans to make.

Toyota Motor Corp. currently sells three models — Corolla, Camry and Innova — in India’s expensive premium segment.

Posted by Peter C. T. Elsworth  at 11:03 AM to Toyota | Permalink | Comments 0

GM focusing resources on growth markets

Explosive growth in General Motor's Latin America, Africa and Middle East division is driving the automaker to dedicate more spending and responsibility to those regions, said the division's group vice president Tuesday, according to the Detroit Free Press.

"These are growing markets and we must take advantage of the opportunity that exists," said Maureen Kempston Darkes during her visit to Detroit. "Critical for our success is to stretch the manufacturing capacity."

Posted by Peter C. T. Elsworth  at 11:02 AM to GM | Permalink | Comments 0

Suit alleges oil giants fixed prices for 23,000 gas station owners

SAN FRANCISCO — Nearly two dozen gas station owners in California sued Shell Oil, Chevron and Saudi Refining, on Tuesday, claiming the companies conspired to fix prices for 23,000 franchise owners nationwide, according to the Associated Press and reported by USA Today.

The case filed in U.S. District Court in San Francisco seeks class-action status for the plaintiffs. It is similar to another lawsuit filed in 2004 by other California gas station owners that was thrown out by the U.S. Supreme Court last year. The new group of plaintiffs hopes the court will consider a slightly different argument.

Like the previous case, the plaintiffs in this case say chairmen of the three oil companies met privately nearly every month starting in March 1996 for the "purpose of forming and organizing a combination."

The lawsuit alleges executives destroyed documents from the meetings, and a defunct joint venture violated U.S. antitrust laws and caused artificially high wholesale gas prices in nearly every state from 1999 to 2001.

Posted by Peter C. T. Elsworth  at 10:58 AM to Consumer rights , Gas prices , Oil | Permalink | Comments 0

Nissan to put lead-foot gauge on all models

Nissan plans to equip all of its cars and trucks with a gauge to tell drivers when they are being gas-guzzling lead foots, according to USA Today.

The "fuel-efficiency" meter, as the gauge is called, shows up already as a horizontal bar in the instrument cluster of the 2007 Nissan Altima and the 2008 Titan pickup, Armada SUV, Infiniti G35 car and QX56 SUV.

When coasting down a hill, the meter is long and orange, meaning little fuel is being used. When the pedal is to the metal, the line shortens dramatically.

Posted by Peter C. T. Elsworth  at 10:56 AM to Environment , Nissan , Technology | Permalink | Comments 0

First of Chrysler's next-generation minivans rolls off line

WINDSOR, Ontario — The first of Chrysler's next-generation minivans rolled off an assembly line Tuesday as the company celebrated the launch of a product it hopes will help return it to profitability, according to USA Today.

Chrysler launched the new 2008 vans, which feature a wider look and a second-row seat that swivels so passengers can sit on two sides of a table, after investing $511 million in the Windsor Assembly Plant.

Posted by Peter C. T. Elsworth  at 10:53 AM to Chrysler | Permalink | Comments 0

Oil Prices Rebound As Dean Does Damage

Crude oil prices rebounded Wednesday, approaching $70 a barrel as Hurricane Dean threatened to regain strength and possibly further affect oil installations in Mexico, according to the Associated Press.

While the storm was downgraded to a Category 1 storm Tuesday, it was closing in on the Mexican mainland Wednesday, battering evacuated oil platforms on the Bay of Campeche and threatening to regain some of the force it unleashed on the Yucatan Peninsula.

Posted by Peter C. T. Elsworth  at 10:09 AM to Oil | Permalink | Comments 0

Backseat Driver: Blood and money equals cheap fuel

Recent studies have found that we Americans prefer big vehicles and - manna to the auto manufacturers - small cars are not as safe as big cars.

Duh.

Of course we prefer big vehicles. Gas, after all, is still very cheap in the U.S. Yes, I know it is now hovering around the $3 a gallon mark, but that is less than half the price that it is in Europe. And when you are paying $8 a gallon, you can be sure that you are not going to drive a gas-guzzling SUV.

Why is gas so expensive in Europe? Because the governments tax the heck out of it. Here such a notion is anathema to a large portion of the body politic - in addition to the auto, oil, steel, rubber and plastics industries - and for a very good reason.

Unlike the Northeast and other urban centers - where small cars do make sense - most Americans live surrounded by vast expanses of space unimaginable in Europe. Small, economic cars don't make a lot of sense in Texas, for example, where the Chevy Suburban was always referred to as the state vehicle when I lived down there in the late 1980s.

And many Americans have rural roots they revere and for them a pickup is the only way to go. Many may use their pickups mostly for driving to and from work in the nearest city, but that is beside the point. The vehicles serve an emotional role, as indeed all vehicles do.

So forget about raising taxes on fuel. It is not going to happen and even if it did it would still be a nominal amount compared to European levels.

And so we will continue to have the best of both worlds, being able to afford to run big cars and SUVs and pickup trucks and, as an added bonus, having bought them, be comforted that we are safer in them.

Only two things cast a shadow on this self-indulgent picture: If you think the price we are paying in the Mideast - the lives of our military personnel, the maiming of thousands of others, the same of countless more Iraqis, the billions of dollars to equip our forces and run the war in Iraq and Afghanistan, the billions of dollars in aid we grant to Egypt, Israel, Pakistan and others to keep the peace - if you think all that blood and money is ALL about George W. Bush's war on terror and has NOTHING to do with the supply/price of crude oil and the price of gasoline you pay at the pump, then I would like to know the name of your drug dealer because you are obviously getting good stuff.

Personally, I think all that blood and money is a pretty high tax to pay for our cheap gasoline.

And the other shadow is the nebulous business of global warming which, while blindingly obvious to a simpleton like me, remains a debatable propostion in some quarters of our petro-driven administration.

- Peter C.T. Elsworth

Posted by Peter C. T. Elsworth  at 12:37 PM to Gas prices , Safety , commentary | Permalink | Comments 0

Fuel cell Ford Fusion tops 200 m.p.h.

Last February, a group of Ford engineers set out to prove that an electric car powered by hydrogen could top 200 m.p.h. Last week, those engineers proved it, according to the Detroit Free Press.

The Ford Fusion Hydrogen 999 fuel cell car hit 207.297 m.p.h. at the Bonneville Salt Flats in Utah on Thursday and set a world record in the process. It is the world's first and only production-based fuel cell racecar.

Posted by Peter C. T. Elsworth  at 12:10 PM to Alternative fuels , Design , Ford , Technology | Permalink | Comments 0

Pay $10,000 for driving drunk, agency warns

Federal traffic safety officials kicked off their annual push against drunken drivers Monday, calling on states to toughen penalities and warning offenders that an offense could cost them $10,000 on average in fines, court costs and lost wages, according to the Detroit Free Press.

The National Highway Traffic Safety Administration will bolster the effort with $11 million in national advertising.

Posted by Peter C. T. Elsworth  at 12:07 PM to Safety | Permalink | Comments 0

Flooded cars go to market with little to stop them

The Chevrolet Cavalier that Erik Leiken discovered on the Internet lacked curb appeal. Though only 5 years old, the car, with patches of primer paint, appeared to have had a hard existence.

Still, the odometer showed only 70,000 miles. And the car was a private-party bargain at $2,400, far below what he figured a dealer would charge.

But by the time the Chevy broke down a second time in San Diego freeway traffic, Leiken concluded that he had bought a clunker damaged in Hurricane Katrina, according to USA Today.
A Carfax vehicle-history report proved the car was in Louisiana when the hurricane struck.

Posted by Peter C. T. Elsworth  at 12:00 PM to Consumer rights | Permalink | Comments 0

People buy small cars even though they can be deadly

Americans are buying more small cars to cut fuel costs, and that might kill them, according to studies reported in USA Today.

As a group, occupants of small cars are more likely to die in crashes than those in bigger, heavier vehicles are, according to data from the government, the insurance industry and the National Academy of Sciences.

The newest small vehicles, of course, meet today's strict safety standards and can be laden with the latest safety hardware, such as stability control and side air bags. They are safer than ever. And differing designs mean some small cars are safer than average. But even the safest are governed by the laws of physics, which rule in favor of bigger, heavier vehicles, even in single-vehicle crashes.

Posted by Peter C. T. Elsworth  at 11:46 AM to Safety | Permalink | Comments 0

Oil Drops on Stock Market Worries

Benchmark oil prices slipped Tuesday as traders shifted focus from the threat of Hurricane Dean on U.S. energy facilities in the Gulf of Mexico to global stock markets, according to the Associated Press.

Hurricane Dean strengthened to a Category 5 storm Monday night as its rains and winds slammed the coasts of Mexico and Belize. A few companies evacuated some rigs and suspended production, but it didn't appear that the storm would cause much damage to operations in the United States.

As supply worries faded, concerns about the battered stock market's drag on global demand came to the forefront.

Posted by Peter C. T. Elsworth  at 11:39 AM to Oil | Permalink | Comments 0

Gas prices down for fifth week in a row

According to AAA Southern New England, we'll see cheaper prices at the pump for the fifth straight week, according to projo.com

The company's survey shows prices for regular, unleaded gasoline averaging $2.769 per gallon at the self-service pump. That's down five cents from last week and 19 cents from last month.

Posted by Peter C. T. Elsworth  at 12:12 PM to Gas prices | Permalink | Comments 0

Car and Driver ranks safest new vehicles under $25,000

The 2008 Saturn Astra and the 2008 Dodge Charger are among the Top 10 Safe New Vehicles priced at less than $25,000, according to the latest rankings conducted by caranddriver.com and reported in the Detroit Free Press.

All the vehicles that made the list met a list of criteria that included being equipped with stability control and a minimum of six airbags.

Posted by Peter C. T. Elsworth  at 11:47 AM to Safety | Permalink | Comments 0

Sold: ’84 Model. Runs Great.

Gooding & Co. sold an 1884 De Dion, Bouton & Trépardoux of France for $3.52 million, way up from the $1.5 million the auction house has estimated for the sale.

Tim Moore, who lives near Cambridge, England, was absent, saying he could not bear to be present when his beloved 123-year-old car is sold.

Last February in Paris, Christie’s sold a nonrunning 1890 De Dion for $929,773.

See a weekend New York Times story about the history of this fabulous car.

Posted by Peter C. T. Elsworth  at 11:11 AM to Collecting | Permalink | Comments 0

Gooding has record $60 million from 2007 Pebble Beach Auction

Gooding & Co. says its Saturday and Sunday's evening auctions following the Pebble
Beach Concours d'Elegance garnered more than $60 million in sales, according to PR Newswire.

The top sale was a 1931 Blower Bentley from the E. Ann Klein Estate which sold for $4.51 million. In the second-highest sale of the weekend, a 1959 Ferrari 250 GT
LWB California Spyder sold for $4,455,000.

Posted by Peter C. T. Elsworth  at 10:54 AM to Sales | Permalink | Comments 0

Oil slips as Dean seen sparing refiners

Oil fell more than $1 today after forecasts projected Hurricane Dean would skirt to the south of the U.S. Gulf of Mexico that is home to half of U.S. refining capacity and pumps a third of its oil, according to Reuters News Agency.

U.S. crude was down $1.06 at $70.92 a barrel by 9:44 a.m. EDT, erasing Friday's rally when the U.S. Federal Reserve cut its discount rate to restore order to financial markets and as Dean menaced

Posted by Peter C. T. Elsworth  at 10:21 AM to Oil | Permalink | Comments 0

Oil, Gas Up on Hurricane Worries

Energy futures rose Friday, rebounding from a big drop a day earlier as some new forecasts said Hurricane Dean will turn into the central Gulf of Mexico and threaten oil and gas installations, according to the Associated Press.

The Federal Reserve's interest rate cut and a fire at a big Chevron Corp. refinery in Mississippi also supported energy prices, but storm impact worries were the big news of the day for energy investors, analysts said.

Posted by Peter C. T. Elsworth  at 3:46 PM to Oil | Permalink | Comments 0

Latest crash tests a blow to the side for BMW

BMW may have a longstanding (and well-deserved) reputation for safety, but the results of the latest round of IIHS crash testing may cloud that perception a bit in the U.S., at least for safety-conscious shoppers, according to thecarconnection.com

In a batch of six sedans recently tested, the 2008 BMW 5-Series sedan was rated 'Marginal' - the next-to-lowest possible score - in the agency's side-impact tests despite having standard head and torso side airbags.

In the side test, a barrier - meant to simulate the bumper of an SUV or pickup - bashes into the side of the car at 31 miles per hour.

On the other hand, Volvo again took the top spot in safety; with the S80's 'Good' ratings and low overall chance of serious injury in this test, combined with its 'Good' ratings in front and rear crash protection, it earns the organization's 'Top Safety Pick' label.

Posted by Peter C. T. Elsworth  at 10:16 AM to Safety | Permalink | Comments 0

Car Trivia Quiz

Here is thecarconnection.com's latest auto trivia quiz.

1. What average speed is required to lap the 2.5 mile Indy 500 track in 40 seconds?

2. Which NASCAR track has 29-acre Lake Lloyd in its infield?

3. Which tire brand was on all Indy 500-winning cars from 1920 to 1966?

4. What car did James Bond drive in For Your Eyes Only and The Spy Who Loved Me?

5. This term may apply to pizza and certain automotive wheels.

6. Some cars have a special left-foot resting place. What is it called?

7. Which 1961-1963 General Motors model had an unusual flexible driveshaft?

8. In 1999, the Great Race cross-country event terminated in Anaheim, Calif . Where did it commence?

9. What car does Bob Seger mention in his song Night Moves?

10. Where is the Automotive Hall of Fame located?

Posted by Peter C. T. Elsworth  at 10:12 AM to Fun | Permalink | Comments 0

Porsche Cayman Goes All-Black

Buy a car and get a briefcase, watch, pocket knife, sunglasses, pen and keyring for free. That's the deal with the launch of the Porsche Design Edition 1 of the Cayman S, according to thecarconnection.com.

Exactly 777 of the two-seaters will be built by the German firm. The car has been developed in conjunction with Porsche Design Studio, created by Ferdinand Alexander Porsche 35 years ago.

The Design Edition 1 is only available finished in black. Inside there's leather and Alcantara upholstery, centre console, fascia and door trims, all finished in black. The Porsche badge is embossed on the seat head rests.

It's now a top international industrial style firm working on luxury items and consumer goods. And because of that each car comes with the briefcase of unusual extras.

Posted by Peter C. T. Elsworth  at 10:05 AM to Porsche | Permalink | Comments 0

GM says new Malibu could be answer to Camry

With the newly redesigned Chevrolet Malibu, Vice Chairman Bob Lutz says General Motors finally has the high-volume midsize sedan that can win buyers away from other models -- even the Toyota Camry, according to the Detroit Free Press.

Lutz characterizes the new Malibu's ride and handling as "silent and silky" and for somewhere in the high-teens to low-$20,000 range, it drives like something that costs $35,000 to $40,000.

The newly redesigned Chevrolet Malibu is arguably General Motors Corp.'s most important new car launch this year, as the automaker defends its title as the world's largest against fast-growing Japanese rival Toyota Motor Corp.

GM allowed journalists the early peek at its latest sedan on the condition they not write about their driving impressions until Nov. 2, when the car is expected to hit showrooms.

Chevrolet's director of car marketing Cheryl Catton confirmed this week that the automaker will spend at least $100 million to promote the Malibu against the Camry.

Posted by Peter C. T. Elsworth  at 9:55 AM to GM | Permalink | Comments 0

Chrysler's boss shows his metal at car rally

Bob Nardelli, chairman and CEO of the new Chrysler, made his first public appearance yesterday since taking charge, according to the Detroit Free Press.

The former GE executive and Home Depot chief drove his black-and-silver Prowler onto the company's museum parking lot in Auburn Hills, a little self-conscious that his is a simple stock version of the eye-catching coupe. There he rallied with fellow Prowler owners.

Posted by Peter C. T. Elsworth  at 9:53 AM to Chrysler | Permalink | Comments 0

Oil Prices Climb After Overnight Slide

Oil prices rose today after an overnight slide, signaling diminishing concerns about a possible U.S. economic downturn and declines in world stock markets, according to the Associated Press.

Yesterday, the Nymex crude contract fell $2.33 to settle at $71 a barrel as investors turned their attention to the cooling U.S. economy and falling stock markets. In the U.S., the stock market tumbled in intraday trading as concerns about economic conditions were exacerbated by more bad news from the mortgage sector, and by dismal reports on housing construction and employment.

Posted by Peter C. T. Elsworth  at 9:37 AM to Oil | Permalink | Comments 0

Hybrid Camaro is a dream cruiser, for now

It could be the future of cruising, a muscle car for the 21st Century: A Chevrolet Camaro that could approach 40 m.p.g. on the highway and 30 m.p.g. in the city, according to the Detroit Free Press's Mark Phelan.

It might glide silently through future Woodward Dream Cruises, running on battery power up to 25 m.p.h. but with a beefy V8 engine poised to leap to life for a 0-60 sprint.

This Camaro, wedding Chevrolet's legendary small-block V8 engine to General Motors' advanced new hybrid system, isn't on the drawing board yet, but it is feasible, a knowledgeable GM source told the Free Press. GM has the parts on the shelf to get this dream car cruising. It would combine production-ready hybrid technology that hits the road this fall in some GM vehicles with the celebrated new Camaro that is to go on sale in early 2009.

"The Camaro is Chevrolet and GM's halo car," said Joe Phillippi, principal of AutoTrends Consulting, in Short Hills, N.J. "It projects an image that reflects on the whole corporation. To offer all the performance aspects of a classic Camaro and still be environmentally friendly ... that's a real plus from an image point of view.

Posted by Peter C. T. Elsworth  at 11:00 AM to Alternative fuels , Environment , Fuel economy , GM , commentary | Permalink | Comments 0

Oil Prices Fall in European Trading

Oil prices fell today, reacting to a drop in global stock markets and expectations that a tropical storm would miss key oil and gas infrastructure in the Gulf of Mexico, according to the Associated Press.

The storm concerns overshadowed Wednesday's U.S. weekly government report that showed larger-than-expected declines in oil and gasoline inventories last week, but an increase in refinery activity that was in line with expectations. The decline in crude inventories supported higher oil prices, though the rest of the report was viewed as largely neutral, analysts said.

Light, sweet crude for September delivery lost $1.38 to $71.95 a barrel in electronic trading on the New York Mercantile Exchange by midday in Europe. The contract had risen 95 cents to settle at $73.33 a barrel Wednesday.

Posted by Peter C. T. Elsworth  at 10:55 AM to Crude oil market | Permalink | Comments 0

Stability Control Has Ways to Go

The U.S. federal government has mandated electronic stability control for the 2012 model year.

But while it's on the way as standard equipment, its installation is spotty - and often, as it is around the world - stability control is prevalent in big expensive cars, and less so in smaller compact cars where it could make a big difference in safety, according to thecarconnection.com.

Posted by Peter C. T. Elsworth  at 1:07 PM to Safety | Permalink | Comments 0

Museums Get Lively With Sleepovers and Films

Auto museums face the same challenge as other collections of historical artifacts: how to keep people coming back for more, according to the New York Times.

New exhibits, rotating displays and traveling shows may help, but a basic problem — convincing the public they have more to offer than rows of motionless cars that appeal mostly to boys of various ages — remains.

The most visible strategy to change that perception involves holding club events, including meets of national groups dedicated to a single car brand, which draw families to the museums and their grounds. But museums know they have to do more than preach to the gearhead crowd.

Posted by Peter C. T. Elsworth  at 1:01 PM to Auto museums | Permalink | Comments 0

Energy Futures Rise on Storm Fears

Energy futures surged this morning on concerns that Tropical Storm Dean will turn into a hurricane and strike oil and gas installations in the Gulf of Mexico, according to the Associated Press.
Prices got a late morning boost when a second tropical depression, located in the Gulf south of Texas, strengthened and was upgraded to Tropical Storm Erin.

The storms overshadowed a weekly inventory report from the Energy Department's Energy Information Administration that usually sets the tone for several days of trading. Traders worry that Dean, bearing down on the Caribbean from the central Atlantic, will damage oil and gas infrastructure in the Gulf, cutting supplies. While Erin was also supporting prices, it is not expected to have much impact on production.

Posted by Peter C. T. Elsworth  at 12:55 PM to Oil | Permalink | Comments 0

Italian Pride Is Revived in a Tiny Fiat

Following in the tire tracks of the latter-day Beetle from Volkswagen and the Mini Cooper from BMW, Fiat this month began selling an updated version of the classic 500 of 1957, according to the New York Times.

At 11 feet 6 inches in length, it is about 4 inches shorter than the Ka, Ford’s tiny runabout, but 18 inches longer than the original 500.

More than a year before the car arrived, Fiat started marketing it as a return to everybody’s childhood. In Italy, advertisements appealed to patriotism, with slogans like, “The new Fiat belongs to all of us.”

In less than a month, Fiat has sold more than 57,000 of the cars.

Posted by Peter C. T. Elsworth  at 10:31 AM to Design | Permalink | Comments 0

Ford Fusion hydrogen fuel cell car hits 161 m.p.h.

Two years ago, a group of Ohio State University students asked Ford Motor Co. if it was interested in building a hydrogen-fueled race car. On Sunday, the result of that proposal made history, according to the Detroit Free Press.

The Ford Fusion 999, a hydrogen- and electric-powered car designed to whip across the salty white desert during Bonneville Speed Week, zoomed across the infinite horizon at 161 m.p.h. It was the first time a hydrogen-powered car had ever competed at the salt flats, where all manner of modified, souped-up vehicles come every August to break land-speed records.

Posted by Peter C. T. Elsworth  at 10:21 AM to Alternative fuels , Environment , Ford , Racing , Technology | Permalink | Comments 0

Chrysler sets Wednesday for a rebirth celebration

Chrysler, Dodge and Jeep dealerships across the country are planning to celebrate the automaker's ownership change tomorrow night, according to the Detroit Free Press.
Private equity firm Cerberus Capital Management took majority ownership of Chrysler LLC on Aug. 3 and two days later put in a new CEO, Bob Nardelli, the former head of Home Depot.

Posted by Peter C. T. Elsworth  at 10:18 AM to Chrysler | Permalink | Comments 0

Exploding frogs tout tire safety in new NHTSA ad

A new television ad from the National Highway Transportation Safety Administration featuring frogs apparently exploding on a hot road is aimed at teaching motorists about tire safety, according to the Detroit Free Press.

The spot, released Monday by NHTSA, features parody of a nature TV show with a narrator describing the “perilous journey” that frogs face crossing the road — especially in the summer heat. The frogs then appear to explode.

Posted by Peter C. T. Elsworth  at 10:15 AM to Safety | Permalink | Comments 0

Low gas prices could mean more vacation time; some hybrid credits are about to expire

If you're considering an end-of-summer vacation, go ahead and unfurl your road maps.
The average price of a gallon of regular gas this week is $2.77, down nearly 23 cents from this time last summer, according to the Energy Information Administration and reported by USA Today columnist Sandra Block.

Oil analysts warn, however, that a major hurricane or refinery breakdown could send gas prices sharply higher. In addition, the recent bridge collapse in Minneapolis has prompted some lawmakers to propose raising the federal gas tax to pay for bridge repairs. (President Bush said he opposes the idea.)

And if you're counting on the tax credit to reduce the cost of buying a hybrid, pay attention to the calendar. The tax credit begins to phase out after an automaker sells 60,000 vehicles.

Once a manufacturer's sales hit the limit, buyers are eligible for the full credit until the end of the quarter in which the threshold was reached and through the next quarter. Then they're eligible for half the credit for six months. For the next six months, the credit will shrink to 25% of the full amount, then it will disappear.

Posted by Peter C. T. Elsworth  at 10:01 AM to Alternative fuels , Gas prices | Permalink | Comments 0

Report: Ex-Ford execs bidding for Jaguar, Land Rover

Another former Ford executive has joined the bidding for Ford's Jaguar and Land Rover brands, a person familiar with the negotiations told the Associated Press on Friday, according to USA Today.

Nick Scheele has joined Ripplewood Holdings in its bid for the luxury brands that cash-strapped Ford is trying to sell, according to the person, who requested anonymity because the bidding is ongoing.

Posted by Peter C. T. Elsworth  at 10:00 AM to Ford | Permalink | Comments 0

GM: Deal could put it in lead in electric car race

General Motors has signed an agreement with a battery maker that could propel it ahead of Toyota in the race to bring plug-in hybrid and electric cars to market, a top company official said Thursday, according to USA Today.

A123 Systems, based in Watertown, Mass., already produces thousands of nanophosphate lithium-ion batteries for use in cordless power tools, and it plans to apply the technology to automobiles.

Posted by Peter C. T. Elsworth  at 9:58 AM to Alternative fuels , Design , Environment , GM , Technology | Permalink | Comments 1

Buick jumps atop dependability chart

In a major coup, Buick landed a spot at the top of the influential J.D. Power Vehicle Dependability Study, tying with Lexus, as reported by USA Today.

It was the first time in more than a dozen years that any brand other than Lexus had been at the top of the study.

General Motors, (GM) which owns Buick, has been targeting quality improvements as a way to win back customers who fled domestic car brands for their import rivals. GM's July market share was 23.9% in the USA, its most important market, down from 27% just a year ago. That makes winning new customers a more critical goal than ever before.

Posted by Peter C. T. Elsworth  at 9:55 AM to Auto industry , GM | Permalink | Comments 0

Car Buyers Give Toyota Lexus Top Score

U.S. car buyers appear to be more satisfied with their purchases than ever, despite some quality stumbles by Asian brands, according to a survey released Tuesday and reported by the Associated Press.

The consumer satisfaction rate for vehicles rose 1 point this year to a score of 82 out of 100, a record in the 12-year history of the University of Michigan's American Customer Satisfaction Index.

Posted by Peter C. T. Elsworth  at 9:51 AM to Sales | Permalink | Comments 0

LaSorda appears key in UAW talks

That Cerberus Capital Management is keeping Tom LaSorda in a leadership role at Chrysler is an indication of how important he is to the ongoing labor negotiations with the UAW, according to industry watchers cited by the Detroit Free Press.

Robert Nardelli being officially named Monday the No. 1 executive at Chrysler and LaSorda being demoted to the No. 2 position by the Auburn Hills automaker's new owner comes at a particularly awkward time for the company, which already is engaged in contract talks with the union to craft a new agreement. The agreement is to replace the current one, which expires in September.

Posted by Peter C. T. Elsworth  at 9:20 AM to Chrysler , Unions | Permalink | Comments 0

50-cent gas tax intrigues Mulally, but market a worry

Ford CEO Alan Mulally created a stir in Traverse City yesterday among auto industry leaders and the news media by expressing interest in a 50-cent-per-gallon gasoline tax proposed a day earlier by U.S. Rep. John Dingell, according to the Detroit Free Press.
That's a headline-grabber, but may not really be the most important news out of his comments. He also voiced concern about a recent dip in total U.S. car and truck sales to levels not seen since 1998.

Posted by Peter C. T. Elsworth  at 9:17 AM to Gas prices | Permalink | Comments 0

Automakers highlight low-CO2 vehicles

Automakers are putting a new emphasis on cars and trucks that excel at cutting carbon-dioxide emissions to reduce global warming, according to USA Today.

In the past, CO2 was treated as just a component of the noxious vapors spewing from tailpipes. Now, it's being singled out.

"Thanks to (former vice president) Al Gore, people are becoming aware of this extra factor," says Dominick Infante, spokesman for Subaru, which is looking to reduce its CO2 footprint. "It's becoming something people are wondering about."

Posted by Peter C. T. Elsworth  at 9:09 AM to Alternative fuels , Design , Environment , Technology | Permalink | Comments 0

Buick, Lexus tie for top spot in vehicle dependability

Buick tied with Lexus as the highest-ranking brand in a closely watched study of vehicle dependability, marking the first time in 12 years that Lexus has shared the top award, J.D. Power and Associates said Thursday, according to USA Today.

Cadillac, Mercury and Honda rounded out the top five brands in the annual survey, which measures problems experienced by the original owners of three-year-old vehicles. Both Buick and Lexus had 145 problems per 100 vehicles.

The worst-performing brand, Land Rover, had 398 problems. The industry average was 216 problems, down from 227 in last year's survey.

Posted by Peter C. T. Elsworth  at 9:06 AM to GM , Maintenance , Toyota | Permalink | Comments 0

Importer recalls 255,000 Chinese-made tires

A tire importer said Thursday it would recall 255,000 Chinese-made tires it claims were defective because they lack a safety feature that prevents tread separation, according to USA Today.

The recall involves half the number of tires that the importer, Foreign Tire Sales, had identified in June as possibly posing a risk.

The models involved are steel-belted radial replacement tires for pickups, vans and sport-utility vehicles that consumers bought from early 2004 through mid-2006, Foreign Tire Sales said.

Posted by Peter C. T. Elsworth  at 9:02 AM to China , Safety | Permalink | Comments 0

Oil Prices Remain Near $72 a Barrel

Oil prices held near $72 a barrel Thursday despite a U.S. government report showing big declines in crude and gasoline stocks and an unexpected drop in refinery activity, according to the Associated Press.

Light, sweet crude for September delivery was down 16 cents to $71.99 a barrel in electronic trading on the New York Mercantile Exchange by midday in Europe. The contract moved between $71.66 and $72.40 during early trading.

Posted by Peter C. T. Elsworth  at 8:57 AM to Oil | Permalink | Comments 0

Report: Chrysler lost $1,111 on each North American vehicle last year

It's a business goal that sounds simple enough: make money on the products you sell.

It's also the biggest and most obvious challenge that lies ahead for Chrysler's new Chairman and CEO Robert Nardelli, the former GE executive and Home Depot chief who took charge of Detroit's No. 3 automaker on Monday, the Detroit Free Press reports.

The size of his challenge grew substantially last year, according to a study by Laurie Harbour-Felax, who recently joined consulting firm Stout Risius Ross.

Her analysis, released Tuesday at the Management Briefing Seminars in Traverse City, found that Chrysler lost $1,111 for every vehicle it sold in North America last year, as the company continued to churn out fuel-thirsty SUVs that sat on dealers' lots. In 2005, Chrysler made $144 per vehicle, according to Harbour-Felax's study.

Posted by Peter C. T. Elsworth  at 10:53 AM to Chrysler | Permalink | Comments 0

Toyota sees lower industrywide '07 U.S. auto sales

Toyota expects industrywide U.S. auto sales to slow for the second straight year in 2007, with a rebound beginning in 2008, the company's U.S. sales chief said today, according to Reuters.

The Japanese automaker expects sales of 16.3 million vehicles this year, down 2 percent from 16.6 million in 2006. Sales in 2005 were just short of 17 million vehicles.

Posted by Peter C. T. Elsworth  at 10:49 AM to Sales , Toyota | Permalink | Comments 0

Oil Prices Drop Ahead of US Stocks Data

Oil prices fell today as traders awaited the release of a U.S. government fuel stocks report expected to show gasoline inventories rose last week, according to the Associated Press.

The report was expected to show another drop in crude oil inventories, but increases in both refinery activity and gasoline supplies, according to a Dow Jones Newswires survey of analysts.

Light, sweet crude for September delivery fell 28 cents to $72.14 a barrel in electronic trading on the New York Mercantile Exchange by midday in Europe. The contract had risen 36 cents to settle at $72.42 a barrel on Tuesday.

Posted by Peter C. T. Elsworth  at 10:46 AM to Oil | Permalink | Comments 0

Oil resumes drop on economy jitters

Oil fell below $72 a barrel earlier today, extending the previous session's near 5 percent plunge sparked by concern about the U.S. economy and falling equity markets, according to Reuters.

The U.S. sub-prime, or risky, mortgage crisis has rattled credit and stock markets and is spilling over into commodities, analysts say. Some investors say oil may head lower still in the near term.

Posted by Peter C. T. Elsworth  at 12:12 PM to Oil | Permalink | Comments 0

Ford Rolls Out Eco-Friendlier Paint

Ford is testing a new 'eco-friendly' paint technology that reduces overall CO2 output by 15 percent, according to thecarconnection.com. And with a little luck, or calling around, you might be able to sample it yourself at a neighborhood U-Haul outlet.

About 200 Ford E-Series trucks made at the automaker's Avon Lake, Ohio plant and placed into duty as U-Haul rental vehicles have been painted with the new technology and will be put to use around the country as a way for Ford to test how well the new finish works in a heavy-use pattern. At U-Haul, the vehicles will be distinguished from the rest of the fleet through their "eco-friendly decals," according to a Ford release.

The new paint technology employs a high-solids (formulated with polymers), solvent-borne paint applied wet in three applications, with no prime coat. A smaller and cleaner paint shop compared with traditional painting facilities, and there's no need to 'bake' the paint.

Besides reducing CO2 emissions, the new system also cuts volatile organic compounds (VOC) by about ten percent, which gives it an advantage over both common solvent-borne and the water-borne paints being phased in by some companies. The water-borne paints, in general, carry a reputation for being more delicate than solvent-based coats.

Posted by Peter C. T. Elsworth  at 12:05 PM to Ford , Technology | Permalink | Comments 0

Hybrid sales on pace for another record-breaking year

Hybrid vehicles are on track to reach record sales this year, an auto information company said Thursday, according to USA Today.

An estimated 187,000 hybrids were sold in the first six months of 2007, accounting for 2.3% of all new vehicle sales, according to J.D. Power and Associates. Although a sales slowdown is expected in the second half of the year, J.D. Power is forecasting total sales of 345,000 hybrids for the year, a 35% increase from 2006 when the current record of 256,000 hybrids were sold.

The Toyota (TM) Prius continues to be the best-selling hybrid model, accounting for just more than half of all hybrids sold. J.D. Power said Prius sales also got a boost this year from incentives of up to $2,000 per vehicle, which helped offset a decrease in federal tax breaks for hybrids.

Posted by Peter C. T. Elsworth  at 11:54 AM to Alternative fuels , Environment , Fuel economy , Toyota | Permalink | Comments 0

Backseat Driver: Chrysler lays egg

Yesterday I stated that Chrysler workers and investors must be delighted by the news that former Home Depot CEO Robert Nardelli had been named to head the car company.

I sincerely hope readers understood such a sentiment to be ironic in the extreme. As I noted, Nardelli is most recently remembered for making off with $210 million after getting the travelling scholarship from Home Depot's board.

Translation: Home Depot fired Nardelli for incompetence but he still managed to finagle a disgusting amount of money out of the company.

You know, I have never been able to go to a Home Depot since then without wondering what the folks working the shopfloor in their orange overalls thought about it all.

I never asked anyone - I thought it would be pretty tasteless to ask someone earning $15 a hour or so what they might think of their "leader" making off with all that loot.

And now Chrysler owner Cerberus is downgrading Tom LaSorda and bringing in Nardelli to run the company. The arguments for the move are Nardelli's experience at GE when he cut his teeth and the fact that Cerberus is private and thus he will be able to restructure the company without answering to shareholders.

Like I said, workers must be delighted by that. And given his very mixed reputation on Wall Street, investors must be delighted too. True, his pay is nominal and essentially tied to Chrysler's performance. But for a man of his wealth, that is irrelevant.

More important, perhaps, is the signal Cerberus is sending out by hiring this controversial character. Cerberus may be hard headed about the $210 million he received from Home Depot because the terms of his payout were apparently written into his original contract.

But the message the company is sending is obtuse in the extreme and puts an enormous amount of pressure on Nardelli. Wall Street is already scratching its head, Chrysler rank and file are really displeased and it remains to be seen whether the move has undermined the ranks of senior management. Will LaSorda stay, for example?

Time will tell - but for the time being Nardelli has zero goodwill and Cerberus appears to have laid a major egg. But then Cerberus chairman is Tony Snow - the former Treasury Secretary under President George W. Bush.

And don't get me started on the acuity of that character.

- Peter C. T. Elsworth

Posted by Peter C. T. Elsworth  at 11:07 AM to Chrysler , commentary | Permalink | Comments 1

Choice for Chrysler CEO blasted

Has newly privatized automaker Chrysler just gotten a CEO a little harsher than Attila, or is Robert Nardelli, ex-Home Depot CEO, a driven, goal-oriented cost-cutter who's widely misunderstood, USA Today asks.

Regardless, what happens next not only will test anew the controversial argument that only a "car guy" can run a car company, but also will become a study in the contrasting styles of the two outsiders running Detroit automakers, Nardelli and Ford Motor's Alan Mulally, hired from Boeing last September.

Nardelli — to the shock of nearly everyone — was picked to be chairman and CEO of Chrysler by private investment company Cerberus Capital Management, which bought 80% of Chrysler from German automaker DaimlerChrysler.

Cerberus had said it would leave management intact, with then-CEO Tom LaSorda, veteran of the auto industry, running the show. LaSorda becomes vice chairman and president.

Posted by Peter C. T. Elsworth  at 11:02 AM to Chrysler | Permalink | Comments 0

What’s the Big Deal? The State of the Rebate in the Summer of ’07

The auto industry’s rebate frenzy is over, but there are still some alluring cash-back offers for buyers who can bring themselves to take advantage of automakers in distress, which is just about all of them, according to the New York Times.

Posted by Peter C. T. Elsworth  at 4:30 PM to Sales | Permalink | Comments 0

The Virtues of Avoiding Interstates

Many connoisseurs of the highway are championing the use of slow roads — back roads with scenery and history — instead of faceless Interstates, according to the New York Times. The idea emphasizes savoring local detail and culture.

“Taking the slow road is the best way to taste and feel the country, to use all your senses,” said Michael Wallis, author of “The Lincoln Highway: Coast to Coast from Times Square to the Golden Gate,” with photographs by Michael S. Williamson. (W. W. Norton, 2007) .

Posted by Peter C. T. Elsworth  at 4:08 PM to On the road | Permalink | Comments 0

Back to the Future in a 98-Year-Old Electric Car

In an era in which gasoline-powered automobiles were noisy, smelly, greasy and problematic to start, electric cars, like Jay Leno’s restored 1909 Baker Electric Coupe, represented a form of women’s liberation, according to the New York Times. (Includes a charming photo of Leno sitting in the car.)

“These were women’s shopping cars,” said Mr. Leno, who is a serious hands-on collector of autos and motorcycles dating from the 1800s to the present. “There was no gas or oil, no fire, no explosions — you just sort of got in and you went.

There were thousands of these in New York, from about 1905 to 1915. There were charging stations all over town, so ladies could recharge their cars while they were in the stores.”

Posted by Peter C. T. Elsworth  at 3:58 PM to Collecting | Permalink | Comments 0

Switch still bedevils Ford; 3.6M more vehicles recalled

Ford will recall 3.6 million passenger cars, pickups, sport-utility vehicles and vans to address concerns about a cruise control switch that has led to previous recalls based on reports of fires, according to USA Today.

Ford said the recall covered more than a dozen vehicle models built from 1992-2007. The company said it was responding to concerns from owners about the safety of their cars and questions about the speed control deactivation switch in the vehicles that is powered at all times.

The automaker previously had recalled nearly 6 million vehicles beginning in January 2005 because of engine fires linked to the cruise control systems in pickups, SUVs and vans.

Posted by Peter C. T. Elsworth  at 3:54 PM to Ford | Permalink | Comments 0

Backstreet Driver: Does Nardelli provide boost of confidence to Chrysler?

Newly private Chrysler LLC workers and investors must be excited.

The company has named Bob Nardelli as its chairman and CEO, replacing Tom LaSorda.

Nardillo is perhaps best remembered as the former CEO of Home Depot who received a severance package valued at $210 million, including a $20 million cash payment, when he left Home Depot in January.

The move comes just days after private equity firm Cerberus took over the automaker. Cerberus Chairman John Snow had said last month that LaSorda would remain CEO of the ailing automaker.

Nardelli said in a news release late Sunday that he was "very excited to be part of a team focused on re-establishing Chrysler as a standalone industry leader, with a renewed focus on meeting the needs of customers."

See separate USA Today story.

Posted by Peter C. T. Elsworth  at 10:28 AM to Chrysler | Permalink | Comments 0

Oil Prices Fall on Speculative Selling

Oil prices fell Monday, extending a decline prompted at the close of last week by news of a cooling U.S. job market, according to the Associated Press.

Light, sweet crude for September delivery fell $1.17 to $74.31 a barrel in electronic trading on the New York Mercantile Exchange, afternoon in Europe.

Posted by Peter C. T. Elsworth  at 10:23 AM to Oil | Permalink | Comments 0

Fender-benders cost luxury car owners plenty

Buying an expensive car can bring an owner style, prestige and repair bills in the thousands of dollars to fix damage caused by minor fender-benders, according to USA Today.

Repairing damage to luxury vehicles involved in crashes of 3 to 6 miles per hour, which typically happen in commuter traffic or parking lots, can cost significantly more than for other cars, according to data released Thursday by the Insurance Institute for Highway Safety.

Posted by Peter C. T. Elsworth  at 11:05 AM to On the road | Permalink | Comments 0

Import auto sales top Big Three

Sales of import brands overtook their domestic rivals for the first time last month, even as weak demand for autos spread to Asian and European manufacturers, according to CNN.
Combined, the U.S. automakers - General Motors, Ford Motor and the Chrysler Group unit that is being sold by DaimlerChrysler - reported a 19 percent decline in sales in July versus a year earlier, compared to single-digit declines or even modest gains reported by most overseas automakers in the period.

Posted by Peter C. T. Elsworth  at 4:39 PM to Sales | Permalink | Comments 0

Oil Retreats After Hitting New Record

Energy Futures Pause After PlungeOil prices retreated after jumping to a new record Wednesday on the U.S. government's report of a steep drop in crude inventories and surge in refinery activity, according to the Associated Press.

Crude prices initially rose after the Energy Department's Energy Information Administration reported that oil inventories fell by 6.5 million barrels last week, far more than expected. But gas futures fell on word that refiners ramped up their operations much quicker than expected.

Light, sweet crude for September delivery fell $1.68 to settle at $76.53 a barrel on the New York Mercantile Exchange after rising as high as $78.77 earlier. That surpasses the previous intraday record of $78.40, set in July 2006.

Posted by Peter C. T. Elsworth  at 4:36 PM to Oil | Permalink | Comments 0

Auto Sales Fall Across Industry in July

Auto sales took a dive across the industry in July thanks to high gas prices and reluctant consumers, with General Motors reporting a 22.3 percent decline and Ford sales down 19.1 percent, automakers said Wednesday, according to the Associated Press.

Posted by Peter C. T. Elsworth  at 4:32 PM to Sales | Permalink | Comments 0