December 1st, 2005 by admin
For the first time since the 80s, Chevrolet tops Ford in car sales
While Chevrolet points to clearance sales and quality improvements as driving the leap over Ford, some industry experts are blaming Ford’s poor performance this year.
Ford’s U.S. sales fell to 2.78 million last year from 3.47 million vehicles in 2000. That was the same year Firestone’s recall of more than 6.5 million tires, most on the Ford Explorer, raised questions about the safety of the top-selling SUV.
Chevrolet’s stronger sales are a rare bit of good news for GM.
The automaker announced plans last month to stop production at a dozen North American plants and cut 30,000 hourly jobs by the end of 2008. The company has lost nearly $5 billion in its North American automotive operations this year.
But Chevrolet really isn’t focusing much on the #1 spot publicly. Instead they are choosing to downplay the honor because industry analysts say Toyota will soon take the top slot.
Finally though, some good news for GM, at least for now.
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November 30th, 2005 by admin
More Job Losses Ahead for Auto Giant
Due to gas prices last quarter and poor performance from Volvo, Ford is cutting a little over 5% of Volvo’s workforce. The job cuts fall mainly in Sweden, with a small portion from Belguim.
The automaker will eliminate 1,470 positions, primarily in Sweden and Belgium, out of a total workforce of 27,500 people, Gothenburg, Sweden-based Volvo Cars said Monday.
"We have to reduce the number of employees we have in order to be more effective in the future," Christer Gustafsson, a Volvo spokesman, said in an interview. "We are reviewing all cost-driving areas within the company."
These cuts are not due to the auto giant’s earlier plans to reduce their workforce by 10,000 jobs by years end. Those cuts will be on top of these at Volvo.
Looks like Ford employees will have a very stressful holiday season.
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November 24th, 2005 by admin
Should You Be Able To Avoid The Dealer When Repairing Your Car?
Many owners choose to use their own mechanic, rather than the dealership, to maintain and repair their vehicles. While dealerships maintain they should be notified, for statistical reporting’s sake, when certain repairs are made, the consumer is forced to spend the extra money and time for the automaker’s convenience.
In some late-model cars, for instance, the immobilizer activates if the battery dies. Since independent shops can’t access security-system information, the car must be taken to a dealer for reprogramming. Similarly, some ignition systems use keys that contain computer chips — if there’s a problem with the key, or the ignition, only the dealer is authorized to fix it. Given how common dead batteries and damaged keys are, this can leave drivers in a serious and costly lurch — forget calling a mobile locksmith or having AAA tow you to a nearby service station. And heaven forbid you break down on a remote road, or on a Friday night when the dealer doesn’t open until Monday.
Lawmakers and citizens’ groups are attempting to remedy the situation, but unfortunatly both sides have real merit. Convenience and safety are both important, so it will be important to closely monitor the coming decisions. AutoWarranties.com will keep you abreast of any news on this issue.
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- The Dealers’ Choice
Carmakers thwart neighborhood mechanics and foil drivers, critics say, by withholding information needed for repairs.
November 24th, 2005 by admin
Take Precautions This Winter
With the advent of all-season and advanced traction control tires, most consumers simply don’t change their tires seasonally anymore. John McCormick of Autos Insider hopes this disturbing trend reverses.
All season tires are, by their very nature, designed to be a compromise. They do reasonably well in the heat of summer but do not give up all their grip capability in ultra-cold snowy conditions.
The problem with such a compromise is that all season tires simply cannot work as well as dedicated winter tires in sub-zero temperatures, when rubber designed for summer use turns hard and inflexible. Winter tires are engineered to remain compliant in bitter cold and have treads designed to cut through layers of snow or slush.
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November 24th, 2005 by admin
Toyotas May Soon Be Made in Indiana
Indiana’s Subaru plant may soon produce Toyotas, including their hybrids. Beginning as early as 2007, the Indiana plant may ramp up their production to more 50% their current output.
Toyota purchased 8.7% of Subaru parent Fuji Heavy Industries Ltd. from General Motors Corp. in October reportedly for $315 million, giving Toyota access to the Lafayette plant.
There reportedly are five to six models, including hybrids, being considered for production at Lafayette. Subaru currently builds the B9 Tribeca, Baja, Legacy and Outback vehicles in Indiana.
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November 18th, 2005 by admin
They use voting sites to increase seatbelt use
Volkswagen will kick off the voting for "Fasten Your Seat Belt … Go Far!," a nation-wide program that challenges teens to create TV ads that try to persuade their peers to buckle up. Choosing from hundreds of student-submitted PSAs, the three selected finalists will see their commercials broadcast tonight at 6pm. Teh voting sites, www.fuse.tv or www.vw.com are open until November 25. The winner will be announced on Fuse-TV on Monday, November 28.
As part of a joint educational effort between Volkswagen and Scholastic, students across the nation were challenged to create and produce 30-second television ads, to raise awareness and increase seat belt use among teens. Tragically, teens are the least likely to use safety belts, even when faced with possible traffic fines. Nearly 5,500 young people die in car crashes every year(1), many needlessly, since they could have been saved by simply buckling up.
November 18th, 2005 by admin
2005-2006 Auto Sales Come With Several Key Bonuses
Because new car sales are slumping, Chrysler is adding some hot add-ons to most new cars it sells.
Popular cars like the Dodge Charger are excluded.
DaimlerChrysler’s Chrysler division on Thursday said it was raising its customer incentives and offering buyers more than $2,000 worth of free gasoline in a bid to combat slumping U.S. auto sales.
Chrysler spokesman Kevin McCormick said that starting next Monday the automaker would offer U.S. car buyers a debit card with $2,367 in credit to use for the purchase of gasoline.
The card will be given to customers who purchase most of the company’s 2005 and 2006 model year vehicles. Hot-selling models including the Chrysler 300, the Dodge Charger and Dodge Magnum are not included, however.
McCormick said Chrysler would also begin offering car buyers two years of free scheduled maintenance and an extended five-year, or 60,000-mile warranty.
It remains to be seen if these incentives are enough to push new car sales back into the black.
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November 15th, 2005 by admin
Ailing Mitsubishi Loses Chrysler’s Millions
In a surprising move, Monday saw a complete unloading of Chrysler’s Mitsubishi stake. Despite a small climb in quarter 3, Mitsubishi remains 26% down for the year.
Both companies say their strategic partnerships will continue, but a high-level resignation from the Chrysler board by a Mitsubishi exec may not bode well for the health of the alliance.
"Although capital ties between Mitsubishi Motors Corporation (MMC) and DaimlerChrysler AG (DC) will be dissolved as a result of the sale, ongoing individual alliance projects are progressing smoothly. Those projects include joint development and production of engines, the shared use of vehicle architecture, and the joint production of passenger vehicles."
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November 11th, 2005 by admin
Shopping around can lower the cost
Everyone knows SUVs can be expensive. Add to that the cost of gas lately, and driving an SUV can take a large chunk of your income. Even repairs for SUVs can be astronomical.
If you SUV needs repairs, be sure to read "Lowering 4-Wheel Drive/SUV Repair Costs" from About.com. The article has some useful tips on saving money when getting the repairs done.
In most instances, garages "mark-up" the price of parts used for vehicle repairs. Garages purchase parts at a wholesale prices and then mark-up the parts used for repairs. Although it is becoming rarer and rarer today, some garages will allow a customer to purchase the parts that will be used to repair their vehicle. Such garages will quote the customer on just the cost of labor to install the parts.
It can be to a customer’s advantage to get a quote on both the parts and labor prior to having their vehicles repaired. If the customer is so inclined, he or she can check on the cost of parts at retail parts stores such as Auto Zone, or Advanced Auto. In many instances, even better prices on parts can be obtained by getting on the Internet and searching under 4-wheel drive/SUV parts.
Of course, some repairs will be covered by your extended warranty. Check your benefits to see if your repair is covered.
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November 9th, 2005 by admin
Crossover market is attractive to Ford
Ford looks to take advantage of skyrocketing gas prices by introducing several vehicles that target the SUV driver that doesn’t go off-road. One of these, Ford’s Edge, is looking to attract the consumer that looks for style and affordability, rather than luxury with no eye to price.
The crossover segment is expected to grow from 2.5 million vehicles this year to 3.5 million by 2010. Automakers are counting on crossovers to fill the void created by declining SUV sales. Though the definition of a crossover varies, vehicles commonly classified in the segment include the Pontiac Vibe, Chrysler PT Cruiser and Nissan Murano. Luxury crossovers include the Acura MDX and Lexus RX.
The Edge will run on the Mazda6 platform, like the other crossover vehicles, Ford Fusion, Mercury Milan, Lincoln Aviator, and Lincoln Zephyr.
In a related story, former Ford company, Delphi, reports a $788 Million loss in Q4.
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