Audi boss focuses on SUVs to win consumers' hearts

Audi started the biggest investment program in its history last year as part of its effort to overtake BMW as the world's largest premium automaker by 2020. The Volkswagen Group subsidiary will spend 24 billion euros ($26.12 billion) through 2019.
Audi CEO Rupert Stadler, 52, is particularly bullish about the automaker's fast-growing SUV lineup. He explained why in an April interview with Automotive News Europe Editor Luca Ciferri at the Shanghai auto show.

Q: Audi will have 60 models or variants by 2020. Which body style will account for the majority of the lineup?
A: Globally, we will respond proactively to the growing number of customers who enjoy SUVs' higher driving position and their sense of enhanced safety. We already decided to go smaller with the Q1 and to go bigger with the Q8. Regardless of the size of the SUV, we strive to be the most sought-after model in the segment. For example, the transaction price for a Q7 is very similar to our A8 flagship sedan because our SUVs are not utilitarian off-roaders.


Last year Audi showed the SUV-inspired TT Off-road Concept. Is that Audi's vision for a sporty compact SUV that may be badged as the TTQ?
The feedback for that concept was very positive, but no decision has been made on whether we will build something like that. If such a model will get the green light, to be at the top of its segment it would need to be underpinned by the next generation of the MQB architecture. That means it would not arrive until after 2020.


Audi has shown three Prologue concept cars. What is the purpose of those cars?
They provide a glimpse of our future design direction so that we can get some customer feedback. The first Prologue concept, shown last year at the Los Angeles Auto Show, received really positive feedback. This was very important for us because we had faced some criticism about our design. With that concept we showed where we are headed.


Does the Prologue Avant concept shown in Geneva hint at a forthcoming A8 wagon?
This concept, with its strong sex appeal, also generated excellent feedback. For us, it confirmed that our future design direction is correct. Unfortunately, wagons are popular only in Europe, so we doubt there would be enough demand to justify building such a model.


Is global acceptance of Audi's Sportback models growing?
Definitely. They also enjoy high transaction prices. The A7 Sportback, which is based on the same architecture of the A5 and A6, has average transaction prices close to the A8.


Should we expect more Sportback variants?
We don't discuss future models, but I can say that we are working hard in this sector. Clearly, models with good margins have a better chance of getting production approval.


Does Audi need a large, four-seat coupe to compete against the BMW 6 series?
Models like that add prestige and boost the brand image, but that segment is very small and getting smaller. If you are looking to boost your global volume, a large SUV like the forthcoming Q8 is more likely to be a winner than a large coupe.


Does Audi worry that Google or Apple will become strong rivals to automakers?
No, because we cooperate closely and effectively with both of them. We know we will compete in some areas and collaborate in others. That's normal. More than a year ago we entered the Open Automotive Alliance with Google. This is good for us because we are learning more about industries whose product life cycles are totally different from ours.

RV 2.0: Downsizing helps new generation hit the road

ALONG THE PACIFIC COAST HIGHWAY, Calif. -- Within minutes of pulling into space 12 at the Pismo Coast Village RV Resort, my neighbors rush over to welcome me.

Rather, they charge toward my bright green and purple campervan, which is emblazoned with signage promising it "comes with everything … including the kitchen sink."

Jennifer Beall confirms that there is a kitchen sink and a gas cooker and a refrigerator -- albeit miniature ones. They are all in the trunk. The back seat folds down into a bed that can sleep two at night. It also converts into a dining area. On top of the car is the "penthouse," a pop-up container that sleeps another two. Below the seats is a storage area, which I dub the basement.
"This is a lot easier to drive than that big thing there," says Beall, pointing to the 29-foot Fleetwood Jamboree RV she and her husband have traveled in from southern California. It may be hard for her to drive, but it's still better than a hotel, she says.

The Jucy RV campervan, based on a Chrysler minivan, is part of a new generation of RV campers. Travelers, especially younger ones, favor smaller, more fuel-efficient vehicles over the trailers and motorhomes that have populated American roadways for decades. Rather than getting around in a condo on wheels, many road trippers are settling for a living room.

Jucy minivans feature many of the amenities found in larger RVs but with easier maneuverability and better fuel efficiency. (Photo: Dan MacMedan, USA TODAY)

"RV-ing in the United States is huge," says Dan Alpe, who co-founded Jucy in 2001 in New Zealand. But he observed that operating some RVs is a "scary, intimidating experience."

That's why Jucy and other companies have made the experience happen in a more compact space.

California Campers offers Volkswagen Westfalia campers from San Francisco. Lost Campers has budget campervans from Los Angeles, San Francisco and Salt Lake City. Cruise America's fleet of compact campers can be found at locations across the USA and Canada.

Like Jucy, which now has 265 vans in the USA, Escape Campervan Rentals originated in New Zealand and has an over-the-top look. Each van has a different design by a graffiti artist. The Escape vans can sleep three adults or more if a rooftop tent is added. The company has about 350 vans in the USA.
They're tapping into a lucrative market. According to Kampgrounds of America, 46 million households in North America camp at least occasionally, with 1 in 4 households engaging in some sort of camping activity each year.

The majority -- 54% -- stay in tents, but 21% are RV campers, according to the latest figures.
The report also found that Millennials have the greatest potential for growth in the camping industry in the next year. Six in 10 Millennials said they would spend more nights camping, compared with 4 in 10 Baby Boomers.
"We're going to bring a different group of people into the market," Alpe says. "We are getting young people saying, this is a cool thing to do."

Americans have always considered camping cool -- or at least economical.

The rear door opens to reveal a compact kitchen with a sink, stove, refrigerator and storage for various utensils. (Photo: Dan MacMedan, USA TODAY)

Travelers "just want a more intimate experience and a way to get off the beaten path," says Escape Campervan vice president of marketing Chris Knight. "It's more economical than a rental car. With these smaller vehicles, you can sleep in your car for free at any national forest."

An Escape Campervan is not quite free, but it can often be less than a hotel room. A night in the van can cost as little as $35 a day. Jucy rentals start at $45. Campsites have nightly rates that vary.

For additional fees, you can also get bedding and a Mi-Fi when you rent a Jucy camper.

I choose both when I drive down from San Francisco to Los Angeles in January.
I can't get the Mi-Fi to work but I am grateful when I get under the bedding, which works just fine against the cold California nights.

At the pick-up depot in San Leandro, a suburb outside of San Francisco, a manager gives a 30-minute tutorial on how to operate the Jucy. It involves learning how to empty and fill the water tank and how to crank up the penthouse.

Once the Jucy campervan is parked at the evening's destination, the top raises via a single crank handle, creating a sleeping area for two. (Photo: Dan MacMedan, USA TODAY)

After filling out my paperwork, I get on the road. At a toll booth, the employee laughs when she sees my green and purple wheels.

On my first night in the Jucy, I stay at Veterans Memorial Park in Monterey, one of the country's only urban campgrounds. I arrive late and stuff my $30 overnight fee into an envelope that I deposit into a box.

I rejoice when I spot another green and purple vehicle at the campground. It's a Jucy camper, and I park right next to it in a show of camaraderie.
Edmond Kenny and Emma Hore, an Irish couple living in Australia, are taking a road trip though California.

"We were looking into big RVs but more compact models suited us," Kenny says, after cranking up the penthouse.

The cargo area transforms from a dining area to a bed that sleeps two. (Photo: Dan MacMedan, USA TODAY)

The next morning, I enlist Kenny to help me pack away my penthouse. We can't quite lock it into place, so John Wilkes, a Veterans Park attendant, offers to help.
He pushes and pulls and turns, and manages to get the penthouse back in place so I can drive off. He looks at the Jucy and nods to indicate his approval.
"The bigger the RV, the less you see people," he says.

He likes to see people, and the Jucy campervan encourages travelers to be social.

I see many people on my five-day journey, and most are eager to chat. Whenever I spot another Jucy on the road, we honk at each other.

The beauty of roadtripping in a campervan is that I am not exiled to the RV parking area at Hearst Castle and other places I pop into. I make a last-minute detour through the beautiful central California town of Carmel with ease. I park the Jucy next to all the Mercedes, Lexuses and Bentleys.

As I pull into a parking spot to see the thousands of San Simeon elephant seals that lounge on the beach just south of Piedras Blancas Light Station, members of a National Geographic TV crew stop me to ask for a tour of my Jucy.
When I'm done showing them the kitchen sink, I head to the boardwalk to see the seals. It's mating season. Volunteer Jack Morehead, who wears a bright blue jacket with a patch identifying him as "Friend of the Elephant Seals," stops to impart his knowledge.

According to Morehead, the seals have the run of six miles of beach. Many of the females are pregnant. The males are looking to mate some more. And the pups are trying to avoid getting crushed in the melee. I stand there for 30 minutes mesmerized by the sight of so many seals piled on top of each other.
"It's not romantic at all," he says, stating the obvious.

Being in a campervan allows me to stop by the Monterey Bay Aquarium, have fantastic meals at Abalonetti Bar and Grill in Monterey and Big Sur Roadhouse, maneuver around the quaint Danish town of Solvang -- all without having to worry about where to stash my campervan. I can easily parallel-park it.
I also get to explore many campgrounds. The Recreation Vehicle Industry Association says there are more than 16,000 public and privately owned campgrounds nationwide.

On my way down the winding PCH, I stop at the Los Padres National Forest Kirk Creek Campground to take photos. The view of Big Sur is spectacular.
I inadvertently park in someone's spot. John Clayton has driven from Carmel in a motorcycle. He doesn't mind when he catches me bogarting the space he paid for. There's plenty of room for the Jucy and the motorcycle.

He tells me that he has a tent and sleeping bag stuffed into his motorcycle. I'm impressed, as is he when I show him my kitchen sink. We trade camping stories and admire each other's vehicles while gazing at Big Sur.
"Wow," he says. "How cool is that?"

Source: USAToday

Long wait, quick win for Florida Audi dealer

It took Mario Murgado a decade to get the Audi franchise he dreamed of -- and only one year for his store to rise to the brand's highest echelon of dealerships.
After opening in December 2013, Murgado's Audi Stuart near Florida's Atlantic coast was one of just a dozen dealerships last year to win Audi's Elite Magna Society award, the highest honor bestowed upon Audi dealerships.

It was the equivalent of an NFL expansion team winning the Super Bowl. For Murgado, CEO of Miami-based Brickell Motors, it was a quick payoff on his bet that Stuart, Fla., could hold its own as a luxury market.

Murgado says he had coveted an Audi dealership since 1993, when he sat on the brand's dealer council, representing billionaire Miami dealer Norman Braman's Braman Imports.

During Murgado's final years running Braman's group as CEO, he says, he saw Stuart, on the tony Treasure Coast region of Florida's eastern shore, as a promising opportunity for Audi. Luxury brands such as BMW, Lexus and Mercedes-Benz had locations farther north and south, but not in Stuart. Yet luxury car demand had existed there for years, Murgado said, as Stuart residents often bought BMWs from Braman dealerships in Palm Beach.

"A lot of the dealers that were there never treated the place with the respect that I thought it deserved and never built a top-class facility," Murgado said.
After founding Brickell Motors in 2001, he wrote to Audi asking to add a store in Stuart, but to no avail. He tried again a few years later, but the brand still wasn't interested.

Murgado finally got his wish in the summer of 2011, when Audi's dealer network was growing. He hatched a plan to turn Stuart, about 100 miles north of Brickell's primary dealership cluster in and around Miami, into the group's luxury auto outpost, purchasing 12 acres of land and opening flagship stores for Audi and Infiniti by the end of 2013.

Murgado invested $14.5 million in his Audi dealership, a 31,000-square-foot store based on the brand's Terminal design standard.

Customer service scores are important in Audi's performance metrics, and General Manager Devin Carlson says he wanted to create an experience that was more luxury than just luxury auto.

"We wanted people to come into the door and feel like they were at another high end retail business," he said.

Launch marketing included radio and TV ads, a social media push and events designed to bring well-heeled customers into the dealership, such as hosting the annual leadership dinner of the Martin County Economic Council, a local business leadership group, in the showroom.

The dealership offers a concierge service that provides loaners and picks up and delivers vehicles for servicing up to 20 miles away. Murgado says staffers drummed up fixed operations business by mining registration data for Audi owners and cold-calling customers to offer the concierge service and a free oil change.

Test drives are offered at prospective customers' homes, offices or over a weekend, Murgado says. Customers needing a car wash can pop in for a free one at any time.

Stuart Audi sold 525 new Audis last year.

One key to the early success, Murgado says, was the staff, starting with Carlson, who had been sales director for two Lexus dealerships owned by Jacksonville, Fla.-based Brumos Automotive.

Carlson oversaw the rest of the dealership's hiring and brought in many employees with nonauto backgrounds. His sales team includes a former schoolteacher, a golf pro, business owners, an insurance salesman and a retirement fund manager. No employees were brought from Brickell's other dealerships.

"We wanted to hav-e a culture established here that was unique and created here in this environment," Carlson said, "not brought in from the outside."

Audi's Magna Society program rates dealerships on their performance against goals for sales, customer service, facilities and fixed operations. Ninety-one Audi dealerships won the brand's Magna Society award last year. But only the top 12 received the Elite designation. Carlson says Audi Stuart was one point shy of the highest possible score.

Murgado hopes his performance with Audi will translate into additional luxury stores in Stuart.

He said, "It was important to demonstrate to other manufacturers in the future that we can go anywhere we want and that with the right systems and processes in place, you can be successful."

Source: Autonews

Toyota remains most valuable car brand despite airbag recalls

Toyota Motor kept its title as the most valuable car brand in 2015 despite recent airbag recalls denting its worth, according to a study.

BMW remained No. 2, according to the BrandZ Top 100 Most Valuable Global Brands study released today by market researcher Millward Brown. Mercedes-Benz was third.

Toyota’s brand value fell 2 percent to $28.9 billion, according to the study.
“When you look at the trust the Toyota brand generates from car owners, there is little dent from the airbag issues,” Peter Walshe, Global BrandZ director at Millward Brown, told Automotive News Europe. “The customer experience, the good value, and the quality that customers trust see the brand through.”

Honda was the only other top 10 brand to have its value drop besides Toyota, as it also suffered from the effects of airbag recall issues. Its brand value fell 5 percent to $13.3 billion.

Toyota and Honda are among automakers forced to recalls millions of vehicles, mainly in the U.S., fitted with airbag inflators supplied by Takata that can erupt with too much force, spraying shrapnel inside the car.

Toyota has been No. 1 in eight of the 10 years the study has been carried out.
Second-ranked BMW’s value increased 2 percent to $26.4 billion. BMW received a boost from its innovative i8 plug-in hybrid sports car and i3 battery-powered hatchback. Mercedes’s brand value rose 1 percent to $21.8 billion.

Audi was the fastest-rising car brand, overtaking parent Volkswagen for the No. 7 spot. Audi’s brand value increased 43 percent to $10.1 billion compared to 2014, according to the study.

“A lot of Audi’s success has much to do with what the brand stands for and what it means to consumers,” Walshe said. “It really stresses in a consistent way and communicates what is different and special about the brand: technology, safety, and the benefit to consumers, with good advertising supporting it.”

Ford Motor’s value increased at the second-fastest clip by 11 percent.
Land Rover overtook Chevrolet for the No. 9 spot by appealing to customers’ demand for SUVs while surpassing expectations with the luxury driving experience it offers, Walshe said. “Land Rover is not worried about being worth the premium price it charges, because that is what makes the brand desirable,” Walshe said.

Land Rover is also doing particularly well in China where it now has production, Walshe said. “Land Rover’s success in China is a big step, because up until now, the brand has mainly been about quality in the UK,” he said.
Toyota’s Lexus brand overtook Hyundai to rank No. 10 thanks to its association with luxury and reliability, Walshe said. “While Lexus is oriented towards the U.S., the brand is about absolute quality and complete differentiation, leadership and being very well managed,” Walshe said.

The top 10 car brands collectively have grown more slowly by 3 percent to $143.6 billion, a levelling off from 2014's 17 percent increase, as it becomes more difficult for carmakers to differentiate themselves. “Because of the high quality and technology involved required to raise brand value, it is harder to be differentiated,” Walshe said.

Apple passes Google
Apple passed Google to become the world’s valuable brand in the overall rankings. Apple’s brand value rose 67 percent to $247 billion. Google, last year’s leader, saw its brand value rise 9 percent to $173.7 billion.

A main hallmark of Apple’s success has been its ability to regain customer trust after slipping in 2013 due to perceived quality issues and the production controversy in China, Walshe said. “Because the brand is so strong and so transparent with dealing with those issues and people know that the brand is on their side,” Walshe said. “If there is a problem, customers know Apple will fix it quickly and won’t sweep them under the carpet.”

High-value brands

 

The top 10 most valuable car brands and their estimated worth in $ billions
1. Toyota $28.9
2. BMW $26.4
3. Mercedes $21.8
4. Honda $13.3
5. Ford $13.1
6. Nissan $11.4
7. Audi $10.1
8. Volkswagen $9.3
9. Land Rover $5.0
10. Lexus $4.3

Source: Autonews

Sergio: Wrangler will still use steel

DETROIT -- The next-generation Jeep Wrangler won't follow the 2015 Ford F-150's lead with an aluminum body.

Instead, the off-roader will keep its steel body structure but add aluminum doors, fenders and other parts after Fiat Chrysler CEO Sergio Marchionne said last week that the costs of the switch outweigh the benefits.

"We've run the numbers and we've simulated mileage and the impact. Because of the difference in cost not just of the material but the actual assembly process, I think we can do almost as well without doing it all aluminum," Marchionne said.
It's a stark reversal for the man who acknowledged a year ago that there was no better vehicle in FCA's lineup to make from aluminum than the Wrangler. Internal sources with direct knowledge had told Automotive News that the next-generation Wrangler would have an aluminum body.

Now, instead of following Ford Motor Co.'s expensive switch from steel for the F-150, Wrangler will follow General Motors' lead of using aluminum strategically to minimize costs.

GM decided against an aluminum body for the latest redesign of the Chevrolet Silverado and GMC Sierra pickups last year. Ford spent $359 million and lost about two months of production at one plant converting its pickup plant in Dearborn, Mich., to aluminum.

The development is likely great news for Toledo, Ohio, which has been vying to keep the Wrangler in its ancestral home. A steel body means that the Wrangler plant won't have to be gutted to switch to aluminum body construction.
The redesigned Wrangler, due in 2017, still has to lose weight to get better fuel economy than its current rating of up to 21 mpg highway. It will do so by "hanging" lightweight aluminum doors and other panels on a steel structure, Marchionne said.

"It may go beyond hanging, but it's not phenomenally off hanging," Marchionne explained about the latest plans for the 2018 Wrangler.

Even if the Toledo plant can be used without massive retooling, capacity constraints still pose a potential problem. The FCA CEO said he still expects to make a final decision about expanding Wrangler production in Toledo within two months.

The Wrangler's 2014 sales reached a record 175,328 in the U.S., its largest market, and through April are up another 22 percent.

Toledo and Ohio have offered FCA an incentive package to expand Wrangler production locally. Toledo has acquired a large tract of land west of the plant for possible expansion of Wrangler production.

Marchionne's Wrangler reversal could be seen as a solid save for the steel industry.

Ford's sales success with the aluminum 2015 F-150 masked the fact that the changeover, which shed more than 700 pounds on some models with an aluminum body and inspired other structural changes, produced solid but modest improvements in fuel economy.

The 2015 F-150 achieves up to 26 mpg on the highway vs. a maximum highway rating of 23 for the 2014 model.

But Marchionne's main concern may be the production disruption and expense of switching the Wrangler plant to aluminum production.

Unlike Ford, which has two plants producing the F-150, FCA has only one plant in the world producing the Wrangler: Toledo Assembly complex.

Ford continued operating its Kansas City, Mo., plant while it switched its Dearborn factory to aluminum to keep the supply of F-150s flowing to dealers -- and profits flowing to its bottom line.

For FCA, shutting down Wrangler production would mean an immediate shortage and lost sales of one of its most profitable vehicles.
Also, Ford at its two F-150 plants replaced steel welding equipment with tools that assemble the pickup with rivets and adhesive.

But while Marchionne said that the next Wrangler's body won't be aluminum, he implied last week that the coming Jeep Grand Wagoneer's would be.
He said a different cost and benefit calculation regarding aluminum will apply to the full-size Grand Wagoneer.

The Grand Wagoneer will be a unibody SUV with three rows of seats and will share a platform and factory with the two-row Grand Cherokee. The Grand Wagoneer is due to arrive in 2018.

Marchionne said, however, that the Grand Wagoneer's development might mean a one-year delay in the redesign of the Grand Cherokee, which had been due in 2017.

"I think that development [of the Grand Wagoneer] needs to coincide with a complete relook at the Grand Cherokee architecture and effectively jointly develop them. And if there is a delay [in the Grand Cherokee], it's due to the joining of these two programs into something that makes sense," Marchionne said.

The Grand Wagoneer, he said, "needs to happen. There's a piece of the market that I think we have not accessed because of the nature of that [current Grand Cherokee] architecture and what it can offer," the CEO said. "I think we need to go there with the next version."

Source: USAnews

Updated Pilot to become Honda's priciest U.S. vehicle

LOS ANGELES -- The Honda brand’s U.S. flagship is no longer a minivan.
When the third-generation Pilot crossover goes on sale in June, its fully loaded Elite trim level will carry a sticker price of $47,300, including shipping, Honda announced today.

That would give the new Pilot the dubious distinction of being the most expensive Honda-branded vehicle sold in the U.S., edging out a loaded 2015 Odyssey minivan by $1,820.

That’s not to say Honda has dramatically increased the price of this Pilot compared with the previous generation, which has been on the market since 2009. The base price for a 2016 front-wheel-drive LX version will be $30,875, just $125 more than the 2015 model.

But as consumers walk up the Pilot’s pricing ladder, the increases grow. At $35,110, a new Pilot four-wheel-drive EX is now $510 more than its predecessor. The 4wd Touring jumps $1,200 for the 2016 model year. All wheel drive adds another $1,800 to all new Pilots, regardless of trim level.

Honda already has one of the top-selling compact crossovers in the CR-V, which was last redesigned for the 2015 model year. But its overall U.S. sales are mostly stagnant, up just under 1 percent through the first four months of 2015, while the industry as a whole is up 5.4 percent.

Honda is hoping the Pilot will team up with its new HR-V subcompact crossover, which just hit the U.S. market last week, to kick its crossover sales into high gear.

New 'pillar'

The Pilot is a potent weapon because its buyers are among Honda’s most brand-loyal. The CR-V and Pilot are tied for best brand retention within Honda’s lineup, with 63 percent of owners staying in the Honda fold, according to the company’s internal data.

“We’re confident that the Pilot will ultimately become a new sales pillar in our lineup,” said Jeff Conrad, Honda Division general manager, predicting that it would join Honda’s other high-volume models: Civic, Accord, CR-V and Odyssey.
The fully loaded Elite model is new to the Pilot lineup and creates more pricing overlap with its corporate cousin, the Acura MDX, whose prices start around $43,000 and top out at close to $60,000. Honda said it added the Elite trim level because customers kept asking for high-end features and because those features tend to deliver higher profit margins.

The Elite adds luxury items such as a panoramic glass roof, LED headlights, a heated steering wheel and rear seats, second-row captain’s chairs and blind-spot monitoring.

The Elite and the Touring level below it also come with a nine-speed automatic transmission sourced from Germany’s ZF Friedrichshafen. It helps bump up the Pilot’s fuel economy to 20 mpg in the city and 27 on the highway for fwd models, tying the Nissan Pathfinder as the most efficient crossover in its class.

Lower-grade Pilots will continue to use a six-speed transmission.
A lighter curb weight also helps bump up efficiency; Honda trimmed about 265 pounds from the earlier generation. Power still comes from a 3.5-liter V-6, though its output rises slightly to 280 hp and 260 pounds-feet of torque.

Source: Autonews

GM unleashes new, smaller Chevrolet Camaro

DETROIT -- General Motors introduced the new, sixth generation of its Chevrolet Camaro classic performance coupe Saturday that shrinks a bit in size but offers more performance and fuel economy.

Steering clear of the auto shows, GM was unveiling one of its most important models to press and a friendly crowd of Camaro enthusiasts at an island park. The new model will hit the market later this year, ahead of its 50th birthday.
The new Camaro shifts to what General Motors calls its "Alpha" platform, the chassis that underpins both the Cadillac ATS and CTS. It will mark the first time that both Camaro and its arch-rival, the Ford Mustang, are produced in Michigan.

The new car is slightly smaller than the one it replaces. The spec sheets show the 2016 model's overall length is 2.3 inches shorter, the wheelbase is 1.6 inches shorter, while the body is 0.8 inches narrower and its overall height is 1.1 inches shorter.

There is more aluminum, replacing steel, mostly in the chassis and suspension. There is also more lighter-weight high-strength steel. The new structure allows the new Camaro to weigh 200 pounds less than the 2015 model, says Aaron Link, lead development engineer who has been working on this car for the last three years.

Less weight means better fuel economy, but Camaro lovers are looking for better performance.

"It's the whole shootin' match," said Link. "It will go faster, stop shorter and turn quicker. It has lower inertia everywhere."

Buyers can choose among three engines. The 275-horsepower 2-liter turbocharged engine will be first four-cylinder Camaro since the 1980s. It is expected to be rated at at least 30 miles per gallon on the highway yet go from zero to 60 miles per hour in less than six seconds, GM says.

There is also a 355-horsepower 3.6-liter V-6 and for big performance, a 455-horsepower 6.2-liter V-8. Each comes with the choice of a six-speed manual or eight-speed automatic transmission.

Inside, an instrument cluster features an optional 8-inch diagonal high-definition screen that drivers can configure for navigation, performance and entertainment. A second 8-inch screen in the center of the instrument panel provides to a more capable version of Chevy's MyLink control system.

USA TODAY

First take: 5 ways new Chevrolet Camaro can top Ford Mustang

Another option provides up to 24 ambient LED lighting colors in the dash, door panels and center console.

In addition to the 6.2-liter small block V8, the Camaro SS will include for the first time, the Magnetic Ride Control active suspension that interprets road conditions and driver behavior, adjusting to both instantaneously.

The fifth generation Camaro was launched in the fall of 2009, just as GM was getting back on its feet after bankruptcy. So the timing for generation six is considerably better.

While today's market is much stronger, Link said the fifth generation Camaro "reinvigorated a lot of people who had lost touch with Camaro."
About 63% of those who have bought one since 2010 had not owned a Camaro before.

The timing of the new model is crucial. Sales of the new Mustang are running 60% ahead of last year through the first four months of 2015. While Dodge doesn't break out sales of its 707-horsepower Challenger Hellcat, all Challenger sales are up 41% in the same period.

Despite the rising media chatter about self-driving cars, hands-on muscle cars are hot.

Karl Brauer of Kelley Blue Book, who got a sneak peak of the new Camaro earlier this year, says "the new one looks more like a '69 Camaro than the current one," Brauer said. "You may have to look at it a few times to see the differences, but that very wide C-pillar on the current model has been scaled back."

Camaro will be made at GM's Lansing Grand River assembly plant. The 2-liter engine come from GM's Tonawanda, N.Y., plant, while workers in Canada assemble the 6.2-liter V-8.

Source: USAToday

BMW approves launch of X2 crossover, report says

FRANKFURT -- BMW has approved the launch of a coupe-styled crossover called the X2 to rival the Range Rover Evoque, a report said.

The five-door X2 will take exterior styling cues such as a steeply raked liftback-style tailgate from the larger, coupelike X4 and X6 models, Autocar reported, citing company sources.

BMW will start testing prototypes of X2 within weeks, Autocar said, citing engineers at the automaker’s prototype workshop. The X2 will launch in 2017, the magazine said.

A BMW spokesman declined to comment on the report when contacted by Automotive News Europe.

The X2 will be based on BMW's front-wheel-drive UKL 1 platform like the next-generation X1 and recently launched BMW 2-series Active Tourer compact minivan, the magazine said.

BMW is expanding its lineup as it seeks to fight off Audi and Mercedes-Benz, which are both seeking to topple their Munich-based rival as the world's top-selling premium brand.

The X2 will likely debut as a concept at the Geneva auto show next March, Autocar said.

Source: Autonews

How Car Cooling Systems Work

Radiator

­­A radiator is a type of heat exchanger. It is designed to transfer heat from the hot coolant that flows through it to the air blown through it by the fan.
Most modern cars use aluminum radiators. These radiators are made by brazing thin aluminum fins to flattened aluminum tubes. The coolant flows from the inlet to the outlet through many tubes mounted in a parallel arrangement. The fins conduct the heat from the tubes and transfer it to the air flowing through the radiator.

The tubes sometimes have a type of fin inserted into them called a turbulator, which increases the turbulence of the fluid flowing through the tubes. If the fluid flowed very smoothly through the tubes, only the fluid actually touching the tubes would be cooled directly. The amount of heat transferred to the tubes from the fluid running through them depends on the difference in temperature between the tube and the fluid touching it. So if the fluid that is in contact with the tube cools down quickly, less heat will be transferred. By creating turbulence inside the tube, all of the fluid mixes together, keeping the temperature of the fluid touching the tubes up so that more heat can be extracted, and all of the fluid inside the tube is used effectively.

Radiators usually have a tank on each side, and inside the tank is a transmission cooler. In the picture above, you can see the inlet and outlet where the oil from the transmission enters the cooler. The transmission cooler is like a radiator within a radiator, except instead of exchanging heat with the air, the oil exchanges heat with the coolant in the radiator.

Chevy Car Radiator

Article Source: HowStuffWorks
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City slickers in New York Auto Show

What’s playing on Broadway? Here are five production cars and one concept that had people standing in line at the New York auto show.



 1)Subaru STI Performance Concept

- Vehicle type: Subaru BRZ sporty compact with high-performance STI additions
- Engine: 2.0-liter, 345-hp turbo H-4 racing engine
- What’s cool: Rear wing, STI racing engine and suspension enhancements
- Will it be built? No. Concept was built to show off parts made by Subaru’s STI operation, which wants to increase its U.S. business.

2)Infiniti QX50

- Vehicle type: Luxury compact crossover - Seats: 5 (Rear middle seat is narrow.) - Base engine: 3.7-liter, 325-hp V-6 - On sale: October - Base price: TBD; 2015 model starts at $35,995 (including $995 shipping). - What’s cool: Wheelbase extended 3.2 inches, enabling 4.3 inches of additional rear legroom. Retains optional coat hanger installed in rear of driver’s-side head restraint and power function for folded-down rear seat back.

3)Porsche Boxster Spyder

- Vehicle type: Roadster
- Seats: 2
- Base engine: 3.8-liter, 375-hp H-6
- On sale: October
- Base price: $83,095 (includes $995 shipping)
- What’s cool: Manual transmission only, manually operated soft top; radio and air conditioning are no-cost options because Porsche purists are expected to prefer engine noise to music and an open top to air conditioning.

4)Cadillac CT6

- Vehicle type: Sedan
- Seats: 5
- Base engine: 2.0-liter, 265-hp turbo I-4
- On sale: November (in U.S.; other markets in early 2016)
- Base price: TBD
- What’s cool: All-wheel drive, rear-wheel steering and magnetic suspension mean that every wheel steers, drives and adjusts automatically for damping; lightweight construction

5) Mercedes-Benz GLE

- Vehicle type: 4-door crossover
- Seats: 5
- Base engine: 3.5-liter, 302-hp V-6
- On sale: August
- Base price: TBD; 2015 M class, which the GLE replaces, starts at $50,725 (including $925 shipping).
- What’s cool: High-performance variant, the Mercedes-AMG GLE63 S 4Matic, with a 577-hp, 5.5-liter twin-turbo V-8

6) Kia Optima

- Vehicle type: Sedan
- Seats: 5
- Base engine: 2.4-liter, 185-hp I-4
- On sale: 4th quarter
- Base price: TBD; 2015 model starts at $22,515 (including $825 shipping).
- What’s cool: Optional 1.6-liter, 178-hp 3-cylinder turbo engine.

Source: Autonews

Honda, Daihatsu add 5 million cars to Takata airbag recall

TOKYO -- The global Takata airbag recall expanded by millions more vehicles for the second time in as many days today, with Honda Motor Co. and Daihatsu calling back more inflators.

The latest recalls affect some 4.89 million vehicles at Honda and about 260,000 at Daihatsu, the mini vehicle subsidiary of Toyota Motor Corp. The safety campaigns came just a day after Toyota and Nissan Motor Co. announced a similar recall of more than 6.5 million cars globally.
The Honda recall doesn’t affect vehicles in the United States or Canada. Vehicles sold in those markets weren’t equipped with the possibly faulty inflators targeted in the latest action.

Honda’s recall covers 1.72 million vehicles in Japan that were manufactured from 2002 to 2008. Those 17 nameplates were made in Japan, Thailand and the United States. The remainder of the recalls falls in other regions. Honda said it will announce the regional breakdowns locally.
Daihatsu’s recall affects cars only in Japan.

Including the latest actions, about 36 million vehicles have been recalled worldwide since 2008 over Takata inflators, according to Reuters estimates. That includes 19.6 million from Honda alone, some 8.2 million of which are in the United States, Honda spokeswoman Yuka Abe said.

Honda and Daihatsu said they aren’t aware of any injuries or deaths linked to the latest recalls.
Carmakers are calling back more cars after investigations showed that certain inflators were susceptible to moisture damage over time and possibly prone to rupture. Honda said it is acting based on the results of a study provide in March by Takata Corp., the Japanese supplier that has produced millions of airbag inflators that may explode, showering occupants with metal shards.

Mazda Motor Corp. said it was investigating whether the current findings warrant a similar recall of its vehicles. A Mitsubishi Motors Corp. spokesman said the company couldn’t comment on whether it plans a recall before officially notifying transportation authorities. A spokesperson for Subaru-maker Fuji Heavy Industries was not immediately available for comment.

That study, conducted independently by Takata, showed that moisture intrusion can cause the inflator’s propellant to lose density over time, raising the risk of rupture, Honda’s Abe said.

Honda said engineers have yet to determine the root cause of the problem.
Honda is acting in May, even though it received the study’s results in March, because it took time to determine how many cars were affected and where those cars were sold, Abe said.

Honda said it will replace the Takata-made driver-side inflators with inflators made by Autoliv and Daicel. Takata inflators on the passenger-side will be swapped for ones from Daicel and Takata. Abe said Honda opted to source from companies that can supply replacement quickly, and did not opt for Takata’s competitors because of concerns about Takata quality.

Daihatsu is replacing the Takata inflators with new inflators from Takata.
Toyota said Wednesday, while announcing its recall of about 5 million vehicles that it would opt for new inflators from Daicel on the driver-side because it could deliver the needed volume more quickly. Toyota will used Takata replacements for the passenger-side.

Toyota’s recall involved 35 models, including 1.36 million cars in Japan, 1.27 million in Europe, 637,000 in the U.S. and 18,000 in Canada, the company said in an email.

U.S. National Highway Traffic Safety Administration spokesman Gordon Trowbridge said Toyota and Nissan as well as Japanese government officials have been in contact with the U.S. safety agency over the last few days, and NHTSA will soon announce "significant new steps" related to accelerating Takata recalls.

Nissan said it was recalling about 1.56 million cars globally over the same issue, adding that no accidents or injuries had been reported. Nissan's recall includes 563,000 cars in Europe, 326,000 in North America, 288,000 in Japan and 274,000 in China.

Six fatalities in Honda cars, including five in the U.S. and one in Malaysia, have been blamed on shrapnel from Takata airbags. At least 105 injuries are connected to the flaw, U.S. Senator Bill Nelson said last month.

Regulators in Japan and the U.S. are investigating Takata airbag inflators that may malfunction, deploying them with so much force that the part breaks and hurls metal shrapnel at the car's occupants.

A group of 10 automakers hired aerospace and defense company Orbital ATK to test potentially faulty Takata airbag inflators. The Japanese component maker has also commissioned German research group Fraunhofer Society to investigate the cause of airbag ruptures.

Takata, which has forecast a return to profit this fiscal year, has said it's unable to estimate the penalties from the lawsuits associated with the airbags and hasn't set aside any amount to cover them as the cause of the defect is still being investigated.

Toyota, Nissan add 6.5 million cars to Takata airbag recall

TOKYO -- Toyota Motor and Nissan Motor are recalling more than 6.5 million cars globally to replace potentially faulty airbag inflators made by Takata Corp.
Toyota said today it would recall about 5 million Corolla, Vitz/Yaris and other models worldwide to replace Takata airbag inflators.

The recall involves 35 models including 1.36 million cars in Japan, 1.27 million in Europe, 637,000 in the U.S. and 18,000 in Canada, the company said in an email.
Toyota said it will replace the affected front driver-side airbag inflators with newly manufactured parts produced by Daicel Corp. Takata will supply the replacements for front passenger-side airbag inflators because compatible parts from a different supplier are not available, Toyota said.

No accidents or injuries have been reported, a Toyota spokeswoman said, adding that the recall was for investigative purposes. Cars with production dates from March 2003 to November 2007 are subject to the recall.

Nissan said it was recalling about 1.56 million cars globally over the same issue, adding that no accidents or injuries had been reported.

Nissan's recall includes 563,000 cars in Europe, 326,000 in North America, 288,000 in Japan and 274,000 in China. The company did not give details about the models affected.

Nissan will begin notifying customers in June, said Dion Corbett, a company spokesman.

Six fatalities in Honda cars, including five in the U.S. and one in Malaysia, have been blamed on shrapnel from Takata airbags. At least 105 injuries are connected to the flaw, U.S. Senator Bill Nelson said last month.

Honda today said it was preparing to file additional recalls related to Takata airbags. The company did not specify which models or regions the recalls would affect.

Today's announcements raise the number of vehicles recalled worldwide since 2008 over Takata airbag inflators to roughly 31 million.

Takata faces multiple class action lawsuits in the United States and Canada, as well as a U.S. criminal investigation and a regulatory probe.

Moisture intrusion
Toyota has already recalled vehicles in regions with high humidity such as the Gulf Coast in the U.S.

Toyota said today that certain types of airbag inflators were found to have potential for moisture intrusion and could be susceptible to abnormal deployment in a crash though the relationship between the two is not known.

"The biggest problem here is both carmakers and Takata have not specified the direct reason for the defect," said Takeshi Miyao, an analyst at researcher Carnorama in Tokyo. "They can't recall all the possible cars without knowing what the direct cause is as the costs are enormous and they don't know which side should cover the costs."

Regulators in Japan and the U.S. are investigating Takata airbag inflators that may malfunction, deploying them with so much force that the part breaks and hurls metal shrapnel at the car's occupants.

A group of 10 automakers hired aerospace and defense company Orbital ATK to test potentially faulty Takata airbag inflators. The Japanese component maker has also commissioned German research group Fraunhofer Society to investigate the cause of airbag ruptures.

Takata, which has forecast a return to profit this fiscal year, has said it's unable to estimate the penalties from the lawsuits associated with the airbags and hasn't set aside any amount to cover them as the cause of the defect is still being investigated.

Source: Autonews

This year BMW X5 xDrive 40e serial launch
The model will be a plug-in hybrid, which will accelerate from 0 to 100 km/h in under 7 seconds and fuel consumption to just 3,8 l/100 km.

Concept BMW X5 eDrive will get standard equipment later in the year and will be named the name BMW X5 xDrive40e. The concept was unveiled in September 2013, the salon in Frankfurt. The model will be powered by a 2.0 – liter turbo – petrol four-cylinder unit that operates in combination with the electric motor, and the total capacity will be 272 KDZ. So SAV hybrid will accelerate from 0 to 100 km / h in less than 7 seconds. Full of energy, thanks to the electric motor with an output of 70 kWh, the vehicle will be able to develop 120 km / h and range is 30 kilometers. In hybrid mode BMW X5 xDrive 40e consumes just 3,8 l/100 km.
In terms of design the model will be different from the rest, the only difference is the extra flap in the front left part, which is reproduced connector to power the batteries with electricity, which is mounted in the trunk.
BMW is likely to reveal X5 xDrive 40e in March, the salon in Geneva or Paris later in September.
- See more at: http://www.newspeedcars.com/bmw-x5-xdrive40e/#sthash.wxWECJCl.dpuf

This year BMW X5 xDrive 40e serial launch
The model will be a plug-in hybrid, which will accelerate from 0 to 100 km/h in under 7 seconds and fuel consumption to just 3,8 l/100 km.

Concept BMW X5 eDrive will get standard equipment later in the year and will be named the name BMW X5 xDrive40e. The concept was unveiled in September 2013, the salon in Frankfurt. The model will be powered by a 2.0 – liter turbo – petrol four-cylinder unit that operates in combination with the electric motor, and the total capacity will be 272 KDZ. So SAV hybrid will accelerate from 0 to 100 km / h in less than 7 seconds. Full of energy, thanks to the electric motor with an output of 70 kWh, the vehicle will be able to develop 120 km / h and range is 30 kilometers. In hybrid mode BMW X5 xDrive 40e consumes just 3,8 l/100 km.
In terms of design the model will be different from the rest, the only difference is the extra flap in the front left part, which is reproduced connector to power the batteries with electricity, which is mounted in the trunk.
BMW is likely to reveal X5 xDrive 40e in March, the salon in Geneva or Paris later in September.
- See more at: http://www.newspeedcars.com/bmw-x5-xdrive40e/#sthash.wxWECJCl.dpuf

100 drivers get to test Toyota's wacky three-wheeler

Others may have dismissed it as a nutty novelty. But now it appears that Toyota is taking its i-Road "ultra-compact EV concept" seriously.

Toyota is lending 10 i-Road vehicles to a total of 100 participants who will swallow their motoring pride and take turns driving the vehicle for a month at a time. The 100 include average commuters as well as various experts and people considered to be trendsetters. Toyota says the project will last for a year.

Toyota says that it is going to launch the project in Tokyo in July. It appears to be aimed at trying to try to drum up more support for the idea of tiny one-person minicar that can be parked virtually anywhere in one of the world's most congested cities. The electric three-wheeler is distinguished by the way it leans into turns.

Toyota says the Open Road Project is aimed at encouraging use of the i-Road, which up until now has been an auto show fixture that few observers expected to amount to more than a design exercise. The goal of the project will be to find convenient parking — which would seem pretty easy given i-Road is a little bigger than a couple of bicycles — and encourage customization, according to Toyota.

As for parking, the car — if you dare call it that — can recharge from a 100-volt electrical outlet, so it's important that one be near the parking spot.
In return for using the i-Road, participants are required to let Toyota what they think of the vehicle and how to best use it.

Source: USAToday

April's surprise fastest-selling car, plus May deal picks

The sun is shining in many parts of the country that were gripped by cold for another long winter, and many folks in those areas are running out to buy cars at a fast pace. But no matter the weather, SUVs and pickup trucks are what they're buying.

Eighteen of the 23 fastest-selling cars in April were SUVs or pickups, but most surprising was the vehicle that took the top spot as the month's fastest seller.
Wagons have mostly disappeared from the automotive landscape thanks to the popularity of SUVs during the past 25 years, but Volkswagen's new Golf SportWagen was in demand, selling in just nine days.

Subaru's Outback wagon, which is more of a crossover these days, also sold quickly at 12 days. Both wagons far outpaces the average of 53 days to sell a new car. While that average is up from last month's 50 days it is down versus last April when it took 56 days. That says April was a good month for car sales.

Source: USAToday

Only 2.2% in profits? But auto dealers say yippee

Most business owners would wonder why it's worth the effort for a 2.2% profit rate, but car dealers in general are thriving at that level.

The 2.2% pretax rate for dealerships last year included not only profit on new car sales, but used cars, and service and parts, the National Automobile Dealers Association says.

"Fierce price competition among dealers for sales and service left dealership profitability unchanged for the third straight year," said NADA Chief Economist Steven Szakaly.

Because cars have become so expensive — an average of $32,618 each — the amount of revenue that dealerships bring in is staggering even if profit margins are modest. It was $806 billion last year.

While more than 1 million workers were employed at dealerships last year, the average new-car dealer employed 64 workers. Wages are up 3.3% since 2011, and average wages are now $55,000 a year.

The myriad recalls last year, led by General Motors, meant big money to dealers. They collected $8.5 billion last year for recall and warranty work, up 21.6%.

Source: USAToday