Ford executive vice president retires early

Mark Schulz, Ford Motor Co. executive vice president, is going to retire early next year after 30 years of service with the automotive manufacturer.

Schulz is responsible for Ford automotive operations outside of North and South America. He joined the world's second-largest automaker, in 1970 as an assembly line worker.

Schulz is one of the latest senior executives to leave since the company appointed Alan Mulally, 61, as CEO three months ago. A series of other senior executives including Ford's second-ranking North American executive, the North America manufacturing chief and the chief of staff announced their departures after Mulally's Sept. 1 hiring.

After Schulz's departure, Ford will have three remaining executive vice presidents: Don Leclair, who is also CFO; Lewis Booth, superviser of Ford Europe and Ford's Europe luxury brands, including Jaguar, and Mark Fields, head of Ford's Americas unit.

Industry insiders are now speculating a full company re-structure as Alan Mulally is implementing a series of changes in strategy and organisation.

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Motorbike ride a day keeps the traffic away

Ever felt fed up with cars? It's funny I should say that but there is nothing more annoying then driving in London. A real nightmare. Going from A to B becomes a day-long adventure that does nothing for my nerves.

So I decided to get a bike...
A motorbike of course, haven't gone mad yet.

Started searching and came across Brooks Barn. Simple, fast and furious. I am talking about the website, the service and the motorcycle. Was easier than buying a bag of crisps.

And YES, I am proud of my brand new Suzuki EN125-2.

Saves me 25 min everyday and love bypassing the car drivers that stare back in anger.

:)

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Traffic Accident Research Centre

The Volvo Car Corporation and Volvo Group are setting up a joint Traffic Accident Research Centre in China. Volvo is continuing to acquire information and expertise in the drive to develop safer vehicles with its active traffic accident research, while at the same time hoping to contribute to safer road traffic in the world's most populous country.

Volvo's in-house state of the art traffic accident research is the most advanced in the automotive industry. Its main centre is in hometown Goteborg, Sweden but there are more local operations in the USA and Thailand. Volvo has built up a unique database of facts including detailed information about almost 40,000 car accidents involving more than 50,000 passengers.

The safety systems introduced into Volvo's cars, buses and trucks over the years were developed from the knowledge that Volvo's accident research unit has gathered from real-life traffic accidents. A few examples are the SIPS (Side-Impact Protection System), frontal offset impacts and child safety equipment in passenger cars, as well as the deformable steering wheel and FUPS (Front Underrun Protection System) and ESP (Electronic Stability Program) for buses and trucks.

Volvo wants to contribute to this growing positive trend in this vital area and aims to create a traffic accident research centre in China. Local research for cars, trucks and buses will take place in co-operation with Chinese organisations and universities, while the operation's foundation will remain at Volvo's headquarters in Sweden.

So Volvo is taking a step in the right direction when it comes to safety. Hopefully other major automotive industry players will soon follow suit.

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Fiat India records profits

Positive results by Fiat’s core automotive division is reported to perform well as it posted again profit for the fourth straight quarter this week.

The company continued gaining from improved sales of Grande Punto hatchback and other popular Fiat models.

Fiat is aiming for a 2006 group trading profit of 1.85 billion euros, targeting a net profit of 800 million euros.

Fiat Auto is the group’s biggest division by sales, making a trading profit of 51 million euros against a loss of 85 million euros for the same period last year.

Despite recent negative trends in the automotive industry Fiat is proving that successes still exist for the companies that work hard to get operations and sales right.

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The Bosch Group bids for Pacifica

The market is excited with the news that Bosch Group has made a $495 million bid for Australian auto parts manufacturer Pacifica Group Limited (PBB). Bosch intends to make an off-market takeover offer for Pacifica.

The offer includes the assumption of Pacifica’s existing net debt. The Bosch cash offer represents an outstanding opportunity for Pacifica shareholders to immediately realise a significant premium to the recent trading value of Pacifica shares.

Stockbroking analysts haven't found the offer from Bosch surprising.

Bosch stated that the volume weighted average price includes the recent surge in the share price fuelled by speculation of a potential takeover of Pacifica.

Dr Bernd Bohr, a member of the Bosch Board of Management and chairman of the Automotive Group, said the offer represents full and fair value for Pacifica.

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Toyota hiring new staff in Lafayette

The Toyota Subaru production plant of Indiana Automotive Inc. in Lafayette is hiring a 1,000 strong automotive workforce.

SIA and the Indiana Department of Workforce Development have collaborated to design a paperless, online application process that will begin on Oct. 30. Applications also will be accepted at any WorkOne office in Indiana.
SIA is one of the highest wage manufacturers in the Lafayette area according to Kevin McNamara, professor of agricultural economics at Purdue University.

Applications also are expected to come from far outside Tippecanoe and surrounding counties, as people seek employment that offers good pay and substantive benefits.
Through a contract with the Toyota Motor Corp., SIA will hire approximately 1,000 people in two phases, to begin production of the Toyota Camry next year.

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New cars at factory outlet prices

It sounds impossible but Factory Outlet Cars is one of the first retailers to promise a range of new cars at factory outlet prices.

The company is one of the largest UK online new car dealers, offering a wide range of new car prices with considerable savings. The price discounts on new cars do not compromise on customer service and the company has managed to maintain this promise. All the cars are available with car finance, part exchange and delivery so it makes it easier a process to manage.

Factory Outlet Cars has 25 years experience providing new cars and used cars for other new car dealers throughout the UK and this is how they can heavily discount to the consumer. The existing supply network ensures delivering the cars at the right price and at the right time. Most of the car selection is usually in stock locally keeping costs to a minimum and passing these savings onto the consumers.

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Bad year for Ford or automotive in Australia?

The Australian is reporting on new job losses across Australias besieged automotive parts industry this week, after Ford Australia unveiled plans to cut new car production by 20%.

The news come following previously reported new car sales figures drop for Holden and Toyota, in September last year.

Ford also warned of job losses from its 5000-strong workforce after blaming declining sales for the decision to cuts its daily new car production from 450 to 360 from November 20.

Industry analysts warned that Ford's decision would put significant pressure on cash-strapped car part makers.

Ford sales have been hit by rising petrol prices and declining sales on the the back of strong competition from rivals marketing newer products.

Industry insiders confirmed that the car industry is facing a difficult period.

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BeijingBenz-DaimlerChrysler opens new plant

Great news for the automotive industry from China.

BeijingBenz-DaimlerChrysler Automotive Ltd, a joint venture between DaimlerChrysler and the Beijing Automotive Industry Corp, said it will open its new manufacturing facility in Beijing tomorrow.

The company has previously said it will produce the Chrysler 300C at the new plant in the Beijing Development Area, where Mercedes-Benz E- and C-class sedans will also be made.
Chrysler chief executive Tom LaSorda last year said total annual capacity at the facility will be 80,000 units, including production of the Cherokee Jeep and Mitsubishi cars.

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Poweroffroad customer service - Adam & Tarek Mowafi

There has been a lot of industry talk about The Mowafi's, (Adam & Tarek Mowafi). Their enterprise Poweroffroad seems to be causing some problems amongst the business community as well as customers as people report on the web.

They are infamous for customer services and their poor refund policy.

Some documentation on the web:

• Tarek Mowafi of Poweroffroad rips someone of £2,000
• The Mowafi's dodgy business
• Trading standards court case

Update: It is reported that Adam & Tarek Mowafi have fled to Egypt. Please don't be discouraged to report them to the authorities if you had a bad experience. Also please continue to post your stories as this helps other people protect themselves from similar companies to Poweroffroad.

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Russian auto plant reduces car prices

Great news for the Russian automotive industry from the Gorky Automotive Plant.

Gorky Automotive Plant is setting unified prices for 'GAZ' cars all across Russia. As a result, the prices will decrease in the regions located far from the production center. For example, in the Russian Far East the prices will decrease by RUR17000 for passenger cars and by RUR24-55000 for commercial vehicles.

These changes in the pricing policy aim to make the products maximally close to customers and to further improve the services of the maintenance-sales network at sale and after-sale point servicing.

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Honda updates Element

American Honda Motor Co., Inc, announced that the substantially updated 2007 Honda Element LX and EX went on sale at $18,900. That accounts for an average increase of just 2.7 percent or $572 on a sales weighted basis (not including the all-new Element SC). The all-new Element SC, which goes on sale September 28th, will start at $22,695. Destination and handling charges for all 2007 Honda models is $595.

The extremely versatile Honda Element SUV undergoes a transformation for 2007 with freshened styling, 10 more horsepower, new 5-speed automatic transmission and extensive new standard safety equipment that includes side curtain airbags and Vehicle Stability Assist. The all-new sporty variation, the Element SC, will also debut with a sport-tuned suspension, "Street Custom" styling and premium features. The 2007 Honda Element returns with an extensive list of advanced safety equipment while providing a new level of sophistication and refinement. Honda believes that the expansion of the Element lineup to include the Element SC, will appeal to an even broader set of customers and Honda enthusiasts.

In addition to new safety equipment, more than a dozen enhancements have been made to the Element LX and EX, highlighted by new headlight and grille styling, a more powerful 166-horsepower 2.4-liter 4-cylinder engine, Drive-by-Wire(TM) throttle control system, new interior color schemes, standard painted exterior body panels (EX only), Maintenance Minder(TM) system, black urethane flooring, new gauge designs and more. As a further enhancement, the addition of seat-integrated front safety belts to all Element models allows for much easier rear passenger loading and unloading.

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Automotive resources

Used Cars in Los Angeles

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New automotive R&D facility from MG Motors

MG Motors has set-up a new research and development facility for the University of Oklahoma. This could help turn OU into a world-class automotive engineering school reports OU Daily.

Thomas L. Landers, Dean of the College of Engineering said that MG Motors North America Inc. plans to set up shop somewhere on campus this fall and will eventually construct its own facility near the Stephenson Research and Technology Center south of the main campus.

The facility will employ a combination of company engineers, OU faculty, and students with paid assistantships, and there will probably be one student for each full-time engineer.

Chinese automaker Nanjing Automobile Corp., which last year purchased the assets of legendary British sports carmaker MG from a bankruptcy court, announced July 12 that it had picked Oklahoma City as the headquarters for its new MG Motors subsidiary.

The company plans to employ about 550 people in Oklahoma, with some 150 at the Oklahoma City headquarters, 325 at a manufacturing plant in Ardmore, and about 35 at the research facility in Norman. The engineering and research team will require people with a variety of backgrounds and skills.

The facility will also provide work experience and research opportunities for aerospace and mechanical engineers, electrical engineers, industrial engineers, computer scientists and chemical engineers who will work with materials, fuel mixtures and combustion processes.

The OU program with the most direct connection to the auto industry is aerospace and mechanical engineering, and there is a number of Oklahoma University students with an interest in the auto industry. The university has a chapter of the Society of Automotive Engineers, which sponsors a racing team.

Only a few professors at OU do automotive research and students interested in the automotive field have had few opportunities to get into the industry so far.

Having an R-and-D facility in OU's backyard will be a huge step forward for the automotive education in the academic institution.

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BMW chooses Zenon software

The BMW Group has chosen to use zenOn software solutions for their plants world-wide. Copa-Data zenOn will manage the security and reliability at all production plants. The German car manufacturer is confident that it could increase efficiency and productivity considerably across their plants. The BMW Group decided in favour of world-wide implementation of zenOn. It's not all news though as the visualization solution of Copa-Data has already successfully operated the surface technique across the BMW Group for 5 years.

The software makers point out that with the decision to use zenOn company-wide, BMW has entered a strategic partnership with Copa-Data.

For car production, the automotive specialist chose the contractor who could offer the most standardisation, and thus create the greatest possible internal synergy between operations. Furthermore, the automotive manufacturer requires a universal solution from the plant pictures to the alarm management. This universality not only increases quality, but also the overall productivity of their equipment.

As zenOn 6.20 can be used on all Windows operating system and platforms, from Windows CE up to Windows Server 2003, a transparent flow of information throughout the company network can fully be guaranteed.

Supervisory control to operator terminal transparency offered by zenOn makes it possible for the production team members to come to the right decisions at any time irrespective of their location.

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Automotive Engineering Programmes

IUCTT (International University College of Technology Twintech) is starting to offer a range of tertiary programmes in automotive engineering this year.

IUCTT is the first institution in Malaysia to provide such programmes at diploma, degree, master and Ph.D levels at its School of Automotive Engineering.

The programmes will be conducted at the IUCTT campus in Bandar Sri Damansara in collaboration with Auto Terminal Sdn Bhd (Tekat).

A Memorandum of Agreement was signed between IUCTT, represented by Dr Ismail and Tekat, represented by its executive chairman, Prof Datuk Dr Zainal Kling and witnessed by Deputy Higher Education Minister Datuk Ong Tee Keat.

Dr Ismail said the IUCTT-Tekat collaboration would encourage more local students to obtain high-quality education in Malaysia without the high financial burden to pursue equivalent courses overseas.

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New Volkswagen Plant in Russia

The way for a new Volkswagen AG production plant in Russia is clear. The Chairman of the Board of Management of Volkswagen AG, Dr. Bernd Pischetsrieder, and the Chairman of the Board of Directors of Skoda Auto, Detlef Wittig, signed the necessary contracts with the Russian Federation and the Kaluga Oblast in Moscow on Monday.

The new plant will be built in the city of Kaluga some 160 kilometers to the south west of Moscow. Representing the Russian partners, the contracts were signed by Minister German Gref on behalf of the Russian government and Governor Anatoly Artamonov on behalf of the city of Kaluga. “We will be significantly expanding our position in Russia over the coming years with this new plant. It represents an important strategic step for our Group, and also contributes to securing jobs in Germany,” commented Pischetsrieder.

"We are firmly resolved to tap the considerable growth opportunities offered by the Russian market,” said Pischetsrieder. He added that, due to high customs duties on imported automobiles, Volkswagen and Skoda models could only be offered at competitive prices if they were produced in Russia. “The new plant means lower customs duties and more attractive prices for our cars. That is how we can significantly increase our market volumes in Russia and thus raise capacity utilization at the Group’s component plants.” Pischetsrieder stated that the objective was to expand Group sales from some 30,000 vehicles at present to 150,000 units over the next four to five years.

During the run-in phase, semi knocked-down Volkswagen and Skoda brand models will be assembled in Kaluga from the second half of 2007. The Skoda Octavia will be the first model to leave the assembly line. Initially, some 20,000 units will thus be produced annually. At the same time, full production facilities comprising body shop, paint shop and assembly lines will be installed, with operation scheduled to commence in the first half of 2009.

More here.

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Gasoline prices delaying 'green' cars

Thirty-seven percent of consumers say high gasoline prices have them thinking about replacing their cars with more fuel-efficient vehicles. And half of those say they are considering a gasoline-electric hybrid, according to a new survey by Consumer Reports.

But when cost-conscious consumers actually look at hybrids, many of them will be turned off, predicts Douglas Love, a spokesman for Consumer Reports.

The first generation of hybrids, such as the Honda Insight and Toyota Prius, "were designed from the start to deliver great fuel economy," Love says. These cars use electric motors to supplement small gasoline engines for significant increases in mileage.

Although the tiny two-seater Insight is being discontinued, the Prius continues to fly off dealer lots, often at a premium over the sticker price. The Honda Civic Hybrid, another model designed mainly for mileage, is also selling well, but that's partly because of a redesign that has boosted sales of all Civics, including the non-hybrid version.

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Automotive corporate responsibility

Great news from TNS! Automotive companies are finally striking a chord with their social responsibility programmes in emerging markets. A great step towards building some strong local ties that can aid the production of cheap cars in the future.

The 2006 Global Corporate Social Responsibility (CSR) study, which was conducted in March and April across 16 countries, reveals that emerging markets such as Thailand, India, and China rate automotive companies higher in regards to corporate social responsibility than mature markets of the west. The study attributes this to the general public's high ratings of the automotive sector in emerging markets for generating jobs and improving quality of life.

Chris Bonsi, regional director TNS Automotive explains: 'Thailand, India, and China have recorded phenomenal industry growth in the automotive sector and consumers in these markets see automotive companies playing an integral role in the economic and social development of their country. Conversely, the governments of some emerging markets do not fully recognise the contribution of the automotive sector in generating jobs for their country - in some cases, levying high taxes on the automotive sector because the end-products are seen to be luxury items that only a few can afford, without considering the jobs the sector creates for everyday people manufacturing, distributing, and servicing these products.'

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Robotic cars driving inside city limits

Seven months after an unmanned Volkswagen successfully drove itself over the rugged Mojave Desert, the Pentagon is sponsoring another challenge for self-driving vehicles that can weave through congested city traffic without causing an accident.

The contest, to be held in November 2007, will test the vehicles' ability to independently carry out a simulated military supply mission in an urban setting in less than six hours.

The Pentagon's Defense Advanced Research Projects Agency, or DARPA, created the latest challenge to spur development of vehicles that could be used in the battlefield without any sort of remote control.

Participants will have to navigate a complex 60-mile test course in a yet-to-be-determined city filled with moving vehicles -- both manned and unmanned. The test course will be designed like a real city street where vehicles will have to make sharp turns, navigate intersections and avoid crashing into obstacles such as utility poles, trees and parked cars.

Equipped only with a computer brain and sensors, the participants will be graded on how well they can obey traffic laws, change lanes, merge with moving cars and pull into a parking lot.

The first vehicle that successfully completes the mission will win $2 million with second-place finishers claiming $500,000 while third place will receive $250,000.

Last October, the agency awarded $2 million to a driverless Volkswagen SUV, which beat out a field of 23 vehicles by traversing 132 miles of twisting desert and mountain terrain. While the vehicles had to drive on rough road and dodge man-made obstacles, they didn't have to drive in traffic.

''We believe the robotics community is ready to tackle vehicle operation inside city limits,'' DARPA Director Tony Tether said in a statement.

Stanford University computer scientist Sebastian Thrun, who won last year's race, said he was excited to see the agency take the challenge to the next level. Thrun said the artificial intelligence knowledge gained from the contest could also benefit society by pushing the development of ''smart cars'' that can self-navigate on highways and potentially reduce accidents.

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New York Auto Show

Anyone with a car has seen the upward drift of gas prices, which have jumped an average of 17 cents in the past two weeks. And the auto industry is watching that trend closely, rolling out a variety of more economic, fuel-efficient vehicles.

They're on display at the New York International Auto Show at the Jacob Javitz Center. Hybrids are getting a lot of attention this year, offering electric power assist for lower gas usage. And the other flavor of the moment is the crossover utility vehicle, or CUV. This is the fastest-growing sector in the United States, outpacing even the remarkable growth of SUVs in the 1990s. A cross between a station wagon and an SUV, their attraction lies in spacious and flexible interiors, all-wheel drive, and better fuel efficiency than larger vehicles.

Courtney Caldwell, editor in chief of Road and Travel magazine, highlighted some of the hottest newcomers for The Early Show Wednesday.

Saturn Vue Green Line Hybrid
The Vue Green Line is expected to be the lowest-cost hybrid-powered SUV on the market, and advertises a combination of fuel savings, value, and utility. The company says it will deliver an estimated 20 percent improvement in fuel economy, depending on driving conditions. It is expected to carry an EPA fuel economy rating of 27 mpg in the city and 32 mpg on the highway, which would make it the best highway fuel economy of any SUV currently on the market.

Electric Motor/Generator improves fuel efficiency by:

Fuel shuts off upon deceleration

Engine shuts off when vehicle is stopped

Promptly restarts engine when brakes are released

Other features:

OnStar, an in-vehicle navigation, safety and security system.

Price: $23, 000

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New York debut of Saturn PreVue

The PreVue seems like a glimpse of a possible future design direction for the Saturn brand as it tries to broaden its appeal to include sportier vehicles notes the Auto Blog. Sharp-eyed readers will recognize the PreVue as a rebadged Opel Antara GTC concept from last year's Frankfurt Motor Show, more evidence, if any were needed, of General Motors' shotgun wedding of the two brands. Not that this is a bad thing - Opel's Antara was one of our favorites in Frankfurt.
The concept car is powered by a transverse-mounted, twin-turbo Ecotec diesel, putting out 212 hp (156 kw) through a six-speed automatic.

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Saving private US auto industry

The accelerating woes of Ford and General Motors and the ongoing crisis in auto parts have produced vows from Detroit that business-as-usual won't continue. Yet unless U.S. trade policy changes, too, and Washington imposes sweeping emergency tariffs on imports of manufactured goods, the American-owned automotive industry will soon disappear, and along with it much of the rest of America's core manufacturing.

For a quarter-century, Washington has dodged the biggest trade problem plaguing domestic automotive producers: an import tidal wave of vehicles and parts from rivals enjoying a host of advantages unavailable to U.S. automakers. Though Japanese, German, and Korean automotive companies sell freely to the U.S. market, their home markets have been tightly protected. These governments also use numerous other tricks to promote their auto sectors such as currency manipulation and subsidies.

Since the import flood began in the 1970s, U.S. leaders have lacked the will and economic savvy to counteract these unfair competitive advantages. And unfortunately, Detroit has flunked the trade policy challenge, too.

In the 1980s, the United States imposed import quotas in part aimed at forcing foreign automotive companies to produce in America. But because no overall competitiveness strategy accompanied these barriers, they handed the Europeans and Asians not only new access to U.S. markets, but bargain-basement labor and health-cost structures with no retirement obligations.

During the 1990s, domestic automotive producers strongly backed NAFTA, believing that such a deal would strengthen American manufacturing by enabling labor-intensive operations to be sent to low-cost Mexico and by requiring Asian and European manufacturers to use high levels of North American content if they wanted to sell here. However, even though foreign-owned factories produce millions of vehicles in the United States, car and truck imports from these countries keep surging.

More here.

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Motorola in automotive electronics sale

Motorola Inc. said Monday it is selling its automotive electronics business to Continental AG.

The German tire company will pay about $1 billion for Motorola's auto electronics business, which generates about $1.6 billion in annual sales.

The unit will join Continental's automotive systems division, which has annual sales of about $6.5 billion.

The deal is expected to close in the first half of this year, pending customary closing and regulatory conditions.

Motorola's automotive unit currently is a component of its Networks & Enterprise business and has nearly 4,500 employees worldwide.

Continental is a supplier of brake systems, chassis components, vehicle electronics and tires. At present it has a worldwide workforce of approximately 80,000.

Schaumburg, Ill.-based Motorola (NYSE: MOT) manufactures a variety of communications devices and has operations here in the Valley.

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Chinese carmaker in Malaysia

China carmaker Geely Automobile Holdings Ltd’s plan to assemble its cars in Malaysia is now back on track, making it the first Chinese vehicle to be assembled here, after the government allowed a portion of its cars to be sold in the domestic market.

The assembly of its 1.3 litre Geely CK1 sedan will be carried out via Information Gateway Corporation Sdn Bhd (IGC), a local company that holds the exclusive franchise to assemble, manufacture and distribute the China carmakers’ right-hand drive cars.

Under the latest collaboration, IGC will sell 20% of the locally-assembled Geely vehicles in Malaysia with the rest exported. The Geely CK1 export price would be between US$5,000 and US$6,000 but the price for the domestic market has not been determined.

IGC group executive chairman Tan Sri Cam Soh Thiam Hong said IGC will assemble up to 10,000 Geely CK1 units by August 2007 (one year after roll-out) following the strategic collaboration between the two companies.

The company had in late last year suspended its planned production project in Malaysia due to a policy reversal by the government which required Geely to export all the cars it produced in the country.

When Geely signed the deal in May 2005, it had intended to sell at least 90,000 completely-knocked-down (CKD) units worth US$450 million in Malaysia.

On the 80:20 ratio for the export and domestic sales, Soh said: “This is in line with the National Automotive Policy and the government’s vision to develop the country into an automotive manufacturing and assembly hub.

“The Geely CK1 assembly will be done at Oriental Assemblers Sdn Bhd in Johor Bahru and we expect roll out by July this year. This model will only have 40% local content as we will purchase 60% from Geely."

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