Auto Industry Archive

In the process of approving fast-track bankruptcy reorganization for General Motors, the U.S. Bankruptcy Court brushed aside the objections of a group representing GM’s white-collar retirees. “The court, in our opinion, did not do what was necessary to permit all parties to be treated fairly,” said John Christie, a 36-year GM veteran who is president of the General Motors...

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If the name “Chrysler” evokes images of rust belt factories, it’s time to clear your head of outmoded notions. Today’s company, having emerged from bankruptcy, is now part of a much-larger conglomerate with global interests. That was underscored this week when Fiat’s Sergio Marchionne announced a 50-50 joint venture with Chinese carmaker Guangzhou Automobile Group to build cars and...

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Better Place is definitely better known, but ECOtality is making a strong case for leadership in the race to wire cities, states and whole countries for the electric vehicles (EVs) of the very near future. In a Bnet.com exclusive, we can report that it will become the first American company to expand into China. And it’s starting to look as if the world’s most populous country will have a...

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The U.S. Bankruptcy Court order approving the reorganization of General Motors is a slam dunk for GM. The GM court order, dated Sunday, July 5, not only supports GM’s arguments on every major point, but also refutes many of the arguments that could form the basis of possible future appeals. That clears the way for GM to sell the assets of the restructured company to a new GM, which is...

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Don’t look now, but the business case for diesel passenger cars has gotten a whole lot better in the last year, as diesel has fallen to the same price as regular gasoline. The fact that diesel fuel was more expensive than gasoline was an argument against switching to diesel, even though diesels get about 25 to 30 percent better miles per gallon than the same size gasoline engine. A year...

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My squinting muscles are sore from trying to see the widely reported good news in June U.S. auto sales numbers. Once again, the seasonally adjusted annual rate of auto sales fell short of 10 million. That anemic number has become the new benchmark for the minimum demand needed to keep Chrysler and General Motors alive, not to mention the rest of the U.S. industry. The June SAAR was only 9.69...

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There has been abundant confirmation that Ford’s decision to opt-out of government TARP financing—a move made possible by CEO Alan Mulally’s prescient borrowing of $23 billion against its assets in 2006—has multiple benefits. People seem to be retaining their confidence in Ford cars and trucks, and it’s starting to show up in sales figures—which are still down, but not as dire as...

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If there was any doubt that tomorrow’s cars will be a lot cleaner and greener than today’s, it was erased yesterday when the Environmental Protection Agency granted California the right (from this year to 2016) to enforce tough greenhouse gas standards for tailpipes. The move had been widely expected, but the reality of it was still somewhat sobering for all concerned. Regulating...

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With gas prices rising, Hyundai is borrowing a move that didn’t work out too well for Chrysler a year ago. Hyundai is offering to lock in gas prices at $1.49 per gallon for a year, for customers who buy a Hyundai in July or August. Chrysler made a similar offer exactly a year ago, to lock in gas at $2.99 per gallon, when gas prices were rising much higher and faster. Chrysler’s...

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