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Archive for the ‘Sales’ Category

Detroit Auto Show to Announce New Time Slot

Event organizers to announce July or October shift for 2020.

by on Jun.29, 2018

Organizers of the Detroit Auto Show are planning to move it from January to either June or October.

The North American International Auto Show plans to end its winter blues, sponsors confirming they will announce next month whether they will move from the current January timeslot to either June or October.

For years one of the most important auto shows in the world – particularly from a media perspective — the NAIAS has fallen on hard times in recently. While public attendance has grown, the number of new product debuts fell this past year to less than half of past peaks and a growing number of manufacturers, including Mercedes-Benz, BMW and Audi, have announced they’ll be no-shows in 2019.

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“We will have more details on what we plan to do on July 24,” Max Muncey, spokesman for the Detroit Auto Dealers Association, told TheDetroitBureau.com, confirming that the DADA will confirm whether the auto show is moving to the new spring or autumn date. (more…)

Tesla Reportedly Set to Miss Model 3 Production Milestone

New report says carmaker well short of 5,000 weekly target.

by on Jun.29, 2018

Tesla CEO Elon Musk needed to add a fourth line to the company's plant. He didn't have room inside so he built a tent.

Stung by the slow rollout of its critical Model 3, Tesla has pulled out all the stops to try to boost production, even setting up a fourth assembly line under a tent alongside its Fremont, California plant.

CEO Elon Musk has promised to have 5,000 Model 3 sedans rolling out of the Fremont factory each week by the end of June, something critical to achieve his other stated goals of having Tesla in the black, with a positive cashflow, during the second half of 2018. The “production hell” of the Model 3 launch resulted in record losses for Tesla during the first quarter of the year.

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But there are growing doubts that Tesla will meet its production target. And that would raise new concerns about its finances – including the potential need to go back for more capital this year as the company’s cash reserves dwindle. (more…)

Car Dealers Tell Commerce Department That Tariffs are Taxes on Consumers

Department studying if imported autos risk national security.

by on Jun.29, 2018

AIADA's Cody Lusk chastised the Trump administration in a filing, saying a new tariff amounts to a new tax on the American people.

This country’s international auto dealers, who sell brands from Asia and Europe, fired a broadside shot against the Trump administration’s plans to impose a heavy tariff on cars imported into the U.S.

America’s auto dealers, domestic and international, stand to lose up to 2 million annual sales if the investigation rules against their products and the 25% tariff proposed by the Trump administration is put in place, the American International Auto Dealers Association said.

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The AIADA comments were filed with the Department of Commerce’s Section 232 investigation into whether or not imported autos and auto parts, used in every car sold in America, pose a national security threat to the United States. (more…)

Dodge Boss Beahm Fills in the Blanks About Brand’s Product Plans

“Everything will have a performance element.”

by on Jun.28, 2018

Dodge boss Steve Beahm with the 2019 Dodge Challenger ScatPack discussed the brand's future.

During a daylong session in Milan, Italy, earlier this month, Fiat Chrysler Automobiles’ senior management team offered an in-depth look at the company’s next five-year plan – but they focused all but exclusively on four global FCA brands: Jeep, Ram, Alfa Romeo and Maserati, raising more questions than answers about the company’s two other U.S. divisions, Chrysler and Dodge.

While the fate of the Chrysler brand appears to be far from certain, there’s far more opportunity for Dodge, it appears, albeit as a niche brand increasingly focused on muscle.

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“Any vehicle in the Dodge brand going forward will have a performance element to it,” said Steve Beahm, the head of Dodge and the other U.S. passenger car brands, in a conversation with TheDetroitBureau.com. (more…)

New Vehicle Sales Holding Steady in June

First half set to be the weakest in four years.

by on Jun.28, 2018

June auto sales are holding steady, but the second half is expected to be soft.

New vehicle sales in June appear to be holding steady but are expected to decline during the second half of the year, analysts reported this week.

Cox Automotive said it expected June to rise 2.1% from last year, resulting in a seasonally adjusted annual rate of 16.9 million. The June sales pace is up from last year’s 16.6 million rate and is up slightly from the 16.8 million level in May 2018, Cox said. Through the first five months of 2018, the SAAR has averaged 17.1 million.

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J.D. Power and LMC Automotive predicted a 0.6% decrease compared with June 2017. “The first half of 2018 will deliver the weakest industry retail sales results since 2014,” said Thomas King, senior vice president of the Data and Analytics Division at J.D. Power. (more…)

Automakers Foreign and Domestic: Tariffs Harm Jobs, Economy

A 25% tariff could add nearly $6K to vehicle prices.

by on Jun.27, 2018

Commerce Secretary Wilbur Ross said the study determining if automotive imports could be declared a threat to national security.

(This story has been updated with additional information.)

The escalating tariff war between the United States and the European Union, heighted by a threat of a 20% tariff on EU-imported vehicles, could result in vehicle prices rising an average of $5,800 and eliminate hundreds of thousands of jobs.

Those are just some of the findings from study by the Peterson Institute for International Economics. The study claims that the cost to U.S. jobs from the import duties would be at least 195,000 jobs. It could be as high as 624,000 jobs if other countries retaliate.

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Last week, Trump threatened to impose the 20% tariff and yesterday he said tariffs are coming soon. (more…)

“Nearly Every Segment of the Auto Industry” Threatened by Trump Trade War

But administration may be ready to double down.

by on Jun.26, 2018

President Donald Trump is threatening to escalate tension between the U.S. and the EU by enacting a 25% tariff on Euro-built vehicles.

Automakers and suppliers are scrambling to respond to a series of moves by the Trump Administration that could negatively impact “nearly every segment of the auto industry,” according to a new analysis by financial rating firm Moody’s Investors Service.

On Monday, Wisconsin-based motorcycle manufacturer Harley-Davidson responded to growing threats of a trade war by announcing plans to move some production from the U.S. to Europe, a shift the company said was forced by the EU’s decision to enact new tariffs countering increases levied by the White House.

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That could be just the first step, however. Other manufacturers are studying options, but are waiting to see precisely what President Donald Trump might do next. He has already increased tariffs on imported steel and aluminum, but is considering a 25% tariff on imported cars and car parts. (more…)

Lease Prices Remain Flat for Summer — Mostly

Good deals are target of potential leasees.

by on Jun.25, 2018

Lease approvals are on the rise in the U.S. as leases search for good deals.

More Americans are getting approved for leases, lured by some aggressive pricing by automakers; however, prices for most leases remain stable heading into the summer selling season.

The lease approval rate hit its highest number in 2018 at 70% last month, jumping from 67.3% in April, and well above the 57.8% at the start of the year. The approval rate was up in February and March, according to Swapalease.com.

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“Lease credit approvals continue to show more stability as we move through spring and into the summer months,” said Scot Hall, Executive Vice President of Swapalease.com.  (more…)

Saudi Woman Race Driver Finally Gets to Take a Lap on a Home Track

Hashemite Kingdom officially lets women drive for the first time.

by on Jun.25, 2018

Saudi Arabian race driver Aseel Al Hamad finally got a chance to drive in her home country.

She’s an experienced race driver and member of her country’s Motor Federation, but this weekend marked a special occasion for Aseel Al Hamad, the first day she could drive in her home country.

Until Sunday, Saudi Arabia was the only country in the world where women were barred from driving, but after years of external pressure and internal protest, the ban was finally lifted. While there are still significant restrictions on what women can do in the Mideast kingdom, it means women no longer have to depend on male relatives, hired drivers or ride-sharing services to get around.

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For Al Hamad, it also meant that she could drive on a Saudi track for the first time, assisted by Jaguar which provided her with an F-Type sports car to mark the special occasion. The irony is that Al Hamad not only has become an experienced driver abroad but is the first feale member of the Saudi Arabia otor Federation and the country’s representative on the Women in Motorsport Commission for FIA, the Fédération Internationale de l’Automobile.

(more…)

Volvo Launches Car Production at First-Ever US Plant

Automaker will add second vehicle in 2021.

by on Jun.20, 2018

Volvo's first-ever manufacturing plant in the U.S. is building the new S60 sports sedan.

Volvo Cars opened its first manufacturing plant in the U.S. near Charleston, South Carolina, as it expands its global manufacturing footprint beyond Europe and Asia for the first time.

Volvo officials said the establishment of the plant in South Carolina follows the company’s manufacturing strategy “to build where it sells.”

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“The Charleston plant establishes the U.S. as our third ‘home’ market,” said Hakan Samuelsson, the president and chief executive of Volvo Cars. “The sedan segment and the SPA platform’s proven ability to boost profitability offer significant growth opportunities for Volvo Cars in the U.S. and globally.” (more…)