Industry News
Week Commencing 14th January 2008
18th January 2008
17th January 2008
16th January 2008
15th January 2008
14th January 2008
IMechE Jaguar GT lecture
The Midlands Automobile Division of the UK’s Institution of Mechanical Engineers (IMechE) has organised a lecture on the Jaguar XKR GT3 racing car project.
The speaker will be Richard Lloyd, team principal of the Milton Keynes, UK based company Apex Motorsport which has carried out the project. The lecture takes place on February 5 at Coventry University, admission is free and all those interested are welcome to attend.
Bollig & Kemper signs licence for DuPont EcoConcept basecoat
Bollig & Kemper, a German automotive coatings manufacturer, has signed a licence agreement to manufacture and sell basecoats for DuPont’s EcoConcept to European vehicle assembly plants.
Automotive News presented DuPont with a PACE Award for the product last year. It eliminates one complete coating layer, the primer-surfacer, and combines it into a single environmentally compliant water-based basecoat. As a result, a spray booth and curing oven are eliminated from the paintshop, and the technology reduces energy consumption and solvent emissions related to the painting process by approximately 25%. Carbon dioxide emissions are reduced by 45-50 kg per vehicle.
The combination of two coats into one reduces production time and saves on the cost of equipment needed for the conventional three-coat process.
DuPont EcoConcept technology is currently being used at two Volkswagen plants, in Mexico and Spain. Some 200,000 cars have been produced using the process.
PPG licenses North American distributor for waste water treatment technology
The paint manufacturer PPG Industries has signed an agreement with Plymouth Technology, Inc. to distribute its metals removal system wastewater treatment technology to North American automotive manufacturers under the PPG brand name "Water Wise Solutions."
Technology: Woodbridge applies for patents for new seat cushion manufacturing process
The U.S. Woodbridge Group says is “excited” to offer ‘ComfortSense, Textured Surface Technology’, a patent-pending new one step, polyurethane seat cushion manufacturing process claimed to offer comfort performance at a lower cost than traditional methods.
Five ‘validated’ ComfortSense textures can be integrated on the polyurethane foam's surface, to fine-tune and maximize seat comfort performance “like never before”. Woodbridge says an unnamed European OEM will be using the system to deliver a plush feel for the seats of an forthcoming model to be announced later this year.
Technology: Amerigon’s Climate Control Seat to be option in Hyundai Genesis
Amerigon Inc., which develops a variety of products based on advanced thermoelectric technologies, announced yesterday that its proprietary Climate Control Seat system will be offered as an option in the 2008 Hyundai Genesis full-size, ‘sport-luxury’ saloon, Hyundai's first ever rear-wheel drive sports saloon offered in the U.S.
The CCS system, which is built around Amerigon's solid-state thermoelectric device, is completely independent of the car’s heating and air conditioning system and does not reduce power available to the engine. It also emits no CFCs or other gases.
Air is forced through the heat pump in the CCS system and thermally conditioned in response to electronic switch input from the seat occupant. The conditioned air is circulated by a fan through ducts in the seat cushion and seat back, so that the surface can be heated or cooled. Each seat has individual electronic controls to adjust the level of heating or cooling.
CCS is claimed to substantially improve comfort compared with conventional air conditioners by focusing the cooling directly on the passenger through the seat, rather than waiting until ambient air cools the seat surface behind the passenger.
J.D. Power and Associates forecasts regional diesel light vehicle demand to 2017
Annual growth of diesel light-vehicle demand in Eastern Europe, Asia and North America combined is projected to surpass growth in Western Europe by the early part of the next decade, according to the J.D. Power and Associates Automotive Forecasting Global Diesel Light-Vehicle Forecast.
"In the short term, it will continue to be Europe - primarily Western Europe - that will provide almost half of the growth in demand for diesel light vehicles globally," says Al Bedwell, senior manager at J.D. Power Automotive Forecasting. "While this remains a very significant portion, it is worth bearing in mind that average growth in Europe during the past four years was 62%. We are now entering a period when Europe will become less critical as a driver of growth in global diesel light-vehicle demand. In terms of absolute demand, however, Europe will still remain the most dominant region throughout the next decade."
According to the report, by 2017, North America and Asia combined will account for 45% of global annual demand for diesel light vehicles, compared with 25% in 2007.
With the exception of Brazil, all of the world's significant personal vehicle markets are now technically open to diesel vehicles, although some markets impose emission limits and/or fiscal and regulatory frameworks that make the sale of diesel vehicles economically unviable. Besides the increasing efficiency of diesel engines, the increasing tendency to connect vehicle taxation to fuel efficiency and CO2 performance is also seen as a driver of diesel vehicle demand.
Global demand for light vehicles is expected to grow from 66 million units in 2007 to 92 million by 2017. Demand for diesel-powered light-vehicles is projected to increase from 16 million to 29 million during the same period, resulting in an increase in market share from 23.6% in 2007 to 31.5% by 2017.
Regional highlights:
Western Europe - Overall growth in diesel vehicle demand in Western Europe has passed its peak. Annual increases in regional diesel share will be modest between 2008 and 2010, with slight declines likely thereafter.
Central and Eastern Europe - Penetration of diesel-powered vehicles among new-vehicle sales in the Central and Eastern European regions in 2007 remained mixed, varying from less than 10% in Russia (although diesel demand in the Russian urban market is beginning to stir) to 50% in Turkey. Excluding Russia and Ukraine, the region has experienced considerable growth in diesel vehicle demand in recent years, increasing from 19% in 2002 to 42% in 2007.
North America - In response to strict tailpipe emissions limits, high fuel prices and a growing awareness of greenhouse gas issues among both consumers and policy makers, rising demand for both diesel cars and light trucks is forecast for the North America market. Many manufacturers now have firm plans to enter the U.S. diesel market, which is projected to lead to a significant rise in diesel light-vehicle penetration, from 3% in 2007 to 14% by 2017.
South America Brazil's increasing commitment to ethanol as a fuel type for passenger vehicles will limit diesel prospects in South America's largest vehicle market. Nevertheless, diesel light-vehicle penetration rates are climbing in other markets in the region, particularly those strongly influenced by European manufacturers.
Asia Asia's largest light-vehicle markets, China and Japan, have very low current levels of diesel vehicle sales. The advent of clean diesel may lead to a rise in demand in Japan. China includes diesel on its list of carbon-reducing technologies for personal transport and already has a large diesel light-vehicle market. Diesel penetration rates in the total Asian light-vehicle market are
predicted to increase by 10% by 2017.
IMS Research reports on contenders in automotive LED market
The forthcoming Audi R8 will feature a full LED headlamp, supplied by Automotive Lighting, with LEDs supplied by Osram and Lumileds. This will be the second vehicle to feature LEDs in the headlamp, after the Lexus LS600h, which used Koito headlamps with Nichia LEDs. The fact that Osram, Nichia and Lumileds (which also led the way for LEDs used in daytime running lights) are the three LED companies pioneering this technology is no coincidence; as these three companies dominate the market for LEDs supplied to the global car industry, as surveyed by IMS Research in a new report.
As well as supplying LEDs for headlamps, the three companies have the largest share of the high-value LED market in automotive applications; such as in rear lighting and in instrument clusters and other interior applications.
The experience of these companies in this sector, and the more challenging requirements for durability and brightness of LEDs (in some applications) in cars compared with mobile phones, MP3 players and TVs, make it difficult for other suppliers to mount a challenge. While many other suppliers, such as Toshiba, Avago and Everlight, sell LEDs into the automotive sector, they sell fewer.
The IMS Research Report, “The Worldwide Market for LEDs in Automotive Applications”, estimates that Osram is the largest supplier with about 23% of the total market for LEDs in light vehicles in 2007, followed by Lumileds and Nichia, each with around 16%.
However, Lumileds and Nichia do not compete with each other to a large extent, as IMS analyst Jamie Fox explained: “Lumileds sell LEDs mainly for exterior applications while Nichia sell mainly for interior applications. There are also geographical differences in the supply chain, for example Nichia do not sell many LEDs for automotive applications in Europe, where Osram is strong (in both interior and exterior applications).”
In the next decade however, as the battleground moves from interior and rear lighting applications to the front of the vehicle, these shares of business seem to IMS Research likely to change; Lumileds, Osram and Nichia all provide LEDs of high brightness and quality that are well suited to front lighting applications.
(www.imsresearch-usa.com)
Thatcham achieves LSC’s new standard for training providers
The insurer-funded body repair training provider Thatcham Training has become one of the first organisations to achieve the recently introduced ‘new standard’ from the Learning and Skills Council - a voluntary assessment framework for training providers.
The ‘new standard’ highlights excellence in the two areas that employers say are most
important to them; namely provider responsiveness to employer needs and provider excellence in a particular vocational area.
The standard will supersede Thatcham’s existing CoVE status. Building on the foundations developed through the CoVE programme, the standard will ensure that specialist provision is embedded across a whole provider, not just specialist excellence in one discipline.
A key development of the standard from previous accreditation schemes is that it is not attached to public funding: Accreditation is instead verified by employers using criteria that reflect their needs.
David Lammy MP, Minister for Skills at the Department for Innovation,Universities and Skills, said, “I extend my warmest congratulations to Thatcham (Training) on this significant achievement.”
What Car? names Jaguar XF as Car of the Year
Jaguar's new XF claimed the 'Car of the Year' award at the 2008 What Car? awards in London last night. The XF also took top place in the 'Best Executive Car' category, ahead of the BMW 5 Series and the Mercedes CLS.
Steve Fowler, group editor of What Car?, said: "For us, the XF goes straight in there with the very best cars from Jaguar's past. And given that the car market today is more competitive than it's ever been, it's fair to say the XF is the best car Jaguar has ever built.”
GM Daewoo developing low cost car for emerging markets
General Motors is developing a small car for emerging markets which could be priced below $4,000 dollars, possibly involving another OEM collaborator, GM DAT CEO Nick Reilly confirmed to the Wall St. Journal (15th January) at the Detroit Auto Show this week. The Daewoo/Chevrolet operation’s lowest-priced vehicle, the Matiz, currently costs around $4,500 in some developing markets. GM is also said to be interested in exporting to emerging markets a small utility vehicle produced in China with joint venture partner SAIC GM Wuling.
German government drafts amended VW Law
While the existing VW Law protecting the company from takeovers was ruled illegal by the European Court of Justice last autumn, the German minister of justice Brigitte Zypries presented amended legislation on 16th January which comply with EU capital movement rules and would strengthen the rights of employees and the government of the state of Lower Saxony, which wishes to hold onto to its 20.9% stake in Volkswagen, to a voice in supervisory board decisions involving capital investment or production relocation.
While the existing VW Law protecting the company from takeovers was ruled illegal by the European Court of Justice last autumn, the German minister of justice Brigitte Zypries presented amended legislation on 16th January which comply with EU capital movement rules and would strengthen the rights of employees and the government of the state of Lower Saxony, which wishes to hold onto to its 20.9% stake in Volkswagen, to a voice in supervisory board decisions involving capital investment or production relocation.
The new law would require an 80% majority of general shareholders at an AGM for major changes in ownership. The proposed legislation could permit Lower Saxony’s government to limit Porsche’s ambitions to acquire a controlling stake in VW Group; its current stake is 31%.
Meanwhile Bernd Osterloh, VW’s works council chairman, has told the press that negotiations on the representation of VW workers on Porche’s supervisory board are going well, and the issue might be settled out of court. A decision on the contested issue of how VW workers might be represented at VW’s largest shareholder is due to be made by a Stuttgart court on 14th February.
Russian manufacturers complete transition to Euro 3
Land Rover-Jaguar acquisition could force Tata to re-think Coventry European Technical Centre
Tata Motors may have to rethink its strategy of setting up its European Technical Centre in Coventry in British Midlands, if the Land Rover-Jaguar deal materializes, since both brands’ own R&D centres are also based in the Midlands, suggests the India Times, adding that the development of the research centre project in Coventry has already been delayed by the bid for Land Rover and Jaguar.
A Tata group spokesperson told the paper that the company doesn't comment on speculation. Set up in September 2005, Tata Motors European Technology Centre is operating temporarily from the premises of Warwick University.
Other Indian firms that have invested in the West Midlands include ICICI Bank, Bank of Baroda and Mahindra & Mahindra (earlier, another bidder for Land Rover and Jaguar). The UK government funded development body for the Midlands has opened an office in Mumbai, and Lord Digby Jones last week led a UK automotive industry group to the Delhi Auto Expo.
India has overtaken Japan in terms of investment inflow in the UK, just behind the U.S. which remains the UK’s largest inward investor.
(India Times, 17th January)
Magna and BorgWarner announce 2008 investor forecasts
Magna International Inc. has announced its financial outlook for 2008. For the full year it expects consolidated sales to be between US $24.9 billion and $26.2 billion, based on full year 2008 light vehicle production volumes of approximately 14.4 million units in North America and approximately 15.6 million units in Europe.
Full year 2008 average dollar content per vehicle is expected to be between $855 and $885 in North America and between $440 and $465 in Europe. Magna expects full year 2008 complete vehicle assembly sales to be between $3.6 billion and $3.9 billion.
Magna's global spending on fixed assets will be in the range of $875 million to $925 million. In this 2008 outlook Magna assumes no significant acquisitions or divestitures, and no significant labour disruptions in its principal markets. It also assumes that foreign exchange rates for the most common currencies in which it does business relative to its U.S. dollar reporting currency will approximate year-end 2007 rates.
Fellow U.S. Tier 1 supplier BorgWarner Inc. this week provided 2008 earnings guidance of $2.85 to $3.00 per diluted share, which implies earnings growth of 20% to 25% compared with 2007. It expects to achieve sales growth of 8% to 10% in 2008 compared with 2007, despite lower sales in the U.S. market and moderate global vehicle production growth. North American industry vehicle production is expected to be down, European industry vehicle production is expected to be relatively flat, while solid growth is anticipated in Asia. As with Magna, the impact of foreign currencies in 2008, versus 2007, is expected to be minimal.
BorgWarner expects 2008 operating margins to be up from 2007 and within its historical range of 8.5% to 9.0%. The expectation of improved margins can be largely attributed to incremental income from net new business and an intensified focus on cost reductions, which is expected to more than offset the incremental margin lost on lower sales in North America, continued raw material cost pressures, and the costs related to global expansion.
Valeo ready to examine case for seat on board for Pardus
At the Detroit Auto Show this week, Thierry Morin, Valeo’s CEO, indicated that the French Tier 1 supplier was ready to discuss a representative of the hedge fund Pardus, Valeo’s largest investor, being given a seat on Valeo’s board, following the recent increase of the latter’s stake to 19.7%. Mr. Morin said, however, that he needed to be sure that a Pardus director would work for the benefit of all shareholders rather than campaign for a strategy change that would be for its own benefit.
Last year saw Valeo’s AGM rejecting Pardus’ request for several board seats, while the Valeo board rejected Pardus’ requests for strategic moves including a bid for Visteon, in which Pardus is also a major shareholder.
Mr. Morin also told reporters at Detroit that he expected Valeo to increase turnover by around 5% in 2008, and to reach its target 6% operating margin ahead of schedule.
New Citroën Berlingo and Peugeot Partner unveiled in Spain
PSA Peugeot Citroën has unveiled the new Citroën Berlingo and Peugeot Partner vans/leisure vehicles at its Vigo plant in Spain, where the two vehicles are produced.
Manufactured on the group’s Platform 2, the new 2008 models are completely revised versions of the original vehicles, with new comfort features which include dual zone air-conditioning, automatic headlight activation and rain activated windscreen wipers. Safety features include ABS and front airbags as standard equipment and side/curtain airbags, and ESP and cruise control as options. The new Berlingo and Partner are also the first vehicles in their category to offer a tyre-pressure monitoring system.
Heuliez granted three-month extension of creditor protection
The French contract assembly company Heuliez has been granted an extension of the legal regime which protects it from its creditors, which came into force on 26th October last year, permitting the company to continue trading and paying wages while insolvent.
Heuliez SA and its parent SA Groupe Henri Heuliez have until 21st April to negotiate an agreement to develop and build a new vehicle – with production tentatively due to start in 2010 – and find a partner to finance the project, reported Automotive News Europe yesterday. Heuliez currently builds 50 units a day of the Opel/Vauxhall Tigra TwinTop convertibles under a contract which ends next year.
Daimler to decide on new Eastern European plant by end of June
Daimler will decide on whether to build a new Mercedes-Benz car plant in Eastern Europe by the end of the first half of this year, which would be used to assemble the next-generation A and B class models. Company sources told Automotive News Europe that Mercedes wants to resolve the issue of potential cooperation with other automakers before deciding on any manufacturing plans.
Land Rover launches environmental marketing campaign
Land Rover is today launching its “Our Planet” communications campaign which sets out the progress the company has made in improving its environmental performance and a commitment to maintain the momentum with technical innovation. Our Planet will also highlight Land Rover's global conservation and humanitarian projects. Full details can be found at www.landrover.co.uk/ourplanet.
Land Rover's carbon dioxide offset programme is the biggest consumer offset initiative in the world and covers all manufacturing emissions and customer use in the UK, with a number of other markets to follow suit soon.
Land Rover is associated with conservation and exploration bodies like the Born Free Foundation, the Royal Geographical Society, the China Exploration and Research Society, Biosphere Expeditions and EarthWatch. Its partnership with the International Federation of Red Cross and Red Crescent Societies with the Land Rover G4 Challenge will raise over £1m over the next two challenges.
ACEA welcomes European Parliament’s vote on CARS 21 report and CO2 limit proposals
The Association of European Automobile Manufacturers (ACEA) says the European Parliament has “given an important statement” on the need to improve the regulatory framework for the European automotive industry, by voting on Monday in favour of the report on CARS21 by the Industry Committee rapporteur Jorgo Chatzimarkakis (ALDE, Germany).
“The Parliament has clearly recognised the crucial role which ‘better regulation’ principles have to play in the EU decision making process to ensure that sufficient lead-time is provided to implement new requirements and legislation is preceded by a transparent, thorough assessment of the impact on EU competitiveness and employment levels’, said Ivan Hodac, Secretary General of the European Automobile Manufacturers’ Association (ACEA) in a release issued yesterday.
The parliament committee’s report stresses that mandatory targets for CO2 emission reductions should enter into force not before 2015 rather than the Commission’s proposed 2102 target, and that 125 rather than 120 g/km (exclusive of 10 g/km reductions to be achieved through tyres and air conditioning system improvements) should be the maximum average fleet emission figure, above which manufacturers would be fined.
The ACEA also welcomed the Parliament’s urging EU member states to reach an agreement on the Commission’s proposal to harmonise car taxation in relation to CO2 emissions. “Harmonisation of car taxation is extremely important, in order to avoid further internal market fragmentation stemming from the very different schemes currently applied and introduced by the member states”, says Hodac.
Regarding road safety, the report calls on the Commission to ensure that vehicle safety equipment requirements be introduced in accordance with better regulation principles and stresses the need for an integrated approach incorporating vehicle technology improvements, infrastructure measures, education and information and traffic law enforcement.
One of the most extensive parts of the report focuses on establishing fair trade relations, ensuring reciprocity and safeguarding the competitiveness of the European automobile manufacturers. The report calls on the Commission to step up efforts to combat imports of counterfeit parts and to ensure that free trade agreements always aim at an ambitious market access to the partner country. Regarding the current EU-Korea free trade agreement negotiations, the Commission has been urged to make sure that Korea abolishes existing non-tariff barriers and does not create new ones, and that it implements more UN/ECE regulations.
In the field of research & development the EP calls on the Commission to increase significantly the R& D funding for the automotive sector before 2012 and urges the Member States to increase their investment in automotive related R&D, especially in relation to the EU’s CO2 emission reduction targets.
- CARS21 stands for “Competitive Automotive Regulatory System for the 21st Century”. A high-level group of Commissioners, automotive CEOs and representatives of trade unions, NGOs and other stakeholders made recommendations in 2005, followed by a Commission Communication in 2007. An evaluation is foreseen for 2009. CARS21 urges EU governments to increase the automotive industry’s competitiveness while also making further progress in enhancing road safety and improving the environment.
For more information, see:
http://ec.europa.eu/enterprise/automotive/pagesbackground/competitiveness/cars21.htm
European Commission prepares ground for pricing transport services with handbook on external costs
The European Commission has released a comprehensive compilation of existing studies on external costs in the transport sector. This handbook, jointly prepared by several transport research institutes, summarises the state of the art as regards the valuation of external costs.
The Commission intends to use the handbook as one element in the preparation of its communication on the internalisation of external costs for all modes of transport, due in June 2008, and a proposal to revise the current directive on the charging of heavy goods vehicles.
The handbook assembles best practice methods to estimate and monetise the external costs generated by transport activities. It concentrates on air pollution, noise, climate change, congestion and accidents in road transport which constitutes the overwhelming share of transport external costs, but it also considers other external costs and other modes of transport. It brings together the key parameters to apply these methods as well as examples of unit values per travelled distance according to typical traffic situations, as for instance air pollution cost of a lorry in an urban area.
The handbook will help policy makers and other interested parties value external costs when developing policy measures for internalisation. It shows that external costs depend strongly on parameters like vehicle characteristics (EURO standards), location (urban or interurban) and vehicle movement time (peak, off-peak and night time).
The handbook was compiled by a consortium of research institutes from different countries and its content commits solely their authors. This release is part of the process launched by the Commission to prepare a communication on a strategy for the ‘stepwise’ integration of the external costs into the price to be paid for transport services, as requested under the directive on the charging for heavy goods vehicles[1]. As part of this process, technical workshops were held with industry representatives, environmental organisations and scientific experts. The preliminary findings of this handbook were subject to a peer review by scientific experts from EU member states.
In parallel, a broad public consultation was organised by the Commission on possible ways to internalise these external costs. The results of this public consultation, which ended in December 2007, will be presented and discussed at a High Level stakeholders' conference on 31st January with the participation of Commission Vice-President Jacques Barrot.
Both the handbook and the consultation paper are available at:
http://ec.europa.eu/transport/road/policy/index_en.htm
http://ec.europa.eu/transport/white_paper/consultations/index_en.htm
U.S. climate change bill could take some pressure off Detroit
The House of Representatives’ Energy and Commerce Committee Chairman John Dingell, a Michigan Democrat, told reporters on 15th January at the auto show that he wants to draft a climate bill which would acknowledge that the 40% improvement in energy efficiency to be achieved by the U.S. automotive industry with new corporate average fuel economy rules should be matched by other industry sectors, to “see that the pain is shred evenly all around.”
Sen. Dingell said Congress would also consider helping US car manufacturers meet the tougher efficiency standards, but could not say if any proposals would be in his climate bill. Republican presidential contender John McCain has voiced support for legislation that would provide incentives for car makers to reduce emissions and energy use through R&D investment support, for example in battery technologies.
Bob Lutz, GM’s vice chairman in charge of product development, said at the Detroit show that the new CAFÉ rules will add, on average, $6,000 to the price of GM vehicles sold in the U.S.
Another concern for manufacturers in the U.S. has been the emissions legislation of California, echoed by bills in several other U.S. states, for which the federal Environment Protection Agency recently refused to grant a waiver from federal law. The California bill would effectively require tougher CO2 emissions limits than the new CAFE rules, and manufacturers will be awaiting the result of California’s lawsuit against the EPA with concern – Senator Dingell said at Detroit that U.S. carmakers could “implode” if that measure eventually cleared the courts and regulators and were adopted by all states, a scenario he called worst case.
Edward Lapham, Automotive News’ executive editor, last week commented thus on politicians’ current attention to Michigan’s woes: “It's odd to hear national political commentators in the media discussing the tough economic issues facing Michigan. It's almost like watching your own autopsy being performed by scalpel salesmen instead of a doctor.”
(Reuters/Planet Ark, 17th January, Automotive News, 10 January)
Lotus Engineering & KACST cooperate to establish Saudi automotive technology base
Lotus, via its engineering division, has entered into a joint cooperation programme with KACST, the King Abdulaziz City for Science and Technology with the intention to promote the establishment of an ecologically driven automotive technology capability in the Kingdom of Saudi Arabia.
Lotus, with support from its parent company PROTON, has been commissioned to assist with the long term strategy of KACST to create an automotive research, development and test centre to support the manufacturing infrastructure within the Kingdom to help build its industrial capabilities and potentially use its “vast natural resources”. Lotus has already been involved in the first stage of this objective with the installation of a new engine and test cell facility in the Kingdom. This programme, which started in 2006, was commissioned with Lotus Engineering and uses the Lotus Optical Research Engine.
To enhance the engineering and manufacturing skill base in Saudi Arabia, Lotus and PROTON will be providing training in all aspects of automotive engineering to KACST employees utilising facilities at the Lotus headquarters in Hethel, Norfolk, as well as PROTON’s facilities in Malaysia.
Ricardo launches version 8.0 of WAVE powertrain simulation software
WAVE 8.0, the latest release of WAVE, Ricardo’s engine performance and gas dynamics simulation software, features a ‘dramatically’ improved interface and radically upgraded 3D functions among enhancements designed to reduce product development lead times.
First launched almost 20 years ago, Ricardo’s WAVE 8.0 has more unique features such as Controls on Canvas and a new WAVE3D.
New features include:
Controls on Canvas: This new front end for WAVE transforms the way in which users use and manage control elements. The Elements Manager has been extended to include all control elements such as sensors, actuators PID controllers, valve actuators, interpolation maps and load models, all of which can be manipulated on a simple drag and drop basis. Wiring now links actuators, sensors and control elements, so there’s no need to hunt through drop down menus to work out the connectivity. There are new control elements too, including integrator, differentiator and function, the latter allowing the user to introduce logic expressions into the simulation. Control circuits can be dimmed, turned off or viewed alone for increased clarity.
WAVE3D: This new feature gives WAVE 8.0 a 3D modelling capability “way ahead of current levels”. A fully-integrated solution for 1D/3D co-simulation within the WAVE environment, WAVE3D allows a 1D analyst to perform an advanced simulation without any input from a CFD analyst. A 3D CFD computational mesh can be created quickly and easily, the simulation set up simply and post-processing performed without any additional software tools or expertise. For the first time, it is possible to perform a 1D/3D co-simulation without the need for two different sets of software oe two different skill sets.
WAVE Live!: Users can now interact with the WAVE model while the simulation is running and see responses to changes they make as they happen. Interactive control inputs include turbine wastegate, rack position, EGR valve position, combustion timing, duration and heat exchanger effectiveness.
WaveBuild/ WavePost: Significant improvements to WAVE’s primary pre-processor and post-processor have increased both productivity and scope. The interface has been enhanced so that users can load multiple models using tabbed models on canvas. This feature allows quick comparisons to be made between designs and the seamless copy and paste of elements between models. Rectangular ducts can be modelled for the first time and mapless turbocharger elements allow rapid assessment of a turbo engine model in its early stages without the need for a manufacturer’s data map.
Turbocharger modelling is enhanced too, including modelling of reverse flow and surge. An R-CAT SCR model now allows analysis of this important area of diesel emissions control. In addition to these new features, WaveBuild has also undergone many other detailed refinements including, for example, the ability to export raw plot data to Microsoft Excel.
(www.ricardo.com/software)
SAIC announces tripled profit estimate for 2007
SAIC Motor Corp., China’s largest vehicle manufacturer including its GM and VW joint ventures, which recently agreed merger terms with Nanjing Automobile to unite the MG Rover-derived MG and Roewe brands, announced to the Shanghai stock exchange on 16th January that its net profit more than tripled from the 2006 figure of $196m last year.
SAIC Motor’s 2007 top line and profits were boosted by its acquisition of assets from its unlisted parent group in November 2006, including stakes in its joint ventures with GM and VW, and by sales of its own-brand Roewe cars.
Chinese built-up car imports forecast to rise 30% this year
China is likely to import 300,000 vehicles this year, 30% up on 2007, according to a forecast issued by the China Trading Center for Automobile Import (CTCAI), as reported by the Xinhua news agency. Built-up car tariffs were reduced to 25% in mid-2007.
Imported vehicle numbers stood at 277,093 units, up 37.6% year on year, by the end of November 2007. Cars with engines over 2.5 litres accounted for 69.4% of total car imports.
SUVs were likely to overtake saloons for the first time to become the most popular imported cars, according to the CTCAI, after rising by 65% to 126,659 units in the first 11 months.
Japan, Germany, the Republic of Korea and the U.S. were the major source countries for China's car imports. Forty-two percent of saloons were imported from Germany and 48% of SUVs from Japan. In 2006, China overtook Japan to become the world's second largest car market second only to the United States, with sales of 7.2 million units, up 25.13% year-on-year. China was also the world's third largest vehicle producer, after Japan and the United States.
Hyundai launches Genesis V8 flagship saloon
Hyundai has launched a new flagship car - the Genesis V8 large saloon at Detroit, which will be sold in the U.S. and in Korea from this summer, but not in the UK.
The Genesis is built on Hyundai’s new rear-wheel drive architecture, which will also underpin a new Coupé later this year. It offers three engines, including 3.3-litre and 3.8-litre V6 engines, and a new 4.6-litre ‘Tau’ V8. The latter will produce an estimated 375hp –81hp per litre.
“While the Genesis will compete on prices with cars like Chrysler 300, our engineering benchmarks were Mercedes E-Class, BMW 5-Series, and Lexus GS,” said John Krafcik, vice president, Hyundai Motor America, at the launch this week.
The use of high tensile steel in critical areas in the body provides Genesis with 12-14% higher dynamic torsional rigidity and a lower body structure weight than both the BMW 5-Series and Mercedes-Benz E-Class – while the Genesis has a larger cabin than either – and more interior volume than a BMW 7-Series.
The Genesis also features front and rear five-link suspension, the former with upper and lower arms linking the front wheels to the chassis, “dramatically reducing unwanted kickback through the steering wheel as well as improving responsiveness.”
Inside the Genesis are a heated and cooled driver’s seat, an automatic windscreen demister with humidity sensor and an ultraviolet-reflective leather steering wheel, which keeps the surface cool to the touch. In addition, the Genesis is the only car besides the Rolls-Royce Phantom to offer a Lexicon-branded audio system with a 12-channel digital amplifier and 17 speakers producing more than 500 watts of sound in 7.1 surround-sound.
Chinese fuel cell maker partners with Corgi toys
Horizon Fuel Cell Technologies, the Chinese developer of portable PEM fuel cell products including toys, has announced that it has entered into a strategic partnership with the toy car manufacturer Corgi International. The two companies will use Horizon's fuel cell technology to develop a range of toy vehicles. Horizon's ‘h’ racer fuel cell toy car is believed to have sold in the order of tens of thousands of units worldwide since 2006, making it perhaps the biggest selling fuel cell product to date, reports Fuel Cell Today’s latest newsletter of 16th January.
Automotive Composites Alliance launches new website
The Automotive Composites Alliance (ACA) of the American Composites Manufacturers Association (ACMA) has launched a new website, to provide general market information for those outside the composites industry as well as more substantive technical resources for engineers and designers for automotive and truck OEMs, in addition to furnishing information about ACA and its member companies.
An "Auto Composites 101" section covers why composites are specified and gives an overview of manufacturing processes and the ABCs of FRP materials. It also includes a history of automotive composites, demonstrating the acceptance of composites for more than 50 years.
The "Resources" section of the ACA website provides materials engineers and designers with tools to help them learn about composites and to assist them in specifying composites, including: a list of composites components found in autos and trucks, downloadable technical documents such as design and paint manuals for designers and manufacturing engineers, and access to technical papers and articles about automotive applications for composites.
The new ACA website includes a photo gallery showcasing passenger cars and trucks that contain components made from composites. The site provides visitors with a listing of published articles to educate users of composites and an ACA event calendar highlighting the activities and value ACA brings to users and its member companies.
The ACA is an industry alliance of the American Composites Manufacturers Association (ACMA). Since 1988, ACA representatives have served as the composite industry’s experts for automotive customers and the media.
(www.autocomposites.org)
Chinese industry’s alternative powertrain plans reviewed
A feature article in the Detroit Free Press reviews Chinese companies plans for low-emissions technologies and for UK market entry, in the context of Chinese exhibits at this week’s Detroit NAIAS auto show.
At Detroit, the Chinese manufacturer BYD unveiled its F6DM, a medium- size plug-in hybrid which it said could travel 60 miles on electric power alone, and 250 miles on just over five gallons of petrol. Its internally-developed battery technology is said to be the key to its electric-only range, and does not involve lithium or nickel metal hydride. BYD plans to put the F6DM into production late this year at a price of $20,000-$30,000 in China, with the battery pack and hybrid system accounting for $6,000 in cost. The company is contemplating U.S. sales in three to five years’ time.
Menahem Anderman, president of Advanced Automotive Batteries, a consulting firm that tracks the hybrid vehicle market, told the Detroit Free Press that he was unaware of BYD's technology.
Zhejiang Geely Holding Group said at Detroit that it was focused on launching 15 new models for the Chinese market over the next three to five years, boosting sales to 1.7 million vehicles by 2015, was designing all of its own components, such as engines and transmissions, and was working on its own hybrid models.
Changfeng Group Co. Ltd. plans to enter the U.S. market sometime in 2009, and is considering assembly in the United States, its chairman, Li Jianxin, said as he unveiled two new hatchbacks.
(www.freep.com)
China’s automotive aftermarket value forecast in new report
The aftermarket for light vehicle components and parts in China is forecast to grow at an annual rate of 17.9%, reaching a value of 76.9 billion yuan in 2011, forecasts a new report from The Freedonia Group, an Ohio-based market research firm. The prime driver behind the strong growth in China’s light vehicle parts aftermarket is the dramatic increase in the light vehicle parc, which has grown more than 16% annually since 2001.
The aftermarket for light vehicle components and parts in China is forecast to grow at an annual rate of 17.9%, reaching a value of 76.9 billion yuan in 2011, forecasts a new report from The Freedonia Group, an Ohio-based market research firm. The prime driver behind the strong growth in China’s light vehicle parts aftermarket is the dramatic increase in the light vehicle parc, which has grown more than 16% annually since 2001.
Increased aftermarket spending per vehicle will also contribute to growing demand, but to a much lesser extent than the growth in the vehicle parc. As personal income continues to rise across the country, the automotive aftermarket will see increasing demand for non-essential upgrades to vehicles and a preference among consumers for value added products such as electronics -- e.g., autosound, navigation systems and the like.
The “rampant” use of counterfeit parts in China has a negative impact on the aftermarket because the parts are priced very low. However, on the other hand it contributes to growth in the aftermarket as the use of inferior counterfeit parts increases the repair frequencies for light vehicles.
Mechanical products will remain the largest light vehicle aftermarket segment through 2011, due in large part to the regular replacement requirements of products such as filters and the high cost of items such as engines and associated parts. Demand for electronic products, which include autosound, electronic controls and modules, navigation products and security systems, will see the fastest growth through 2011. Replacement rates for electrical, exterior and structural parts will also experience robust growth.
Professional service providers will remain dominant throughout the forecast period, with those aligned with the strong brands of popular light vehicle producers most likely to increase their market share. The small DIY segment is forecast to grow rapidly as new car buyers in China become increasingly knowledgeable about vehicle maintenance and repair.
Automotive Aftermarket in China (published 12/2007, 340 pages) is priced at $4,900 from The Freedonia Group, Inc.
(www.freedoniagroup.com)
Fleets should beware corporate manslaughter "scaremongering" – cfc Solutions
Car fleet managers should treat warnings about the new corporate manslaughter law with caution, according to fleet software company cfc solutions, which says fleets following existing health and safety guidelines have nothing to fear, and that the risks of prosecution have been frequently overstated by risk management consultancies.
cfc's Andy Leech says in a news release: "There has been a degree of corporate manslaughter scaremongering in the fleet industry ahead of its introduction in April, especially from some companies with risk management services to sell.
"Much of this is a hangover from earlier publicity that corporate manslaughter received in its seven year journey through Parliament, when it did look likely for a while as though individual managers could be jailed. But the final legislation is more considered. As long as you have a credible risk management policy in place and actively implement it in an auditable manner, there is no need to worry or take any action. The new Act essentially does little more than place in law the same measures that existed under health and safety previously."
(www.cfcsolutions.co.uk.)
EU urges ‘greening’ of F1
A European Parliament report entitled CARS 21 calling for changes within the automotive industry to help reduce carbon dioxide emissions also includes a reference to ways in which Formula One can change attitudes towards green technologies.
The findings of the report were adopted after a vote in which 607 MEPs were in favour, 76 were against the proposals and 14 abstained. A statement issued after the vote contained the following passage, "MEPs recognise the role motor sport can play in changing attitudes and customer behaviour towards environmentally friendly technology.
"The House therefore asks the FIA and others involved in Formula One to change their rules accordingly, so that environmentally friendly technologies like bio-fuels, four-cylinder engines or hybrid can be more easily applied."
A statement issued by FIA president Max Mosley welcomed the report saying, “It is immensely satisfying that the European Parliament recognises the role motor sport can play in the advancement of green technologies and supports the work undertaken by the FIA in its policy campaigning to make motoring more sustainable in the future.
"With the support of the motor manufacturers competing in Formula One and, with the engineering expertise unique to the sport, we hope that new technical regulations will encourage a transfer of energy efficient technologies into the domestic car market for the wider benefit of society."
ALMS ups Green ante
The organisers of the American Le Mans Series have announced a partnership with the US Environmental Protection Agency, the US Department of Energy and SAE International to incorporate "green racing" principles into its 2008 racing season. The American Le Mans Series will be the first motorsports series to meet the criteria for green racing being developed by these groups.
The ALMS organisers also announced the creation of a first-ever, Series-wide Green Racing Challenge. This new competition will encourage manufacturers to introduce and develop their "green" technologies and will be an incremental element of the Series' signature event - the 1,000-mile Petit Le Mans race to be held Oct. 4 at Road Atlanta. Protocols and criteria for the Green Racing Challenge award are being developed by the EPA and DOE along with SAE International and the Series, and will be announced later this spring.
The criteria set by SAE in concert with the EPA and DoE to qualify as a Green Racing series requires that certain elements in a series be present. These elements focus on three vital characteristics that measure performance, fuel efficiency and ecological impact. They include:
The use of renewable bio-based fuel or fuels.
The use of multiple engines, fuels and powertrain configurations.
The use of regenerative energy powertrain technologies.
The use of well-to-wheel energy analysis and GHG analysis.
The use of emission control strategies and systems.
ALMS president and CEO Scott Atherton said, "The auto manufacturers competing in the American Le Mans Series have made it very clear that this is a direction and an overall initiative that is important to them. The opportunity to formally align with the Environmental Protection Agency, Department of Energy and SAE International makes our platform very special and unique - to auto manufacturers and ultimately to consumers. At a time when nearly all of motorsports has lost its relevance regarding progressive technology or any connection from the race track to the showroom floor, the American Le Mans Series stands alone in providing a platform of solutions for our nation's automotive, transportation and energy needs.
"This partnership between government and industry to use the American Le Mans Series as an incubator to accelerate the development of new, relevant and practical automotive technologies that will use less fuel and emit fewer greenhouse gasses and air pollutants further emphasizes the American Le Mans Series as the global leader in this important area.
"This support by EPA and DOE in conjunction with the SAE comes at a time when manufacturers and consumers alike are looking for 'green' solutions. We are the only series in which manufacturers can aggressively develop breakthrough technologies for automobiles that consumers will ultimately buy and drive, reinforcing the American Le Mans Series as the most relevant racing series in the world."
Works Corvettes to race on E85 in ALMS
The General Motors factory backed Corvette Racing sportscar racing team has confirmed that it will use E85 ethanol fuel when it defends its championship title in the GT1 class of the 2008 American Le Mans Series.
Corvette Racing won its seventh consecutive GT1 manufacturers and team championships in 2007 using the ALMS series spec E10 (10 percent ethanol) fuel.
Speaking after the announcement at the North American International Auto Show in Detroit Chevrolet general manager Ed Pepper said, "Since its inception, Corvette has always been a platform for Chevrolet and GM to introduce and develop new technology. Like the Corvette Z06 E85 concept car that will pace the 2008 Indianapolis 500, the use of E85 ethanol fuel by America's premier production sports car racing team in a high-profile, high-tech racing series like the ALMS shows that Chevy is continuing to lead by example.
"By showcasing the capabilities of E85 ethanol before an audience of knowledgeable and technically astute race fans, we can demonstrate the benefits of a renewable fuel that helps to reduce dependence on petroleum, helps to reduce emissions of greenhouse gases, and helps to create greater diversity in energy supplies.
"Of course, performance is what counts in racing, so E85 ethanol's higher octane rating than gasoline wasn't overlooked by the Corvette Racing engineers."
Welsh winners in F1 in Schools UK final
‘Blaze’, a student team from Ynysawdre School, Bridgend, Wales were crowned UK champions at the National Finals of the F1 in Schools Formula One Technology Challenge, held at the Autosport International Show in Birmingham’s NEC last weekend.
The aspiring Formula One designers of the future developed their own scale model racing car for the Challenge, putting in over 300 hours of work each to realise their dream of producing a winning F1 car a process that included designing the car with CAD software, manufacturing it using CNC technology, and testing it on their own test track. Blaze team manager Patrick Pang said, “We’re over the moon! We’ve put a lot of effort into our car for this year’s Challenge and we’ve got the best reward we could get. The standard is really high and we didn’t think we’d get the overall title today, so we’re really pleased. We won the Welsh title last year, but this is a really big accolade and we just can’t believe it.”
The Ynysawdre school team wins a place in the 2009 World Championships, which will be held alongside an international Formula 1 Grand Prix in 200 at which teams from 20 countries around the globe will compete to win the Bernie Ecclestone World Championship Trophy and a scholarship at City University London to study Automotive Engineering.
This year’s search for the best young engineering talent in the UK took the judges around the country with 11 regional finals and around 2000 students participating in the Challenge which aims to encourage students to consider engineering as a career choice. Andrew Denford, the founder and chairman of the F1 in Schools Technology Challenge said, “Every year the standard gets higher, the students produce more sophisticated designs and presentations and show tremendous engineering understanding, at a very early age. Their knowledge and experience of using advanced CAD software will undoubtedly give them a head start for an engineering-based career.
“F1 in Schools showcases the prospective engineering talent that we have in this country. By nurturing it with programmes such as this, we can sustain the UK engineering industry and hopefully we’re also seeing the next generation of Formula One designers in this Technology Challenge; youngsters to follow in the footsteps of successful industry personalities such as Ross Brawn, Adrian Newey, Mike Gascoyne and the other technical directors in Formula One.”
Lord Digby Jones leads UK exhibitors at Delhi Auto Expo
Lord Digby Jones, Trade and Investment Minister, led a delegation of 26 UK automotive companies and organisations to Auto Expo in New Delhi yesterday, saying, "It is a critical time for for UK businesses to showcase their capabilities at such important events. The Indian automobile industry now produces over 1 million passenger cars every year and the export of auto components is expected to increase twenty-fold by 2015."
The 9th Delhi Auto expo which runs from the 10th -17th of January is India's most important automotive exhibition. Exhibits cover vehicles, components and garage equipment. UK Trade & Investment, the UK Government's overseas development organisation, has organised a trade mission for some of the delegation and has funded a UK pavilion on the ground at the Autoexpo for other members.
Lord Digby Jones said: "I am proud to lead this UK delegation to India and show off what 'Brand Britain' has to offer. Contrary to what is sometimes portrayed in the media, the story of the modern UK automotive sector is one that has embraced the challenges and opportunities of globalisation and not only survived, but thrived.
"The UK automotive sector contributes over 11 per cent of the UK's total exports and companies such as Ford, GM, Toyota, Nisan, Honda and BMW all have manufacturing plants in the UK.
"India of course presents a wonderful opportunity for UK companies to find lasting business partnerships. I firmly believe that the UK and Indian automotive sectors will form a natural bond based on our common fascination of ingenuity and innovation.
"I am delighted that Triumph Motorcycles, who are looking to expand their global network, have identified India as one of their target markets. As part of this effort they have agreed to exhibit one of their motorcycles at the show which will be a key feature of the UK pavilion.”
The UK delegation participated in a number of seminars and conferences surrounding the expo, including a day on new technology from the UK yesterday, 14th of January.
Exhibitors from the UK Group at Auto Expo 2008 included Ultramotive, MIRA, Romax Technology, Intelligent Energy, Cambustion, Triumph Motorcycles, CHK plc, North West Automotive Alliance, Preston-Image Tech Pvt Ltd (a JV between Preston Technology Ltd and Omage Lables Pvt Ltd).
The UK automotive Mission Group included the SMMT, Loughborough University, George Jowitt & Sons, Cosworth, ASG Group, Anochrome Group, Truck & Bus Builder Publishing, Lotus Engineering, Rainford EMC Systems, Ken Hunt Associates, UKTI North West, UKTI East Midlands, Image Foundry Studios, Cheshire Tool Company, mi Technology Group, University of Nottingham, and Liverpool John Moore University.
European Parliament votes to give more time for manufacturers to reach softer CO2 target
Among the votes at the European Parliament’s plenary session yesterday,15th January, a report on the CARS 21 Competitive Automotive Regulatory Framework was adopted by 607 votes in favour to 76 against with 14 abstentions, with amendments. But MEPs voted by a majority against the European Commission’s proposals for an average new-car CO2 limit of 120 g/km by 2012 and for a limit of 125 g/km by 2015.
Elements in the European Parliament, including the automotive group co-led by West Midlands Tory MEP Malcolm Harbour, have promised to seek a less stringent CO2 emissions regime in the course of the next few months. The eventual regime will be approved by a majority of EU member states and a simple majority of the European Parliament.
(Europarl.eu, Reuters/Planet Ark, 15th January)
New Eurostat report measures facts and figures of EU’s automotive and other sectors
The new edition of European business - Facts and figures1, published by Eurostat, the EU’s Statistical Office, covers 2006 data on the main sectors of the European business economy, including the transport equipment manufacturing and motor trades sectors.
The ‘Transport Equipment’ sector including predominantly road vehicle manufacture is reported to comprise 43,000 enterprises, 0.2% of the EU’s total businesses. Their aggregate value added is put at €177bn, 3.5% of the EU total. It employs 3.2m people, 2.6% of total EU employment, at an average employment cost per capita of €43,000. The apparent labour productivity of these employees in the transport equipment sector is put at €56,000 per capita.
Transport equipment exports of €176.3bn produce a net positive trade balance of €74.7bn after imports valued at €101.9bn. Those exports equal 16.3% of total EU exports, while transport equipment imports represent an 8.1% share of EU imports.
The motor trades sector is said to comprise 782,000 enterprises, representing 4.1% of all EU businesses, and to produce €151bn of value added, a 3.0% share of the EU total. Motor trade businesses employ a total of 4.067m people, at an average cost per employee of €24,000; their average apparent productivity figure is put at €37,000. Motor trades had 29% of their employees in the 15-29 age group, behind only hotels & restaurants (36%) and retail trade (30%).
(http://epp.eurostat.ec.europa.eu/portal/page?_pageid=2293,59872848,2293_68133857&_dad=portal&_schema=PORTAL)
ACEA: 2007 new car registrations rise in new member states, flat in Western Europe
Nearly 16 million new cars were registered in Europe (EU27+EFTA) in 2007, or 1.1% more than the year before, the European Automobile Manufacturers Association ACEA reported today. Soaring oil prices, changes in taxes, shrinking credit availability and purchasing power restrained buyers’ confidence and the demand for new cars in some of the Western European countries (+0.2%). In the new EU member states, where car density is still much lower and many households have been able to afford buying a new car only recently, a steady growth was recorded throughout the year (+14.5%).
Western European 2007 figures were to a great extent pulled down by expected slowdown on the German market (-9.2%). Due to a late 2006 rush to buy vehicles ahead of a January 2007 VAT increase, 320,000 fewer new cars were registered in 2007. In Spain, where car scrapping incentives (the Prever Plan) were extended until the end of 2007, demand for new cars declined further (-1.2%).
Government incentives and promotional campaigns had a positive effect on the Italian market, where more than 160,000 new cars were sold as compared with 2006 (+7.1%). As reported a week earlier by the SMMT, new registrations in the UK (+2.5%) were mostly driven by private demand, especially for diesel and small cars. The French market also performed better than in 2006 (+3.2%). Seven new member states posted two-digit yearly growths and only Hungary remained on a downward trend (-7.8%) in 2007.
In December 2007, four out of five main EU car markets posted growth. The calendar effect was limited since the number of working days varied widely in Europe. Germany recorded a significant loss (-20.3%) as compared with December 2006, when registrations increased by 18% before the sales tax increase took effect in the following month. A new bonus-malus system (car registration tax linked to CO2 emissions) coming into force in January 2008 boosted French registrations at the end of 2007 (+21.1%). Italy (+14.1%), Spain (+6.3%) and the UK (+3.1%) also ended the year with rising registrations. The majority of the new EU member States positively contributed to the overall result (+11.6%).
Figures by country and by manufacturer are posted at www.acea.be/statistics.
Interiors supplier body warns of polymer price rises
EATS (European Automotive Trim Suppliers), the European organisation of suppliers of materials for car and commercial vehicle interiors, has warned that its members will be forced to increase their prices for polymer-based products as of this month, reports plastemart.com.
- Handelsblatt has reported that the Austrian plastic components manufacturer Polytec is seeking to take over the German automotive supplier Grammer AG, having acquired a 9.59% stake in Grammer yesterday; controlling Grammer would allow Polytec to become a systems supplier for car interiors. The story has not been confirmed by the companies themselves.
NBC orders pilot U.S. edition of Top Gear from BBC
NBC has ordered a pilot for the "Top Gear" TV series from BBC Worldwide America. Ben Silverman, Co-Chairman, NBC Entertainment and Universal Media Studios, said, "'Top Gear' is a proven international hit which fits perfectly into NBC's line-up of programming with male appeal, including 'Sunday Night Football' and 'American Gladiators.'"
"Since its revival over five years ago, the UK show has been a phenomenal success. The bar has been set so high, that replicating it will be the challenge - one we truly relish," said Paul Telegdy, Executive Vice President Content and Production for BBC Worldwide Americas. "Casting is well underway and we are confident that Americans will fall in love with the attitude and irreverent spirit of 'Top Gear.'"
The series, which premiered in the UK in 1977, is consistently BBC2's most-watched programme, reaching over 150 million households globally. The original UK version made its U.S. debut on BBC America in 2007.
Johnson Controls-Saft to supply lithium-ion batteries to SAIC
The Johnson Controls-Saft Advanced Power Solutions JV has been selected by SAIC Motor Corporation Ltd., China's largest vehicle manufacturer, to supply lithium-ion batteries for a demonstration fleet of ‘new energy’ vehicles, whose hybrid powertrain technology has not been confirmed.
"SAIC is very serious in developing new energy vehicles for the Chinese market and advanced battery technologies will provide significant help for us," said Mr. Lee Feng, Director of Energy Systems in SAIC's New Energy Vehicle Technology Division.
The lithium-ion battery systems will be produced in Milwaukee, WI, USA. The batteries will be in demonstration vehicles in early 2008.
- When the smaller Chinese manufacturer Chery Automobile launches a new hybrid A5 ISG saloon in the second half of 2008, it will also be powered by a nickel metal hydride hybrid battery system developed by Johnson Controls-Saft; these Ni-MH cells will be manufactured in France, while development work will be carried out in U.S. and the battery integration will take place in China.
Johnson Controls unveils Ecobond 50% plant-based headliner
Johnson Controls’ new Ecobond headliner launched at Detroit this week is in the final stages of development. It comprises 50% biomaterials by mass, these replacing fibreglass and providing benefits in weight reduction and ease of recycling.
The production process for the Ecobond headliner relies on soy-based adhesives, a soy-based urethane core foam, and natural fibres, using an existing manufacturing technology that Johnson Controls established for its Polybond process. Soy-based polyols are blended with petroleum polyols to create a foam core.
Natural materials - including hemp, flax and knaf - replace the fibreglass that is traditionally used in headliner production. Finally, a soy-based urethane is used to bond materials and create a semi-rigid product. Using Ecobond approach is not expected to add costs to the headliner production process.
German chemicals firm develops nano-additive to reduce tyre tread wear
The Technical Rubber Products unit of the chemicals group LANXESS Corp. has developed a new rubber additive, called Nanoprene, that it claims will significantly cut tread wear in automotive tyres, extending their life beyond the typical 30,000 miles. Prof. Werner Obrecht of LANXESS’ Technical Rubber Products (TRP) business unit says the patent-pending Nanoprene reduces the conflict between low rolling resistance, dry and wet road grip and longevity that compromises tyre technology.
The additive consists of particles of aboutx 50 nanometers made from polymerised styrene and butadiene – i.e. “traditional” raw materials. What makes the difference is the minimal size and surface functionality ensured by a highly specialised production process at LANXESS. The nanoparticles with the swell-resistant, highly cross-linked core have special “anchor points” on their surface, enabling the Nanoprene particles to be perfectly linked with silica and silanes.
Silica is deployed in modern tyres instead of carbon black to cut rolling resistance and gives excellent wet grip.
“Adding Nanoprene to a tread mix containing silica improves wear resistance and grip. At the same time, rolling resistance remains at a low level. The “magic triangle” is therefore extended,” says Prof. Obrecht.
The use of Nanoprene is claimed not to entail process engineering disadvantages. Tyre manufacturers can, unlike with most “traditional” additives, retain their existing rubber formulations and yet significantly cut wear caused by abrasion. The additive is produced by LANXESS at its emulsion rubber production plant in La Wantzenau, France.
Nanoprene is currently undergoing tests at unnamed tyre manufacturers. Further potential applications for Nanoprene include impact resistance modification for thermoplastics and thermoset plastics. Work is also under way to develop a specific Nanoprene grade for fuel cell membranes.
LANXESS is a ‘specialty’ chemical company with sales of €6.94 billion in 2006 and some 14,500 employees in 21 countries and operations at 47 sites worldwide.
ACEA organises ‘eco-driving’ training sessions during EU’s Sustainable Energy Week
The European automotive industry association (ACEA) will organise ‘eco-driving’ training sessions during the European Union Sustainable Energy Week EUSEW 2008 in Brussels, together with a body called ECODRIVEN, on the second floor of the main exhibition area in the Charlemagne Building, rue de la Loi, 170 BE - 1040 Bruxelles, from January 28 to February 1.
Two-seater simulators will enable participants to test their driving skills and help them learn how to make a better use of their car, reduce fuel consumption and consequently emit less CO2. An instructor will lead participants on a virtual car journey both in a city area and in the countryside.
Each personal session will take no more than 10 minutes; pre-registration to the simulations is not necessary. To take part in the EUSEW, however, you need to register at www.eusew.eu/index.cfm. Registration is free.
ACEA will collect data on the progress all participants will have made and the results will be announced on Friday February1, at the ACEA seminar “Towards Sustainable Mobility”.
(See www.eusew.eu/page.cfm?page=events&selEvent=195 for an up-to-date programme and location.)
Global Insight reviews gap between plans and realisation among hybrids on show at Detroit
Writing yesterday in one of Global Insight’s occasional automotive issues-based e-newsletters, automotive analyst Aaron Bragman (aaron.bragman@globalinsight.com) suggests that the projected delivery date of the first commercially available Chevrolet Volt plug-in hybrid electric cars “is looking more and more unlikely”.
The three hybrid concepts from Chrysler shown at Detroit did not even have the hybrid powertrains ‘envisioned’ on board, and even on a smaller scale, Bragman doubted whether the niche sports saloon maker Fisker would find it easy to launch its first, low-volume car using lithium-ion batteries by the projected date sometime during 2010.
“The simple fact remains,” wrote Bragman, “that no automaker on the planet has yet been able to perfect the mass-produced electric car. The closest yet is Tesla, with its two-seat electric roadster (being built by Lotus in the UK), but even that Silicon Valley start-up has discovered that other issues (such as less than durable transmissions) can cause delays in delivery production vehicles; no Tesla Roadster has yet been produced, and delivery to paid customers has been delayed repeatedly.”
Nissan signs agreement with ONDAS Media to bring satellite radio to Europe
A satellite radio company, ONDAS Media, has entered into a commercial volume agreement to install satellite radio receivers in Nissan and Infiniti vehicles across Europe, so Nissan buyers will be among the first European car buyers to be able to receive the programming that ONDAS will create and distribute.
"The ONDAS partnership team is already in the development phase for the radios and a significant amount of work has been completed to date," said Dave Krueger, COO of ONDAS. "The radios in Nissan vehicles will be capable of receiving hundreds of channels of audio programming as well as a suite of data services. This definitive agreement brings ONDAS Media's total number of pre-sold, factory-installed satellite radios beyond the 1 million mark and is another milestone in our plan to bring our unique content offering to European consumers by 2011."
Through its fully integrated, digital satellite transmission network, ONDAS will broadcast its multi-lingual radio, music, video and data services directly to European consumer’ in their cars, trucks, homes, offices and to their mobile and portable devices.
It will offer digital entertainment to 240 million vehicles and up to 600 million European inhabitants on the move 24/7 through more than 150 channels of proprietary and re-distributed music, sports, news, weather, traffic and special interest programming in all the key European languages.
Grounded car carrier refloated
The car carrier City Of Sunderland which went aground in the North Sea this week was successfully refloated yesterday evening with the assistance of two tugs. The car carrier, which had 642 cars on board, resumed its voyage to its original destination of Tees Port.
The vessel had been en route to Tees Port from Zeebrugge when it ran aground in the early hours of Monday morning at the south edge of Happisburgh Sands, 8 miles off the coast between Cromer and Great Yarmouth Norfolk.
UK quoted dealer group shares suffered in 2007
Although the UK’s new car market grew last year, shareholders in the country’s listed car retailers made substantial losses, the specialist monthly Auto Retail Bulletin’s January issue reports.
Shares in Pendragon plc, Lookers plc and Inchcape plc all lost between 7% and 10% of their value in December ’07, while, following successive profit warnings, the largest retailer Pendragon’s shares were worth less than a quarter of their mid-year peak value by the end of 2007.
Writing in the same magazine, Bank of Scotland Dealer Finance’s Head of Distribution Paul McGill calculated that Britain’s automotive retailers turned over £75 billion, but achieved an aggregate net profit of £450 million, based on a 0.6% average net return. McGill urged dealers to work closely with finance providers, who faced the same tough conditions, and paid dealers an estimated £500m in finance commission.
Iveco plans to expand UK dealer network in pursuit of bigger share
Henk van Leuven, Fiat group truck maker Iveco's UK managing director, says the firm will radically reshape its dealer network as part of a three-year strategy to deliver a 15% market share for its heavy truck and van and light truck models and 30% for its medium trucks.
"We need 18 main dealers to sell Eurocargo, Stralis and Trakker models and 32 full range service points, so that an operator is never more than 40 miles from a truck service dealer. This will effectively double our ability to support truck fleets," he said. The firm's Daily van and light truck range will also be supported by 75 more specialist sales and service points, doubling the number selling the range and boosting the number of service points by 25%.
- Truck and Bus Builder has reported that work has started on a new Russian factory to build Iveco Daily vans and light trucks, including chassis cabs, minibuses, the 4x4 model and specialist bodywork. The plant will be run by Saveco, a joint venture between Iveco and Samotlor-NN, one of Russia's bigger bodybuilders and should start deliveries in the spring of 2009.
Volvo Trucks and Daimler sign Indian JV agreements
Britain’s Truck and Bus Builder newsletter reports that Daimler Trucks and the Indian Honda motorcycle manufacturer Hero have set up a joint venture to build Indian-market versions of Mercedes-Benz CVs in India. It also reports that the Volvo Group has signed a letter of intent with Eicher Motors, India's third largest CV manufacturer after Tata and Ashok Leyland, to set up a new joint-venture firm, which involves input cost of £172m on Volvo’s part, while Eicher will commit its truck, bus and component business to the new company.
Volvo will transfer its Indian truck dealer and service network into the joint venture. The new firm employs some 2,300 people. Eicher built and sold some 24,300 light, medium and heavy trucks and 3,800 buses and coaches in the last financial year.
Automotive X PRIZE contenders shown at Detroit Auto Show
The Automotive X PRIZE, the $10m-plus competition designed to inspire a new generation of viable, super-efficient vehicles, is releasing a Request for Proposal (RFP) to U.S. cities interested in hosting a stage of the 2009-2010 race competition at the current North American International Auto Show (NAIAS) in Detroit. The Automotive X PRIZE is showing the innovations of its early entrants at their booth during the show.
The Automotive X PRIZE, which was created to help break the world’s addiction to oil and stem the effects of climate change, is an independent and technology-neutral competition, open to teams from around the world who can design, build and bring to market 100 mpg-equivalent vehicles that people want to buy, and that meet market needs for price, size, capability, safety and performance.
To date, more than fifty teams from seven countries have signed Letters of Intent to compete and the Automotive X PRIZE continues to solicit additional teams to enter the competition. Prospective teams will remain able to register for at least the next 60 days.
Once the competition launches - in early 2008 - those who qualify will embark on a rigorous cross-country race that combines speed, distance, urban driving and overall performance in 2009-2010. The winners will need to exceed 100 mpg-equivalent fuel economy, fall under strict emissions caps and finish in the fastest time.
The racing segment of the Automotive X PRIZE is expected to travel through ten U.S. cities while being broadcast to a global audience in 2009 and 2010.
To date, the Automotive X PRIZE has received support and encouragement from several government agencies that will help the privately funded organisation conduct the competition and test vehicle compliance, including the U.S. Department of Energy and Argonne National Laboratory; the U.S. Department of Transportation’s National Highway, Traffic and Safety Administration (NHTSA) and Federal Highway Administration (FHWA); the U.S. Environmental Protection Agency’s Office of Transportation and Air Quality (OTAQ); and the California Air Resources Board (CARB).
Non-governmental organisations supporting the Automotive X PRIZE include the National Wildlife Federation, National Resources Defense Council, Union of Concerned Scientists, the Apollo Alliance, the Consumer Federation of America, Global Green USA, CALSTART and Greenpeace among others.
For more details on the Competition Guidelines or to view a list of the 50-plus teams that have signed a letter of intent to compete, visit http://auto.xprize.org.
Supplier tipped Pischetsrieder off on VW Works Council corruption
Following a court appearance as a witness of VW’s supervisory board chairman, the former VW Group CEO Bernd Pischetsrieder testified yesterday in the trial of the former works council chairman Klaus Volkert and former VW manager Klaus-Joachim Gebauer on breach of trust charges.
Pischetsrieder told the German court he had not known before being tipped off by a supplier in June 2005 that funds from Europe's biggest vehicle manufacturer were being spent on illicit perks for VW union leaders, and that when he told the then VW personnel director, Peter Hartz about the allegations, Mr Hartz appeared shocked, and hesitated "not a second" in declaring that both accused should be dismissed should the allegations turn out to be true.
Policy Exchange report argues for more investment in transport linked to road charging
A new report by the centre-right think tank Policy Exchange argues for more road capacity and road pricing to deal with traffic congestion which is now endemic, affecting not just large cities but also the core motorway network and small towns. It is calculated to cost the UK economy in the region of £20bn per year, a figure the report says is set to rise significantly, harming the UK’s future economic competitiveness and growth.
According to the Towards Better Transport report, which was produced in cooperation with Serco and Bevan Brittan LLP, Britain has the most crowded and congested roads, the fewest motorways, and some of the worst public transport among the leading industrialised countries. Each year more than 1.6 million passenger kilometres are travelled on each kilometre of Britain’s road network; more than twice the European average.
The report says the deficiencies of UK transport infrastructure do not reflect a shortage of tax revenues from transport. In 2006 private road users paid around £32bn in transport-related taxes. Of this £32bn, just £8bn was spent on the road network. And of this £8bn – which is enough in theory to construct at least 400 miles of six-lane motorway – a large proportion was spent on repairing damage to the roads (caused primarily by goods vehicles) and another significant portion on anti-traffic and safety measures. The report’s authors, Richard Wellings and Briar Lipson, argue new roads have also tended to be built for political reasons rather than to tackle congestion.
Only 6% of passenger travel is undertaken by train, compared with 84% by car, yet the railways receive annual subsidies totalling almost £6.5 billion – nearly as much as the government spends on roads.
Policy Exchange Chief Economist Dr Oliver Hartwich says: “Britain's transport infrastructure is, quite simply, not fit for purpose and unable to meet the needs of a modern country. Transport infrastructure investment has become detached from consumer demand. The absence of price signals means it is difficult for government planners to allocate expenditure efficiently. To ration roads without employing road user charges is comparable only with the Soviet system of queuing. The waste and inefficiency of such a system is painfully obvious to anyone who has sat in congestion and traffic jams.”
The RAC Foundation said the Policy Exchange report added ammunition to its own argument that the UK needed more road capacity to avoid gridlock, but Rebecca Lush Blum, the roads and climate campaigner at the Campaign for Better Transport, said: “Any money raised from road pricing must be invested in improving public transport for the benefit of everyone, the economy and the environment. Building more roads will simply lead to more traffic and more congestion and is not the long-term answer to tackling traffic problems or climate change.”
(www.policyexchange.org.uk)
UAN contributes funding to Right to Repair Campaign
The independent aftermarket parts buying group United Aftermarket Network (UAN) has pledged its support to the Right to Repair Campaign (R2RC), which is aimed at making vehicle manufacturer (VM) technical information freely available to the independent aftermarket.
UAN has made an initial financial contribution to R2RC and is communicating with its 100-strong distributorship on the objectives of the campaign through its quarterly newsletter UNITED and website www.unitedaftermarket.net. This, UAN believes, will assist distributors and the campaign in taking the key messages forward to garage customers and bring about closer communication in the supply chain.
The Right to Repair Campaign (R2RC) is designed to protect the rights given to the aftermarket by the Block Exemption Regulation 2002, which states that ‘consumers have the freedom to chose where their vehicle is repaired and that to ensure this happens the VM should make technical information freely available to the independent market’.
New UK Ssangyong importer recruits former Ferrari GB operations director
Koelliker UK, the new importer and distributor for SsangYong, has recruited the accountant and former Ferrari GB operations director Ian Nicholson as finance and operations director, reporting to new managing director, Paul Williams.
Nicholson is the first senior member of the new Koelliker UK team being recruited by Williams to re-launch the SAIC-controlled South Korean SUV brand in the UK. His dual role encompasses both the commercial performance of the SsangYong franchise, dealer development, vehicle sales and financial services including network stocking plans, retail finance business and the day-to-day financial management of the UK company.
Closure on cards for Grupo Antolin’s Kent roof linings operation
The Spanish Tier 1 supplier Grupo Antolin appears close to shutting its roof linings operation in Broadstairs, Kent for good, reported the Kent Messenger yesterday, which understood that there have been fewer than 10 people working at the site recently. Its calls to the factory the night before last went unanswered, and no announcement has been made by the company.
The factory has supplied Nissan, Renault, Peugeot and Land Rover. It is understood by the paper that the company was expected to create 230 jobs following a £17 million investment.
Grupo Antolin's place in Thanet was hailed a success and a highpoint came in 2003 when Prince Andrew visited the firm as a representative for international investment and trade. He met bosses and toured the factory floor, but in 2006, Grupo Antolin announced the loss of 125 jobs at the site.
Grupo Antolin was formed in the 1950s in Burgos in northern Spain. It operates in 23 countries with 80 plants and 20 offices. Its UK head office is in Grays, Essex, one of seven UK sites listed on www.grupoantolin.es.
(Kent Messenger - www.kent-online.co.uk/, 15 January)
Nokia plans to sell automotive business
Nokia has announced plans yesterday to discontinue the production of mobile devices in Germany and close its Bochum site by mid-2008. Nokia is also announcing plans to sell its OE automotive business. The planned closure of the site in Bochum is estimated to affect approximately 2,300 Nokia employees.
Nokia said in a statement: “Renewing the site would require additional investments but even this would not result in manufacturing in Bochum being globally competitive,”
VW launches Passat CC at Detroit
Volkswagen of America, Inc. has launched an all-new CC coupé-shaped four-door Passat saloon at Detroit, “providing the emotional and expressive stance of a sports coupe with the convenience of a sedan”.
The Passat CC, which bears a similar relationship to the Passat saloon as does the Mercedes CLS to an E Class saloon, will come standard in the U.S. with a 2.0 litre, 00 bhp TSI engine, available with either a six-speed manual or six-speed Tiptronic transmission. Available optionally is the 3.6L FSI, rated at 280 bhp. The 3.6L FSI comes standard with the six-speed Tiptronic transmission.
The car will be available in the UK this summer with a choice of three petrol and two diesel engines, a 1.8-litre TSI linked to a six-speed manual or new seven-speed DSG gearbox; the 2.0-litre TSI and a 3.6-litre V6 FSI with 4MOTION four-wheel drive and DSG gearbox as standard. Diesel engines will also be offered to UK buyers, in 140 PS and 170 PS guises linked to either six-speed manual or DSG gearboxes.
U.S. market research agency details brand loyalty predictors
Research published by the U.S. agency Carlson Marketing and Peppers & Rogers Group entitled "Turning the Corner in Automotive Marketing" details the dimensions of loyalty as it pertains to the auto industry and names the brands with the strongest consumer relationships.
Of the automotive brands researched in the U.S. market, those with the greatest ‘relationship strength’ were BMW, Lexus and Cadillac, followed closely by Subaru, Toyota and Honda. Relationship strength is, says Carlson, linked directly to the consumer's intention to repurchase or recommend the brand of car, which translates to additional potential sales.
According to Luc Bondar, vice president, Loyalty, Carlson Marketing, "Creating and maintaining a strong relationship with a customer basically is dependent on one thing: treating different customers differently." That is accomplished by understanding that relationships 1) are developed with individuals (not market segments), 2) require an exchange of knowledge between the customer and the seller, and 3) necessitate behavioral change in both parties in order to thrive.
The research shows that the traditional index - customer satisfaction - as an indication of future purchases is inadequate; looking at the components of the relationship is much more important. And the effect of each component is rated, so that marketers can decide what is best for their particular car brand.
"Brand relationship strength is a better driver of profit than market share, quality, cost per labour hour or sales leads and close rates per marketing dollar," says Jim Schroer, president & CEO, Carlson Marketing, who was executive vice president of global sales, marketing and service at DaimlerChrysler and a vice president of marketing at Ford.
Brand relationships, says Carlson Marketing, are influenced in varying degrees by the following:
- Loyalty initiatives - dealership programmes, affinity credit cards, or special pricing
- One to one communications - including communication customisation, relevance and frequency
- Dealership experience - which includes "soft" facets such as keeping promises and expressing concern as well as "hard" facets such as fair prices, a clean facility, convenient hours and location
- Vehicle features - technology, luxury, status.
Complete details of the study and the results are available without charge at http://www.carlson1to1.com/loyalty. Same-brand vehicle repurchase data in the U.S. market were recently published by J.D. Power & Associates.
FLA: New AVCIS unit recovers over £1.5 million worth of fraudulently obtained cars
The Association of Chief Police Officers Vehicle Crime Intelligence Service (AVCIS) has recovered fraudulently obtained vehicles worth over £1.53 million in the four months since the foundation of the unit, reports the Finance & Leasing Association, whose members fund the organisation. AVCIS has so far recovered half of all the vehicles reported to it, and more than 30 arrests have been made.
The Vehicle Fraud Unit within AVCIS started operation in September following the success of the Metropolitan Police’s Vehicle Fraud Unit (VFU). AVCIS was set up in December 2006, following closure of the National Criminal Intelligence (NCIS) Service’s Organised Vehicle Crime Section when NCIS merged into the Serious Organised Crime Agency.
Chrysler shows three alternative powertrain concepts at Detroit
The Chrysler ecoVoyager concept shown at Detroit’s motor show this week, a four-door, four-passenger concept vehicle, has its front wheels driven by an electric motor, with power primarily supplied by a lithium-ion battery pack capable of satisfying a consumer’s typical daily commute of less than 40 miles.
The ecoVoyager's electric motor develops 268 hp, enabling acceleration from 0 to 60 mph in less than eight seconds, and the powertrain features regenerative braking. A small hydrogen fuel cell is deployed to extend the vehicle range for longer trips of over 300 miles.
The Jeep Renegade 4x4 two-seater concept vehicle also shown also has a 40-mile range lithium-ion battery pack and an electric motor on each axle. A range extender – in the Renegade’s case, a1.5-litre, 115 hp BLUETEC diesel engine – allows for journeys up to 400 miles, and an equivalent petrol fuel economy figure of 110 mpg.
The 2008 Dodge ZEO - Zero Emissions Operation – concept vehicle shown at Detroit is a four-passenger, all-electric, “2+2” ‘sport wagon’ with a 64 KW-hour lithium-ion battery pack capable of providing a range of at least 250 miles.
SupplierBusiness.com: Tata Nano is a unique case study of OEM-supplier partnership
The launch of the Tata Nano – a car that will sell at around $2,500 (ex-factory) in India – at the ongoing New Delhi Auto Expo, was undoubtedly the biggest automotive event of the week for all media, including SupplierBusiness.com, which presented the car’s supply chain innovations in its weekly e-newsletter yesterday.
So aggressive is the Nano’s intended pricing that its competitors are not even trying to meet it on a cost basis. With such an aggressive cost target, carryover components were ruled out as there was nothing in the Tata stable in terms of size and price. Thus everything started with a clean sheet of paper. Cost saving was achieved in all departments, ranging from design, development, purchasing, production, materials, logistics and sales.
The final product is a platform which has the engine placed in the rear. Since the weight of the engine is on the rear-wheels, the steering system can live with much lighter specifications than otherwise needed. Tata settled for a twin-cylinder engine of 623cc, producing 33bhp, enough to give the runabout a top speed of 105kph.
The design aimed at minimising the total number of components with a target of each component having a dual functionality. For example, the seat riser serves as a mounting for the seat as well as a structural part for torsional rigidity. Most of the exterior has turned out in sheet metal.
On the purchasing side, Tata divided the components into two types – proprietary designs and Tata Motors design. For proprietary design components, Tata went with established suppliers such as Bosch (which supplies the engine management system and has significantly contributed to the future diesel engine). Bosch split the development between its design centres in Bangalore and Germany. Using local design capabilities was a crucial decision, as most global design centres were accustomed to designing high-end systems, employing development staff at a significantly higher wage levels.
For components and systems designed in-house, Tata Motors chose suppliers with strong process capabilities who could give valuable suggestions and improve on the designs. Nearly everything has been sourced locally and the Nano will have 97% local content from day one. Tata’s supplierswere an integral part of not only the design and development process, but also purchasing.
While Tata started work with 600 suppliers and a total of 1,800 supplier-part combinations, these were eventually narrowed down to 100 suppliers for the platform.
Hydro-forming is used for all the Nano’s tubular structures, resulting in weight reductions and simple production processes and stamping has been replaced by roll-forming process. Roll forming allows a common tooling for a number of parts, fewer operations and better productivity. Tata not only worked on its own processes but also helped its vendors innovate.
Cost saving was also achieved by using thinner materials wherever the design allowed, so the bumpers are only 2.5mm thick, against 3mm on the Tata Indica supermini.
Half of the 100 vendors for the project are co-locating with Tata in a 350-acre vendor park in SIngur next to the new Tata plant. Instead of annual contracts, Tata went with long term volume contracts with its suppliers, driving down the costs even further. The suppliers received significant volume commitments from Tata Motors, with about 75% of the components being single-source and about 90% of the total car being outsourced.
A three-shift operation and consolidated purchasing with suppliers allowed for a further reduction in costs.
While the first plant at Singur will eventually have a capacity of 350,000 units, Tata wants to set up three other plants in different parts of India to sell a million units per year eventually. With four plants in various locations, the company aims to save significantly on logistics and inter-state taxation.
Tata’s current challenge is to have all the suppliers in the vendor park up and running by the start-of-production of the plant. With the Nano, Tata is aiming for a less than 100 ppm rejection rate (better than existing Tata plants) and a ten-fold improvement in warranty costs.
A lot depends on the kind of response that the Nano will get in the market, comments SupplierBusiness.com. With razor-thin margins, both Tata and its suppliers will need significant volumes to make money.
(SupplierBusiness.com newsletter, 14th January)
Fisker Automotive gets major private equity funding
The start-up premium ‘green’ U.S. performance car manufacturer Fisker Automotive, Inc., has announced that it has received a second multi-million round (figure unspecified) of venture capital funding from Kleiner Perkins Caufield & Byers, which recently welcomed Former Vice President Al Gore as a partner.
Fisker Automotive unveiled its first production car, the Fisker Karma, at the North American International Auto Show (NAIAS) in Detroit yesterday. The four-door plug-in hybrid saloon will have a starting price of $80,000. Initial deliveries will commence in the 4th quarter of 2009 with annual production projected to reach 15,000 cars.
Fisker Automotive plans to go on to offer a range of environmentally-friendly premium cars, all featuring plug-in hybrid technology branded as Q DRIVE, developed by Quantum Technologies (QTWW) exclusively for Fisker Automotive.
Bertone placed in administration
A bankruptcy court decided yesterday that Government-appointed commissioners should administer the Italian design house and contract manufacturer Carrozzeria Bertone, according to Automotive News Europe, which reported that the court was unconvinced that a rescue plan presented by a company doctor and backed by the company’s chairman would return the company to solvency.
Bertone last built complete cars in 2005, and its fortunes have deteriorated since, in a market which has also been hard on the other remaining European contract assembly companies.
Used car sales by independent dealers top sources of complaints to Consumer Direct
For the second consecutive year, complaints about used cars bought from independent dealers have topped the list of complaints received by the government advice service Consumer Direct, with 41,880 complaints on the subject received last year, up 18% from 2006.
Consumer Direct answered more than 1.5 million calls and emails from consumers in 2007, 188% more than in 2006.
In total, Consumer Direct received 41,880 complaints about used cars bought from independent traders, up 18% on the previous year.
Complaints concerning franchised retailers of used cars came 10th, with 13,322 received, a year-on-year increase of 11%. Ahead of those in 7th place were complaints about independent garages’ repairs and servicing, totaling 15,253, an increase of 11% on 2006.
Other sectors featured in Consumer Direct’s top ten complaint subjects were mobile phone service agreements (No. 2 in descending order of numbers), TVs (3), mobile phones (hardware, 4), ‘Other personal goods and services’ (5), general building work (6), and upholstered furniture ((8).
Michele Shambrook, Operations Manager for Consumer Direct said: “The rise in complaints in 2007 reflects, in part, a growing awareness of the service among the general public as well as an increasing willingness among consumers to complain when they buy unsatisfactory goods or receive poor service.”
(www.consumerdirect.gov.uk)
Manufacturers' jobs and investments do influence U.S. car buyers– new survey
A national U.S. survey of 715 likely car buyers has found that 79% of Americans are more likely to purchase a car if the manufacturer is based in the U.S., while 74% say they are more likely to buy a car if the company producing it employs significantly more U.S. workers than its competitors.
Seventy-eight percent of those polled by a company called Level Field said they pay at least "some" attention to where the parts of a vehicle are made.
"While price, safety and quality will always top the typical car buyer's checklist, 'made in America' still matters," says Jim Doyle, President of Level Field. "That's why nearly every automaker doing business here spends a lot of time and money promoting its U.S. jobs and investments."
As car buyers who care about these issues learn more about the differences between manufacturers, their attitudes about those manufacturers change -- and so do their purchase intentions.
For example, when respondents were informed that Ford, GM and Chrysler use nearly 2.5 times more "domestic" parts, on average, than foreign OEMs (including thir transplants), the percentage of car buyers likely to consider buying a domestic car or truck jumped 5% (from 79% to 83%). Meanwhile, the percentage of car buyers likely to consider buying a Japanese car or truck dropped 17% (from 52% to 43%).
Consumers' purchase intent related to European cars and trucks changed only slightly with this new information; with those saying they are unlikely to purchase a European car increases from 59% to 62%.
Level Field believes the difference between attitudes about Japanese and European manufacturers is driven by the fact that Japanese automakers have promoted their investments in the U.S. more effectively than Europeans in recent years. In other words, those favoring Japanese automobiles do so, in part, because they understand that many of their automobiles are assembled here.
Based on parts data that manufacturers provide to the Federal administration each year, Level Field estimates that domestic manufacturers’ fleets use 79% domestic content, on average, while foreign brands’ fleets contain 35% domestic content, on average. If domestic manufacturers had reduced their use of domestic content from 79% to match foreign brands, approximately $95 billion in U.S. parts sales would have moved overseas -- and between 200,000 and 320,000 auto components manufacturing jobs could move with them.
Economists estimate that each components job supports nearly five others; losing $95 billion in parts sales could therefore cost the U.S. about 1.8 million jobs, calculates Level Fields.
VW abandons plans to ship parts to UK by rail
Volkswagen has abandoned the railway to bring spare parts from Germany into its new distribution centre in the Midlands because it is too slow and too expensive. Instead, hundreds of trucks a year will ferry parts for VW, Audi, Skoda and SEAT across Europe and onto British roads.
The move is a big frustration for VW UK which had specifically built its state-of-the-art centre at Dordon at a railhead so it could use trains to ship the cargo. The company consolidated five separate warehouses over three years ago into the new facility to reduce costs and improve service to customers.
VW UK spokesman Paul Buckett, speaking to Headlineauto at the North American Auto Show in Detroit, said: “We deliberately built the distribution centre at a railhead but unfortunately we have discovered that moving things by rail is not as effective as we thought it would be.
“Service parts move very quickly and we cannot afford to have them left on trains for days on end. It is also cheaper to move them by road.” He added that it was taking up to five days to move parts across the continent by rail while it can be done in half the time by trucks which also save around £3 million a year in costs.
Mr Buckett added: “Moving cargo across three rail systems through Germany, France and England did not prove to be as effective as we had hoped.”
- Recent data reported to the EU-funded ETTAR environmental freight transport project has suggested that the average speed of rail freight journeys across the EU, taking account of cross-border hindrances including gauge differences between Western Europe and former Comecon member countries, was no more than 18 kph/11 mph.
Land Rover unveils LRX ‘cross-coupé’ concept at Detroit Show
Land Rover is unveiling its LRX concept ‘cross-coupé’ today at the Detroit NAIAS show. The car – a the three-door relatively lightweight vehicle with the potential of 120 g/km CO2 emissions.
Although 149 mm (5.9 in) shorter than the Freelander 2/LR2 and 205 mm (8.1 in) lower, LRX was conceived as a premium car, designed to appeal to new customers in the luxury and executive sector – those who want many of the benefits of a 4x4 and the presence of a larger vehicle, but in a more compact package.
The LRX concept is the first all-new Land Rover revealed since Gerry McGovern became the company’s design director.
2007 was Bentley’s best ever year with 10,014 units sold
With retail sales of 10,014 units worldwide, Bentley has completed the best year in its history, and outsold its rival Rolls-Royce Motor Cars' more expensive and less extensive range, which broke through the 1,000 mark for the first time last year, by about ten to one. Overall Bentley volume grew by 7%, with increases in almost all major markets: +7% in the UK, +4% in North America, +7% in Europe, +18% in the Asia Pacific region, and +93% in China alone.
In the UK, a record 2,079 units were sold in all. In North America, a figure of 4,196 units was achieved, despite the prevailing economic climate, and a new record was set in continental Europe with 2,166 units. In China, the final sales number was 338 units. In Korea, 100 cars were sold in the first year in that market.
These results are a milestone for Bentley, which has strengthened its presence around the world, in both emerging and established markets,” said Stuart McCullough, Bentley’s Member of the Board, Sales and Marketing. “A major component of this is our export business, with overseas income in excess of £745 million. Bentley is proud to be a leading British vehicle manufacturer, with all of its production based in Crewe, a workforce of 3800 and a 500 strong engineering team, making it a significant employer in the North West.”
Nissan to build car for Chrysler for sale in South American markets
Chrysler LLC and Nissan Motor Co., Ltd., have announced an agreement for Nissan to supply Chrysler with a new car for limited distribution in South America. Based on the Nissan Versa saloon, the new car will be supplied to Chrysler in 2009. Nissan affiliate JATCO has supplied Chrysler with transmissions since 2004.
"This kind of tactical partnership allows us to maximize product offerings yet minimize costly investments - such as new plant infrastructure, tooling and R&D," said Chrysler LLC President and Vice Chairman Tom LaSorda. "This partnership will give Chrysler nearly immediate access to vehicle segments in which we do not currently compete."
The two companies have also agreed to explore further product-sharing opportunities.
Ricardo supplies new transmission for AFS Trinity Power Corp.’s Extreme Hybrid technology
The North American International Auto Show has seen the launch of an XH-150 demonstrator vehicle showcasing AFS Trinity Power Corporation's Extreme HybridTM technology, and built by Ricardo under contract in five months. AFS Trinity Power's patent-pending Extreme Hybrid plug-in technology employs a proprietary dual energy storage system that combines lithium-Ion batteries and ultra capacitors with proprietary power and control electronics.
In mid July 2007, AFS Trinity Power asked Ricardo to help integrate the Extreme Hybrid system into two identical XH-150 demonstrators using two 2007 Saturn Vue Greenline SUVs as host vehicles.
Ricardo's responsibilities included integrating AFS Trinity's proprietary power and control electronics module into the vehicles, incorporating off-the-shelf ultracapacitors and batteries selected by AFS Trinity, design and development of a completely new transmission for the vehicles, modifying the host vehicles' suspension and chassis control and, finally, vehicle build.
During road tests carried out by AFS Trinity in December 2007 at Michelin's Laurens Proving Grounds in South Carolina, in simulated urban/highway conditions the XH-150 achieved an all-electric range of 41.9 miles and a top speed of 87 mph. In acceleration tests the company reports an all-electric 0-60 time of 11.6 seconds. In full hybrid mode, 0-60 acceleration time, was 6.9 seconds.
Volvo launches new wet plate dual clutch transmission
A new ‘Powershift’ Volvo automatic transmission will be available to order from late February on the 136PS two-litre turbodiesel versions of the Volvo C30, S40 and V50 with a recommended retail price of £1,250. The six-speed unit features twin wet clutches.
Operating as two parallel manual gearboxes, Powershift has twin wet clutches that work independently of one another. One clutch controls the odd gears (1, 3, 5 and reverse) while the other handles the even ratios (2, 4 and 6). The two clutches operate alternately with one engaging while the other disengages, like a slip clutch. T
his means that at the same time as the engine gets full power and maximum thrust in first gear, second gear is placed ready to be engaged. And when second gear has been engaged, third gear is readied, and so on. This gives a continuous flow of power without any disruption in power delivery or any torque loss, allowing 0-60mph to be reached in nine seconds in the Volvo C30, in 9.1 seconds in the S40 and in 9.2 seconds in the V50.
Powershift also contributes to delivering improved fuel efficiency. The Powershift Automatic offers fuel consumption of 47.1mpg and a CO2 figure of 159g/km in both the Volvo S40 and V50; while it brings the Volvo C30 47.9mpg on a combined cycle and a CO2 figure of 156g/km.
Thanks to the use of twin wet clutches, the Powershift transmission can handle high torque levels and in principle has no limitations on choice of ratio. The version of Powershift that Volvo is now launching is dimensioned to handle torque levels up to 450 Nm.
VDA expects members’ U.S. sales to reach one million units
"German manufacturers have once again prevailed on the difficult U.S. market with excellent results. In 2007 they grew against the general trend and have boosted their sales by 3 percent to 948,000 light vehicles. We are confident that we will be able to continue to increase our U.S. market share even further this year and believe that the chances of passing the 1 million mark are excellent," said Matthias Wissmann, President of the German Association of the Automotive Industry (VDA), at the VDA press conference in Detroit at the weekend.
The VDA President said: "We are betting on the premium class and on clean diesel - for cars as well as light trucks. We are also launching a full frontal attack in the compact car segment. Clean diesel is the second pillar of our strategy.”
In the first nine months of 2007, Mercedes had already more than doubled its sales of clean diesel vehicles. Audi, BMW and Volkswagen are now ready to roll out their models.
Wissmann continued: "It is absolutely appropriate to name 2008 the year of breakthrough for clean diesel in the United States. Beware and do not misinterpret the market share of only 3%, which is indeed still low. It is just an indication of the calm before the storm and is driven primarily by model cycles. According to J.D. Power projections, the percentage of diesel vehicles in the total number of new vehicle registrations in the U.S. will multiply to 15% by 2015 - and the German brands will land in the top rankings." Last year, diesel cars still outperformed hybrid models in light vehicle sales at the rate of 480,000 versus 350,000 units.
In 2007, a total of €23 billion in automotive products were exported to the United States. Every eighth euro generated by automotive exports is allocated to U.S. transactions. The trade balance surplus with North America totals around €18 billion and consequently makes up 17% of Germany's total automotive trade balance surplus. Close to one third of the total German exports to the United States (€74 billion in 2007) of 2007 were allocated to vehicles and automotive supplies.
"As a result, the automotive industry has once again established its position as the number 1 source of currency in the German industry. Every 12th job in our industry now hinges on what we achieve in the U.S. market. This translates into work for about 60,000 employees. Consequently, it serves us well to partner in the transatlantic cooperation field in our business and technology policies," says Wissmann.
Approximately 250 subsidiaries, joint ventures and licensees of German suppliers are now active on the North American market. The number of facilities they operate has more than tripled in the past 10 years. The export of automotive supplies to the U.S. is now worth more than €3 billion per annum.
Wissmann believes that U.S. consumer demand, which grew by 2.8% in 2007, is likely to drop to a 1.8% growth level this year. "Given these indices, we expect the total U.S. market for light vehicles to come in at around 15.7 million light vehicles, which translates into a decline of well over 2%.
(www.vda.de)
Toyota U.S production reaches record level
Toyota Motor Engineering & Manufacturing North America, Inc. (TEMA) boosted vehicle and engine production to record levels at its North American plants in 2007. Toyota built 1,671,009 vehicles, an 8% increase, and 1,571,872 engines, a 10% increase. Gains are largely attributed to a Tundra pickup production ramp-up in Texas and to Camry saloon production in Indiana.
North American Toyota production began in 1984 and has increased by 39% over the last five years. This year Toyota will build its 20 millionth vehicle in North America, including the 5 millionth Corolla. Toyota produces 11 models in North America, and is preparing to increase capacity to approximately 2.2 million units by 2010.
The 2007 total assembly figure does not include 49,371 Pontiac Vibe cars built at NUMMI, a joint venture between Toyota and GM in Fremont, Calif.
- At media reception at the 2008 North American International Auto Show, Katsuaki Watanabe, president of Toyota Motor Corporation (TMC), confirmed that a new clean diesel V8 engine will be offered in both the Tundra pickup and Sequoia SUV in the ‘near future’. By 2010, Toyota will deliver a “significant fleet” of plug-in hybrid electric vehicles (PHEVs), powered by lithium-ion batteries, many in the U.S.
To make that happen, Toyota has already started the planning phase to expand its Panasonic joint-venture battery factory. The expansion will add an assembly line to build lithium batteries for automotive applications.
X6 will be first BMW full-hybrid in production
BMW AG has told Automotive News Europe that it will make the X6 its first full-hybrid vehicle to go into production in 2009, after unveiling a concept version of the vehicle at the Detroit auto show. The X6 will feature the hybrid drivetrain developed in partnership with DaimlerChrysler and GM.
Honda promotes clean diesel at Detroit Show
Honda CEO Takeo Fukui has announced at the North American International Auto Show in Detroit that Honda's U.S. EPA-compliant clean diesels to be launched in the U.S. in 2009 will not require a urea tank as do Mercedes-Benz’s BlueTec engines. The use of aluminum in the cylinder block instead of steel would also allow Honda to manufacture the engines using its existing gasoline engine facilities, Fukui added. Honda's new diesel generates and stores ammonia within a two-layer catalytic converter to turn NOx into nitrogen.
Honda CEO Takeo Fukui has announced at the North American International Auto Show in Detroit that Honda's U.S. EPA-compliant clean diesels to be launched in the U.S. in 2009 will not require a urea tank as do Mercedes-Benz’s BlueTec engines. The use of aluminum in the cylinder block instead of steel would also allow Honda to manufacture the engines using its existing gasoline engine facilities, Fukui added. Honda's new diesel generates and stores ammonia within a two-layer catalytic converter to turn NOx into nitrogen.
Honda's premium Acura brand will be the first to get the four-cylinder diesel engine, followed by V6 versions after 2010, by which time Honda's sales of four-cylinder diesels are expected to reach about 150,000 units a year globally.
Honda is also due to begin selling lower-cost hybrids in 2009, half of them in North America, with a new hybrid sports car set to follow the next hybrid Civic series. Mr. Fukui expects the new hybrid system to be as profitable as petrol cars, depending on the cars' selling price, which he wants to be no more than $1,800/£600 over the petrol equivalent, to drive a 10% share of Honda production by around 2010.
(Planet Ark, 13 January)
GM buys stake in cellulosic ethanol developer
General Motors announced yesterday its acquisition of a stake, undisclosed in terms of percentage or cost, in a start-up biofuels company called Coskata Inc. which has developed a process to bring cellulose-based ethanol to the market in 2011.
By 2022, production of US biofuels made from new sources besides maize is expected to overtake output of maize ethanol, following a federal mandate calling for the U.S.’s biofuels fuel content to expand five-fold to 36 billion gallons per year.
BVRLA takes issue with EurotaxGlass’s ‘maverick’ car depreciation forecast
Last week's forecast from EurotaxGlass’s that values of three year old cars are likely to drop by £400 in 2008 has come as a surprise to the BVRLA, which represents leasing and rental companies affected by the outcome. “Surprise,” says John Lewis, BVRLA Director General, “Because, late last year, at one of our twice yearly meetings with Glass’s, a drop of this magnitude was not even on their agenda. Not only that, but the other main supplier of information was expecting no major changes for at least the first part of this year.
“In addition,” Lewis continued in a press release, “when there is financial pressure on buyers, as there is at the moment, they tend to move away from new and nearly new to slightly older, but well maintained cars. And to fund them via dealer finance rather than unsecured bank loans. That’s why we believe that the three year old market will continue to hold up.
“We see this in the forecasts made by more than 20 leasing companies in the BVRLA Data Survey, where the collected knowledge of the whole industry, including the guides, is brought together in an anonymised system of benchmarking to provide accurate and reliable data. And now we’re looking to do more,” he continued. “We are looking at expanding our information feeds to members to include vehicle supply into the used car market via a collective and interactive database.”
The BVRLA meets with the trade guide publishers EurotaxGlass’s and CAP twice a year to discuss trends in the used car market, condition standards and buyers’ expectations. “This is a useful forum,” says Lewis. “It’s an opportunity for us to share views and understand the guides’ thinking. This is why it’s all the more surprising that Glass’s has come out with what in our view is a maverick perception that seeks to follow the trend for gloomy economic news when in reality, the pundits say that we are merely heading for a slowdown in growth rather than the recession bandwagon, which the Glass’s forecast would seem to be jumping on.”
However, EuroEurotaxGlass's has stood by its prediction. Adrian Rushmore, Managing Editor of EurotaxGlass's, said, "Although average trade values increased, year-on-year, from September 2006 to September 2007 - up by £450 - the original cost new of these cars increased at a greater rate - up by £850.
"In the final quarter of 2007 it was widely reported that the market conditions faced by dealers was more challenging, which has impacted both their sales turnover and profitability. This has translated into price reductions that would have been slightly more severe than we would normally have experienced at this time of year.
"All of the above leads us to the conclusion that a further fall of £400 this year is a realistic possibility. This is reinforced by the fact that the original cost new of the crop of three-year-old cars entering the market in 2008 will be higher than last year."
GM wins inaugural EARTH ANGEL Award at 2008 International Car of the Year Awards
The International Car of the Year Awards (ICOTY) recently polled manufacturers about the strides they were making on environmental initiatives and global warming. Based on a review of their answers by the ICOTY Award's jury, General Motors was awarded the inaugural EARTH ANGEL Award, sponsored by Bridgestone, as the most environmentally-friendly manufacturer in the U.S.
In its submission, GM said it reduced energy and water consumption at manufacturing facilities worldwide last year. The company also succeeded in cutting its CO2 emissions by more than 16% since 2002. GM unveiledthe largest corporate-based solar power warehouse in the U.S. in September at its Service and Parts Operations facility in Fontana, Calif.
Other respondents to the EARTH ANGEL questionnaire included BMW, Mercedes-Benz, Ford Motor Company, Honda, Hyundai, Subaru and Toyota.
Factors considered in the judging process included present and future environmental initiatives sponsored or supported by the automaker; current hybrid electric, diesel and flex-fuel vehicles available to the public; and the firm’s position and mission on global warming.
Launched in 1996, the ICOTY Awards honour manufacturers in 10 categories for products in the new model year “based on the emotional connection between car and consumer”.
Chrysler partners with utility and university on paint solid residues as power generation fuel
Chrysler LLC is partnering with the Ameren Corp. utility company and university researchers in a project to determine whether solid residues from one of its paintshops can reduce emissions of mercury from electricity generation plants.
For the past year, Chrysler has recycled paint solid residues from its two St. Louis assembly plants for use as an alternative fuel in Ameren Corporation's nearby Meramec electric utility plant. Before this project, Chrysler's St. Louis plants were sending one million pounds of dried paint solids to landfill each year. Now, the paint solids replace about 570 tons of coal per year in the Ameren plant.
The paint solid residues contain titanium dioxide, which has the potential to remove mercury from coal-powered plant emissions without affecting other processes in the plant. Mercury is chemically bonded with titanium oxide, a process known as ‘chemisorption’, and thus is potentially easier to trap in the plant's emissions scrubber system, research has found.
Through its collaboration with Chrysler's St, Louis assembly plants, Ameren's 855-megawatt Meramec power plant is the first in the U.S. to generate electricity by burning paint solids recovered from an automotive manufacturing facility. In the initial phase, the project produces enough electricity to power 70 homes for a year.
Fossil fuels to dominate road transport to 2020 – new Just-Auto report
Despite concerns over the escalating price of oil, liquid fossil hydrocarbons will remain the predominant fuels for the motor vehicle sector out to 2020, according to new research undertaken by just-auto for a new report written by the British automotive journalist Jeff Daniels, 'The future of road vehicle fuels - forecasts to 2020'.
Although future oil prices over the period will remain unpredictable, the report says that there is no prospect of crude oil reserves becoming exhausted by 2020. Furthermore and in contrast with some alarmist suggestions, the report's author Jeff Daniels maintains that the additional oil requirement beyond 2007 levels will be modest over the period, with all the additional demand coming from the developing world.
"In the OECD countries, fuel-economising technologies will begin to kick-in on a major scale," Daniels says. The report also suggests that the rising need for fuel economy may drive some reconsideration of business and social organisation, perhaps with a return to 'verticallyintegrated' regional communities rather than dependence on centralised supplies and the nationwide long-haul distribution of goods.
"The way we're organised today reflects cheap transport and if transport becomes a more precious and expensive commodity, trends in location could be expected to alter," says Daniels.
The report also makes projections for biofuels take-up in road transport and reinforces the view that their role will, over the next decade or so, be marginal - in part a consequence of their land-use and food chain implications. But second generation biofuels beyond 2020 hold much more promise.
"By 2020, bio fuels will be making a more significant contribution, but our forecast is that by then they will have gone through a cycle in which the first-generation bio fuels have encountered problems and fallen from favour, and the switch to second generation biofuels, predominantly synthetic liquid hydrocarbons, will be in the early stages of acceleration," says Daniels. "Thus our forecast is for bio fuels to take less than a 3% share of the overall market even in 2020, although by then the bio fuel market share will be steadily increasing."
In the longer term, however, the report concludes that it is feasible that fossil CO2 emissions can be eliminated from road vehicles, through the use of a combination of high technology liquid biofuels, hydrogen and electric power. The contribution of hydrogen is likely to increase from 2020.
This is the UK online publisher just-auto's first report focusing on future fuels. For details, go to www.just-auto.com.
Renewable Fuels Agency issues reporting guidance for biofuels
The Renewable Fuels Agency (RFA), the independent sustainable fuels regulator, issued guidance to companies on how to report on the sustainability of biofuels supplied through the Renewable Transport Fuel Obligation (RTFO) on 9th January.
The RTFO requires companies to provide information on a regular basis on the greenhouse gas savings and wider sustainability of the biofuels they provide; the guidance provides the relevant information for companies on how to comply with reporting requirements.
The Government has set performance targets to encourage responsible sourcing and the RFA will publish quarterly and annual reports on the RTFO that include a comparison of company performance against these targets.
The guidance has been developed through the Low Carbon Vehicle Partnership and has involved extensive consultation and piloting.
The guidance can be found on the RFA’s website at www.dft.gov.uk/rfa
MIA Business Excellence Awards presented to UK Motorsport companies
The 2007 award winners in the seven kcategorie of the Motorsport Industry Association (MIA) awards announced at the organisation’s Awards Dinner at the Autosport International show last week were as follows:
- The Business of the Year Award (sponsored by Xtrac) - Prodrive
- The Teamwork Award (sponsored by MIRA) - Xtrac, Torotrak,Flybrid Systems
- The Small Business of the Year Award (sponsored by Performance Racing Industry) - IS-Motorsport
- The Export Achievement Award (sponsored by Autosport International) - Ricardo
- The Rally Business of the Year Award (sponsored by Alcon Components) - BP Ford World Rally team with M-Sport
- The Technology and Innovation Award (sponsored by Ricardo) - Shell Racing Solutions
- The Service to the Industry Award (sponsored by Advanced Manufacturing Park) - Silverstone Circuit.
Emissions-based London Congestion charge could increase emissions – Clean Green Cars
Transport for London’s proposed changes to the London Congestion charge, in which cars of 120g/km CO2 and below could be exempted from payment, may actually increase the output of CO2 in the city, says the environmental motoring website Clean Green Cars.
Evidence for this is adduced from an independent report (by AEA) commissioned by TfL itself, which suggests that “there could be an increase in the overall numbers of cars travelling within the zone,” and that the consequent “increased congestion would mean all vehicles moving more slowly and hence increased CO2 emissions.”
Even if this increase does not occur, the same report concludes that the reduction in greenhouse gas emissions “would decline by between 1,200 tonnes and 8,200 tonnes (a reduction of between 0.3% and 2%) in 2009 as a result of the introduction of emissions related congestion charging.”
While Clean Green Cars thinks that an emission-based charge would play a valuable role in raising awareness of the varying environmental impact of different kinds of cars, it believes that reworking TfL’s proposed framework for an emission-based charge could have a more positive impact. It proposes that:
- A stricter target of 110 g/km CO2 for cars qualifying for the lowest charge be applied
- Vehicles achieving 110g/km or below should be charged £4 rather than being allowed in for nothing
- Vehicles emitting more than over 225g/km should be charged £12 rather than £25
Setting the threshold at 110g/km will diminish the risk, identified in the AEA report, of Londoners switching to 120g/km-and-below models in sufficient numbers to cause congestion to increase, making the changes self-defeating, as will the imposition of a £4 charge rather than the exemption currently proposed. The Congestion Charge is still intended to be a charge on congestion, Mayor Ken Livingstone has stressed, and it therefore makes sense to charge any vehicle that enters the zone.
The 110g/km limit would also encourage car manufacturers to work harder to develop cars with even lower emissions. There are already several dozen models on sale emitting 120g/km CO2 or less, and more are arriving by the month because this is not a difficult target to reach. Far fewer 110g/km-and-below models are already on sale in the UK, including the Volkswagen Polo BlueMotion, the SEAT Ibiza ecomotive and the new Mini diesel as well as the Toyota Prius and Honda Civic hybrids.
The £12 charge for vehicles over 225g/km, reduced from the proposed £25, is designed to discourage potentially well-of owners of these vehicles from buying an additional low-emission car instead of replacing their high-emission model.
For full details of Clean Green Cars’ proposed changes to the emissions-based London Congestion Charge, see www.cleangreencars.co.uk
Niche Vehicle Network launches electric race car design competition
The ‘bright sparks’ on the Niche Vehicle Network stand launched a competition at the Autosport International show last week to design a car for the world’s first one-make electric vehicle race series. The prototype chassis is a version of Westfield Sportscars’ latest two-seater range.
The competition is open to design students from universities, further education collages and senior streams of comprehensive schools. Entries must be registered with the organisers by 1st February 2008, but the design does not need to be finished until July. The winning design and the resulting car will be shown at the next Autosport show, in January 2009.
The new one-make electric sports car will have a top speed of 110mph, 0-6mph will take under five seconds; the electric motor produces the equivalent of 100bhp but with over 400Nm of torque.
For more information go to www.westfield-sportscars.co.uk/News%20Pages/article46.html.
Banks start work on Delphi Chapter 11 exit finance
Delphi Corp. announced on 9th January that the syndication of its exit financing package to support the company's planned emergence this calendar quarter from Chapter 11 reorganisation began last week with potential lenders' meetings being held in New York City on January 9th and London on January 10th. The proposed exit facilities, which are being arranged on a best efforts basis by J.P. Morgan Securities, Inc., and Citigroup Global Markets, Inc., were approved on 16th November 2007 by the U.S. Bankruptcy Court for the Southern District of New York.
Moody’s forecasts a difficult year for European manufacturers
2008 will be a tough year for European manufacturers, due to overcapacity and the weakness of the U.S. dollar, according to an analyst from the ratings agency Moody’s. Falk Frey notes that several European car manufacturers have announced ambitious volume targets for 2008-2015, which are in aggregate some 30% ahead of whole-market forecasts.
Texa strikes deal with Google for hand-held diagnostics search tools
The Lancashire-based vehicle diagnostics system firm Texa has unveiled a tool it hopes will revolutionise technicians’ search for technical information, reports Aftermarket magazine. Representatives of more than 25 UK aftermarket distributors gathered in Warwickshire recently to see the Axone Pad and Axone Palm diagnostic tools in action.
Texa’s MD Dave Richards told them how Texa had secured a deal with Google to provide an internet-based search tool on the devices - which also contain conventional technical information, wiring diagrams and more.
The tools’ search function means mechanics will now be able to look through the archives of every Texa technical support call centre in Europe within seconds, while using the Google search facility will give individual mechanics access to the repair solutions and tips of up to 70,000 technicians across Europe in fractions of a second.
(www.aftermarketnetwork.com)
TI Automotive appoints ex-ICI chairman Sir Ronald Hampel as non-exec director
Sir Ronald Hampel and Kenneth Langone have been named to the board of directors at TI Automotive, the supplier of automotive fuel storage and delivery systems.
Sir Ronald Hampel recently retired as chairman of Templeton Emerging Markets Investment Trust (TEMIT) in theUK, and was previously chairman of United Business Media plc. He spent 44 years with Imperial Chemical Industries, where he joined the board in 1985, became chief operating officer in 1991 and chief executive officer in 1993. Chairman of the board at Imperial Chemical Industries from 1995 to 1998, Hampel was knighted in 1995.
Kenneth Langone is the founder and chairman of Invemed Associates LLC, a New York Stock Exchange member firm involved in the brokerage business and investment banking.
Car carrier goes aground off Cromer en route to Tees Port
In the early hours of this morning, 14th January, a 9,576-tonne car carrier, 'The City of Sunderland' carrying 642 cars, ran aground at the south edge of Haisborough Sands, eight miles off the coast between Cromer and Great Yarmouth Norfolk, the Coast Guard reported.
Yarmouth Coastguard received the call from the Isle of Man registered vessel at 2:18am stating they had run aground with 13 crew aboard; none had sustained injuries, and the vessel, though listing 10 degrees, had not released any fuel. The vessel is apparently undamaged and the Coast Guard hope to re-float the vessel on the next high tide this morning with the help of tugs. The vessel was on passage from Zebrugge to Tees Port at the time of the incident."
