November 17, 2011

VW Seeks Changes in Tougher Fuel Economy Rules
Volkswagen is pressing U.S. regulators to change a proposal to double auto fuel efficiency, arguing the plan puts it at a competitive disadvantage and unfairly de-emphasizes clean diesel engines. Automotive News reports that VW did not sign onto an agreement backed by most automakers that underpinned the Obama administration proposal on Wednesday to boost efficiency targets to 54.5 miles per gallon by 2025. Europe's largest automaker said it remains hopeful changes will be made to reduce incentives in the plan that favor the biggest pickups. It also wants some benefit for clean diesel, which bolsters fuel efficiency efforts in Europe and is featured on Volkswagen's mid-size Passat TDI, which gets 43 mpg on the highway. The Obama administration said Wednesday its proposal to nearly double auto fuel efficiency standards to 54.5 mpg by 2025 will cost the auto industry $157.3 billion. The Detroit News reports that the proposal will boost the cost of an average car in 2025 by $2,023 and light trucks by $1,578. Costs could be as high as $2,800, however, under a different forecasting analysis. Read more about VW’s opposition to the rules here. For more on the new rules and how much they will cost the industry and tax payers, click here.

2012 Motor Trend Car of the Year: Volkswagen Passat
On Wednesday, Motor Trend named the Volkswagen Passat its 2012 Car of the Year. From 50 feet or in a two-dimensional photograph, the Passat engages the eye less than does the splashy "fluidic design" of some competitors, but closer inspection reveals exquisite detailing. Engineering guru Chris Theodore found the exterior "tastefully executed with really tight shut lines and nice detailing." The result is sort of a time-release appeal that blossoms upon close scrutiny or when hand-washing the vehicle. It's a less flashy design than the Sonata's, but way more cohesive than the Accord's, according to Motor Trend. There's nothing trendy going on inside, either, which may let it age more gracefully than bolder designs. Characterizations of the engine note ranged from "moaning" to "unique growl," but the general consensus was that the powertrain integration team earned its kibble. Sure, they say that they wish it were a sprightlier sprinter, but they expect a direct-injected and/or turbocharged four-cylinder replacement to arrive soon. VW's $4-billion Chattanooga plant investment – where it builds the new Passat – pays off for U.S. buyers by insulating them from the strong Euro currency. For a photo gallery of the Passat, click here. For coverage of its selection as Motor Trend’s Car of the Year, click here.

Mazda Lineup to Get Fuel-Saving Overhaul
Mazda Motor Corp. plans to overhaul 80 percent of its product lineup with six new vehicles to be introduced over the next five years with new fuel-saving technology, said President Takashi Yamanouchi. The top executive, who traveled from Japan to give the keynote address to open the Los Angeles Auto Show Wednesday, outlined ambitious plans for the small global player. According to The Detroit News, Mazda sells 1.3 million vehicles around the world annually and expects that to grow to 1.7 million over the next four years to maintain 2 percent global share. The Mazda3 offers the first taste of Mazda's new SkyActiv fuel-efficient technology, but has just the engine component of SkyActiv. The complete package debuts in the all-new CX-5 compact crossover that made its global premiere at the show. Click here for video footage. "This is the first Mazda vehicle to fully embody our new design language, as well as a suite of new technologies – engines, transmissions, chassis, and body structure," Yamanouchi said. The CX-5, which launches in the first quarter of 2012, is the first of the new generation of vehicles coming where fuel-efficiency technology is standard. For the latest on Mazda’s fuel-saving overhaul, click here.

2012 Honda CR-V Gets Tech-Savvy Refresh
The 2012 Honda CR-V has been given a modest but smart makeover, reports Edmunds Auto Observer. The new CR-V is retuned for slightly better fuel efficiency, gets a connectivity and functionality boost, and is restyled to broaden its appeal in the segment. Click here for a picture. Honda was mindful not to meddle with the core attributes of its segment stalwart and the CR-V’s loyal sales following will not be disappointed. Though availability issues stemming from Japan’s natural disasters caused the CR-V to cede the segment sales title earlier this year to the class’s other perennial, the Ford Escape, the revamped CR-V should easily regain its segment lead in the near term. “Bring it on,” says John Mendel, executive vice president of sales for American Honda, of impending competition. “We’ve run between 200,000 and 225,000 [sales a year], and we expect 200,000 plus again,” he predicted for the redesigned CR-V. “A lot of that depends upon the market - and how we rebound. We think that 200,000-plus is a good level for us and we think the new one will pick up right where the old one left off and actually expand that lead a little bit.” Read more about the new CR-V here.

Hybrids Safer Than Comparable Gas-Powered Cars
If the fuel-saving benefits weren’t enough, MSNBC reports that now there’s another good reason for buying a hybrid vehicle instead of a conventional gas-only model. Research by an affiliate of the Insurance Institute for Highway Safety shows hybrid vehicles are safer than their conventional counterparts when it comes to shielding their occupants from injuries in crashes. On average, the odds of being injured in a crash are 25 percent lower for people in hybrids than people traveling in comparable non-hybrid vehicles, the research found. “Weight is a big factor,” said Matt Moore, vice president of the Highway Loss Data Institute and an author of the report. “Hybrids on average are 10 percent heavier than their standard counterparts. This extra mass gives them an advantage in crashes that their conventional twins don’t have.” Moore points to other possible factors for the better safety record for hybrid vehicles, such as how, when, and by whom hybrids are driven. The study’s findings are good news for green-minded drivers who are also looking for safety in their cars. However, it’s worth noting that hybrid vehicles still pose a risk to pedestrians; they are much quieter than gas-powered cars. For more on the safety of hybrids, click here.

Shell Lubricants’ go.drive™ Entertains and Educates Dealership Service Customers
Earlier this month, thousands of dealerships nationwide received go.drive™, a magazine published by SHREC Communications exclusively for Shell Lubricants, designed to entertain and educate auto dealer service customers. The magazine, which aims to help drivers get the most out of their visit to a dealership service department, features content that is fun, easy to digest and informative. By educating customers about issues pertaining to their vehicles’ service, go.drive™ can actually help dealership service departments sell more high-profit items. Shell Lubricants, an AIADA Affinity Partner, is dedicated to helping its dealer customers grow their business through consumer trust and loyalty. The Winter 2011 issue features articles about safe driving in winter weather, motor oil quality and must-have new car features, to name a few. View the online version here. Service and sales managers can order additional quantities for their customers to support improving relationships. How can you fully leverage this program? Contact your Shell representative or Don Moser, North American OEM/Automotive Dealer Group Marketing Manager at (713) 546-8120 or Don.Moser@shell.com. If you have any questions about the product – or to take advantage of the publication as a direct mail campaign combining go.drive™ with an in-store offer, contact go.drive™ support at (800) 331-3713.

Around the Web 
2012 Lamborghini Gallardo LP550-2 Spyder [Autoblog]
Watch: 2013 BMW M3 Spy Video [Edmunds Inside Line]
Rolls Royce Goes Electric [CNN Money]
What to Wear That Says 'Buy This Porsche' [WSJ]