Nissan Plans to Widen Ghosn Probe to Alliance Entity, European Subsidiaries
Nissan Motor Co. plans to widen its financial misconduct probe to investigate possible malfeasance at its alliance joint venture entity with Renault and a host of European subsidiaries in a move that could trigger more criminal charges in the wake of the indictment of Carlos Ghosn. According to Automotive News, a top priority for investigation is Renault-Nissan BV, the Netherlands-based joint venture owned 50-50 by Nissan and French automaker Renault, three people familiar with the issue said. But Nissan is also targeting as many as a dozen other Nissan-affiliated subsidiaries set up in the Netherlands, one of the people said. Japanese prosecutors are already looking into some the companies with Nissan’s assistance, and the probes could last months, the person said. Read more here.
China to Slash Tariffs on U.S. Auto Imports to 15%
China agreed to reduce tariffs on U.S. autos to 15 percent, down from 40 percent currently, during a phone call with U.S. officials that opened the latest round of trade talks aimed at settling a trade dispute festering between the world’s two largest economic powers. MarketWatch reports that Chinese Vice Premier Liu He informed Treasury Secretary Steven Mnuchin and U.S. Trade Representative Robert Lighthizer of the move in a phone call late Monday evening, Washington time, the person said, which restarted trade talks between the two nations. It wasn’t clear when the change would take effect, but Washington is pushing Beijing to make concessions as soon as possible. China raised its tariffs on U.S. autos as part of a tit-for-tat exchange of duties earlier in the year. Read more here.
Volvo's New Pitch: 'Don't Buy This Car'
Auto ads are nothing if not predictable, trumpeting the design and comfort of the latest models and urging customers to rush to the showroom. But in Germany, Volvo’s new campaign says “Don’t Buy This Car.” According to Bloomberg, although the tagline sounds like it was drawn from the “never do this” lecture in Marketing 101, it fits with Volvo’s strategy of steering drivers toward “subscriptions” akin to streaming services such as Netflix or Spotify. Customers pay a single monthly bill that covers various fees and repairs—a plan that Volvo expects to account for half its output by 2025. “It’s very transparent, a hassle-free way of having a car,” says Volvo Chief Executive Officer Hakan Samuelsson. “You know exactly what it costs.” After limited trial runs in the U.S. and Europe over the past year, Volvo in October introduced a nationwide program in Germany, with subscriptions to virtually all of its models. The monthly cost ranges from €498 ($561), for a basic version of its XC40 compact sport-utility vehicle up to €929 for a top-line XC90 SUV with alloy wheels and Nappa leather upholstery. Read more here.
Auto Dealer Expectations Sink to All-Time Low
U.S. auto dealers are not optimistic about market demand for new cars, either in the current quarter or in the first quarter of next year. In fact, dealer expectations for the coming quarter turned negative for the first time ever, reports 24/7 Wall St. The conclusions are based on the Cox Automotive Dealer Sentiment survey and index for the fourth quarter of 2018 released Monday. The overall sentiment index from franchise and independent dealers came in at 44 for the fourth quarter, down from 51 in the third quarter and from 46 in the fourth quarter of 2017. An index score ranges from 0 to 100, and any number over 50 indicates that more dealers view conditions as strong rather than weak. When an index is below 50, overall sentiment is negative. When asked what they expected the market in their areas to look like in three months, the overall index score was 49, down from 57 in the third quarter and from 53 in the fourth quarter of 2017. That’s the first time ever that this index score has dropped below 50. Read more here.
The Car Brands That Will Cost You the Least to Repair
What car brand is the least expensive to repair? What is the most reliable car on the road this year? According to The Detroit Free Press, CarMD has the answers to those questions in its 2018 Vehicle Health Index Make and Model Reliability Rankings. Published annually since 2011, it measures the frequency of repairs and repair costs this year for vehicles starting with model year 1996 to new vehicles. The report does not include tire and brake issues or maintenance such as oil changes. Between Oct. 1, 2017, and Sept. 20, 2018, CarMD said it analyzed vehicle data and health of about 5.6 million vehicles reporting check engine alerts and subsequent repair. Click here to see what it found.
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15 Cars We're Excited for in 2019 [Road and Track]
15 Cars, Trucks, and SUVs Being Discontinued in 2019 [Motor1.com]
2020 VW Passat Sneak Peek [Autoblog]
Hyundai Promotes Former BMW Exec to R&D Chief [Automotive News]
