JD Power Study Finds Drivers Turn Off 'Annoying or Bothersome' Safety Systems
Some consumers are turning off driver safety systems because the technologies are “annoying or bothersome,” an emerging problem for the auto industry, according to a study released Tuesday by J.D. Power. CNBC reports that automakers are spending significant capital on semi-autonomous and driver-assist systems that are meant to increase safety and put drivers more at ease, not on edge. “Automakers are spending lots of money on advanced technology development, but the constant alerts can confuse and frustrate drivers,” Kristin Kolodge, executive director of Driver Interaction & Human Machine Interface Research at J.D. Power, said in a statement. The technologies, she said, can “come across as a nagging parent; no one wants to be constantly told they aren’t driving correctly.” Read more here.
Rough Trade Winds Complicate UAW Talks
Automakers are negotiating with the United Auto Workers union on a labor contract that will cover the next four years at a time when they can’t be certain what the trade environment will look like in four months, reports The Detroit News. And that's sure to shape negotiations between Detroit carmakers and the UAW as they work toward a deadline of Sept. 15 when contracts expire. President Donald Trump has sent confusing and contradictory signals in his escalating trade war with China: On Friday, he said he would reinstate tariffs on cars from China; by Sunday he admitted to second thoughts, after which an aide said he meant he should have raised them higher. "The overall interaction of trade, fuel economy and the economy overall, plus the demand for vehicles over the next four years, makes for a very difficult environment to negotiate an agreement," said Kristin Dziczek, vice president of the Center for Automotive Research. Read more here.
Nissan Names David Kershaw to Head U.S. Sales
David Kershaw, a 30-year Nissan veteran who most recently ran sales and marketing for the Southeast, will become head of the brand's U.S. sales, reports Automotive News. Kershaw, 54, has been named Nissan division vice president of sales and regional operations, effective Sept. 1. He replaces Billy Hayes, who is leaving the company at the end of the month for what he described as "personal reasons." Kershaw referred to himself as a "dealer guy" in an interview with Automotive News on Tuesday. "I've spent the last year and a half or so out in the field as a vice president for a couple of the biggest regions," Kershaw said. "I gained a lot of experience by being face-to-face with the dealers." Nissan is undergoing a slow pivot away from profit-draining fleet sales and incentives in the U.S. in an attempt to shore up brand value and margins. But that's hammering the brand's U.S. sales, which fell 7.8 percent through July. Read more here (subscription required).
Toyota Pulls Suzuki Firmly Into Its Orbit Through Stake Deal
Toyota Motor Corp and Suzuki Motor Corp will take small equity stakes in each other, the Japanese carmakers said on Wednesday, as they seek to develop newer technologies and meet sweeping changes upending the global auto industry. According to Reuters, the tie-up is the latest example of automakers chasing scale to manage costs and boost development. Car makers – especially smaller ones like Suzuki – are struggling to meet the breakneck growth of an industry transformed by the rise of electric vehicles, ride-hailing, and autonomous driving. Toyota will pay around 96 billion yen ($910 million) for a 4.94% stake in Suzuki, while Suzuki will acquire in the market around 48 billion yen worth of shares in Toyota. That is equivalent to 0.2% of Toyota’s shares as of Wednesday’s closing price, before the announcement. Read more here.
As Automatic Braking Becomes More Common in Cars, So Do Driver Complaints
Automatic emergency-braking systems that are promoted as a safety feature in vehicles don’t always work as intended and at times activate when there is no risk of a crash, drivers say. According to The Wall Street Journal, drivers have reported several hundred incidents to U.S. regulators in recent years of these brakes malfunctioning or not deploying properly, highlighting the challenges car makers face in introducing new technologies that automate more of a car’s driving functions. Safety advocates say the technology has significantly reduced accidents and can save lives, and auto makers view such crash-avoidance systems as a critical part of developing autonomous cars. But the National Highway Traffic Safety Administration has fielded more than 400 individual complaints in the last three years from drivers of vehicles made by Nissan Motor Co., Volkswagen AG, Honda Motor Co., and other major car manufacturers flagging auto-braking problems, according to a Wall Street Journal analysis of the agency’s public database. Read more here (subscription required).
Around the Web
Next-Gen Hyundai Tucson Shows a Little More Grille [Autoblog]
People Who Drive This Car Are Most Likely to Have Speeding Tickets [Fox News]
Hacker Claims He Can 'Turn Off 25,000 Cars' at the Push of a Button [Forbes]
Audi to Unveil Fourth Concept at Frankfurt Motor Show [The Detroit Bureau]
