Oil Drops more than $10 a Barrel after U.S. Bailout Failure

Unless you’ve being living under a rock, you’ve probably heard that the House on Monday rejected a $700 billion emergency rescue plan for the nation's financial system. What you may not have heard is that aside from the fact that the Dow Jones industrial average plunged 778 points, oil prices also fell a staggering $10.52 US on Monday, or 8.9%, to $96.37 a barrel on the New York Mercantile Exchange. This is the second biggest drop in dollar terms since January 17, 1991 when prices fell $10.56.

Breaking News: Paul Newman Dies at the Age of 83

One of the greatest actors of our time and a vivid car aficionado, Paul Newman died on Friday, September 26 at the age of 83 after loosing a long battle with cancer. Paul Newman was a 10-time Oscar nominee winning one regular award for "The Color of Money" and two honorary ones, director, philanthropist, successful business man and something that many might not be aware of, a race car driver with his last major triumph on the track being the victory in the IMSA GTS class at the 24 Hours of Daytona in 1995 which he won at the age of 70. But above all, Paul Newman was a great human being who never let the Hollywood star system get the best of him. We’ll definitely miss him.

Porsche Rewards Workers with €6,000 Bonus

Thousands of Porsche employees are to receive a €6,000 (US$ 8,750) bonus due to the company’s exceptional economic performance for the recently-concluded business year 2007/2008 that ended in July 31. The bonus that comes a year after a similar payment of €5,200 was made for the 2007 fiscal year will be given to each full-time employee who joined the firm prior to August 1, 2007. According to Porsche, €3,800 of this year’s bonus relates to the operative result, €700 is from financial transactions and €1,500 is in honor of Porsche’s 60th brithday. What kind of bonus are you getting this year?

Mazda Becomes First Automaker to use Trans-Siberian Railroad

The Trans-Siberian Railway is a massive network of railroads connecting European Russia with the far east side of the country, China and the Sea of Japan. Starting in October 2008, Mazda will become the first car manufacturer to adopt this transport system for regular large-scale transportation of vehicles to Russia. Mazda will ship its vehicles from its factory in Hiroshima, Japan to Zarubino which is near Vladivostok. The automobiles will then be transported on the approximately 9,300 km (5,800 miles) route to Moscow on dedicated block trains of 30 rail cars. As with the passenger train, delivery time to Moscow will be 10 days. -Continued

Mazda claims that this transport initiative will supplement vehicle shipments from Japan, reducing the delivery time to Russia by up to 30 days for high demand models.

“Mazda is one of Russia’s most popular brands with double-digit growth every month,” said Jorgen Olesen, Vice President for Customer Service, Logistics and IS at Mazda Motor Europe. “Rail transport is intended to supplement existing delivery, which will continue to come by ship and road from the west. This dual transport strategy will help meet high demand for Mazda cars in Russia, and to lower overall delivery times to customers.”

Aston Martin’s Nurburgring Test Center Opens up for Business

Initially unveiled in May, Aston Martin’s new test center at the Nurburgring track circuit is now fully operational as a base for development and durability testing of prototype models and for customer events, the automaker announced today. Furthermore, Aston Martin said that it is extending its relationship with the iconic German circuit by taking on a new display showroom and VIP business lounge in the new Nürburgring trackside development due for completion in June 2009. -Continued

"The Nürburgring has played an important part in the development of our cars in recent years and of course we have a fine racing pedigree here too. We are therefore extremely pleased to be able to demonstrate our bond with the Nürburgring even more clearly by extending our involvement,” commented Aston Martin’s Chief Executive Officer Dr Ulrich Bez.

GM to Double Global Production of Small Engines up to 1.4-liters

You knew it was coming, meaning the way fuel prices have spiked the past few years, it was only a matter of time before GM gave its attention to smaller displacement engines. According to the General’s latest announcement, it plans to double its global production of small four-cylinder engines (1.0L to 1.4L) by 2011, with more than half of the increase coming in North America. In particular, GM said that one-third of its North American engine volume will be 4-cylinders by 2011, and (fortunately) 21% of the 4-cylinder volume will be turbocharged representing a seven-fold increase over today’s volume of turbo engines. -Continued

“Power-dense four-cylinders such as the 1.4L Turbo are an integral part of GM’s portfolio of advanced propulsion technologies, including cam phasing, direct injection, Active Fuel Management, clean diesels, hybrids, flex-fuel vehicles, six-speed transmissions and electric propulsion,” said Tom Stephens, executive vice president, GM Global Powertrain and Global Quality.

The American automaker’s strategy is highlighted by an all-new, 1.4L Turbo engine that will power a range of models including the next generation Opel Astra and the 2011 Chevrolet Cruze sedan. Estimated power ratings for the 1.4L Turbo will be 140 HP with a torque rating of 148 lb.-ft. (200 Nm).

“Because of the turbocharger’s on-demand power and responsiveness, it’s like having two engines in the same vehicle – one for power and one for fuel economy,” said Stephens. “It’s truly the best of both worlds.”

GM’s next generation of small four-cylinder gasoline engines will include displacements of 1.0L, 1.2L and 1.4L with the latter developing an estimated 100HP output.

2009 Ford Ka Begins Production

While we’re waiting to see the 2009 Ka up close at the Paris Motor Show, the first volume production example of Ford’s new minicar rolled off the production line at a special ceremony today in Fiat’s Tychy plant in Poland. The new Ka was jointly developed with Fiat, but while it shares most of its underpinning with the Fiat 500 that is also built along with the Panda in the Tychy plant, the two minicars don’t share any sheetmetal or any major interior components. -Continued

"It was three years ago that we reached agreement with Fiat to produce the new Ka here in Tychy," explained Ian Slater, vice-president communications and public affairs, Ford of Europe. "One of the strengths of this co-operation has been that both parties wanted to produce vehicles which would be very different in looks and character. I'm satisfied that in doing so, we've set up a 'win-win' opportunity for both companies."

Ford’s investment in the 500-Ka project amounted to 210 million Euros and it resulted to the addition of another 1,000 jobs in the plant and more among locally-based suppliers. Annual production of Ford Ka will be 120,000 units a year.

Dream Exhibition in Torino – A Car Aficionado’s Paradise

“Dream” is an Italian exhibition about production vehicles and concept cars that were designed by automobile companies, coachbuilders and freelance studios located in and around the historic city of Torino from the 1950s to today. The show opened its gates to the public on September 19 and it will run until November 23, 2008 at the Giovanni Agnelli’s Pavilion in Torino. According to the organizers, the exhibition that is dedicated to the memory of the late Andrea Pininfarin, hosts 54 one-off examples and hundreds of design objects including scale models, sketches, drawings and various projects. -Continued

Historical exhibitions at the Dream Show include the Ghia Gilda Streamline X Coupe, the Pininfarina Modulo and the more modern Maserati Birdcage concept. As for the BMW ZX6 concept you see in the picture below, it was designed by third year students of the Istituto Europeo di Design of Turin (IED), Jai-Ho Yoo and Lukas Vanek in collaboration with the Bavarian automaker. According to IED, the concept was selected by the Organizing Committee as the exhibition’s primary communication picture.

BMW’s Munich Plant Produces its 750,000th Current Generation 3-Series

BMW’s Munich plant reached an important milestone today as it produced its 750,000th current generation 3-Series model. The 750,000th 3-Series was a white 335i Sedan that is heading for a customer in Mexico. The fifth generation 3-Series went into production in December 1st, 2004 at the Bavarian automaker’s factories in Munich, Regensburg and Leipzig in Germany as well as in Rosslyn, South Africa. -Continued

Overall, BMW has built around 1.75 million variants of the new 3-Series in Sedan, Touring, Coupe and Cabriolet forms since its introduction in 2004, which is about 300,000 units more than what it had produced of the previous generation 3er in the same period.

Oil Prices Jump to $130 a Barrel and then Dip Back Down

What a market; after oil prices spiked more than $25 to $130 a barrel on Monday, September 22, creating an all-time record for the biggest one-day price hike ever, light, sweet crude slipped on Tuesday, September 23, to below $108 a barrel. Analysts suggest that Monday’s crazy rally was ignited from anxiety over the U.S. government's proposed $700-billion plan to purchase troubled mortgage assets and contain the financial crisis, combined with a weak dollar and an expiring crude contract.

Tesla to Build All-Electric Luxury Sedan in California in 2010

Continuing its investments, Tesla Motors announced that it is planning to build a $250 million facility to manufacture a zero-emission luxury sedan in the heart of Silicon Valley. Named Model S, the five-passenger sedan will be powered by a lithium-ion battery pack and according, it is expected to have a base price of $60,000 and get around 240 miles or 386 km per charge. The first sedans will likely roll off the Tesla’s new assembly line in late 2010. Tesla’s President and CEO Ze'ev Drori said that construction on the 89-acre site would begin in the summer of 2009 and when fully operational, the facility will employ approximately 1,000 workers. -Continued

The company also said that it will relocate its corporate headquarters and research and development efforts to a consolidated campus in San Jose, California. Tesla, which currently produces the all-electric, two-seater Lotus Elise-based Roadster, said that it chose San Jose in part because the region already enjoys a high concentration of highly skilled engineers and support infrastructure. The new factory will be located 20 miles from the current headquarters in San Carlos.

The new plant won’t affect the Roadster as Tesla has no plans of moving production from the Group Lotus PLC factory in Hethel, U.K. Last week the company said it was ramping up production as about 1,200 people have already put down deposits for the Roadster. So far, Tesla has delivered only about 30 Roadsters.

Greenpeace Targets Mercedes in Germany, Presents the Pig-Class

Last year it was Porsche, now it was Mercedes-Benz’ turn to get a taste of how it feels to be targeted by Greenpeace. The self-proclaimed eco-warriors staged a protest in front of a Mercedes-Benz dealership in Cologne, Germany. As they did last year at Porsche central offices in Stuttgart, Greenpeace activists accused Mercedes-Benz of manufacturing “Climate Pigs”. And just in case someone did not value the meaning of the term, the demonstrators presented a pink ML-Class all dressed up in pig ears and snout. -Continued

We hope that next time Greenpeace decides to target a car manufacturer they’ll come up with something a bit more creative as to be totally honest, the piggy theme is starting to get old.

Photo: UP

VW Robust Pickup Truck to be Unveiled at Hannover CV Show

Confirming earlier speculations, Volkswagen has announced that it will finally give us a preview of its first pickup truck in the 1-ton class, the so-called Robust, in the form of a design study at the 62nd IAA Commercial Vehicles show in Hannover, Germany that runs from 25 September to 2 October. The design study will provide an outlook on Volkswagen Commercial Vehicles’ fourth model series, which is due to come off the assembly line at the Pacheco plant in Argentina in late 2009. According to the German automaker, the so-called Robust will be the first-ever pickup manufactured by a European mass-series producer. -Continued

According to sources, the production model’s primary targets will be the South American and South African markets. While the Robust will most probably be offered in selected European markets, it remains to be seen if Volkswagen will bring its new pickup truck in the U.S.

Rendering by Jorge L. Fernandez

Live Video Stream from GM’s Detroit Headquarters - Volt Presentation and More

In celebration of its 100th anniversary today (September 16th, 2008), GM is hosting a live broadcast from its global headquarters at the Renaissance Center in Detroit and four additional locations. It is expected that among other things, General Motors will take the wraps off the production version of the all-electric Chevrolet Volt so bookmark this page and stay tuned to enjoy the live video stream that starts on 8:30 a.m. EDT. -Continued

GM Cuts Down Corvette Production Due to Slowing Economy

The growing economic recession in the U.S. has finally caught up to the iconic Corvette as General Motors’ officials confirmed to Automotive News that production of the two-seater sports car at the Bowling Green assembly line in Kentucky will come to a halt during the week of October 6th.

But that’s only the beginning as GM revealed that once the Corvette assembly resumes during the week of October 13th, production will be slowed down from 18.5 vehicles per hour to 15, something that could potentially lead to up to 75 workers losing their jobs at the Bowling Green plant. And in case you’re wondering, Corvette sales from January through August have dropped by 8.5% compared to the same period in 2007.

Via: Autoblog.com , Source: AN (sub req.)

Unbelievable: China’s Great Wall Motors Patents Toyota Ractis Clone Design in Europe!

Oh the irony; China’s Great Wall Motors whose GWPeri minicar was recently banned from Europe because its appearance was ruled to be too similar to that of the Fiat Panda, has successfully managed to patent the design of the Feel Free minivan at the European Patent Office! Now, the reason that we’re surprised is that Great Wall Motor’s Feel Free minivan that was shown in pre-production form earlier this year at the Beijing Show is essentially a generic copy of the Toyota Ractis, a subcompact minivan that’s based on the Yaris minicar and sold in Japan.

Don’t believe us? Then just check the photo album after the jump. As with the GWPeri, the Chinese automaker’s design team (…) simply made a few alterations to the front and rear end styling of the Ractis and presto; the all new Feel Free (to copy) minivan. We can’t even begin to imagine how awkward the Toyota folks must feel after this development… -Continued

Great Wall Motors Feel Free Patent Designs

Toyota Ractis Minivan

Hummer H3 to get E85 Capable Engines and 4-Cylinder Diesel in 2009

With Hummer’s future uncertain as truck and large SUV sales continue to freefall in the States, you’d think that GM would totally give up on its offroad brand. But for the time being, that doesn’t seem to be the case. As part of its commitment to make half of its vehicles E85 (ethanol) capable by 2012, GM said that along with the H2 E85 FlexPower that will go on sale in the States this October, it is continuing the development of FlexPower engines for the H3 SUV.

Scheduled to hit U.S. dealerships in early 2009, the H3 FlexPower will be able to run on gasoline, E85 ethanol which consists of up to 85 percent ethanol mixed with gasoline, or any combination of the two fuels. According to the American automaker, in the USA alone, more than 3 million of the 7 million flexible-fuel vehicles on the road are GM cars and trucks. -Continued

“Using biofuels, specifically E85, is the most significant thing we can do in the near-term to offset rising future energy demands” says Beth Lowery, GM vice president of Environment, Energy and Safety Policy. “We believe ethanol used as a fuel, not just as a gasoline additive, is the best near-term alternative to the surging global demand for oil because ethanol is renewable and it significantly reduces CO2 emissions compared to gasoline. Best of all, it is available today.”

Aside from the H3 FlexPower, GM is also developing a 4-cylinder turbo diesel engine for the smallest model in its range. The diesel-powered H3 will be an important addition in Hummer’s European range as diesel vehicles across the pond account for more than 50 percent of total sales in most markets. The percentage of diesel variants is even greater when it comes to large SUVs and 4x4s.

2009 BMW Z4 Scooped in Germany – Gets 3.0L Twin Turbo and the M3’s 4.0L V8

The next-generation BMW Z4 has been scooped driving in and around the Bavarian automaker’s central offices in Munich. If you check out the spy shots you can see that the prototype is equipped with a hardtop, and from the looks of it, it’s a two-piece folding metal roof. So do we need any more proof that the new Z4 will indeed be equipped with a retractable hardtop instead a conventional, but lighter soft top like today’s model?

If it were any other automaker we’d say no, but since BMW is known to explore various solutions on its prototype test cars, we wouldn’t be too hasty to completely write off the canvas top. Who knows, maybe the Bavarian's will go both ways as Mazda did with the current generation Miata / MX-5. Leaving the roof options aside, the new Z4 will be built on the latest 3-Series underpinnings, remaining similar in dimensions to the current model growing on an inch or so in length and width. While the styling is reminiscent of its predecessor, the new Z4 appears to have a more aggressive stance. -Continued

Under the hood, we’ll see the new Z4 getting the latest powertrains from the 3-Series including BMW’s latest generation 3.0-liter bi-turbo straight six that develops 326 HP in the new 740i (from 306 HP in the 335i) and the M3’s 420 HP 4.0-liter V8 in the range topping Z4 M model. Just like the current Z4, the new Bavarian roadster will also be offered (at least in Europe), with an entry-level, no-frills 2.0-liter 4-cylinder engine.

So when will we see the new Z4 arriving in BMW’s dealerships? Our sources report that the production BMW Z4 will make its first appearance at the Detroit Show in January 2009, but we wouldn’t be surprised if the Bavarian automaker presents a pre-production model the Los Angeles Motor Show this November. In any case, the new Z4 that will be made in Germany instead of the U.S. like the outgoing model will be available worldwide from spring 2009.

Photo Copyright: AR

Toyota Begins UK trials of Plug-in Prius Hybrid

In cooperation with EDF Energy which is one of the UK’s largest energy companies, Toyota has started UK trial runs of its prototype Prius plug-in hybrid vehicle (PHV). EDF Energy has helped to install the first of 40 charging posts in the UK, with plans to install more in the coming months. The Prius PHV uses Toyota’s hybrid technology with the added benefit that the vehicle’s batteries can be fully recharged using a standard electrical plug or an electrical charging post to lengthen its driving range in electric mode.

The trial builds on the first European PHV testing programme launched by Toyota and EDF on French roads in September 2007 and will see the Prius PHV being tested by the energy company’s employees under every-day driving conditions. These road tests are considered crucial for the Japanese automaker that has already confirmed that it will sell lithium-ion battery-equipped PHVs to fleet customers in Europe and other regions by the end of 2009. -Continued

Rt Hon John Hutton MP, UK Secretary of State for Business, Enterprise and Regulatory Reform, speaking at a Toyota - EDF Energy event in London to launch PHV in the UK, said: 'I welcome the launch of this trial here in the UK. I am pleased to see industry pulling together to work on diversifying energy use and cutting global carbon emissions. We hope that this trial will provide an invaluable insight into the future development of UK electric and plug-in hybrid vehicles.”