Paul Tan's Automotive Industry News

Forbes Automotive Turkeys of 2005

Forbes has published a list of the Automotive Turkeys of 2005. Turkeys, like lemons, are words used to describe failures. Maybe sales are bad. Maybe they fall apart after a few drives. Note that the list is based on cars sold in the USA, so turkeys in the USA might be roaring successes in other parts of the world. Let’s have a look at the list.

Click here to read the rest of Forbes Automotive Turkeys of 2005

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SUV versus Cars crash tests

With the abundance of SUVs and trucks on the road these days, the issue of what would happen when a higher SUV bumper collides with a car. Most of the times, the car would slide under the SUV, increasing the chances of fatality in the accident.

Nine major automakers agreed last Tuesday to begin installing beams that meet a new strength test by September 2009. Currently blocker beams are already in place after a new ruling was made in 2003, but the effectiveness of these beams are debatable.

Strangely, the decision to redesign and retest safety beams for such collisions was opposed by Ford and DaimlerChrysler. However reasons are unknown as meetings between officials are private.

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Proton Audit

An audit has revealed there may be traces of bribery between Proton and the media when it comes to reviewing Proton cars.

Apparently Proton had been very generous with the time spans it allows a journalist to keep the review car, and had handed out more than 70 cars so far – with 30 allocated to the media.

There has been cases where NSTP motoring journalists have been assigned Gen.2 and Savvy cars and were told to keep it for an unlimited period. They were told to report back on any problems over long-term use. To me, this sounds like a plausible reason. I frankly do not know what the fuss is about.

The normal review period for a car is usually between 3 days to a week. The Gen2 was returned after 8 months, and the Savvy after 2 months.

Investigations are still underway.

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Proton-VW updates: 40% stake in manufacturing arm?

Yet more updates on the Volkswagen-Proton parnership. The Malay Mail reports Volkswagen AG may buy 40% of Proton’s manufacturing arm, and assume management control over that unit. Proton’s board of directors had met up with Volkswagen officials last week to discuss this offer.

This deal will allow Proton to benefit from Volkswagen’s technical expertise. However Proton joint Chief Operating Officer Datuk Kisai Rahmat denied to comment on the results of the discussion.

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Volkswagen Passat R GT

I previously blogged about the Volkswagen Jetta R GT concept, one of the three concept vehicles which Volkswagen AG unveiled at the 2005 SEMA show. Now let’s have a look at the second of the three concepts, which is a modified Volkswagen Passat – the Volkswagen Passat R GT.

Click here to read the rest of Volkswagen Passat R GT

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Proton Savvy Automated Manual Transmission

The Proton Savvy Automated Manual Transmission was launched yesterday. The car uses a manual transmission with a computer controlled clutch, supposedly supplied by Magneti Marelli, similiar to the Renault Quickshift 5 available in the Renault Clio.

Proton’s Automated-Manual Transmission (AMT) has 5 gears. There are 2 modes, a manual selection mode where you can switch through the gears sequentially by with the gear knob. It works like a manual transmission with clutches and gears, not like an oil-driven automatic with a torque converter. No power loss there. Clutch control is computerized with precised timing, shifts are much quicker than any average driver can ever attempt with a normal manual gearbox and foot-operated clutch.

The Proton Savvy AMT costs RM45,888.00 on the road without insurance and can be booked at any Proton showrooms around the country. There’s a new colour called Galaxy Grey, specially for the AMT I’ve heard. It looks like the dark grey on the Proton Waja.

I’ll try to get a test drive and report my findings.

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Volkswagen Jetta R GT

Volkswagen unveiled a series of vehicles under the R GT concept line for the 2005 SEMA auto show. This is the first of the three vehicles based on a Volkswagen Jetta. Let’s have a look at the Volkswagen Jetta R GT concept.

Click here to read the rest of Volkswagen Jetta R GT

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HLG on the automotive industry share market

The Edge reports HLG Research expects non-national cars to make up 50% of car sales on the overall by 2007, and 47% by next year.

HLG expects industry volume for both passenger and commercial vehicles to reach 562,380 units in 2007.

HLG recommends UMW shares for investment in the auto industry, with a price target of RM6.89. Reasons given include NAP incentives and Perodua’s involvement in assembling Toyota vehicles.

As for Proton, HLG maintains it’s buy status, in view of a potential alliance with Volkswagen AG which will improve economies of scale and efficiency through technology transfer, as well as better sentiments that the Volkswagen brand will give.

HLG has a hold status on Tan Chong shares, due to sales for the successful Frontier and X-Trail models that might be affected if prices go up because of 4WD and MPV segment tax hikes. Passanger cars should be safe so far, as the margins would be able to absorb the tax hikes.

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Proton Celebrity Champion’s Drive

A special celebrity Champion’s Drive will be held at next week’s A1 Grand prix at the Sepang circuit. Malaysia’s A1 Team and Proton has organised a 10 lap race, which involves celebrities racing in Proton’s Satria R3 cars.

Some of the celebrities participating are former F1 champion Emmerson Fittipaldi, ex-F1 driver Jan Lammers, Alex Yoong’s sister Pippa Yoong and Malaysia’s rally king Karamjit Singh.

The Malaysian leg of the A1 Grand Prix will be held from 18-20 November 2005. Tickets are priced from RM30 to RM200.

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No made in Malaysia Lotus

In a strange change of events, Lotus and Proton technicians are dismantling Lotus equipment here for shipping back to the UK. Production for the Lotus Esprit V8, supposed to be built here has also been moved back to Hethel where all Lotus cars have been built since the 60s.

Could this be related to the non-core asset dump previously announced?

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