Oh Canada!: Will this country ever have its own automaker?

 

 

 

 

 

 

 

 

 

 

 

 

 

OTTAWA – With all the recent doomsday talk of Canadian PDA-maker Research In Motion’s seemingly imminent demise, while following the former high-tech giant Nortel’s death, the idea of a Canadian-owned global enterprise seems to be an impossible dream. So as we head into another Canada Day long weekend, I have to ask: Will this country ever see the day when we have our own automaker?

If you happen to be in Ottawa this weekend, perchance to get a glimpse at the recently wed helicopter pilot (Will) and housewife (Kate), the Canada Science and Technology Museum is still showing its In Search of the Canadian Car exhibit that launched last year. There, you’ll find a modest display of 14 cars, including the first car made in Canada, the 1867 Steam Buggy and the ill-fated 1975 Bricklin SV sports car. There’s also a 1961 Mercury Montcalm, an example of a time before the Canada-U.S. Auto Pact was passed in 1965, when 97 per cent of the cars made in Canada were bought by Canadians.

The museum exhibit is bittersweet. Despite this history of Canadians being some of the most-skilled builders of cars in the world, and foreign-owned Toyota, Honda, Chrysler, General Motors and Ford building cars on our soil, the idea of a purely Canadian–backed automaker seems just that—an idea.

Canadian Frank Stronach’s Magna came closest in its bid for cash strapped Chrysler in 2009, before Italy’s Fiat eventually gained control via U.S. bankruptcy proceedings. Even then, allegedly, the Magna bid was contingent on some Russian money kicking in.

Was Frank's stab the last chance for Canada to claim its own automaker?

Or is today's global economy simply too big for a Canadian-only backed automaker to survive alone?

From the Fleet: 2011 Audi A3 TDI S-Line

 

 

 

 

 

 

 

 

 

 

 

 

 FROM THE FLEET are brief synopses of manufacturer-supplied rides that happen to end up in my laneway – JL

Prepping for an upcoming “diesel vs. hybrid” comparo for the Wheels I’ve just spent some quality time in an A3 TDI: Audi’s smallest derv drinker.

Yeah. The current A3 body style has been around for a while. I expect a new one to pop up in Frankfurt this fall. Plus, you can’t get a stick (sorry, DSG only) and this is one of the rare Audis where the brand’s signature all-wheel-drive with (it’s a front-driver only) is verboten. Whatever. I still like the “old school” feel of its dense cabin fittings and crisp, exterior lines.

Red cars and I usually don’t get along. But framed in high-gloss black trim—courtesy of the must-have S-Line package—this particular combo is workable. And all you socialists out there will moan that Volkswagen basically offers the same mechanical package as this A3 (base price $35,300+ $6,500 worth of S-Line and Premium packages and Bi-Xenon headlights) in its Golf TDI (loaded: $28,775).

Yet… the VW version doesn’t drive nearly as nice as this A3 (mit S-Line 18-inch rubber). Audi’s use to drive like they rode on wooden tires. Not so here. This is probably one of the better balanced ride vs. handling setups in a small car I’ve driven all year. Great looks. Great interior. Great ride. Plus 236 lb-ft of torque and an as-tested 6.9L/100 km average.

Are today’s “subcompacts” yesterday’s “compacts”?

 

 

 

 

 

 

 

LAS VEGAS, Nevada – You can’t judge a book by its cover. And you can’t judge a car by its segment name. At least not anymore. That’s the conclusion I’ve come to after spending a day driving Hyundai’s new 2012 Accent,  a so-called “subcompact” that, for all intents and purposes, offers the size, features and performance of what you and I would regard as a “compact”, by far, the most-popular new car segment in this country.

Not convinced? Lets put the new Accent four-door sedan up going what’s been the Gold Standard, the King of the Canadian Compacts for more than the past decade: the ubiquitous Honda Civic sedan. For instance, let’s say you own an out-of-warranty 2008 Civic DX. And you’re looking for a brand new replacement. Don’t be fooled by the Accent’s “subcompact” ranking. It essentially matches or betters the “compact” Honda in almost every measurable category.

The 2012 Accent has essentially the same horsepower (138 vs. 140) and lb-ft of torque (123 vs. 128), respectively, as the '08 Civic DX. But because Hyundai has employed more technology, the Accent’s 1.6-litre four (with one more gear in both its manual and automatic gearboxes than the Honda's five-speeders) and has a lighter curb weight, it delivers better fuel economy (6.9L100 km city, 4.8L hwy, compared to 8.2L and 5.7L) than the Civic's 1.8L unit.

Exterior dimensions are similar. But the Accent has a larger trunk and offers more overall interior volume. And the base model '12 $13,999 Accent L delivers more standard kit than an originally priced $16,990 '08 Civic DX, with the likes of stability and traction control, power locks, and iPod audio connections standard. (Before you fire up your emails, I know, a previously enjoyed 2008 Civic DX, with 80,000 kms, goes from $8,600 to $10,725.)

But don't blame Hyundai solely for confusing the car size category naming hierarchy. 

“Compacts” like the Chevrolet Cruze, Volkswagen Jetta and the Accent’s big brother Elantra, offer the room and comfort of what used to be considered “midsize” sedans. Or take the new “midsize” 2012 VW Passat I recently tried. It’s been enlarged to now compete against “full-size” cars like the Chrysler 300.

So be warned: Before you go looking for a replacement for your old "compact", best to consider a new, super-sized "subcompact". It may be all the car you really need.

 

Signs of life from Japan's Honda

 

 

 

 

 

 

 

 

 

 

 

“Can it get any worse?” is more than likely a rhetorical question the good folks at Japan’s Honda's HQ are trying to avoid asking themselves.

No doubt, the past few years of lacklustre North American product launches, what’s looking like a massive financial hit for the once-perennially-profitable automaker, plus the economic and natural catastrophes at home are making 2011 a year Honda wants to see in the books.

Yet…a glimmer of hope that Honda may finally be digging out of its hole with good old-fashioned product has come out of a recent Reuters report.

In discussing Honda’s recent woes, it noted that Honda has had to delay the launch of some new North America-bound new models, including a new Japanese-market Fit Shuttle (above)— a compact station wagon based on our existing Fit hatchback.

At least the Shuttle hybrid has been a hit in Japan. Apparently, Honda has 7,000 orders inhand for the new car over a five-week period ahead of the start of domestic sales this past Thursday, a “fraction” of the orders received by rival (and larger) Toyota’s Prius V hybrid wagon, due in Canada later this year.

Although Reuters doesn’t say, it’s expected that a hybrid version of the Shuttle will be sold here. Which is interesting. Despite people questioning the value proportion of expensive hybrids, even with gas prices historically high, automakers are  pumping new models into the market like crazy. Ford recently announced that its version of the Mazda5 mini-minivan, the C-Max, would be hybrid or fully electric models only when it comes to North America.

Anyway, the news that Honda is considering a non-Honda USA-designed model is encouraging. The sooner the head office in Japan stops listening to their American counterparts, the brainiacs who came up with the sedan-only Civic, Ridgeline and bloated Accord sedan and Crosstour, and the entire Acura styling disaster, the better.

Now, in Japan, the Fit Shuttle hybrid starts at 2.03 million yen ($20,000), compared with 2.35 ($30,000) million yen for the five-seater version of the Prius V. But that’s mainly because it’s a lot smaller: subcompact versus midsize.

So while I applaud Honda (if it really does bring over the Fit Shuttle), if the automaker really wants to move some metal over here, it should be considering its one-size-up Stream (left). Much like the Mazda5 is based on the compact Mazda3, the Stream is based on the Civic, and would certainly stop the “Where’s my Civic hatchback/Accord wagon?” whining from former Honda fans.

Do you like the idea of  slightly larger Fit hybrid?

If Honda does bring over the Fit Shuttle, should it be offered as a gas model as well?

Or do you think Honda is better off bringing over the larger Stream?

 [Sources: Reuters, Honda]

 

Can Germany's VW become an American automaker—again?

 

 

 

 

 

 

 

 

 

 

 

 

 

CHATTANOOGA, Tenn. – You have to admire Volkswagen’s “If at first you don’t succeed, try, try again!” attitude when it comes to building cars South of the Border.

After building U.S. versions of its compact Golf and Jetta for a decade in the German automaker’s first U.S. plant—a former Chrysler factory in Westmoreland, Pennsylvania VW closed after a decade in 1988—the German brand is returning yet again to the Land of the Free with a new facility here in Tennessee (above).

Now while some blame the poor quality of the vehicles that were produced there, VW cites one of the main reasons why Westmoreland failed had to deal with currency fluctuations from European parts suppliers. This time, though, in Chattanooga, VW is sourcing the majority (up to 93 per cent) of the parts for the factory's's first offering, the new 2012 Passat I recently drove, from suppliers that fall within the North American Free Trade Agreement boundaries, as it has done with its Mexican plant that makes the new Jetta sedan.

As you may already know, the Chattanooga plant is key to VW of USA’s plans to quadruple its current American annual sales to 800,000 by 2018. In its current configuration, Chattanooga can produce 150,000 to 250,000 cars annually. But the site has the acreage to expand. And VW says they can essentially “flip” the current configuration to make up to 500,000 cars per year.

While the 2012 Passat is being counted on to add sales, new VWs like the 2012 Beetle, refreshed 2012 Tiguan, forthcoming subcompact Polo and an expected midsize crossover based on the new Passat (more than likely built in Chattanooga as well) are also being counted on to meet the ambitious sales targets.

Counter to his American counterparts, Volkswagen Canada president John White is being more careful when it comes to future sales projections.

“Let’s just say, I haven’t 'socialized' our sales projections as much as my American colleagues have,” said White at the Passat’s media drive here. But that doesn’t mean VW Canada isn’t pulling its weight.

At of the end of last month, VW Canada had sold 21,936 vehicles, up almost 20 per cent from the first five months of 2010. Now if Canada followed the U.S.'s lead, there would be over 170,000 VWs sold annually here by 2018—about what Toyota sold in 2010. But the U.S. arm is also looking at adding more dealers to meet that goal. Whereas White would prefer increase the volume of his existing stores.

“We’re not going to grow the dealer body as much as the U.S.,” said White. Instead, he’s looking to increase sales from last year's over 36,000 vehicles to between 52,000 to 53,000 cars and trucks, closer to what Nissan currnetly sells.

Still, in what is essentially a flat North American new car market, these goals seem ambitious.

Or are they?

Do you believe VW has learned its lessons from the Westmoreland debacle?

Do you think the German automaker can leapfrog over rivals like Toyota and Honda, who seem to be on a gradual slide out of favour with new car buyers?

BMW’s 7 Series hybrid: An expensive way to save the planet

 

 

 

 

 

 

 

 

 

 

 

 

 

Where other automakers have focused on small hybrids, Germany’s BMW has taken its most fuel inefficient cars and added a dash of electric power. Take the new-for-2011 ActiveHybrid 7L luxobarge. Along with the ActiveHybridX6 Sports Activity Coupe crossover/SUV/thingee, the sedan arrived at the 2008 Paris auto show as the first-ever hybrids to wear the German automaker’s spinning blue and black propeller logo. But does it work? Let’s go to the highlights…

First, the 7er hybrid can’t move on battery power alone. Instead, it uses the electric motor sandwiched between the twin-turbocharged 4.4-litre gasoline vee-eight engine and the autobox as a supplementary power source. Unlike a “fuel-economy-at-all-expense” Prius, the big BMW has gobs of power. As in 455 hp and 515 lb-ft of torque—or more than three times that of a Prius.

The irony? The ActiveHybrid 7L is the most fuel efficient 7 Series you can buy. Transport Canada ratings of 12.2L/100 km in the city and 8.3L on the highway are 21 per cent and 17 per cent better than its V8 gas model counterpart.

However, that doesn’t make the BMW the most fuel efficient in its class. No sirree.

Rival luxury hybrids like the Lexus LS 600h L and Mercedes-Benz S 400 Hybrid sip less fuel in the city, and the electric ‘Benz scores a best-in-class 7.9L/100 km out on the highway. During the over 1,000 km I drove the BMW, mainly at highway speeds, the ActiveHybrid 7L’s trip computer registered an overall 10.4L.

Not bad. But the diesel geek in me dreams of the European 730Ld. It comes with a 3.0-litre diesel engine that makes a respectable 245 hp and a tree-pulling 540 lb-ft of torque.  Better yet, it scores a 9.1L/100 km city and 5.6L highway ratings on the European test cycle.

But—and here’s where BMW’s schizophrenia kicks in—the automaker’s claimed 5.5 seconds zero to 100 km/h acceleration time for its ActiveHybrid 7L makes it the quickest hybrid sedan on the market—only 0.1 second slower than a gas-only 750Li xDrive.

Perhaps the biggest slight against the ActiveHybrid 7L as a luxury sedan is the less than refined nature of its stop/start system. When at rest, the BMW’s gas engine shuts down to save fuel. But when you decide to move forward and release the brake, the engine fires up abruptly and noisily. A couple of times, I had to jump back on the brakes as the car rolled forward in traffic. In a car that BMW engineers have painstakingly refined every other molecule, this off-putting behaviour is glaring.

No doubt, any potential customer of any luxury hybrid is not pinching pennies. But the ActiveHybrid 7L is a questionable value at best.

Starting at $132,300, the ActiveHybrid 7L starts at about $16,000 more than its gas-only counterpart. Ouch. And matters only get worse outside of a BMW showroom. There, one can find the $26,400 less expensive Mercedes-Benz S 400 Hybrid or the $10,550 cheaper Lexus 600h L.

Are you trying to find the rationale behind the BMW ActiveHybrid 7L? Me too…