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2012 Honda CR-V Production begins at Alliston Plant

ALLISTON, ON - Production of the all-new 2012 Honda CR-V, Canada's top-selling import SUV, officially began today at Honda of Canada Mfg. (HCM) in Alliston, ON. With the addition of CR-V to the Ontario facility, Honda Canada's two best-selling vehicles, the Honda Civic and CR-V, are now being made in Canada by Canadians.

"The Honda CR-V has set the gold standard in the compact SUV segment and has been embraced by Canadians since it arrived here in 1997," said Jerry Chenkin, executive vice president, Honda Canada Inc. "We're proud that the all-new 2012 CR-V will be Canadian built."

The addition of the CR-V to HCM's production lineup makes it the first Honda plant in North America to produce four distinct models (Civic, CR-V, MDX and ZDX) on one line, demonstrating the flexibility and capability of HCM and its Associates.

"It certainly has been a challenging year for our 4,200 Associates at HCM," said Gilles Madore, vice president, Honda of Canada Mfg. "But with Civic being named Canada's number one-selling passenger car for the fourteenth straight year and the addition of Honda's second best-selling vehicle in Canada to our facility, we're incredibly proud of what we have accomplished and are ready to provide Canadians with a made-in-Canada CR-V."

In November 2011, Honda celebrated 25 years of manufacturing in Canada at its facilities in Alliston, Ontario. Since 1987, Honda has built close to 6 million vehicles and invested more than $2.6 billion in Canada. The company also purchases more than $1.1 billion in goods from Canadian suppliers every year.

"The inauguration of Honda's new CR-V at the Alliston plant in Ontario signals the strength of the auto sector in Ontario, new momentum for Honda and demonstrates confidence in the province's economy," said Brad Duguid, Minister of Economic Development and Innovation.  "This move helps secure our position as a top auto manufacturing hub in North America and protect valuable sector jobs."

About the 2012 CR-V
For 2012, the fourth-generation Honda CR-V embraces a sophisticated styling direction in conjunction with improved interior comfort, improved fuel economy, a smoother and quieter ride, and more innovative features as part of a 'total package' approach. Long considered as a benchmark vehicle in its class with high levels of quality, refinement and value, the 2012 CR-V is designed to exceed customer expectations in Canada's compact sport-utility vehicle (SUV) segment with increased value resulting from added content and lower MSRPs across the entire CR-V lineup.

Starting at just $25,990, the all-new Honda CR-V has its lowest starting price in more than a decade.

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Lexus announces pricing for the 2013 LX 570 Luxury Utility Vehicle

Sporting a new Lexus spindle grille, new 20-inch alloy wheel design and upgraded interior for the 2013 model year, the eight-passenger LX 570 continues to deliver on challenging off-road adventures as well as luxurious daily driving.

The 2013 LX 570 gets a new look at both the front and rear. New LED daytime running lights complement new headlamp design and new larger fog lamp bezels. Taillamps are also updated, while the rear license plate surround gets a revised look and the tow hitch cover is more integrated. Both front and rear bumpers are refreshed, and the rear bumper protector is enhanced by a chrome accent.

Turn signals have been added to the side mirrors, and wider bodyside moldings sport a new look.  

The spacious, eight-passenger cabin of the LX 570 receives a number of upgrades and changes. The driver’s seat gets a new Easy Access system, which makes entering and exiting the vehicle easier. The steering wheel and driver’s seat automatically retract when the ignition is turned off.  Front seats also feature improved cooling, and a 120-volt power outlet has been added to the middle row. The instrument panel has been updated and a new colour display is applied. A dark chrome finish for the centre instrument cluster and front side air vents, along with a new chrome accent above the glove box, freshen the look of the instrument panel as well.

The cabin of the 2013 LX 570 also gets mahogany wood trim. Parchment replaces Cashmere as an interior leather trim colour. Two new exterior colours are available: Nebula Grey Pearl and Satin Cashmere Metallic, replacing Twilight Gray Metallic and Golden Almond Metallic.

Pricing and availability

•The 2013 Lexus LX 570 receives $1,310 worth of upgrades, including  a 9-speaker premium sound system, off-road turn assist, multi-terrain traction control as standard -even as Lexus drops the MSRP by $ 2,950 to $87,000.

•The MSRP for the 2013 LX 570 with Ultra Premium Package starts at $94,350, which is $6,450 less than the 2011 model.

•The 2013 LX 570 will be on sale in Canadian dealerships in February.

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Mercedes to sell 2.7 million cars by 2020

FRANKFURT, GERMANY - Daimler plans to more than double output of Mercedes brand vehicles to 2.7 million by 2020 in its drive to become the world's largest premium car maker, a German business magazine reported on Thursday.

Daimler and Mercedes CEO Dieter Zetsche plans to build a new plant in China and another in either the United States or Mexico to meet the target, Manager Magazin said.

Daimler has pledged to overtake rivals BMW and Audi, maker of Volkswagen cars, as the top manufacturer of luxury cars by 2020.

It sold 1.26 million Mercedes cars in 2011, about 120,000 short of the BMW brand last year.

Manager Magazin also cited sources at Daimler saying the company would match the volume target with an operating margin of more than 10 percent in 2020.

By 2017 or 2018, the new North American plant would begin manufacturing the next generation A-Class together with its strategic partner Nissan.

A spokesman for Mercedes declined to comment, but reaffirmed its 1.6 million vehicle sales target for 2015.

Daimler Trucks chief Andreas Renschler is also pushing for a 10 percent operating margin by 2020 to beat Swedish rival Volvo , the magazine reported.

It said Renschler was considering whether to acquire majority control of Russian truckmaker Kamaz, according to senior managers.

Daimler owns 11 percent f Kamaz and its financial partner the European Bank for Reconstruction and Development ( EBRD) controls another 4 percent.

A spokeswoman for Daimler Trucks said the company continued to aim for an 8 percent operating margin on average over the course of an entire business cycle starting 2013.

She added Renschler was still considering whether to raise the stake in Kamaz, adding that Daimler Trucks had the right of first refusal to buy a 10 percent stake from investor Troika Dialog.

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89,000 Mini vehicles recalled over water pump

BMW of North America is voluntarily recalling nearly 89,000 Mini vehicles because of a water pump malfunction that could cause a fire.

The company says in a regulatory filing today that the water pump that cools the turbocharger in some of its cars has a circuit board that can malfunction and overheat. That could cause smoldering and potentially a fire.

No accidents or injuries have been reported, according to the filing.



BMW will replace the pump at no cost to owners.  The recall applies to 2007-2011 models of the Mini Cooper S, 2008-2011 Cooper S Clubman, 2009-2011 Cooper S Convertible and 2011 Cooper S Countryman.

The recall also includes the 2009-2011 models of the Mini JCW, JCW Clubman and JCW Convertible.

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GM recalls Chevrolet Sonics to check brake pads

GM recalling nearly 4,300 Chevrolet Sonics to check for possible missing brake pad

DETROIT, MI (AP) -- General Motors Co. said on Friday that it is recalling more than 4,000 of its 2012 Chevrolet Sonic subcompact cars to check for missing brake pads.

The possibility that some Sonics could be missing an inner or outer brake pad was discovered during warranty service for a rental vehicle customer. GM said the problem "is expected to exist in very few cars," and there are no known crashes or injuries related to the issue. A missing pad could require longer stopping distance, and contribute to a crash.

The recall involves 4,296 of GM's 2012 Sonics sold in the U.S. The affected models are from the Orion Township, Mich., assembly plant, where the Sonic is built for sale in the U.S. and Canada.

Dealers will inspect the front brakes for missing inner or outer pads and, if a pad is missing, install new pads. If needed, a new brake caliper or brake rotor, or both, will also be installed. Affected customers will receive dealer letters beginning Jan. 14.

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Ford is Canada's top auto seller for 2011

Ford Canada is claiming the title of Canada's top-selling automaker in 2011 for the second year in a row.

The Detroit-based auto giant said Wednesday its Canadian vehicle sales were up three per cent to 275,978 from 267,974 in 2010. The growth was led by strong sales of SUVs and crossover vehicles.

Full-year car sales were up 14 per cent, driven by strong sales of the Ford Fiesta. And the company said its F-Series pickup truck was the top-selling vehicle in Canada.

"Full-sized trucks are experiencing record-breaking sales in Canada," said Scott Cauvel, vice president of sales, Ford of Canada.

However, the company saw slightly weaker sales in December compared with a year ago, with 19,381 vehicles sold, down 0.5 per cent from the 19,477 sold in December 2010.

Cauvel added that the company is optimistic that the industry will continue to grow in 2012.

Meanwhile, Chrysler Canada said it has capped its best retail sales year since 2002 with a two per cent increase in overall light vehicle sales in December.

For the full year, combined sales were 230,992, compared with 204,955 in 2010, a 12.7 per cent increase.

"For the second year in a row, Chrysler Canada was the No. 1 market share gainer in the country," president and CEO Reid Bigland said in a release.

Industry sees uneven sales over 2011

Chrysler, the first of several Canadian automakers expected to report sales figures Wednesday, said it sold a total of 14,628 vehicles in December, up from 14,407 in the same month last year.

A disappointing 10 per cent drop in car sales to 1,394 units from 1,549 in December 2010 was more than offset by a 2.9 per cent increase in truck sales to 13,234 units from 12,858 as the company posted its 25th consecutive month of year-over-year sales growth.

Honda Canada said its Civic remained Canada's best-selling car for the 14th straight year, despite a double digit plunge in overall sales due to inventory problems caused by Japan's earthquake and tsunami in March.

"This past year was incredibly challenging because of the Japan earthquake and tsunami in March and the Thailand flood in October," said Jerry Chenkin, executive vice president of Honda Canada Inc.

"Combined, these two disasters resulted in significantly reduced production due to parts shortages for more than half of the year.

Especially hard hit was the new 2012 Civic, which had just launched and was seriously affected by a severe parts shortage for more than half of the year."

Honda said the parts shortages were responsible for a 12 per cent decline in annual sales of Hondas and Acuras to 123,121 units.

Honda said about 96 per cent of the vehicles it sold in Canada were produced at its North American assembly plants, up from 91 per cent in 2010.

Volkswagen has best-ever year

On Tuesday, Volkswagen Canada said it had its best-ever sales year in 2011, beating the previous record set in 2010 by 16 per cent. The company said it sold 3,565 cars last month, pushing the full year total to 52,604.

Reports from other carmakers were expected to confirm that the industry was on track to beat volumes reported in the years since the last recession.

Automakers have seen uneven but rising sales this year, with growth positive one month and negative the next, as economic uncertainty pervaded consumer sentiment.

Overall light vehicle sales grew 1.8 per cent in November.

A total 1.47 million vehicles had been sold as of Nov. 30 — surpassing the 1.46 million sold during all of 2009 — the worst sales year for the industry since 1998, according to data released by DesRosiers Automotive Consultants.

Sales are also ahead of the 1.45 million vehicles sold as of the end of November 2010, giving the industry momentum to beat the 1.56 million vehicles sold last year.

Still, 2011 sales volumes are well short of their pre-recession levels of 1.64 million units in 2008 and 1.65 million in booming 2007.

Analysts predict 2012 sales will be in line with volumes seen last year as recession in Europe, slower growth in emerging markets and an uncertain economic and political climate in the U.S. continue to weigh on consumer sentiment.

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Ford Targets 30 Percent Water Reduction Per Vehicle

DEARBORN, MI – Ford enters 2012 with plans to further reduce the amount of water used to make vehicles and continue showing efficiency is not only inherent in its vehicle lineup, but also in its manufacturing practices.

A new goal calls for Ford to cut the amount of water used to make each vehicle 30 percent globally by 2015, compared with the amount of water used per vehicle in 2009.

Ford is also developing year-over-year efficiency targets as part of its annual environmental business planning process and has established a cross-functional team spanning several divisions to review water usage more holistically.

“Water remains one of our top environmental priorities and our aggressive reduction target helps ensure continued focus on this critical resource,” said Sue Cischke, group vice president, Sustainability, Environment and Safety Engineering.

Ford’s latest water reduction initiatives are designed to build on the success the company has had with its Global Water Management Initiative that launched in 2000. Between 2000 and 2010, Ford reduced its global water use by 62 percent, or 10.5 billion gallons. That’s the equivalent of how much water 105,000 average American residences use annually, based on figures from the U.S. Environmental Protection Agency.

If Ford meets its goal of reducing the amount of water used by 30 percent between 2009 and 2015, the amount of water used to make a vehicle will have dropped from 9.5 cubic meters in 2000 to approximately 3.5 cubic meters in 2015. One cubic meter is equal to 264.2 gallons of water.

Leading by example

When it comes to water, drought and extensive population growth are just two of many challenges in places such as Mexico’s Sonoran Desert, home to Ford’s Hermosillo Stamping and Assembly Plant. The plant produces the Ford Fusion, Fusion Hybrid and Lincoln MKZ.

Production at Hermosillo Stamping and Assembly Plant doubled between 2000 and 2010. However, water usage at the plant dropped during the same period by 40 percent.

“We applied innovative technology to our Hermosillo plant to reduce water consumption, minimize impact on the community and build vehicles in a more sustainable manner,” said Larry Merritt, manager, Environmental Quality Office.

To reduce water use, a membrane biological reactor – a biological water treatment system – was installed. The complex system is able to make up to 65 percent of the plant’s wastewater suitable for high-quality reuse elsewhere in the facility or for irrigation. The water treatment system also is being used at Ford plants in Chennai, India and Chongqing, China.

More technology, less water

Another approach is to cut the amount of water necessary to complete a task – a strategy afforded by the use of advanced technologies and processes.

“As we invest in new and existing facilities globally, our water strategy prioritizes sustainable manufacturing technologies,” said John Fleming, executive vice president, Global Manufacturing and Labor Affairs. “This disciplined approach allows us to make significant progress in water reduction and other environmental efforts over time.”

For example, several of Ford’s engine plants around the world are using Minimum Quantity Lubrication (MQL) machining, also known as dry-machining.

This technology lubricates the cutting tool with a very small amount of oil sprayed directly on the tip in a finely atomized mist, instead of with a large quantity of coolant/water mixture. The process saves hundreds of thousands of gallons of water and oil per year. By eliminating the coolant/water mixture, dry-machining eliminates the need to treat and dispose of an oily waste stream.

Dry-machining also is delivering significant benefits in energy use, waste production, quality, working conditions and costs. For a typical 450,000-unit line, more than 280,000 gallons of water can be saved annually.

In the U.S., the dry-machining system has been implemented at Ford’s Livonia Transmission Plant, Van Dyke Transmission Plant and Romeo Engine Plant. Ford also has implemented the system at a number of transmission and engine plants in Europe and applications in other plants around the world currently are being considered.

Tracking success

Before Ford launched the Global Water Management Initiative in 2000, many facilities had little ability to even track water usage. The picture is very different today.

When the initiative started, Ford engineers developed software to predict water usage. Another kind of software was developed to track water use at each facility and generate a monthly report so successes and potential opportunities for improvement could be identified.

Also, water reduction actions are built into Ford’s Environmental Operating System (EOS), which provides a standardized, streamlined approach to meeting all environmental requirements, including sustainability objectives and targets within each of Ford’s plants around the world.

EOS allows Ford to track its plants’ performance of fundamental water reduction actions such as leak identification and repair, and cooling tower optimization at every manufacturing site worldwide.

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Nissan Recalls 2 Vehicles for Engine Stalling

DETROIT, MI (AP) — Nissan Motor Co. is recalling nearly 34,000 Sentra compact cars because of a battery cable problem that could cause the engines to stall.

Documents filed with the National Highway Traffic Safety Administration say that a zinc coating on the cable bolts could be too thick. That can cause a voltage drop that can damage the engine control computer. The documents say the cars can stall while moving and it may not be possible to restart them, increasing the risk of a crash.

The filings appeared on the NHTSA website over the weekend.

The problem affects 2010 and 2011 Sentras equipped with MR-20 engines that were built from May 11, 2010 to May 22, 2010, and from July 8, 2010 to Oct. 25, 2010, according to the NHTSA documents.

Nissan says it will replace the positive battery cables and covers free of charge starting on or before Jan. 23, 2012.

Nissan also is recalling more than 28,000 Juke small crossover SUVs from the 2011 model year. A turbocharger boost sensor bracket can break free from an air inlet tube because of a defective weld, according to NHTSA. If that happens, the vehicles can stall while the engines are idling, raising the risk of a crash, the agency said.

The Jukes were built from April 9, 2010 through May 12, 2011. The company will check the brackets and replace them free of charge if necessary, according to the documents. The recall is expected to start around Jan. 9, 2012.

Nissan spokesman Brian Brockman said that no crashes or injuries have happened because of either problem.

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Saab Files for Bankruptcy after Chinese Deal Fails

STOCKHOLM, SWEDEN — Saab Automobile filed for bankruptcy on Monday, giving up a desperate struggle to stay in business after previous owner General Motors Co. blocked takeover attempts by Chinese investors.

Saab CEO Victor Muller personally handed in the bankruptcy application to a court in southwestern Sweden, ending his two-year effort to revive the carmaker that over more than six decades has become known for its rounded sedans and quirky design features.

The Dutch entrepreneur told reporters he had to pull the plug after GM, which still owns some technology licenses for Saab, rejected a last-ditch financing plan involving a Chinese company.

"That basically was the last nail in the coffin of this beautiful company," Muller said in webcast news conference at the Saab plant in Trollhattan, southwestern Sweden.

The Vanersborg District Court was expected to approve the application later Monday.

"This is the most unwelcome Christmas gift I could have imagined," said Fredrik Almqvist, 36, who has worked at Saab's assembly line for nearly 17 years.

While experts say the company is likely to be chopped up and sold in parts, local officials in the town of Trollhattan, where Saab employs more than 3,000 people, were holding out hope that a new buyer would emerge to salvage the brand.

"Our absolute hope is that the bankruptcy administrator will aim for a solution where the company is sold in its entirety," Trollhattan Mayor Paul Akerlund said in a statement.

Muller used his luxury sports car maker Spyker Cars to buy Saab from GM in 2010, promising to restore its Swedish identity, but the company ran out of money just a year later.

Even as production stopped and salary payments were delayed, Muller fended off bankruptcy by selling the company's real estate and lining up financing deals with investors in Russia and China. He bought time by placing the company in a reconstruction process under bankruptcy protection.

But the deals fell through, blocked by regulators or by GM, which was concerned that its technology would end up in the hands of Chinese competitors.

The final Chinese suitor, Zhejiang Youngman Lotus Automobile Co., said it pulled out after the last proposal for a solution was rejected by GM over the weekend.

"We were supporting them to the last moment, even up to 1 a.m. this morning we were discussing possible solutions by telephone, but due to GM's position, in the end Sweden's Saab filed for bankruptcy this morning," said Rachel Pang, an executive director of a subsidiary company of Youngman and daughter of Youngman's founder, Pang Qingnian.

Muller blamed the former administrator of Saab's reconstruction, Guy Lofalk, for the collapse of the talks, saying Lofalk had led the Chinese investors to believe they could become sole owners of the company. Muller said he knew that was impossible given GM's concerns about licenses.

"Until this problem arose the relationship with GM was excellent," Muller said.

Calls to Lofalk's office were not answered Monday.

Swedish lawyer and reconstruction expert Peter Smedman said the prospects of selling Saab during bankruptcy proceedings would depend on GM.

"The licenses that GM has are crucial for the value of the company," Smedman said. "If GM doesn't want to let anyone in because they are scared of competition in China, then there is probably not much (value) left."

Originally an aircraft maker, Saab entered into the auto market after World War II with the first production of the two-stroke-engine Saab 92. It soon became a household name in Sweden and in the 1970's it released its first turbocharged model -- the landmark Saab 99.

To auto enthusiasts, Saab was known for its quirks such as placing the ignition lock between the front seats and becoming the first car to have heated seating in 1971.

GM bought a 50 percent stake and management control of Saab in 1989, and gained full ownership in 2000. The aircraft and defense company with the same name remained an independent entity, building fighter jets and weapons systems.

Saab Automobile's sales peaked at 133,000 cars in 2006. After that, sales dwindled to 93,000 cars in 2008 and just 27,000 in 2009, as GM -- itself in bankruptcy protection following the financial crisis -- prepared to wind down the Swedish brand.

Muller stepped in after a takeover attempt by a consortium led by Swedish sports car maker Koenigsegg failed. Analysts expressed doubt over Saab's chances of survival under Spyker, which later changed its name to Swedish Automobile.

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