February 1st, 2012 at 11:23am
Chrysler posted its financial results for 2011, and the numbers look pretty good. Total revenue came to $55 billion, a 31 percent increase from the prior year. The head of the NHTSA says the agency will decide next year if it will impose regulations for vehicle-to-vehicle communication. Navistar, the maker of International trucks potentially faces some huge fines for selling heavy-duty diesel engines that do not meet emission standards. All that and more, plus John responds to your questions and comments in the “You Said It!” segment.
This is Autoline Daily for the first day of February, and now the news.
CHRYSLER POSTS PROFIT
Chrysler posted its financial results for 2011, and the numbers look pretty good. Total revenue came to $55 billion, an impressive 31 percent increase from the prior year. But the net profit was not that impressive, only $183 million. Of course, that included paying down loans to the U.S. and Canadian governments six years early. The company’s operating profit, which is indicative of how well its core operations are going, shot up to $2 billion, which is two and a half times better than the year before.
CHRYSLER SALES SKYROCKET
And look for the financial picture to improve a lot at Chrysler this year. The company just reported sales for the U.S. market in January. They are up a staggering 44 percent versus a year ago. And in tomorrow’s show we’ll show you the lineup of new cars that Mopar is coming out with this year. So the good times keep on rolling.
OEMS EXPAND IN THE MIDDLE EAST
Despite all the political turmoil in the Middle East, automakers are investing in the region. According to Bloomberg, VW, Ford, Toyota and Renault are all planning on introducing new models there. VW expects its sales in the Middle East to grow 40 percent this year. Oil prices keep climbing, so governments are pumping money into their economies in an effort to create social stability. And when people have more money a lot of them tend to spend it on cars.
V2V MANDATE NEXT YEAR?
The head of the National Highway Traffic Safety Administration, David Strickland, says the agency will decide next year if it will impose regulations for vehicle-to-vehicle communication. According to the Detroit Free Press, NHTSA is finishing its pilot tests and will have enough information to decide if cars will be mandated to have the technology. Strickland says connected technology is the next major step in reducing traffic deaths and that it can help avoid up to 80 percent of possible crashes.
TESLA MODEL X TEASED
Tesla’s Model S sedan isn’t even available yet, but that’s not stopping the company from hyping its next release. The California-based automaker is set to reveal its latest creation in just a few short days. Building up to the unveil, a heavily silhouetted image of its Model X crossover appears on the latest event invites it sent out. As always, you can’t see squat in the teaser shot, but the front end looks fairly bulbous. Almost fish-like. I’d bet they just stretched a Model S sedan to make it a little taller and longer, but we shall see. We’ll have all the news that’s fit to broadcast next week, so sit tight.
NAVISTAR MISSES EMISSION TARGET
Navistar, the maker of International trucks potentially faces some HUGE fines for selling heavy-duty diesel engines that DO NOT meet emission standards. The U.S. EPA could force the company to pay as much as $2,000 for each engine it sold that misses the NOX target. The reason for the fine? Well, Navistar has run out of pollution credits – it’s a complicated situation – but more importantly, it bet on the wrong technology. It went with EGR, or an exhaust-gas recirculation after-treatment system, opposed to SCR, selective catalyst reduction. Competitors like Volvo and Daimler use SCR and they’re not facing any fines
Coming up next, it’s time for You Said It!
YOU SAID IT!
And now it’s time for some of your feedback.
C-Tech saw our report on the Dealer Attitude Survey that listed which automakers the dealers like the best. I said wouldn’t it be great if they would publish which automakers the dealers hate the most. C-Tech says, “I suspect Fiat, Audi, Volkswagen, Mitsubishi, Suzuki, will be at the bottom of the list.”
I’m not sure that Audi and Volkswagen dealers would be on the list. Their sales are soaring, which is not the case at the other brands you mention.
Danny Tumpaugh seems to have some deep reservations about the Maserati Kubang being built at the Jeep plant in Detroit. “Are these Chrysler employees that are going to build a Maserati in Detroit the same ones who were smoking dope and drinking on their lunch breaks?”
No, Danny, those idiots were fired.
juggernaut494 is incensed about JAC’s rip off of the Ford F-150. “Typical Chinese BS!! Ford isn’t going to do a damn thing about the blatant rip off of the F-150 because they don’t want to piss off the Chinese government. You go to bed with the Devil, you get burned!”
My bet is that Ford does go after JAC. It may not stop them in China, but it will likely stop them if they export those trucks to other countries.
Bagadaboats also weighed in on this issue. “I’m Chinese, but I think that the Chinese should stop copying stuff from other companies unlicensed.”
Bagadaboats, the problem is with the management of these companies. China is developing some pretty good car designers of its own and these companies should be unleashing their creativity instead of copying other companies’ designs.
1bentley4ever is puzzled by BMW’s announcement that it will have diesel engines in some of its M cars. “Diesel powered M cars? I think Hell has frozen over.”
Dude, haven’t you been watching what’s going on at the 24 Hours of LeMans? Diesel cars are the fastest ones in the field and have won the race for a number of years. It only makes sense to offer performance diesel cars to customers, and I bet they sell exceptionally well.
Thanks for all your letters and comments, we love getting them.
And that wraps up today’s show, thanks for watching, we’ll see you tomorrow.