AD #1693 – BYD to Ship to Sudan, Garmin Adds Safety Tech, Sales Analyst’s Predictions Were Wrong
September 2nd, 2015 at 11:55am
Runtime: 7:06
- BYD to Ship Vehicles to Sudan
- Tesla Model X’s Hefty Price
- New, Bigger Battery Pack for Tesla Roadster
- Garmin Adds Safety Technology to Units
- VW CEO Winterkorn to Get Contract Extension
- Sales Analyst’s Predictions Were Wrong
Visit our sponsors to thank them for their support of Autoline Daily: Hyundai, Bridgestone, Dow Automotive Systems and MEDC.
»Subscribe to Podcast | 
| 
| Listen on Phone 
| 
On today’s show… all the sales analysts got it wrong, the U.S. market is red hot, Garmin comes out with forward collision warning to retrofit any car and BYD lands a big order for electric cars from one of the most unexpected countries in the world. All that and more coming right up on Autoline Daily.
This is Autoline Daily for September 2nd, 2015.
BYD TO SHIP TO SUDAN
Chinese automaker BYD is becoming more of a global player in the automotive industry. Bloomberg reports that it just completed its largest overseas agreement to send 10,000 vehicles to Sudan, even though the country is wracked by war. BYD will ship knock-down parts of gasoline powered and electric vehicles to the country and assemble them there.
TESLA MODEL X’S HEFTY PRICE
As we gear up for the introduction of Tesla’s Model X, more information is starting to trickle out about the CUV. According to reports, the first examples rolling off the line will be high-end Signature Series models, which will carry a pretty hefty price tag of $132,000. It only comes in one battery size, a 90kWh unit that’s estimated to get 240-miles of range. And like the Model S, the X is fast. 0 – 60 comes in 3.8-seconds. Tack on $10,000 for Ludicrous Speed and 60 can be hit in just 3.2-seconds. Tesla is expected to deliver the first examples later this month.
HIT THE ROADSTER LONGER
And speaking of Tesla, the EV maker announced earlier this year that it would have a fairly exciting upgrade for its first car, the Roadster. Customers can now swap out their old battery pack for a new one. It’s about 70kWh in size and is heavier than the old unit, but will increase range by more than 35% to about 330-miles. The new pack can be reserved now for $5,000, but it will ultimately set customers back just under $30,000. Tesla says that number is due to low volume and is about equal to its own costs, so it’s really not making any money on them.
Still to come, how Garmin can retrofit any car with new safety technology.
GARMIN ADDS SAFETY TECH TO UNITS
Garmin, the maker of portable navigation and other systems for your car, just introduced its new Dash Cam units. The devices mount to your windshield and as long as it’s plugged into a power outlet in the car, the unit will begin recording high-def footage when the car is started and stop when the car is turned off. And if you’re in an accident it will automatically save footage on impact. And for the first time Garmin’s Dash Cam is available with driver alerts including forward collision and red-light/speed camera warnings. The new Dash Cam units range in price from $170 to $200 and will be available later this year.
THEY LIKE ME… THEY REALLY LIKE ME
Volkswagen CEO Martin Winterkorn seemed to have the Management Board on his side after he clashed with former Chairman Ferdinand Piech. Piech was pushed out and Winterkorn stayed on. Now reports are coming out that the German automaker wants to extend the CEO’s contract until the end of 2018. In an industry where most executives are hanging up their boots at age 65, this contract would have Winterkorn running things into his early-70’s. I guess they must really like what he is doing.
Coming up next, John takes a look at how all the sales analysts in the auto industry got it wrong. Sales are doing much better than anyone expected.
U.S. SALES STAY RED HOT
We got the latest sales results for the American market yesterday and all the analysts got it wrong. Looking at the big correction in the stock market, and the fact that there was one less selling day this August versus a year ago, the analysts were sure that sales would be flat or down. Instead, they’re sizzling hot.
The SAAR came in at an unbelievable 17.7 million units versus 17.2 a year ago. Total sales came in at 1.56 million vehicles, up 3.3% on a daily selling rate, as reported by Ward’s.
| U.S. New Car Market August, 2015 |
|
|---|---|
| SAAR | 17.7 Million |
| Sales | 1,569,207 |
The companies with the strongest sales include Tesla, up a whopping 330%. Mitsubishi jumped nearly 27%, Volvo was up nearly 23% and Jaguar Land Rover posted a strong gain of 16.6%, though that was all Land Rover, and more on that in a minute.
| Top Gainers | |
|---|---|
| 1. Tesla | +330% |
| 2. Mitsubishi | +26.8% |
| 3. Volvo | +22.9% |
| 4. JLR | +16.6% |
Amongst the full line manufacturers Ford outperformed the rest, up close to 10%. FCA extended its selling streak jumping 5%. This is now 65 months in a row that FCA has boosted sales.GM was up 3.1%, while Nissan was up 3%. But the two big Japanese automakers did not keep pace. Honda was down more than 3% and Toyota down more than 5%. Part of this is comparing them to a year ago when they had a particularly strong month.
| Full-Line OEMs | |
|---|---|
| 1. Ford | +9.7% |
| 2. FCA | +5.3% |
| 3. GM | +3.1% |
| 4. Nissan | +3.0% |
| 5. Honda | -3.3% |
| 6. Toyota | -5.3% |
The real story is in the mix of what got sold. Light trucks, including pickups, SUVs and crossovers shot up more than 12%. Passenger car sales fell nearly 7%. That’s why Land Rover is hauling the freight for JLR. And when you dig deeper into that light truck segment, it’s crossovers that are the hottest models in the market. In fact, the small CUV segment, including the Chevrolet Trax, Honda HR-V and Jeep Renegade, is up a staggering 70% versus a year ago. I don’t believe we’ve ever seen such a strong shift in the marketplace as we’re seeing right now with the growth in the CUV segment.
| Sales by Segment | |
|---|---|
| Light Trucks | +12.3% |
| Passenger Cars | -6.8% |
We’ll have more to report on sales in the day’s to come, but that wraps up today’s report, thanks for watching and please tune in again tomorrow.
Thanks to our partner for embedding Autoline Daily on its website: WardsAuto.com
Share
Embed
Permalink
Comments (36)
September 2nd, 2015 at 12:06 pm
Garmin already has a nav unit that has all the features Sean mentioned,but they aren’t an add-on,it’s all integrated in.If I remember it right,it retails for $399.00.I believe it has a 5″ screen,and of course bluetooth.
September 2nd, 2015 at 12:23 pm
so CUVs are crushing it? Here’s my Lunchline Headline…
“The Hatch is Back”
September 2nd, 2015 at 12:31 pm
re: CUV success.
It is actually becoming difficult for me to comfortably climb in and out of a contemporary sedan. Ingress/egress from a more upright, higher hip-point vehicle is a much more pleasant endeavor.
I think that people are less infatuated with the full-tilt SUV and want a more car-like experience, but like the higher seating, hence the interest in CUVs.
September 2nd, 2015 at 12:42 pm
Brett- and it seems all the new sedans are kind of small in the passenger area. Most seem to have a fast back roof line that looks really nice but firmly plants my head on the ceiling. You don’t have that problem with CUV’s.
September 2nd, 2015 at 1:05 pm
$29,000 for a new battery pack? And it’s heavier? I’m sorry, but if you had to change the engine in a ICE powered car every eight years there would be public outcry. This is just another reason why electric cars just don’t make sense.
September 2nd, 2015 at 1:14 pm
#5
It is an elective swap to update the vehicle for more range, not a mandatory maintenance item. It’s also an expensive car, so the price of the pack is commensurate.
Admit it, you wouldn’t have paid $110,000 for the car brand new, so of course $29,000 for batteries is unacceptable to you.
September 2nd, 2015 at 1:26 pm
@Lisk – While $29,000 is a lot of money, I think there’s a few other factors to take into account. First, this new battery pack is an upgrade. I don’t think you have to opt for it if you don’t want to. Not sure how much it would be to replace the old unit with a new one that’s the same kWh size, but my guess is it’s nowhere near $29,000. Also the upgraded pack is very low production, only 2 – 3 per week. What does a very low volume ICE engine cost, like say a Hellcat? I’ve heard they’re upwards of $15,000 – $20,000 and that doesn’t include the price of installation like the Tesla pack does. As to your point about having to change the battery after 8-years, I think the hope would be that the customer saves enough money charging with electricity rather than filling up with gas to offset the price of a new pack after those 8-years. And let’s not forget that even into the 70′s 100,000 miles on a ICE engine was considered a lot. I’m still willing to give EVs a little more time to catch up.
September 2nd, 2015 at 1:30 pm
#6
As lithium-ion batteries age as they cycle, and their energy lowers. A laptop/phone that would have a four hour charge when new will last about half that amount a couple of years later, so yes this is a “mandatory upgrade” if you want to continue to drive the car. This applies to all electrics not just $110,000 Teslas. A $60,000 ICE sports car would not cost their owners anywhere near that kind of money to keep them on the road.
September 2nd, 2015 at 1:46 pm
#7- Even with gas at $4 a gallon and getting an average of 15 mpg over 10,000 miles, that’s only $2,600 per year and you have no limits to driving range. And I’m sure that the electricity costs would be roughly 1/3 that amount, and you are still creating CO2. My big issue is that you are spending a great deal of money to replace a something you wouldn’t normally replace. I agree with the 70′s analogy concerning the durability of engines. In 1980, you had to trade your car off before the 60,000 mile mark or it would start to nickel and dime you to death. Most of today’s cars can go 100-200k with no problems when maintained. It has nothing to do with Tesla, just electric in general-
September 2nd, 2015 at 1:46 pm
#5 + #6
The math will never work out for the Tesla coupe and sedan.
Well, perhaps I shouldn’t say ‘never’. I suppose after about 20 years of ownership, the gas savings will mitigate the higher than average purchase price. But these early adopters are not driving them to save money on gas. They’re either ‘doing their part’ to save the planet, or they just want to have a piece of the hottest automotive tech on the road.
Either way, Brett’s right. Anyone with the cash to spend on that Roadster isn’t sweating an optional $29k. Especially when it’s going to increase range, and likely even take a few tenths of a second off their already insane 0-60 time (3.7s for the 2.5S).
September 2nd, 2015 at 2:21 pm
Looks like the gentle afternoon barflys at the Autoline Inn aren’t going to be arguing over the GMC Denali’s name today. Thank Goodness.
September 2nd, 2015 at 2:55 pm
re. the discussion above, you don’t buy a $100K+ EV to save money. Those with a lot of spare money buy them because they are cool. In time, battery costs will come down, but for now, the Teslas are expensive toys for those who can afford them.
For now, the only battery cars that can save you money are hybrids. They get much better mpg, especially in stop and go driving than conventional cars, and their smaller, 1.5-2 kwh battery doesn’t run the price to the stratosphere
September 2nd, 2015 at 3:22 pm
All I can say is the person that develops a better battery will be a very rich person. Too bad bateries are not evolving at the same rate as computer software.
September 2nd, 2015 at 3:28 pm
On a completely different subject – I just saw my first BMW I8 on the road today. It was coming toward me in the other traffic lane. My first thought was, gee that looks like the car from the TV series Knight Rider because of the glowing front end. [Novi, MI, USA]
September 2nd, 2015 at 3:30 pm
13.
ha-ha.
Yes, but more likely, the investment group who funds the costly development of this ‘better battery’ will be very rich.
Unfortunately, the R&D necessary for succeeding at such complex endeavors as these is never something anyone who is not already wealthy can bankroll themselves.
September 2nd, 2015 at 3:47 pm
13 As seen on Autoline, battery tech coming from Michigan…
https://www.youtube.com/watch?v=gTAhdJRkQ0s
But if you ask the chip makers, the game is about balancing processing and power needs.
September 2nd, 2015 at 4:02 pm
GA, is it safe?
September 2nd, 2015 at 5:08 pm
@ HtG: If your referring to the Garmin,I’m sure it is.They build quality stuff imho.
My new van,that I finally pick up tomorrow afternoon,has built in nav.I think it’s a tom tom,but the salesman says it’s a Garmin like the rest of the fca vehicles.
If in fact it is a tom tom,and I experience the same problems that other tom tom users face,I will buy that on dash Garmin and call it done.
September 2nd, 2015 at 5:12 pm
The van, that’s what I was asking about.
September 2nd, 2015 at 5:54 pm
The Tesla model 3 is the car I would wait for if’n you can be patient for a couple more years. A $35K price is eye catching.
September 2nd, 2015 at 6:01 pm
Given the fact that CUV’s are so HOT, why can’t OEM”s get it into their heads that that trucks are also just too big! Even the mid-sized are larger than those up to about the 50′s. Some of us only need a small truck like the early Ford Ranger or Chevy S10.
September 2nd, 2015 at 6:10 pm
One factor, I think, is that taller cars are more normal now than they were 10-15 years ago. Those small trucks of the past are tiny by today’s standards. Also, like TB said, in the big open spaces in america people like bigger cars. I’ve felt that myself out in eastern Colorado or Kansas. And if I lower the rear seats of the Versa I’ve got a mini flat bed, right there.
September 2nd, 2015 at 6:16 pm
Yep, unfortunately for those of us who like cars, taller is now normal. I need to get used to it, because it’s not likely to change in my lifetime.
September 2nd, 2015 at 6:26 pm
My sense, and I’ve said it here for years, is that as the population in the States gets older, more obese and out of shape, and infirm, cars with higher seats will become more attractive. The greater wonder is that carcos are able to market products which accommodate the old and infirm to the young and affluent. All these driver aids aren’t there for 30 year olds. (dirty little secret- I have fun driving the Versa because its high center of gravity makes it harder to control and balance. Normal driving can get tedious around here.)
Kudos
September 2nd, 2015 at 7:06 pm
CRV’s seem to be the “official car” of my condo in Florida, but there are also several H/K CUV’s, and a few Priuses. To my knowledge, there is one Corvette other than mine, a C5, and a supercharged Mustang (GT500?) which is rarely driven. The recently acquired vehicles, both by old, and not-so-old residents are mostly CUV’s. Then, there’s me, oldish, but not obese with the C4 Corvette, the most entry/exit unfriendly car that I’m aware of. I’m lucky, at my age (69) to be able to get in and out without difficulty.
September 2nd, 2015 at 7:14 pm
In the weight room at the state university, I’d listen in as the strength training coach would instruct teams and gym classes. What would he focus on? Core strength. That moving around you need to project strength from your feet, through your torso, to your hands. BAM! Especially as one ages. Carcos are accommodating the reality; weaklings desiring to appear strong. (I know this is harsh to write)
September 2nd, 2015 at 7:29 pm
CRV, HRV, Trax, Fiat 500X, Buick Encore, Porsche Macan, Murano, Merc GLA + GLK, Audi A5, Renegade, etc.
It’s what we drive. (I know I like these cars. The high H-point of the Versa was a major attraction)
September 2nd, 2015 at 8:03 pm
Even though I’d like driving them ok, I seem to have a bias against these tall hatchbacks, AKA CUV’s, because they are gas hogs for their size at highway speed compared to, you know, a car. My oldish Corvette gets 25 mpg at 75-80 on the interstate. A friend’s CX-5 does no better under the same conditions.
September 2nd, 2015 at 8:15 pm
https://www.google.com/search?q=1935+buick&rlz=1CAZZAC_enUS636US636&es_sm=122&tbm=isch&tbo=u&source=univ&sa=X&ved=0CB4QsARqFQoTCI_no7fK2ccCFQRWPgodSWYB7g&biw=1366&bih=633
Wayward Autoline son, Craig Cole drives one. We’re going back.
September 2nd, 2015 at 8:48 pm
Those were CUV’s, with tall ride height, but they weren’t hatchbacks like today’s CUV’s.
September 3rd, 2015 at 8:12 am
Kit I think getting a heavier 5 passenger vehicle to achieve similar gas mileage as a 2 seater built with lightweight in mind even with the large difference in HP is an accomplishment. Very aerodynamic light vehicles even with high HP can achieve decent hwy MPG. Getting a large object like a SUV/CUV with room for 5 to break the 75 mph wind makes for a much more difficult task.
September 3rd, 2015 at 8:17 am
re: People who own Teslas
I have a music friend who lives in the local fly-in community. When we first met, he had just purchased a Model S. A month later when I saw him he was opining for the newly announced P85D, regretting his purchase. Last month when we got together, I noticed the emblem on his parked Tesla said, “P85D”. I asked him if he’d succumbed to the siren call of “more power!” and he just grinned.
We shouldn’t presume what people that have lots of money will or will not spend it on.
September 3rd, 2015 at 8:46 am
31 I agree that my comparison wasn’t too good. My point was that the 20+ year old design with twice the motor and about the same vehicle weight gets the same highway mpg, mainly because it isn’t so tall. A better example would have been that a Magnum wagon with a 5.7 hemi would get about the same highway mpg as the CX-5, mainly because it’s not so tall, but partly because it’s not AWD like my friend’s Mazda.
September 3rd, 2015 at 8:58 am
If they still made the Magnum and used the 3.6 Pentastar V6/8-speed auto powertrain, it would probably get signicantly better highway mileage than most of the lighter, 4 cylinder CUV’s, because it’s not so tall. Yes, I’m aware that Americans like tall vehicles, and not car-height wagons and hatches. I’m clearly an outlier in that regard.
September 3rd, 2015 at 11:26 am
@ HtG: Sorry I misunderstood the question.I’ll be at the dealership by 01030 hrs to do th’ dance.I will have a good drive back home though,about 40 miles.I’ll give my ‘first impressions’ when I get back home.I’ve said this before and it bares mentioning again,FCA screwed th pooch bigtime on the launch of this vehicle.Macaroni should be ashamed of his team,over.
September 3rd, 2015 at 5:42 pm
Many CUV drivers were driven around as kids in minivans/trucks. Now they’re buyers and want the same height experience. They get worried on highways in lower height cars with all these massive trucks. Older drivers want something that looks safer to drive their grandkids and carry all their “stuff”. Many sedan cars in the 80-90′s were crap unless you were lucky enough to be in a euro sedan or Accord. Young drivers perceive small crossovers as trendy and sport oriented versus boxy sedans where design is more conservative.