This is Autoline Daily reporting on the global automotive industry.
HYUNDAI PAVES WAY FOR NEW LEADER
Hyundai is paving the way for a new leader. Euisun Chung was just named CEO of the company. He’s the son of Chung Mong-koo, the head of the group. If the board approves the promotion next month, he’ll be one of four CEO’s at the automaker. Euisun Chung became the de facto leader last year after he was named Executive Vice Chairman. And this latest move puts him one step closer to succeeding his father who is 80 years old and hasn’t appeared in public for nearly two years.
PEUGEOT COMING BACK TO THE U.S.
A few years back, PSA, the parent company of Peugeot and Citroen, revealed plans to gradually return to the U.S. market. The first phase was launching a mobility service called Free2Move, which it did in Washington DC last year. The next goal is to become a full retail brand within the next 10 years but it didn’t have a timetable for that. Until now. PSA CEO Carlos Tavares revealed that the company will start shipping Peugeot’s from Europe or China to the U.S. in 2026. Peugeot wants to return to the U.S. so it doesn’t rely so heavily on Europe, which accounts for 80% of its sales. It’s also struggling in China, where it lost over $330 million and saw sales drop by a third last year.
And be sure to tune into Autoline After Hours this week. Our special guest is Bob Krempke, who’s a historian of the Ford Motor Company. If you have any questions, send them our way to viewermail@autoline.tv or message us on social media. That’s this Thursday at 3PM eastern time.
SEC GOES AFTER ELON MUSK AGAIN
Elon Musk certainly hasn’t made any friends at the SEC. He first came under fire for Tweeting that he was thinking of taking the company private and had the money to do so. And then for calling the agency the “Shortseller Enrichment Commission.” Now the SEC is asking a judge to hold Musk in contempt for violating the terms of their settlement. It stems from a Tweet on February 19th where Musk wrote “Tesla made 0 cars in 2011, but will make around 500k in 2019.” The SEC claims that could be seen as material information about the company to investors and per the terms of the settlement Elon is required to seek pre-approval from the company for social media posts and other written communication that could be seen as such. Tesla shares plunged nearly 5.5% (at the time of this writing) on the news and some analysts say there’s a possibility Elon could be barred from running Tesla or any other public company.
PORSCHE MACAN GOING ALL ELECTRIC
Porsche has announced that the next generation of the Macan will only come as an EV. It will be made in Porsche’s plant in Leipzig, Germany and like the Taycan, will feature 800-volt battery technology and be based on it’s Premium Platform Electric architecture. The electric Macan is due to roll off the production line at the start of the next decade.
VOLKSWAGEN CREATES NEW SOFTWARE DIVISION
Volkswagen is shaking up management responsibility a little bit as it has created a new division within the group. Digital Car & Services will be responsible for creating software that can be used by all VW Group brands in the areas of digital services and intelligent mobility concepts. Christian Senger, who used to head up VW’s e-Mobility Product Line, will take over the division, which will take effect on March 1st.
KIA SOUL UPDATES & IMPRESSIONS
We just got the chance to drive the all-new Kia Soul. But before we get to our impressions let’s look at what’s new. The first thing you’ll notice is the styling has been updated. It’s a bit sleeker and not as boxy as the previous models but you’ll still instantly recognize it as a Soul. At the rear, it’s boomerang shaped taillights really stand out and there’s even some variation in styling between the trims. And the new Soul’s wheelbase and overall length are slightly longer than the outgoing model. The interior features mood lighting on the door panels which can be customized to display different colors. And it comes with a 7-inch or a 10.25-inch infotainment screen depending on the model. A retractable 8-inch head-up display is also available but it really didn’t add much to the vehicle and doesn’t project the info onto an easy to read spot. Two engines are available, a 2.0L four-cylinder that can be mated to a six-speed manual or Kia’s Intelligent Variable Transmission, which is the company’s version of a CVT. A 1.6L inline turbo four-cylinder is also available, and that’s mated to a seven-speed dual clutch transmission. Combined fuel economy ranges from 27 to 30 MPG depending on the setup. We drove the 2.0L with the IVT and the 1.6L. Both are smooth and have good power but as you might expect the turbo is a bit more fun to drive. It’s also good at handling twisty roads. The new Soul starts at about $18,500 with the manual, with the IVT, it starts just under $20,000. The top trim GT-Line with the turbo and DCT starts at about $28,500. The new Soul will be hitting dealerships in the next few weeks but the electric version won’t be available until later this year.
But that’s it for today, thanks for watching and we’ll see you back here again tomorrow.
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Comments (30)
February 26th, 2019 at 12:04 pm
$30k for a fridge on wheels (the very recognizable Kia Soul)? That will be the day.
Peugeot may want to bring the 5-door EV hatch 208 in the US, with its realistic 210 mile range. But if it prices it also at $30k, few will buy it.
I remember in the early 2000s when it cost Toyota $30k to make each Prius but was selling them in the US for $20k each. of course Toyota has far deeper pockets than any other automaker, incl. the surrender monkey Peugeot, and could easily afford it.
Everybody who has a clue knows that Tesla is on track to make half a million cars in 2019. Musk should consult his lawyers before he tweets, it would be really unfair to get in trouble for stating what everybody knows. Or fire his lawyers, if they told him it was ok to tweet that.
February 26th, 2019 at 12:16 pm
I’m not sure why Porsche would want to make their top selling product EV-only as soon as the “next decade,” which sounds like 2020. Maybe they plan another non-electric CUV to replace the Macan.
February 26th, 2019 at 12:21 pm
I read elsewhere that Kia’s “Intelligent Variable Transmission” CVT will have fake steps, to feel like a regular automatic. Fake steps with a CVT are STUPID. A benefit of a CVT is that it will keep the engine at the power peak rpm at full throttle for best acceleration. Also, a properly programmed CVT will select light throttle gearing for best fuel economy. The fake steps do neither. One would hope that it will be possible to disable the fake step function.
February 26th, 2019 at 12:50 pm
Peogeot will probably not even fair as well as fiat has when it comes to US market share. They have been out of the American market since 1991. I think their big seller was the 403 sedan with a whopping 20,000 in sales in 1984. The offerings they had then were boring and that’s being kind. After almost 30 years very few people will even know who they are let alone be willing to visit a dealership. Unless they bring something truly amazing that would peak interest in the brand I don’t see them doing very well. Looks like they plan to enter the already jam packed offerings of CUV/SUV. Good luck!
February 26th, 2019 at 12:52 pm
Opps misspelled Peugeot in #4 for the grammar Nazis.
February 26th, 2019 at 12:58 pm
4, 5 wrong model. The 403 was an ancient one in the 50s. The 504 was the one here.
February 26th, 2019 at 1:21 pm
Detective Columbo the famous Los Angeles policeman will be able to trade in his old Peugeot for a new one .
February 26th, 2019 at 1:27 pm
7 exactly, that was a 403 cabrio
February 26th, 2019 at 1:28 pm
7 but it’s Lieutanant Colombo
February 26th, 2019 at 1:28 pm
Lieutenant
February 26th, 2019 at 1:32 pm
I test drove a Peugeot 505 wagon not long before they left the US market. It was roomy and rode well, but had an underwhelming non-turbo four with mediocre power, and bad mpg, even for the time. I don’t remember the price, but it was probably much higher than a Celebrity or Taurus wagon of the time.
February 26th, 2019 at 1:47 pm
#5. As long as you brought it up, that’s not all. It’s “fare” in this context, not “fair” and it’s “pique” interest, not “peek.”
February 26th, 2019 at 1:49 pm
4) It is probably good that people forgot about the last Peugots. They were not very reliable and expensive to maintain. That is not a memory you want people to have as you relaunch the brand. I am sure that Caddilac would love for people to forget about the Cimmaron and Jaguar desperately wants people to forget about the X-Type.
February 26th, 2019 at 1:51 pm
About 10 years ago I rented a Citroen C4, the mechanical twin of a Peugeot 30x. Being a Citroen, the displays were a little quirky, but the car drove decently, and averaged about 50 US mpg, (diesel) after converting the units, assuming the odometer was correct. If smaller cars, especially hatches, sold well in the US, PSA might be able to sell come, if price competitive. They have some pretty good ones, but in today’s truck-centric US market, I don’t see how they could do well at all.
February 26th, 2019 at 2:13 pm
14) Agreed. I have driven a lot of recent Peugot’s, Citroen’s, Renault’s, Seat’s, ETC… They are all fine cars. They are just cars. This market and really the global market on a whole is moving away from sedans and into CUVs. If they launch a competent CUV they will be just fine here. They can sell a sporty coupe as a halo car to generate and maintain buzz about the brand though. Kind of how Mazda does it with the Miata.
February 26th, 2019 at 2:18 pm
@Lambo – I think Peugeot has a much better chance than Fiat in the U.S. If you look at the products they currently offer, Peugeot is better positioned to succeed. And I also like its strategy for returning to this market. We’ve already seen its on-demand service, called Free2Move launch in Washington DC and it will continue to spread across the U.S. The first Peugeot vehicles that come here, I believe, will be used in its Free2Move fleet before it ever sets up any retail centers. That comes as Free2Move grows and people become more aware of the Peugeot brand. And if its mobility service does really catch on, it’s going to need those retail stores with their service centers to fix/maintain its fleet.
February 26th, 2019 at 2:24 pm
If you want to crack the US market you better bring your “A” game and that better be better than most. I think done are the days when you bring something weak and try to build on it over time. You’ve got to have a hook.
February 26th, 2019 at 2:32 pm
Speaking of Fiat, I just saw a Fiata 124, and I think it looks better than the Mazda version. Everything I read, though, is that the Mazda engine works better.
February 26th, 2019 at 2:36 pm
Α good friend overseas, who used to be a hospital director (although his salary was not what it would be in the US) has a Honda CR-V for many years, used it in house construction all the time, and then got fed up paying $750 a year registration fee for its modest 2 lt engine, and sold it and bought a Peugeot two row boxy crossover or van, maybe it is called 2008 or 3008, with an ultra-efficient diesel (probably a 1.6 lt), and is very happy with it.
Peugeot has several mini-minivans, wagons or mild crossovers in Europe, they would have a far better chance in the US than any of its hatches, hot or cold. Especially if they sell them at premium prices, nobody will buy $30k hatches in the US.
February 26th, 2019 at 2:38 pm
https://en.wikipedia.org/wiki/Peugeot_3008
It’s a rather ugly crossover, actually, like his previous CR-V was. The article has lots about emissions and nothing about the MPG of the 1.6 lt Diesel or any other engines offered.
February 26th, 2019 at 2:45 pm
18 Agree on both counts.
The Fiat version of the Miata looks much better, and even looks more substantial for its tiny size. The current Miata looks worse than even the simple styled original Miata, with its discontinuous surfaces, flares etc.
But the Miata is better in spirited driving, handling etc, while the Fiat version is more of a ‘take it easy lie back and enjoy the ride” kind of convertible
February 26th, 2019 at 2:47 pm
16 Sean do you believe PSA is better suited to succeed due to their offerings/models? Or do you believe it is with their plan to start with the ride sharing then retail? Certainly design and style have become less important as vehicles have become more appliance like where its more about purpose.
However I believe entering the market with vehicles that could be seen as rentals or taxis will not make them a favorable purchase for the average consumer, Especially if they don’t manage to perform flawlessly.
February 26th, 2019 at 2:51 pm
@Kit #3 – I agree. I wonder if today’s average buyer would even notice a vehicle had a CVT if you didn’t tell them? I did this when my wife and I bought a used Subaru a few years back. I waited after a few weeks of driving to tell her it had a CVT. She had not noticed and likes the way it drives.
And why, in this age of fuel economy, would an automaker want to add “steps” to a CVT, making it less efficient?
A couple of other things I wonder: Is it possible that 8-, 9- and 10-speed transmissions are desensitizing people for the need to feel the shifts? Also, a CVT vehicle feels similar to an EV in the way they accelerate. Could vehicles with CVTs help people feel more comfortable with an EV?
February 26th, 2019 at 2:57 pm
@Lambo – If I’m being honest, it has more to do with Peugeot’s offerings/models.
I think it’s trying to build Free2Move like a hybrid of Uber/Lyft and daily rental companies. But if its vehicles end up being seen as rentals or taxis, then I believe it did not do it job and will be destined to fail.
February 26th, 2019 at 3:22 pm
23 In normal driving, I barely feel the shifts of the 8-speed auto in my Corvette in “touring” or “eco” drive modes I normaaly use. The exception is that, if I let off the gas at just the wrong speed slightly above walking speed, I get a really jerky 1-2 shift. I’ve learned to avoid that.
February 27th, 2019 at 5:49 am
25 Why did you get the auto? Isn’t it offered in a 6 sp manual also? You keep complaining about no manuals in many cars, that’s why I was curious.
February 27th, 2019 at 7:39 am
I especially like manuals in with smaller high reving engines. Yes, you can get a manual in a Corvette. It’s 7-speed.
February 27th, 2019 at 8:54 am
CVT is something to get used to if you’ve been driving, but newer drivers will just assume that’s the way a car is supposed to accelerate. As Sean pointed out it will feel very similar to an EV with no shifting. Which the smooth feeling of a CVT you would think would be ideal its funny that some consumers (don’t like change) prefer to feel that lunge of a shift moment. I have to admit I didn’t like the first CVT I drove as it felt like the transmission was slipping as the RPMs did not increase with the rate of speed increase like what I’m used to. But I have driven many snowmobiles and soon got used to the same sort of feel. Also I think when the engine is super quiet so you’re not so in touch with what the engine is doing that helps. The one I drove was a bit under powered and seem to rev a bit higher than I think a traditional automatic would have.
I do think that they will become more popular as they offer many advantages at least in the very light duty segment. As the ICE continues to get smaller and quieter and more cars have them I would expect they will become as excepted as automatics have to the manual transmission. They currently lack when it comes to towing so until they can handle a heavy vehicle I don’t see them completely replacing the automatic.
February 27th, 2019 at 9:52 am
My main experience with CVTs is the Prius “E-CVT” which uses two motor-generators, and no clutches of any kind. It didn’t take long for me to get used to it, and like the way it works. I’ve driven a Camry hybrid and Fusion hybrid with similar, but scaled up systems. I like the way those systems work, smooth, and at least with Toyota, very reliable. I’ve driven my sister’s Subaru Forester with a regular CVT. Other than being a little hard to drive smoothly at parking lot speed, I like the way it works.
I also have a Honda SilverWing scooter with a belt CVT similar to a snowmobile. It has a clutch that disengages at engine idle speed, and engages when when you take off. It works well, but has a narrow range of ratio change, so the engine is spinning too fast at highway speed for best fuel economy.
So far, CVTs seem to be used only with engines up to ~300 hp, in some Nissan products, but it looks like a heavier duty CVT may be in the works.
https://www.overdriveonline.com/allison-to-produce-gearless-transmissions/
February 27th, 2019 at 10:43 am
I have a 7-sp auto in my 2007 and 2008 E 320 Bluetecs, but the red line starts at… 4.5k RPM. I never tried the available switch that goes up or down a gear manually. Even the 5 sp auto in my 740iL (1998-2017) was an excellent ZF job and I never used the M+- feature there either.