AD #1937 – U.S. Car Sales Drop in August, NLRB Orders VW to Bargain with UAW, Kawasaki Develops AI System
September 2nd, 2016 at 11:56am
Runtime: 9:45
To watch this episode on YouTube click here.
- U.S. Car Sales Drop in August
- UConnect Updates
- NLRB Orders VW to Bargain with UAW
- Kawasaki Develops AI System
- Audi Steps Up Formula E Involvement
- Who Wants To Be A Millionaire?
Visit our sponsors to thank them for their support of Autoline Daily: Bridgestone , Dow Automotive Systems and Lear Corporation
»Subscribe to Podcast | |
| Listen on Phone
|
On today’s show…new car sales in the American market post their biggest drop in 6 years… the NLRB orders VW to bargain with the UAW…and a look at the updates to FCA’s UConnect infotainment system. All that and more coming right up on Autoline Daily.
This is Autoline Daily for September 2nd, 2016.
U.S. CAR SALES DROP IN AUGUST
The U.S. car market is showing definite signs of slowing down. Wards Auto reports that sales fell 3.4% in August, while the SAAR came in at 16.9 million vehicles, down from 17.6 million last year. Automakers sold 1.5 million vehicles, about 50,000 fewer cars and trucks than a year ago.
Amongst the full line manufacturers, GM was down 5%, Toyota was off 5% but managed to surpass Ford which fell more than 8%. FCA actually posted a 3% gain thanks to Jeep, Ram and Dodge. Honda fell nearly 4% while Nissan fell more than 6%.
U.S. NEW CAR SALES AUGUST 2016 | ||
---|---|---|
Total Sales | 1,505,867 | -3.4% |
SAAR | 16.9 million | |
FULL LINE MANUFACTURERS | ||
SALES | CHANGE | |
General Motors | 256,429 | -5.2% |
Toyota | 213,125 | -5.0% |
Ford | 209,516 | -8.8% |
FCA | 195,349 | +3.0% |
Honda | 149,571 | -3.8% |
Nissan | 124,638 | -6.5% |
Source: Wards Auto |
But some automakers had a great month. Jaguar Land Rover posted a whopping 46% gain. Land Rover continues to do well, but Jaguar posted a mind blowing 188% gain thanks to the XE and the F-Pace which were not available a year ago. Volvo shot up nearly 31% thanks to the XC-90, XC-70 and the S90. Subaru was up nearly 15%. Audi, Porsche and Daimler also posted gains. But at the other end of the spectrum Mazda saw a big drop, nearly 13% Mitsubishi was down over 11%, VW was off 9% and Kia was down nearly 8%. Interestingly Hyundai showed almost no change at all, selling only 12 more cars than it did last August.
Passenger car sales continued their downward trend. They fell 14%. Sales of pickups, SUVs and vans actually rose 4%. Electric cars did very well. Though the numbers are small, only 7,000 were sold, that was up 26% compared to a year ago. That’s mainly due to the Tesla Model X, which was not on sale a year ago. The BMW i3 and Volkswagen Golf EV also had a good month.
Despite the drop in August, car sales are still up half a percent for the full year. The market may not set a new record but it will come very close. It all depends on how sales go for the rest of the year.
Still to come… a look at the latest updates to FCA’s UConnect infotainment system.
UCONNECT UPDATES
For some people a vehicle’s infotainment system can make or break whether or not they’re going to buy it. So, to help keep you up to speed, here’s the latest updates to FCA’s UConnect system.
(The UConnect updates feature can only be viewed in the video version of today’s show.)
The 4th generation UConnect system is currently only available for the 300, Charger and Challenger and unfortunately the previous system can’t be upgraded with the new features.
Coming up next, the UAW inches closer to representing Volkswagen workers in Tennessee.
NLRB ORDERS VW TO BARGAIN WITH UAW
Just as Volkswagen’s diesel scandal is starting to wind down, its battle with the UAW is heating up once again. Last year, skilled trades workers at its plant in Chattanooga, Tennessee voted in favor of union representation but the company fought that, arguing those workers can’t organize separately from other workers at the plant. But back in April the National Labor Relations Board ruled the skilled-trades workers can seek UAW representation, which VW planned to appeal. But the NLRB is once again stepping in, ordering the company to bargain with skilled trades workers and the local UAW. The NLRB says VW’s rejection of the earlier ruling “constitutes an unlawful failure and refusal to recognize and bargain.” Even though it’s a small number of employees, about 160 out of 1,500 that work at the plant, it’s still a significant victory for the UAW, which has been unsuccessful at organizing transplant workers in the south.
KAWASAKI DEVELOPS AI SYSTEM
It seems like every time you turn around another automaker is jumping into mobility services, but you almost never hear about motorcycles factoring into the ride-sharing mix. Well, Kawasaki may be looking to change that. When automakers talk about vehicles that will be shared, they always say the vehicles should be customizable to fit each driver’s needs. And Kawasaki is working on a program that has the ability to alter a motorcycle’s settings to an individual’s skill level and riding style. This could suggest the bike maker is in the early stages of some kind of motorcycle ride-sharing program. The artificial intelligence system also has the ability to communicate with riders. It can react to verbal commands and offer suggestions for a safer or more enjoyable route.
AUDI STEPS UP FORMULA E INVOLVEMENT
By 2025, Audi wants every 4th vehicle it produces to be an EV. And what better way to prepare for that goal than by testing the technology in a harsh race environment? So, the German automaker is stepping up its involvement in the Formula E racing series. Audi says it’s working towards a fully-fledged factory commitment.
WHO WANTS TO BE A MILLIONAIRE?
And speaking of the racing series, fans and video gamers have a unique chance to win part of $1 million. Anyone from around the world can compete in a racing simulator with the top 10 qualifiers going up against actual Formula E drivers at an event in Las Vegas. The virtual eRace will take place in January.
Just a quick programming update before I sign off. There won’t be a new Autoline Daily on Monday because of the Labor Day holiday. But we’ll be right back here on Tuesday with the latest news in the automotive industry. So thanks for watching and have a great weekend.
Thanks to our partner for embedding Autoline Daily on its website: WardsAuto.com
September 2nd, 2016 at 12:39 pm
JLR and Volvo showing “mind blowing” increases are still based on such a small number of units it is almost irrelevant to the overall market. The other adjustment to sales volume are probably just normal changes based on the length of this phenomenal sales cycle. You can’t expect it to see numbers go up every month forever, there will always be adjustment periods before sales start to increase again, possibly at a more restrained rate.
September 2nd, 2016 at 12:57 pm
Auto sales appear to be at a plateau, and being at a pretty good level that is certainly not a bad thing; a homeostasis of sales can give the industry a chance to get its breath (then move on from there).
September 2nd, 2016 at 1:51 pm
Attention: to the Autoline website admins.
I couldn’t find todays show on the autoline website (directly); I had to use the re-direct from my email reminder.
September 2nd, 2016 at 2:18 pm
Question- does a federal election have any effect on car sales?
Left or right often think if their person doesn’t get in the world will come to an end. So does he not buy and retreat to the bunker or spend it all and enjoy the last few months.
September 3rd, 2016 at 1:31 am
Jaguar had big gains because of CUV sales; thus, one has to expect the introduction of more CUVs in the next 12-18 months.
September 3rd, 2016 at 9:49 am
Historically, Land Rover was the truck division of JLR, and Jaguar was the car division. It looks like Jaguar adding a truck was good for total sales numbers, but maybe, or maybe not for company profits. Did the F-Pace take sales from pricier Land Rover/Range Rover models?
September 3rd, 2016 at 3:14 pm
I could be wrong (probably am) but I don’t see many cross shoppers between Jaguar and Land Rover (even talking the new added Jaguar F-Pace). I believe, even though the companies are ‘allied’ that the buyers (for the most part) are loyal to their brand, and a Jaguar buyer would not automatically look to Land Rover (if in the market for a SUV/CUV). Maybe, more so, in Great Britain, but doubtful in the North American market. Just an opinion.
September 3rd, 2016 at 3:20 pm
You could be right. The thing I see is the F-Pace, and the much worse, and only a little less expensive Evoque sitting next to each other at a dealer. As you indicate, though,Jaguar and LR have their own “images,” and buyers may not cross shop much.