AD #2459 – Auto Industry Headed for Downturn? More Porsche Taycan Details, Honda Adds Performance to Its Jet

On today’s show… looks like the auto industry could be headed for a global downturn… we’ve got more details on the Porsche Taycan… and Honda comes out with a new performance brand, but not the kind you’re thinking about. All that and more coming right up on Autoline Daily.

This is Autoline Daily the voice of the automotive industry.

MERRILL LYNCH PREDICTS AUTO DOWNTURN
Uh-oh, has the downcycle already started for the global automotive industry? That’s what Merrill Lynch says. In fact it says it started in the second quarter of this year when a number of automakers, like Ford, GM, BMW and Mercedes began lowering their profit forecasts. And now it looks like car sales are starting to drop all over the world. On top of that prices of raw materials are going up, and trade tensions are slowing economic growth. Merrill Lynch says, “a significant negative earnings revision cycle is imminent.” Translation? Automotive stock prices are about to take a tumble.

DID CHEVY TURN TAIL AND RUN?
Last year Chevrolet took the automotive press to Texas to introduce the all-new Silverado pick-up truck. In fact, it flew the truck into the Texas Motor Speedway dangling from a helicopter. But when it came time for the Texas Truck Rodeo, where 60 Texas journalists test all the trucks on the market and give the best on the prestigious Texas Truck Of The Year award, Chevy did not even show up. And so the all-new Ram swept the awards. A Chevy spokesperson told the Detroit Free Press that they were concentrating on other events. Ford skipped the event too, but it does not have an all-new truck. So why was Chevy really a no-show? One member of the Texas Auto Writers Association said, “The sense was, they knew they wouldn’t win and tucked their tails between their legs and ran.”

FORD & MAHINDRA WORKING CLOSER TOGETHER
We know that something big is brewing at Ford. It’s going to announce some kind of partnership with Volkswagen. But it’s also working on plans with the Indian automaker Mahindra. Now we’re getting a few more details. They already announced a partnership to develop vehicles, powertrains and connected car solutions. And now we’re learnings that Mahindra will develop and supply a small-displacement gasoline engine for Ford India, which it will start using in 2020. And the two companies will create a telematics control unit, which will be used in both Ford and Mahindra vehicles.

We’ve got more details on how Porsche is developing the Taycan and that’s coming up next.

MORE DETAILS ON PORSCHE TAYCAN
Porsche’s first full electric vehicle, the Taycan just hit the second phase of prototype production and we’re getting more details about the EV. It will ride on an all-new dedicated EV platform that is made from a combination of high-strength steel, aluminum and carbon fiber. The sedan version will be close to 8-inches shorter, but over 2-inches wider than a Panamera. WardsAuto also confirms there will be high-riding CUV, similar to the recent Mission E Cross Turismo concept as well as a possible coupe and cabriolet. By spinning several models off one platform Porsche can save a boatload of money and really boost profit margins. Several power outputs are being tested, ranging from about 400-horsepower to just over 600-horsepower. Zero to 100 kilometers an hour is expected to come in around 3.5-seconds, a number Tesla fans are sure to make fun of. Starting price is said to fit between the $66,000 Cayenne and $85,000 Panamera, and Porsche has initially set production capacity between 20,000 and 25,000 units a year. There’s a lot more detail about the Taycan in that Wards article, so if you’d like to get more just look for the link in the transcript on our website or in the description box below.

Gearheads rejoice! We’re going to take a deep dive into the Ford flathead V8 on Autoline After Hours later this afternoon. Craig Cole with Autoguide and a flathead fanatic himself is going to drag an engine into the studio with him. Also joining us for the show is another gearhead, Steve Purdy of the Shunpiker Journal. My co-host Gary Vasilash and I will also offer up our own insights and opinions on what’s going on in the world of automotive. So join us for Autoline After Hours today, or catch it at your leisure on our website or Youtube channel.

Coming up next, Honda has a new performance brand and it might kind of surprise you.

GOOGLE MAPS NOW FEATURES EV CHARGING STATIONS
Anyone who uses Google maps in their car knows that it can be a god-send in getting you around traffic jams. And now they’re adding a valuable feature if you drive an EV or plug-in hybrid. Google Maps will now show you where the closest charging stations are. You’ll also see information about the station from drivers, including photos, ratings, reviews and questions. It supports all Tesla and Chargepoint stations around the world. In the U.S. it will show you where SemaConnect, EVgo and Blink chargers are located. In the UK it will show Chargemaster, Pod Point and in Australia and New Zealand it will show Chargefox.

HONDA ADDS PERFORMANCE PACKAGE TO JET
You’ve heard of Mercedes AMG, but have you heard of Honda’s APMG? It stands for Advanced Performance Modification Group. Every automaker seems to have a performance brand these days, but we didn’t see this one coming from Honda. APMG is the performance arm of Honda’s jet manufacturing division. The performance package offers shorter takeoffs and landings, increased payload at takeoff and more mission capabilities. The avionics also get upgraded. The base jet costs about $5 million, and the performance package adds about $250,000 to the price.

And that wraps up today’s report. Thanks for watching and please join us again tomorrow.