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560 orders for Tesla

Tesla Motors has received 560 orders since it went on sale. If we consider the £49,000/€73,000/$100,000 price tag, this is a very good news.
For anyone who has been living in a cave for the last few years, the Tesla car is the first full electric sports car. It runs the 0-60mph in 4 seconds like a real supercar and can reach 130mph.
Beyond the total number of orders, the interesting news is the trend. In June, the American start up had received 464 orders. In less than one month, the company sold 96 cars. If they keep up this pace the Lotus plant, based in Norfolk, will not be able to satisfy demand. It has the capacity to produce only 800 Tesla per year.
The first cars will be delivered in September. The first 100 units will become a special edition called Signature as a way to thank the very early customers.
July 28, 2007
Cerberus/Chrysler gives underperforming dealers six months to increase sales

Cerberus has decided to shake up Chrysler in an attempt to reduce the company’s losses. There is no time for discussion and Chrysler has announced that it will give underperforming dealers six months to increase sales or face pressure from Chrysler to shut down.
Technically, state laws afford franchises with a good deal of protection against manufacturers and such actions could potentially end up in court. However, the slightest pressure may be enough to get rid of some less successful dealers. After so may difficult years, some of them will probably give up. These closures will probably not be sufficient to allow Chrysler to compete effectively with Toyota’s highly efficient dealers, but it will still be one better than Ford or GM. For each percent of market share, GM has 300 dealers while Toyota has only 90. Chrysler has 270 dealers for each percentage point.
How can a manufacturer pressure a protected dealer? As American carmakers do not build on demand but in advance they can offer the least attractive models and colours to the underperforming dealers. They can also ban them from accessing special auctions. Two weeks ago this is exactly what Chrysler did. A total of 450 dealers were forbidden to buy used cars at its factory auctions.
July 28, 2007
Fiat will increase 500 production to meet demand

In April Fiat CEO Sergio Marchionne said the 500’s production had already been sold for the years 2007 and 2008. That amounts to more than 180,000 cars. With demand much higher than expected, Fiat has been forced to increase production for both years.
The situation is extremely urgent. In less than a month, Fiat sold the 2007 production in only two countries. Fiat received 51,000 orders from Italy and 6,000 from France. In France, the 6,000 cars were sold in less than one week. Fiat will increase the production from 58,000 to 65,000-67,000 units. The planned production figure for 2008 will jump from 120,000 to 140,000 vehicles.
Fiat plans to expand its Polish factory based in Tychy. The Italian carmaker has limited options. It already produces the Panda in Tychy and will start producing the next Ford Ka next autumn. A further complication is that this production increase may encourage Polish employees to go on strike to push for higher pay.
July 26, 2007
Official Audi A1 sketches

The British car website CAR has revealed three official design sketches of the future Audi A1 “stolen” from the Ingoldstadt’s design studio. If this is true, it is a disaster for Ingolstadt’s security system.
Due to be launched in 2009, the Audi A1 is Audi’s answer to the highly successful New Mini. Showed in its three door variant on the sketches, the Audi A1 will also offer a five-door hatchback, a coupé and a convertible. Like BMW, Audi plans to offer a large choice of engines. The petrol engines will go from 65 bhp to 170bhp. The diesel units will range from 75bhp to 130bhp. In contrast, the Mini only offers one diesel engine. CAR even talks about a potential S1 that will develop 200bhp.
Audi expects to build 100,000 A1 in VW’s Belgian factory based in Forest. Thanks to the new automaker’s Modular Tranverse Matrix (MQB) platform, the German carmaker expects the car to be cheap to produce and therefore less expensive than the New Mini. According to CAR, the entry-level will start at £10,000/€16,000/$22,000.

Click here to see all the sketches
Source: CAR
July 26, 2007
Mercedes will sell the B-Class in the U.S.

It is official. After much equivocation, Mercedes has decided to sell the B-Class on the American market. The car will go on sale in 2011 or 2012.
Four or five years appears to be a very long time when the B-Class has been sold in Canada for a some time already, but Mercedes wants to limit the risks. Instead of exporting the German model, it will design an American interpretation of the European B-Class. Like the latter, the American model will be based on the C-Class platform. It will enable Mercedes to offer a roomier and more powerful B-Class.
The B-Class will compete with the Audi A3 and new 1-Series set to be launched on the American market soon. Despite all its qualities, the B-Class may not be the best candidate to do battle with its German competitors. While both Audi and BMW models offer a hatchback body, the B-Class is a mini-MPV. Even with a powerful engine, its design may be less appealing than the competition. Is Mercedes hiding another new small model from us?
Source: Bloomberg
July 26, 2007
Toyota tests plug-in hybrid in Japan

Toyota USA CEO Jim Press last week revealed to the National Press Club that Toyota was developing a plug-in hybrid vehicle. Yesterday the Japanese giant said it had received the approval of the Japanese government to test a plug-in hybrid Prius on Japanese roads.
The fleet of eight vehicles will enable Toyota to collect data concerning emissions and fuel consumption under real conditions. Later, Toyota plans to conduct the same tests across Europe and the U.S.
This is a big move for the Japanese carmaker, which was reluctant to develop a plug-in hybrid car due its high cost. A plug-in hybrid requires bigger and more expensive batteries than the batteries found in the Prius. But pressure from environmentalists and consumers as well as the upcoming competition from GM and Ford seems to have convinced Toyota to reconsider. Indeed, GM plans to sell the plug-in Volt in 2010. The American carmaker will display a concept car at the next Frankfurt Motor Show. Likewise, Ford is currently working on a similar project and has already shown the California Escapes vehicles.
July 26, 2007
Spy Shots: BMW X5 M?

Here are some spyshots of a strange X5 that features bigger exhaust pipes and a front bumper with larger air intakes than the standard X5. It is possible that this is the unofficial M version of the X5.
How can there be an unofficial M version of the X5? The truth is that M Division chief Gerhard Richter does not want to offer a X5 M because the SUV does not fit in with the M philosophy. It is too big and heavy to receive the M magic formula. Unfortunately, intense competition is pressuring the German carmaker into launching a highly powered X5. On paper, the 507 bhp of the Mercedes-Benz ML63 AMG looks better than the 355 bhp of the X5 4.8i. BMW therefore has no choice but to sell a tuned X5.
Obviously, the best option would be to use the M5 engine, which was highly praised by specialists. The 507 bhp V10 has enough bite to compete with the Mercedes V8 and you can bet BMW will make the X5 sportier than the ML63 AMG.
Click here to see all the pictures
July 26, 2007
Video: the rotating car

Nissan released the Nissan Pivo at the Tokyo Motor Show in 2005. The car stunned people with its easily-rotating cabin. Nobody has been authorised to drive the car but an Australian journalist has been able to experience the rotating cabin. Very impressive!

July 26, 2007
Kia three-door Cee’d revealed

Kia has released the first picture of its three-door Cee’d, due to be launched at the Frankfurt Motor Show. Compared to the five-door hatchback, the 3-door variant is longer, lower and lighter.
The car was designed by Kia’s design team in Europe under the direction of its Chief Design Officer, Peter Schreyer. It will be available in dealerships early next year.
If we take into account the current range, which includes the five-door hatchback and the estate as well as the upcoming convertible, Kia will be the first Korean carmaker to offer a complete range on the European market. I wonder if Hyundai, of which Kia is a subsidiary, will offer the same range for its i30.
July 26, 2007
Video: Volkswagen intensive tests

Here is a funny video of Volkswagen engineers testing cars in the kind of silly situations encountered by drivers every day. Together with the German music, it is makes entertaining viewing.

July 25, 2007