July 7, 2010

VW Picks New Porsche CEO in Revamp
Volkswagen AG announced a broad management reshuffle, including the replacement of Porsche AG's chief executive, aimed at tightening its grip on the sports car maker and expanding a truck-making alliance under VW's leadership. The Wall Street Journal reports that with the move, VW also is seeking to curb its relatively high production costs by appointing Michael Macht, Porsche's chief executive for nearly a year, as head of production across its stable of 10 car brands, which range from Audi to Skoda. Succeeding Macht in the top spot at Porsche is Matthias Mueller, a former Audi executive who is now VW's product strategy chief and considered to be a close ally of VW Chief Executive Martin Winterkorn. Mueller's appointment is expected to bring Porsche, half of which VW acquired last year, further into the larger German car maker's fold, paving the way for new models and the sharing of more engine platforms with VW and Audi. VW engineered a takeover of Porsche last summer after a reverse attempt by Porsche to swallow VW collapsed under the sports car maker's massive debt load. Winterkorn aims to double Porsche's sales to 150,000 vehicles annually over the next several years. That will likely require new models, one of which could be a smaller version of Porsche's popular Cayenne sport-utility vehicle, executives say. Click here to read the latest on VW and Porsche's management reshuffle.

Opinion: Waiting for a Trade Policy
The White House has announced that it wants to move ahead with a long-ignored trade pact with South Korea. The deal was reached by former President George W. Bush, but with President Obama planning to visit South Korea for a summit meeting of the Group of 20 major economies in November, he has now committed to resolving the outstanding issues and submitting the treaty for ratification after the fall elections. The New York Times writes that this is good news, to be sure. But it is hardly enough at a time when protectionism is rising around the world. The United States must become a leading voice for open international trade. It must press harder for the completion of the stalled round of global trade talks started nine years ago in Doha, Qatar, and to undo the myriad protectionist measures that governments around the globe - including our own - have adopted since the financial crash. South Korea is an important ally in a dangerous neighborhood, and the White House should push hard to get this deal finished and through the Senate. It should push just as hard for ratification of pending agreements with Colombia and Panama. But it can't stop there. It must also push for more open global trade bound by multilateral rules and obligations. The world's economy, and the American economy, are too fragile to risk a trade war. Click here for the New York Times' entire commentary on the importance of U.S. leadership toward global trade. For information and resources on AIADA's position on global trade, click here.

Wraps Let You Personalize Autos without Paint
Smart USA is announcing on Tuesday that it will become the latest automaker to offer vinyl stick-on graphic "wraps" - in patterns such as military camouflage and hound's tooth - as a way to let customers add a personal, even wild, look to their car. BMW's MINI has had a wrap program for a while. USA Today reports that "Smart Expressions," as the program will be known, "really builds on the innovative spirit of the brand," says Jill Lajdziak, president of Smart USA. "This car was made for something like this." Besides wraps, Smart also will offer 93 special paint colors, including the ability to match any color. Wrap appliqués give automakers the chance to liven up the image of vehicles. And because they mainly appeal to younger customers, they can give a brand a hipper feel. Click here for a closer look at auto wraps. MINI offers the British Union Jack flag or a checkerboard pattern for $398, according to its graphics website. That price does not include installation, which is done through the dealer. But some customers design their own and can pay $1,000 or more for a fully wrapped car. Custom designs are proving popular. Click here to read the full report on the growing trend toward auto "wraps."

Nissan's First Hybrid Aims to Almost Double Mileage
According to Automotive News, Nissan said it aims to nearly double the mileage on its first hybrid car developed in-house compared with the gasoline-engine version, while keeping costs down with a simple, single-motor system. Japan's No. 3 automaker is due to launch a gasoline-electric Infiniti M sedan, called Fuga in Japan, late this year. Nissan said its one-motor, two-clutch system would achieve far better fuel economy, at a much lower technical cost compared with hybrid leader Toyota's complex, two-motor system. "Typically, carmakers say the fuel economy improvement on their cars using a 'strong' or 'full' hybrid system is roughly 30 percent, while for 'mild' hybrids (like Honda's), it's 15 percent," said Koichi Hayasaki, chief engineer of Nissan's rear-wheel-drive hybrid system. "We're aiming for an improvement of 60 to 90 percent," he said, adding that the hybrid Infiniti M would have mileage comparable to that of a compact car. Nissan's hybrid system has a structure similar to that of Volkswagen AG's, mounting an extra clutch that separates the electric motor from the engine to allow for driving using only electric power when the battery is charged. Together with more accurate electronic controls, the system allows the engine to idle more frequently and therefore use less fuel. Click here for the latest on Nissan's hybrid plans.

Car and Driver's Editors Choice Awards
The folks at Car and Driver have compiled their list of what they would choose to drive if they were shopping for new wheels today. The publication conducted rigorous instrumented testing and editorial evaluation of hundreds of 2010 model-year vehicles, including all of the Editors' Choice picks and their competitors. Click here to see the extensive list. These alphabetical lists aren't static. Car and Driver reports that it will adjust its rankings continuously to reflect the merits of new vehicles as they come on the market, providing a real-time look at what it considers to be the top entries in any given market segment. Several cars have been marked as Ones to Watch, meaning the publication has yet to either fully test or directly compare them against the competition, but thinks they show a lot of promise. Winners are chosen based on three criteria: practicality, value, and driver satisfaction, and they highlight the editors' favorite rides in 20 vehicle categories, ranging from small cars to family sedans to exotic sports cars - and more. Click on a vehicle name to go directly to its comprehensive Buyer's Guide, where you can get full specs, pricing, capsule reviews, and more on every vehicle chosen as a 2010 Car and Driver Editors' Choice. Click here to read more on the best cars of 2010.

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Around the Web
The Crazy Taxis of Future Past [Jalopnik]
Best July Ever: A Calendar of Automotive Events [Car and Driver]
First Test: Oscar Mayer Wienermobile [Motor Trend Classic]
Bugatti Veyron Super Sport Sets Speed Record [Wheels Blog]