Most cost-effective and fuel-efficient cars in India

Indian car market is loaded with models that are affordability and fuel-efficient. All players in the market know the role played by price and mileage in influencing the decision of a car buyer. Taking a closer look, it is logical that hatchbacks are the most affordable and fuel-efficient. However, there are certain models in other segments that can be called both cost-effective and fuel-efficient. Maruti Suzuki Alto 800, Honda Amaze and Ford EcoSport are models that are considered by many analysts as the most cost-effective in hatchback, sedan and utility vehicle segments, respectively. Alto 800 is a compact hatchback, Amaze is a sedan while Ford EcoSport falls under compact utility vehicle segment. All these vehicles are among the best-sellers of their respective manufacturers and boast of high sale figures when compared to rivals. Maruti Suzuki Alto 800 is a compact car that is highly affordable. In fact, it is one of the most preferred cars for customers with low purchase budgets. This hatchback has a retail price that ranges between Rs. 2.45 lakh and Rs. 3.65 lakh. The price range is just suitable to match with requirements of the common car buyer in India. No wonder this compact hatchback has been able to perform really well in the Indian market and has catered to a large group of customers. Alto 800 is powered by an F8D engine with a displacement of 796 cc. This engine is capable of producing maximum output of 46 bhp at 6000 rpm and peak torque of 69 Nm. Alto 800 is definitely a highly fuel efficient vehicle. The petrol version of this compact passenger car is able to offer a mileage of up to 22.74 kmpl while CNG gives 30.46 km/kg. An impressive mileage coupled with a low market price simply means that customers with low budgets can not overlook Alto 800. Amaze is also one of the best-selling vehicles of Honda Cars India. The price of this vehicle ranges from Rs. 5.15 lakh to Rs. 7.77 lakh. This vehicle is available with two engine options, petrol and diesel. The petrol version is powered by a 1.2-litre i-VTEC engine that is able to deliver an output of up to 86 bhp. It offers a mileage of up to 18 kmpl, which is pretty impressive. The diesel version of this vehicle is fitted with a 1.5-litre i-DTEC engine with a power output of up to 98 bhp and mileage of up to 25.8 kmpl, which is best-in-class. Just like Honda Amaze, Ford EcoSport too has proved to be one of the best-selling vehicles for its maker in India. This vehicle is put under compact utility vehicle segment and has seen a tremendous response from customers. It comes with a number of high-end features to attract buyers, is reasonable priced and gives a pretty decent mileage as well. The price of this vehicle falls between Rs. 5.82 lakh and Rs. 9.37 lakh. This vehicle is available in three engine trims namely 1.5-litre TiVCT petrol engine, 1.0-litre EcoBoost petrol engine and 1.5-litre TDCi diesel engine. The petrol version gives a mileage of up to 16.15 kmpl while diesel variant offer a mileage of up to 22.7 kmpl.

Mexico's booming car industry sells unsafe cars at home, safe ones for export to US, Europe

                                                                               

      

RAMOS ARIZPE, Mexico — In Mexico's booming auto industry, the cars rolling off assembly lines may look identical, but how safe they are depends on where they're headed.
Vehicles destined to stay in Mexico or go south to the rest of Latin America carry a code signifying there's no need for antilock braking systems, electronic stability control, or more than two air bags, if any, in its basic models.
If the cars will be exported to the United States or Europe, however, they must meet stringent safety laws, including as many as six to 10 air bags, and stability controls that compensate for slippery roads and other road dangers, say engineers who have worked in Mexico-based auto factories.
Because the price of the two versions of the cars is about the same, the dual system buttresses the bottom lines of automakers such as General Motors and Nissan. But it's being blamed for a surge in auto-related fatalities in Mexico, where laws require virtually no safety protections.
"We are paying for cars that are far more expensive and far less safe," said Alejandro Furas, technical director for Global New Car Assessment Program, or NCAP, a vehicle crash-test group. "Something is very wrong."
In 2011, nearly 5,000 drivers and passengers in Mexico died in accidents, a 58 percent increase since 2001, according to the latest available data from the country's transportation department. Over the same decade, the U.S. reduced the number of auto-related fatalities by 40 percent. The death rate in Mexico, when comparing fatalities with the size of the car fleet, is more than 3.5 times that of the U.S.
Nevertheless, Mexico hasn't introduced any safety proposals other than general seat belt requirements for its 22-million strong auto fleet. Even then, the laws don't mandate three-point shoulder belts necessary to secure child safety seats.
Brazil and Argentina, on the other hand, have passed laws requiring all vehicles to have dual front air bags and antilock braking systems by next year.
An Associated Press investigation this year found that Brazil's auto plants produce cars aimed at Latin American consumers that lack basic safety features. Like Brazil, Mexico doesn't run its own crash test facility to rank cars' safety before they hit the road.
Dr. Arturo Cervantes Trejo, director of the Mexican Health Ministry's National Accident Prevention Council, said the country has a long way to go to upgrade safety standards, but challenging the nation's $30 billion auto industry could be difficult.
"It's a complicated subject because of the amount of money carmakers bring to this country. The economy protects them," Cervantes told the AP. "But there are plans, there is a strategy. We have a working group with the car industry."
Auto plants cover a swath of central Mexico, cranking out about 3 million cars a year while lifting into the middle class auto hubs in the states of Aguascalientes and Puebla. In a matter of a few years, Mexico has become the world's fourth biggest auto exporter, despite having no homegrown brands, and the country's car fleet doubled between 2001 and 2011, the latest national figures show.
In fact, consumers in "first-world" countries are paying the same or even less for safer cars.
For example, basic versions of Mexico's second most popular car, the Nissan Versa, made in central Aguascalientes, come with two air bags, but without electronic stability control systems, which use sensors to activate brakes when a car loses control.
The sticker price of the newer generation of the sedan comes to $16,000. The U.S. version of the same car has six air bags in the front, on the sides and mounted in the roof, in addition to an electronic stability control system. That sticker price is about $14,000.
Similarly, the basic version of the Chevrolet Aveo, which has been revamped and renamed Sonic, sells for about $14,000 in the U.S. and comes with 10 air bags, antilock brakes and traction control. Its Mexican equivalent, the country's top-selling car, doesn't have any of those protections and costs only $400 less.
Nissan Mexicana spokesman Herman Morfin said in a statement it is "common practice" to add different features, depending on the intended market.
"Because there are many choices of specifications and equipment, specific marketing strategies by country, in addition to the tax difference among countries, states and cities, also including transportation and delivery costs, it's not possible to make a direct comparison among vehicles sold in each market, based on the list price published on the Web," Morfin said.

Maruti to recall 1500 cars

                                                                                

New Delhi, Nov. 27: Maruti Suzuki India Ltd will recall around 1,500 units of its popular hatchback Swift, sedan Dzire, utility vehicle Ertiga and the A-Star manufactured in October to rectify a possible problem with the steering column.

India’s No. 1 car maker said it “will inspect the steering column of 1,492 vehicles (which includes 306 Ertigas, 592 Swifts, 581 Dzires and 13 A-Stars), manufactured between October 19 and 26, 2013”.

“If the steering column is found defective, the company will replace the steering column free of cost,” Maruti added.

The company clarified that the inspection was limited to this particular period and to cars sold in India and “does not pertain to any other vehicle of the company or any of its exports”.

Maruti Suzuki dealers will contact car owners, the company said, adding that the new steering column has been despatched to dealer workshops.

“Recalls do not necessarily mean major defects. It is a healthy sign that the auto industry is proactive in addressing potential problems,” market analyst Sudeep Sengupta said.

Maruti manufactured about 6.5 lakh cars between April and October, the most being the Swift and Dzire. It produced nearly a lakh Dzires and about 1.38 lakh Swift, Ritz and Estilos.

Car companies have recently been proactive in recalling vehicles to address safety issues since the Society of Indian Automobile Manufacturers introduced a voluntary recall policy. Analysts estimate the number of recalls at over 3 lakh cars.

Recently, General Motors India has recalled 1.14 lakh units of its multi-purpose vehicle Chevrolet Tavera, manufactured between 2005 and 2013, to address emission issues. GM has also recalled 4,000 diesel Sails to fix an engine problem.

Earlier in July, Ford India had recalled 1,000 units of the diesel variant of the EcoSport within a fortnight of its launch to rectify defects in the instrument used to start the engine.

In February 2010, Maruti had recalled about one lakh units of the A-Star to replace a faulty fuel pump part. It was the company’s last big recall.

In 2011, too, the company had ordered an inspection of around 13,157 units of the Swift, Dzire and Ritz for possible problems with the connecting rod bolts.

Top cars from the 2013 LA Auto Show

Many observers would agree that the 2013 LA Auto Show was something of a damp squib, a feast of functionality epitomised by identikit modern muscle cars, drab saloons, dull SUVs and ever more boring trucks. The landscape of the bulk of the American auto market is relentlessly uniform, with the only glimmers of interest coming from the big car buying communities on each coast. It's here you'll find streets strewn with sports cars, advanced hybrids, the latest electric cars and hyper-luxury imports. California is also the place that the show's star, Jaguar, hopes to sell most of its latest car, the F-Type Coupé. It's also a perfect environment for sibling Land-Rover's newest model, the vast Range Rover LWB. The two British stars aside, there were other gems on offer, including a return outing for the concept version of Jaguar's new SUV, the C-X17, as well as notable offerings from Porsche and Mini.

As for the rest, there wasn't all that much to see. Most car designers spent the show cloistered within interview suites giving endless answers to familiar questions, courtesy of the world's media. If any of them managed to venture down to the show's basement displays, they would probably have been pitched into a profound depression, such was the prevalence of hideously modified cars in LA's notorious 'aftermarket' section. Here lurked the people who pimp rides, throwing out carefully crafted forms in favour of big rims, faux carbon trim and lashings of dubious taste. The lacklustre showing might also be down to the absence of innovative Euro brands like Citroen, Alfa Romeo and Renault, none of whom have any presence in the US market. Perhaps it's the ongoing dominance of SUVs and trucks in the American market. But whatever the reason for the show's faintly lacklustre feeling, there were a few things that stood out from the crowd. View the image gallery above for our guide to the LA Auto Show 2013

Nissan to sell Datsun cars on its own in India

Japanese auto major Nissan Motor Co will sell its upcoming small car Datsun Go and other models from the Datsun range on its own in India and not through its country sales and service partner Hover Automotive. "Selling the Datsun Go and future Datsun models through Nissan Motor represents a natural evolution of the company's operations in India, which are well recognised in the market," Datsun Global Head Vincent Cobee said in a statement. Cobee said an expanded model range will follow the introduction of the Datsun Go, the hatchback that was unveiled in July. Nissan cars are currently sold in India through dealers appointed by Hover Automotive India Pvt Ltd. Datsun will work primarily with existing Nissan dealers, the company said, adding, "This arrangement will in particular allow Datsun to rapidly establish a top quality, expansive retail network and open the brand to a large segment of the potential market straight from the initial launch." In July, Nissan announced the global relaunch of the Datsun brand with the unveiling of Datsun Go, which will be priced at less than Rs 4 lakh. The company is reviving the brand after almost three decades and the car will be available in the Indian market from early next year. Datsun is one of three brands in the Nissan Motor portfolio, joining Nissan and Infiniti. After its introduction in India, Datsun will be launched in Indonesia, Russia and South Africa.

Old cars vanished due to neglect

                                                                                     

TRICHY: According to historian, Kudaivayil Balasubramanian a car festival was held at the Big Temple during the time of Thanjavur Nayaks. The existence of a temple car here is confirmed by a document found in the Saraswathi Mahal manuscript library at Thanjavur.

A manuscript of 1776 reads that the car at the Brihadeeswara temple, temple was pulled by at least 20,200 people, revealed Balasubramanian.

Another document that mentions about developments between 1801-1811 stated 30,850 gold coins were used exclusively for managing temple cars. Documents also point to two occasions during the rule of Sarabhoji II when at least 500 gold coins were exchanged for maintaining the cars.

Balasubramanian noted that the Thirutherettru Mandapam at the intersection of the west main street and South main street used to house two cars -- a big one for Peruvudayar (Shiva) and another one for Periyanayaki (Parvathi). There were at least five cars in use at the temple. The cars would have ruined without leaving any trace due to neglect by kings. Also, invasions by rival armies over the years could have contributed to their damage, said Balasubramanian.

As per Vasthu regulations, the car should be parked at the place meant for it. HRCE officials should take immediate steps to renovate the mandapam to park the car, explained Kudaivayil Balasubramanian.

Bhutan’s taxis, govt cars set to make way for electric vehicles

                                                                         


THIMPHU: Bhutan has drawn up ambitious plans to replace its taxis and government vehicles with electric cars in a bid to make the national capital Thimpu an electric vehicles hotspot and emerge as a global centre for development of green technology.

It will replace the 2,500 taxis in Thimphu with electric cars and also phase out fuel-powered government vehicles used by senior cabinet ministers and officials.

The government has held talks with Japanese car maker Nissan and leading United States electric vehicle manufacturer Tesla.

"Everywhere in the world it has been difficult because distances are longer and price of electricity is not cheap and there is lack of political will. Here in thimpu distances are very short, price of electricity is the cheapest in the world and political will is unto us. So we are confident that electric vehicles can take off here," Tshering Tobggay, PM told a group of visiting journalists.

"We want all government vehicles to become electric. We want the cabinet to start driving electric vehicles. We want tourists to start using electric vehicles whether they are cars or they are buses. And then if it works here we want to become a hotspot for electric vehicles so that we attract R&D here for cars, batteries, motors and the also for transforming transport cargo trucks into electric vehicles. A whole industry opens up. A whole spectrum of possibilities open and it begins with being environmentallyeets conscious and accepting that electric vehicles are good not just as and alternative but as a preferred choice," Tobgay said detailing the roadmap for the plan.

The aim is to kick off the programme by replacing 100 taxis and some government vehicles by February 21.

Tobgay has met Nissan CEO Carlos Gohn and a top executive from Tesla. The PM also extended an invitation to Mahindra & Mahindra chairman Anand Mahindra to partner and help Bhutan in it's ambitious bid.

"Mahindra does good business here. In India there isn't the incentive (for electric vehicles) in Bhutan there is. So, Mahindra is welcome. Tell him he has an open red carpet invitation," Tobgay said. Officials said that talks are on with Nissan for replacing some government vehicles in the first phase.

The bold experiment by the new government in Bhutan which took office in July is an attempt to reduce its costly fuel import bill and generate surplus funds to take care of it's desperate development needs.

A taxi on an average uses 800 ngultrum (800) worth of fuel but on electric vehicle the cost will come down to 7 to 10 ngultrum.

Japan to Phase Out Automobile Tax

TOKYO--Japan's industry minister said Friday that the car purchase tax will be scrapped in two phases by the time of a planned rise in the country's sales tax rate to 10%. "Taking into account the issue of double taxation, it has been decided to lower it (the car tax rate) in two phases and to abolish it eventually," Toshimitsu Motegi, minister of Economy, Trade and Industry said Friday. Japan's leading automobile lobbying group is urging the government to lower the auto tax by 3 percentage points, first when the sales tax rises to 8% next year, and then to scrap it when the 10% consumption tax rate is scheduled to take effect in October 2015. The current rate is 5% for standard-size vehicles. While Japan's auto industry -- one of the country's mainstay industries -- is worried about a possible plunge in auto demand when the sales tax rate is raised in April 2014, some lawmakers are concerned about how to make up for the reduced tax income that would be caused by phasing out the car tax. The Japan Automobile Manufacturers Association estimates that the consumption tax's rise to 8% will cut annual auto sales by 580,000 vehicles to 4.03 million units compared with levels at the current 5%. The resulting loss of production would cut as much as 0.8% off gross domestic product and prompt the loss of 170,000 jobs. Once the tax rate hits 10%, JAMA predicts sales would fall by 930,000 vehicles, in comparison to the current rate, slicing 1.3% off GDP and resulting in 270,000 lost jobs.

Europe’s automobile sector drops

                                                             

     

Europe’s automobile market shrank by 3 percent in the first ten months year-on-year, Turkey’s Automotive Distributors’ Association (ODD) announced yesterday.

The automobile sector in the European Union (EU) and the European Free Trade Association (EFTA) fell to approximately 10.4 million between January and October of 2013 with a 3.1 percent decrease from the same period a year earlier.

Holland showed the most dramatic fall with 25.4 percent, followed by Romania with 16.5 percent and Slovakia with 8.5 percent. However, Estonia became the country that raised its automobile sale most in this period with 14.7 percent, followed by the United Kingdom with 10.2 percent and Portugal with 8.1 percent.

Also, the automobile sector in the EU and the EFTA showed a 4.6 rise in October from the same month a year earlier, totaling approximately 1 million.

Ford to inspect 386,000 cars for steering trouble

                                                             

DETROIT: Ford Motor Co. will inspect 386,000 large sedans in the US to make sure they don't have a steering problem that caused a recall in August.

The National Highway Traffic Safety Administration says Ford will check 2005 through 2011 Ford Crown Victoria, Mercury Grand Marquis and Lincoln Town Car vehicles that weren't included in the August recall.

Dealers will check and repair steering shafts if needed. The August recall included more than 419,000 of the same cars in 22 cold-weather states and Washington, DC.

Ford determined that the steering shafts could rust and come apart in areas where salt is used to clear snow, causing a loss of steering.

The company later found that steering shafts can separate on cars outside the recall area, if they were involved in front-end collisions.

The Chicago Automobile Trade Association and Gregory Hyundai Team Up to Support The Keystone Foundation

CHICAGO (November 7, 2013) – The Chicago Automobile Trade Association (CATA) and Gregory Hyundai presented a check to The Keystone Foundation for $1,500 as part of the CATA’s Chicagoland Dealers Care program.


The Chicagoland Dealers Care program helps to deliver additional financial support and advocacy to local charitable organizations already put forth by Chicagoland new-car dealers. Gregory Hyundai has been a longtime financial supporter of The Keystone Foundation, the fundraising arm that supports Glenkirk and Search, two agencies with 100 years combined service that help people with developmental disabilities.

“The support from Gregory Hyundai and the Chicagoland Dealers Care program is critical in helping fund our programs that empower hundreds of people with developmental disabilities, and their families, every day,” said Rachel Langtry, director of development for The Keystone Foundation.

While charities and civic organizations know that their local automotive dealer is an integral part of the community and deeply involved in its organization, the dealers often don't receive the recognition they deserve.

“The Chicagoland Dealers Care program began in 2008 as an effort to deliver year-round support to local charities and amplify the efforts already put forth by Chicagoland new-car dealers,” said John Webb, chairman of the CATA.

The Chicago Automobile Trade Association has been a longtime supporter of local non-profit 
organizations. Since 1992, the association has raised more than $36 million dollars for significant Chicago charities during the annual First Look for Charity black-tie event, held the evening before the Chicago Auto Show opens to the public.

For more information on the Chicagoland Dealers Care program, please visit www.ChicagolandDealersCare.com. For more details on The Keystone Foundation, visit www.TheKeystoneFoundation.org.

About The Chicago Automobile Trade Association
Founded in 1904, the Chicago Automobile Trade Association is the nation’s oldest and largest metropolitan dealer organization. It is comprised of about 400 franchised new-car dealers and an additional 150 allied members. The group’s dealer members employ about 19,000 people in the metropolitan area. The association has produced the world famous Chicago Auto Show since 1935. For more information please visit CATA.info.

Car sales skid in October

                                                                             

 The festive season failed to provide the respite the passenger car makers were hoping for. After two months of positive growth, passenger vehicle sales hit negative growth lane in October, while the utility vehicle (UV) segment reported positive growth after recording a drop in volumes for three months. Two-wheelers continued their positive momentum, while all other segments were in the negative growth curve.

Car sales were down 3.88 per cent at 163,199 units in October when compared with 169,788 units in October 2012. However, sales, highest monthly number so far in the current fiscal, were higher when compared with September 2013 volumes of 156,018 units, according to Society of Indian Automobile Manufacturers’ Association (SIAM).

Driven by new models, UV sales saw a rise of 7 per cent at 57,020 units in October against 53,285 units in the same month last year.

The good momentum started in August for two-wheelers continued in October too as overall sales were up 18 per cent at 15,16,291 units against 12,85,015 in the same month of the previous year.

However, economic slowdown and slump in industrial activity continue to haunt the commercial vehicle industry as sales declined by 20 per cent to 53,533 units from 66,722 units. During the first seven months ended October 30, 2013, sales of passenger vehicles (PV) fell by 5 per cent to 14,40,405 units over the same period last year. Cars and utility vehicles sales fell by 4.5 per cent and 3 per cent, respectively, while vans saw a 10 per cent drop in sales when compared with the year-ago period.

Total commercial vehicle sales dropped by 16 per cent.

Two-wheeler sales saw a rise of 6 per cent at 85,33,262 units during the seven month period.

Three-wheeler sales declined by 5 per cent in April-October when compared with the year ago period. Passenger and goods segments registered a fall of 6 per cent and 5 per cent, respectively. 

http://www.thehindu.com/business/Industry/domestic-car-sales-slump-in-october/article5343146.ece

 

The Best-Selling Cars Of 2013 Aren't Really Cars At All

                                                                       

The auto industry is on track to have its best year since 2006, with car sales of about 16 million units this year, up from 14.5 million in 2012. While fuel-efficient small cars were all the rage a few years ago, now it is once again pickup trucks and utility vehicles behind the boom.

ales of full-size pickups, buoyed by a steady housing market, the Midwest energy boom, and lower gasoline prices, are up about 20 percent this year, with all three U.S. automakers racing to keep up with demand. The trend has been especially good for Chrysler Group, where sales of its redesigned Ram pickup, up 22.5 percent, have outpaced growth in the segment. Ram sales through October totaled 292,633 and its share of the full-size pickup truck market has grown from 14.5 percent in 2010 to 16.3 percent year to date.

ales of full-size pickups, buoyed by a steady housing market, the Midwest energy boom, and lower gasoline prices, are up about 20 percent this year, with all three U.S. automakers racing to keep up with demand. The trend has been especially good for Chrysler Group, where sales of its redesigned Ram pickup, up 22.5 percent, have outpaced growth in the segment. Ram sales through October totaled 292,633 and its share of the full-size pickup truck market has grown from 14.5 percent in 2010 to 16.3 percent year to date.

China's automobile market steps on the gas

                                                                         

China's economic growth might be under the microscope but no such worry for automobile sales as the world's largest auto market revved into high gear in October, consumers driving sales 20.3% higher than in September.

Number of auto units sold was 1.93 million units, up slightly from a growth of 19.7% gain in September.  Passenger vehicle sales were the main driver.

The sales and production of passenger cars in October rose 23.6 percent and 24.3 percent.

In the first 10 months, auto sales in China rose 13.5% to 17.8 million units.

Production of automobiles rose 20.7% in October to 1.92 million units, faster than 16% seen in September.

Interestingly, sales of Chinese brands stood at 5.8 million units in the first ten months, representing 40% of the total passenger car sales.

China is the world's largest auto market and producer, with sales and production at 19.31 million and 19.27 million units, respectively in 2012.

http://www.proactiveinvestors.com.au/companies/news/50080/chinas-automobile-market-steps-on-the-gas-50080.html