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Autoblog http://www.autoblog.com Autoblog http://www.blogsmithmedia.com/www.autoblog.com/media/feedlogo.gif Autoblog http://www.autoblog.com en-us Copyright 2013 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[Toyota begins shipping Le Yaris to America]]>http://www.autoblog.com/2013/05/17/toyota-begins-shipping-le-yaris-to-america/http://www.autoblog.com/2013/05/17/toyota-begins-shipping-le-yaris-to-america/http://www.autoblog.com/2013/05/17/toyota-begins-shipping-le-yaris-to-america/#commentsFiled under: Budget, Europe, Plants/Manufacturing, Hatchback, Toyota

2013 Toyota Yaris

Our tiniest Toyota (Scion iQ notwithstanding) is about to get a little French flair. The Japanese automaker announced Thursday that its Toyota Motor Manufacturing France facility would begin building Yaris models destined for North America - specifically, the United States, Puerto Rico and Canada. This will mark the first time in history that Toyota has exported vehicles to North America from Europe.

Initially, Toyota will export roughly 25,000 Yaris models to North American markets from France each year. In order to handle this additional production, Toyota Motor Manufacturing France has invested 10 million euro into its French facility.

Despite being somewhat of a snooze-fest (it's a car!), the Yaris carries on in North America with a 106-horsepower 1.5-liter four-cylinder engine, with prices starting at $14,370 for the three-door and $15,395 for the five-door, not including $795 for destination.

Continue reading Toyota begins shipping Le Yaris to America

Toyota begins shipping Le Yaris to America originally appeared on Autoblog on Fri, 17 May 2013 18:29:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>francetoyotatoyota yarisFri, 17 May 2013 18:29:00 EST

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20574228 http://www.blogcdn.com/www.autoblog.com/media/2013/05/001-2013-toyota-yaris628opt_thumbnail.png http://www.blogcdn.com/www.autoblog.com/media/2013/05/001-2013-toyota-yaris628opt.png <![CDATA[US tire company CEO lashes out at French workers]]>http://www.autoblog.com/2013/02/21/us-tire-company-ceo-lashes-out-at-french-workers/http://www.autoblog.com/2013/02/21/us-tire-company-ceo-lashes-out-at-french-workers/http://www.autoblog.com/2013/02/21/us-tire-company-ceo-lashes-out-at-french-workers/#commentsFiled under: Etc., Europe, Plants/Manufacturing

Maurice

Maurice Taylor has a sour opinion of French factory workers. The CEO of Titan International, a US-based tire company, recently sent a letter to France's industry minister saying that he had no interest in purchasing the faltering Goodyear Amiens Nord tire plant in the country. According to Bloomberg, the French press got a hold of the letter and now Taylor's comments are out in the open air. The executive, known as "The Grizz" for his bear-like style, threw a few choice gems at country's industry in general, saying, "The French workforce gets paid high wages but works only three hours. They get one hour for breaks and lunch, talk for three and work for three."

Taylor (shown at left) went on to say his company plans to purchase a Chinese or Indian tire company, pay less than one euro per hour and ship every tire France needs, adding, "you can keep your so-called workers." The company manufactures agricultural and other off-road tires.

France, meanwhile, has said it will respond to Taylor's comments, but has yet to do so.

US tire company CEO lashes out at French workers originally appeared on Autoblog on Thu, 21 Feb 2013 13:15:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>francefrench employmentfrench laborfrench workersmaurice taylorthe grizztirestitan internationalThu, 21 Feb 2013 13:15:00 EST

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http://www.autoblog.com/feed/2013/02/21/us-tire-company-ceo-lashes-out-at-french-workers/20469906/article-detail.xml

20469906 http://www.blogcdn.com/www.autoblog.com/media/2013/02/maurice-grizz-taylor_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2013/02/maurice-grizz-taylor.jpg <![CDATA[European auto sales hit 23-year low in January]]>http://www.autoblog.com/2013/02/20/european-auto-sales-hit-23-year-low-in-january/http://www.autoblog.com/2013/02/20/european-auto-sales-hit-23-year-low-in-january/http://www.autoblog.com/2013/02/20/european-auto-sales-hit-23-year-low-in-january/#commentsFiled under: Car Buying, Europe, Earnings/Financials

EU car dealership - shoppers with new car

Automotive News Europe reports new vehicle sales in the EU have hit a 23-year low after registrations plunged 8.5 percent last month. Ford, Peugeot-Citroën and Toyota all suffered the brunt of that fall, but a few automakers managed to make gains despite the negative trend. Opel, Vauxhall and Kia all saw sales increase, and Volkswagen Group managed to increase its market share by 0.8 percent. That's despite the fact that VW Group sales volume declined by 5.5 percent overall. Fiat sales, meanwhile, dropped by 12 percent, fueled in part by an implosion of the Alfa Romeo brand, which endured a sales decline of 32 percent.

Luxury brands are still weathering the downturn fairly well, however. BMW, Mercedes-Benz and Jaguar-Land Rover all managed to increase their sales in January. Interestingly enough, the UK continues to enjoy strong sales, and last month, the country surpassed France to become the second largest auto market in the EU thanks to a sales increase of 11 percent. Registrations in France fell off by some 15 percent during the same time period.

European auto sales hit 23-year low in January originally appeared on Autoblog on Wed, 20 Feb 2013 14:29:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>eu auto saleseuropean auto saleseuropean car salesfranceukunited kingdomWed, 20 Feb 2013 14:29:00 EST

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http://www.autoblog.com/feed/2013/02/20/european-auto-sales-hit-23-year-low-in-january/20467407/article-detail.xml

20467407 http://www.blogcdn.com/www.autoblog.com/media/2013/02/uk-new-car-dealer---license-plate-closeup_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2013/02/uk-new-car-dealer---license-plate-closeup.jpg <![CDATA[French continue New Year's arson tradition by torching 1,193 cars]]>http://www.autoblog.com/2013/01/03/french-continue-new-years-arson-tradition-by-torching-1-193-car/http://www.autoblog.com/2013/01/03/french-continue-new-years-arson-tradition-by-torching-1-193-car/http://www.autoblog.com/2013/01/03/french-continue-new-years-arson-tradition-by-torching-1-193-car/#commentsFiled under: Etc., Europe, Safety

Torched Fiat sits in French parking lot

Just because the French government stopped divulging the number of cars set on fire during New Year's Eve doesn't mean French youth have stopped enjoying the pastime. In 2009, the year before Nicolas Sarkozy took control of Elysées Palace, there were 1,147 cars burned on NYE. This year, the new government of François Hollande - a proponent of transparency in such matters - reports that there were 1,193 cars flambéed a few nights ago.

Some watchers have criticized the French government for going public with the numbers again, saying it only encourages gangs to compete with one another. It is intriguing that there was a four-fold increase after 2008: In 2007 there were 397 cars burned, in 2008 just 372 were torched. However, with suggested reasons for the pyromania including protest, removing the evidence of crimes and false insurance claims (and with the numbers not having changed much from 2009 during three years of silence), "to tell or not to tell" doesn't really appear to have had that much impact on the situation. And that means the Gauls should probably expect more of the same next year, oui?

French continue New Year's arson tradition by torching 1,193 cars originally appeared on Autoblog on Thu, 03 Jan 2013 09:59:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>arsonburningcar firesfrancefrench car burningsnew years eveThu, 03 Jan 2013 09:59:00 EST

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http://www.autoblog.com/feed/2013/01/03/french-continue-new-years-arson-tradition-by-torching-1-193-car/20415590/article-detail.xml

20415590 http://www.blogcdn.com/www.autoblog.com/media/2013/01/fiat-car-fire-remains_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2013/01/fiat-car-fire-remains.jpg <![CDATA[EU formally questions French government assistance of Peugeot's finance arm]]>http://www.autoblog.com/2012/12/28/eu-formally-questions-french-government-assistance-of-peugeots/http://www.autoblog.com/2012/12/28/eu-formally-questions-french-government-assistance-of-peugeots/http://www.autoblog.com/2012/12/28/eu-formally-questions-french-government-assistance-of-peugeots/#commentsFiled under: Europe, Government/Legal, Earnings/Financials, Renault, Peugeot, Citroën

Recently, the finance arm of PSA/Peugeot-Citroën was in such debt trouble that it was pricing itself out of the car loan market. The rates it was paying to service its debt, which was rated one step above junk, were so high that it was forced to charge car-buying customers higher rates than they could find elsewhere. This was adding to Peugeot's already impressive woes by sending revenue out the door to competitors.

Two months ago a deal was worked out with the French government whereby the state would provide 7 billion euro ($9 billion USD) in bonds to guarantee the finance arm's loans. The French government could nominate someone to join the Peugeot board, Peugeot would guarantee more French jobs, and on top of that deal, other banks would provide non-guaranteed loans. The government would take no equity stake in the car company.

Although not yet finalized, the arrangement is meant to create some breathing room for Peugeot Finance to lower its interest rates for customers, and a government-nominated board member, Louis Gallois, was recently named to Peugeot's supervisory board. The arrangement was also openly questioned by at least three competitors: Ford, Renault - which is 15-percent owned by the French government after it received state aid - and the German state of Lower Saxony, itself a 15-percent shareholder in Volkswagen.

Now the European Union, responding to "an unidentified Peugeot competitor," has challenged the terms of the deal, calling it state aid, which is a no-no. There was a lot of parsing-of-words at the time the potential deal was announced: Peugeot said it wasn't state aid, it was state support; Ford of Europe said it didn't think government support of companies was sustainable, making no mention that Ford Credit did receive federal aid at the beginning of our own economic crisis; and the irony of Renault and the German state's complaints was apparently lost in their outrage.

The EU has requested official notification of the deal, which is the prelude before Brussels begins a full investigation into the matter, and that could raise the cost of the deal. The government doesn't think an investigation is warranted since the funds only go to the finance arm and the loan is being made at market rates. Peugeot, on the other hand, has apparently been prepared for such an eventuality and is working with Brussels on the matter. The deal, if it closes, should be concluded early next year.

EU formally questions French government assistance of Peugeot's finance arm originally appeared on Autoblog on Fri, 28 Dec 2012 07:57:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>citroneueuropean unionEuropean Union Competition Commissionfordfrancepeugeotpsa peugeot citroenrenaultvolkswagenFri, 28 Dec 2012 07:57:00 EST

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20410398 http://www.blogcdn.com/www.autoblog.com/media/2012/12/peugeoteuchallenge_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/12/peugeoteuchallenge.jpg <![CDATA[French motorcycle journalist hits pole, takes a plunge]]>http://www.autoblog.com/2012/12/04/french-motorcycle-journalist-hits-pole-takes-a-plunge/http://www.autoblog.com/2012/12/04/french-motorcycle-journalist-hits-pole-takes-a-plunge/http://www.autoblog.com/2012/12/04/french-motorcycle-journalist-hits-pole-takes-a-plunge/#commentsFiled under: Europe, Videos, Motorcycle

motorcyclist rides off pier

The man in the image above is Laurent Cochet, a journalist with the French magazine Moto Journal. He's testing a Yamaha FJR 1300 in Saint Martin en Ré, France next to the quai, and he's about to tape what he probably thinks will be a beautiful shot along the water, boat masts in the foreground, marina cafes and the back.

That is not at all what happens.

Bikes with hard panniers don't play well with bollards. When Cochet's luggage box hits the squat steel post, both Cochet and the bike take a spectacular ride over the edge of the quai. We're told that, thankfully, Cochet wasn't hurt beyond a few bruises and a sprained finger. The bike... not so much. Prepare to wince at the video below.

Continue reading French motorcycle journalist hits pole, takes a plunge

French motorcycle journalist hits pole, takes a plunge originally appeared on Autoblog on Tue, 04 Dec 2012 14:57:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>accidentcrashfjr 1300francelaurent cochetmoto journalmotorcyclevideovideoswreckyamahayamaha fjr 1300Tue, 04 Dec 2012 14:57:00 EST

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http://www.autoblog.com/feed/2012/12/04/french-motorcycle-journalist-hits-pole-takes-a-plunge/20392540/article-detail.xml

20392540 http://www.blogcdn.com/www.autoblog.com/media/2012/12/motorcycle-pier-dont-mix_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/12/motorcycle-pier-dont-mix.jpg <![CDATA[GM, Peugeot cease tie-up talks over French bailout issue]]>http://www.autoblog.com/2012/11/14/gm-peugeot-cease-tie-up-talks-over-french-bailout-issue/http://www.autoblog.com/2012/11/14/gm-peugeot-cease-tie-up-talks-over-french-bailout-issue/http://www.autoblog.com/2012/11/14/gm-peugeot-cease-tie-up-talks-over-french-bailout-issue/#commentsFiled under: Europe, Government/Legal, Plants/Manufacturing, GM, Earnings/Financials, Opel, Peugeot, Citroën

The partnership General Motors (via Opel) and PSA Peugeot/Citroën began in February has produced more declarations and revisions than easily identifiable positive movement. A deeper collaboration between Opel and Peugeot has been mentioned a few times, perhaps even a sale of one to the other, and a report in October laid out joint plans like a small MPV for Opel/Vauxhall, a small car for both Opel and Citroën and two new platforms for small and midsize cars.

What observers can't glean from the proclamations is how all this can happen with Peugeot in constant, and worsening, financial trouble. The French company just accepted a bailout from the French government, the cash position at its lending arm so bad that the interest rates it had to charge were pricing it out of the car-loan market, and a new report in Reuters says that Peugeot is losing $200 million per month.

That cash-burn rate is better than a few months ago, but the Reuters report explains that the French government loan is "sabotaging" any chance of a closer tie-up between the two companies, said to include the possibility of "a full combination of Peugeot with GM's European unit Opel." That particular option, with a $5-billion buy-in from GM, could have allowed GM to get Opel off its books by making it part of a separate entity. The French government's terms for the loan, however, mean that Peugeot can't shed workers and factories as it would need to in order to make the new entity, and any deeper ties with Opel, viable.

Beyond that, the plan to jointly develop a small car for Peugeot in Brazil has been shelved, Peugeot has left Iran, it's second largest global market, and has given up ties on other technology projects with Ford and BMW. GM has no interest in other Peugeot initiatives like a push into India and rechargeable hybrids. It's said that more cooperation between the two will have to wait for a turnaround in the European market, expected in 2014.

GM, Peugeot cease tie-up talks over French bailout issue originally appeared on Autoblog on Wed, 14 Nov 2012 10:33:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>citroenfrancegmgm peugeotopelpeugeotpsa peugeot citroenvauxhallWed, 14 Nov 2012 10:33:00 EST

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http://www.autoblog.com/feed/2012/11/14/gm-peugeot-cease-tie-up-talks-over-french-bailout-issue/20378903/article-detail.xml

20378903 http://www.blogcdn.com/www.autoblog.com/media/2012/11/gmpugworse_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/11/gmpugworse.jpg <![CDATA[<i>Sacre Bleu!</i> Paris set to ban classic cars?]]>http://www.autoblog.com/2012/11/13/sacre-bleu-paris-set-to-ban-classic-cars/http://www.autoblog.com/2012/11/13/sacre-bleu-paris-set-to-ban-classic-cars/http://www.autoblog.com/2012/11/13/sacre-bleu-paris-set-to-ban-classic-cars/#commentsFiled under: Classics, Europe, Government/Legal

Citroen 2CV in two-tone in cobblestoned harbor

Bertrand Delanoê, the socialist mayor of Paris, has submitted a proposal to the French capital's city council that aims to ban all cars and utility vehicles 17 years of age or older from use inside the A86 motorway. Buses and trucks 18 years old or older would also be prohibited from inside the city proper. The proposed ban is largely aimed at reducing emissions, though it also includes a stipulation barring motorcycles built before 2004. According to The Telegraph, Delanoê argues that such machines are "the most polluting and noisiest." But opponents of the measure say the proposal would only serve to exclude less wealthy individuals from driving in Paris.

In response, the socialist party has said it would introduce programs to help individuals update their vehicles through a program to swap old machines for new ones. Unfortunately, that seems unlikely given the strict austerity measures sweeping the European Union.

Delanoê's critics, meanwhile, have said the proposal is more likely political posturing than any real attempt at changing policy.

Sacre Bleu! Paris set to ban classic cars? originally appeared on Autoblog on Tue, 13 Nov 2012 14:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>banger banbertand delanoeclassic carclassic car banfrancemayorparisparis banger banparis mayorsocialist partyTue, 13 Nov 2012 14:00:00 EST

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http://www.autoblog.com/feed/2012/11/13/sacre-bleu-paris-set-to-ban-classic-cars/20377601/article-detail.xml

20377601 http://www.blogcdn.com/www.autoblog.com/media/2012/11/citroen-628_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/11/citroen-628.jpg <![CDATA[Ford, Renault, VW shareholder oppose French aid for PSA/Peugeot-Citroën]]>http://www.autoblog.com/2012/10/29/ford-renault-vw-shareholder-oppose-french-aid-for-psa-peugeot/http://www.autoblog.com/2012/10/29/ford-renault-vw-shareholder-oppose-french-aid-for-psa-peugeot/http://www.autoblog.com/2012/10/29/ford-renault-vw-shareholder-oppose-french-aid-for-psa-peugeot/#commentsFiled under: Europe, Government/Legal, Plants/Manufacturing, Earnings/Financials, Peugeot, Citroën

Peugeot lion emblem on sheetmetal

Pots and kettles, glass houses and stones - that's a little of what we appear to have going on in the European car market. New reports say that that three European automakers have registered their opposition to a loan deal that PSA/Peugeot-Citroën is working on with the French government. Peugeot's finance arm, Banque PSA Finance, is struggling with its debts and has been downgraded by Moody's to its lowest investment-grade classification, one step above junk. This makes it more expensive for a potential buyer to finance a car through Peugeot. The last thing Peugeot needs is more difficulty selling cars in the tough European market, and the situation will only worsen if the bank's credit worthiness takes another hit.

A deal being worked on would have the French government offer €7 billion ($9B U.S.) in bonds to guarantee the bank's loans, which would give the institution some breathing room to manage its debts and lower its interest rates. Outside of that, a group of banks would provide other, non-guaranteed loans to the bank to further help its position. In exchange for state help, though, the government wants seats on Peugeot's board for worker representatives and a government liaison, along with factory and worker guarantees. The Peugeot family would maintain control of the company.

So what we have is government assistance being provided to a car company's finance arm, akin to the way General Motors' GMAC (now Ally Financial) and Chrysler Financial got help in their time of need. What we also have is Ford and Renault, and Germany's State of Lower Saxony, the second-largest shareholder in Volkswagen, voicing their concern about the proposal, because they say it could create an unfair competitive advantage for Peugeot. Everyone in Europe's down market is fighting for every sale, and if Peugeot gets help to keep its auto loan costs down, it figures to help buyers choose Peugeot or Citroën.

Still, after four years of corporations openly begging for funds from governments, it seems disingenuous for Ford of Europe's CEO Stephen Odell to say "I don't think it's sustainable for support from governments to keep competitive companies going forward, particularly in a protracted downsized economy." Industry watchers will remember that during the US auto industry crisis, Ford didn't receive federal TARP funds, but it did receive low-interest technology loans from the US government and it endorsed TARP support for GM and Chrysler.

For its part, Renault says it is keeping an eye on the situation, and a rep from Lower Saxony said he might refer the issue to the European Union for review. In reply, a Peugeot executive said "It's not state aid, it's state support," which is the kind of slicing-things-thin that's perhaps better used for carpaccio than for dealing with the European car market situation.

Ford, Renault, VW shareholder oppose French aid for PSA/Peugeot-Citroën originally appeared on Autoblog on Mon, 29 Oct 2012 14:01:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>banque psa financecar salescitroëncitroeneueuropean car salesfordfrancelower saxonypsapsa peugeot citroenrenaultMon, 29 Oct 2012 14:01:00 EST

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http://www.autoblog.com/feed/2012/10/29/ford-renault-vw-shareholder-oppose-french-aid-for-psa-peugeot/20363061/article-detail.xml

20363061 http://www.blogcdn.com/www.autoblog.com/media/2012/10/pugfrenchloans_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/10/pugfrenchloans.jpg <![CDATA[Tear gas fired at PSA job protesters outside of Paris Motor Show]]>http://www.autoblog.com/2012/10/09/tear-gas-fired-at-psa-job-protesters-outside-of-paris-motor-show/http://www.autoblog.com/2012/10/09/tear-gas-fired-at-psa-job-protesters-outside-of-paris-motor-show/http://www.autoblog.com/2012/10/09/tear-gas-fired-at-psa-job-protesters-outside-of-paris-motor-show/#commentsFiled under: Europe, Government/Legal, Paris Motor Show, UAW/Unions

Paris Motor Show Protests

Police in Paris fired tear gas at demonstrators outside of the Paris Motor Show today. Around 1,000 protesters showed up in an attempt to break through police lines and gain access to the show in a demonstration against further austerity measures. The group included workers from a PSA Peugeot Citroën plant that's scheduled for closure, and some demonstrators threw eggs and flour at police. The group also reportedly included workers from other manufacturers that have announced job cuts.

The standoff is part of nationwide demonstrations as France continues to struggle with an unemployment rate parked at over 10 percent. Lawmakers in the country are currently deciding on whether or not to back a European Union agreement that will see France agree to balance its finances in an attempt to slow the continent's debt crisis. Such austerity measures are unpopular in France, and were the leading issue driving former President Nicolas Sarkozy from office. Socialist President Francois Hollande earned the office after campaigning on a platform that promised to tackle the French deficit without stifling growth or imposing austerity measures.

The CGT labor union has responded to the EU agreement by organizing this week's demonstrations.

Tear gas fired at PSA job protesters outside of Paris Motor Show originally appeared on Autoblog on Tue, 09 Oct 2012 15:45:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>cgtcgt labor unioncitroëndemonstrationseuropean unionfranceparis motor showpeugeotprotestprotestersprotestspsatear gasteargasTue, 09 Oct 2012 15:45:00 EST

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http://www.autoblog.com/feed/2012/10/09/tear-gas-fired-at-psa-job-protesters-outside-of-paris-motor-show/20345474/article-detail.xml

20345474 http://www.blogcdn.com/www.autoblog.com/media/2012/10/franceparisautoshowprotest.6831bfd75bb6446082c5dd73a566cb6f-opt_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/10/franceparisautoshowprotest.6831bfd75bb6446082c5dd73a566cb6f-opt.jpg <![CDATA[PSA plans to cut 8,000 jobs]]>http://www.autoblog.com/2012/09/12/psa-plans-to-cut-8-000-jobs/http://www.autoblog.com/2012/09/12/psa-plans-to-cut-8-000-jobs/http://www.autoblog.com/2012/09/12/psa-plans-to-cut-8-000-jobs/#commentsFiled under: Europe, Government/Legal, Hirings/Firings/Layoffs, Plants/Manufacturing, Earnings/Financials, Citroën

Peugeot and Citroen front ends

The French government has said that PSA/Peugeot-C itroën must make large job cuts in order to stay financially afloat. A large restructuring would also need to take place as the carmaker deals with the current European economic climate and a production capacity excess.

According to an Automotive News Europe report, the government of France launched an investigation into the "financial health" of PSA, and its results subsequently criticized several decisions the company made, including the shuttering of plants near Paris without leaving failsafe options for production like its Madrid factory.

The result of the study is that the French automaker plans on cutting 8,000 jobs - on top of the 3,500 axed last year. Also planned is the closing of its Aulnay plant near Paris, along with a significantly downsized workforce at its Rennes plant in western France. Last year, PSA's small car plants were running at only 61 percent of maximum capacity.

These job cuts will be augmented by a corporate restructuring, with the goal of an operating cash flow that breaks even by 2014. The report says that by then, the European car market may be in a state of recovery.

PSA plans to cut 8,000 jobs originally appeared on Autoblog on Wed, 12 Sep 2012 10:01:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>citroëncitroenfrancepeugeotpeugeot-citroënpsaWed, 12 Sep 2012 10:01:00 EST

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http://www.autoblog.com/feed/2012/09/12/psa-plans-to-cut-8-000-jobs/20320725/article-detail.xml

20320725 http://www.blogcdn.com/www.autoblog.com/media/2012/09/peugeot-and-citroen-car-front-ends_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/09/peugeot-and-citroen-car-front-ends.jpg <![CDATA[Kubica back behind the wheel after horrendous crash]]>http://www.autoblog.com/2012/09/07/kubica-back-behind-the-wheel-after-horrendous-crash/http://www.autoblog.com/2012/09/07/kubica-back-behind-the-wheel-after-horrendous-crash/http://www.autoblog.com/2012/09/07/kubica-back-behind-the-wheel-after-horrendous-crash/#commentsFiled under: Motorsports

It has been the trend for drivers departing F1 to enter some other road-racing series, with endurance racing, DTM, IndyCar and NASCAR the popular destinations. Kimi Räikkönen went the other direction, leaving Ferrari for a stint with the development class of the Citroën rally team, and former F1 driver Robert Kubica might be doing something similar. Kubica, remember, suffered career-halting injuries in a crash during the Ronde di Andora rally in early 2011 and hasn't been back in an F1 cockpit since.

While ex-rally punter Räikkönen has taken Kubica's place as the top driver at Lotus/Renault F1 team, reports are that Kubica has been testing rally cars, including spending a day with the Ford World Rally Championship team and its drivers at a private test in France. Autosport reports that Kubica rented a Fiesta RS WRC car on his own before the outing with Ford, and a source told the magazine that Kubica "drove the car well."

The Ford WRC team won't even admit that Kubica was there (we had to use of Ken Block competing in France last year), so we wouldn't classify his return as imminent. But it's a good sign, and we'd just like to see him in a cockpit again, in some series, soon.

Kubica back behind the wheel after horrendous crash originally appeared on Autoblog on Fri, 07 Sep 2012 08:01:00 EST. Please see our terms for use of feeds.

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20315317 http://www.blogcdn.com/www.autoblog.com/media/2012/09/hkg3432892-opt_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/09/hkg3432892-opt.jpg <![CDATA[France requests EU surveil South Korean imports]]>http://www.autoblog.com/2012/08/10/france-requests-eu-surveil-s-korean-imports/http://www.autoblog.com/2012/08/10/france-requests-eu-surveil-s-korean-imports/http://www.autoblog.com/2012/08/10/france-requests-eu-surveil-s-korean-imports/#commentsFiled under: Europe, Government/Legal, Hyundai, Kia, South Korea

Hyundai showroom

One of the French government's listed initiatives for aiding its ailing automotive sector, especially Peugeot, was asking the European Commission to keep an eye on imports from South Korea. The EU signed a free-trade agreement with South Korea last year, and France is concerned that might be exaggerating the loss of market share being suffered by its domestic makers - Europe-wide sales of South Korean cars rose by more than 20 percent last year in a market that is enduring painful contraction.

The EU says it has received an official request to monitor South Korean imports, according to a report in Reuters. Should the EU agree to the France's demand, it could mean instating "prior surveillance measures" that would compel the South Koreans to notify the EU of the number and type of products it planned to ship in advance.

No one is mentioning the reintroduction of tarrifs on South Korean automobiles, since even the EU Trade Commissioner is talking up the overall benefits of the free-trade agreement, but it is an option. The effect such a move would have on the French domestics' s situation is questionable, though; Hyundai's EU plants, such as those in the Czech Republic and Turkey, have produced 70 percent of its products registered in the EU, and Kia Motors Slovakia plant produces the duty-free and very popular Cee'd on top of the Sportage and Hyundai ix35. A Hyundai spokesman said just 12 percent of its EU product came from its home country.

France requests EU surveil South Korean imports originally appeared on Autoblog on Fri, 10 Aug 2012 08:28:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>eueu trade commissioneuropean unionfrancefree trade agreementhyundaikiapeugeotrenaultsouth koreaFri, 10 Aug 2012 08:28:00 EST

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20295952 http://www.blogcdn.com/www.autoblog.com/media/2012/08/hyundai-showroom_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/08/hyundai-showroom.jpg <![CDATA[France unveils green incentive to rescue auto industry]]>http://www.autoblog.com/2012/07/29/france-unveils-green-incentive-to-rescue-auto-industry/http://www.autoblog.com/2012/07/29/france-unveils-green-incentive-to-rescue-auto-industry/http://www.autoblog.com/2012/07/29/france-unveils-green-incentive-to-rescue-auto-industry/#commentsFiled under: Hybrid, Europe, Government/Legal, Plants/Manufacturing, Peugeot, Citroën, Electric

Peugeot 3008 Hybrid4

PSA Peugeot Citroën and the French goverment have been negotiating how to repair the company's business position without ruining the new government's promises to the electorate. At last count, Peugeot wants to send 14,000 workers home for good, close a factory in Aulnay, and trim some of its 25% overcapacity. The automaker desperately wants to sell more cars to help it stop losing €200 million ($246M U.S.) per month. The government has already nixed the most drastic plans, but it needs to keep Peugeot from drowning at the same time as doing so saves jobs, encourages domestic car sales, and balances a nasty state budget. In addition, any maneuver needs to keep the EU's competition watchdog from intervening.

Dow Jones reports that the solution involves increasing cash incentives for EV and hybrid purchases and raising taxes on "high emission vehicles." France already provides a €5,000 subsidy for EVs and €2,000 for hybrids, but those will see a €2,000 bump to €7,000 and €4,000, respectively. The CO2 output or engine displacement that would qualify a vehicle as "high emission" isn't stated. Supplemental and longer-term plans include asking the EU to examine a free-trade agreement with South Korea that France says has resulted in a glut of South Korean cars, and providing €600 million in lifelines to smaller, struggling automaker suppliers.

From our perspective, the measures look like more of the same largely-useless pussyfooting that has kept Europe staring at the economic apocalypse for more than two years. In a New York Times article about Europe's "day of reckoning," Fiat and Chrysler CEO Sergio Marchionne said, "I've never seen it this bad. All the unresolved issues that have been plaguing the industry for a number of years have all come forward."

Austerity measures on top of the general European economy are keeping buyers away, and we have no idea how another €2,000 on the hood is supposed to spur enough demand for EVs and hybrids to help Peugeot and Citroën. Even if they tripled their sales numbers, they'd still be niche vehicles.

The problem right now is that in 30 days Peugeot will be another €200 million in the hole, and neither the company nor the government can allow that to continue, else they'll both be taking even bigger lumps soon enough.

France unveils green incentive to rescue auto industry originally appeared on Autoblog on Sun, 29 Jul 2012 15:02:00 EST. Please see our terms for use of feeds.

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20287012 http://www.blogcdn.com/www.autoblog.com/media/2012/07/3008hybrid4badge628_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/07/3008hybrid4badge628.jpg <![CDATA[France's finance minister says Peugeot job cut plan "isn't acceptable"]]>http://www.autoblog.com/2012/07/17/frances-finance-minister-says-peugeot-job-cut-plan-isnt-accep/http://www.autoblog.com/2012/07/17/frances-finance-minister-says-peugeot-job-cut-plan-isnt-accep/http://www.autoblog.com/2012/07/17/frances-finance-minister-says-peugeot-job-cut-plan-isnt-accep/#commentsFiled under: Europe, Government/Legal, Hirings/Firings/Layoffs, Plants/Manufacturing, Earnings/Financials, Peugeot

Peugeot workers

As expected, the French government issued a firm "Not so fast" to Peugeot's desire plan to shutter a plant in Aulnay, France and get rid of jobs. The plant closure has been in discussion for a while, but the layoff headcount has been rising every time it gets reported, going from 6,000 to 8,000-10,000, and now reaching 14,000 workers that Peugeot wants to shed.

Both Peugeot-Citroën and Renault received billions from the French government during the financial crisis, the quid pro quo being that the companies wouldn't close factories and eliminate jobs. The companies' business positions aren't much better now, with Peugeot's overcapacity touching 25 percent. Sound business practice would dictate getting rid of assets dragging on the balance sheet, but the company remains bound by the deal it made the with the French government.

Nevertheless, the government knows that Peugeot has to do something - a carmaker that drags on state resources while sinking with every job intact is still no good to anyone. So even though French President Francois Hollande has said he wants to rework Peugeot's stated aims and French finance minister Pierre Moscovici said the plan "isn't acceptable" as is, Moscovici elaborated on that by saying "We are here to find solutions," and "I'm here to build."

The idea is to assure everyone that Peugeot's straightjacket will be loosened a bit, even if it's not free to do completely as it wishes. But it also sounds like the French government is getting ready to open the door to worker redundancies - not 14,000 of them, but it seems inevitable that a fair number of jobs will have to go.

France's finance minister says Peugeot job cut plan "isn't acceptable" originally appeared on Autoblog on Tue, 17 Jul 2012 08:31:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>aulnayeuropefrancepeugeotpierre moscovicipsa peugeot citroenTue, 17 Jul 2012 08:31:00 EST

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20278441 http://www.blogcdn.com/www.autoblog.com/media/2012/07/peugeot-workers_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/07/peugeot-workers.jpg <![CDATA[Peugeot stock jumps on word it could shed 10,000 jobs]]>http://www.autoblog.com/2012/07/06/peugeot-stock-jumps-on-word-it-could-shed-10-000-jobs/http://www.autoblog.com/2012/07/06/peugeot-stock-jumps-on-word-it-could-shed-10-000-jobs/http://www.autoblog.com/2012/07/06/peugeot-stock-jumps-on-word-it-could-shed-10-000-jobs/#commentsFiled under: Europe, Government/Legal, Plants/Manufacturing, Earnings/Financials, Peugeot, UAW/Unions

French workers protest Peugeot layoffs outside of company headquarters

Peugeot's recent announcement about job cuts has caused a number of different reactions. When the French firm previously attempted to shed 6,000 jobs, company CEO Philippe Varin was called to Elysées Palace - the French White House - and then-president Nicolas Sarkozy suggested to him, in one of those ways that Varin couldn't refuse, that Peugeot reconsider, which it did. But there's a new president in the big house now, and Peugeot's position has gotten more dire, which has led the carmaker to reportedly raise its retrenchment level to 8,000-10,000.

Peugeot stock rose almost four percent on the announcement. But that only demonstrates the power of words, because actually getting rid of those 10,000 workers will be far more difficult. French workers are, of course, unhappy about the news and have been demonstrating outside company headquarters (as shown above). An outside analyst said the plan only makes the situation at Peugeot appear worse, and wonders how the firm can get rid of twice the number of jobs it couldn't shed when there was a more conservative government in power.

That conservative government gave both Peugeot-Citroën and Renault billions of euros in loans to weather the financial crisis, the bargain being that neither automaker would close French factories. The tribulations of both firms continue, and they haven't 'paid back' their debts; meanwhile, the government voted in with new president François Gérard Georges Nicolas Hollande is staunchly socialist, and there's almost no way the new president will quietly let 10,000 workers be added to the unemployment rolls after he campaigned on a platform of saving jobs.

As with the continually fluctuating headlines and fortunes of Greece, Spain and Italy, everyone knows the problems but no one seems to know where things will actually end up. The truths of economic possibilities, prudent fiscal policy, the profit motive and political maneuvering are swirling into an end-game that no one wants to face with their eyes open. During the holding game, Peugeot's factory overcapacity is closing in on 25 percent, its sales are falling and its debts are climbing. The tieup with General Motors will help a bit, but there are pressing near-term issue, and as with the situation in Europe overall, this is a long way from being over.

Peugeot stock jumps on word it could shed 10,000 jobs originally appeared on Autoblog on Fri, 06 Jul 2012 08:28:00 EST. Please see our terms for use of feeds.

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20272020 http://www.blogcdn.com/www.autoblog.com/media/2012/07/psa-worker-protests_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/07/psa-worker-protests.jpg <![CDATA[1,000 miles in the McLaren MP4-12C: Day One]]>http://www.autoblog.com/2012/07/03/1-000-miles-in-the-mclaren-mp4-12c-day-one/http://www.autoblog.com/2012/07/03/1-000-miles-in-the-mclaren-mp4-12c-day-one/http://www.autoblog.com/2012/07/03/1-000-miles-in-the-mclaren-mp4-12c-day-one/#commentsFiled under: Coupe, Performance, Europe, Videos, Luxury, MISC

2012 McLaren MP4-12C road trip - two examples on public roads

DAY ONE - UNDER THE ENGLISH CHANNEL INTO FRANCE

Since the very first viewings and tech workshops in early 2010 of the McLaren MP4-12C, I've been working my contacts in Woking, England for a cross-country drive in the innovative supercar. We're still talking about a possible New York to Los Angeles run, but while waiting on that, I was recently offered a 1,000-mile-plus dash from McLaren headquarters outside of London south to Monaco, traversing all of France to experience all types of pavement - and all types of weather, as it turned out - over three days. This would be the first official long distance drive organized by McLaren for the car. Not surprisingly, I accepted.

When first talked about in concrete terms to the outside world in 2009, the McLaren MP4-12C was billed not just as a lightweight, 592-horsepower holy terror performance car, but as a comfortable premium motoring experience more than capable of a London-to-Monaco run. I doubted this right from the start, but then my initial prototype drives got me thinking that maybe the claim was genuine. The macho 12C tears it up at the track as well as any exotic, but perhaps it can be used as a pleasant cross-country cruiser, too.

Continue reading 1,000 miles in the McLaren MP4-12C: Day One

1,000 miles in the McLaren MP4-12C: Day One originally appeared on Autoblog on Tue, 03 Jul 2012 14:57:00 EST. Please see our terms for use of feeds.

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20264034 http://www.blogcdn.com/www.autoblog.com/media/2012/07/mclaren-mp4-12c-london-to-monaco-road-trip-day-1_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/07/mclaren-mp4-12c-london-to-monaco-road-trip-day-1.jpg <![CDATA[Toyota to build Yaris in France for North America]]>http://www.autoblog.com/2012/06/25/toyota-to-build-yaris-in-france-for-north-america/http://www.autoblog.com/2012/06/25/toyota-to-build-yaris-in-france-for-north-america/http://www.autoblog.com/2012/06/25/toyota-to-build-yaris-in-france-for-north-america/#commentsFiled under: Budget, Sedan, Europe, Japan, Plants/Manufacturing, Hatchback, Toyota

2012 Toyota Yaris liftback - red - front three-quarter view

Toyota has already made it abundantly clear the company intends to scale back production in Japan in an attempt to combat the ever-strengthening Yen, and now it looks as if we know one of the ways the automaker plans to do so. Toyota has announced it will manufacture U.S. and Canadian-spec Yaris models in its Onnaing-Valenciennes facility in France. The plant has been producing the Yaris hatchback for European buyers since 2001, though this marks the first time in Toyota history that the automaker has built a vehicle in Europe and imported the model to the States.

North American-spec Yaris models differ slightly from their European counterparts. In addition to using different fascia designs front and rear, the NA model comes available with an automatic transmission and a market-specific 1.5-liter four-cylinder engine. There is some differentiation in safety equipment between the two models as well.

Japanese automakers have recently revealed that building cars in Japan and exporting them around the globe is quickly becoming a money-losing proposition. Honda has made it clear the company is seeking alternatives to producing models like the Fit and CR-Z in Japan due to the high costs associated with exporting the vehicles.

Toyota to build Yaris in France for North America originally appeared on Autoblog on Mon, 25 Jun 2012 17:45:00 EST. Please see our terms for use of feeds.

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20264947 http://www.blogcdn.com/www.autoblog.com/media/2012/06/2012-toyota-yaris-628_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/06/2012-toyota-yaris-628.jpg <![CDATA[Rally car plows into crowd in France, kills two [w/video]]]>http://www.autoblog.com/2012/05/21/rally-car-plows-into-crowd-in-france-kills-two-w-video/http://www.autoblog.com/2012/05/21/rally-car-plows-into-crowd-in-france-kills-two-w-video/http://www.autoblog.com/2012/05/21/rally-car-plows-into-crowd-in-france-kills-two-w-video/#commentsFiled under: Motorsports, Europe, Safety, Videos

Rally car kills two

A rally race in France ended in a tragedy this weekend, when a driver missed his turn and hit a crowd of people. Two deaths were reported, with 17 injured including a race marshall and several children, according to the BBC.

Four of the injuries were deemed "serious," and the scope of the accident overwhelmed rescue services, according to the report. The driver was also injured, and is in the custody of the police, who have launched an investigation, according to iafrica.com.

The Pays des Maures race was being held in Southern France, with the accident occurring on Saturday afternoon near Toulon, according to the BBC.

Scroll down to see a TV report on the accident, in French.

Continue reading Rally car plows into crowd in France, kills two [w/video]

Rally car plows into crowd in France, kills two [w/video] originally appeared on Autoblog on Mon, 21 May 2012 18:59:00 EST. Please see our terms for use of feeds.

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20241945 http://www.blogcdn.com/www.autoblog.com/media/2012/05/rally-opt_thumbnail.jpg http://www.blogcdn.com/www.autoblog.com/media/2012/05/rally-opt.jpg <![CDATA[Translogic tackles how Parisians share transportation]]>http://www.autoblog.com/2012/03/20/translogic-tackles-how-parisians-share-transportation/http://www.autoblog.com/2012/03/20/translogic-tackles-how-parisians-share-transportation/http://www.autoblog.com/2012/03/20/translogic-tackles-how-parisians-share-transportation/#commentsFiled under: Etc., Europe, Technology

Translogic visits Paris

This week, our sister site Translogic heads off to Paris to check out the Vélib' bike-sharing and Autolib' electric-vehicle sharing programs.

Vélib' boasts 20,000 bikes and 1,800 stations throughout the city, where anyone with a credit card can check out a bike on the fly. More exciting is the EV-sharing program, which uses Pininfarina-built Bollore Blue Cars that are available to subscribers for rental at rates ranging between €9 (around $12 USD) and €16 per hour (@ $21). The program was launched in December 2011, with 250 cars and 250 stations, and though it has faced some problems, the number of cars is expected to increase to 3,000 by next year.

Click past the jump to watch the full episode.

Continue reading Translogic tackles how Parisians share transportation

Translogic tackles how Parisians share transportation originally appeared on Autoblog on Tue, 20 Mar 2012 15:11:00 EST. Please see our terms for use of feeds.

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