Autoblog

German coachbuilder Karmann could be on the block soon. The company, a longtime supplier to German automakers, has been having trouble getting contracts lately. The family that owns the company is reportedly considering all options, and some talks with potential buyers have already taken place. No decision about whom to sell to has been made yet, but within a month Karmann may decide which suitor's offer to accept. The convertible roof business is going well for Karmann, but deals to assemble vehicles for automakers are way down, threatening the painting and assembly operations. Karmann has already cut 500 jobs from its German workforce of 5,000, and another 1,000 are slated for elimination. Perhaps a buyer will swoop in and snap up Bertone and Karmann? Mr. Tata, you listening?

[Source: Auto News – sub req, Photo: Dr Dub]

We've posted a number of articles in recent months about coachbuilders like Pininfarina and Bertone finding themselves in financially troubled waters. The difficulties these and other independent manufacturers around Europe are suffering now appear to be part of a larger trend that's forcing these companies to either adapt to the changing market or face extinction.

While major manufacturers once subcontracted the production of niche vehicles – sports cars and convertibles especially – to smaller companies, the larger carmakers have been adapting their assembly lines towards small runs of diverse automobiles, leaving the indie coachbuilders with declining business. As a result, Pininfarina, for example, has been dipping further and further into the red, while Bertone was forced to sell its business on the verge of bankruptcy hearings.

Industry experts now advise that the coachbuilders will have to change their focus in order to survive and return to profitability. Although some have been receiving patronage from wealthy customers seeking original automotive creations like Zagato's Maserati GS and Pininfarina's Ferrari P4/5, that business is sporadic at best. Magna Steyr continues to be awarded contracts from carmakers like BMW, and Karmann is gearing up for an anticipated contact from Kia, but these and other coachbuilders will need to begin looking elsewhere for continued viability. Pininfarina and Bertone can return to their erstwhile core business of automotive design while shutting down or severely downsizing their manufacturing divisions, while emerging markets like China could provide potential contracts in the future. But while there may be a light at the end of the proverbial tunnel, European coachbuilders will need to streamline to reach it.

[Source: Automotive News (subscription required) via Winding Road]

With sales of Aston Martin's existing sports and GT lineup continuing at a strong clip, the question of where to build the new Rapide four-door becomes more problematic. For a company that is still relatively low-volume (7,000 cars last year) like Aston, investing in tooling for more capacity is difficult. That's where contract builders come to the rescue. Aston is reportedly talking to Pininfarina, Karmann, Magna-Steyr and Valmet about assembling the new car, with a decision due by the end of the year. Even though Aston Martin is one of the most quintessentially British brands, having one of these companies build the new car probably won't hurt too much. They've assembled vehicles for the likes of Porsche, BMW and many others without doing much harm to their reputations.

[Source: Automotive News - Sub. req'd]

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"What's black and white and red all over?" Why, it's the Polo GTI Cabrio from Karmann of course. Actually that punchline is more often "a sunburned zebra," but this fits too. The one-off white Polo wears black rims and trim, accented with a red top and highlights at both ends. Probably most famous for a much older VW special edition, Karmann is actually "a full-service-vehicle-supplier." They have managed to come up with a very nice sporty runabout this time, as well. We're not really sure whether or not it will reach production, and it's probably safe to say it wouldn't look exactly like this one if it did. There's a press release after the jump highlighting some of the technical details of this little wonderbot and a gallery of live shots to check out, as well.

After five years of stagnant sales, Chrysler may finally be killing off its latest attempt at a sports coupe. According to AutoTelegraaf, production of the Crossfire is likely to end sometime this summer, due in part by the model's slow sales, as well as the production contract with Karmann ending after a five-year term.

Based off the previous generation Mercedes SLK, the hardtop and convertible have continued to be produced since the car's introduction, however, production of the SRT-6 variant ceased over a year ago. The execution of the Crossfire leaves a small hole in Chrysler's lineup, but its doubtful, considering all the uncertainty surrounding the automaker, that Chrysler will have the resources to focus on a successor.

[Source: AutoTelegraaf.nl via Winding Road]

When it comes to the sports car market, judging by the numbers, Chrysler has been shooting blanks with its Crossfire. Reports Monday say that DaimlerChrysler is negotiating compensation with German subcontractor Karmann (which builds the Crossfire for Chrysler) because of lower-than-expected production requirements for the slow-selling coupe.

Karmann's production of the Crossfire has fallen from a peak of 35,700 in 2004 to just 12,500 last year. Introduced in 2003, the Crossfire managed about 28,000 sales in 2004, but less than 10,000 in 2005. Chrysler was so desperate to move Crossfires in late 2005 that it even engaged in a marketing stunt when it attempted to sell units on Overstock.com.

[Source: Automotive News]