Autoblog

Cheaper cars are more expensive to insure

Jeff Sabatini — Wed, 15 Feb 2012 09:15:00 EST

Life is not fair. That's about the only rational explanation we can offer for this little fact of life: A low MSRP is likely to mean big insurance payments.

Citing information from Insure.com, MarketWatch says the average price to insure a 2012 Honda Civic sedan, for instance, is about $2,353 per year, while a 2012 Toyota Sienna will run only $1,111 annually. The least expensive vehicles to insure tend to be relatively large vehicles, like minivans, trucks and SUV's, according to the report. Even though those vehicles tend to be much more expensive than compact cars, they also tend to be driven by older, safer drivers.

Don't think this is just a case of the rich getting richer, however, as expensive luxury and sports cars are none too cheap to insure either. The 2012 Audi R8 Spyder topped the Insure.com list of most expensive vehicles to insure at $3,384 per year. The Sienna had the lowest average insurance cost in the study, followed by the Jeep Patriot and Dodge Grand Caravan.

Insure.com's editorial director, Amy Danise, told MarketWatch that the savings some people think they're getting by buying small could evaporate because of the higher insurance premiums. Her advice to keep premiums low? "Buy the minivan, move to the farm, only drive it locally and make sure you never have an accident or kids," she said.

I think we'll just keep writing those checks to AAA instead.

Cheaper cars are more expensive to insure originally appeared on Autoblog on Wed, 15 Feb 2012 09:15:00 EST. Please see our terms for use of feeds.

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Subcompact sales fail to impress; Ford Fiesta and Chevy Aveo selling similarly

Zach Bowman — Wed, 08 Dec 2010 08:58:00 EST

Filed under: Car Buying, Budget, Etc., Earnings/Financials

2011 Ford Fiesta - Click above for high-res image gallery

Despite the wave of all-new compact and subcompact fighters hitting the market right now, sales of small cars in the U.S. don't appear to be budging much. According to Cars.com, models like the much-hyped Ford Fiesta are struggling to do much better than their older, stale counterparts at other automakers. So far, the Fiesta is number four in sales in the subcompact segment, falling well behind the Nissan Versa with 6,724 sales in November, the Honda Fit with 4,180 units and the Hyundai Accent at 4,052. In fact, Ford only managed to move 3,473 Fiesta units - just a hair above the 3,262 soon-to-be-replaced Chevrolet Aveo vehicles that rolled off of dealer lots last month.

Fortunately, the news is a little better for larger vehicles like the Chevrolet Cruze. General Motors managed to sell 8,066 of its small sedans in the vehicle's first full month on the market, and a total of 8,955 new-for-2011 Volkswagen Jetta models found homes during the second to last month of the year as well. Even the aged Ford Focus saw its sales jump by 27 percent to 13,030 in November thanks in no small part to an aggressive incentive program.

Head over to Cars.com for a full breakdown of America's disappointing subcompact sales, then chime in with your thoughts on the matter in Comments.

Gallery: Review: 2011 Ford Fiesta SES

Photos copyright (C)2010 Drew Phillips / AOL

[Source: Cars.com]

Subcompact sales fail to impress; Ford Fiesta and Chevy Aveo selling similarly originally appeared on Autoblog on Wed, 08 Dec 2010 08:58:00 EST. Please see our terms for use of feeds.

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Report: GM considering CVTs for small cars

Steven J. Ewing — Mon, 29 Nov 2010 14:01:00 EST

Filed under: Budget, GM, Toys/Games

2010 Chevrolet Spark - Click above for high-res image gallery

General Motors is considering the introduction of continuously variable transmissions in its next round of small cars in an effort to improve fuel efficiency. According to a report from Automotive News, the Chevrolet Cruze is being considered for CVT application, as well as Bowtie's smaller Aveo and Spark compacts.

In speaking with AN, Sohn Dongyoun, GM's vice president of engineering at Daewoo, says that CVTs offer an easy, quick fix in order to help improve fuel mileage. Dongyoun says that GM will need to improve the fuel economy on its small cars by at least 10 percent in their respective next generations.

This will not be GM's first application of CVTs. In the early 2000s, the automaker used CVTs in the Saturn Ion coupe and Vue crossover, as well as the Opel Astra hatchback overseas. This CVT was not well received, however, and was discontinued at the end of the 2005 model year. Currently, no word has been given as to whether or this GM's new CVT would be developed in-house, or when we might see the first applications being offered.

Gallery: 2010 Chevy Spark

[Source: Automotive News - sub. req.]

Report: GM considering CVTs for small cars originally appeared on Autoblog on Mon, 29 Nov 2010 14:01:00 EST. Please see our terms for use of feeds.

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Peel looking to reintroduce world's smallest car [w/video]

Jeremy Korzeniewski — Tue, 24 Aug 2010 15:30:00 EST

Filed under: Coupe, Etc., UK, Specialty, Electric

Peel P-50 and Trident pose with a Rolls-Royce - Click above for high-res image gallery

Sure, there's an increased emphasis on small cars here in America and all around the rest of the world, with brands like Smart and Mini vying for customers that think it's a big deal to go small. But none of these current machines can hold a candle to the 1962 Peel P-50, which to this day holds the record as the smallest car ever produced.

Just how small are we talking? Here are some stats: Wheelbases measures 50 inches, total length measures 52.8 inches, width measures 39 inches and height comes in at 47.2 inches. Perhaps most impressive of all, though, is the weight: just 130 pounds ready to drive.

Naturally, not a lot of power was needed to get this microcar moving, so a DKW single cylinder engine displacing 49cc was mated to a three-speed manual transmission without reverse, unless you count the handy grab bar at the very rear. One door was available on the left side of the car, which led to a lone seat and room for a grocery bag. Want one? Yeah, we do too, but there were only 50 made on the Isle of Man in the UK, so they aren't particularly easy to come by.

Fortunately, then, Peel Engineering has recently reopened its doors and is planning a small production run of 50 new cars, divided up between the aforementioned P-50 (above, blue) and the bubble-roofed Trident (red). From what we can discern, the reborn Peels will each go for a heady £12,499 and will use an electric powertrain in lieu of a scooter engine. No other specifications have been released that we are aware of.

We also don't know if any of the 50 pint-size Peels will make it Stateside, though with three wheels, it would seem the machines would be classified as motorcycles and would therefore eschew any need for crash testing requirements... which would seem rather important, don'tcha think? Click past the break for a couple of videos of the Peel P-50, including one from Top Gear where the six-foot five-inch Jeremy Clarkson takes one for a drive to through the office.

Gallery: Peel P-50 and Trident

[Source: Peel Engineering via The Scooter Scoop]

Continue reading Peel looking to reintroduce world's smallest car [w/video]

Peel looking to reintroduce world's smallest car [w/video] originally appeared on Autoblog on Tue, 24 Aug 2010 15:30:00 EST. Please see our terms for use of feeds.

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Report: Large SUV segment outpacing small car sales growth in America

Jeremy Korzeniewski — Fri, 30 Jul 2010 15:59:00 EST

Filed under: Car Buying, Budget, SUV, Crossover

2011 Infiniti QX56 - Click above for high-res image gallery

Finally, after years and years of stagnation and painfully slow sales, small cars are starting to take a foothold in the United States. Or are they? While conventional wisdom makes us believe that Americans are ready to take the downsizing plunge in the face of - or at least the threat of - high fuel prices and environmental concerns (we're all still watching the Gulf Coast, right?), it seems that reality may once again set us straight.

Automotive sales watchdog Autodata has found that the gas-swilling large SUV segment is growing at a faster pace than the America's small car segment. Like statistics? Here we go: With a 19-percent jump over the first six months of 2010, large SUV sales have outpaced small cars (14 percent). Critically, they've also outpaced the overall market (17 percent).

Now, before we get our feathers riled up too much, realize that sales of large SUVs still lag way behind small cars - 974,000 to 121,000 through the first half of the year. Further, large crossovers like the Buick Enclave, Chevrolet Traverse, Ford Flex, GMC Acadia and Lincoln MKT are included in those figures right alongside traditional behemoths like the Chevy Tahoe, Ford Expedition, Infiniti QX56 and Toyota Sequoia.

We also expect that small car sales will continue to climb with new models coming to market, such as the upcoming Ford Fiesta, Mazda2 and Hyundai's Accent and Elantra. That said, there's always going to be a demand for large and powerful SUVs that can haul people and stuff while towing a boat or camper in cool, air-conditioned comfort, and automakers will be only too happy to provide the thick-margined vehicles for their consumption. For better or for worse.

Gallery: First Drive: 2011 Infiniti QX56

[Source: USA Today via Kicking Tires]

Report: Large SUV segment outpacing small car sales growth in America originally appeared on Autoblog on Fri, 30 Jul 2010 15:59:00 EST. Please see our terms for use of feeds.

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The DetroitBureau.com on Autoblog with Paul Eisenstein

Paul Eisenstein — Mon, 19 Apr 2010 16:41:00 EST

Filed under: Car Buying, Budget, Sedan, Hatchback

Betting on small cars...

My friend, Sam, is your classic Texan. Big home, big pool, big personality and, of course, a big car, a Chevrolet Silverado pickup that he uses a couple times a year to haul lumber and yard supplies from the local mega-mart. But most of the time he's sitting in Dallas traffic, running up big gas bills.

And that's got Sam thinking about whether he really needs all that much of a truck. The last couple weeks he's been stopping by the local mega-auto mall - where, as you'd expect, they carry just about every brand of car - looking at a number of alternatives, all of them a lot smaller. A classic Chevy truck fan, he's leaning towards the new Equinox, though he could easily afford something more lavish.

When even Texans are starting to downsize, one has to ask what's going on in the American automotive market. "There is an opportunity in small cars," that General Motors hopes to exploit, says CEO Ed Whitacre, with an assortment of new products such as the pint-sized 2011 Chevrolet Spark. His counterpart at Ford, Alan Mulally, echoes that view, and has ordered up a variety of new models, including the subcompact Fiesta and the next-generation Focus.

Import brands are already invested in the small car segments, with models like the Honda Fit and Toyota Yaris. Even highline makers are downsizing, with offerings such as the Mini and the BMW 1-Series.

In a nation that has long felt that big is better, why is small suddenly beautiful? The first sign that things might be shifting came in mid-2008, when U.S. fuel prices soared to record level triggering, in turn, a collapse in sales of pickups and sport-utility vehicles. The trend was short-lived, however. Even before pump prices started slipping back, small car sales began to wane.

So, why is the industry betting so big on small cars now? For one thing, most expect gasoline prices to reach $4 a gallon in the long-term. Meanwhile, tough new federal fuel economy standards also press the industry to downsize.

Paul A. Eisenstein is Publisher of TheDetroitBureau.com, and a 30-year veteran of the automotive beat. His editorials bring his unique perspective and deep understanding of the auto world to Autoblog readers on a regular basis.

Continue reading The DetroitBureau.com on Autoblog with Paul Eisenstein

The DetroitBureau.com on Autoblog with Paul Eisenstein originally appeared on Autoblog on Mon, 19 Apr 2010 16:41:00 EST. Please see our terms for use of feeds.

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Zetsche reportedly says Daimler to pick new compact car partner by mid-2010

Jonathon Ramsey — Wed, 30 Dec 2009 17:58:00 EST

Filed under: Budget, Mercedes-Benz, Smart, Renault, Rumormill

Despite rumors of Daimler and Renault collaborating on a four-door Smart model, no official tie-up between the two companies has been announced. That could change next year when Daimler will reportedly decide who its small-car partner will be. Daimler is getting even more heavily into the development of small cars, both with its Smart brand and the Mercedes-Benz A- and B Class offerings that might one day make it to America.

Renault is planning a line of ultra-cheap small cars and is putting together a range of electric vehicles that will certainly feature new, small platforms. Like Daimler, the French automaker is talking to other companies about joining forces to save money on developing small cars, so a Daimler-Renault alliance isn't a fait accompli. According to Automotive News, Daimler CEO Dieter Zetsche says the company will announce its chosen partner by the middle of 2010.

[Source: Automotive News - sub. req.]

Zetsche reportedly says Daimler to pick new compact car partner by mid-2010 originally appeared on Autoblog on Wed, 30 Dec 2009 17:58:00 EST. Please see our terms for use of feeds.

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REPORT: Consumers increasingly shying away from small cars; owners unhappy

Chris Shunk — Tue, 06 Oct 2009 19:30:00 EST

Filed under: Car Buying

2011 Chevrolet Cruze - Click above for high-res image gallery

When gas prices spiked above $4 per gallon in the summer of 2008, car buyers appeared to find their small car zen. Toyota Corollas, Honda Fits and Civics, Chevrolet Cobalts and Ford Focuses were flying off dealer shelves at a fevered pace, while truck buying dropped through the floor. Fast-forward to present day and car buyers are once again picking bigger vehicles while many of last year's "smart" small car buyers may be experiencing a bit of buyer's remorse.

A closer look at the current sales charts shows that Americans may not be too keen on small cars after all, as News Chief is reporting that America's compact car market has dropped 15% year over year. Even used small cars are taking a beating, as Kelley Blue Book reportedly told NC that small car residuals have dropped like a stone while larger vehicles are becoming increasingly valuable. In August 2008, truck prices dropped by 17% versus the same point in 2007, but from 2008 to 2009 overall truck sales jumped by 23%.

Perhaps the biggest issue here is that many of the customers who went small in 2008 are now unhappy with their more economical vehicles. George Peterson, president of AutoPacific told NC that a recent survey of 32,000 car buyers showed that customers aren't thrilled with their new small car, quoting customers as saying "'It does what I want, but it doesn't have what I want. It doesn't have the features, the power, the room, and next time I'll opt for a bigger car.'"

The survey showed that 30% of small vehicle buyers would like more power with their next new car or truck, 25% want more cargo room, and 25% want more technology. 18% of those surveyed would like more safety and 22% would like a softer ride. Only half of the subcompact buyers would opt for a compact vehicle with their next purchase, while 35% want a midsized sedan and 18% want a crossover or SUV.

While the Auto Pacific survey results shows that many car buyers are looking away from compacts with their next purchase, automakers are ramping up small car production. New products like the Ford Fiesta and the Chevrolet Cruze are coming Stateside over the next year or two, and if the apparent trend away from small cars continues, automakers will be fighting over a familiarly small group of perspective buyers. Unless, of course, gas prices once again spike into the stratosphere, in which case we're likely to repeat this process again.

Gallery: 2011 Chevy Cruze

[Source: News Chief]

REPORT: Consumers increasingly shying away from small cars; owners unhappy originally appeared on Autoblog on Tue, 06 Oct 2009 19:30:00 EST. Please see our terms for use of feeds.

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Chrysler's deal with Chery on hold

Michael Harley — Mon, 17 Nov 2008 14:33:00 EST

Filed under: Budget, China, Plants/Manufacturing, Hatchback, Chrysler, Chery

It may be time to stop holding your breath. The planned deal between Chrysler LLC and the Chery Automobile Company to bring a Chrysler-badged Chery to our shores seems to be completely over... no, really this time. While there was nothing inherently wrong with the concept of importing the small fuel-efficient cars to North America (even if there were near insurmountable obstacles to overcome in the area of safety and emission standards), both companies have been crushed by the economy. According to a former Chery executive, "I wouldn't place much hope on it... both companies have their own problems to deal with, and both have run out of money." As neither company ever offered a public timetable for the arrival of the cars after the initial announcement early last year, the news is unlikely to come as a surprise.

[Source: Automotive News - Sub. Req.]

Chrysler's deal with Chery on hold originally appeared on Autoblog on Mon, 17 Nov 2008 14:33:00 EST. Please see our terms for use of feeds.

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Paris 2008: Chevrolet Cruze meets an eager Europe

Jonathon Ramsey — Fri, 03 Oct 2008 16:56:00 EST

Filed under: Budget, Sedan, Paris Motor Show, Chevrolet, GM

Click above for high-res gallery of the Chevy Cruze LT

The Chevrolet Cruze is three kinds of car: small, American and important. And with the state of General Motors, it isn't even the individual words that mean the most: it's whether The General can combine them into a reliable, fuel efficient and cost effective package. True, we don't get to drive these things while they're parked under the lights, but to have a seat in the Cruze is to imagine a GM that begs the question, "Where was all this before the meltdown?" The studio imagery we've seen so far translates nicely into real life, and the center console looks and feels substantial - in fact, it looks like it could be foreign - even if the silver mesh treatment in the show car was a bit much. The car has a compact yet full-bodied stance, and will probably look even better on the road in a color other than scarlet, and not under klieg lights. Spring of '09 will welcome this first Cruze variant to Europe, after which other regions will get it, as well as a probable hatchback and wagon. It will be powered by a 1.4-liter turbo four-cylinder that charts up to 140 hp and is said to return 40 mpg. Have a look at the high-res gallery of live shots below to get a better idea of what to expect when the Cruze goes on sale here in a couple years.

Gallery: Paris 2008: Chevy Cruze LT LIVE

Gallery: 2011 Chevy Cruze

Paris 2008: Chevrolet Cruze meets an eager Europe originally appeared on Autoblog on Fri, 03 Oct 2008 16:56:00 EST. Please see our terms for use of feeds.

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Ford: We can make money on small cars!

Jeremy Korzeniewski — Wed, 13 Aug 2008 16:58:00 EST

Filed under: Budget, Sedan, Plants/Manufacturing, Hatchback, Ford, Earnings/Financials

Click above for high-res gallery of the Euro Ford Focus

For years, enthusiasts have been clamoring for Euro-only Blue Oval models to be sold in American dealerships. This dream is finally coming true, starting with the new Ford Fiesta and next-gen 2010 Ford Focus. Mark Fields has revealed that the European Focus and Foci built in North America will share 90% of their parts compared to just 20% today. Not only will this make for better cars, it also allows Ford to realize a double-digit profit improvement on each Focus compared to what it's earning today. This is certainly a positive development, as the automaker believes that the small car segment will nearly double in the next few years. We're inclined to agree unless Exxon discovers that the Earth's core is made of crude. The other part of Ford's plan is to make its North American plants flexible enough to respond quickly to the ever-changing U.S. market, which is something Toyota, Honda and other import automakers assembling vehicles in this country have already done with great effects.

Gallery: 2008 Euro Ford Focus

[Source: Ford]

Continue reading Ford: We can make money on small cars!

Ford: We can make money on small cars! originally appeared on Autoblog on Wed, 13 Aug 2008 16:58:00 EST. Please see our terms for use of feeds.

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Honda considering offering JDM models in the U.S.

Chris Shunk — Thu, 07 Aug 2008 10:27:00 EST

Filed under: Budget, Green, Japan, Honda

Much attention has been paid to Ford's decision to bring six Euro Fords over to the States, but the Blue Oval isn't the only automaker that has good looking, fuel efficient vehicles overseas. Honda has a variety of petrol-sipping vehicles in its Japanese home market, and is now studying whether those are worth selling here in the U.S. The Japan-to-U.S. formula has already worked well with the stylish, sporty and efficient Fit, sales of which are up 73% this year. While the Fit has been sold in the U.S. since 2006, it has also been available in almost identical trim in Japan since 2001.

So Honda is considering offering its JDM Odyssey and compact Stream wagon (above) for the U.S., which would give the brand some wagon-like choices in its lineup. For now Honda is trying not to deviate from its long-term plans, but if the gas-drag on the U.S. market persists, bringing JDM models to market here is a no-brainer if they don't require a ton of investment to meet U.S. emissions and safety standards. As you might expect, we're all for this plan. While they're at it, we'll take the JDM Civic Type-R, too.

[Source: Bloomberg]

Honda considering offering JDM models in the U.S. originally appeared on Autoblog on Thu, 07 Aug 2008 10:27:00 EST. Please see our terms for use of feeds.

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Nardelli: New fuel efficient model might be out next year

Chris Shunk — Fri, 01 Aug 2008 11:58:00 EST

Filed under: Budget, Green, Hatchback, Chrysler

Click above for high-res gallery of the Dodge Hornet concept

Besides the introduction of the Dodge Challenger, there has been very little good news coming out of Chrysler lately. Sales are down 22% for the year due to a lineup that's still heavy on trucks and SUVs, but there may be some help on the way as soon as 2009. Chrysler CEO Bob Nardelli has hinted that a fuel efficient new vehicle(s) could debut next year, and platform sharing with other automakers would be behind the quick turn-around. Nardelli says the Auburn Hills-based automaker has re-prioritized its capital in an effort to quickly get to market the fuel-efficient vehicles that the market demands. Debuting even a single vehicle that's more fuel-efficient than anything else in the Chrysler lineup would likely have a big effect in light of the fact that its brands offer some of the least fuel-efficient lineups in the industry.

Nardelli didn't give any details as to which vehicle could arrive ahead of schedule, but speculation is that the Dodge Hornet is on the short list. The handsome Hornet (if it looks like the concept) will be based on the Nissan Versa small car platform, and was originally slated to arrive in Dodge guise in 2010. Chrysler is also rumored to be working on alliances with Tata, Fiat, and Chery, and each automaker has plenty of small, efficient vehicles at its disposal. None of those automakers has a presence in the U.S., though, so a quick turnaround on a platform that hasn't been properly crash tested doesn't seem likely.

Gallery: Dodge Hornet Concept

[Source: Detroit News]

Nardelli: New fuel efficient model might be out next year originally appeared on Autoblog on Fri, 01 Aug 2008 11:58:00 EST. Please see our terms for use of feeds.

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GM's Plan: Small cars making a big profit

Jonathon Ramsey — Mon, 21 Jul 2008 10:28:00 EST

Filed under: Budget, GM, Earnings/Financials

GM currently owns about 13% of the small car market. With demand for small vehicles increasing with the price of black gold, GM is out to increase that market share. Nevertheless, even if it doesn't increase its share, it plans to make more money off of each small car sold. How? By raising the price, naturally.

The plan is simple: make better small cars, charge more for them. The upcoming Cruze could run you a few thousand more than the outgoing Cobalt, for instance. The test is to see whether cars like the Cruze will be worth the premium. GM Global Design Chief Ed Welburn said, "In North America, we never did a good small car." The General plans to bury that piece of its history... but it's going to charge you, the consumer, for the funeral.

The idea that GM can lasso the small car market while charging a premium, at the same time as slashes its marketing budget by $1.5 billion, takes some effort to swallow. One analyst said that demand for small cars will outstrip supply, so GM could get away with it. However, until we see proof of small GM cars that take bats to the established competition, we'll have to give this plan a "Hmmm."

[Source: Automotive News, subs. req'd]

GM's Plan: Small cars making a big profit originally appeared on Autoblog on Mon, 21 Jul 2008 10:28:00 EST. Please see our terms for use of feeds.

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Die, Die, Die! - Things that should be euthanized in 2007

Dan Roth — Thu, 21 Dec 2006 17:33:00 EST

Filed under: Trends, Etc.

(Ed. - The views expressed in this post are those of Dan Roth and not Autoblog in general. Dan asked if he could channel the grumpy old man inside of him, and for better or worse, we took off his leash.)

Our morning commute often gives us time to contemplate our navels, as the traffic engineers haven't spent enough time with TrafficSim around here. When the radio gets too boring, it's always interesting to analyze the vehicles around us. Here's some stuff we think is gangrenous, and some is just crap.

Toyota Camry Solara
Please go away. You're ugly. Yes, yes, you're a Camry, rah rah. You're ugly. Especially the convertible. Please just give us a two-door version of your only mildly less ugly Camry sedan sibling, if you must.

Big cars that were once small
The Civic was once a small car, now it's almost as big as Accords once were. The Nissan Versa and Dodge Caliber are similarly not-too-small cars being marketed on the pretense of being compact. The Fit is a step in the right direction, and we realize that all the required safety gear makes light cars largely a thing of the past, but the efficiency-lovers among us can't square the fact that these cars were once small and efficient, and now they're larger and less efficient.

Follow the jump for more items on the hit list.

Continue reading Die, Die, Die! - Things that should be euthanized in 2007

Die, Die, Die! - Things that should be euthanized in 2007 originally appeared on Autoblog on Thu, 21 Dec 2006 17:33:00 EST. Please see our terms for use of feeds.

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Saturn's version of Opel Astra to hit next year; Ion gets stay of execution

Eric Bryant — Mon, 14 Aug 2006 14:58:00 EST

Filed under: Budget, Europe, Plants/Manufacturing, Hatchback, Saturn

Saturn's new small car, a version of the well-regarded Opel Astra, should be hitting the shores of North American sometime a bit beyond the middle of 2007. This will replace the not-so-well-regarded Ion, which is now scheduled to be produced through March of 2007 - three months longer than originally announced.

The name for Saturn's new compact has not yet been decided, but it may carry over the Ion name, or it may simply use the Astra nameplate. Either way, customers can expect to get the full-on European experience, as the vehicle is expected to arrive from Europe largely unmolested by the same sort of American twiddling that has doomed similar efforts in the past.

In 2008, production is expected to move to a stateside facility - most likely GM's Lordstown plant, where the Cobalt and G5 are produced. This may provide an opportunity for some of the Astra's DNA to improve the existing Delta platform compacts, and we'd be quite pleased if a few of those supercharged Ecotecs were to find their way under the Astra's hood as part of Saturn's Red Line high-performance lineup.

[Source: Detroit Free Press; Nashville Business Journal]

Saturn's version of Opel Astra to hit next year; Ion gets stay of execution originally appeared on Autoblog on Mon, 14 Aug 2006 14:58:00 EST. Please see our terms for use of feeds.

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Will the American market's new small cars resonate with young buyers?

Joel Arellano — Mon, 08 May 2006 11:04:00 EST

Filed under: Car Buying, Trends

Continued gas price hikes have intensified media coverage on subcompacts like the Toyota Yaris, Honda Fit and upcoming Nissan Versa. Bloomberg's Doron Levin, though, questions if young Americans will truly embrace the 'Small is Beautiful' trend.

He points out that today's young people don't necessarily see 'inexpensive' and 'gets great gas mileage' as top priorities for their vehicles. According to a study by automotive analysts, such buyers feel a sense of entitlement fostered by their parents. Levin's own daughter rejected a perfectly running Ford Taurus and rode with friends until given a Chevrolet Blazer.

Levin does address the lone exception, Scion. In fact, he writes that the Japanese automakers have the most experience in marketing small vehicles, and are the best equipped to persuade reluctant Americans of their validity. As the Toyota Echo showed, though, even they have had their share of flops.

What do you think of Levin's analysis? Have your say in 'Comments.'

Related: Toyota, Honda, Nissan's smallest prepped for battle; Chrysler, Ford, and GM missing the subcompact wave?

[Bloomberg via Financial Express]

Will the American market's new small cars resonate with young buyers? originally appeared on Autoblog on Mon, 08 May 2006 11:04:00 EST. Please see our terms for use of feeds.

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Mazda to join compact car craze?

Joel Arellano — Tue, 27 Dec 2005 12:30:00 EST

Filed under: Car Buying, Trends, Budget

The Jiji Press reported that Mazda president Hisakazu Imaki was quoted on saying that compact cars are necessary in the long term because of rising fuel prices. Thus there is increased speculation that the automaker, well-known for its sportier cars, could bring its compact vehicles such as the Mazda2 (pictured) to the U.S. market as early as 2007.

The Mazda3 is currently the smallest Mazda sold in the U.S.

With Toyota, Honda, and Nissan bringing their compact cars next year (see here) while gas prices have dropped, Mazda will probably take a wait-and-see approach.

Mazda to join compact car craze? originally appeared on Autoblog on Tue, 27 Dec 2005 12:30:00 EST. Please see our terms for use of feeds.

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