• Honda confirms plans to discontinue Insight amid lackluster sales

    February 26, 2014
    Honda has reportedly confirmed plans to discontinue the Insight hybrid amid lackluster sales in the US and other markets.

    The news may not come as much of a surprise, as the Insight was known to be one of Honda’s worst-selling cars. Rumors of the discontinuation circulated last year after the company appeared to have no plans to advertise the model in the US after 2014.

    Contributing factors likely include the Insight’s primary competition, namely the Toyota Prius. The Insight achieves an EPA combined efficiency rating of 42 mpg, falling behind the 50-mpg benchmarks reached by the similarly-priced Prius c.

    Sales appear to have been further cannibalized by Honda’s other models, including the Civic Hybrid and the fuel-sipping Fit.

    Speaking to Bloomberg, a Honda spokeswoman noted that the company has informed dealers of the discontinuation and asked them to stop taking new orders.

    It is unclear if Honda plans to introduce a new Insight in the future. After inventory is exhausted in US showrooms, the company will be left without an entry-level hybrid unless it brings in the Fit Hybrid or another alternative.

  • Global car sales could peak by 2024

    February 26, 2014
    Traffic jams and the advent of car sharing programs could put the brakes on the automotive industry’s century-long growth spurt within the next 10 years, some analysts predict.

    The auto industry has experienced tremendous expansion worldwide since Henry Ford introduced the Model T, but some industry experts predict that “peak car” – the point at which global sales growth will peter out – will occur sometime in the next decade.

    Peak car will be the result of several factors, including the banning of automobiles by major cities, the rise of car sharing programs and a general shift to public transportation in urban areas. Although the exact point of peak car remains unknown, IHS Automotive predicts that the phenomenon could come on at about 100 million units.


    If true, that would put a damper on the industry’s expansion plans. Automakers planning to produce 120 million cars by 2016, which might not be feasible. Last year 82 million vehicles were sold globally.


    Although new car sales aren’t in danger of falling off dramatically in the near-term – at least not because of peak car – some analysts are already suggesting that automakers should change course and focus on mobility solutions rather than building cars and trucks.


    “The key question is: Do you sell cars or do you sell mobility?” Tim Ryan, vice chairman of markets and strategy for consultant PricewaterhouseCoopers LLP, told The Detroit News. “If you ignore these megatrends, you run the risk of becoming irrelevant.”


    Some automakers have already begun preparing for major consumer shifts. Several car makers are working on driverless technology and more and more OEMs are getting behind car sharing initiatives.

  • Honda begins Fit production at new $800M plant in Mexico

    February 26, 2014
    Honda has announced that it has begun manufacturing its 2015 Fit subcompact hatchback at a new manufacturing facility in Mexico.

    Located in the city of Celaya in North-Central Mexico, the new plant is active less than two years after construction began in 2012, at a total cost of $800 million. It will eventually employ 3,200 workers, with an annual capacity of 200,000 vehicles later this year.

    Our new plant in Mexico is based on the Honda Company Principle of maintaining a global viewpoint to supply products of the highest quality, yet at a reasonable price, for worldwide customer satisfaction,” said Honda president and CEO Takanobu Ito.”In Celaya, we can see these core values in action, with a commitment to the highest quality and efficiency and a focus on creating joy for our customers.”

    The company is also set to open a $470 million transmission plant in Celaya, where 1,500 workers will be tasked with producing continuously variable transmissions (CVTs) in the second half of 2015.

    Mexico has experienced a boom in automotive production since the North American Free Trade Agreement was established two decades ago, as automakers flock to the country for its relatively cheap labor and geographical proximity to the US market.

    A recent report forecasts that Mexico will quickly become the top car exporter to the US, knocking Japan out of the number-two spot by the end of the year and likely taking the top position from Canada by 2015.

  • Lamborghini to expand Ad Personam customization program in Geneva

    February 26, 2014
    Lamborghini has announced that it will expand its Ad Personam vehicle customization program at the Geneva Motor Show to include its latest Huracan model.

    Currently available for Lamborghini’s flagship Aventador, the Ad Personam program will allow buyers to tailor their Huracan to their specific tastes. The program will cover everything from leather colors to details like monogramed interiors.

    Those taking part in the Ad Personam program can simply order the details from their Lamborghini dealer or travel to the automaker’s plant in Sant’Agata Bolognese, Italy, to work with a dedicated specialist.


    Although the Geneva show will mark the start of the Ad Personam program for the Huracan, Lamborghini will show off what is possible through the program with a one-off Aventador roadster. That vehicle will feature a unique Blue Sideris exterior paint and Forged Composite accents throughout.


    No pricing information was announced, but what’s a few extra bucks when you’re buying a six-figure super car?

  • Geneva Preview: Volkswagen refreshes Polo lineup

    February 26, 2014
    Volkswagen has announced more details surrounding the facelifted Polo, a subcompact hatchback that slots beneath the Golf in the automaker’s European lineup.

    The bulk of the changes for 2014 are found under the hood, where the fourth-gen Polo gains a host of more efficient three- and four-cylinder gas-burning engines that comply with the strict Euro 6 emissions norms. Two new three-cylinder 1.4-liter turbodiesels that make 75 and 90 horsepower, respectively, and an available start/stop system round out the major mechanical updates.

    The company claims its Polo TSI BlueMotion is the most fuel-efficient five-seater with a gasoline engine, consuming 4.1 l/100 km (57 mpg) in European driving cycles. The TDI edition stakes the same claim in the diesel five-seater category, with a 3.1 l/100 km (75 mpg) rating.

    Expected to land early next year, the updated variant of the range-topping Polo GTI will be powered by an upgraded version of the existing 1.4-liter TSI four-banger that is expected to churn out 189 horsepower, a noticeable increase over the current model’s 177 ponies. A six-speed manual transmission will join the existing seven-speed dual-clutch unit, and buyers will have the option of ordering the car with Volkswagen’s adjustable suspension.

    Inside, the Polo gains an updated instrument cluster, a new three-spoke steering wheel and a revised center console. Select trim levels can be ordered with a state-of-the-art touch screen-based infotainment system sourced from the Golf parts bin.

    The updates carried out to the exterior are frivolous and largely limited to three-slat grille, a more elegant front bumper and redrawn tail lamps. Five new alloy wheel designs help set the facelifted model apart from its predecessor.

    The ruggedized CrossPolo edition also received attention, boasting new 17-inch wheels, protection panels on the front and rear bumpers, a handful of silver accents and smoked rear lights. On the inside, drivers will benefit from better fabrics, sport seats and a redesigned steering wheel.

    The company has also added new R-Line packages distinguished by unique bumpers and several high-gloss accents, including the grill and bottom air inlet screen. Most of the changes are said to focus on the inside, however, with options for Alcantara or leather, contrasting colors and R-Line logos on the race seats.

    After debuting next month at the Geneva Motor Show, the facelifted Polo will go on sale across Europe next summer. Pricing information will be published closer to its on-sale date.

    What’s Next?
    Volkswagen has confirmed it is in the early stages of developing a plug-in hybrid version of the Polo that is expected to arrive next year. The drivetrain will differ significantly from the one found in the upcoming Golf plug-in hybrid and it is being designed to work with either a gas- or a diesel-burning engine.

    Finally, a rally-inspired variant of the Polo dubbed Polo R is rumored to join the Volkswagen lineup as a limited-edition model before 2014 draws to a close. The car will reportedly use a turbocharged 2.0-liter four-cylinder that will send 250 horsepower to all four wheels via an evolution of Volkswagen’s 4Motion all-wheel drive system.