Runtime 5:30

The Big Three bailout in Washington goes down the drain due to lack of support. Carlos Ghosn says we’re going to see more consolidation soon due to the weakening global market. All that and more plus, a look at the latest cars unveiled by BMW, Nissan and Ford at the LA Auto Show.

Autoline Daily Poll: Should the Big Three get a bailout?

Transcript and Story Links after the jump . . .

Here are today’s top headlines. The Big Three bailout in Washington goes down the drain. Carlos Ghosn says we’re going to see more consolidation soon. And a look at the latest cars unveiled at the LA Auto Show.

Up next, we’ll be back with the news behind the headlines.

This is Autoline Daily for Thursday, November 20, 2008. And now, the news.

Well, like we’ve been reporting here all along, the bailout effort for the Big Three in DC is kaput…..for the time being. Democratic Senator Harry Reid, the majority leader, said he didn’t have the votes to provide the automakers with any money and he’s calling the whole thing off.

So what’s next? Like I’ve been saying, now Detroit will have to wait for Barack Obama to be sworn in as president in January. He has stated strongly, on the record, that he is in favor of saving the Big Three and the UAW. But the automakers and the union are going to have to regroup and figure out how they are going to communicate their message, because their testimony in Washington this week was a disaster—-all this mumbling, and stammering and avoiding the questions. That’s not how you sell the Senate on throwing you a lifeline.

What do you think? Should they get the bailout, should there be strings attached? We’re running a poll at AutolineDaily.com, so let us know what you think.

In a related item, Carlos Ghosn, the CEO of Nissan/Renault, says the current crisis in the auto industry will likely lead to consolidation soon. According to WWJ Newsradio 950, Ghosn says the weakening global market that the industry is facing will knock out some competitors. Is he hinting at a collapse of GM or Chrysler, and then consolidating them together? Ghosn isn’t saying, but the timing of the remark is probably not a coincidence.

Hyundai announced it plans to meet the Corporate Average Fuel Economy regulations of 35 MPG by 2015 (subscription required). That’s five years ahead of the deadline. Hyundai will introduce a hybrid version of the Sonata in 2010, offer more fuel-efficient versions of the Accent and Elantra next year; and introduce a new CUV powered by a turbocharged gasoline direct-injection, 4-cylinder engine. By the way, Ford also said it will come in ahead of schedule on CAFE.

Pakistan’s auto industry is suffering (subscription required) along with all other automakers. Yes, Pakistan does have an auto industry. WardsAuto.com reports that there are 8 car companies in Pakistan and 1,600 suppliers. The country makes 160,000 vehicles a year and the major players include Suzuki, Toyota and Honda. Jeez, they’ve got to deal with the Taliban, Al-Qaeda, missile strikes and a 42% drop in car sales. Boy, and we think we’ve got it bad.

Coming up next, a look at a number of the new cars that were unveiled this week at the LA Auto Show. We’ll be back, right after this.

The LA Auto Show opened its doors to the press yesterday. Here are a few of the show’s highlights so far.

BMW unveiled its all-electric, plug-in Mini E. The company is releasing 500 of these cars to the public for testing. It includes a 204 horsepower electric motor and a lithium-ion battery with range of about 150 miles. The company also showed-off its new 7 Series flagship sedan.

Nissan showed off the redesigned Z car and the funky little Cube. The updated 370Z features a larger 3.7-liter V6 with 332 horsepower and an optional seven-speed automatic transmission. The all-new Cube will be coming to the U.S. next spring and promises to offer a flexible interior and terrific gas mileage.

Ford made a splash with its redesigned 2010 Fusion. For the first time the company is offering a sport model with a 3.5-liter V6, there’s also a more powerful and efficient four cylinder engine. Six-speed automatic transmissions are standard across-the-board. But the biggest Fusion news is the availability of a hybrid model. Ford is claiming the Fusion hybrid will beat the Camry hybrid by six miles per gallon in the city.

The redesigned 2010 Mazda3 was also revealed. The new car features a restyled exterior and better performance. A new 2.5-liter, 167 horsepower four cylinder engine replaces last year’s 2.3.

Those are just some of the highlights from the LA show, but we’ll be bringing you more details in the coming days.

And don’t forget, sign up to win a special-edition 10th anniversary Autoline DVD and Autoline coffee mug. All you have to do is sign-up for our free e-mail newsletter. I’ll be picking the winner tomorrow on “Autoline Daily” so sign-up now!

Anyway, that’s it for today’s show, we’ll see you tomorrow.

Listen to this story:

With the Detroit automakers in so much trouble right now, it opens the door for other car companies to take advantage of the situation.

All automakers are hurting right now, but the Detroit Three are hurting the most. Not only is the market weak, they are having a terrible time getting the financing for their dealers to floorplan their cars, and for their customers to get loans or leases.

And that opens the door wide for import brands that are not suffering from that financing problem. It gives many of the foreign automakers the opportunity to go for more market share, even if that extra share isn’t very profitable.

Everyone knows this market is going to come back at some point. And the ones that gain market share now are going to come back stronger than anyone else.

Runtime 4:47

The European auto industry could get loans or subsidies to help get through the downturn. Ford sells half its stake in Mazda for $540 million. The 2010 Ford Mustang is unveiled at the LA Auto Show. All that and more, plus a look at the clean diesel technology BMW showed at the LA Auto Show.

Transcript and Story Links after the jump . . .

Here are today’s top headlines. European auto industry wants help. Ford sells half its stake in Mazda. And it unveils the new Mustang.

Up next, we’ll be back with the news behind the headlines.

This is Autoline Daily for Tuesday, November 18, 2008. And now, the news.

As the Big 3 CEOs and the president of the UAW testify in Washington on why they need a bailout, the European Union is drafting a plan to do the same for automakers on the Continent. The Wall Street Journal reports that they could get loans or subsidies (subscription required). The CEO of Daimler, Dieter Zetsche warned that 300,000 jobs are at risk in the German auto industry.

On the heels of GM’s announcement yesterday that it was selling its stake in Suzuki, Ford is going to cut its holdings in Mazda in half. Ford’s share will now be just over 13 percent, down from 34.4 percent. Under Japanese law Ford used to have controlling interest in Mazda, now it will not. But by selling its share, Ford will get $540 million in badly needed cash.

Audi is coming out with a lengthened version of its A4 sedan in China. Called the A4-L, the wheelbase is stretched by 60 millimeters, or almost two-and-a-half inches. The extra length provides rear-seat passengers more leg room. The car will be made in VW/Audi’s joint-venture plant with First Automotive Works in Changchun, China, and will go on sale next January.

Ford will reveal its redesigned 2010 Mustang at the LA Auto Show later today. The all-new ponycar features more aggressive styling and a brand new interior, though the major mechanical parts basically carryover. The biggest news though is on the interior. The design and execution are top-notch. The whole dashboard is made of soft materials, not hard plastic like the current car, and all the aluminum trim is real. It gets some other nice touches like an optional dual-zone climate control, Ford’s capless fuel filler and better aerodynamics.

The Opel/Vauxhall Insignia was named the 2009 European Car of the Year by a panel of 59 journalists from 23 countries. The Journalists had to factor in design, safety, handling and performance when making their decision. The Insignia is the third Opel/Vauxhall model to win the award. The Kadett won it in 1985; and the Omega won the award two years later.

Coming up next, a look at the clean diesel technology BMW showed at the LA Auto Show.

The Los Angeles auto show officially kicks off today but some automakers like BMW got a jump start by showing off some green products yesterday.

BMW showed off its 50-state clean-diesel technology in the form of the 335d. Mercedes and Volkswagen have already introduced their diesels. But the big difference between BMW and the competition — they say — is with performance.

BMW is also offering its clean diesel engine in its X5 SUV. By the way, the 335d goes on sale next month. We’ll have more from the LA Auto show later this week on Autoline Daily.

Don’t forget that all this week you can enter for your chance to win a special-edition Autoline 10th Anniversary DVD and an Autoline coffee mug. All you have to do is sign-up for our free e-mail newsletter. I’ll be picking the winner Friday on “Autoline Daily” so sign-up today!

That’s it for today’s top news in the global automotive industry.

Runtime: 1:05
Courtesy WWJTV “Michigan Matters”

Detroit Free Press columnist Carol Cain and John McElroy discuss what the future may hold for GM, Ford and Chrysler as they head into talks for a federal loan. In this clip, John explains the important role the UAW’s Ron Gettelfinger will play as the Detroit Three head to Washington. For the full interview, please visit wwjtv.com and click on “Michigan Matters” in the right-side video player.

Video after the jump …

Listen to this story:

With all this talk about alternative fuels, it’s worth taking a look at the one that seems to be catching on in Europe.

In Europe, cars that can run on methane are becoming more and more popular. And Fiat is the most aggressive European manufacturer that’s jumping on that trend.  They have a full line-up of methane vehicles.

Now, the company just unveiled a version of the compact car called the Punto that can run on both methane and gasoline. And on methane it only emits 115 grams of CO2 per kilometer, versus 145 when it runs on gasoline.

It only costs 12 Euro to fill the methane tank, which is about $16 bucks, and provides over 180 miles of range. Interestingly, if you fill both the gasoline tank and the methane tank, the car can travel over 600 miles. And this all explains why methane cars in Europe are becoming more popular.

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A nail biter this week in Congress for the Big Three as Democrats and Republicans argue over a bailout. The German government plans to help its auto industry. Toyota gets ready to sell its all-new crossover, the Venza, next month. All that and more, plus a look at what it takes to refill the urea tank that Mercedes uses for its clean diesels.

Transcript and Story Links after the jump . . .

Here are today’s top headlines. A nail biter this week in Congress for the Big Three. The German government plans to help its auto industry. Toyota gets ready to sell the Venza.

Up next, we’ll be back with the news behind the headlines.

This is Autoline Daily for Monday, November 17, 2008. And now, the news.

It’s going to be a nail biter in Congress for the American car companies this week. Will they get the bailout money or not? Democrats are telling President Bush they want the auto industry to get some of the $700 billion earmarked for the financial industry. Bush says, “No way.” He’s telling the Democrats to give the automakers the $25 billion that Congress already earmarked to re-tool plants to make green cars. The Democrats say, “No way.” That’s where it’s stuck and probably nothing will happen in this lame-duck session of Congress.

Meanwhile, the AFP reports General Motors sold its three percent holding in Suzuki for about $230 million. Both companies say they’ll continue to work together.

And in Europe, the German government is considering giving GM’s subsidiary Opel some sort of financial aid, as well as aid to other German automakers and suppliers. Unlike in the United States, there doesn’t seem to be nearly as much controversy over helping out the auto industry.

Of course, the German auto industry is in much better shape. Volkswagen reports that sales are up almost 3 percent for the year, thanks to the so-called BRIC countries, Brazil, Russia, India and China. But VW isn’t immune to the global downturn. Sales fell five percent in October. Even so, it’s still impressive that they still expect to be up for all of 2008.

In Japan, Mazda just released a refreshed version of the Demio. Known as the Mazda2 in other markets, it gets a new interior with a glossy black center panel and matching materials for the seat cover centers and door trim. Silver garnish is added to the shift knob, parking brake and inner door handles. The Demio costs between $12,000 and $16,000 and is on sale now in Japan.

Toyota is about to come out with its all-new cross-over called the Venza (subscription required). The five-door people hauler goes up against the Nissan Murano and Ford Edge. It offers a four-cylinder engine or an optional V6, and front- or all-wheel-drive. The Venza will start reaching Toyota dealers early next month.

Coming up, our feature story looks at what it takes to refill the urea tank that Mercedes uses for its clean diesels. We’ll be back, right after this.

The U.S. has some of the strictest emissions regulations in the world. This is a major hurdle to selling diesel-powered vehicles in America.

So far, the only way for diesels to meet these regulations is to use an after-treatment system. The technology used by Mercedes-Benz is called BlueTEC. It injects a urea solution into the exhaust to clean things up, but there’s a downside. It has a separate fluid reservoir, and it periodically needs to be refilled. Here’s Rob Moran with Mercedes PR demonstrating how to top-off the tank.

The urea tank only needs to be refilled about every 10,000 miles, so Mercedes is tying this in with other services, like oil changes.

Interestingly, it’s impossible to run the urea tank dry. If the fluid gets low, you get a series of warning lights on the dash. And if you ignore them for too long, the car eventually will not start, but that takes a really long time. Oh yeah, the urea costs about $10 a gallon.

And that’s it for today’s top news in the global automotive industry, but don’t forget you can get podcasts, transcripts and a whole lot more on our website, AutolineDaily.TV. Thanks for watching, we’ll see you tomorrow.

Runtime: 1:50
Courtesy FOX 2 News Detroit

John McElroy recently sat down with Bill Gallagher of FOX 2 News Detroit to discuss how automakers will make the case to the government for a financial bailout. John explains that the government could actually profit from a bailout.

Video after the jump …

Runtime 6:04

Chances of a bailout seem to dim because of a lame-duck Congress. Europe doesn’t like a Big 3 bailout and might file a complaint with the World Trade Organization. Nissan invents a new catalytic converter that uses half the precious metals of a conventional catalyst. All that and more, plus a preview of this week’s Autoline Detroit that takes a look at the Big 3 bailout.

Transcript and Story Links after the jump . . .

Here are today’s top headlines. Chances of a bailout seem to dim. Europe doesn’t like a Big 3 bailout. Nissan invents new catalytic converter.

Up next, we’ll be back with the news behind the headlines.

This is Autoline Daily for Friday, November 14, 2008. And now, the news.

Wow, the bailout mess for the auto industry just gets messier. The Wall Street Journal reports that, like we reported here yesterday, it’s going to be hard to get a bailout bill out of this lame-duck session of Congress. Republican opposition to the bailout is stiffening, and some Democrats are arguing that it’s better to wait until Barack Obama is sworn in as President, rather than risk losing a vote right now.

Our media partner WWJ reports that in Europe there are rumblings of filing a complaint to the World Trade Organization claiming that the bailout of the Big 3 is illegal. And the Financial Times in the UK reports that the three largest credit insurance companies in Europe have yanked their coverage for automotive suppliers who do business with GM, and Ford. This is credit insurance that covers suppliers in case one of the car companies was to go out of business. The cut-off primarily affects suppliers operations in Europe.

Autoblog Reports that Ferrari, Rolls-Royce and Land Rover are following Porsche and pulling out of the North American International Auto Show in Detroit. This is probably because of the global economic slowdown and the fact that they don’t have any big product news to announce. This move shows that even the most prestigious car brands are hurting right now.

Hey, here’s a new trend in public relations. Recently, both BMW and Audi hosted live ‘webcasts’ to highlight new technologies and products. Webcasts go beyond just words and pictures on a page. They’re just like real press conferences but broadcast over the internet. These events are even interactive. Journalists can ask questions in real-time by typing them in on the webpage. Live webcasts are probably a lot cheaper than hosting a real press conference and nobody has to travel anywhere, so look for more and more automakers to start using these types of promotions going forward.

Nissan announced it will introduce an ultra-low precious metal catalyst on the new Cube. The catalyst uses half the precious metals compared with conventional catalysts which chops the price dramatically. The technology was developed under the Renault-Nissan Alliance, and will be used in future Renault vehicles as well as diesel engines.

Speaking of diesels, Delphi expects to double its diesel injector sales (subscription required) over the next three years thanks to Euro5 emissions controls. According to WardsAuto.com, this includes a direct-acting piezo injector Delphi developed for Mercedes. Delphi believes by using the technology they can develop engines that will require less-expensive after treatment to meet Euro6 emissions rules in 2014.

Coming up next I’ll announce the winner of some exclusive Autoline Gear, and we’ll preview this week’s Autoline Detroit.

On Autoline Detroit this week I interview Dr. David Cole of the Center for Automotive Research and Mike Stanton, the President of the Association of International Automobile Manufacturers. It’s all about their analysis of what will happen next week in Washington over the bailout of the Detroit three. After that, I chat with Steve Henderson, Dow Automotive’s President of the Americas, about the safety foam they developed for the Car of Tomorrow for NASCAR which, at first, wasn’t particularly well-received.

Don’t forget, if you want to hear the rest of my interview with Steve Henderson or learn about what’s happening in Washington, you can watch the whole episode of Autoline Detroit on our website later this afternoon.

Well, it’s the moment you’ve all been waiting for. If you signed up for our daily newsletter in the last week, you’re eligible to win some Autoline gear. This week we’re giving away a stylish T-shirt and hat. My crack team has chosen one lucky person at random. Pookie, the envelope please. And the winner is . . . Joe Hanzes, Joe Hanzes. Congratulations Joe!

If you haven’t signed up for our e-mail newsletter yet, it’s not too late! You can still get every episode of Autoline Daily delivered right to your inbox. Just click on the newsletter link on our website, Autoline Daily.TV. And if you sign up between today and next Friday, you’ll be eligible for next week’s prize giveaway. We’ll be offering a 10th Anniversary Autoline DVD, and an Autoline coffee mug, so sign up now!

Anyway, that’s it for today’s top news in the global automotive industry. Thanks for watching, we’ll see you next week.

For all the current and would-be Twitterers out there: you can now follow Autoline at http://www.twitter.com/Autoline. Here you’ll find ongoing updates and analysis from John and the rest of the Autoline team throughout the day. We’ll let you know when a new show is out, when John will be appearing in the news and we’ll even offer up micro-analysis tidbits as news breaks.

You’ll find like-minded Autoline visitors following us on our page and you’ll be able to start up conversations with them, and of course, us. The industry is changing every day in these tumultuous times and Twitter is just one of the ways we’ll keep you abreast of what’s going on. So click over and hit “Follow.” We think you’ll really be glad you did.

Learn More About Twitter

Runtime 5:13

Treasury Secretary Henry Paulson says automakers can’t have any of the money earmarked for the financial industry. Barack Obama considers appointing a car czar to help formulate policies for the auto industry. Audi is bringing back the A2 to help meet European CO2 standards. All that and more, plus a peek at the redesigned 2009 Honda Fit.

Transcript and Story Links after the jump . . .

Here are today’s top headlines. Republicans dump the bailout into the Democrats lap. Barack Obama considers appointing a car czar. And Audi is bringing back the A2.

Up next, we’ll be back with the news behind the headlines.

This is Autoline Daily for Thursday, November 13, 2008. And now, the news.

The Big 3 bailout continues to dominate the news. And now Republicans have dumped the issue in the lap of the Democrats. Treasury Secretary Henry Paulson says automakers can’t have any of the money earmarked for the financial industry. Democrats are scrambling to see if they can write the necessary legislation to get the industry the money it needs, but this is a lame duck session of Congress, when, historically, not much of anything gets done.

Meanwhile, president-elect Barack Obama is considering appointing a car czar to help formulate policies to help the auto industry. Our media partner WWJ Newsradio opened up its phone lines to ask listeners who the car czar should be: topping the list by a wide margin, Roger Penske and Lee Iacocca.

Speaking of appointees, is the next energy secretary of the United States going to come from Michigan? Rumors are swirling around two possible candidates. One is Michigan governor Jennifer Granholm who has been touting green energy for the state. The other is Andrew Liveris, the CEO of Dow Chemical, which is based in Michigan. Mr. Liveris is Australian, but I hear he’s applying for U.S. citizenship.

To save cash, General Motors is delaying production of the 2009 Saturn Vue 2-Mode hybrid (subscription required). It was scheduled to begin production in December in Mexico but now that won’t start until early next year.

But while GM is trying to cut costs in North America, it’s expanding in China and India. According to Ward’s, GM wants to more than double its market share in India (subscription required) to 10 percent, and will introduce two new models in the next six months. And wants to increase its stake in its joint venture with Chinese automakers SAIC and Wuling Automobile.

Audi is bringing back the A2 (subscription required). The original version of this b-sized car was sold from 1999 until 2005. It featured an advanced design using an all-aluminum space frame, aluminum body panels, and a sealed engine compartment. But it was pricey and never sold very well. However, a new A2 will help Audi meet strict European CO2 standards.

Speaking of clean cars General Motors will unveil a turbocharged natural gas-powered Opel Zafira at the Bologna Motor Show early next month. Unlike other CNG vehicles, engineers designed the Zafira’s fuel tanks so they’re integrated into the underbody. That way they don’t take up any interior space. The new CNG-powered Zafira should be on sale by January of next year.

Coming up next we’ll take a peek at the redesigned 2009 Honda Fit. We’ll be back, right after this.

Honda completely redesigned its subcompact Fit for 2009. The company built on the strengths of the original and added a few noteworthy features. Honda also made the car safer and more powerful, but it’s no less versatile. Part of the reason why the Fit is so useful is that the back seat flips and folds to make room for all shapes and sizes of cargo.

But there’s more to the Fit than just interior flexibility. It’s inexpensive, easy on gas and it drives like a much more expensive car. Overall it’s one of the best subcompacts sold anywhere in the world.

And that’s it for today’s top news in the global automotive industry, but don’t forget, this is your last chance to enter to win a special-edition Autoline T-shirt and hat. All you have to do is sign-up for our free e-mail newsletter. I’ll be picking the winner tomorrow on “Autoline Daily” so sign-up now!

Anyway, that’s it for today’s show, we’ll see you tomorrow.

Runtime 6:34

Three separate $25 billion packages are proposed to bailout the Big Three. GM wants to cut 3,500 salaried employees in the next couple of months. BMW and Hyundai are bullish on diesels. All that and more, plus John answers viewer questions about the natural gas-powered Honda Civic and the Big Three in the “You Said It!” segment.

Transcript and Story Links after the jump . . .

Here are today’s top headlines. Big Three bailout grows to $75 billion. GM wants more headcount reduction. And BMW and Hyundai are bullish on diesels.

Up next, we’ll be back with the news behind the headlines.

This is Autoline Daily for Wednesday, November 12, 2008. And now, the news.

The bailout for the Big 3 has grown to $75 billion. Even though most news reports refer to a $25 billion package, there are actually three packages that are being discussed. The first is a $25 billion package to help General Motors, Ford and Chrysler retool their plants for more fuel-efficient vehicles. The second $25 billion is a bridge loan to get them through the current economic downturn. And the third $25 billion is to pay for health care costs for retirees, and is something the UAW is really pushing for. Put it all together and the bailout now comes to $75 billion.

And as it approaches a desperate situation, the Detroit Free Press reports that GM will have to cut an additional 3,500 salaried employees in the next couple of months. Only 6 years ago GM had 46,000 salaried employees, but this new round of cuts will take that down to only 25,000.

While the Detroit area is reeling from all these layoffs, here’s one company that’s hiring. Fisker Automotive, the specialty coachworks company, is opening a new Engineering Center in Pontiac, MI (subscription required). According to Ward’s, the auto maker says the new facility will develop its plug-in hybrid car, the Karma, which Fisker claims will get 100 mpg.

A lot of diesels in the news today. BMW announced it’s going to charge a big premium for clean diesel engines that meet stringent U.S. emission standards. The new 335d sedan and diesel-powered X5 will cost about $5,000 than comparably equipped vehicles with gasoline engines. BMW also said it will cost $10 a gallon to refill the urea tank in those vehicles, adding another $50 or so to every service charge. And when you consider that diesel fuel costs roughly 50 percent more than gasoline in the U.S. right now, you’ve got to wonder if the diesel is dead on arrival in the American market.

Well, Hyundai is bullish on diesels elsewhere in the world. It’s coming out with an all-new 4-cyl. diesel engine available in 2.0 and 2.2 liter versions (subscription required), for the 2010 Sonata and Tucson. Wards reports that that diesel will not make it to the American market because it would add a 5 to 6 thousand dollars to the cost of those vehicles.

And boy are we reporting a lot on the Russian market. Now Fiat and Russian automaker OAO Sollers are adding more models to their partnership. Ward’s reports that the joint venture will begin producing the Fiat Linea early next year (subscription required) and may expand to the B and C segments, possibly with the Fiat Bravo and Grande Punto.

Coming up next, it’s time for You Said It! And now it’s time for some of your feedback.

This is “You Said It!” Every day we get dozens of comments and questions from you, our viewers. “You Said It!” gives me a chance to respond.

And today I’m pleased to say we have our first video comment that came in from William Slate in New Haven, Connecticut. Will’s comment is a response to our piece on the natural gas-powered Honda Civic. He took issue with some of my opinions on the technology. His comment is very comprehensive; it’s actually too long to play in its entirety. But here’s a snippet of what he had to say.

Link to Will Slate’s Comment

You can watch the rest of Will’s comment on AutolineDaily.tv. You’ll find a link along with today’s transcript. But, I think the gist of what he was saying is that using compressed natural gas for cars doesn’t make sense on several levels. For use in vehicles, he says it only makes sense for fleet owners who operate trucks or busses. Great comment Will.

Here’s an email question from Chris who asks, “What do you think of receivership for the Big Three?”

Well Chris, if any of the Big Three went into receivership, meaning bankruptcy, it would be an ugly day, indeed. The whole question revolves on whether people would continue buying cars from a company that is in bankruptcy. If they got the idea the company would ultimately emerge from bankruptcy I think they would buy. But it sure would hurt the company’s image and instantly make them the butt of jokes of every comedian on every late night show.

And finally, today’s last question is from Pedro. “If the union laws are changed, does this mean that the UAW will be able to set up shop in the non-union plants like Toyota and Honda? If that’s the case, I guess they’ll move those plants to Mexico.”

Pedro, the Employee Free Choice Act, which is likely to be enacted next year, will make it far easier for the UAW to organize the transplants. But that doesn’t mean the Japanese, Korean and European automakers will move their production to Mexico. Remember, those plants typically cost around $1 billion each, and you just don’t walk away from that kind of investment.

Anyway, that’s it for “You Said It!” Remember, keep feeding us your questions and comments, and keep posting your videos to YouTube. Just remember, include your name, location, and try to keep them to around 30 seconds long. Do this, and you just might be on our next installment of You Said It!

And that’s it for today’s top news in the global automotive industry. Thanks for watching, we’ll see you again tomorrow.

###

Full Comments from Will Slate, New Haven, Connecticut
Referencing Autoline Daily 16 - Honda Civic GX

Runtime 5:10

There’s big drama in Washington over bailing out the automotive industry. Renault introduces three EVs to show at the 2012 London Olympics. Nissan introduces a commercial vehicle for the North American market. All that and more, plus a look at a new technology that Honda has been working on.

Transcript and Story Links after the jump . . .

Here are today’s top headlines. Big drama in Washington over a bailout. Renault introduces three EVs. Nissan gets into the commercial vehicle market.

Up next, we’ll be back with the news behind the headlines.

This is Autoline Daily for Tuesday, November 11, 2008. And now, the news.

There’s a big bailout fight brewing in Washington D.C. over aid to the automotive industry. President Bush told Democratic leaders he’d be interested in some horse trading. The New York Times reports he’ll provide aid to the auto industry, providing Democrats approve a free trade deal with Colombia. The Democrats are saying, “No dice.” And so the drama builds.

Adding to the tension, Deustsche Bank says GM stock will drop to zero even if the company gets a bailout. It predicts three scenarios: One, GM restructures down to only three brands in the American market. Two, the government forces GM lenders to take a loss while the feds take an ownership position in the company. Three, GM declares bankruptcy, but the government provides the cash to keep operations going.

Renault says car sales in France will plummet up to 22 percent (subscription required) in the last two months of the year. According to Ward’s, although year-to-date sales are up 2.2 percent in France, in October they started to nose down. Of the five largest markets in Europe, France was the only one still ahead of 2007 sales at the end of October.

But looking to the future, Autoblog reports that Renault will show off three electric vehicles at the 2012 London Olympics. One will be an electric Kangoo that will be used to shuttle people to and from various events. The second EV is expected to be based on the Mégane sedan, while the third vehicle will be a compact, five-passenger city car. I’m guessing that one will be based on the EV Nissan is developing.

But Nissan isn’t just interested in EVs. It’s also going to get into the commercial vehicle market in North America. Called the NV2500, it sort of looks like a cross between a pickup truck and a Dodge Sprinter, and is one of the largest concept vehicles ever built by Nissan. Look for the NV2500 to debut at the 2009 North American International Auto Show in Detroit this January. I wonder? With the next-generation Nissan Titan being built on the Dodge Ram platform, will Chrysler actually build this thing for Nissan?

In a first for NASCAR, the pace car for the last race of the season will be a hybrid, the new Ford Fusion hybrid, which will officially debut at the LA auto show next week. This is the first time a hybrid-electric car ever served as a pace car, and of course it will lead the field to the green flag.

Coming up in our feature story we’ll take a look at a new technology that Honda has been working on. We’ll be back, right after this.

Honda is involved in a lot more than just building cars. It makes motorcycles, jet engines and even robots. But now the company is working on a machine that can help people walk.

Honda’s Walking Assist Device is basically a pair of mechanical legs. It supports the user’s body weight and helps lift the legs up while walking. It’s designed to relieve fatigue and give greater mobility to people that have difficulty getting around.

The whole system is powered by two electric motors and a lithium-ion battery pack. Putting the device on is as easy as tying a pair of shoes.

The technology aims to help people get around, and amazingly, it can even help them go up and down stairs.

The system is not meant for people that can’t walk, it’s just designed to assist those with limited mobility. Its creators also envision using the technology on assembly lines to reduce repetitive-stress injuries.

Honda is currently testing the Walking Assist Device under real-world conditions. No word yet if you’ll ever be able to pick one up at your local Honda dealer.

Don’t forget that all this week you can enter for your chance to win a special-edition Autoline T-shirt and hat. All you have to do is sign-up for our free e-mail newsletter. I’ll be picking the winner Friday on “Autoline Daily” so sign-up today!

That’s it for today’s top news in the global automotive industry.

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GM will likely hit the bare minimum of cash it needs to run the company before this year is out. An industry bailout takes another step closer but the Bush Administration seems reluctant. Hyundai expects sales to go up this year due to high exports from Korea. All that and more, plus we take a look at the all-new 2009 Acura TL.

Transcript and Story Links after the jump . . .

Here are today’s top headlines. GM is running out of cash, fast. An industry bailout takes another step closer. And Hyundai expects sales to go up this year.

Up next, we’ll be back with the news behind the headlines.

This is Autoline Daily for Monday, November 10, 2008. And now, the news.

When it comes to cash, General Motors is on its last legs. In the third quarter GM doubled its cash burn rate, and may have tripled that burn rate when sales fell 45% last month in the American market. GM will likely hit the bare minimum levels of cash it needs to run the company before this year is out. And if it can’t pay its bills, that means bankruptcy is right around the corner.

And that’s why the word “bailout” is dominating the automotive headlines today. Democratic leaders in Washington want automakers to get access to some of the $700 billion in aid to the financial industry. But the Bush Administration seems reluctant because opening the purse strings for the automakers could turn into opening it up for every industry in trouble.

Meanwhile, in Europe the AP reports there’s a growing chorus of voices to provide aid to the European industry. But it’s more complicated there to coordinate all 15 governments that are part of the Euro Group, which are the countries that use the euro.

Over the weekend, Honda unveiled the new mini-compact car, the Life, for the Japanese market. It’s all about interior roominess and visibility. It features big windows, slim pillars and headlights mounted up high, so drivers get a good sense of where the front corners of the car are. The new Life also has a backup camera, and hands-off steering for automatic parking. The 660cc engine delivers, as they measure in Japan, 21 kilometers per liter, or over 50 miles to the gallon.

Sirius XM radio is looking to make its first profit next year and here is some news that should help with that. BMW announced it will continue to offer SIRIUS XM radio as an option on all of its vehicles through 2011. The cost of the service is included in the price of the vehicle and comes with a one-year subscription.

Hyundai expects a sales increase for 2008 (subscription required) due to high exports from Korea. According to Ward’s, even though sales are down in North America, Western Europe and Korea, Hyundai off-set this with strong showings in places like Russia and Brazil. Hyundai attributes the high demand to its small cars where demand for those vehicles is the greatest.

Coming up in our feature story today we take a look at the new Acura TL. We’ll be back, right after this.
Acura has totally redesigned its TL for 2009. The new model boasts more power, more features and a big emphasis on technology. But the company is looking to change the product line a little bit. That’s why it’s now offering two different, distinct trim levels.

The top-of-the-line TL comes with Acura’s super-handling all-wheel-drive system. It’s designed to give the car more traction and make it more fun to drive. Going one step further, the company’s even planning on offering a six-speed manual transmission in 2010, probably on a Type-S model

And that’s it for today’s top news in the global automotive industry, but don’t forget you can get podcasts, transcripts and a whole lot more on our website, AutolineDaily.TV. Thanks for watching, we’ll see you tomorrow.

Anyone watching the auto industry these days is acutely aware that General Motors is hurtling towards disaster. It’s burning through cash reserves at a rate that will put it in Chapter 11 sometime next year, no matter how much management says “that’s not an option.” It’s still being crushed by its legacy costs, yes, even after concessions from the UAW. And it just witnessed its own finance arm, GMAC, essentially pull out of the automotive lending business.

What was an emergency just a month ago has now blossomed into a full blown crisis. Unless something is done quickly, General Motors could collapse.

This article continues on Autoblog