Sunday Morning Headline News wk of 8 July

8 more Chinese cities likely to curb auto sales, industry group says

8 more Chinese cities likely to curb auto sales, industry group says

Eight more cities in China are likely to announce policies restricting new-vehicle purchases, an official at the automakers association said, as Beijing tries to control air pollution. Shi Jianhua, deputy secretary general at the China Association of Automobile Manufacturers, did not give details on the new measures and there has been no word from the government.

But the industry group warned that the planned restrictions could reduce vehicle sales by 400,000 units, equivalent to 2 percent of domestic sales in 2012.

PSA’s first-half deliveries fall 9.8% on Europe woes

PSA/Peugeot-Citroen’s global vehicle sales fell 9.8 percent in the first half as the company lost ground in a shrinking European market, partly offset by gains in China and Latin America.

Renault-Dongfeng may sign China-production deal this month, report says

Renault and Dongfeng Motor are hoping to sign a joint-venture deal later this month to begin production of vehicles in the world’s biggest auto market.

GM reaffirms plan to move Opel upmarket in Europe

General Motors reiterated a plan to position Opel as a more expensive brand in Europe while carving out a space for Chevrolet as its value offering.

Ferrari’s next big challenge: Talk more, e-mail less

To encourage more talking and less e-mailing Ferrari introduced a rule that e-mails sent by employees can have no more than three internal recipients

Toyota heir drives onto center stage

Toyota founding family scion and President Akio Toyoda has emerged from the bureaucratic shadows to present himself as the company’s car-loving, fashion-forward salesman-in-chief.

GM will transfer Mokka production to Spain from Korea

General Motors will transfer production of the Opel/Vauxhall Mokka to Spain from Korea in a move that will help GM’s struggling European operations. Move will boost Opel capacity utilization

U.S., Serbia could benefit if Fiat shifts production from Italy

Fiat-Chrysler factories in the U.S. and Serbia could benefit if Sergio Marchionne carries out a threat to move production of new Fiat, Alfa Romeo and Jeep models outside of Italy unless the carmaker gets clear labor rules in its home market.

GM, PSA eye U.S. van program, report says

General Motors and PSA may expand their alliance to include the sale of rebadged PSA vans by GM in the United States, a French newspaper reported

Bentley’s first-half sales rise 9% as Europe, U.S. deliveries offset China drop

Bentley sales rose 9 percent through June as growth in Europe, the United States and the Middle East helped outweigh a fall in China deliveries.

Marchionne puts Italy investments on hold after court ruling

Fiat CEO Sergio Marchionne said the automaker would put investments in new models on hold until there is clarity over the impact of a court ruling that cast doubt on the company’s labor relations in Italy

Fiat, PSA will invest 700 million euros to extend van venture in Italy

Fiat and PSA will invest more than $900 million to replace aging van models that the two automakers build together at their SevelSud plant in Italy

Ford, GM and VW hit as Russia car sales slide in June

Western brands including Chevrolet, Ford, Volkswagen and Renault were hit as Russia car sales fell 11 percent in June, the fourth straight month of declining volume.

To fix Chevy in Europe, GM should look to VW

One of the challenges General Motors faces to fix its money losing European operations is to ensure clear brand separation between Chevrolet and Opel/Vauxhall in the region. Can GM learn from Volkswagen, which is regarded as the master when it comes to positioning its many brands?

EV, plug-in hybrid sales surge 43% in first half

EV, plug-in hybrid China sales surge 43% in first half

Sales of electric vehicles and plug-in hybrids in China jumped 43 percent in the first six months to 5,889 units, the China Association of Automobile Manufacturers said. Of that total, 5,114 units were EVs and 775 were plug-in hybrids. This year through June, 10,048 conventional hybrid vehicles also were sold nationwide, 1.7 times the number of the year-earlier period.

Lada aims to mimic Kia’s success with style revolution

AvtoVAZ Design Director Steve Mattin aims to lead a styling revolution at Lada in the same way that Kia’s design chef Peter Schreyer transformed the Korean brand’s image. Kia’s rapid sales growth through design is something Mattin wants to replicate at Russia’s top-selling brand.

Skoda’s first-half sales fall 6% on Europe, model changeovers

Skoda said global deliveries in the first six months dropped by 6 percent as the carmaker introduced revised models and a slump in European markets continued to hit sales

Jaguar demand in China lifts JLR’s global deliveries in June

Jaguar Land Rover reported a 7 percent rise in global June sales as demand for its Jaguar brand rose sharply in China, the company’s fastest growing market.

Sources: Audi plans Quattro return

Audi plans to return the Quattro to its lineup three decades after the original model debuted, sources said. The Frankfurt auto show in September is shaping up as the likely backdrop for the reveal.

Strikes hit GM Korea at critical juncture

Striking autoworkers at GM Korea have scuttled production of hundreds of vehicles this month, as the union and management haggle over wages and working conditions.

GM could sell Peugeot and Citroen vans in U.S., report says

General Motors and PSA may expand their alliance to include the sale of rebadged PSA vans by GM in the United States, a French newspaper reported.

As foreign rivals raise ante in China, domestic brands could be crowded out

Thanks to government support and a bit of luck, domestic Chinese automakers have fended off foreign rivals over the past few years. But now they have run out of luck. As foreign automakers accelerate expansion plans in China, domestic automakers have been hobbled by weak products and excess capacity. Lured by easy credit from state-owned banks and government sales incentives on small cars, Chinese automakers significantly expanded production in 2009 and 2010.

Hyundai boosts production in Turkey

Hyundai will boost production capacity at its plant in Turkey as output of the next-generation i10 minicar shifts from India.

GM is focused on completing PSA programs, Girsky says

General Motors Vice Chairman Steve Girsky reiterated that the automaker doesn’t plan to invest further in PSA/Peugeot-Citroen and called speculation about expanding ties between the automakers a distraction

Daimler has strong Q2 as Mercedes’ margins improve

Daimler posted strong second-quarter financial results as margins increased at Mercedes and the company earned a higher-than-expected gain from selling its stake in EADS.

VW Group’s June sales rise 4%

Volkswagen Group’s global vehicle sales rose 4 percent in June, the smallest monthly gain since March, as strong demand in China and the U.S. offset weak European sales

France seeks investment bank to monitor PSA

The French finance ministry confirmed it was seeking outside advice on struggling PSA/Peugeot-Citroen after a French newspaper said the government had moved to appoint an investment bank.

Renault first-half deliveries fall 1.9% on Europe

Renault’s first-half vehicle sales fell 1.9% as a contraction in Europe’s car market weighed down increases abroad. A 17% rise in Dacia volume was a bright spot for the automaker.