View Mobile Version | View Web Version

NADA.org
June 4, 2013 FacebookTwitterFlickrRSSSEND TO A FRIENDPRINT
nada.orgAdvocacyAffiliates | Convention | Jobs | Programs | Publications | Services | Training
Inside this issue
Tesla Loses its Battle to Sell Directly in Texas
Report Downplays Car-Loan Abuses in U.S. Military
US Auto Sales Roar Back in May, Led By Pickups
World Vehicle Sales Rise, Led By Gains in North and South America
As New Car Sales Increase, Automotive Stocks Rally
Motor City Should Welcome Chinese Auto Makers
Fallout From Failure of Battery Swap Plan
Oklahoma Auto Dealers Donate $50,000 for Tornado Relief
Click here for more auto industry news at NADAFrontPage.com. .
Top Stories
Tesla Loses its Battle to Sell Directly in Texas

The showdown between Tesla and Texas dealers is over -- for now -- with Tesla founder Elon Musk suffering his second straight setback in his fight to sell electric cars directly to consumers. Tesla-backed bills that would have created an exemption to current state law restricting factory-owned dealerships failed to make it to the floor of the Texas House or Senate for voting. The legislature's regular session ended Monday, May 27, and it won't meet again in a general session until 2015. "The legislature did the right thing," said Karen Phillips, general counsel of the Texas Automobile Dealers Association, which opposed the legislation.
Source: Automotive News

Related Story:


Share: LinkedIn Twitter Facebook

[back to top]

Report Downplays Car-Loan Abuses in U.S. Military

For the past couple of years, federal authorities have accused car dealers of using shady lending practices in dealing with members of the U.S. military. Yet auto loans barely show up on a new Consumer Financial Protection Bureau report of complaints by military families. The complaints against dealers have come from the bureau itself, along with the Federal Trade Commission and the Defense Department. In 2010, a Defense Department spokesman maintained that auto loan abuses had affected combat readiness. But according to the new bureau report, "vehicle or consumer loans" accounted for just 2 percent of complaints from military families in the first quarter of this year and 6 percent in the second, third and fourth quarters of 2012.
Source: Automotive News
Share: LinkedIn Twitter Facebook

[back to top]

US Auto Sales Roar Back in May, Led By Pickups

Full-size pickups once again dominated U.S. auto sales in May, as small businesses - increasingly confident in the economy - raced to replace the aging pickups they held on to during the recession. Car buyers, too, were lured by low interest rates and Memorial Day sales. Overall, U.S. consumers bought 1.4 million vehicles in May, up 8 percent from the same month a year ago, according to Autodata Corp. The results suggest the auto industry will remain a bright spot in an economy that's been slowed by weak manufacturing. And the boost from the industry will help sustain the economy's steady job growth. Most automakers topped analysts' expectations last month, with Nissan reporting its highest May sales ever after cutting prices on seven popular models. Chrysler, Ford, Honda and Toyota also reported increases. Only Volkswagen's sales were down from last May. Car dealers are also hiring, with the average number of employees rising from 53 to 55 last year, said the National Automobile Dealers Association. More are expected to be hired this year.
Source: Associated Press

Related Stories:


Share: LinkedIn Twitter Facebook

[back to top]

World Vehicle Sales Rise, Led By Gains in North and South America

World vehicle sales climbed 5.4% in April, compared with like-2012, aided by strong demand across the Western Hemisphere and the first year-on-year gain in Europe since November 2011. Global auto makers delivered 7.14 million units in the month, compared with 6.77 million year-ago, according to WardsAuto data, as all markets showed improvement. North America posted the largest increase, with 128,000 additional deliveries pushing results up 8.9% from year-ago to 1.57 million units, giving it a 22% share of global auto sales. April was the 23rd consecutive month that the region outpaced prior-year. Gains in the three North American markets were in proportion to the overall volume sales. The U.S. registered the smallest percentage rise, up 8.3% to 1.3 million units. Canada was up 8.7% to 175,000 and Mexico surged 20% over year-ago. South America led all regions in year-on-year growth, up 29.2% to 535,000 units. The increase, which nearly equaled the volume gains in North America, was spurred by strong sales in the region's largest markets.
Source: WardsAuto
Share: LinkedIn Twitter Facebook

[back to top]

As New Car Sales Increase, Automotive Stocks Rally

While U.S. new car sales have been steadily rising for three years now, investors are finally starting to notice that the industry they've long avoided may have an upside. Stock prices for Ford, General Motors and several global suppliers have outperformed the Standard & Poor's 500 index for the first five months of the year. The S&P 500 has risen 14% year-to-date, but GM and Ford shares have gained 18% and 21%, respectively. Even Fiat, which is dealing with the deepest and longest European recession in at least 30 years, has seen its stock price surge 62% this year on the Milan Stock Exchange. Much of that spurt came this past week amid reports that it's lining up about $10 billion of financing to buy the remaining 41.5% stake of Chrysler it doesn't yet own. “People who were very negative on this segment six months or eight months ago are coming to the realization that there is something real going on here,” said Citi Investment Research auto analyst Itay Michaeli. “I think we are still only in the early innings.”
Source: Detroit Free Press
Share: LinkedIn Twitter Facebook

[back to top]

Motor City Should Welcome Chinese Auto Makers

It should surprise no one that Chinese auto makers and suppliers are making a beeline to the Motor City. The Detroit area is a magnet for automotive related companies, because it represents the greatest geographic concentration of auto makers and suppliers to be found anywhere in the world. Everyone knows Detroit is home to General Motors, Ford and Chrysler. But because of the automotive talent and experience that resides in Southeast Michigan, other auto makers have established major technical centers and design studios in the area. Toyota, Nissan and Hyundai-Kia all have located here. In fact, Toyota recently doubled the size of its giant engineering campus. Major Tier 1 suppliers from Germany, Japan, South Korea, U.K., France, and Italy also have built engineering centers and offices here. And two prominent automotive design schools at the College for Creative Studies and Lawrence Technological University attract students from all around the world. That's why the Chinese are moving in. Companies such as auto maker Changan or supplier Wangxiang don't see shuttered factories when they look about the Detroit area, they see opportunity. Even more, they recognize they have a lot to learn from Detroit's automotive community.
Source: WardsAuto
Share: LinkedIn Twitter Facebook

[back to top]

Fallout From Failure of Battery Swap Plan

When Better Place, the global electric-car charging company with a home base in Israel, announced last month that it had reached the end of the road, it left behind both bold dreams and valuable assets. The company, which took in about $850 million from investors, was best known for its network of battery swapping stations that let E.V. drivers avoid long recharge times by simply changing to a fully charged battery in an automated process that took only minutes. At its peak under Shai Agassi, its charismatic founder, the company had operations in Israel, Denmark, Australia, China, the United States and the Netherlands; in February it cut back to the first two.
Source: The New York Times
Share: LinkedIn Twitter Facebook

[back to top]

Oklahoma Auto Dealers Donate $50,000 for Tornado Relief

NADA and Oklahoma City charitable foundations provide emergency relief funds to dealership employees

Following the devastating tornado in Oklahoma last month, several areas of the state continued to be pummeled by heavy storms and flash flooding, including another round of twisters on Friday, the second in two weeks. To help dealership employees affected by the deadly storm that struck Moore, Okla., on May 20, the Oklahoma Auto Dealers Association donated $50,000 to the charitable foundations of two dealer groups. “The outpouring of support and contributions from state and metro dealer associations across the country has been tremendous, and the Oklahoma dealers wanted to step up and help our fellow dealership employees,” said Steve Rankin, OADA president. OADA made an online contribution of $25,000 to the Emergency Relief Fund of the National Automobile Dealers Charitable Foundation and donated $25,000 to the Car Dealers Care Foundation, which is run by the Metro Auto Dealers Association of Oklahoma City. Providing additional support, the NADA Foundation’s Emergency Relief Fund has distributed $36,500 to dealership employees affected by the Oklahoma tornadoes, and has received $42,900 in donations (as of May 31). To apply for assistance or donate, click here.
Source: NADAFrontPage.com
Share: LinkedIn Twitter Facebook

[back to top]

More Articles
 
Quotable
"New vehicle sales are heating up along with the weather, and solid May results coupled with an excellent Memorial Day weekend provide great momentum as we move into the summer selling season."  

      --- Bill Fay, general manager of the Toyota division in the United States, commenting on strong auto sales in May, The Detroit News, June 4

Chairman's Column
CFPB Guidance Lacks Transparency and Research
Videos

Video: NADA Analyst Jonathan Banks Predicts Strong Auto Sales in 2013 (NADA-TV)


Automotive Forum 2013: Industry Leaders Convene in NYC (NADA-TV)

More Videos

NADA University
MarketINSIGHT Webinars

(All webinars begin at 1 p.m. ET. Click webinar title to register.)

- June 5: DMS Access: Practical and Regulatory Concerns

- June 12: Boost Revenues, Increase Car Counts at No Cost

- June 19: Digital Retailing Strategies That Increase ROI

- June 26: Advertising Checklist: Check Ten Boxes to Win!

 For more information about the webinars, click here.

NADA Foundation News
NADA Foundation Ambassador Tarik Daoud Provides Scholarships to Detroit-Area Students
Search Back Issues | Unsubscribe | Subscribe | Manage your subscription | email us
NADA For more information on NADA, visit www.nada.org or contact NADA, 8400 Westpark Drive, McLean, VA 22102. This email may contain an advertisement of NADA products and services. Any opinions or statements contained herein do not necessarily reflect the views of NADA. Factual errors are the responsibility of the listed publication. If you are a franchised new-car or -truck dealer and would like to become a member of NADA, please visit the Join NADA section of www.nada.org. Questions or comments concerning NADA Headlines content may be directed to publicaffairs@nada.org .