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Mexican Wheel Threat Eliminated
The Mexican government has formally dropped its bid to establish a wheel standard that would have led to the virtual end of imported wheels in Mexico. SEMA, along with a group of Mexican importers, joined forces with the Mexican vehicle manufacturers and the Mexican Chamber of Commerce as well as the U.S. government to successfully convince the Mexican government to drop a plan to require manufacturers to design wheels to standards unique to the Mexican market. The proposal also called for extensive testing of these wheels at great cost to suppliers. SEMA worked against these market restrictions as part of the association’s international relations program. Designed to identify and aid in international growth opportunities for the automotive specialty-equipment market, the international relations program is one of the many programs and services available to SEMA members.
Demand Commands Premium Price for Solstice
The new Pontiac Solstice has accumulated 9,000 orders so far, and the new sports car still has months before its actual launched. General Motors had planned on only producing about half the number of Solstices that initial demand has called for. In fact, demand is so strong that some dealers are asking above suggested prices. The Solstice is among six cars commanding a premium price; others include the Mazda Miata, Toyota Prius, Chrysler PT, Plymouth Prowler, Ford GT and Ford Thunderbird. The curvy Solstice is seen as plus for GM—they hope it will win back American car buyers. The new Pontiac Solstice will enter dealer showrooms later this summer. Although initial demand is very strong for the Solstice, the practice of inflated sales price is risky and can anger some potential customers.
Is Hemi a Bid Hit?
engine—is giving DaimlerChrysler sales a big lift. Seventy-two percent of Dodge Charger orders specify a Hemi, while 41% of Chrysler 300 and 52% Dodge Durango consumers specify they want a Hemi. In fact, sales of the new Hemi show tremendous growth in the Hemi market: 296,182 Hemi cars sold in 2004, up from 172,186 in 2003. Another key advantage to the Hemi—along with performance gains—is the ability to engage cylinder deactivator when the Hemi is idling or cruising, which cuts fuel consumption. For example, the Hemi-powered Chrysler 300 gets 25 miles per gallon on the highway, according to the Environmental Protection Agengy. The Hemi, which debuted in 2002, is attracting big-bucks-buyers who would not ordinarily buy Chrysler. Early focus groups and other research, conducted when the Hemi was first reintroduced in 2002, revealed that although the Hemi name meant nothing to young consumers, the Hemi name brought back a positive image of the cool and powerful muscle cars of the 1960’s. The Hemi also does a valuable service for the automotive specialty-equipment industry. When OEMs offer consumers better performing vehicles, feelings of excitement and enthusiasm about one’s vehicle entices the consumer to seek further performance enhancements—an opportunity and need for the specialty-equipment industry to meet.
Feds to Force Belts for all Seats
The National Highway Traffic Safety Administration (NHTSA) wants to require middle seat belts for all back seats that are large enough to seat three passengers, even if they are only designed for two. The rule change would impact nearly one million vehicles manufactured each year. Belts would be required for “any spot with 13 inches of hip room.” If the manufacturers only intend for there to be two sitting positions, they could convert the bench seats into bucket seats or install a raised divider.
SEMA Restores Reason to Maine’s Vehicle Graveyard Law
Working with officials from the Maine Department of Environmental Protection, the Maine Municipal Association and the state’s vehicle enthusiast community, SEMA amended a bill that threatened to repeal the current hobbyist exemption from the state’s graveyard laws. The original bill would have required hobbyists to get business licenses and be regulated as automobile graveyards. Under the SEMA amendment, hobbyists will retain the exemption but will be required to screen project cars from public view and properly handle vehicle fluids to prevent environmental contamination. The bill, with the SEMA amendment, was passed by the Maine Legislature and signed into law by Governor John Baldacci.
Hobby Tires Spared from National Fuel-Efficiency Program
The U.S. Senate adopted a requirement that aftermarket tires be as fuel efficient as those found on new cars as part of a bill to establish a national energy policy. The tireefficiency amendment is similar to a California law passed in 2003 that requires state regulators to develop a tire fuel efficiency program for passenger car and light truck replacement tires. In this instance, the “national tire fuel efficiency program” would be overseen by the National Highway Traffic Safety Administration (NHTSA). A SEMAdrafted provision is included in the Senate amendment. The SEMA provision exempts limited production tires (15,000 or less annually), deep-tread snow tires, limited-use spares, motorcycle tires and tires manufactured for use on off-road vehicles from the scope of the law and subsequent regulation. According to the law’s sponsors, the program will be designed to ensure that replacement tires are at least as energy efficient, on average, as tires sold as original equipment and will include a replacement-tire rating system. The Senate bill now goes to a conference committee to be reconciled with a House bill, which does not contain the fuel efficiency amendment.
Customization or Personalization; What’s the Difference
OEMs tout vehicle customization as giving customers what they want, essentially building a vehicle to order. To accomplish this, vehicle manufacturers are offering more variants of their cars and trucks. However, with the size and complexity of the OEMs and their suppliers, automakers are not able to offer customers what the automotive specialty-equipment industry can—vehicle personalization. Read “Mass Customization or Personalization” in the July issue of SEMA News to learn more about the OEMs' concept of customization and how personalization drives the restyling market. The article is available online at www.sema.org/main/semaorghome.aspx?ID=53045.
2008: Year of the Sportwagon?
General Motors plans to add at least two new unibody sportwagons in 2008, company sources say, that will fall under the Chevrolet and Saturn brands. GM plans to pit its upcoming sportwagons against Toyota’s RAV4, Honda’s CRV, and Ford’s Escape—2004 sales figures for these vehicles were 70,314* units, 149,281 units and 183,430* units, respectively. Built on a “sub-Theta” vehicle platform, these sportwagons will debut in late 2008 as 2009 models. The Chevrolet Equinox and Saturn Vue are built on the larger Theta platform that is actually bigger than the abovementioned competitors, which the sub-Theta sportwagons will compete against. GM’s future sportwagons will join Chrysler’s car-based Jeep® coming next year along with Volkswagen’s planned sportwagon that will be based on the VW Golf in 2008. *Sales figures according to www.WardsAuto.com Source: Automotive News
What Platinum Can do for Fuel-Efficiency
A new design that will enable a gasoline engine to be as fuel efficient as a diesel engine has just been awarded patent number 6,907,859 from the U.S. Patent Office, according to a spokesperson from National Fuelsaver Corp. "Every consumer dreams of getting more miles to the gallon," comments Joe Robinson, Technical Director of National Fuelsaver Corp, "but until today a gasoline engine could never compete with the fuel efficiency of a diesel engine. Our latest design closes the miles-per-gallon gap." The newly patented design shows how to manufacture a gasoline engine with the 16- to-1 power stroke of a diesel engine, while retaining the 8-to-1 compression ratio of a gasoline engine. The higher power stroke ratio delivers 8% more miles per gallon, while the retaining of the compression ratio guarantees the engine's safe performance. When this latest design is combined with the company's "Platinum Gas Saver," a lowcost automotive accessory that has racked up half a million sales since it appeared on the market, a gasoline vehicle can be as fuel efficient as the equivalent diesel vehicle. The Gas Saver adds microscopic quantities of platinum to the air and fuel that enters the engine. The platinum is the catalyst which enables the non-burning fuel to burn inside the engine. Without the Gas Saver, the typical gasoline engine will burn only 68% of each gallon. With the Gas Saver, the engine will burn 90% of each gallon, a 22% increase. "Obviously, when 22% more of each gallon burns inside your engine, 22% fewer gallons are required to drive the same distance," explains Mr. Robinson. "The savings to the driver is substantial." After a five year study of the Gas Saver, Federal Consumer Protection concluded: "Independent testing shows greater fuel savings with the Gas Saver than the 22% claimed by the developer." In addition to the fuel savings, the Gas Saver's platinum cleans out the abrasive carbon to extend engine life and raises octane levels, making the higher priced gasoline unnecessary for most vehicles. Although consumers will have to wait until the company's new engine design comes to market, the Gas Saver—which accounts for most of the fuel savings—can be easily installed on most gasoline vehicles today. Source: National Fuelsaver Corp.
Taking the Spin out of New York Spinner Bill
SEMA-opposed legislation that would have prohibited the sale and use of motor vehicles equipped with spinner hubcaps died in the New York Legislature when the session adjourned for the year. The bill would have subjected vehicle owners to fines of up to $750 for a third or subsequent violation. Those convicted of selling spinner hubcaps would have been fined $150 for each violation. The measure ignored the fact that custom wheels are not prohibited by Federal law and that spinner hubcaps have no proven detrimental effect on motor vehicle safety. New York was the latest state to attempt a ban on spinners. Earlier this year, SEMA defeated similar legislation in Iowa and Virginia. The bill may be considered again in 2006.
Japanese Supercar to be Replaced
To further enhance the division's performance image, Acura is developing a new sports car to succeed the award-winning NSX supercar. Acura also announced that production of the current generation NSX will cease at the end of the year due to the extensive retooling necessary to meet stringent 2006 emissions and equipment regulations for the United States, Europe and Asia. "We are committed to having an ultra high-performance vehicle in the Acura lineup in the future," said John Mendel, senior vice president, automobile operations. "It's too early to comment on specifics, but the all-new model will be just as groundbreaking as the 1991 NSX." As the first-ever supercar from Japan, the NSX was created as a hand-built, exotic, mid-engine sports car that would establish entirely new levels of performance, refinement and drivability. The NSX went on sale in the summer of 1990 and the following year posted record U.S. sales of 1,940 vehicles. Through June of 2005, NSX cumulative sales totaled 8,854 in the United States and more than 18,000 worldwide. During its 15-year run, the NSX has been showered with accolades including, Automobile Magazine's "Automobile of the Year and Design of the Year" awards, Popular Science's "Best of What's New," Road &Track's "Ten Best Cars in the World" list. Motor Trend magazine also named the NSX to its "Top Ten Performance Cars" list and touted it as "the best sports car ever built." Acura designed the NSX as a technological and performance showcase. Among other innovations, it was the first production car to feature an all-aluminum body, chassis, suspension and utilize titanium connecting rods. It featured a transversely mounted dual overhead cam V6 engine equipped with Acura's breakthrough VTEC (Variable Valve Timing and Lift Electronic Control) system and a variable volume induction system. Over time, the NSX received continuous updates to ensure its competitiveness and popularity with serious sports car enthusiasts. The NSX has also captured multiple championships in the highest levels of sports car and prototype racing. Source: Acura
Compact Car to make Comeback
Expect more small cars from automakers, especially in the $14,000 or less price range. After pushing big SUVs for years, industry experts see fuel-efficient compacts coming back. "Obviously, we are comforted in this strategy by the fact that gas prices are going up," says Carlos Ghosn, CEO of Nissan. General Motors has experienced sales gains in its compact-car segment—the Chevy Aveo has been a surprise hit with sales up 66% over last year. Consumers had been wary of small cars due to safety reasons, but improved safety technology and high gas prices have made them attractive again. CSM Worldwide says “minicar” sales could hit 410,000 units by 2007—double from last year. Foreign automakers are looking to offer small cars that are already popular in Japan; most Japan-market small cars get about 38 to 47 mpg. Ford and Chrysler have concepts but no firm plans. Source: www.automotivedigest.com, Wall Street Journal
Blue Dots See the Light in Illinois
A SEMA-supported bill that would allow antique vehicles to display a blue light of up to one-inch diameter as part of the vehicle’s rear stop lamps was signed into law by Illinois Governor Rod R. Blagojevich. The measure recognizes that blue dot taillights have no detrimental impact on safety and enables enthusiasts to modify their vehicles to recall in fine detail the glory days of the hot rod era in America. The new Illinois law follows in the tradition of similar laws enacted recently in Minnesota, Montana, Missouri, Rhode Island and Georgia.
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