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China's largest dealer body pushes back against foreign automakers over huge inventories

Do not think for a second that automakers forcing inventory on dealers in order to pad the numbers is a ruse known only in the US. Stories of individual brands have hinted at the trouble Chinese dealerships are having trying to move units as the country's economic growth remains hot but comes off the boil, like the one revealing that 95 percent of Toyota-FAW showrooms are losing money. Yet Toyota isn't the only culprit, and the issue has become so dire that the China Automobile Dealers Association (CADA), the largest dealer body in the country, has written to the government to complain. Chinese car sales are expected to close out the year with an annualized growth of six-percent, down from last year's 14 percent when targets were set, while in the background the pace of overall economic expansion is the slowest its been since the early nineties. Automakers, shipping cars on schedule to make their earlier targets, have blown up inventories such that they are an average of 1.8 times monthly sales, when the preferred multiplier is from 0.9 to 1.2. According to the CADA, the price wars and necessary incentives mean that only 30 percent of dealers are operating in the black. That number is down a whopping forty percent since 2010. In response, Toyota has already said it will not make its 2014 target of 1.1 million cars sold. We're a long way from 2012, when Toyota planned on selling 1.8 million cars in China in 2015, a target that's now as realistic as a manticore. BMW, Honda and Nissan have erased numbers on their spreadsheets, too; BMW growth dropped from 20 percent to 8 percent midyear after it began "reducing wholesale supplies," and Honda has been reworking its plans as sales have decreased each of the past six months. It's a big deal for Chinese dealers to begin protesting publicly, the CADA saying, "In the past, dealers were angry, but dared not speak out. But now, they have to shout because the situation is getting so unbearable." With six-percent growth forecast for next year and dealers unwilling to remain underwater, The Year of the Sheep coming in 2015 could portend meaning beyond the zodiac. News Source: ReutersImage Credit: AP Photo/Andy Wong BMW Honda Nissan Toyota Car Buying Car Dealers

Poor headlights cause 40 cars to miss IIHS Top Safety Pick rating

Over the past few months, we've noticed a number of cars and SUVs that have come incredibly close to earning one of the IIHS's highest accolades, the Top Safety Pick rating. They have great crash test scores and solid automatic emergency braking and forward collision warning systems. What trips them up is headlights. That got us wondering, how many vehicles are there that are coming up short because they don't have headlights that meet the organization's criteria for an "Acceptable" or "Good" rating. This is a revision made after 2017, a year in which headlights weren't factored in for this specific award. This is also why why some vehicles, such as the Ford F-150, might have had the award last year, but have lost it for this year. We reached out to someone at IIHS to find out. He responded with the following car models. Depending on how you count, a whopping 40 models crash well enough to receive the rating, but don't get it because their headlights are either "Poor" or "Marginal." We say depending on how you count because the IIHS actual counts truck body styles differently, and the Infiniti Q70 is a special case. Apparently the version of the Q70 that has good headlights doesn't have adequate forward collision prevention technology. And the one that has good forward collision tech doesn't have good enough headlights. We've provided the entire list of vehicles below in alphabetical order. Interestingly, it seems the Volkswagen Group is having the most difficulty providing good headlights with its otherwise safe cars. It had the most models on the list at 9 split between Audi and Volkswagen. GM is next in line with 7 models. It is worth noting again that though these vehicles have subpar headlights and don't quite earn Top Safety Pick awards, that doesn't mean they're unsafe. They all score well enough in crash testing and forward collision prevention that they would get the coveted award if the lights were better.

Recharge Wrap-up: BMW i3 gets Super Bowl bump; CA funds EV readiness

Super Bowl ads sparked interest in the BMW i3 for car shoppers at Edmunds. Analysts at the automotive website reported that traffic increased for the BMW i3 by 583 percent by the end of Super Bowl XLIX, second only to the Mercedes-Benz AMG GT (up a whopping 2,189 percent). Having aired its ad in the first half of the game, the BMW i3's traffic increased 1,807 percent during halftime, while the BMW i8 saw a 501-percent spike during the same period. Read more in the press release below. Mahindra is making progress with the GenZe electric scooter and electric bicycles in Portland, Oregon. While no official launch date for the GenZe has been set for Portland, Mahindra is holding events and offering test drives. The GenZe 2.0 will start at $2,999, and offers over 30 miles of range per charge. Mahindra sees Portland as a good resource for technology and design partners as it pursues electric urban mobility. Read more in the interview with Mahindra's Yesim Erez at Portland Business Journal. The California Energy Commission will award nearly $1.3 million in Zero Emission Vehicle Readiness grants. The grants will go toward three categories: Plug-in Electric Vehicle (PEV) Readiness Plan Implementation, PEV Readiness Plan Development and Fuel Cell Electric Vehicle Readiness. The funds will go towards projects like installation of EV chargers, permitting and inspections, developing local codes, EV promotion and creating hydrogen infrastructure plans. Each grant awarded will be worth between $50,000 and $300,000. Read more at Green Car Congress. Super Bowl Advertisers Mercedes-Benz and BMW See Biggest Increases in Car Shopper Interest on Edmunds.com SANTA MONICA, Calif., Feb. 2, 2015 /PRNewswire/ -- Mercedes-Benz and BMW saw the most significant spikes in traffic on Edmunds.com after their ads ran during Super Bowl XLIX, according to a real-time analysis by the car shopping website. By the end of the game, the Mercedes-Benz AMG GT had the biggest cumulative spike in traffic, with a 2189% jump over previous Sunday averages on Edmunds.com. The BMW i3 captured the second most buzz on Edmunds.com; its cumulative traffic climbed 583%. "Even though these two advertised vehicles are likely to be sold in small volume to niche audiences, the BMW and Mercedes brands will enjoy the overall buzz they have generated, especially as both continue their efforts to grow their overall reach into new car shopper segments," said Edmunds.com Sr. Analyst Jessica Caldwell.