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Takata doubling production of replacement airbag inflators

Takata is scrambling to fill the massive backlog of orders for replacement airbag inflators, announcing that a recently completed pair of production lines are only the beginning of a production ramp up. The company has kicked up the pace on the two new production lines at its Monclova, Mexico factory, increasing the plant's production from 300,000 to 450,000 units per month. As AN reports, though, even at that pace, it'd take Takata years to produce enough replacements for the 25 million recalled vehicles. A spokesperson confirmed to AN that, globally, Takata will be producing 900,000 replacement airbag inflators by September. Even at that pace, it'd still take around two years to provide a new inflator for every affected vehicle. That's why other companies, perhaps smelling blood in the water, are providing their own replacements for the faulty inflators. We've already reported on Honda's plans to team with the world's largest airbag producer, Autoliv. Now, though, AN has confirmed that the Swedish supplier is in negotiations to provide millions of additional replacement inflators to other automakers affected by the Takata recall. News Source: Automotive News - sub. req.Image Credit: Carlos Osorio / AP Aftermarket Recalls Honda Safety Takata airbag recall autoliv

Mixed sales results, but automaker stocks rise on need for cars in Houston

DETROIT — The Big Three Detroit automakers on Friday reported better-than-expected August sales and issued optimistic outlooks for demand as residents of the Houston area replace flood-damaged cars and trucks after Hurricane Harvey, sending their stocks higher. General Motors, Ford and Fiat Chrysler posted mixed August U.S. sales, with GM up 7.5 percent and Ford and Fiat Chrysler down. Japanese automaker Toyota improved sales by nearly 7 percent, while Honda fell 2.4 percent. Still, analysts focused on the potential for Detroit automakers to cut inventories and stabilize used vehicle prices as residents of Houston, the fourth largest city in the United States, are forced to replace tens of thousands, perhaps hundreds of thousands, of vehicles after the devastation from Hurricane Harvey. Mark LaNeve, Ford's U.S. sales chief, told analysts on Friday that following Hurricane Katrina in 2005 "we saw a very dramatic snapback" in demand. That said, Ford sales fell 2.1 percent in August. It sold 209,897 vehicles in the United States, compared with 214,482 a year earlier. Sales were down 1.9 percent in the Ford division and off 5.8 percent at Lincoln. Demand was down for cars, crossovers and SUVs. It was not clear how many vehicles in the Houston area will be scrapped, LaNeve said, saying he had seen estimates ranging from 200,000 to 400,000 to 1 million. Ford's Houston dealers may have lost fewer than 5,000 vehicles in inventory, he said. Ford is the No. 1 automaker in the Houston market, with 18 percent share, according to IHS Markit. The company plans to ship used vehicles to Houston dealers and has "every indication we would have to add some production" of new vehicles to meet demand, LaNeve said. Investor concerns about inventories of unsold vehicles and falling used car prices have weighed on Detroit automakers' shares most of this year. Now, automakers can anticipate a jolt of demand from a big market that is a stronghold for Detroit brand trucks and SUVs. "It's got to be a positive for the industry," LaNeve said. Investors appeared to agree. GM shares rose as much as 3.3 percent to their highest since early March. Ford increased 2.8 percent at $11.34, and Fiat Chrysler's U.S.-traded shares were up 5.2 percent $15.91, hitting their highest in more than five years. GM reported a 7.5 percent increase in U.S. auto sales in August, helped by robust sales of crossovers across its four brands.

Honda is spending $124 million on a new wind tunnel facility in Ohio

Ford isn't the only company building a multi-million dollar wind tunnel this year. Honda is also getting in on the action. Its new facility will cost less than Ford's at $124 million, and construction begins this summer. It will be built at the Transportation Research Center in Ohio, which is where Honda's NSX proving grounds are located. Honda will install a five-belt rolling road in the tunnel for testing of more pedestrian vehicles, and a wide, high-speed, single belt version for testing of sports cars and race cars. However, it seems the Honda facility will only be capable of testing wind speeds of up to 192 mph, whereas Ford claims a top speed of 200 mph. Cameras and microphones will also be set up inside the testing area at the Honda tunnel to help find wind noise trouble spots. Honda won't necessarily be the only company using the new wind tunnel either. The facility will be available for other groups and companies to use. There are even secure bays those groups can use for their work. Related Video: