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Alonso pins McLaren's woes squarely on Honda's shoulders

BARCELONA (Reuters) - Fernando Alonso spent more time on the tennis court than driving his ailing McLaren on Friday, with his tilt at the Indy 500 looking ever more inviting after another dark day on the Formula One racetrack. Alonso's home fans had barely settled in their seats for practice at the Spanish Grand Prix before his car's Honda engine blew in a mess of smoke and oil. Liquid then poured out of the car as it was tipped up by a recovery crane. Having failed to start in Russia two weeks ago due to an engine failure on the formation lap, Alonso departed the Barcelona circuit after a few choice words and later posted a picture on Instagram of himself playing tennis. "The engine was not good enough. We came out of the pitlane and there was a hole in the engine, and the oil was streaming out. It blew up after 400 meters," Alonso told reporters after returning for the second 90-minute practice session. He was last on the timesheets and reported that the engine was even slower. If the tennis photo looked like a dig at Honda, accompanied with the seemingly sarcastic comment "keeping the body active", he said that had not been his intention. "I have very little time in these weeks, with traveling, with planes," said the 35-year-old, who will go straight from Barcelona to Indianapolis on Sunday night to prepare for his debut in the 500 on May 28. "So when I discovered that I had two hours free, instead of being on the sofa and watching television, I went for some training. My dedication is still 100 percent to my fitness and my preparation. "It wasn't humor to go outside the circuit to play tennis, it was preparation. People got it wrong. I went out to have some fun and escape the circuit." McLaren, the second most successful team in Formula One history in terms of race wins, have yet to score a point in four rounds of this year's championship and are last in the standings. Honda's Formula One reputation, after two seasons of unreliability and poor performance, is meanwhile being dragged deeper into the mud. Alonso is out of contract at the end of the season and has said his future whereabouts would depend on who could offer him a winning car. "It's not my reputation, it's theirs (Honda's) – and it's their money, and their image," he said. "I try to drive as fast as I can but it's a much bigger problem for them." (Reporting by Alan Baldwin, editing by John Stonestreet) Related Video: This content is hosted by a third party.

Major automakers post mixed US June sales figures

General Motors, Ford and Fiat Chrysler Automobiles NV posted declines in US new vehicle sales for June on Monday, while major Japanese automakers reported stronger figures. Once again, demand for pickup trucks and crossovers offset a decline in sedan sales. Automakers' shares rose as overall industry sales still came in above Wall Street expectations. The US auto industry is bracing for a downturn after hitting a record 17.55 million new vehicles sold in 2016. Analysts had predicted that overall, US vehicle sales would fall in June for the fourth consecutive month. As the market has shown signs of cooling, automakers have hiked discounts and loosened lending terms. Car shopping website Edmunds said on Monday the average length of a car loan reached an all-time high of 69.3 months in June. "It's financially risky, leaving borrowers exposed to being upside down on their vehicles for a large chunk of their loans," said Jessica Caldwell, Edmunds' executive director of industry analysis. GM said its sales fell about 5 percent versus June 2016, but that the industry would see stronger sales in the second half of 2017 versus the first half. "Under the current economic conditions, we anticipate US retail vehicle sales will remain strong for the foreseeable future." GM shares were up 2.4 percent in morning trading, while Ford rose 3.3 percent and FCA shares jumped 6 percent. "US total sales are moderating due to an industry-wide pullback in daily rental sales, but key US economic fundamentals clearly remain positive," said GM chief economist Mustafa Mohatarem. "Under the current economic conditions, we anticipate US retail vehicle sales will remain strong for the foreseeable future." Ford said its sales for June were hit by lower fleet sales to rental agencies, businesses, and government entities, which fell 13.9 percent, while sales to consumers were flat. But it sold a record 406,464 SUVs in the first half of the year, with Explorer sales increasing 23 percent in June. And sales of the F-150 had their strongest June since 2001. On a media call, Ford executives said an initial read of automakers' sales figures indicated a seasonally adjusted annualized rate of around 17 million new vehicles for the month, which would be better than 16.6 million units analysts had predicted. FCA said June sales decreased 7 percent versus the same month a year earlier.

Japanese earthquakes send ripples through auto industry

The earthquakes since April 14 in Japan's Kumamoto Prefecture on the island of Kyushu are having aftershocks on the US auto industry, particularly for Toyota. The company shut down most of its factories in the country due to parts shortages, and the plants will be closed at least through April 23. "Decisions regarding recommencement of operation at plants in Japan will be made on the basis of availability of parts," the company said in a statement. According to Automotive News, Toyota's closed factories include a vast range of popular models in the US, including the Toyota Prius, Mirai, RAV4, 4Runner, Land Cruiser, Lexus ES, LS, IS, GS, RC, NX, RX, GX, and LX. The company's only sites in Japan that are still open build Hino trucks, Daihatsu models, and the Toyota Century limo. Toyota isn't yet sure whether these shutdowns could lead to vehicle shortages in the US. "As you can imagine, we are still reviewing the situation and working to learn more," company spokesperson Aaron Fowles told Autoblog. "While we know that production will be suspended in stages at most of our vehicle assembly facilities in Japan between April 18th and the 23rd, we do not know if they will continue production suspensions. Also, any effects to our inventory and/or sales have yet to be determined." He expects the automaker to know more in the coming days. Many of the affected Toyota plants aren't even in Kumamoto Prefecture, but major suppliers have factories in the region. For example, Aisin Seiki and Renesas Electronics both had to shutdown operations at plants in the area, according to Automotive News. Toyota isn't the only automaker affected. Nissan experienced a brief slowdown but was back to work on Monday, and Honda has suspended a motorcycle plant in the region until Friday. Mitsubishi had to close a production line due to the parts shortage, according to The Japan Times, but it didn't affect US models. "A supplier to our Mizushima plant has been impacted but they only supply an engine part for our mini car line. That line has been temporarily shut down due to that situation," spokesperson Alex Fedorak told Autoblog. "That same plant builds the Lancer and i-MiEv and there has been no impact to that line and production continues uninterrupted." Two major quakes hit Kumamoto Prefecture around Kumamoto city in the past week. The first on April 14 measured 6.4 magnitude, and a second on April 16 measured 7.3.