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Honda exec says US market near capacity, could hurt subprime buyers

Is there a point in the US auto industry where companies should start considering the welfare of their customers ahead of selling more cars? American Honda Executive Vice President of Sales John Mendel thinks that level exists, and we may be getting very close to it.
According to Automotive News, Mendel believes that finding more customers in the market could require pursuing subprime buyers and offering longer-term loans. However, he refuses to use those tactics. While selling models this way can improve things briefly, the strategies hurt resale prices and lower vehicle profits over time. The company won't do "stupid things in the short-term that damage the person who bought yesterday," he said to Automotive News. "It's a very, very short-term tactic especially in the subprime area."
American Honda, which combines the Acura and Honda brands, has seen market share decline from 9.7 percent to 9.1 percent through July 2014, according to Automotive News, and Autoblog's By the Numbers stats showed it posted falling sales in five of the seven months with data this year. Though, Mendel claims that was partially because the company focused on retail sales over fleets. The delays of the launches for the Honda Fit and Acura TLX likely didn't help either.

Acura NSX GT3 data 'will inform future iterations' of the street car

Motorsports programs exist to drive innovation in road vehicles, and that's precisely what's happening at Honda. Acura NSX development boss Nick Robinson told Autocar that the company's work on the GT3 racing variant is directly informing future development on the road car. "In North America, we've just unveiled the GT3 version of the car, and the development team of the street car has had some involvement in its development," Robinson said. "What works well on the track will inform future iterations and updates of the street car and vice versa." But Honda is a big company that does more than build cars. Robinson paid tribute to the impact his employer's well-known motorcycle program had on the NSX. Apparently, building stuff like the CBR helped Honda with the NSX's complicated packaging. "For many years our motorcycle development teams have strived to ensure the optimum centralization of mass, ensuring the lowest possible center of gravity," Robinson told Autocar. "This leads to the best possible yaw response." Is this all a sign that a long-rumored lighter, faster NSX, potentially wearing the vaunted Type R badge, will be especially track-focused? Maybe. Robinson's comments indicate that the company is doing something with the mountains of data it collects running a GT3 program. While a pure road-focused NSX-R successor seems like it'd be a waste of that data, an NSX-based rival to the Porsche 911 GT3 RS might make a lot more sense. Related Video: News Source: AutocarImage Credit: Brendan McDermid / Reuters Motorsports Rumormill Acura Honda Coupe Racing Vehicles Performance gt3

Acura ILX Type S could get 300-hp turbo four

There's good news and bad news when it comes to the new Honda Civic Type R. The good news is that after more than a year of prototypes and concepts, the Japanese automaker's new hot hatch is about to make its production debut next month. The bad news is that it's not coming here, but there is a silver lining in even that dark rain cloud – namely, that Honda plans on slotting its 2.0-liter VTEC turbo four into something that it will actually offer Stateside. Earlier rumors suggested the US donor vehicle would also be a Civic, but the latest intel indicates it could be something different, albeit related. According to Car and Driver, which spoke recently with Acura product planning manager Gary Robinson, Honda's luxury division could be gearing up to shoehorn the engine into the recently updated ILX – which itself is based on the Civic. "Acura is always going to get the best engines Honda makes," said Robinson. "Obviously a 2.0-liter turbo is more of a must-have in the luxury world than it is in the mainstream" market, suggesting that an ILX Type S could be in the works with upwards of 300 horsepower. Getting it to fit, though, could prove a rather large challenge – and could mean the engine swap would have to wait until the next-generation model comes around. Considering that the ILX was just updated for 2016, C/D doesn't expect the full redesign to come until 2018 at the earliest. Here's hoping that if it takes that long, Honda will slot the engine into something else for US showrooms in the meantime. The revival of the Type S badge in and of itself, however, makes for an enticing prospect. The last time we saw it used was on the larger TL sedan, which upgraded the 3.2-liter V6 from the 225 horsepower to 260. Before that, the RSX jumped from 160 horsepower in the base model to 200 in the first Type S, 210 in the second and 217 in the ultimate Type R. As it stands, the new ILX (after dropping the hybrid and base 2.0 models, is powered exclusively by a 2.4-liter inline four with 201 hp on tap.