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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.

2016 Honda Pilot, Acura RDX confirmed for Chicago Auto Show debut

The Chicago Auto Show this year is going to be chock-full of Honda crossovers. Not only has Japanese automaker announced that it will be revealing the all-new Pilot at the Windy City expo, but that it will also preview the styling of the next Ridgeline pickup, while its luxury counterpart Acura takes the wraps off the new RDX. Developed and built in America, the new Pilot will be entering its third generation, after the first arrived in 2002 and the second in 2008. The new model previewed in the teaser image above will include eight seats across three rows, "with new technology, advanced safety, class-leading fuel economy and enhanced family utility and versatility," all wrapped in what Honda promises will be a "dramatic shift in design." The arrival of the third-generation model follows the recent introductions of the new CR-V and HR-V that slot below the Pilot. Honda's not saying much about the Ridgeline at this point, but given its close association with the Pilot, it's not surprising to see the automaker grouping the two together. The four-door, short-bed pickup was introduced in 2005 and was discontinued with the end of last year. The second-generation model is expected to reach production in 2016. While it's at it, Honda's luxury division will reveal the new 2016 Acura RDX at the Chicago show. Not to be confused with the Pilot-based MDX, the RDX is the smaller model based on the CR-V and introduced in 2006. The second-gen RDX was just introduced in 2013, but an updated version is already being rolled out, promising to deliver "a long list of styling and performance improvements plus desirable new luxury and safety features" and encompassing "important improvements to performance, dynamics, comfort and NVH." ALL-NEW 2016 HONDA PILOT SUV TO MAKE GLOBAL DEBUT AT 2015 CHICAGO AUTO SHOW Honda to fortify light-truck leadership on Feb. 12 by debuting all-new Pilot three-row SUV, and revealing the styling direction for future Ridgeline pickup Jan 21, 2015 - TORRANCE, Calif. -- A completely reengineered and redesigned Honda Pilot SUV will make its world debut at the 2015 Chicago Auto Show on February 12 at 9:30 a.m. The all-new, eight-passenger Pilot SUV – completely designed, developed and manufactured in America -- will raise the stakes in the mainstream three-row SUV segment with new technology, advanced safety, class-leading fuel economy and enhanced family utility and versatility.

Recharge Wrap-up: Honda Grace hybrid goes on sale in Japan, Daimler spends 100M euros on batteries

The Mercedes-Benz S-500 Plug-In Hybrid has earned an Environmental Certificate from the TUV Sud technical inspection authority. The award is based on a lifecycle assessment of the vehicle. This includes the ability to reduce CO2 emissions by 43 percent through charging, and by 56 percent if charged using hydroelectricity. Read more in the press release below. Daimler is expanding its production capacity for lithium-ion batteries. The company is investing around 100 million euros in its subsidiary Deutsche ACCUmotive, who will provide batteries for the electric Smart Fortwo and Forfour, as well as various Mercedes-Benz models. By the end of the construction, Deutsche ACCUmotive will have quadrupled production and logistics space since 2011. Read more in the press release below. Honda has begun sales of its Grace hybrid sedan in Japan. The Grace is based on the Honda Fit and uses the automaker's Sport Hybrid i-DCD system. It comes in front- and four-wheel-drive versions and uses a seven-speed DCT with built-in motor. The Honda Grace starts at the equivalent of about $16,500. Read more in the press release below. Honda has begun operation of its wind farm in Brazil. The farm consists of nine wind turbines, expected to produce about 95,000 MWh of electricity per year, which is on par with Honda's consumption for automobile production in the country. Honda is aiming to cut its CO2 production by 30 percent by 2020 compared to 2000 levels. Read more in the press release below. Toyota has won the 2014 World Endurance Championship's Driver and Manufacturer categories with hybrid technology. Toyota celebrated the win after the final race in Sao Paolo, Brazil. Toyota uses the same hybrid technology in its racing cars as it does in its production vehicles. Read more in the press release below. Controlled Power Technologies and other groups are calling for an international 48-volt electrical standard for vehicles. The groups called for the standard at the International Conference Automotive 48 V Power Supply Systems, saying that the 48V standard for mild hybrids would help make the systems more affordable. This will make it easier for automakers to meet the more stringent CO2 standards anticipated in coming years along with the introduction of the World Light vehicles Test Procedures. Read more at Green Car Congress. The world's first certified three-litre luxury saloon: S 500 PLUG-IN HYBRID receives Environmental Certificate Stuttgart.