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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

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:

Acura NSX GT3 to make public debut this week at Mid-Ohio

The new Acura NSX had a very long and very public gestation period. The car went through a number of redesigns and revisions, all while enthusiasts watched and waited. With the production version just now ramping up for customer deliveries, Acura revealed that it was working on a race car for FIA GT3 homologation. While the car was shown in New York, no one outside of Honda has seen it testing on track. This week, the NSX GT3 will make its public testing debut at Mid-Ohio Sports Car Course ahead of the Pirelli World Challenge and IndyCar races. View 13 Photos While the car will be on track during testing and practice sessions, it won't actually be competing with the rest of the field. The car is still in the testing phase and won't be fully FIA approved until at least September. Acura is confident that the car will make its racing debut in 2017. The company also made it clear that this is not the final version of the car and that things like aero and engine tuning are still being worked out. Until now, the NSX GT3 has only tested at private events in Europe, Japan and the US. This week, the NSX GT3 will be piloted by Dutch racing driver Peter Kox. Kox drives for RealTime Racing, a team that currently campaigns an Acura TLX GT. This week's car will be the primary tester, though if something goes sideways there are multiple backup cars. The NSX GT3 differs in a number of ways from the road car, most notably its lack of hybrid all-wheel drive system. The NSX GT3 uses the same twin-turbocharged V6 as the road car, but sends all the power through the rear wheels. It also uses the same space frame as the road car. While the road going version receives final assembly in Honda's Ohio factory, final touches to the GT3 car are done elsewhere. Although the car will only be testing on Thursday and Friday, it will be on display all weekend in the paddock. For more info on this weekend's Mid-Ohio race, check out the Pirelli World Challenge page here. Related Video: Motorsports Acura Honda honda nsx acura nsx gt3