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Honda ditching Takata for next Accord's airbags

Today brings unsurprising news that Honda will move away from Takata and source airbags for the next-generation Accord, among other models, from one of the embattled company's competitors. Both companies have been in headlines of late after the former recalled millions of vehicles that were fitted with the latter's airbag inflators, which had the unpleasant tendency to spew shrapnel at consumers. The move, as Reuters explains it, is particularly devastating for Takata. Honda is the company's largest customer, and the Accord represents its biggest product, accounting for over a quarter of the company's sales last year. It gets worse, though, as a confidential source with knowledge of the situation is reporting to Reuters that both the 2016 CR-V and Odyssey will source their airbags from Toyoda Gosei. If true, that'd mean that Takata will be losing out on more than half the cars Honda sells in the US market. At this point, Takata, Honda and Toyoda Gosei have all passed on opportunities to comment to Reuters.

Honda CR-Z carbon-fiber prototype

When Honda rolled out the CR-Z a few years ago, it hoped to bridge the gap between those who would save the planet and those who would rather burn all of its resources in a glorious cloud of tire smoke. But enthusiasts recalling the CRX of 1980s vintage balked, imploring Honda to ditch the heavy battery packs and electric motors in favor of a lighter-weight, more conventional powertrain. At this point it seems less likely that Honda would do so at one end of the market than Porsche would ditch the hybrid component of its 918 Spyder at the other. But that doesn't mean Honda isn't still cooking up ways to curb the CR-Z's weight. And it had just one such idea waiting for us when we visited its Japanese R&D center at Tochigi last week.
Nestled in between the JDM hatchbacks, powertrain test mules and new technology prototypes Honda rolled out for us sat the experimental CR-Z you see here. While it may look mostly like the hybrid sport-hatch you can pick up at your local dealer (albeit blacked out), nearly all of this prototype's bodywork has been completely replaced, as have its basic underpinnings, with carbon-fiber reinforced plastic. The exotic material is usually reserved for high-end exotics, but like BMW is democratizing its use in the new i3, so too is Honda researching ways to implement the use of carbon fiber on a mass scale. This one-of-a-kind CR-Z prototype stands, for the time being, as the embodiment of that effort.
Driving Notes

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.