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Coronavirus prompts VW to stop production throughout Europe

FRANKFURT — Volkswagen Group, the world's biggest carmaker, is suspending production at factories across Europe as the coronavirus pandemic hits sales and disrupts supply chains, the company said on Tuesday. The German carmaker, which owns the Audi, Bentley, Bugatti, Ducati, Lamborghini, Porsche, Seat and Skoda brands, also said that uncertainty about the fallout from coronavirus meant it was impossible to give forecasts for its performance this year. "Given the present significant deterioration in the sales situation and the heightened uncertainty regarding parts supplies to our plants, production is to be suspended in the near future at factories operated by group brands," Chief Executive Herbert Diess said on Tuesday. Volkswagen's powerful works council concluded it was not possible for workers to maintain a safe distance from each other to prevent contagion and recommended a suspension of production at its factories from Friday. Production will be halted at VW's Spanish plants, in Setubal in Portugal, Bratislava in Slovakia and at the Lamborghini and Ducati plants in Italy before the end of this week, Diess said. Most of its other German and European factories will prepare to suspend production, probably for two to three weeks, while Audi said separately it would halt output at its plants in Belgium, Germany, Hungary and Mexico. Volkswagen's vast factories in Chattanooga, Tennessee, in Puebla, Mexico, and plants in Brazil were not affected, but that would depend on how the coronavirus spreads, VW said. Volkswagen has 124 production sites worldwide of which 72 are in Europe, with 28 in Germany alone. "2020 will be a very difficult year. The coronavirus pandemic presents us with unknown operational and financial challenges. At the same time, there are concerns about sustained economic impacts," Diess said.   Production in China resumes Volkswagen Group sold 10.96 million vehicles last year, putting it ahead of Toyota based on the latest figures from the Japanese carmaker. Globally, VW employs 671,000 people and it delivered 4.86 million vehicles to European customers in 2019. Only last month the car and truck maker based in Wolfsburg, Germany, predicted that vehicle deliveries this year would match 2019 sales and forecast an operating return on sales in the range of 6.5% to 7.5%. "The spread of coronavirus is currently impacting the global economy. It is uncertain how severely or for how long this will also affect the Volkswagen Group.

Buyers resent low inventories, prices over MSRP, study says

Vehicle inventory low, vehicle transaction prices high, customers fretting … welcome, J.D. Power, to the era of supply and demand. In a recently published survey from one of the auto industryÂ’s top analytical firms, findings show that customers' satisfaction with vehicle purchases in the United States this year has dipped for the first time in 10 years. The 2022 U.S. Sales Satisfaction Index (SSI) Study found that overall sales satisfaction has dropped to 786 (on a 1,000-point scale) from 789 in 2021. In that year, higher than expected trade-in values softened the effect of new vehicle price increases. But in 2022, on top of trade-in prices shrinking, many dealers elected to charge more than the ManufacturerÂ’s Suggested Retail Price, a factor that did not sit well with buyers. “When dealers charge more than MSRP, particularly with long-term loyal customers, they risk a potential long-term negative effect on customer advocacy and service business," said Chris Sutton, vice president of automotive retail at J.D. Power. Satisfaction among buyers who paid more than sticker price is 757, while satisfaction among those who paid the sticker price or less is 850, the Power report said. The lack of dealership inventory was also a customer irritant, J.D. Power found, a point that automakers and their dealers may want to consider. Many have maintained, or considered maintaining, a smaller inventory in the wake of the pandemic, keeping costs down and driving more customers toward factory orders. Regarding those consumers shopping for electric vehicles, the survey said that more than a third of them “failed to get instruction on EV charging before they left the dealership, which notably affects satisfaction.” Said Sutton, “Salespeople donÂ’t need to show gas-powered vehicle buyers how to fill their tank, but they do need to show EV buyers how to charge their vehicle.” There are positives to the Power conclusions, however, especially for Alfa Romeo dealers. The Italian brand ranked highest in customer satisfaction among premium brands with a score of 833, with Porsche a very close second (831) and Lexus (819) third. Alfa is on something of a roll these days, with its compact Tonale crossover due for release in the spring, and a new sports car in the works. Meanwhile, in PowerÂ’s “mainstream brand”” segment, Buick ranked first with a score of 825, followed by Dodge (816) and Subaru (804), all performing higher than the industry average.

2016 Porsche Boxster Spyder marks the return of something great [w/video]

Welcome back, Porsche Boxster Spyder. We absolutely adored the previous version – a roadster focused solely on driver enjoyment and simplistic perfection. Heck, we didn't even care that it had cloth loops for door handles. And this new model looks to (somehow) offer even more to love. Let's start with that engine: the 3.8-liter flat-six tuned to produce 375 horsepower and mated exclusively to a manual transmission, which powers the Spyder to 60 miles per hour in 4.3 seconds, on its way to a top speed of 180 mph. But power isn't the only thing that makes the Spyder package so great. It uses brakes from the 911 Carrera S, is the lightest Boxster in the range, sits 20 millimeters lower to the ground than the standard car, and still features the manually operated cloth roof from the previous car. And it looks fantastic. Fan-freaking-tastic. Inside, there's a whole lot of nothing, and that's just fine with us. Want a radio? That'll be extra. Air conditioning? Open your wallet for that, too. Seems odd in a car that'll start at $82,100 when it goes on sale later this year. But once again, this Boxster Spyder is a tactile sports car whose only mission is to offer outstanding driving dynamics – comfort options are optional, but not necessary. We can't wait to get our hands on this one. New York International Auto Show 2015: World Premiere of the Boxster Spyder New top model in Boxster family Atlanta. Porsche is highlighting the 2015 convertible season by celebrating the world premiere of the new Boxster Spyder. This pure sports car will make its debut at the New York International Auto Show. The new top model of the Boxster range retains the unique and unmistakable character of the previous Spyder, which has already attained cult status. For example, the classic roadster top is still opened and closed by hand, and the Boxster Spyder is only available with a manual transmission, benefiting both weight savings and driver enjoyment. Staying true to roadster DNA, the Boxster Spyder offers a traditional sports-car driving experience combined with truly exceptional performance. This includes a firm sport suspension with a 20-mm lower ride height, brakes taken from the 911 Carrera S, more direct steering, and a 3.8-liter horizontally opposed six-cylinder engine with an output of 375 hp, culminating in a genuine sports car experience with outstanding driving dynamics. It is the lightest model of the current Boxster line, and the most powerful Boxster to date.