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Hurricane Sandy cost automakers 15,000 vehicles, may have ruined up to 200k

Hurricane Sandy was the largest Atlantic storm in US history, and its total economic impact is just now coming into view. According to Automotive News, Toyota, Chrysler, Nissan and Honda are set to scrap around 15,000 new vehicles ruined by the storm. Nissan alone accounts for about 40 percent of those, with 6,000 Nissan and Infiniti models deeded "un-saleable" due to damage. The company saw 56 dealerships shuttered due to the storm, but 51 of those have since reopened.
Toyota, meanwhile, had some 4,000 vehicles at its Newark port facility, and of those, 3,000 may be scrapped. An additional 825 were dealer inventory when they were ruined. Honda and Acura dealers are reportedly sending 3,440 vehicles to the salvage yard. By comparison, Chrysler weathered the storm fairly well with 825 units destroyed, while Hyundai suffered only 400 lost units and Kia scrapped around 200.
As you may recall, Fisker also suffered some losses, and Automotive News reports the manufacturer saw 320 Karma models damaged beyond repair. Ford and General Motors have yet to come up with estimates, and no automaker has commented on the full cost of replacing the vehicles.

Toyota fires bullets into hydrogen fuel tanks, shoots down EV supporters

Many gearheads will remember that the 1970s-era Dodge Dart's claim to fame was that its motor was so durable (though not necessarily powerful) that one could shoot bullets into the engine block. Decades later, Toyota has taken a page out of that testing process. "Personally, I don't care what Elon [Musk] says about fuel cells." With some industry members and analysts questioning both the viability and durability of hydrogen fuel-cell electric vehicles, Toyota executive Bob Carter, speaking at the Automotive News World Congress this week, says the Japanese automaker went all Clint Eastwood on the fuel tanks of a fuel-cell prototype. Carter says that bullets from a small-caliber gun bounced off the carbon-fiber tanks, and that .50-caliber bullets barely made dents. The shoot-out motif kept going when Carter name-checked executives from Tesla, Nissan and Volkswagen in saying that he didn't care if other automakers question the future of fuel-cell vehicles. As you can see in the prepared text of Carter's speech below, he said, "Personally, I don't care what Elon [Musk], Carlos [Ghosn] or Jonathan [Browning] say about fuel cells. If they want to 'plug in and tune out' other technologies, that's fine." After debuting it in Tokyo late last year, Toyota showed off its FCV fuel-cell concept vehicle at the Detroit Auto Show this week as it get ready to start sales "around 2015." The car has a 300-mile range and should be priced somewhere between $50,000 and $100,000. Autoblog drove Toyota's fuel-cell prototypes last year, and you can read our impressions here. 2014 Automotive News World Congress- Bob Carter January 14, 2014 As prepared for: Automotive News World Congress Tuesday, January 14, 2014 Bob Carter, Senior Vice President, Automotive Operations, Toyota Motor Sales, U.S.A., Inc. _________________ Thanks, Keith and good afternoon everyone. You know, I've been in the car business for more than 30 years, but I'm more excited about it now than EVER before Why? Because for the first time in Toyota's history, we did something here we've NEVER done before. We shocked people by unveiling two great looking, fun-to-drive cars that blow a hole in the theory that Toyota only builds "appliances". Just yesterday, we unveiled Toyota's newest concept, the FT-1 sports car. I'm already getting people asking me when they can get their hands on one. The FT-1 represents the latest in our heritage of sports cars like the 2000GT, Celica, Supra and most recently, the FR-S.

Lexus eschews production in China over quality concerns

One of the more popular trends in the auto industry is setting up production operations in China. Mainstream manufacturers like Ford, General Motors and Volkswagen have done it, and even luxury marques like Audi, BMW and Mercedes-Benz have or will soon have manufacturing ops in the People's Republic.
One company that isn't building cars in China, though, is Lexus. The Toyota-owned luxury brand still manufactures all of its vehicles in Japan (aside from a few RXs, which are built at a Toyota factory in Canada). According to Tokuo Fukuichi, Lexus just isn't ready to build cars there yet.
"The German Three have a brand image that they have cultivated over the past century in their long history, but Lexus is not in people's minds like that yet," Fukuichi-san told Reuters UK.