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Krafcik says US Gov. shutdown is slowing Oct. auto sales

The government shutdown is eroding consumer confidence in the auto market, says John Krafcik, CEO of Hyundai's US sales unit, and could lower October sales by as much as 10 percent, Automotive News reports. "It's that anxiety that keeps customers, potential buyers, on the sidelines when making a big purchase like an automobile," Krafcik says, adding that industry sales could be off by five to 10 percent in October compared to September.
The fourth quarter, which started October 1, usually consists of increased auto sales as dealerships clear their lots to make room for the next year's models. Leading up to the fourth quarter this year, the auto industry was doing well in the fragile, recovering US economy, although September deliveries decreased by 4.2 percent, due in part to this year's Labor Day sales being recorded for August.
To help its customers, Hyundai announced it is deferring new-car loan and lease payments for furloughed federal workers until they're called back to work and also offering them a three-month payment deferral if they buy a new Hyundai in October. "We have already had requests from over a thousand people to have their payments deferred," Krafcik says.

Jaguar solution to keyless start could save lives

UPDATED: An earlier version of this story indicated the Jaguar keyless start function was meant as a safety feature, when in fact, it is meant as a convenience one and will not work as described if automatic stop/start is not engaged. Today, The New York Times published an article about more than two dozen deaths related to drivers accidentally leaving their cars running, closing their garages and later succumbing to carbon monoxide that flooded their homes. The reason has been identified as "keyless start" features, or proximity entry and push-button start, where owners don't need to physically handle a key or fob to gain entry into the vehicle or start it. It is the latest, and deadliest, issue raised with this system after those related to security and simple inconvenience (for instance, leaving the car at a valet or car wash with the fob in your pocket). From my personal perspective, The New York Times had a rather harsh "evil carmakers" tone throughout the article. This is not a matter of a known faulty component, as with the GM ignition switch recall. This has as much to do with user error where people leave their car without pressing the "off" button and without noticing the engine is still running. About half of the cars in question are produced by Toyota and Lexus, brands that have offered keyless start longer than most. They are also brands with high rates of elderly owners, who seemingly made up a majority of reported deaths and injuries. One fire department in Florida even started a campaign alerting those in the area of the dangers of leaving your car running when it noticed a correlation between an increase in cars equipped with keyless start and calls related to carbon monoxide poisoning. I see several contributing issues at play, most of which go well beyond this particular issue. First is insufficient training of owners by dealers and/or owners not paying close enough attention during this training. Cars are complicated, but you should at least know how basic functions work. Second, woefully inadequate driver training in this country. Third, and with apologies to the AARP, insufficient testing of elderly drivers and/or insufficiently low standards for elderly drivers. If you don't know you have to shut the car off or cannot hear that an engine is running, perhaps you shouldn't be driving. Fourth, re-examining keyless start systems.

Auto execs surveyed say VW, BMW most likely to grow

A new survey of top global automotive executives indicates both Volkswagen and BMW are the most likely to grow their market share over the next five years.
Tax advisory firm KPMG LLP has released its 14th annual Global Automotive Executive Survey, which includes responses from over 200 executives. A total of 81 percent of respondents said they expect to see Volkswagen make gains, compared to 70 percent last year. BMW, meanwhile, saw 70 percent of those surveyed say they believe the company will increase its market share. That's a jump of 7 percentage points over last year. This is the first time in the history of the survey that BMW has claimed the second-place spot.
Meanwhile, Hyundai has seen its perceived market share potential slacken for the third year in a row. Around 61 percent of those surveyed predicted gains for Hyundai, down from 63 in 2012. Toyota also has a surprising year, but for just the opposite reason. While the manufacturer had slipped in ranking since 2011, it enjoyed the largest increase of any company in the 2013 survey, jumping to 68 percent from 44 percent last year.