2006 Mitsubishi Evolution Lancer Mr on 2040-cars

Auto blog

Nissan slashes profit forecast as Ghosn arrest hurts brand appeal

TOKYO — Nissan cut its profit forecast for the fiscal year through March on Wednesday to reflect slowing sales, higher costs and the fallout from a criminal investigation of its former chairman, Carlos Ghosn. Nissan Motor Co. expects to post a 319 billion yen ($2.9 billion) profit for the fiscal year, marking a 22% drop from its earlier 410 billion yen ($3.7 billion) forecast. Nissan said the downgrade reflects higher costs in the U.S. from a warranty extension campaign for some vehicles and falling sales due to "corporate issues," alluding to the Ghosn scandal. Ghosn was arrested in November and is facing charges of underreporting his income and breach of trust. He says he is innocent. He was released on bail in March and is awaiting another court decision on bail after his re-arrest on April 4. Nissan, which is allied with Renault SA of France, has seen sales lag in France and Japan, where Ghosn is widely known. In the U.S. and China, buyers aren't as affected by the scandal, but the markets there overall have slowed. Other factors contributed to the revision, such as production not keeping up with demand for the Note, an extremely popular model in Japan. But the high-profile scandal has weakened the brand appeal of the maker of the Leaf electric car, Infiniti luxury model and X-trail sports utility vehicle. Nissan said it expects to sell 5.5 million vehicles in this fiscal year. Earlier it predicted it would sell 5.6 million. The company sold nearly 5.8 million vehicles in the fiscal year that ended in March 2018. The automaker reduced its sales outlook by 0.2% for the fiscal year through March 2019 to 11.5 trillion yen ($103 billion), compared to its previous forecast. It was Nissan's second downgrade for its outlook following one in February that cited faltering sales in China and the U.S. At that time, Nissan also logged costs about 9.2 billion yen ($83 million) related to the alleged underreporting of Ghosn's compensation. Nissan has promised to strengthen its corporate governance to prevent a recurrence of what it says is serious wrongdoing by Ghosn. Ghosn was sent by Nissan's French alliance partner, Renault SA, to help turn the Japanese automaker around when it was near bankruptcy 20 years ago. The future of the alliance is one of many questions clouding Nissan's future following Ghosn's ouster since he was the main liaison for the alliance, which includes smaller Japanese automaker Mitsubishi Motors.

NHTSA begins inquiry into Mitsubishi fuel economy

The National Highway Traffic Safety Administration wants to make sure Mitsubishi doesn't falsify fuel economy ratings in the US like the company does in Japan. "We've requested information from Mitsubishi about this issue," a NHTSA spokesperson told Reuters. The person didn't provide details about the specific models the regulator wanted to know more about. At this time, there's no evidence of fuel economy inaccuracies for any North American models. The affected vehicles in Japan so far are 625,000 small kei-class cars, including the Mitsubishi eK, eK Space, Nissan Dayz, and Dayz Roox, which Mitsu produces for Nissan. However, Japanese regulators are taking a closer look at other models and gave the company a week to hand over test data. A newspaper there claims Mitsubishi allegedly used "non-Japanese test methodology" on the RVR, Outlander, Pajero, and Minicab MiEV. NHTSA's look into Mitsubishi comes at the same time the Department of Justice is scrutinizing Daimler for possible emissions anomalies. "Daimler will consequently investigate possible indications of irregularities and of course take all necessary action," the German automaker said in a statement. The company asserts the DOJ's inquiry is unrelated to a lawsuit from owners, which alleges the BlueTec emissions control system is designed to turn off at low temperatures. Related Video:

Chrysler recalling 67k trucks with manual transmissions

Earlier this month, Chrysler announced the recall of some 280,000 pickup trucks over concerns that their axles could seize up. Now the automaker has announced an entirely separate recall of another 66,819 trucks over the springs that could break in the clutch ignition interlock switch. The recall affects Dodge Ram 1500, 2500 and 3500 pickups, as well as the Dodge Dakota and Mitsubishi Raider. The issue is relevant only to those trucks fitted with manual transmissions, from the 2006 and 2007 model years and manufactured between July 1, 2005, and July 31, 2006. Since a broken spring could, according to statements issued by the National Highway Traffic Safety Administration and FCA US LLC (previously known as the Chrysler Group) prevent the vehicle from starting, or cause it to move unintentionally once the ignition kicks over, the automaker will begin notifying owners of the affected vehicles just before Valentine's Day to bring their trucks into their local dealers to have the clutch ignition interlock switch replaced. FCA emphasizes, however, that the unintended movement would only occur "in rare cases" and only "if recommended starting procedures are not followed." Only one such case is known to have occurred, but it did regrettably result in a fatality. Statement: Clutch Ignition Interlock Switch December 29, 2014 , Auburn Hills, Mich. - FCA US LLC is launching a voluntary global recall of an estimated 66,819 older-model pickup trucks equipped with manual transmissions. The Company will replace their clutch ignition interlock switches at no charge to customers. An investigation by FCA US engineers discovered switches in certain model-year 2006 and 2007 pickups may be equipped with spring wire that differs from wire used in previous switches. The alternate wire may break and, as a result, the vehicles may not start. In rare cases, a vehicle may – if recommended starting procedures are not followed – exhibit unintended movement when its ignition key is turned. The Company is aware of one fatality related to this campaign. It stemmed from the single known accident involving this population of vehicles. The recall covers certain Dodge Dakota, Dodge Ram 1500, 2500, 3500 and Mitsubishi Raider pickups. Switches with the alternate wire were not used in any vehicles produced before July of 2005, or after June of 2006. The Dakota and Raider are no longer in production.