2011 Porsche 911 S Cabriolet, Cpo, Full Leather, Navi, Pdk, Turbo Ii Wheel on 2040-cars

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Automakers paying Chinese dealers for lower-than-expected sales

The Chinese dealers vs. foreign manufacturers story won't quit. It began with a story on the struggles faced by FAW-Toyota joint venture dealers, with supposedly 95 percent of the showrooms losing money, and 10 percent of them doing so poorly that they'd have to exit the business. The problem is mandated sales targets, most set when the country's economy was racing. Now that things have slowed, China's dealers are swimming in unsold cars and the costs to keep them. In the case of FAW-Toyota, dealers asked Toyota to hand over 2.2 billion yuan ($355 million) to help address the situation. That was followed by a report noting the issues that Honda, BMW, and Nissan dealers are having with the same issue, revealing that the Chinese Automobile Dealers Association (CADA) had taken the highly unusual step of writing to the Chinese government to complain. Now Reuters reports that CADA is not only pressing its case even harder, it's being open about it: it announced that BMW agreed to pay dealers 5.1 billion yuan ($820 million) to alleviate poor profits last year. Unnamed sources said Audi has thrown 2 billion yuan into the kitty for subsidies, and Daimler has contributed "about 1 billion yuan" to its dealers. The battle isn't just about 2014, but how business will be run in 2015 as well: Chinese Porsche dealers have requested the automaker lower its 2015 target of 64,000 cars, which would be a 40-percent increase on its 2014 sales of 46,931 vehicles. One analyst called it "shocking" that the CADA has taken its fight public, while CADA comments continue to imply that dealers have been railroaded to the cliff's edge without recourse. "Due to the difference in status," it's deputy secretary said, "individual dealers are not willing to, or don't dare to, talk frankly with the carmakers...." Both parties need one another, so they'll figure out a way to make it work – but that could mean acknowledging the Chinese market is behaving more like a mature one, not an emerging one. News Source: ReutersImage Credit: Lintao Zhang/Getty Images Earnings/Financials Audi BMW Porsche Toyota Car Dealers Luxury

Porsche 911 RSR in bizarre, terrifying rally crash

As far as rally crashes go, this one is pretty terrifying. At this month's Hellendoorn Rally, Harry Kleinjan failed to negotiate a turn and drove his Porsche 911 RSR straight into a Jersey barrier, flipping the car into the river.
While it's unclear what caused the accident, German Car Scene notes, "We can see his brakes locking up ahead of the impact, which also ripped both driver's side wheels off, so it may be a case of ill-judged late braking, locking brakes or a jammed throttle." Us? We're betting it might have been bad pace notes. Fortunately for Harry and his co-driver, all indications are that no one was hurt. Check out the videos below to see the spectacular crash for yourself.

Porsche 918 Spyder already almost sold out?

Still planning on getting your hands on a Porsche 918 Spyder? You'd better act quickly, because word has it that the hybrid hypercar is nearly sold out.
While Porsche has reportedly only delivered a little over 30 of the 918 examples of the Spyder it plans to manufacture in total, Automotive News says that production is sold out through late March or early April - just a few months shy of when production is set to wrap in July.
That's pretty impressive for a car with a base price of almost $850,000, especially one requiring a $200,000 deposit just to get your name on the list. Still, that sum is significantly less than its competitors get for the McLaren P1 or LaFerrari, both of which sell for over a million (if you can actually get on one at that price), though in fairness, production of each is limited to less than half of the 918 Spyder.