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China's largest dealer body pushes back against foreign automakers over huge inventories

Do not think for a second that automakers forcing inventory on dealers in order to pad the numbers is a ruse known only in the US. Stories of individual brands have hinted at the trouble Chinese dealerships are having trying to move units as the country's economic growth remains hot but comes off the boil, like the one revealing that 95 percent of Toyota-FAW showrooms are losing money. Yet Toyota isn't the only culprit, and the issue has become so dire that the China Automobile Dealers Association (CADA), the largest dealer body in the country, has written to the government to complain. Chinese car sales are expected to close out the year with an annualized growth of six-percent, down from last year's 14 percent when targets were set, while in the background the pace of overall economic expansion is the slowest its been since the early nineties. Automakers, shipping cars on schedule to make their earlier targets, have blown up inventories such that they are an average of 1.8 times monthly sales, when the preferred multiplier is from 0.9 to 1.2. According to the CADA, the price wars and necessary incentives mean that only 30 percent of dealers are operating in the black. That number is down a whopping forty percent since 2010. In response, Toyota has already said it will not make its 2014 target of 1.1 million cars sold. We're a long way from 2012, when Toyota planned on selling 1.8 million cars in China in 2015, a target that's now as realistic as a manticore. BMW, Honda and Nissan have erased numbers on their spreadsheets, too; BMW growth dropped from 20 percent to 8 percent midyear after it began "reducing wholesale supplies," and Honda has been reworking its plans as sales have decreased each of the past six months. It's a big deal for Chinese dealers to begin protesting publicly, the CADA saying, "In the past, dealers were angry, but dared not speak out. But now, they have to shout because the situation is getting so unbearable." With six-percent growth forecast for next year and dealers unwilling to remain underwater, The Year of the Sheep coming in 2015 could portend meaning beyond the zodiac. News Source: ReutersImage Credit: AP Photo/Andy Wong BMW Honda Nissan Toyota Car Buying Car Dealers

Toyota updates Euro-market GT86 suspension, appearance

While we were busy ogling the Scion FR-S Release Series 1.0 with its Yuzu yellow paint and a workover by Toyota Racing Development, and the Japanese Toyota 86 buyers were trying out their Playstation-compatible Sports Drive Logger telemetry system, the European 2015 Toyota GT86 got fitted with some new parts of its own. New on next year's model are stiffer mounts for the front suspension and rear shock absorbers, and new shocks in the back for better damping and less friction. Toyota says the result is sharper steering and less body roll.
Inside, the instrument panel and center console get decorated with a "carbon-fiber motif." There are new shades of pearl white and silver to dress up the outside, and the roof gets a shark-fin antenna for sharper looks and aero. It goes on sale this summer, and you can read everything we just told you in the press release below. We've reached out to Scion to see if we'll get the same upgrades on the FR-S this summer, too, company PR rep Nancy Hubbell telling us, "The European changes are among those being considered for the US model FR-S and we'll have final confirmation soon."

2017 Toyota 86: The car so nice it's been rebadged twice

When the dust settles and the Scion brand is no more, the car we currently know as the Scion FR-S will be rebadged. Again. If you remember the excitement that surrounded the Toyobaru/Subota rear-drive sports coupes' introduction, you'll recall that Scion's Subaru BRZ twin landed in here as the FR-S. That car, along with the new iA and iM, will get a stay of execution next year when the brand bids adieu. We know it will wear a Toyota badge in dealers from then on, and there's a good chance it will get the 86 badge European models wear. Toyota's version of the car goes by several different names depending on the market. It's only a Scion in North America, while it's sold as the Toyota 86 (in Asia, Australia, New Zealand, South America, and South Africa), Toyota GT86 (in Europe and New Zealand again), and Toyota FT86 (in Nicaragua and Jamaica). The 86 part of the name is a nod to the rear-drive AE86 Corollas of the 1980s. That's a history lesson Toyota likely won't have to teach its core demographic. Then again, this car's core demographic probably already bought one. There's also a possibility that this car will get yet another name combination: Toyota FR-S. For the sake of simplicity, let's hope not. View 7 Photos So yes, the rebadged 86 will be re-rebadged back to a Toyota. Functionally this means almost nothing. Buyers who were ordering badge-swap kits from overseas will save some money. Some enthusiast forums might need to change their names. And people visiting from Japan or Europe will feel a little more at home when they see a rear-drive Toyota sports car on the street. Meanwhile, FR-S – a name that may or may not have stood for "front-engine, rear-drive, sport" – will be quickly forgotten. Related Video: Scion Toyota confirmed toyota 86