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Toyota turning landfill gas into hybrid vehicles, indirectly

Chamillionaire certainly wasn't referring to the Toyota Avalon or Camry when he rapped about "ridin' dirty" but maybe he'll change his tune soon. That's because some of the future energy sources for the Kentucky factory that makes those two models will come from gas created from the breakdown of solid waste. So the power behind some of the production at Toyota's largest North American factory will indeed be funky. Toyota is working with Waste Services of the Bluegrass to build a network of wells at a nearby landfill in order to collect the gases. Construction of the system starts next month and will be finished by early next year. The upshot is that the system will produce one megawatt of electricity per hour, which is the equivalent to the power used by 800 houses. Last spring, Toyota said it would start producing the Lexus ES at the Kentucky plant after getting almost a $150 million offer from the state. That's because that model is expected to add 50,000 vehicles to the existing production numbers at the plant. And those production numbers are already large, as Toyota makes both the standard and hybrid versions of both the Camry and Avalon there. Mind you, Toyota's not the first to go this route for factory-energy production. In 2011, General Motors' Orion Assembly Plant started getting about 40 percent of its energy for production of models such as the Chevy Sonic and Buick Verano from methane captured from a landfill nearby. The General estimated at the time that the process would cut the company's energy costs by about $1.1 million a year. Check out Toyota's press release about the Kentucky plant and its future landfill gas below. Landfill Gas to Build Cars and a Greener Community Partnership between Toyota and local landfill turns garbage into good March 24, 2014 GEORGETOWN, Ky. (MARCH, 24 2014) – Can a car company be a vehicle for change? Toyota thinks so. The Kentucky plant that manufactures some of the greenest cars on the road, including two hybrid models, will soon be powered in part by green electricity. Toyota Motor Manufacturing, Kentucky, Inc. has teamed up with Waste Services of the Bluegrass to generate power from local landfill waste, marking the region's first business to business landfill gas to energy initiative. Toyota estimates the locally-generated landfill gas will supply enough power each year for the production of 10,000 vehicles. How it Works As solid waste naturally breaks down in a landfill, it creates gas.

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

Weekly Recap: Ferrari, Ford and Porsche power up for Geneva

Monday was Groundhog Day. Tuesday, apparently, was Sports Car Day. The Ferrari 488 GTB, the Ford Focus RS and the Porsche Cayman GT4 all debuted within hours of each other ahead of their rollouts at the Geneva Motor Show. Three sporty machines, three vastly different approaches – and a lot of implications for enthusiasts. That's a day worth repeating. It also illustrates the opportunities automakers see in the performance market, which is expected to grow in the coming years. Ford estimates the segment has expanded 14 percent in Europe and surged 70 percent in North America since 2009. The Detroit Auto Show was evidence of this, and performance cars of every stripe debuted, including the Acura NSX, Ford GT, Alfa Romeo 4C Spider and several others. This isn't a fad. Performance cars aren't going away. The question is why? Stricter CAFE standards are looming in the United States, as are tighter emissions regulations in Europe. And no one expects gas prices to remain low in America. None of this matters for sports cars, and automakers are increasingly using them to elevate their images. That's why Dodge rolled out two 707-horsepower Hellcats last year. It's why Ford has decided to resurrect the GT for road and track. It's why in the depths of bankruptcy, General Motors continued work on the Chevrolet Corvette Stingray, not to mention the Z06. "Great brands are made one car at a time," Ford of Europe president Jim Farley said at the reveal of the Focus RS. Still, companies make those cars for different reasons. View 5 Photos Mainstream brands like Ford and Dodge want to build cars that get people talking, excite their bases and drive more potential customers into the showroom. They probably don't buy a Focus RS or a Hellcat, but suddenly the regular Focus hatch looks a bit hotter, and that V6 Charger seems to be just a touch more muscular. The halo of performance is alive and well in the eyes of automakers and their customers. "It's one of the most effective catalysts for ingenuity and innovation," said Joe Bakaj, vice president of product development for Ford of Europe. That also leads to a trickle-down effect. Some of the technologies inevitably make their way to other products. It's hard to think the new all-wheel-drive system in the Focus RS that distributes torque front to rear and side to side won't be used in other vehicles. It's different for Ferrari and Porsche.