So far there has been no comment on an Italian newspaper unsourced report that China’s Guangzhou Automobile Group is considering an offer for a majority stake in Fiat Chrysler. The report was picked up by Automotive News. You will remember that FCA has been openly looking for a partner and Automotive News said Guangzhou and FCA already have a joint venture in China. The report moved FCA stock sharply higher on the Milan market.
Consumers have to be happy any time prices go down, so it is worth knowing that wholesale used vehicle prices fell 1.7 percent in April, according to the NADA. It is the fifth time in as many months that prices have declined, mainly due to the lack of demand for cars. “If it weren’t for pickup truck prices dropping 0.5 percent and large utility vehicle prices not really changing at all, the index dip could have been much worse,” said NADA Analyst Jonathan Banks. Prices for subcompact cars fell 4.3 percent last month nearly double the loss averaged by compact and mid-sized cars.
A majority of consumers surveyed by Kelley Blue Book said they would be more likely to purchase a vehicle brand if the company is promoting a social good campaign. The problem is, most consumers don’t know when an automaker is doing that. Awareness is a big challenge KBB said, “… with a majority of consumers unaware of any social good efforts sponsored by automakers.” For those who have heard of specific social good campaigns, Subaru had the highest percentage of recollection at 61 percent, followed by Honda at 44 percent and Ford at 29 percent.
Valvoline Instant Oil Change in connection with Carfax will notify customers if their vehicle has been named in a recall. The company services more than 35,000 vehicles a day and a sample analysis by Carfax suggests nearly one out of every four of them has an open manufacturer recall. “The sheer number of our customers who are driving vehicles with open recalls is surprising, and we’re happy to do our part to help,” said Rob Stravitz, VP Marketing at Valvoline Instant Oil Change. Carfax suggests there are more than 47 million vehicles with unfixed recalls.
The president of Mitsubishi will step down after the company admitted it overstated the fuel economy of four minicars sold in Japan. Tetsuro Aikawa will leave the top post after only two years on the job. An executive vice president will also step down. Nissan recently announced it will acquire a 34 percent stake in Mitsubishi.