Archive for the ‘Toyota’ Category

Top 10 Best-Selling Cars: August 2010

Wednesday, September 1st, 2010

Cash for Clunkers continues to cast a long shadow: Big automakers had what looks to be a bad month, but last year the popular government program dramatically boosted the sales of many models, including the Toyota Camry, Honda Civic, Honda CR-V and Honda Accord. So the dramatic declines experienced by those models is not all too surprising.

Year-to-date, five of the models in the top 10 are selling less than they sold year-to-date in 2009. Before August, only one model on this list – the Dodge Ram – was selling worse in 2010 compared with 2009.

Toyota (down 31.4%), Honda (down 30%), Nissan (down 27%) and GM (down 24.9%) saw the most dramatic declines. Of course, Japanese automakers were the biggest gainers during Cash for Clunkers; GM’s decline is partly due to the strong sales gains by Pontiac and Chevrolet in August 2009. Chrysler saw a 7% increase because very few of its cars sold well during Cash for Clunkers.

The best selling full-size trucks — Ford F-Series, Chevrolet Silverado and Dodge Ram — performed well this month, and they were the only models on the list (besides the Hyundai Sonata) to post positive gains. Honda remains the automaker with the most cars on the list with three models, the same as last month.



Notable Items:

*Honda Accord includes 2,642 Honda Crosstours

Recall Alert: 2005-2008 Toyota Corolla, Matrix

Thursday, August 26th, 2010
2007TOyotaCorolla

Toyota is recalling nearly 1.3 million 2005-2008 Corolla and Matrix models for a faulty engine control module. Last week, we heard the government was intensifying its investigation into the defect. Toyota will begin notifying owners of the recall in mid-September, but it doesn’t have a timetable for when replacement parts will be available.



In a statement released today, Toyota said there had been "three unconfirmed accidents alleged to be related to this condition, one of which reported a minor injury."



The ECM in some of these vehicles is defective and can lead to harsh shifting, stalling, or the vehicle could fail to start. Dealers will inspect the part to see if it is one of the defective units and replace it if necessary free of charge to owners.



Owners can contact Toyota at 800-331-4331 or the National Highway Safety Administration at 888-327-4236.

Toyota Prius May Add Noisemaker for Pedestrians

Wednesday, August 25th, 2010

2011 Toyota Prius noisemaker for pedestrians
One of the benefits of owning a hybrid or electric vehicle has always been its advertised whisper-quiet performance. Apparently, the eerie silence has ruffled the feathers of safety advocates, so now that bit of electric-vehicle distinctiveness may be scuttled. 

The third-generation Toyota Prius will get an optional pedestrian warning system in Japan and possibly in the U.S. down the line, according to The Associated Press. The onboard device will automatically produce an artificial sound, supposedly an amplified and synthesized reproduction of the noise an electric motor makes – go figure. The noise is activated at speeds below 15 mph, and it fluctuates in pitch relative to the vehicle’s speed, which is supposed to help pedestrians gauge proximity in relation to the hybrid. You can watch the distinctively Japanese video below to get a better understanding. 

The system is a dealer-installed option in Japan that costs about $148, and Toyota may offer the system in the U.S. and other markets, Toyota spokeswoman Monika Saito told the AP. Japan gets the system now because of a recent regulation that requires some sort of pedestrian noisemaker option in near-quiet vehicles. Similar legislation has been brought up in the U.S. 

The Chevrolet Volt will come with a pedestrian warning system that’s activated from one of the steering-wheel stalks. GM goes with a chirping alert that’s activated only at low speeds. Nissan recently showed off a system in the Leaf that’s similar to Toyota’s; their alerts seem like sound effects from alien spacecraft in sci-fi movies. The future is now I guess.

Prius Gets Sound Option to Protect Pedestrians (The Associated Press)

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Top Roof-Strength Scores Elusive for Some SUVs

Tuesday, August 24th, 2010

IIHS SUV roof strength
The Insurance Institute for Highway Safety recently conducted end-of-the-year testing on the 2010 Nissan Xterra, Toyota FJ Cruiser, Toyota 4Runner and Nissan Pathfinder, all of which are part of the institute’s midsize SUV category. Although each SUV earned the best rating of Good in frontal and side-impact crash tests, none scored well enough in IIHS’s new roof-strength test to qualify for the institute’s Top Safety Pick award. 

In the roof-strength tests, the 4Runner, FJ Cruiser and Xterra earned an Acceptable rating, which means these SUVs can withstand 3.25 times the vehicle's weight before the roof caves in at least 5 inches. The Pathfinder received a Marginal rating, which means it can withstand about three times its own weight. Anything below 2.5 is rated Poor by IIHS. 

The institute uses the same testing method as the National Highway Traffic Safety Administration, but its standard is more than two-and-half times as stringent as the government’s. To earn a Good rating in IIHS’s rollover test, a vehicle’s roof must be able to withstand the force of four times the vehicle’s weight. 

To earn the Top Safety Pick award, a vehicle must receive the top rating of Good in front, side, rear and rollover crash tests. The vehicle also must have electronic stability control. 

Nearly 10,000 people die in rollovers each year, according to IIHS. A key component to preventing fatalities in rollovers is for your vehicle to maintain its roof’s integrity for as long as possible.

2010|Toyota|4Runner

2010|Toyota|FJ Cruiser

2010|Nissan|Pathfinder

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Government Expands Toyota Corolla, Matrix Investigation

Monday, August 23rd, 2010

2006toyotacorolla

The National Highway Traffic Safety Administration is moving its investigation of nearly 1.2 million 2007-2010 Toyota Corolla and Matrix models into a new phase, the New York Times has reported. NHTSA began a preliminary investigation into stalling complaints in November 2009 but says it has received 163 complaints about the issue.

Of the complaints, only six led to an accident with no fatalities. The wide-ranging acceleration issues that forced Toyota to recall millions of cars over the past year had more than 1,500 complaints as of March.

Toyota has known about the problem since November 2005 and redesigned the suspect part – a control module – in June 2007. It has issued four safety bulletins to dealers to inform owners, but some complaints with NHTSA suggest owners are being asked to pay for the repairs.

A Toyota spokesman said the automaker is working with NHTSA to remedy the problem and that it has approved 4,200 warranty claims so far regarding the control module.

Stalling Problems Could Affect 1.2 Million Toyotas (New York Times)

Reader Review of the Week: 2011 Toyota Sienna

Thursday, August 19th, 2010

Reader Review

“Rick from Texas,” who is in San Antonio, wrote some waxing prose regarding his new 2011 Toyota Sienna XLE. So far, Rick is thrilled with the Sienna’s well-appointed interior, stereo system and maneuvering ease. However, Rick does caution that this minivan rides like, well, a minivan and not like a Porsche or Corvette. We’d hope you’d know that already. 

Hit the jump to read Rick’s admittedly long review. Once you’re done, write your own review here

2011 Toyota Sienna

“We drove a Honda Odyssey and enjoyed the vehicle. We were almost ready to ink the deal, but said we needed to at least look at the Sienna first. We did and we never looked back. 

“The interior is larger and much more spacious than the Honda. This is primarily due to the ability to move the second row seating using a slide and glide system that allows you to push back the seating, which makes viewing the dual 18 inch video monitor quite easy. 

“You can also slide the second row seating all the way forward and up against the front seats and collapse the fold-away third row, and you can [almost fit anything] into a minivan without having to remove the second row seats. 

“The van has excellent power with a 266-hp engine. It drives like it’s on rails. Many complain that it does not [have] a responsive feedback. I've driven Corvettes and Porsches, and they are correct. The response is not the same, but then again, I'm not sure how often I need to take a turn at 110 mph on a winding test track or open oval. Here's a huge shock to those with this argument: ‘It’s a minivan.’ It handles excellently for that purpose. You turn, and it turns. You can pass, park and cruise on any road at any legal speed with ease. 

“The interior is well appointed and the styling is very easy on the eyes. The Honda reminded me of Track Housing and the Sienna was more of a custom model. You know when you are sitting in something that says class, and the Honda says welcome ‘Joe Average.’ 

“That said, there is one annoyance. The van does not have any side body molding. Huh? Get ready for Door Ding city. This seemed like a huge oversight. It's small, but little details do matter. 

“The navigation is also a bit clumsy. You have to wait for a beep to give a command and many times you get back the wrong response. The stereo is top-drawer JBL with too many speakers to count. The sound is excellent. The vehicle drives very quiet and the A/C blowers, unless you have them wailing at full blast, are not noticeable. 

“The road noise is great, so good in fact our kids complain when we talk as they can hear us over the wireless headphones. 

“The car is easy to maneuver. The nav system screen becomes a full 180-degree backup camera, and the bumpers have rear-assist parking sensors. 

“There is much more to like such as headroom, iPad and iPod USB, and two [100-volt] normal electrical plug-ins, fog lamps, luggage rack, oh and the back sliding door windows roll down. No kidding. It also has keyless push-button start. 

“If you are in the market, you owe it [to yourself] to drive one at least for comparison. We got the XLE and the dealer took several thousand off the MSRP and with the options, the vehicle was over $1,000 cheaper than the Honda with a 72-month bumper to bumper warranty and a full year of free unlimited car washes and free maintenance to 40K miles. 

 “So if you need Porsche-like handlng and are looking to take the family on thrill rides around Daytona, then this van is not for you, but if you are looking for a top notch luxury ride with room for up to eight with tons of storage, then the van is certainly worth a look.”

Short Supply Causes Some Dealers to Beg for Cars

Friday, August 13th, 2010

2011 Jeep Grand Cherokee: dealer lot

During the recession, as demand fell for new cars, dealerships across America fought hard battles to sell down their bloated inventories, which ultimately was great for car buyers. Now dealerships are no longer fighting for every sale but for more inventory from the automakers, according to Bloomberg Businessweek.

The recession took its toll on many dealerships. Since early 2009, GM’s dealership body has shrunk by 25%, eliminating or consolidation of 2,064 former dealerships. Chrysler is also in the midst of closing down nearly 800 dealerships. At the same time, the domestic automakers tightened their inventory controls.

Automakers, particularly the Detroit Three, have dramatically reduced their capacity to build new cars in order to right size their businesses. Chrysler and GM, which both went through government-assisted bankruptcies, have slashed their vehicle production by 44% in the case of GM and by nearly 50% for Chrysler. Ford, which didn’t go through bankruptcy, also slashed production by 16%. Even Toyota, a company known for carefully gauging consumer demand, closed down a car plant called NUMMI in Northern California that built Toyota Corollas. This is the first time Toyota has every closed down a plant in its history. 

All of these efforts were meant to bring supply in check with demand, which in 2009 was around 10 million cars a year. Now, with increased demand, many automakers are reaching their production limits on some of their most popular cars. Some say sales would be higher this year if there were more capacity for these models. 

As our Movers and Losers series shows, SUVs and other recently launched vehicles are hard to catch on a lot before they're sold. The 2010 Chevrolet Equinox and 2010 GMC Terrain only take 14 to 15 days to sell, even though July's average number of days it took for a car to sell was 56 days, which is down from 83 days in July 2009. 

Chrysler’s new 2011 Jeep Grand Cherokee is flying off of dealer lots (nine days). In fact, more than half of the fastest sellers in July came from GM, Chrysler or Ford. 

A lot of this may be because of short-term supply constraints, as is the case with Ford’s 2011 Fiesta. The Fiesta is built in Mexico and a recent hurricane in that region prevented delivery of the new subcompact. The outcome is that Ford’s dealers have less than one Fiesta on their lots on average. 

Automakers are trying to fulfill orders, but many are wary of fickle consumer demand. Building a new assembly plant is capital intensive, and once the plant is up and running, an automaker oftentimes has to build a certain output at the plant regardless of consumer demand. This is why Toyota delayed construction of its new Mississippi plant until demand increased. 

Some automakers have craftily come up with ways to build more cars without committing to new plants. General Motors, for instance, has started building more of its Equinox and Terrain at a nearby Canadian plant that builds the Impala. Ultimately, the outcome of this is potentially higher prices for consumers, as many dealerships will be unable or unwilling to bargain with their precious inventory. 

“We’re in an environment [where car buyers are] probably not going to get the exact [car] they want and they’re going to pay more because the incentives aren’t there,” J.D. Power and Associates' Jeff Schuster, executive director of forecasting, told Bloomberg Businessweek.

Dealers Beg for Cars as Automakers’ New Discipline Curbs Sales (Bloomberg Businessweek)

Feds Haven’t Found a Toyota Electronics Glitch

Tuesday, August 10th, 2010

toyotaglitch

In a report to Congress today, National Highway Traffic Safety Administration officials say the agency hasn’t found an electronics problem in any of the Toyotas it has investigated as part of its probe into millions of recalled vehicles.



The statements to Congress come less than a month after the Wall Street Journal reported that NHTSA couldn’t find any faults after gaining access to Toyota’s electronic data recorders. The federal government says the investigation is ongoing, but of the 58 cases it has already reviewed, 35 had evidence that the brake pedal wasn’t applied. The agency concluded that those 35 instances were likely human error and not a problem with Toyota’s electronic throttle.



Pedal entrapment — the problem attributed to nearly 7 million recalled vehicles in the U.S. — occurred in one of the incidents. The rest either had inconclusive results or partial brakes were applied.



NHTSA: No evidence of Toyota electronics problems (Detroit News)

Cars.com Podcast: 2011 Toyota Avalon, 2011 Scion tC, 2011 Mercedes-Benz E-Class Cabriolet

Tuesday, August 10th, 2010

2011 Scion tC

We tackle two redesigns and one new offering in this week’s podcast. The Toyota Avalon seemed to impress, but the Scion tC didn’t. And the E-Class Cabriolet? Who wouldn’t like it for a balmy summer night drive? If you’re considering purchasing any of the three, you’ll want to hear what the editors discovered during their test drives.



You can download the podcast via iTunes here or an MP3 file here.

Credit Threshold Eases for Car Lessees and Borrowers

Monday, August 9th, 2010

Car loan application

Last month’s car sales were the second best of any month since September 2008, according to Autodata. That startling fact is partly due to the recovery of the automotive financing industry. 

Nearly 89% of car shoppers borrow money or lease their vehicles instead of paying with cash, according to CNW Marketing Research. When the money dried up during the recession, many people were left without a way to buy a car. During this time, big lenders started to restrict borrowing. GMAC limited its lending to consumers whose credit scores were higher than 700, which is considered a good score. But now, many lenders seem to be turning the corner, which is great if your credit is less than stellar. 

Ally Bank — the preferred lender for General Motors, Chrysler, Saab and Suzuki dealerships — has nearly doubled the amount of loans it has issued this year. The bank financed nearly 82% of all the vehicles sold at 5,000 GM and Chrysler dealerships in the U.S. this year, and Ally says it is ready to ease credit for leasing. 

Ally has lowered the FICO score requirement for Chrysler lessees from 660 to a 620, according to Automotive News. A score of 620 is considered the upper limit of the subprime market, which is another way of saying less than perfect credit. That’s a stark change from last year, when the Automotive Lease Guide reported that a fair to poor credit score meant it was probably “difficult if not impossible” to find a lease. 

Leasing ratings and approvals fell dramatically in 2008 and 2009 because of the collapse of used-car prices for SUVs and other fuel-inefficient luxury cars and because of the ensuing credit crisis. Auto lessors have lost $10.5 billion since 2005 due to overestimating the residual value of their leased vehicles, according to CNW Research. 

Dealerships are also noticing the change in lending attitudes. Penske Automotive, one of America’s largest dealership groups, says it’s seeing an increase in the approval rates for automotive financing. Lending units for Honda, Toyota and Mercedes-Benz are starting to issue more loans and lease agreements, Penske says. 

Improved access to leasing is also a good thing if you are a luxury car shopper or luxury automaker. BMW, Lexus and Audi are heavily leased, with Mercedes-Benz seeing nearly 60%-65% lease rates for its vehicles, according to Automotive News. 

GM, which sold off its captive lending company GMAC (now Ally), is getting back into subprime lending. The automaker’s recent purchase of AmeriCredit will allow the automaker to re-enter the leasing business. This should give a leasing boost to GM, which is still America’s largest carmaker. Only 7% of GM sales are from leasing, compared with the industry average of 21%, according to CNW Marketing Research. 

The overall effect is that we are starting to see more attractive lease offers and 0% APR lending from automakers, and many consumers are getting approved. Toyota is offering $179 leases for its new Camry, Prius and RAV4 to boost sales, and just recently, Chevy introduced a $350 lease offer for its Chevrolet Volt. 

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