Archive for the ‘Industry’ Category

Today Toyota Motor Co. president Akio Toyoda dished out a dose of reality to the world on the state of the largest global carmaker: it's on the brink of irrelevance and possibly even insolvency. Referencing Jim Collins' book How the Might Fall, Toyoda said the company is "grasping for salvation."

That puts Toyota at the fourth of five stages on the road to corporate annihilation, and it shows Toyoda is fully aware of the dire situation he was handed when he took the reigns of the company three months ago. The fifth stage is "capitulation to irrelevance or death," which in an automotive context would mean bankruptcy.

The news comes on the...

Good news for Saturn enthusiasts (and we know there are quite a few of you): General Motor's deal to sell the brand to businessman Roger Penske seems to be on track. According to Detroit Free Press, Saturn's general manager, Jill Lajdziak, has requested an early retirement package from GM, and "Saturn dealers have been asked to sign new franchise agreements with Penske". Final details could be made public this week, which would be in keeping with GM's stated goal of wrapping up the sale by the end of the third quarter. Sounds like HUMMER can expect a lonely weekend at the GM orphanage. [Freep]

The Japan Automobile Manufacturers' Association (JAMA) has decided not to cancel this year’s Tokyo Motor Show, despite most of the world’s automakers pulling out of the event. Skipping the show this year will be the Detroit 3, as well as automakers from Germany, France, Sweden, and China, and now we can add South Korea to that list.

Hyundai, the last major foreign automaker which was scheduled to participate in next month's show, has decided to pull out with just weeks to go, organizers say.

The situation has become so bad that it’s estimated this year’s show will only see half the number of exhibitors as the last...