Articles by Neil McDonald

In welcoming the $2 billion takeover of Volvo Cars Corp by the Geely automotive group, Desselss said it would be business as usual in Australia.  "Now that it's done I think we can move forward with a lot more certainty and conviction," he said.Desselss welcomed yesterday's announcement that the Geely car company will pay Ford $2 billion for Volvo Cars Corp.  The price includes a $200 million note and the remainder to be paid in cash. Ford bought Volvo for $6.5 billion in 1999."It's a bargain for Geely," Desselss said. "I don't think too many Western companies have that sort of money."  Desselss said Geely understands where Volvo should be heading."They want Volvo to continue to grow and they're prepared to invest in it," he said.  Desselss says the biggest opportunity for Volvo was in the Chinese premium market."The Chinese premium segment is scheduled to grow quite significantly over the next five to 10 years.  It is expected to grow from 40,000 cars to 600,000 cars by 2019."There are massive growth opportunities for any manufacturer in China.  Clearly, as a Chinese-owned company now obviously that's got to improve quite dramatically."Geely is one of the fastest growing Chinese brands, with a range of competent small cars.  Last year it sold more than 325,000 vehicles there, slightly less than Volvo's figure of 334,000 cars globally.The Swedish brand already has a small presence in China, selling 15,000 locally built S40 and S80s there last year.  However, Geely executives believe Volvo can sell upwards of 200,000 cars a year in China alone.Under the deal Ford will continue to provide Zhejian Geely Holding Group Co Ltd with powertrains, stampings and other vehicle components.  It will also provide engineering and IT support and access to component tooling for a set transition period.Geely chairman Li Shufu said Volvo would retain its identity and strategic independence.  The Ford sale comes on the back of General Motor's decision to offload Saab to the Dutch sportscar maker Spkyer and Hummer to the Chinese.Geely roughly translates to "I am lucky".  It's Volvo who could be the luckiest.

Their success has taken some of the heat out of the troubles the brand has experienced trying to build local sales momentum. When the first limited run of 85 Clio Renault Sports arrived in 2001 they sold out quickly. It subsequently established itself as a highly desirable enthusiasts' car.The story is the same for the newest Clio Renault Sport 200. Dealers have already snapped up their allocations and queues are forming for the 100 expected to arrive over the next 12 months.Price and marketTwo versions are available, the $36,490 Sport 200 Cup and the $38,990 Sport 200 Cup Trophee, which replaces the R27. Renault Australia managing director, Rudi Koenig, says he expects the Trophee to make up the bulk of orders. Koenig admits that Renault has been doing it tough, particularly as it did not sell any vehicles last year to rental fleets.However, he says Australia is now getting better attention from France. "We have more focused support," he says. "The Sport 200 is an important car for the brand too. "It is important for our enthusiast base and as a halo for the brand."Drivetrain and equipmentThis halo car continues with a normally aspirated 2.0-litre four cylinder, developing 147kW at 7100 revs and 215Nm at 5400 revs, up 2kW over the old car. Renault does not feel the Clio needs turbocharging to beat its competition. It will still hit 100km/h in a respectable 6.9 seconds and has a top speed of 225km/h.Both models have the appropriate go-fast bits, from rear diffuser, high-performance Continental tyres, flat underbody, 17-inch alloys, quicker steering ratio, powerful Brembo brakes and sports suspension. The front suspension is what Renault calls a ‘double axis’ strut set-up using aluminium components to shave 7.5kg off the suspension weight.The rear torsion beam has been firmed up 25 per cent and a thicker anti-roll bar fitted. Safety kit runs to eight airbags, switchable electronic stability control, anti-skid brakes and traction control. The Trophee has a hands-free ignition card, heated and folding rear view mirrors, Recaro sports seats, 17-inch BeBop alloys and carbon fibre highlights.DrivingAll the questions about the previous Clio Renault Sport have been answered. The previous 2.0-litre four was a great engine but didn't deliver its best until very high in the rev range. It was too peaky. The newest 2.0-litre is sweeter and more flexible, with a flat torque curve that still manages to deliver a considerable shove in the back when you bury your foot. Renault says that 95 per cent of the torque is produced at 3000 revs. That means plenty of urge is on tap exactly where you need it.The new six-speed manual is crisp and the first three ratios are shorter to provide better low-down response. Buyers also preferred the Cup chassis which is the standard now. They also said the interior was too spartan so now it's appropriately prestige with a touch of class absent in the previous models.Finally, a $1500 haircut off the entry price and $1000 off the Trophee, which replaces the R27, is also expected to win friends. Although our drive experience was restricted to a racetrack, not the most ideal road to assess a car, the Sport 200 remains true to its pedigree.You can throw it into a corner with confidence, even with the stability system disabled. There's no torque steer, and power gets to the ground without fuss. The brakes are almost ridiculously powerful for the size of the car, the steering sharp and the body control impressive. The breed has been strengthened and the driving experience enhanced.

This dinky "gumball blue" two-seater, called the Xiao, was designed by GM-Holden designers in Port Melbourne to showcase 21st century thinking. It is one of three General Motors concepts destined for this year's World Expo in Shanghai.Called EN-V (for electric networked vehicle), the three carbon fibre commuter cars use high-tech electronics to interact with other drivers and the road network. Former GM-Holden executive, Kevin Wale, now president and managing director of GM-China, boldly says the concepts ‘reinvent the automobile’."It provides an ideal solution for urban mobility that enables future driving to be free from petroleum and emissions, free from congestion and accidents," he says.The Xiao, which means laugh, will be joined by the Jiao and Miao. The Jiao, which means pride, was penned by GM's European designers and the Miao, which means magic, came out of GM's advance design studio in California. The cars have evolved from an electric prototype developed last year by Segway.Each is powered by two lithium ion electric motors in each of its driving wheels that give the cars a commuting range of 40km. They can be recharged using a conventional household power outlet and can search the electricity grid to find out the most suitable off-peak time to recharge. Using drive-by-wire technology, the electric motors not only power the car but act as brakes.At just 1.5m long, they are even shorter than a tiny Smart ForTwo and have a footprint about a third of the size of a small hatchback. Extensive use of carbon fibre and other high-tech materials have kept weight to just 500kg without compromising safety.A global positioning system, car-to-car communication and distance-sensing technologies allow them to select the best drive route while external sensors and cameras means the cars can react quickly to obstacles or changes in driving conditions.Each takes a different view of modern motoring. The Miao's sleek looks and LED lighting takes its cues from household electronics while the Jiao draws its influences from the Japanese bullet trains and Chinese opera masks.

Subaru's venerable WRX sedan and wagon have gone STi hunting for 2011. For the first time the WRX uses a wide-body design similar to the Impreza performance flagship. The newest Rex is due in local showrooms around September. Subaru Australia spokesman, David Rowley, says despite becoming an STI lookalike, the new WRX has different bumpers and grille and lacks the STI's quad exhausts. "It's not dissimilar to the STI but there are differences," he says. "The redesign gives the WRX a little more presence." Rowley says the newest WRX continues Subaru's pattern of evolving the WRX with each model update since it was launched in 1994. "Each new model raises the sophistication levels bit-by-bit," he says. The wider body not only gives the car more attitude but the track is also wider to enhance handling. Both the front and rear track have grown 38mm to 1534mm front and 1538mm rear. The car also gets firmer rear subframe bushings and wider 17-inch wheels and tyres for better grip. The standard wheels are now 17x8 versus 17x7s in the 2010 model and tyre sizes are now 235/45 R17 versus 225/45 R17. Power and torque figures for the 2.5-litre turbo-charged four cylinder are expected to remain the same. Visually the Rex gets sharpened bumper corners and wider, blacked-out foglight surrounds. A jutting lip spoiler with three-dimensional detailing emphasises the cars' sporty intent. The grille gets a black base and blacked-out Subaru wing highlights, accentuated by a larger grille and bumper air intake. Subaru says the new design details contribute to a modest improvement in the car's drag coefficient. The car is being unveiled next week at the New York Motor Show.

It got the axe yesterday after a lingering showroom sickness that has seen sales spiralling downwards for more than five years.  "It's time to retire the Falcon wagon," Ford's president and CEO, Marin Burela, said yesterday. "We have moved on."  The last Falcon wagon will roll off the Broadmeadows production line in June. It will be replaced by the smaller Mondeo wagon, which will be available later this year in both petrol and diesel engines.  The news came as a shock to Kilsyth electrician, Brenton Simpson, who owns a 2000 AU Series II wagon. "It's a bit of a surprise because they are such good cars," he said.  "I can load up five people and their gear and head away, no problems."Simpson bought the car three years ago and has spent about $6000 fixing it up, fitting a more powerful XR6 engine, gearbox and running gear.  It is used as his every day car, sometimes carting tools for work. However, he understands that if the car is not making money, it had to go.  "If it's not viable then you can understand Ford's decision," he said. Burela said it was a hard decision but a necessary one.  "Traditional wagon buyers still have an option with the Mondeo wagon," he said. Of the 31,000 Falcons sold last year, just 2500 were wagons.  The wagon's demise is the second such loss of a great Aussie Ford in recent years. Ford axed its luxury Fairlane and LTD in 2007, citing declining sales.  The big Falcon wagon has been a favourite of Telstra and other large fleet operators. However, it has been on Ford's kill list because of declining private sales and popularity of the Territory.  The current model wagon can trace its roots back to the 1998 AU model. It has received little in the way of design or equipment upgrade in recent years.  The first Falcon wagon, the XK, arrived in November 1960.

Quentin Renaud and Tristan Villemain's beaten up but much-loved Citroen 2CV arrived in Melbourne last week after a 4000km drive from Perth via Alice Springs.

However, be prepared to dig deep for the privilege of owning the Porsche-killing American supercar.  The ZR1 will cost around $300,000, more than double its North American price.Peter Whiston, who owns the Bundoora-based conversion company Corvette Clinic, plans to use the sleek American musclecar as his own personal transport but if anyone wants one he is prepared to do more. Whiston's company has 30-years experience converting the sportscars. It has a solid business with the C6 Corvette and Whiston believes the supercharged ZR1 could attract a small following. But he makes no apologies for ZR1's high price."There's a lot of local engineering input into the car," he says. Corvette Clinic even sources the leather dashboard material from the same orginal US supplier to Chevrolet. "We love Corvettes, and to be able to have this car - the first right hand drive example in the world - is a real thrill," he says.The company is the only Australian operations with the compliance paperwork to work on the ZR1. "We don't make a big song and dance about what we do, but we really are proud of our work," Whiston says.Although the ZR1 is based on the C6, the small operation faced many challenges to overcome. "The interior and dash is the most obvious and visual area of any conversion, and the ZR1's interior and leather-wrapped dash are unique," Whiston says.Whiston says GM in the US has been on board with the project from the start and even Bob Lutz - former chairman and product tzar - gave the local team the thumbs up. So impressed were GM officials that they say the car could have come straight from the US factory.The 476kW/819Nm supercharged and intercooled 6.2-litre V8 is mated to a six-speed manual gearbox, which pushes the powerhouse to 100km/h in less than 3.4 seconds and on to a top speed of 330km/h. It bristles with state-of-the-art technology, including carbon-fibre mudguards, roof and bonnet to save weight.The high-performance Brembo carbon-ceramic brakes are among the best-performing stoppers fitted to any production car in the world. The suspension has also been tuned to match the huge 19-inch front and 20-inch rear wheels and tyres. The aluminium V8 is hand-assembled using heavy duty, lightweight componentry and is fitted with the latest intercooled Roots-type supercharger. The close-ratio six-speed manual transmission has been upgraded to handle the power and torque.The ZR1 shares its Magnetic Ride Control with other GM products, including the local HSV GTS. Inside the "dual-cockpit"  design features include lightweight, heated, electric leather seats, along with head-up display, navigation system and Bose sound system. Safety equipment includes a full suite of airbags, traction control and active damping system."The Corvette is such an iconic vehicle that there always seems to be a demand for cars and conversions," Whiston says.

A tough common-rail turbodiesel engine being rolled out in the Nissan Navara could find soft-road duty in the Murano.  The new 2.5-litre diesel goes on sale in the Navara in April. However, Nissan Australia spokesman, Jeff Fisher, says the engine could find its way into the Murano, which currently uses a 3.5-litre V6 petrol engine.  "We are studying it," he says. "However, it's not an immediate priority for us." The diesel Murano has just gone on sale in the UK.  Fisher says that as the engine is built in Spain to go into the Navara, the biggest hurdle getting it into the Murano would be price.  "We'd have to see how it fits," he says.  In the European Navara and Pathfinder, the 2.5-litre dCi develops 140kW at 4000 revs and 450Nm at 2000 revs and delivers a combined fuel economy figure of 8.5l/100km. Designated as the YD25 engine, it comes with either a six-speed manual or five-speed automatic.  However the Murano version gets a six-speed automatic with adaptive shift control instead of the V6 petrol's CVT automatic. In the Navara, the YD25 engine has been updated for better combustion and improved intake and exhaust flow.  A new electrically controlled variable nozzle turbo replaces the previous hydraulic system to provide quicker response. The Euro5 compliant engine also gets a diesel particle filter.  Like the V6, the Murano diesel sticks with Nissan's proven All Mode 4x4-i technology, which sends power to the rear-wheels when a loss of stability or traction is detected.  Meanwhile, off-road lovers will have a long wait for the newest Patrol.  Nissan expects 300kW/550Nm V8 to arrive here early next year. Although launched with the V8, Nissan is believed to be looking at a 3.0-litre V6 turbo-diesel, shared with some Renault models, to add into the lineup.  The V9X V6 is available in other Nissan models in Europe but Nissan Australia spokesman, Jeff Fisher, believes the V8 will satisfy most customers. "The new Patrol is a huge leap," he says. "It's not the rock-hopper it was."

More mature guidance for longer is the preferred path of Professor Ulrich Mellinghoff, the vice-president of safety engineering at Mercedes-Benz. He says a 16-year-old or 17-year old learner driver in Germany must be accompanied by someone at least 30 years old for one year. “We have seen in Germany that this has reduced accident rates by 20 per cent,” he says. "This is a good solution, it gives young people time to learn what is important in real-world traffic.” Apart from delaying full licenses for beginners, Mellinghoff predicts that future crash avoidance systems will focus on pedestrian safety. Among his crystal ball gazing is 360-degree guidance systems cameras to help drivers monitor conditions, car-to-car communications to report road dangers and better pedestrian-avoidance systems. Mellinghoff says Benz is working on a pedestrian system that not only avoids a pedestrian - like the latest Volvo system that automatically brakes to prevent hitting people - but will steer the car around them. “We are now working on several different options with prototypes,” he says. Another option is to link any pedestrian avoidance system to the car’s high-beam headlights so they can specifically flash at the pedestrian to warn them. “The first step was night view and the next step to highlight the pedestrian. We can do that relatively cheaply with conventional high beam systems.” Mellinghoff credits brake-assist systems in today’s German cars with reducing pedestrian accident rates by between 15 to 20 per cent. Car-to-car communication is also getting closer all the time. “I am confident it will be available in two years. It will check between cars on the road conditions, accidents or other problems.” But Mellinghoff says the use of real-time technology to make cars stick to posted speed limits is unlikely. “You can do it but our customers don’t want it. There are situations too when you may need to accelerate to avoid an accident.” Mellinghoff has clear views on speeding. “I don’t think that speed alone is the problem, it’s the wrong speed in the wrong situation,” he says. In the former West Germany there were 22,000 people killed in car crashes in 1972, but the number has dropped dramatically. "Last year 4100 people were killed and this was with 20 million more people in Germany because of the addition of East Germany, as well as so much more traffic on the roads. And we still have unrestricted speed limits."

BYD, which is virtually unknown outside China, has done a deal with Mercedes-Benz and will collaborate on a joint-venture electric car. The Chinese company is putting up its battery technology and e-drive systems while the Germans will contribute the electric-car knowledge and experience. The tie-up could also have a surprising side-effect - improved safety for Chinese cars."It is a co-operation between the most senior automaker and the most junior," says BYD's general manager of international sales, Henry Li. "We know the requirements for safer cars and we will have cars that meet those standards. We are very keen to make sure all our cars pass the crash tests."Mercedes believes the tie-up with BYD is a win-win business model. "Daimler's knowhow in electric vehicle architecture and BYD's excellence in battery technology and e-drive systems are a good match," says company chairman, Dieter Zetsche.The two companies will also collaborate on a technical centre in China to develop and test the electric car, which will be marketed under a new joint-venture brand specifically for China.BYD is moving ahead rapidly on the electric front and showed its new E6 electric wagon and F3DM electric sedan at the Geneva Motor Show.The E6 has a range of 330 kilometres between charges using what BYD calls the 'Fe lithium-ion phosphate battery' and a 74kW/450Nm electric motor. The car's battery can be recharged to 50 per cent capacity in 30 minutes and the pack has a 10-year lifespan. The car will hit 100km/h in less than 14 seconds, with a projected top speed of 140km/h. The E6 will be sold first in the USA and then Europe in 2011, with both front and all-wheel drive.Li says the first target is taxis and large corporate fleets. "We don't expect to build high numbers but it is an important car for us," he says.BYD is aiming to be China's best selling car company by 2015 and on top of the world by 2025. It is already sixth of China's domestic brands, with sales of 450,000 cars in 2009. But Australia is not a target yet. "We want to concentrate on America and Europe first, and obviously our home market," says Henry Li.