Articles by Neil McDonald

A leaked Japanese brochure has surfaced of the new CR-Z hybrid sportscar, the spiritual successor to the CRX from the 1990s, ahead of its Detroit Motor Show debut next week. Honda enthusiast websites around the world, including the popular Temple of VTEC site, have splashed pictures and reveal specifications of the stylish little coupe.As the brochure shows, the new hybrid two-door is almost identical to the concept shown at the Tokyo Motor Show in October. The CR-Z is expected to be launched in Japan within months and is also destined to arrive in Australia late this year or early in 2011. It is Honda's first mass-produced hybrid sports car.According to the brochure the CR-Z is powered by a 1.5-litre four-cylinder petrol engine developing 84kW/145Nm, mated to an electric motor producing 10kW/78Nm. It will hit 100km/h in 9.7 seconds and is expect to deliver fuel economy between 4.0 litres/100km and 4.5 litres/100km.The CR-Z is expected to be available with a six-speed manual or continuously variable transmission. Although details are still scarce, the CR-Z is expected to have LED lights in the exterior wing mirrors and daytime LED running lights, leather interior and the option of a satellite navigation system.The CR-Z remains relatively compact. It is 4080mm long, 1740mm wide, 1395 high and sits on a 2435mm wheelbase. This makes it 305mm longer, 65mm wider and 125mm higher than the original, which was on sale here between 1987 and 1998. The wheelbase is also 135mm longer.

It has already won a handful of awards, including the Carsguide green car of the year, but the biggest test for Ford's Fiesta Econetic remains.  Ford Australia chairman and CEO, Marin Burela, is confident the pre-arrival zeal for the country's most fuel efficient car will now be replaced by serious orders.However, he's not putting a figure on sales and with only a five-speed manual in its arsenal, the Econetic excludes a huge slice of automatic-only buyers who dominate the light car segment.Burela believes the buzz around Ford's newest bowser-buster will ensure its success.  "What really makes the Econetic special is that it is affordable," he says.PricingThe Econetic is the most expensive Fiesta on sale, with a $24,990 driveaway pricetag.  Even at that price it still undercuts the automatic Toyota Prius hybrid by about $15,000 and the Mini Cooper D by almost $9000.The Mini D is available with either a six-speed manual or six-speed automatic.  When Ford first announced that it would bring in the frugal hatch, Burela says there were some who doubted the Econetic story and the ability of the company to bring it to Australia."But we proved them wrong," he says.  "Some dealers are already sold out of their Econetic allocation."Burela says the Econetic is the first of a series of Fords that will help give the company fuel economy leadership in every segment in which it competes.  In Europe Ford's Econetic lineup also includes a Focus and Mondeo.  If the Fiesta version is a success locally the company may also add the others.Drivetrain and economy measuresThe Econetic's uses the latest-generation common rail 66kW/200Nm 1.6-litre turbo-diesel and a five-speed manual gearbox tuned for economy.Other improvements include a "green" gearshift indicator, diesel particulate filter, low rolling-resistance tyres and a tyre repair kit in lieu of a spare tyre to help trim weight.The car's ride height has also been lowered by 10mm and there are discrete air deflectors to reduce drag.  The Econetic achieves a combined fuel economy figure of 3.7 litres/100km and a highway figure of 3.2 litres/100km.With just 98 grams of harmful C02 emissions produced from its exhaust for every kilometre, the Econetic also has few emissions than any other conventional internal combustion engine.It is only the second vehicle to achieve a CO2 rating of under 100g/km and the only non-hybrid to get such an ultra-low figure.  The hybrid Prius is the other, with C02 emissions of 89g/km.Styling and equipmentVisually the Econetic is very similar to the rest of the front-wheel drive Fiesta range and is also built in Cologne, Germany.  Equipment is on a par with expectations, with a full suite of airbags, including a driver's knee airbag, anti-skid brakes and stability and traction control.Inside. the cabin is the same as the standard Fiesta CL.  What buyers are really paying for is the technology under the bonnet.DrivingThe remarkable thing about the Fiesta Econetic is that you can drive very economically without even trying.  Not only did we manage to win a mini-economy challenge with the air conditioning on, we even manage to dip below 3.5 litres/100km in 80km/h traffic outside Canberra last week, even seeing 3.0 litres/100km a one stage.Economy aside, it's very hard to pick the Econetic from other petrol models. Fortunately, the huge ‘Econetic’ livery on the test cars was just for the launch.  Whereas the Toyota Prius is an overt green statement in itself, the Fiesta prefers a low-key approach.There's an Econetic badge on the rump that tells part of the story and the discrete aero flaps and wheel trims let people know you're driving something a bit different.  Inside the ‘green’ shift change light lets you know the optimum gearchange, but most people will not know it's a frugal diesel.The 1.6-litre diesel - like many modern common rail engines - is both quiet and punchy low down, ideal for punting through peak-hour traffic. The engine is also rated for 5 per cent biodiesel.At highway speeds, engine noise is almost none-existent and the cabin, as we've experienced with the petrol Fiestas, is a very agreeable place to be with supportive seats, excellent visibility and the latest USB connectivity and Bluetooth expected by young buyers.The ride too is absorbent and handling nimble.  Perhaps the biggest problem with the littlest Ford hatch is a lack of an automatic.  In a market where most younger buyers opt for an automatic, the Econetic makes do with a five-speed manual.By not having an auto option, Ford has effectively halved the car's sales potential because buyers in this class overwhelmingly choose an auto over a manual.The Econetic driving experience might also feel a bit more special if the cabin had a more upmarket feel, perhaps borrowing some of the gear from the European Fiesta Titanium?  Why should frugal motorists miss out on a bit of luxury?Despite these minor quibbles, the Econetic is our new best friend.  Driving more than 1000km between refills is a powerful incentive.Ford Fiesta Econetic Price $24,990Engine 1.6-litre four cylinder turbo-diesel Power 66kW at 4000 revs Torque 200Nm from 1750 revsTransmission: Five-speed manualFuel use:  3.7 litres/100kmRivalsMini Cooper D Mini: fun but at a price ($33,750)Suzuki Alto: Surprisingly adept and an ideal city car ($12,990)Toyota Prius: Technology-plus but dull drive ($39,990)

A front passenger seatbelt reminder light will be added to all TS, TX and Ghia and Turbo Territorys from January 1, giving the car the best-possible Australasian New Car Assessment Program crash rating.When it was initially tested in 2006, the Broadmeadows-built crossover comfortably scored four stars and made do with dual front airbags on the base models.  Since the arrival of the Series II facelift earlier this year curtain airbags have become standard and the car has now been re-engineered for the seatbelt light.Since the facelift and other improvements there has been a modest resurgence in Territory sales, according to Ford president and CEO, Marin Burela.  Demand is such that Broadmeadows employees worked overtime earlier this month to build an extra 321 Territorys.It is the first time since July 2005 the factory has been on overtime.  "We've been planning to do that for a couple of months because there is a strong demand," Burela says.  Burela is confident that when the 2.7-litre V6 turbo-diesel arrives next year, Territory sales will ‘grow it back to where it was’.However, despite the Series II update, the car has remained largely unchanged, with the same interior and six-cylinder petrol engines it had at launch.  Newer rivals in the hotly contested medium off-roader segment, including diesels, are nibbling at the Territory's heartland.Sales have gone from a high of 23,454 in 2005 - its first full year on sale - down to just 9659 year-to-date.  Given its maturity, Burela is reluctant to confirm whether Ford is close to signing off on the next-generation version.  More immediately the future of the Falcon wagon is expected to be decided early next year."It's still doing its job," Burela says."We're clearly looking at a number of options.  "We'll probably come out sometime in the first quarter and advise you about what we're doing with the wagon."Given the arrival of the Mondeo wagon, Ford must decide whether to continue with two load-luggers.  "Right now we can because they appeal to different customers," Burela says.  Ford could further leverage Mondeo wagon sales by introducing a 2.0-litre turbo-diesel but Burela has refused to confirm it."It's too early to say," he says.  However he did acknowledge that a diesel wagon could have strong fleet appeal because of its economy.  "The big opportunity for us is how do we compete with the Holden Sportswagon?," he says "The customer for the Sportswagon is the same as the Mondeo wagon."

When Joerg Hofmann arrived here five years ago, the German brand was an also-ran on the local market.  It trailed its direct established rivals BMW and Mercedes-Benz by significant margins, had a lacklustre dealer network and little brand awareness among premium buyers.But Hofmann, 42, is credited with re-invigorating the brand and tackling BMW and Mercedes head-on.  This year Audi will sell around 11,000 cars, up substantially from 3500 in 2004.  It is on track to grow by 20 per cent this year in a new car market that is down about 10 per cent."We are really in a very good position," he said.Hoffman, who leaves Australia next month to become managing director of Audi AG's retail group in Germany, makes no apologies for his straight-shooting business attitude.  "From my perspective I was sent down to get the Audi Australia business under control," he said."I would think that it's not too bullish and its fair to say that this mission has been accomplished.  Over the last five years we've tripled sales, we tripled market share.  I think we have 60 months of record sales in a row, which is amazing."Audi's whole dealer network has been restructured and improved with around eight new showrooms scheduled to open next year.  This week Hofmann admitted for the first time his cut-through approach was all part of a calculated plan to push Audi to the forefront.  "It was always part of the strategy," he said."We had to create awareness for the Audi brand either way.  "Five years ago the brand was not perceived anywhere either on the customers or competitors side.  "And you have to start talking about the brand in order to get awareness.  It was part of our plan to talk about Audi and our future more offensively.  It would have totally backfired if it didn't work.  But I was confident it would work, and of course it worked better than we thought."Hofmann is happy with Audi's local sales volumes today but says the company could go to 15,000 to 17,000 sales comfortably by 2013.  Its key rivals BMW and Mercedes sell about 17,000 and 18,000 passenger cars and commercial vehicles a year.  However, he said Audi would not chase luxury car sales leadership at the expense of brand image and exclusivity."I would rather leave it about 15,000 cars a year and not stretch us further purely for volume sake," he said.  "I know the other German brand (BMW) has announce plans that they want to go to 20,000 cars.  I believe you should think about these things because a premium brand needs to have a certain degree of exclusivity."By contrast, rival BMW Australia is aiming to lift sales to 20,000 cars by 2015.  At that level Hofmann believes it is not sustainable to chase volume at the expense of profits."If it happens, it just happens at the expense of price, discounting and image," he said.Hofmann said his Australian experience was the best time of his life."But I need a new professional challenge," he said.  The opportunity to lift Audi sales in Germany was too good to bypass as it is still the biggest market for Audi worldwide, ahead of China.As retail MD, he will be in charge of 2000 staff and a market six times bigger than Australia.  Audi in Germany is the number two luxury brand behind Mercedes-Benz with BMW in third spot.Hofmann said he will take some Australian traits back to Germany, including a passion for Jimmy Barnes music and a dog called Sydney.  "Hopefully I can bring back the dry Aussie humour, which I like very much," he said."Hopefully it makes the Germans a bit more relaxed when I come over and be confronted with them again.  But after five years of being here, you have to be careful because you can lose a bit your German way."Hofmann's replacement is yet to be announced but it will be an executive from German headquarters.

The swoopy Audi TT coupe has received an engine transplant to go Porsche hunting.  The leaner and meaner $133,700 TT RS has Porsche's performance benchmark Cayman in its sights.DrivetrainUnder the aluminium bonnet is a turbocharged direct injection 2.5-litre TFSI five-cylinder mated to Audi's quattro all-wheel drive.  It is an engine that has a strong links to Audi motorsport and can trace its roots back to the first Audi quattros in the 1980s.Audi engineers have tweaked the in-line five to punch out 250kW at 6500 revs and 450Nm from 1600 revs.  This gives the RS a zero to 100km/h sprint time of just 4.6 seconds and governed top speed of 250km/h.Buyers looking for a little bit extra can option up the car with a $3900 carbon package that raises the top speed to 280km/h.  To cope with the added performance there are a host of performance additions, from larger 19-inch alloys to beefier brakes and Audi's magnetic ride control. Unlike the Cayman, the RS is available only as a six-speed manual.StylingVisually there are special RS-design elements including a diamond-look grille, large side air inlets and brushed alloy exterior mirrors.  A fixed rear wing spoiler and diffuser insert with oval exhausts complete the picture.Sales Audi Australia expects to sell around 80 a year, according to managing director, Joerg Hofmann.  "Our RS models, while niche, are always very popular for buyers wanting the ultimate in performance," Hofmann says.In Europe the RS is available as a Roadster but this is not coming to Australia, according to Audi product planning boss, John Roberts. Roberts says RS volumes will be small, making up just 5 per cent of overall TT sales. The most popular model remains the 2.0 TFSI.  Roberts says the rest of the TT lineup carries on remains unchanged.The RS will not replace the 3.2 TFSI model, he says.  "There is room for both," he says.  "The 3.2 is still available and it will remain a part of the lineup."BodyThe RS benefits from the newest generation TT's larger, longer and lighter aluminium space frame body.  The four-seater tips the scales at 1450kg and uses 69 per cent alloy construction up front and steel at the back.Equipment and optionsApart from the carbon package, adaptive headlights are $780 and a premium Bose sound system costs $1377 while metallic paint adds $1377.  Standard kit includes Audi designed front bucket seats upholstered in Nappa leather.There is also a DVD-based sat-nav system with MMI operating logic including a glovebox-mounted CD changer, brushed aluminium inlays, a flat-bottomed leather multi-function sports steering wheel, a boost pressure indicator, an oil temperature gauge, a lap timer, automatic air conditioning, and xenon-plus headlamps with LED daytime lights.  The arrival of the RS brings the TT model count up to seven.DrivingAS fashion statements go, the TT RS is the automotive equivalent of Jennifer Hawkins with attitude.  Not only does it ooze style but it has a healthy degree of substance thrown in.  It is no poser either, with a potent five-cylinder engine and stick-like-clue handling.The look is crisp but perhaps more importantly, so too are the car's dynamics, which help lift the TT game to a new level.  It is the brawniest TT by far, with a 10mm lower ride height, fixed rear spoiler, some serious five-spoke alloys on low-profile rubber and a more aggressive body kit.The transversely mounted light-weight 2.5-litre five-cylinder is a treat. It's hard to believe that it can trace its roots to some VW group commercials.  Audi has fiddled with the engine internals though.It gets a vibration damper to smooth out the beat, the pistons are caste aluminium and the crankcase is made from high-tech graphite cast iron for strength and low weight.  At idle the 2.5 has a distinctive five-cylinder pulse and at full throttle gains a wonderfully sing-song note.For a little more spice you can press the "S" button on the console and the car's whole character changes.  The throttle map is changed and the more raucous exhaust lets everyone know this engine is a five-cylinder with attitude.  Not only does the RS sound good, but it also performs as you expect.It will hit 100km/h in 4.6 seconds but that's not the half of it.  The engine will punch through sharp corners, making full use of the quattro all-wheel drive. The six-speed gearshift is precise, if a little notchy.The RS's grip and steering is reassuringly confident while the standard magnetic ride control makes the ride amazingly supple for a sportscar.  However, on the sport setting it is very firm and probably best suited to track days. Audi describes it as "uncompromisingly stiff" and that's a fair assessment.While the engine's mid-range shove is impressive it will still let you doddle along in top gear at 60km/h without complaint.  The TT's cabin is beautifully executed and like all Audis, impresses with its level of quality and attention to detail, even down to the thick  rimmed flat bottom steering wheel.The hip-hugging seats are impressive but for easier access the standard sports seats - a no cost option - may be better for day-to-day use.  At a pinch you can also fit passengers in the rear seats - just.  The RS will certainly make Cayman buyers think twice.But if performance is a key criteria, the RS raises the question of why you'd bother with the TT 3.2-litre V6.Audi TT RSPrice $133,700Engine turbocharged 2.5-litre five-cylinderPower 250kW at 6500 revsTorque 450Nm from 1600 revsTransmission Six-speed manualEconomy 9.2 litres/100km (combined)RivalsPorsche Cayman S Still the benchmark luxury sportscar ($157,300)Nissan GT-R Built for the track rather than the road ($155,800)Nissan 350Z 3.7 Coupe Don't dismiss it just because of the price ($67,990)BMW Z4 sDrive 35i Folding roof adds to the enjoyment ($116,900) Mercedes-Benz SLK 350 Two-seater but heaps of fun ($118,000)

The hotter quattro all-wheel drive coupe is powered by a turbocharged direct injection 2.5-litre TFSI five-cylinder engine that can trace its origins back to Audi’s motorsport heritage and in recent years various Volkswagen commercial vehicles. The tweaked five-cylinder develops 250kW at 6500 revs and 450Nm from 1600 revs, allowing the car it hit 100km/h in just 4.6 seconds and sail on to a governed top speed of 250km/h.However, buyers can option up the car with a $3900 carbon package that lifts top speed to 280km/h. The six-speed manual only coupe is priced at $133,700 and is squarely aimed at the Porsche Cayman S. Audi Australia expects to sell around 80 a year, according to managing director, Joerg Hofmann. “Our RS models, while niche, are always very popular for buyers wanting the ultimate in performance,” Hofmann says.The RS will make up just 5 per cent of overall TT sales, with the volume playing remaining the 2.0 TFSI. Audi product planning boss, John Roberts, says the TT RS would not replace the 3.2 TFSI TT. “There is room for both,” he says. “The 3.2 is still available and it will remain a part of the lineup.”Nor would Australia get a Roadster version of the TT RS, he says. “We have no plans for the Roadster version,” he says.The RS benefits from the newest generation TT’s larger, longer and lighter construction than the previous generation. The four-seater tips the scales at just 1450kg, thanks to its aluminum space frame body. The car uses 69 per cent alloy construction up front and steel at the back. It rides 10mm lower than the standard car and is coupled Audi Magnetic Ride to provide a more stable and dynamic ride while the car is specified with beefier brakes.Flick the sports button on the centre console and it will adjust the car’s acceleration response, exhaust note and firms up the ride.Visually it gets special RS-design elements including a specific diamond-look grille, large side air inlets and brushed alloy exterior mirrors, as well as a fixed rear wing spoiler, a striking diffuser insert and oval exhaust pipes. Australian-specification vehicles get 19-inch alloys, DVD-based navigation with glovebox-mounted CD changer, TTRS bucket seats in Nappa leather, short-shift, manual gearbox for lightning fast changes and a hill start assist.Apart from the $3900 carbon package, adaptive headlights are $780 and a premium Bose sound system costs $1377.The TT RS debuted at the Geneva Motor Show early this year. 

The labels, similar to energy rating stickers for appliances, will be fitted to thousands of new vehicles through 50 Melbourne and Geelong new car dealers.  The labels are part of a six-month pilot program called stars on cars being promoted by VicRoads, the TAC and the RACV.If successful, the program is expected to roll out across the country.Western Australia has already adopted the tags, where research shows that 5 per cent of WA car buyers changed their buying choice after reading the sticker.The labels display crash information from the Australasian New Car Assessment Program.Only vehicles with a four or five-star crash rating will wear the label.  It is the first time such a program has run in Victoria, according to ANCAP council chair and VicRoads manager, vehicle safety, Ross McArthur.Volkswagen, Hyundai, Subaru and Skoda are involved and the TAC's manager for road safety, Samantha Cockfield, says other brands are watching to see how the scheme goes.  "Our hope too is that it will become state-wide," she said.  "We're sure it will have a powerful effect on consumers buying behaviour."Cockfield says the safety sticker will help buyers make an informed choice.  "The new car market is more complex and it's increasingly difficult for consumers to make decision," she says.  "We know that if we put everyone in the safest cars overnight, we could reduce death and injury by a third."Research by the Monash University Accident Research Centre shows that the risk of being killed or seriously injured in a crash varies by up to five times, depending on the car you drive.  "You are more likely to survive a serious crash when you're driving the safest cars on the road compared to the least safe," Cockfield says.Cockfield says safety is also becoming a more important factor in buying a new car.  "It's the second most important factor after price when buying car," she said.  "That's why its so important that people actively look for 4 or 5 star rated cars."Over the past five years the average ANCAP crash rating has moved from three stars to 4.5 stars.  The RACV's chief engineer Michael Case, says ANCAP is now widely accepted by the car industry and consumers.  "Initially carmakers resisted it but now they accept it," he says.  "It has been around for 16 years."

Mr Reuss ran GM-Holden from Melbourne for 18 months. He left Australia in September.  In a press conference with US journalists, Mr Reuss praised GM-Holden and the Federal Government's initiative to help the local car industry through the global financial crisis. He was responsible for cementing a financial plan that allowed the Australian arm to survive the global shake-out triggered by GM's move into Chapter 11 bankruptcy protection.  Some analysts see his experience here as a template for change at GM, the famous car maker axing thousands of jobs globally, killing four of its brands and being pump-primed by a $US50 billion US government bailout. Mr Reuss admitted that during the GM's Chapter 11 proceedings, the local operations were effectively cut off from Detroit.  "My experience in Holden - I'm an engineer - and going through a parent company's bankruptcy in Holden as a subsidiary means that you get everything cut off in a foreign country on a funding basis to go put back into product development and sell and market and to become a stand alone entity, which is what we did," he said. "Instead of bailout money or loans through this financial crisis, we put together a plan that was a co-investment of about $6.3 billion with the government to reinvent Holden, Ford and Toyota.  "We got that through." Reuss said that as the Australian car industry reinvented itself "we put through a lot of marketing and sales on a self-funded basis that drove a lot of cash generation.  As GMAC and GE Capital pulled out of the market on a finance basis we went in with a backstop to finance those companies," he said. "So this was make your own luck, you're a long way from anything else and hope you guys survive.  We more than survived.  We put the company back into a place where it's going to make a lot of money.  I think that experience for me going in (to the new role) as an engineer - I was a financier, banker, engineer, and product development manufacturing guy - was very challenging and I had a blast." Reuss acknowledged that there was a need for great change at GM.  "Now we're positioning ourselves to win and have the American people proud of us," he said.

Called Youthmobile 2030, automotive design studios were asked to conceive ideas, sketches and even models of what a new generation of drivers - raised with cell phones, online communities and webcams - will demand from their vehicles in the year 2030.The Nissan V2G - Vehicle to Grid - was chosen for its holistic approach in answering the future's design questions.  The consensus among judges was that the future car will be much more integrated and the V2G delivered a great vehicle design that took environmental aspects into consideration.A director of Design Los Angeles and partner in The Design Academy, Inc, Chuck Pelly, says this year's presentations were very impressive."In the end, it came down to which team had the most inventive and solution-oriented design,'' he says."Nissan's designers showed passion and were able to create the ultimate Youthmobile for 2030 with their V2G design.''  Audi, GM, Honda, Mazda, Nissan and Toyota also competed.Designs ranged from vehicles that incorporate human DNA allowing changes in the shape, color and materials to cars that link into a mass transit system where drivers not only share the commute but trade music and compare class schedules.

When Tiger Woods sidelined his 2009 Cadillac Escalade after hitting a fire hydrant and tree it became one of the most photographed cars in the world. It has now been revealed the black Escalade is part of General Motor's promotional fleet and not even owned by Woods. After the golfer's multi-million dollar promotion deal GM brand Buick ended last year, he made a deal with the carmaker to borrow several cars, including the Caddy, for his personal use. A Cadillac spokesman in the US, David Caldwell, has confirmed the Escalade is a loaner. "This loan derives from the fact that Mr Woods was a close partner/spokesperson of Buick, another brand within our corporate structure," he says. "That relationship ended earlier this year, at least in terms of the official contractual relationship. "But of course strong bonds were formed between Mr Woods and several folks inside the company, hence the loan of this vehicle." If the Escalade was repairable, including the back window allegedly smashed by his wife, it could be fixed and put back on the GM fleet, or replaced.  Caldwell says the damage is now being assessed. "After that it could be retained by us, could go back into some sort of service at our behest, or it could be auctioned someday," he says. "Some of the other press reports have made it sound like it is certainly headed for auction... and that's a bit over-stated. "That's one possibility. Nothing imminent. The car's in our possession and that will likely remain the case for quite some time to come." Like many carmakers, GM regular on-sells its low-mileage promotion vehicles at auction. If it does go under the hammer, the car's now infamous reputation could be worth much more than its $US63,000 sticker price.