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John Mellor's Australia’s Number One Automotive Industry Journal
GoAuto News
February 4, 2009 60,000 READERS WEEKLY No. 468
The word is out:
Mazda3 outsells Commodore, Corolla.
And an all-new MPS is
around the corner...
- page 8
Market hits skids
New-vehicle sales slide again in January as fi nancial crisis bites most brands
By IAN PORTER
NEW-VEHICLE sales in Australia
plunged more than 18 per cent in January
as the global fi nancial crisis continued to
undermine confi dence and shake up the
automotive sector.
Industry sources have told GoAuto that
the three local manufacturers were all down
by 20 per cent or more, with importer Mazda
outselling its main shareholder Ford to take
third place overall. In so doing, the Mazda3
pushed past the Holden Commodore and
Toyota Corolla to take the number-one spot
on the bestsellers’ list.
GoAuto understands that market leaders
Toyota and Holden were among the biggest
losers in January – traditionally a month
where fl eet sales are lower than usual –
although reports indicate many marques
were down between 15 and 25 per cent.
Of the brands to post higher sales in
January, leading South Korean importer
Hyundai was up 16 per cent and German
luxury marque Audi climbed 5.5 per cent
over the corresponding month last year.
Combined with the decline in the overall
market, Audi’s market share is likely to
exceed a full one per cent for what is believed
to be the fi rst time. A 30 per cent rise in sales
in 2008 lifted Audi’s share to 0.9 per cent.
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“It may not be as explosive as it has been in
the past, but 5.5 per cent on top of a historic
high in January last year is excellent for us,”
said Audi Australia corporate communications
general manager Anna Burgdorf.
“We are extremely happy to have such a
strong result. It’s only one month, but we
didn’t stop, let things go down in December,
knowing ’09 would be tough.”
The overall sales data has set the scene
for a sobering year, with some insiders
suggesting that, later this year, the January
fi gures might look relatively good.
There are strong warnings that sales may
turn more sharply downward once 2008
inventory has been cleared and 2009 prices
– supercharged by currency moves – are put
in place in coming months.
Stock levels are running high across
the industry, particularly in the luxury-car
sector where inventory averages more than
120 days, more than twice the usual level.
The total market subsided to around
67,000 cars and trucks, 18 per cent below
the 2008 January total of 82,270 units. It
was the lowest January since 2004.
The weak result is in line with the falls
seen in the last four months of 2008, when
registrations dropped 11.4 per cent, 22.2
per cent and 11.3 per cent respectively in
October, November and December.
FCAI chief executive Andrew McKellar
would not be drawn on January sales ahead
of the offi cial VFACTS due out today
(February 4), warning against relying on
unoffi cial numbers compiled by some of the
manufacturers. “They are not comprehensive
and are open to manipulation,” he said.
Many of the people contacted were quick
to point out that the unoffi cial fi gures they
had seen actually looked worse than they
really were.
“It looks like it is plummeting, but only
because the fi rst half of ’08 was so high,’’
said Nissan Australia marketing general
manager Ross Booth. “I reckon the fall is
over-infl ated by how much the market was
up last year in January to June. Last year’s
fi rst half was extremely strong.”
Mitsubishi Australia was also trying to stay
calm. Spokesman Rob Chadwick said: “We
haven’t seen VFACTS yet, but we expect the
market to sit somewhere near where it was
three or four years ago.
Continued next page
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GoAuto News February 4, 2009 Page 2
No 2009 AIMS
This year’s Sydney motor show is offi cially cancelled
as promoters strike twin-city deal for 2010 onwards
By MARTON PETTENDY
more than 18 months.
THE organisers of Australia’s two largest GoAuto has learned that while the FCAI’s
motor shows yesterday announced a deal to preference is for it to be brought forward to
alternate the Australian International Motor a mid-year date, it remains locked in at the
Show (AIMS) annually between Sydney Darling Harbour Convention and Exhibition
and Melbourne from 2010, offi cially putting Centre in October 2010.
an end to this year’s Sydney event.
FCAI chief executive Andrew McKellar
The new 50/50 joint-venture between said the fi rst joint-venture show would be
Sydney show promoter, the Federal held in Sydney next year.
Chamber of Automotive Industries (FCAI), “At this stage the date for that will be
and Melbourne show promoter, the Victorian October 7-17,” he said. “There is a general
Automobile Chamber of Commerce ( (VACC), ), view in the industry that a move to somewhere
was forecast by GoAuto last
toward the middle of the year for
October after poor attendance
the timing of the show would be
at the 2008 AIMS in Sydney,
preferred. But there are certain
which was boycotted by a
logistical diffi culties in securing
number of high-profi le vehicle
availability of the (convention
brands as they lobbied for a
centre) venue at that time.
single annual international-
“At this point we do have an
standard auto show.
Andrew McKellar existing booking for those dates
The fi rst event to be held under the joint- in October, so unless there is any change on
venture agreement will be the 2010 AIMS in that front those will be the dates for the fi rst
Sydney, making this month’s 2009 AIMS in joint-venture show.”
Melbourne the only motor show to be held Mr McKellar said that rather than attract
in Australia this year.
criticism for creating too big a gap between
While the 75th Melbourne show, which the nation’s major motor shows, the hiatus
opens on February 27, is billed as the last would be welcomed by the automotive
“solo” show, it is also likely to be Australia’s industry in a sales year that is expected to be
last international-standard motor show for signifi cantly slower.
John Mellor's
GoAuto News
PUBLISHER: John Mellor
EDITOR: Terry Martin
MANAGING EDITOR: Marton Pettendy
JOURNALISTS: David Hassall, Philip Lord,
Byron Mathioudakis, Ian Porter, James Stanford
PRODUCTION AND GRAPHICS: Chris Harris, Luc Britten
SUB-EDITOR: Ron Hammerton
NEW MODEL DIARY: Lou Paolino
Produced by GoAutoMedia: Ph: (03) 9598 6477
newsroom@mellor.net
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Australia’s new-vehicle market hits the skids in January
Continued from previous page
“We have seen the peak (in 2007 and
2008) and have come a bit lower than it. But
certainly we are not seeing a collapse. It’s a
little less, but nothing overly concerning.”
Mercedes-Benz believes buyers have
been spooked by the fi nancial crisis when,
in fact, economic conditions do not justify
such a retreat from the market. “People
think it is worse than it is,” said Mercedes-
Benz Australia/Pacifi c spokesman David
McCarthy. “Perception and reality are still
some way apart,” he said, arguing that buyers
were more pessimistic than was warranted.
“Unemployment is still under fi ve per
“Our staff soon realised the system was a lot simpler to use. Plus, their
biggest complaint with the previous DMS was the lack of support and I
said, ‘That’s not going to happen with Auto-IT - it’s not the way
they do things’. Overall, I’ve got to say, the transition was very
easy, to be honest.” Michael Algie – Service Mgr, Knox Ford
+61 3 9349 3062
www.auto-it.com.au
GoAutoNews, G A t N December 3, 2008
“Obviously there’s signifi cant commercial
pressure there at the moment,” he said.
“This gives us some breathing space before
the next event and allows us to undertake
comprehensive planning and development
for that next event.
“That’s what we have as confi rmed
booking. I think it would be very diffi cult,
given all the constraints, to change that
overnight.
“There is a desire to work towards that
objective, but what we’ve done here is take
an important fi rst step. There was a clear
consensus within the industry that we needed
to move to a more sustainable model and we
have taken the bit between the teeth and we
have achieved that outcome. I think that’s a
signifi cant step forward for the industry.
“The two organisations – the FCAI and
VACC – have heard what the industry was
saying and we’ve responded accordingly.
I think it will deliver a far better quality
outcome for the industry overall.”
Continued next page
cent. So there is still very high employment.”
Even red-hot deals were not generating
strong responses, he said. “We have an
offer on E280 Sports and CDI of $280
week with no residual risk. That’s an offer
that the punters have never seen before, but
they are still very diffi cult to part from their
money. The market is not happy.”
And buyers who cannot take advantage of
the current crop of extraordinary offers may
fi nd the 2009 prices set to be introduced by
various manufacturers too much to bear
when they fi nally are ready to buy.
FULL STORY: CLICK HERE

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GoAuto News February 4, 2009 Page 3
Superb start start for MIMS
Skoda fl agship confi rmed
for Melbourne show amid
strong advance ticket sales
By MARTON PETTENDY
SKODA’S Superb fl agship is the latest
new model to be confi rmed for the 2009
Melbourne International Motor Show
(MIMS), for which online ticket sales are
51.9 per cent ahead of last year.
While Volkswagen’s Czech brand has
made no secret of its plan to sell the secondgeneration
Superb in Australia – indeed,
it said it would when the all-new Passatbased
model was fi rst revealed globally in
December 2007 – GoAuto has learned the
company will announce full pricing and an
on-sale date at Melbourne.
Expected on sale in April – the same
month the brand’s facelifted Octavia range
hits dealerships – the redesigned Superb
made its global public debut at Geneva
last March and will be powered by either
118kW/250Nm 1.8-litre TSI turbo-petrol or
125kW/350Nm 2.0-litre TDI turbo-diesel
four-cylinder engines.
The Commodore-sized Superb liftback,
which should kick off here from about
$35,000, will be joined by a fi ve-door wagon
derivative early next year.
Melbourne and Sydney motor show promoters strike deal to alternate from 2010
Continued from previous page
Mr McKellar said the delay in announcing
the joint-venture show deal was not due to
an attempt to secure an earlier Sydney show
date in 2010 before the announcement.
“No, not at all. We’ve been having those
discussions with the venue separately,” he
said. “We’ve been close to agreement for
some time, but as with all these things it’s a
complex process and we had to get it right.
“There’s been goodwill on both sides and,
really, it was just a matter of nutting out the
detail in the agreement. That’s been achieved
and what we’ve now got is a good outcome
that’s in the interest of the industry.”
Before then, expect Skoda to stage local
launches of the upgraded Octavia RS and
Scout, plus the redesigned Fabia small car.
The Superb joins a host of new models
for the 2009 MIMS, including Lexus’
redesigned RX luxury SUV, which will be
shown in both 204kW 3.5-litre petrol V6
and RX450h hybrid guises ahead of the
RX350’s Australian launch mid-February.
Sales of the petrol-electric RX450h, which
also made its global debut at the Los Angeles
motor show last November, will follow.
As previously reported, the RX will be
joined on the Lexus stand by the V10-engined
LF-A Roadster, while other confi rmed debuts
for the 75th Melbourne motor show from
February 27 include the facelifted Octavia,
Volkswagen’s RPU (Robust Pick-Up) utility
Mr McKellar said he did not expect a
negative reaction to the announcement from
the NSW government or Sydneysiders. “I
don’t think so. We’ve sought to keep all
the stakeholders in Sydney and in the NSW
government informed as to what’s going
on, and equally in Victoria,” he said. “At
the end of the day what we had to do was
put the interests of the industry fi rst.
“A more sustainable model had to be found,
so we went forward with that objective.
“The general feedback I’ve had from all
stakeholders is very understanding and very
positive – I think they know it is better that
we get a sustainable model in place.
Superb
concept, BMW’s M1 Homage concept, the
Lotus Evora and Audi’s Q5 compact SUV,
which goes on sale here in the second quarter,
priced from under $60,000.
Also previously confi rmed are the
Lamborghini Gallardo LP560-4, Honda
Insight, Bentley Continental GT Speed,
Toyota Prius MkIII, Mitsubishi i-MiEV,
Subaru Stella EV and Peugeot 308 CC.
Hyundai’s i30cw (crossover wagon)
will also make its Australian-specifi cation
debut in Melbourne, before it goes on sale
here in March. Based on the acclaimed i30
hatchback, the German-designed wagon is
230mm longer and 40mm taller, liberating
extra rear legroom and luggage capacity.
FULL STORY: CLICK HERE
“The new relationship will allow a new
direction while maintaining the tradition
and heritage of the motor shows in the two
capital cities.
“We are already making plans for Sydney
in 2010 and are confi dent that under the
new agreement, it will be an exciting and
well-supported show.
“The new model is viable and sustainable
and takes into account the views of the
many vehicle brands who considered the
proliferation of motor shows in Australia as
being too costly.”
FULL STORY: CLICK HERE

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GoAuto News February 4, 2009 Page 4
Dealer stock rebuff
Tensions rise as some
car companies downplay
practice of ‘dumping’ stock
By JOHN MELLOR
REQUESTS by dealers in New South
Wales for assurances from car importers and
manufacturers that they would not impose
increased cost burdens during the fi nancial
crisis have been effectively fobbed off – in
public at least.
After an emergency meeting of dealer
members of the MTA of NSW late last year
in the wake of falling sales and uncertainty
over fl oor plan funding, the association
wrote to each car company requesting
their assurances that dealers would not be
fi nancially burdened by having huge stocks
of cars imposed on them.
The letters said the dealers were concerned
they would be sent unwanted stock or
stock that they did not order. This would
be automatically charged to the dealership
on delivery. The association also raised the
issue of penalties being imposed on dealers
that did not take slow-moving or obsolete
stock they did not want.
The dealers were concerned some
companies were sitting on such mountains
of cars caused by ambitious ordering on their
factories that they would pass those cars on
to retailers who would be expected to carry
the holding costs. The concern was that this
extra expense could tip many dealerships
out of business.
The MTA of NSW also raised the issue
that insistence by car companies to meet
expensive corporate capital expansion
projects should be put on hold until normal
times return.
Assurances were sought that programs
would be put on hold where these would
place fi nancial stress on dealerships during
the downturn.
GoAuto understands that only about half
the car companies operating in Australia
replied to the letters and, of those that did
reply, most effectively said that no such
assurances to the association would be
forthcoming because these issues would be
handled between their dealer groups and the
companies.
The letters are said to have stressed the
strong relationship between dealer groups
and car companies and that dealers had the
opportunity to raise these issues individually
or in internal company-dealer forums or
through dealer councils.
While on the surface the MTA of NSW
requests appear to have been ignored, many
dealers are said to have been encouraged by
the number of car companies that replied.
Others are reporting that behind the
scenes the issues of stock and capital
spending pressures on dealers have been
elevated on the radar screens of car company
managements and some discussions are
underway in some companies.
Tick for fi nance rescue plan
By IAN PORTER
A RADICAL car dealer funding body
created by the federal government appears
to have largely accomplished its aims
without lending a single dollar.
Many dealers abandoned last year when
the two major US fi nanciers pulled out of
the industry have found other sources of
funding, according to the Federal Chamber
of Automotive Industries (FCAI).
FCAI CEO Andrew McKellar told
GoAuto that feedback from dealers suggested
a substantial proportion of those affected by
the withdrawal of GMAC and GE Money
had been successful in fi nding alternative
fi nance. He said he believed the creation of
the government’s so-called Special Purpose
Vehicle (SPV) had put a fl oor under the dealer
fi nance market and prompted alternative
fi nanciers to move quickly.
“Apart from anything else, the presence
of the SPV has placed additional pressure
on some of those other existing fi nanciers
to speed the process if they were going to
enhance their market position as a result
of the withdrawal of the two established
fi nanciers.”
FULL STORY: CLICK HERE
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GoAuto News February 4, 2009 Page 5
Tonsley Park sale
Mitsubishi’s stamping and
assembly operations in
SA go under the hammer
By IAN PORTER
MITSUBISHI Motors has started selling
off its Adelaide manufacturing assets after a
worldwide search failed to fi nd a car-maker
willing to keep the Tonsley Park factory open.
The plant, which includes the newest
major pressline in the country, will be sold
in 12 auctions. More than 5000 items will go
under the hammer.
The product development centre, test
rigs and other equipment have already been
auctioned.
The next two online auctions, covering
the stamping and assembly line assets, will
be held over seven days between February 2
and February 11.
The plant is being broken up after
Mitsubishi stopped making the 380 model in
March 2008. The company had accumulated
trading losses of around $1.4 billion due to
poor sales of its locally made models over
several years.
Mitsubishi Motors Australia traded
profi tably in 2008 after manufacturing
operations ceased – and before the global
fi nancial crisis – thanks to strong demand
for its imported range, including the fastselling
Lancer models.
Mitsubishi invested $600 million to bring
the 380 to market, and about $400 million
of that went into the plant, including a major
press installation, the Zero Line, which
has two 2400-tonne Fagor presses and two
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800-tonne Fagor presses, all linked with
robotic materials handling and fi tted with
automatic die change systems.
Although this pressline weighs 600 tonnes
and is three stories high, Ben Roden from
auctioneer Graysonline believes there will
be keen demand for the Zero Line.
“The prospects for selling that line are
quite high, despite the diffi culty of moving
it,” he said. “It was made by a well-known
manufacturer and it is a young asset.”
Mitsubishi ended up making only about
30,000 cars in the three or so years the
380 was in production. That was initially
targeted as the annual volume.
Mr Roden said the Zero Line would also
be attractive because it would be available
almost immediately, compared to the twoyear
lead time Mitsubishi had to give the
manufacturer after ordering the line.
The auction, which includes the press
lines, has been heavily promoted overseas
and is expected to attract a lot of interest, Mr
Roden said. But bids for some equipment
would be reduced by the fact that buyers had
to factor in the cost of dismantling the asset,
transporting it and re-installing it. Highly
specialised or custom-built assets might also
suffer deep discounts to new value, he said.
Mitsubishi would not hazard a guess as to
the proceeds of the sale, although spokesman
Rob Chadwick said the plant had received a
“massive” amount of investment over the
years. However, he pointed out that, aside
from the 380-related investment, some of
the smaller presses on site dated back to the
plant’s Chrysler days. Sir Robert Menzies
opened Tonsley Park for Chrysler in 1964,
and the US company sold it to Mitsubishi
in 1980.
Mr Chadwick said Mitsubishi owned the
land and the buildings on the site and that
these too would be sold, although the exact
form of the sale had not been determined.
“The (SA) state government has indicated
that it wants the site to remain as an
industrial park to maintain manufacturing
and employment in the southern suburbs,” he
said. “That may limit what some interested
parties would be able to do with the site.”
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GoAuto News February 4, 2009 Page 6
Chinese off the menu
Financial crisis forces
launch delays for Lifan,
Chery and Great Wall
By MARTON PETTENDY
LIFAN has joined fellow Chinese automotive
brands Chery and Great Wall Motors (GWM)
in delaying its Australian market introduction
as planned this year – unless the value of the
Australian dollar and the current wholesale
fi nance situation improve.
Ateco Automotive was reported in the past
two weeks to have indefi nitely postponed
then reinstated plans to launch Chery and
GWM here.
However, Ateco managing director Ric
Hull told GoAuto this week that both brands
remain on target for a 2009 launch – but only
if the Australian currency improves and/or
the prices of rival models increase enough to
make the new Chinese models competitive.
China Motor Franchise (Australia) chief
Shaun Lane was less positive, saying his
company would not import the Lifan 520
small car while the currency and fi nancing
problems existed.
“I am afraid we are not pushing ahead
with Lifan at this juncture,” said Mr Lane.
“The exchange rate has played havoc with
our pricing and there is too much uncertainty
in the vehicle industry at present.
“We are adopting a wait-and-see approach
and will make a decision as and when
conditions improve. I feel this may take
some time and is quite frustrating given all
the hard work put into the homologation of
the vehicle.
“The exit of two major wholesale
fi nanciers has wreaked havoc in the market
– especially for new players – so our big
Lifan 520
concern is the willingness of fi nanciers to
extend funds to the marketplace.
“To launch a Chinese brand in this market
you’ve got to have a competitive product
and you’ve got to be 20 per cent cheaper
than the rest – otherwise why would people
bother buying your motor car?”
As previously reported, Lifan was to have
become the fi rst Chinese brand to go on sale
in Australia early this year, when the lightsized
520 sedan was due for release.
Like GM Holden’s Cadillac brand
relaunch via the CTS sedan, Lifan’s
introduction here has been “indefi nitely
postponed”, but Ateco remains confi dent
the Australian dollar’s value will improve
enough for the Great Wall Sailor utility – to
be known here as the GWM SA230 – to be
released in the second quarter of 2009, and
for Chery’s A1 light hatch, A5 small sedan
and Tiggo compact SUV to be released in
the third quarter.
Mr Hull said that because the US dollar
was closely tied with the Chinese yuan
(the currency with which Ateco will buy its
vehicles), the Australian dollar would need
to be consistently worth at least US70 cents
before either Chinese franchise was viable
here – but that he believed that would occur
within months.
“It’s all about currency – nothing
more, nothing less at the moment.
We’re looking at levels back in the
70s (cents) against the US dollar to
keep life simple – about 4.8 yuan to
the Aussie dollar.
“Today, that’s what I’d need,
What do d your customers
REALLY think of you?
an Can you aafford
to not kno? a us no to nd out
It’s all about retention.
Great Wall Wingle
but we all know that in a few months the
market’s going to adjust to the exchange
rates that prevail at that time, so pricing will
come up or the dollar will come back, one
of the two.
“The Aussie dollar’s off against almost
everything – the US dollar, the Thai baht –
signifi cantly because Thailand is now the
second biggest supplier of cars to Australia
– the yen is, I think, 40 per cent up, so it’s a
huge change.
“The yuan is about 63 cents against the US
dollar, but three weeks ago it was at 73 and if it
was at that level today we’d be off,” he said.
Mr Hull said Great Wall had come to the
party on a lower price for the SA230 dualcab,
but this had yet to be made offi cial.
“There’s one other factor – we went to
Great Wall and asked for some further price
assistance, which they’ve told us they can
do but they need to confi rm that with me.
“So if I have that and I can see the dollar
back in the 70s against the US dollar then
we’re away immediately. The dollar isn’t
that far away.”
As previously reported, the SA230 will
be a two-wheel-drive dual-cab utility priced
“well under $20,000” and powered by a
78kW/190Nm 2.3-litre four-cylinder petrol
engine mated exclusively to a fi ve-speed
manual transmission.
The same Bosch-developed 2.8-litre
turbo-diesel engine that powers Great Wall’s
more upmarket Wingle dual-cab ute should
also eventually power the SA230.
FULL STORY: CLICK HERE
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GoAuto News February 4, 2009 Page 7
Q5 to undercut X3
Petrol and diesel variants
of Audi’s fi rst small SUV
will start below $60,000
By MARTON PETTENDY
AUDI Australia has set a sub-$60,000 price
for not one but two variants of its upcoming
Q5 compact SUV.
Full pricing for the four-member Q5
range was announced this week, when Audi
confi rmed the 2.0 TDI turbo-diesel and 2.0
TFSI turbo-petrol versions would both carry
recommended retail prices of $59,900.
While that does not quite match the
previously revealed starting price of Volvo’s
forthcoming XC60,
which will be launched
in Australia next week
with an entry-level price
of $57,950 for the 2.4 D5
turbo-diesel, it undercuts
the base price of its most direct rival, the
$61,830 BMW X3 2.0d diesel.
The Q5 3.2 FSI, powered by a petrol V6,
will be priced $10,000 higher at $69,900 –
which positions it between the $69,157 X3
2.5i and the $74,877 X3 3.0i – while the
This week, Garry Whitfi eld,
Technical Manager at BP, talks
about which vehicles can use
renewable fuels, and some of the
compatibility issues to be aware of.
Garry, which vehicles can use ethanolblended
fuels such as E10?
The Federal Chamber of Automotive
Industries (FCAI) website has a
comprehensive list of vehicles that
manufacturers say can use E10. However
at BP, we believe that any car made after
1986 that is designed to run on regular
unleaded petrol can use BP Unleaded 91
with ethanol, which meets the Australian
fuel standard and is backed by the BP Fuel
Guarantee.
Pre-1986 vehicles should not use E10
because they use old technology, such as
carburettors, which are prone to problems
when exposed to ethanol. These older
vehicles may also have dirty fuel tanks or
worn equipment, and ethanol can cause
further problems with these, such as
blocked fuel lines and clogged lters.
PRICING:
2.0 TDI quattro S-tronic (a) $59,900
2.0 TFSI quattro S-tronic (a) $59,900
3.2 FSI quattro S-tronic (a) $69,900
3.0 TDI quattro S-tronic (a) $71,900
fl agship Q5 3.0 TDI turbo-diesel will cost
$2000 more at $71,900, more than $5000
less than the X3 3.0d diesel ($76,996).
All Australian Q5s will feature Audi’s
quattro permanent all-wheel drive, as well as
the fi rst application of
the Volkswagen luxury
brand’s new seven-speed
dual-clutch automated
manual transmission
(dubbed S-tronic).
The fi ve-seater Q5 will join its larger Q7
seven-seat sibling on sale here in the second
quarter, after its Australian debut at the 2009
Melbourne International Motor Show.
Audi said that its sub-7.0L/100km average
fuel consumption fi gure made the Q5 2.0
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Which vehicles are compatible with
biodiesel blends such as B5 and B20?
From our experience overseas, most cars
and light commercial vehicles (LCVs)
currently using regular diesel can use a
diesel blend containing up to 5 per cent
biodiesel (B5). This is provided the
pure biodiesel (B100) is of high quality
and conforms to a recognised industry
standard.
Based on our local trials with heavyduty
mining equipment and trucks, such
as Caterpillar, Cummins and Komatsu,
we’ve found that a diesel blend containing
TDI exempt from the federal government’s
new “green” luxury car tax.
Audi Australia managing director
Joerg Hofmann said the Q5 was priced
very competitively and was an extremely
attractive package.
“Both diesel engines and both petrol
engines combine strong performance with
good fuel economy – a hallmark of our
brand. It also looks good and offers typically
top quality fi t, fi nish and safety equipment,”
he said. “The Q5 will undoubtedly give the
Audi range a strong boost in 2009 – in image
and also in sales. Our network is extremely
positive about this addition to our range.”
Read more: Audi broadens Sportback range
up to 20 per cent biodiesel (B20) performs
without issues, provided that the B100
meets the Australian standard.
At the moment there are no
standards for B5 or B20 blends, and
each manufacturer has its own
recommendations. For example, some car
and LCV manufacturers advise against
using any amount of biodiesel, while
some heavy-duty vehicle manufacturers
accept quantities up to B100 in controlled
environments.
Fortunately, an Australian fuel standard
for B5 is likely in early 2009, and we
expect this to achieve consensus in
the industry. A standard for B20 is still
some way off.
Do you have a question for the BP team?
Next Garry will explain how renewable
fuels affect a vehicle’s performance.
If you have any questions, please
contact BP’s Technical Fuels Line at
bp.technical.helpline@bp.com or phone
1300 139 700
*This material was written and prepared by BP.

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GoAuto News February 4, 2009 Page 8
Mazda3 MPS emerges
Mazda promises to set new
hot-hatch benchmarks with
its born-again Three MPS
By MARTON PETTENDY
FRESH from knocking off the Holden
Commodore to become Australia’s bestselling
car so far this year – and toppling the
Toyota Corolla in the small-car sales stakes
in January – the Mazda3 will get a new
MPS model to crown this year’s secondgeneration
range in Australia by October.
Turning up the styling volume signifi cantly
from the fi ve-door hatch upon which it is
based, Mazda’s latest MPS car bristles with
an aggressive new sports bodykit comprising
a big, bold matt-black bumper insert with
twin exhaust outlets and a chunkier wing at
the rear, plus a new grille, driving lights and
an oversized bonnet scoop up front.
While garden-variety 2.0-litre and (SP25badged)
2.5-litre versions of the all-new
Mazda3 hatch and four-door sedan will
go on sale here by June “at the latest”, the
new 2.2-litre turbo-diesel and fl agship MPS
variants will follow by a respective two
weeks and four months.
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The handful of teaser images released by
Mazda ahead of the car’s global public debut
at the Geneva motor show on March 3 reveals
little mechanically about the latest MPS, but
a direct-injected 2.3-litre turbocharged fourcylinder
has been confi rmed to again power
the Mazda3 fl agship.
As previously reported, however, despite
the beefi er new bonnet scoop, the 2010
Mazda3 MPS is unlikely to deliver much more
performance than the current model’s 190kW
of power and 380Nm of torque. Expect the
current six-speed manual to continue to be
the sole transmission on offer, too.
Senior Mazda executives have already ruled
out the employment of the Mazda6 MPS’s
all-wheel drive hardware – or the automatic
torque-biasing limited-slip Quaife differential
as used in Ford’s closely related Focus RS, for
that matter – on the basis of cost.
So expect the smallest MPS car to land
with the same sharp, sub-$40,000 sticker
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price as hot-hatch rivals like Mitsubishi’s
Lancer Ralliart and Subaru’s Impreza WRX.
According to Mazda, the new-generation
Three MPS will “rewrite hot-hatch
benchmarks”.
“The exhilarating Mazda3 MPS is the
ultimate sporting expression of our newgeneration
Mazda3 range,” said Mazda3
program manager Yoshiyuki Maeda. “It
builds on the already capable new-generation
Mazda3 hatch with higher levels of ferocity
and exhilaration, and – like all new Mazda
models – with an eye to environmental
concerns, powering responsibly into the
motoring future.
“The MPS has evolved to an entirely new
level of emotional design and exhilarating
performance. The new-generation Mazda3
MPS is the embodiment of Mazda’s Zoom-
Zoom spirit.”
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GoAuto News February 4, 2009 Page 9
Bentley’s biofuel bruiser
Hallowed British brand’s
fi rst biofuel model to offer
blistering performance
By MARTON PETTENDY
THE fi rst fruit of Bentley’s year-old promise
to introduce renewable fuels across its entire
model range by 2012 has appeared – in
the shape of a biofuel-fed Continental the
company says will also be its “fastest, most
powerful production car ever”.
Confi rmed to make its public debut at the
Geneva motor show on March 3, the new
Bentley fl agship was previewed last week in
a single dimly-lit teaser image.
It shows what appears to be the sixyear-old
GT Coupe – which, along with
its GT Convertible and Flying Spur sedan
siblings, turned the hallowed British luxury
brand’s fortunes around from 2003 under
Volkswagen ownership – only with a pair
of bonnet vents and a cleaner, meaner, more
minimalist bumper treatment.
Lurking behind them, however, is an even
more powerful bio-ethanol variation of the
449kW/750Nm 6.0-litre twin-turbocharged
12-cylinder engine that propels Bentley’s
current performance fl agship, the $428,247
2.3-tonne Continental GT Speed, to 100km/h
in just 4.5 seconds.
Presumably, as the historic UK carmaker’s
fi rst truly environmentally conscious
model, the ‘ECOntinental’ will also improve
upon the GT Speed’s stratospheric fuel
consumption and CO2 emissions fi gures of
16.6L/100km and 396g/km respectively.
Bentley fi rst heralded its biofuel plan in
February 2008 before committing at last
year’s Geneva show to ‘FlexFuel’ versions
of all its models and therefore both its
engines, including the Continental’s VWdesigned
W12 and Bentley’s own venerable
6.75-litre twin-turbo V8.
In the $628,637 Arnage Final Series sedan,
the latter produces 373kW and no less than
1000Nm, but returns a claimed average of
19.5L/100km and 465g/km.
We listen
According to Bentley, which claims to be
“pioneering the use of this fuel in the luxury
sector”, its biofuel-compatible FlexFuel
engines, which like Saab’s BioPower
engines can run on either petrol or biofuel,
will dramatically cut CO2 emissions on a
“well-to-wheel” basis.
Saab has sold BioPower models, which
are designed to run on E85 fuel (a blend of
85 per cent ethanol and 15 per cent petrol),
in Australia since 2007 but only a handful of
E85 retail outlets exist in Australia.
Fellow Swedish maker Volvo told
GoAuto in December that it too is ready to
introduce a range of E85-compatible models
in Australia, but not until the fuel becomes
more widely available here.
Saab custodian General Motors has
forecast a big future for ethanol fuel globally
and its Australian subsidiary GM Holden
committed in December to producing an E85
version of its volume-selling Commodore,
the nation’s most popular vehicle, by 2010.
Holden’s E85 market push is expected
to stimulate both local E85 infrastructure,
fuel production and policy for ethanol fuels,
which Holden says would be cheaper than
petrol, largely renewable and a key driver in
reducing automotive CO2 emissions.
A plan by biofuel company Coskata to
establish Australia’s fi rst cellulostic ethanol
facility echoes that of a US joint-venture
pilot plant which produces ethanol from
household garbage.
Bentley reaffi rmed its commitment to
biofuels as a means to addressing CO2
emissions at this month’s Detroit motor
Based on your feedback, we understand the top priorities for your business
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show, where it released a document titled
‘Bentley and the Future of Biofuels’ to
explain its environmental plan.
“This document provides a balanced
review of the key questions surrounding
biofuels and why biofuels are a key
component of the Bentley’s plan to minimise
the environmental impact of our vehicles,”
said the company.
“The document highlights how biofuels
can be solution to tackle the issues of climate
change and energy security. ‘Bentley and the
Future of Biofuels’ illustrate that biofuels
can provide a secure, sustainable fuel which
has little impact on natural habitats and
global food prices, and importantly, emits
signifi cantly less CO2 than gasoline.
“The report highlights how biofuel
projects can bring investment to emerging
and rural economies and concludes by calling
for co-operation between governments,
biofuel producers, NGOs and automotive
manufacturers so that the benefi ts of biofuels
can be realised on a global scale.”
Bentley’s green plan also calls for the
reduction of carbon emissions across its model
line-up by 15 per cent or more before 2012
and the introduction of a new powertrain that
reduces fuel consumption by 40 per cent.
The British brand’s record sales of about
10,000 vehicles in 2007 slumped by 24 per
cent in 2008 and late last month Bentley
made headlines by announcing it would
close its Crewe plant for seven weeks from
March due to slower sales.
GoAuto Green – page 16
Click here to find out more and
remember… keep telling us what you
want, and we’ll keep providing it!
Tiana Minnikin Client Director
Deloitte Motor Industry Services
Tel: +61 (0) 2 9322 3728

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GoAuto News February 4, 2009 Page 10
All rise for GT3
Porsche’s latest GT3 has
more pace, better dynamics
and a host of new features
By MARTON PETTENDY
PORSCHE has revealed the latest incarnation
of its purest, most track-focused 911 variant,
the GT3, which it claims is more powerful,
faster and more refi ned than before.
The facelifted GT3 will make its global
public debut at the Geneva motor show on
March 3, before going on sale in Australia
late this year at a price of $279,300.
Unlike the rest of the 997-series 911
range, which with the exception of the
turbocharged GT2 and Turbo fl agships has
now been unveiled, the manual-only GT3
does not feature Porsche’s new twin-clutch
automated manual transmission, PDK.
As Porsche’s most formidable non-turbo
model, however, it does come with a larger,
more powerful 3.8-litre fl at-six petrol engine
to replace the outgoing GT3’s 3.6-litre boxer.
Thanks to the 200cc increase in
displacement and the fi tment, for the fi rst
time, of Porsche’s VarioCam valve actuation
system for the engine’s exhaust camshafts,
the result is peak power of 320kW – up
15kW on its predecessor.
While Porsche’s teaser release makes no
mention of maximum torque output or the
direct fuel-injection system that debuted on
the new 3.6- and 3.8-litre boxers that power
the other 997 Series II variants, the German
auto giant does say mid-range torque
delivery has been improved.
The result is 0-100km/h acceleration in
4.1 seconds – two-tenths better than before
and within half a second of the fl agship 911
turbos – and a top speed of 312km/h, up
from 310km/h. Porsche says the 0-160km/h
sprint is now also achieved half a second
more quickly than before, in 8.2 seconds.
Apart from performance, driving
dynamics are claimed to be the other major
advance with the latest GT3, with upgraded
aerodynamics said to increase downforce
The Data (per month)
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both front and rear “to such an extent that
the overall pressure pushing down the car is
more than twice that of the former model”.
Porsche says that as a consequence, it
has been able to substantially stiffen both
the springs and anti-roll bars at both ends,
increasing high-speed grip and stability
and delivering more precise handling in the
Porsche Active Suspension Management’s
(PASM) sports mode, without reducing roll
comfort in the normal PASM mode.
For the fi rst time, the rear-drive GT3 will
also offer the ability to deactivate stability
control and traction control in separate steps,
as part of an even more sporting variation of
the Porsche Stability Management (PSM)
system.
The newest GT3 is visually differentiated
by new bi-Xenon headlights, LED taillights
and modifi ed air intakes and outlets,
plus lighter race-bred alloy wheels with a
one-piece centre lock. They are wrapped in
ultra-high-performance tyres featuring tyrepressure
monitoring.
Braking has also been upgraded to match
the GT3’s faster pace, via larger-diameter
brake discs with improved ventilation
and the option of an exclusive version of
Porsche’s PCCB ceramic brake disc.
Porsche says an optional lift system will
also be available for the 2010 GT3, raising
front ground clearance by a handy 30mm at
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the touch of a button. Similar to the feature
offered by some of its supercar rivals, the
system aims to make lighter work of tricky
driveway crossings and the like.
Equally as interesting is the new Porsche
Active Drivetrain Mounts (PADM) system
that will become available “at a later stage”
for the GT3. Comprising specifi c new
(harder) engine mounts that are claimed to
virtually eliminate mass and torque effects
from the engine, the racetrack-oriented
system is said to improve on-the-limit
handling with no expense to everyday
comfort.
Porsche Cars Australia (PCA) public
relations manager Paul Ellis said fi rst local
deliveries of the upgraded GT3 would arrive
in November, depending on production.
“The GT3 is one car in our range that tends to
have a higher demand than what the factory
can provide,” he said. “I wouldn’t say the
car is recession proof, but it has always
attracted an almost cult-like demand.
“We will be negotiating with the factory
to get enough volume to meet all customer
sales.”
PCA says it is yet to take deposits for the
revised GT3 because few had expected the
sought-after model to appear so early in the
997 MkII product cycle.
Downturn hits Porsche – next page
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GoAuto News February 4, 2009 Page 11
Downturn hits Porsche
Sportscar marque plans
more cuts but remains
optimistic amid turmoil
By MARTON PETTENDY
PORSCHE will cut a further 19 days of
production this quarter to allow for a predicted
27.3 per cent sales slump in the fi rst half,
proving that even one of the world’s most
profi table car-makers is not immune from the
global automotive industry downturn.
The latest cuts are in addition to the 11
days already axed from the production
schedule at Porsche’s main Zuffenhausen
plant outside Stuttgart since December.
Porsche president and CEO Wendelin
Wiedeking said at the company’s annual
general meeting last Friday that job
reductions and a proposed shorter hours
scheme were “not on the current agenda”.
Porsche’s offi cial global sales and profi t
results will not be revealed until March,
following the publication of fi gures by
Volkswagen, in which Porsche holds a
majority 50.76 per cent stake.
However, Dr Wiedeking said last week
that despite a similar 27 per cent fi rst-half
sales decrease in the US, its largest single
market, Porsche was well placed to weather
the industry turmoil. He also said the latest
production adjustments were in line with its
long-standing policy that “always produced
martec automotive
one car less than the market needs”.
Porsche’s 6.4 billion euro ($A12.8
billion) operating profi t for its 2007/08
fi nancial year was up from 4.2 billion euro
($A8.4 billion) the previous year as the
company sold a record 97,500 vehicles last
year. But the latest preliminary sales fi gures
show Porsche this year will be further away
from achieving its long-held goal of selling
100,000 cars in a single year.
The Porsche chief said that based on sales
fi gures to mid-January, Porsche would post
a 14.3 per cent decrease in revenue to about
three billion euro ($A6 billion) in the fi rst six
months of its fi nancial year (August 1, 2008,
to January 31, 2009), after a 27.3 per cent
sales reduction to about 34,000 vehicles.
Porsche said the recently facelifted 911
accounted for a higher share of its overall
sales in the fi rst half, following a “signifi cant”
decrease in Boxster sales globally.
Provisionally, the 911 found 13,500 buyers in
the past six months (down from 16,263 sales
2 March 2009 • Melbourne Convention & Exhibition Centre
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in the same period in 2007/08), while the midengine
convertible notched up just 3900 sales
– down more than half from 9835 sales.
According to Porsche: “This refl ects
the market success of the new 911 models
featuring highly effi cient direct fuel injection
(DFI) and the Porsche-Doppelkupplung
(PDK) double-clutch gearbox and the
forthcoming changeover to the nextgeneration
Boxster and Cayman with a
natural effect on current sales fi gures.”
The upgraded Boxster and Cayman range
go on sale in Europe in February, with
Australian sales to follow.
Porsche described fi rst-half sales
performance of the Cayenne SUV, which it
has long said would be the model that made
the marque “recession-proof”, as “steady”
after about 16,600 global sales – down from
20,638 last year.
FULL STORY: CLICK HERE
Bailout battlefront – next page
Presented by Martec Automotive & BDO Kendalls
Our Automotive Industry
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What does the FUTURE of the Australian automotive industry look like?
Hear from leading nancial and industry experts.
Martec Automotive and BDO Kendalls present an automotive seminar discussing the future outlook of the Australian
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• THE MANUFACTURER’S PERSPECTIVE – Robert McEniry, President & CEO, Mitsubishi Australia
• AUTOMOTIVE FINANCING – Simon Abbott, Assistant GM, Capital Finance
• TRENDS IN THE AUTOMOTIVE RETAIL MARKET – Victorian Automotive Chamber of Commerce (VACC)
• EMERGING TECHNOLOGIES – Ian Porter, Journalist, GoAuto Professional
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GoAuto News February 4, 2009 Page 12
Bailout battlefront
Jaguar Land Rover misses
expected aid while Fiat
warns of massive job cuts
By DAVID HASSALL
AS GOVERNMENTS around the world
look at ways of bolstering their struggling
car industries, British car-makers have
been disappointed with a new package
announced last week while Fiat has warned
the Italian government that failure to
provide a suitable bailout deal could cost
as many as 60,000 jobs.
Before meeting government ministers
in Rome, Fiat chief executive Sergio
Marchionne said it was essential to act to
protect the car industry’s 375,000 workers
as Fiat sales reportedly plummeted 60 per
cent in January.
The French government was one of the
fi rst to announce US-style loans for carmakers,
making available as much as six
billion euro ($A12.1 billion), but has been
forced to soften its demands for Renault
and PSA Peugeot Citroen to rule out factory
closures in return for aid.
British car-makers – especially Jaguar
Land Rover (JLR) – have been dealt a blow
by the fi ne print in a 2.3 billion pound ($A5.3
billion) aid package announced last Tuesday
by business secretary Peter Mandelson.
JLR had been expected to get the lion’s
share of the government-backed loan
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guarantees, but Lord Mandelson later
revealed that the bailout money would
be capped at 250 million pounds ($A571
million) per company – about one quarter of
what JLR reportedly requires.
The Jaguar and Land Rover brands were
bought from Ford last year by Tata Motors,
but the Indian car-maker has been hit hard
by the global downturn and this week
announced a last quarter loss of 2.63 billion
rupees ($A85 million).
This was the fi rst quarterly loss in
seven years for India’s biggest car and
truck producer. Fellow Indian car-maker
Mahindra & Mahindra barely managed to
break even in the quarter and has ruled out
buying either Hummer from General Motors
or Volvo from Ford.
Company vice-chairman Anand Mahindra
said Volvo was not “affordable and digestible”
while Hummer was not acceptable because it
Financial Controller
Jaguar XK
had come to stand for gas-guzzling SUVs, an
image Mahindra was trying to avoid.
Ford has resumed talks with Renault about
buying Volvo, only a few months after previous
negotiations broke down over the value of the
Swedish brand, which has just announced
losses of more than $2 billion. Renault and
Volvo came close to merging in 1993.
While the Indian car industry was previously
leading world growth, it is now so depressed
that the Federation of Indian Chambers of
Commerce and Industry (FICCI) has called
for increased government incentives.
FICCI has also suggested a tougher
tariff policy to safeguard local car-makers
and counter other government-supported
developing countries such as China,
Thailand, Brazil and Malaysia.
FULL STORY: CLICK HERE
Chrysler hedges bets – next page
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GoAuto News February 4, 2009 Page 13
Chrysler hedges bets
US giant continues talks
with other brands in case
treasury vetoes Fiat deal
By DAVID HASSALL
WHILE Chrysler works through the details
of its planned tie-up with Fiat – including
what cars it will share and where they are
built – the embattled US auto-maker admits
it is continuing talks with other potential
partners in case the US government vetoes
the Fiat deal.
Chrysler is looking to Fiat for a range of
small and medium cars and SUVs, including
the popular Fiat 500 – although that car
could be built in Mexico and sold with a
Chrysler or Dodge badge in the US, where
the ‘Cinquecento’ has little or no history.
Nevertheless, the Italian company still has
a well-documented desire to get a foothold
in America, where Fiat has been absent since
1983 and which Alfa Romeo abandoned
in 1995, and is looking to gain access to
Chrysler’s expansive dealer network for its
own brands.
Chrysler vice-chairman and president Jim
Press said last week that Fiat would provide
“billions and billions of dollars” worth of
new fuel-effi cient small models in return
for a 35 per cent stake in Chrysler under
the proposed deal, which must be approved
by the US Treasury Department under the
terms of its $US4 billion ($A6.2 billion)
government bailout loan.
Chrysler has requested a further $US3
billion ($A4.6 billion) from the government
by March 31, which apparently must last
until the troubled company returns to
profi tability, whenever that may be.
It must provide a viability plan for the
government by February 17 before further
loans are approved. But a Democrat
colleague of Barack Obama, Senator Robert
Menendez, has told the president that the
NSW Sales and Client Services Consultant
Fiat 500
loan extension should not be approved and
that Chrysler should immediately repay the
original loan if the Fiat deal goes ahead.
Mr Press revealed that confi dential talks
were still taking place with other car-makers
in case the Fiat deal was vetoed.
“If it doesn’t work out with Fiat, we still
have had other conversations with other
potential partners and alliances and those
obviously can continue, so we have other
alternatives,” said Mr Press. “It’s a little bit
like dating: nobody knows who we’re dating.
We don’t need the paparazzi to follow us
around and put pressure on the dates.”
Summit has an excellent reputation for building and maintaining quality long term business partnerships, as well as being a
great place to work. An opportunity exists based at Rydalmere, Sydney for a Sales and Client Services Consultant.
As the successful candidate you will develop and sustain new eet business and establish strong long term business relationships.
This position requires a combination of sales, administration with good attention to detail and a high level of integrity.
It presents an exceptional opportunity for a dynamic candidate with experience in successfully
dealing with executives at senior levels. You will also need to be comfortable working both
autonomously and within a team.
If the role sounds like what you have been looking for, please send your application
and resume to Carmen Haines on email: Carmen.Haines@summitlease.com.au
FULL STORY: CLICK HERE
Ford burns through $8.5 billion in cash, blaming sharp decline in global vehicle demand
By RON HAMMERTON
THE Ford Motor Company burned through
$US5.5 billion ($A8.52 billion) in cash in
the fi nal quarter of 2008 as it shed excess
vehicle stocks while fending off the global
fi nancial crisis.
According to fi gures released in Detroit
last week, Ford’s quarterly net loss widened
to $US5.9 billion ($A9.11 billion) in the
December quarter, pushing its 2008 loss to
a record $US14.6 billion ($A22.5 billion).
Blaming a sharp decline global vehicle
demand for the outcome, Ford nevertheless
said it would not need to dip into US
government bridging loans. It reported
that it has total liquidity of $US24 billion
($A37 billion), and plans to draw $US10.1
billion ($A15.6 billion) in available credit
lines immediately in case fi nance markets
worsen this year.
Ford claims it reduced global dealer
stocks by more than 50,000 vehicles in the
fourth quarter, giving it one of the lowest
backlogs in the industry. It also said that
it remains on track to return to return to
profi tability in 2011.
The full-year net loss of $US14.6 billion
($A22.5 billion) compares with a loss of
$US2.7 billion ($A4.1 billion) in 2007, and
tops the previous record of $US12.6 billion
($A19.46 billion) in 2006.
Two of Ford’s most productive
contributors to its balance sheet, Ford
Credit and Ford Asia Pacifi c and Africa,
failed to deliver their usual profi ts in 2008,
with Ford Credit making a net loss of
$US1.5 billion ($A2.3 billion), and Ford
Asia Pacifi c and Africa slumping from a
$US10 million ($A15.46 million) profi t in
2007 to a $US208 million ($A321 million)
loss in 2008.
Specifi c Ford Australia fi gures will not
be released until the second quarter of this
year.
Ford Credit, which made a profi t of
$US2.3 billion ($A3.55 billion) in 2007,
announced plans to cut its US workforce by
20 per cent to help rein in costs.
www.summitlease.com.au

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GoAuto News February 4, 2009 Page 14
Volt becomes Ampera
General Motors will sell
the Chevrolet Volt as the
Opel Ampera in Europe
By MARTON PETTENDY
GM HOLDEN has vowed to release General
Motors’ mould-breaking Chevrolet Volt
econo-car in Australia by 2012, wearing the
Lion logo. Now its European affi liate GM
Opel has gone one step better by revealing
its version of the troubled US auto giant’s
vital next-generation plug-in hybrid –
complete with the German maker’s lightning
bolt badge and an all-new, presumably more
Euro-suitable name: the Opel Ampera.
Though it is hard to be sure from the
moodily-lit teaser image, an aggressive
new front nose-cone, fl anked by FPV-style
boomerang-shaped lower headlight cut-outs,
appears to be the most signifi cant departure
from the production Chev Volt, which
emerged at GM’s centennial celebration
in Detroit in September 2008 as a vastly
different vehicle from the edgy Volt concept
and goes on sale in the US late next year as
a 2011 model.
No production or release dates were
given in the details released last week,
which simply heralded Ampera as the name
of Opel’s “revolutionary extended-range
electric car” ahead of its global debut at the
Geneva motor show from March 3.
GM confi rmed the Ampera will be
powered by the same Voltec electric
propulsion technology that lies at the heart
of the Volt and also lurked within the
Cadillac Converj concept that debuted at
last month’s Detroit motor show – the same
Mazda Sales Consultants
An exciting opportunity exists at Hornsby Mazda for high performing Sales Consultants.
Our dealership is in a significant growth phase thanks to “ever growing” demand for the high quality range of Mazda vehicles and
the imminent release of the “all new” Mazda3.
To be considered for this position you will be highly motivated with a strong customer service orientation and the ability to stay
abreast of ever changing product information. You will also be immaculately presented, computer literate and enjoy working in a
strong team environment.
Previous experience in a similar role with demonstrated success, stability and customer satisfaction plus knowledge of Sydney’s
upper Northshore and Hills District would be a distinct advantage.
The successful applicants will enjoy a market leading remuneration package plus training and development on an on-going basis.
Hornsby Mazda is an equal opportunity employer and invites applications from all sectors of the community.
To apply for this role please forward your resume to pghadia@hornsbymazda.com.au
Applications will be treated in the strictest of confidence.
Hornsby Mazda
venue US luxury car rival Lexus debuted its
opposite number: the Prius III-based 2010
HS250h, which was hailed as the world’s
fi rst dedicated luxury hybrid.
Previously dubbed E-Flex, the Volt’s
drive system can run for 60km on lithiumion
battery power alone and is recharged
via a standard power outlet. Beyond that, a
small conventional engine generates battery
power to drive the front wheels. The Volt
concept’s generator was powered by a 1.0litre
three-cylinder petrol engine.
According to GM Europe, the Ampera will
be well suited to the daily driving schedule
of most European customers. For example,
approximately 80 per cent of German drivers
travel less than 50km daily.
“With the Ampera, Opel will be the
fi rst European automobile manufacturer
to provide customers several hundred
kilometres of non-stop electric driving,”
said GM Europe chief marketing offi cer
Alain Visser.
GM announced a key step forward in its
Volt plan last month by revealing it will
manufacture its own lithium-ion battery
packs from 2010 at a new plant in Michigan
– not far from GM’s Hamtramck plant where
the vehicle will be built – as part of a $US1
billion commitment to the Volt.
While Opel appears to have succeeded in
overturning GM’s original plan to sell it as
the Chevrolet Volt in Europe, too, the UK will
receive a similar (right-hand drive) version
by late 2011, badged as the Vauxhall Volt.
If the British government’s plan to
produce the Volt at GM Europe’s Astra plant
at Ellesmere Port proves incentive enough
for GM, the UK (rather than Opel’s Astra
factory at Russelsheim) will produce the
fi ve-door four-seat mid-sized hatchback for
Vauxhall, Opel, Chevrolet and perhaps even
Holden.
As previously reported, given that from
2010 Holden will also produce a vehicle
that is based on the Volt and next-generation
Astra’s new Delta II small-car GM platform
in the Cruze, there is also the possibility that
Holden could build the Volt for local and
export consumption by 2012.
Perhaps the most intriguing questions are:
will Australia’s Volt be as bold as Europe’s
Ampera and will it be nicknamed the Holden
Sparky?
HSV small-car thrust – next page
Ampera

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GoAuto News February 4, 2009 Page 15
HSV small-car thrust
Holden speed shop eyes
Corsa and Insignia VXRs as
part of pocket-rocket plan
By JAMES STANFORD
HOLDEN Special Vehicles (HSV) says
it will introduce new mid-sized and small
models, potentially including the Cruzebased
global GM model that will be built by
Holden in Australia from 2010, as long as
the price is right.
The muscle-car brand is currently
negotiating with GM Europe to bring hot
versions of the new Corsa hatch (formerly
known as the Barina here) and Insignia (which
replaces the discontinued Vectra) to Australia.
HSV currently imports the Astra VXR
from Europe and sells it alongside the locally
produced Commodore and Statesman-based
models. It is not yet clear whether HSV
would consider producing a hot version of
the front-drive small car that Holden will
build at its Elizabeth plant within two years.
Such a move would depend on whether the
Australian-made car is quick enough.
HSV managing director Phil Harding has
made it clear that his company will consider
any model, no matter the size, as long as it
meets key brand pillars including the fi tment
of a high-performance engine, a matching
chassis and a unique look.
Mr Harding revealed HSV wants to
import a hot version of the Corsa, GM
Europe’s smallest hatch, which employs a
143kW 1.6-litre turbocharged four-cylinder
engine. The Corsa is the next-generation
version of GM Europe’s light car, which was
previously sold in Australia as the Barina
before Holden began sourcing the nameplate
from GM Daewoo in South Korea.
HSV is also keen on the soon-to-bereleased
Insignia VXR, which is expected
to be powered by a twin-turbocharged petrol
V6 belting out more than 215kW.
The business cases for both the Corsa
and Insignia are made more diffi cult by the
fact that Holden does not import standard
versions of the cars.
For example, Holden does sell the Astra here
and also brings in most of the parts. Therefore,
HSV does not have to bring in many spares
except for some VXR-specifi c items.
In the case of the Corsa and Insignia,
HSV would have to bring in all the parts and
provide all the service training and support.
“The challenge is that we have to support
the complete parts gap (range) for spares and
servicing, whereas if you ride on the back
of what Holden is doing you only have to
do the incremental,” Mr Harding said. “We
have been talking about it a lot, but it is a big
decision to make.”
Mr Harding said the Corsa business case
would be approved if HSV could source the
car for the right price. “We have to see a
number less than $30,000,” he said.
The high-performance Insignia is more
likely to be seen on Australian roads,
because a higher price will allow for a more
attractive profi t margin.
FULL STORY: CLICK HERE
In a dynamic and rapidly changing industry environment, knowledge is the best defence.
At the 2009 National Fleet Conferences, you will:
HEAR insights into the current reshaping of the automotive manufacturing industry;
LEARN how changes in Safety Legislation have increased liability & responsibility;
EXPAND your understanding of fleet management issues, products & services;
SHARE in presentations and practical real world case studies;
NETWORK with fellow fleet industry professionals.
Corsa VXR
National Fleet Conferences and Exhibition
10 & 11 March 2009 • Sofitel Melbourne on Collins
For more information or to register
please visit www.afma.net.au or use the
Registration Page at the back of GoAuto o News.
National Fleet Conference Supporters
Platinum Supporter
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See REGISTRATION FORM back page
DRIVING FLEET MANAGEMENT

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GoAutoGreen Green issues in the auto world
February 4, 2009 Page 16
Mitsubishi and Subaru
to demonstrate electric
vehicles in Australia
Custom Fleet
Part of GE Commercial Finance
GoAuto Green is brought
to you by Custom Fleet
Electric taste tests
By IAN PORTER and MARTON PETTENDY
MITSUBISHI will demonstrate a preproduction
version of its new i-MiEV
electric vehicle (EV) – due to go into
volume production in Japan later this
year – in an extensive tour around most of
Australia starting early March.
Announced last Thursday as Australia’s
fi rst EV feasibility study, the news comes
a day after Subaru revealed its Stella EV
prototype will be available for press drives
ahead of a local debut at the Melbourne
International Motor Show on February 27.
The i-MiEV is being brought to Australia
following constant agitation and enthusiasm
from Mitsubishi Motors Australia president
Robert McEniry, who believes there will be
a growing demand for mini-cars as petrol
prices rise again.
Mitsubishi Japan has added Australia to a
list of countries conducting feasibility studies
on the all-electric fi ve-door “i” micro. If
approved for sale here, Mitsubishi’s plug-in
i-car could beat an as-yet-unnamed EV
from Nissan, which has promised to make it
available here by 2012, in the race to become
Australia’s fi rst fully-electric vehicle.
GM Holden has committed to a 2012
Shanghai Automotive on track for Rover 75-based hybrid sedan launch in 2010
By TERRY MARTIN
CHINESE auto giant Shanghai Automotive
Industry Corporation (SAIC) is reportedly
on track to begin mass-production of its
fi rst hybrid car before the end of 2010.
Sources cited in US industry journal
Automotive News this week said the petrolelectric
powertrain – complete with a hi-tech
release for its second-generation plug-in
hybrid (or “extended-range EV”), the Volt,
while Toyota is testing a plug-in version of
its pioneering Prius hybrid, which arrives
here in redesigned MkIII guise in July.
Two i-MiEVs will start a tour of the eastern
states immediately after the Melbourne
show, where one will be displayed alongside
Subaru’s Stella, for demonstrations to gauge
how well the four-seater city runabout would
be received here.
The demonstration cars will be shown to
governments, fl eet managers, environmental
opinion leaders and the media. Similar
feasibility studies have been conducted or
are under way in Japan, the US, Europe and
New Zealand. Mitsubishi said the i-MiEV
will this year become “the world’s fi rst
truly viable, fully featured, zero drive-time
emission city commuter vehicle to go into
volume production and be available for sale
in Japan”.
Announcing the feasibility study, Mr
McEniry said Mitsubishi wanted to answer the
question: “Is the nation ready to leverage the
lithium-ion battery pack – will be installed
in the Roewe 750 medium-sized sedan,
which is based on the Rover 75 platform
which SAIC bought in 2005.
According to the report, electric-only
propulsion will not be available but fuel
economy improvements of up to 20 per
cent could be achieved compared to the
Drive Lightly with
Custom Fleet.
To find out how to reduce your
fleet’s carbon footprint, call
Custom Fleet on 1800 812 681.
i-MiEV
environmental benefi ts of this technology?”
Based on the petrol-powered rear-drive
i-car fi rst revealed at the 2003 Frankfurt
motor show, the i-MiEV instead features a
47kW electric motor powered by a 330-volt
lithium-ion battery. Range is quoted at around
160km from a fully charged battery, although
this depends on how much of its performance
is used. The i-MiEV takes up to eight hours to
recharge from a household power outlet (20
minutes in a dedicated higher voltage outlet)
and can reach speeds of around 130km/h.
Mr McEniry said governments needed to
consider whether there was enough renewable
energy available to power a growing fl eet of
electric cars. He said he expected to see an
“avalanche” of plug-in cars from various
car-makers in the next fi ve years.
“Does Australia have the infrastructure to
enable the full utilisation of electric cars?”
he asked. “Are the incentives in place to
encourage the early adoption of this cuttingedge
technology?”
FULL STORY: CLICK HERE
conventional Roewe 750, which is currently
available in China with either a 2.5-litre V6 or
a 1.8-litre turbocharged four-cylinder engine.
The company established a subsidiary in
Shanghai last year to develop alternative
powertrains, including hybrid and allelectric
systems. No timetable has been
issued for the latter.

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GoAuto News February 4, 2009 Page 17
BMW LOOKS TO YALLOURIDIS
BMW Group Australia has named Australianborn
Stavros Yallouridis as its incoming
managing director following the promotion last
month of Guenther Seemann to regional director
for Asia, Oceania and South Africa.
Currently the managing director of BMW
Group Hellas, Mr Yallouridis will relocate from
Greece in the coming weeks and offi cially begins
his new appointment on March 1. The 48-yearold
has presided over BMW’s operations in
UP CLOSE ON PERSONNEL
Brought to you by Motor Staff – the Motor Industry’s No.1 Recruitment Specialist
Greece since the German manufacturer established a national sales
company there in August 2003. Prior to that, Mr Yallouridis held
various technical, sales, marketing and general management roles
with Fiat Auto in Greece.
ELENA FORD TO LEAD GLOBAL OFFICE
HENRY Ford’s great-great-grand-daughter
Elena Ford has relinquished her role as
executive vice-president of Ford Motor Credit
Co global brand and marketing for the newly
created position of Ford global marketing, sales
and service operations.
The offi ce is designed to unify Ford’s sales
activities across the globe and, according to the
company, follows consolidation of the American
Stavros
Yallouridis
Elena Ford
auto giant’s global product development activities in 2006 and
global purchasing operations in 2008.
The company said it also refl ected “an aggressive move to global
vehicles”. The fi rst vehicle to be marketed under the new approach
– which is expected to result in “millions of dollars of cost savings”
– will be the 2010 Focus, but within the next fi ve years the strategy
will also take in mid-size cars and SUVs and commercial vans.
Ms Ford, 42, reports to marketing and communications group
vice-president Jim Farley. Her responsibilities are to drive
“commonality and standardisation of marketing resources” which
includes “integrating the company’s marketing team members,
global agencies and other supplier partners with a common and
integrated plan to bring new global vehicles to market”. She is
also charged with driving a “governance process on strategic and
operations matters across marketing, sales and service”.
“Enhancing the global marketing organisation is the next step in our
‘One Ford’ vision to integrate Ford’s worldwide operations and leverage
our scale and expertise,” Mr Farley said. “Elena ... is the ideal leader to
drive a co-ordinated approach for our worldwide marketing efforts and
speak with one consistent and compelling voice to customers.”
Ford’s director of global marketing Anne Belec resigned last
month after more than two decades’ service “to pursue other
interests”.
KETT TAKES ON KEY CHRYSLER ROLE
AS BMW sends an expatriat Australian back to
these shores, Chrysler Australia has announced
that Aussie-born John Kett has been appointed
vice-president of the embattled American
manufacturer’s Asia/Pacifi c operations – a move
which hands him direct responsibility for all
sales and marketing activities throughout the
region, including Australia and New Zealand.
Formerly chief fi nance offi cer for Chrysler’s
Asia/Pacifi c unit, Mr Kett will continue to be based in Shanghai,
China, and will report to Chrysler LLC’s executive vice-president
of international sales and global product planning operations,
Michael Manley.
In a statement, Chrysler said Mr Kett will play a pivotal role in
“aligning” Chrysler’s business functions in the region. “With Asia/
Pacifi c remaining integral to Chrysler’s viability and long-term
success, we will continue to offer our customers in the region vehicles
that they want to buy, enjoy driving, and will want to buy again,”
said Mr Manley. “John’s strong automotive experience and fi rst-hand
knowledge of the Asian markets will help us to achieve this goal.”
Mr Kett began his career with Holden and has more than 15
years’ experience with General Motors in China, Australia and New
Zealand. He has also worked the Shanghai Automotive Industry
Corporation (SAIC) in China and came to Chrysler in January last
year from SsangYong Motors in South Korea, where he was chief
fi nancial offi cer.
His appointment follows the resignation last month of Asia director
Phil Murtaugh and global marketing chief Deborah Meyer. Both Ms
Meyer, a former Lexus marketing chief, and Mr Murtaugh, General
Motors’ previous Asian boss, were hired following the Cerberus
Capital Management LP acquisition of Chrysler in August 2007. Two
other key Chrysler executives left the company in December – global
purchasing chief John Campi and service and parts chief Simon Boag.
BERNHARD TURNS UP AT MAGNA
FORMER DaimlerChrysler and Volkswagen
Group board member Wolfgang Bernhard has
resurfaced as an advisor to components giant
Magna International. Overseas reports indicate
that Mr Bernhard, who was a key architect of
the sale of Chrysler to US private equity fi rm
Cerberus Capital Management in 2007 (and was
later overlooked as chairman and CEO, with Bob
Nardelli getting the nod), will focus primarily on
Magna’s business in Russia.
If you have any car industry personnel announcements,
please email them to Terry Martin at tmartin@mellor.net
John Kett
Wolfgang
Bernhard

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GoAuto News February 4, 2009 Page 18
GoAuto’s latest car review
PASSAT CC PREMIUM
VOLKSWAGEN Group Australia (VGA)
will put a $10,000 base price premium on
its new Passat CC “coupe” when it goes on
sale next week.
Revealed this week as part of a rangewide
price increase effective from February
1, the $54,990 price tag for the entry-level
Passat CC 125TDI with six-speed DSG auto
is precisely $10,000 higher than that of the
$44,990 Passat 125TDI auto sedan on which
it is based. Similarly, the direct-injection V6
FSI version of the auto-only Passat CC will
cost $65,990, which is $9000 more than the
$56,990 Passat V6 Highline auto.
FULL STORY: CLICK HERE
YARIS FIRE RISK
TOYOTA has recalled 45,360 Yaris cars in
Australia as part of a global rectifi cation
program involving 1.3 million cars.
The cars are in danger of catching fi re
inside the cabin if the pyrotechnic seatbelt
pretensioners are activated in a severe crash.
The heat of the pretensioner system can ignite
a sound insulation pad under the seatbelt
mechanism. Toyota spokesman Glen Campbell
said only three instances had occurred around
the world, including one in Australia. “We
take safety issues very seriously,’’ he said. The
affected cars are Yaris sedans and hatches,
many of which are sold overseas under the
Vitz and Belta names. The recalled cars were
built between June 2005 and April 2007.
FULL STORY: CLICK HERE
Honda Jazz GLi fi ve-door hatch
www.GoAuto.com.au
HONDA is the economy-car expert par excellence, as the original Civic demonstrated to devastating
effect back in the mid-1970s. Similarly, the 2002 Jazz showed the others how to build and present
a light car, without making the owner feel as if they had skimped on quality. Now there is a
new-generation version, with more power, safety, space, refi nement and strength, bundled up
in an attractive and extremely easy-to-live-with package. We spent a long time in the cheapest
version – the manual GLi – to see if Honda is still at the top of its game.
CAR REVIEW: CLICK HERE
Launch Pad
brought to you by
Australia’s No.1 Auto Website
FEBRUARY:
Audi A6/RS6 sedan
BMW 7 Series
7S 7 Se
Honda City
Lexus RX350
Nissan GT-R
Volkswagen Golf
Volkswagen Passat CC
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New model diary: CLICK HERE
7 Series ries
Sell more cars by reaching more potential buyers
than tha than anyo anyone else on Australia’s No.1 Automotive Network.*
Find out t how h by b calling 1300 728 800 or email dealer@carsales.com.au
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GT-R
Golf
CATERHAM WIDENS NET
CATERHAM Cars Australia (CCA) has
announced an expanded model range for
2009, comprising two new models in
addition to the Seven SVR 200, which has
been available here since 2006.
Like the SVR 200, the entry-level Caterham
Seven SVR 120 and top-shelf CSR 200 come
with full Australian Design Rule compliance.
At $129,000, the new CSR 200 fl agship costs
$10,000 more than the pre-existing $119,000
SVR 200 and is powered by the same handbuilt
147kW 2.3-litre Duratec engine. As
Caterham’s ultimate Seven for Australia,
however, the CSR features a new suspension
system that makes it better suited for racetrack
use and gives it a higher top speed.
FULL STORY: CLICK HERE
NO BMW-PEUGEOT PLAN
SPECULATION BMW and PSA Peugeot-
Citroen were considering a full-on alliance has
been dismissed by the German car-maker.
A report in the French newspaper La
Tribune raised the possibility after a BMW
delegation visited the offi ces of the French
president, the prime minister and the fi nance
minister. The newspaper said the French
government was looking for new areas of
co-operation for the French car-makers.
Peugeot and BMW already operate a
joint engine factory which produces fourcylinder
petrol engines for the Mini and 207
ranges. However, a BMW spokesman told
Just-Auto.com that the story was incorrect.
FULL STORY: CLICK HERE
MY09 DISCOVERY UPDATE
LAND Rover’s Discovery SUV has come
in for a 2009 model year spruce-up, which
brings with it an $1100 price rise at base level
that sees the Discovery SE V6 increase from
$65,390 to $66,490. The 09MY Discovery 3
comes with numerous exterior revisions, plus
new interior trims and spec upgrades, yet
other prices remain unchanged at $67,590 (S
TDV6), $75,990 (SE TDV6), $86,590 (HSE
TDV6) and $92,990 (HSE V8).
FULL STORY: CLICK HERE
MORE NEWS ONLINE:
Range Rover Sport massage
Range Rover gets softer
Land speed record bid
Honda ends rally assault
Toyota axes rally team
www.GoAuto.com.au

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