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Automakers paying Chinese dealers for lower-than-expected sales

The Chinese dealers vs. foreign manufacturers story won't quit. It began with a story on the struggles faced by FAW-Toyota joint venture dealers, with supposedly 95 percent of the showrooms losing money, and 10 percent of them doing so poorly that they'd have to exit the business. The problem is mandated sales targets, most set when the country's economy was racing. Now that things have slowed, China's dealers are swimming in unsold cars and the costs to keep them. In the case of FAW-Toyota, dealers asked Toyota to hand over 2.2 billion yuan ($355 million) to help address the situation. That was followed by a report noting the issues that Honda, BMW, and Nissan dealers are having with the same issue, revealing that the Chinese Automobile Dealers Association (CADA) had taken the highly unusual step of writing to the Chinese government to complain. Now Reuters reports that CADA is not only pressing its case even harder, it's being open about it: it announced that BMW agreed to pay dealers 5.1 billion yuan ($820 million) to alleviate poor profits last year. Unnamed sources said Audi has thrown 2 billion yuan into the kitty for subsidies, and Daimler has contributed "about 1 billion yuan" to its dealers. The battle isn't just about 2014, but how business will be run in 2015 as well: Chinese Porsche dealers have requested the automaker lower its 2015 target of 64,000 cars, which would be a 40-percent increase on its 2014 sales of 46,931 vehicles. One analyst called it "shocking" that the CADA has taken its fight public, while CADA comments continue to imply that dealers have been railroaded to the cliff's edge without recourse. "Due to the difference in status," it's deputy secretary said, "individual dealers are not willing to, or don't dare to, talk frankly with the carmakers...." Both parties need one another, so they'll figure out a way to make it work – but that could mean acknowledging the Chinese market is behaving more like a mature one, not an emerging one. News Source: ReutersImage Credit: Lintao Zhang/Getty Images Earnings/Financials Audi BMW Porsche Toyota Car Dealers Luxury

New info on how VW, Porsche, Audi V6 TDI engine cheat works

The German newspaper Bild am Sonntag is reporting that US investigators have found three pieces of software that work in concert to turn off the emissions control equipment in certain diesel models after a set period of time. The engine in question, the 3.0-liter TDI turbodiesel, was found in certain Volkswagen Touareg, Audi Q7, and Porsche Cayenne models – the sale of which was suspended in the US late last year. Since most emissions compliance testing takes around 20 minutes, the software in the three VW Group models shuts off the emissions control equipment after 22 minutes, a straightforward end run around the testing. Remember that the 3.0-liter TDI engines aren't included in the big buyback and recall program announced for the smaller 2.0-liter, four-cylinder TDI engines. The 3.0-liter engines will likely get their own program, but we don't know when to expect it or exactly what it will look like. Last month, California rejected a proposed fix for the larger TDI engines, and VW went back to the drawing board. Since the company is unlikely to create two fixes, one for California and one for the rest of the nation, the company can't really proceed until they figure out a solution California will accept. The EPA hasn't officially commented on the report, and we don't know how Bild am Sonntag came across the information, but we'll be closely watching what emerges after this report. Related Video:

Techart tastefully tunes Porsche 911, Cayenne

German tuning haus Techart is making a big showing at the 2016 Geneva Motor Show, introducing modified versions of a number of Porsche products. At the fore, we have the new, all-turbo 911 range. Techart has turned its hand to both the turbocharged 911 and the new 911 Turbo (this will get less confusing, right?) with a range of upgrades covering performance and aesthetics. Techart has boosted the Carrera S from 420 horsepower and 368 pound-feet of torque to 460 ponies and 413 lb-ft of torque. The Turbo S gets a bigger boost, going from 580 hp and 553 lb-ft of torque to 640 hp and 649 lb-ft. It's not clear how Techart has made these gains, aside from the company's "Techtronic" engine management. Surprisingly for an aftermarket tuner at Geneva, Techart's exterior treatments are downright tasteful. There are new front and rear clips and a selection of rear wings, helpfully called Rear Wing I and Rear Wing II, while the diffusers and side skirts are also swapped out. We also dig the center-exit exhaust and its four meaty tips. On the opposite end of the equation, Techart is also modding the Cayenne range. The new Magnum Sport treatment can be applied to the base diesel-powered Cayenne and Cayenne S, the gas-powered GTS, and the Turbo with varying degrees of performance, but it's the force-induced Cayenne we're most interested. In its most potent form, the turbocharged V8 can be boosted from 520 hp and 553 lb-ft of torque to 700 hp and 678 lb-ft. At this level of performance, the Cayenne's sprint falls from 4.4 seconds to just 4.1. That ties the stock Cayenne Turbo S, but it's worth noting the Magnum Sport will do 183 miles per hour to the factory model's 176. Like the 911, there's a slew of aesthetic upgrades regardless of which Cayenne your Magnum is based on. The full body kit isn't as tasteful as the 911. The overall look is far more aggressive and dare we say aftermarket, with plenty of carbon-fiber accents, a very low ride and a serious wide-body look. In particular, the new front and rear fascia present a much more imposing appearance. There's also a carbon-fiber hood, because the aftermarket. We've snapped Techart's modified Cayenne and 911 on the floor of the 2016 Geneva Motor Show. And if you scroll down, there's also the official galleries and press releases for both models. Have a look, and register your opinion in Comments. Related Video: TECHART Personalization for the new Porsche 911 models.