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BMW, Toyota warn about Chinese market slowing down

BMW and Toyota are the latest automakers to become concerned about the closing throttle on the once rapidly accelerating vehicle market in China. There might be drastic effects on their ledgers at the end of the year. With the Chinese stock market no longer looking so healthy, the people just aren't buying as many new cars as in the past. Things got really bad in June after the first drop in deliveries in two years. BMW has already reduced Chinese production by 16,000 units so far this year. Despite the slowdown, the company has kept a brave face. "We experience that volatility in all emerging markets," BMW CEO Harald Krueger said in a conference call, according to Automotive News. The problem for Toyota is a bit stranger. Through July, the automaker's Chinese deliveries were actually up 12 percent. However, the gain was offset by falling sales prices. "This is making our business in China quite difficult. The business environment is getting tougher," Toyota Managing Officer Tetsuya Otake said, Automotive News reported. Much of the weakness in China has come in the middle part of the year, and from January through June deliveries were still up 8.4 percent. This means the effects haven't hit the financial results of some automakers too hard quite yet. In the second quarter, General Motors referenced the "challenging conditions" there but still posted a growing net income of $1.1 billion. Despite falling global sales, Toyota managed record income for the quarter, too.

Toyota Recalling 516,000 Vehicles In Three Recalls

Toyota said Thursday it's recalling 516,000 vehicles worldwide - including 430,500 in the U.S. - for three separate safety problems, including brakes that can activate without warning. The company said it has no reports of accidents or injuries due to the defects. In all three cases, the company will alert owners and dealers will repair the issues for free. The largest recall, of 450,000 Sienna minivans from the 2004-2011 model years, targets vehicles sold in cold weather areas. Toyota said road salt can corrode the spare tire carrier under the vehicle and the tire can fall off. Siennas from the 2004-2010 model years were for the same issue in 2010, and a splash protector and anti-rust protection were applied. But the company says the splash protector can fall off and rust can still occur. The recall involves 370,000 minivans sold in the U.S., 80,000 in Canada and 400 in Europe. Also recalled Thursday were: - 16,000 Lexus GS 250 and 350 sedans from the 2013 model year because a manufacturing defect can cause the brakes to activate without warning, and without turning on the brake lights. Most of the vehicles - 10,500 - were sold in the U.S. Also included are left-hand-drive sedans sold in Canada, China and Europe. - 50,000 Highlander and Highlander hybrid SUVs from the 2014 model year. Toyota says a software glitch may prevent the vehicle from properly calculating the size of the front passenger when determining whether to fire the air bags. The affected vehicles assume the passenger is smaller, so the bags may not fire or they may fire at a lower speed than necessary for a larger passenger. Toyota says most of the affected vehicles - 45,287 - were sold in the U.S. Around 3,400 were sold in Canada and the rest were sold in Mexico and Europe. Related Gallery AOL Autos Test Drive: 2014 Toyota Highlander Recalls Toyota

Performance cars overpower the Detroit Auto Show

At precisely the stroke of noon on Monday, the 2016 Acura NSX rolled on stage at the Detroit Auto Show amid plumes of smoke and dancing lights. The sounds of the powerful engine revving soared to the rafters. It was the second coming of Acura's iconic sports car, and the reveal had all of the expected trappings. Afterwards, champagne corks popped and the bubbly flowed. It was noon in Detroit, but for the green-car movement, it seemed like the clock had struck midnight. That's an exaggeration, but performance was the overwhelming theme of North America's most important show. Ford – which has helped lead the way in smaller displacement engines and early adoption of hybrid powertrains – had more than 1,500 horsepower on stage one point after it revealed the GT concept, the new F-150 Raptor and the Shelby Mustang GT350R. The NSX is technically a hybrid (it has three electric motors), but with 550-plus hp, there's no doubt this Acura was bred on the track. The theme continued throughout the show at nearly every stand. Alfa Romeo showed off the 4C Spider, which is the open-air version of a car that purports to be the spiritual successor of the high-performance 33 Stradale from 1967. On Tuesday, Cadillac is scheduled to reveal the 640-hp CTS-V with the V8 transplanted from the Corvette Z06, and the Lexus was expected to roll out its own V8-powered beast, the 467-hp GS F. For enthusiasts – especially enthusiasts with money – these are halcyon days. But make no mistake, all of this power has a purpose. Ford product chief Raj Nair said the Blue Oval uses high performance cars to develop technologies, like aerodynamics and materials, which are then shared across its lineup. "It's another proof point about how serious we are in developing innovation through performance," he said. Ford, which is rolling out at least 12 performance cars by 2020, said the sporty cars attract younger and more influential buyers to its fold, which can help burnish its image beyond adding sales volume. Toyota is taking a similar approach, senior vice president Bob Carter said, noting the Lexus RC coupe draws people into showrooms and gets them excited about the brand, even if they don't end up buying one. "They provide an aspiration and a halo that provides the attention that gets you noticed in a cluttered market," he said.