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Autoblog Minute: VW Q3 financial woes, 2015 Tokyo Motor Show

Consumer Reports pulls its Tesla recommendation, the U.S. Copyright Office offers a ruling affecting car owners, VW gets hit hard with third-quarter losses, and lots of exciting news from Tokyo. Autoblog senior editor Greg Migliore reports on this edition of Autoblog Minute Weekly Recap. Show full video transcript text [00:00:00] Consumer Reports pulls its Tesla recommendation, the U.S. copyright office offers a ruling that affects car owners and gear heads, VW gets hit hard with third-quarter losses, and lots of exciting news from Tokyo. I'm senior editor Greg Migliore and this is your Autoblog Minute Weekly Recap. After a week away testing vehicles for Autoblog's Tech of the Year award, we're back in the office to recap the week in automotive news. [00:00:30] One of the things you might have missed was Consumer Reports pulling its recommendation of Tesla's Model S sedan. The blemish for Tesla comes after a tally of reviews from customer surveys. The most common problem areas for the Model S as cited by survey takers included: the drivetrain, power equipment, charging equipment, body and sunroof squeaks, rattles, and leaks. So lots of stuff. Though they could not ignore a score of "worse-than-average", Consumer Reports still [00:01:00] highlighted the fact that the Model S was "the best performing car" they've ever tested. Telsa CEO Elon Musk took to social media to defend his sedans saying: "Consumer Reports reliability survey includes a lot of early production cars. Already addressed in new cars." And, "Tesla gets top rating of any company in service. Most important, CR says 97% of owners expect their next car to be a Tesla (the acid test)." In Financial news, Volkswagen took a hit and reported an operating loss of [00:01:30] $3.84 billion. This is the first such loss for VW in 15 years. Toyota reclaimed the crown as the world's largest automaker as well. It's important that it's not all doom and gloom for VW though in Q3. Sales revenues were up and the company's automotive division boasts $30 billion dollars in liquid assets. It's a sizable war chest that will no doubt come in handy, as the company has yet to feel the full brunt of the diesel emissions scandal. Good news for gear heads. The US copyright office [00:02:00] ruled in favor of mechanics and car owners by granting an exception to existing copyright law. The law was originally meant to prevent software pirating and bootlegging of Hollywood movies.

More than half of Mazdas sold in 2018 are CX-5s, and other interesting sales facts

Last year was a seriously good year for carmakers. Overall, more vehicles were sold than in 2017, and the total number wasn't far off of the all-time record in 2016. Digging deeper into the numbers, you'll find some pretty usual stuff including the Ford F-Series still being the bestselling pickup truck in America, and a continued trend toward crossovers. But there are also some oddball factoids tucked in these sales reports, some that defy the trends, and some that are extremes of the public's buying preferences. We've compiled several interesting tidbits from last year's sales right here for your enjoyment. More than half of Mazda's sales were of CX-5s Yes, over half of all Mazda sales were of this one model. The company sold 300,325 cars in America last year, and 150,622 of them were CX-5 crossovers, or 50.1 percent. Just for emphasis, that means the other 49.8 percent of Mazda's sales were split among five other models, the Miata, 3, 6, CX-3 and CX-9. Breaking that down further, the second-best seller was the Mazda3 at 64,638, which isn't even half of the CX-5's sales. People are crazy for Mazda's middle crossover. Volkswagen actually sold more cars than crossovers It's clear that the crossover is the future king of car sales. For most mainstream brands, it already is. Chevy, Ford, Honda, Toyota, Subaru, Mazda and Nissan all sold more crossovers and SUVs than they did conventional sedans and hatchbacks. There are holdouts, though, and one of them is Volkswagen. At the end of 2018, the company sold 189,343 cars and 164,721 crossovers in the U.S. So that's one win for the classic car set, and it's justification for VW to maintain its car line for the foreseeable future. It's a bit of a hollow victory, though. Look closer and you'll see that car sales were down 28 percent from 2017, when VW sold 262,029 cars. Crossovers, on the other hand, jumped 112 percent from 2017 when 77,647 crossovers moved through U.S. dealers. So expect the tables to turn very soon. Mustang is still the muscle-car sales king, but Challenger is the only one to improve Once again, the Ford Mustang topped the muscle-car sales charts, beating out the Dodge Challenger and Chevy Camaro. Ford moved 75,842 of the ponies in 2018, while Dodge sold 66,716 Challengers for second place, and Chevy sold 50,963 Camaros to bring up the rear.

VW recalling 2.64M vehicles worldwide over engine, light issues

Volkswagen is staging a massive, worldwide recall that's already grown from 1.68 million to 2.64 million vehicles and covers three different issues across a number of vehicles. We already reported on 61,000 Tiguans getting recalled over lighting issues - that was just in the US. Globally, however, VW will be recalling 800,000 Tiguans, according to Automotive News, with the focus on CUVs built between 2008 and 2011. The issue with the Tiguan relates to a simple fuse swap, so this is rather unremarkable, aside from the sheer number of vehicles being fixed. The real, troubling issues relate to gearboxes and pickups.
239,000 Amarok pickups (pictured right) are being recalled over fuel leaks, while 1.6 million vehicles are being recalled to swap the synthetic oil in dual-clutch transmissions with mineral oil. Now, the transmission issue is one for the global Volkswagen Group to address, not just the VW brand - vehicles from Audi, Škoda and Seat use the same seven-speed DSG and are covered under the recall, as well.
Why the switch from synthetic to mineral oil? Apparently, using the synthetic oil in a DSG and then subjecting it to stop-and-go conditions or heavy loads in a hot and humid climate can lead to electronic malfunctions, according to a Volkswagen press release. The switch, from the sounds of it, is largely a preventative measure.