Bob Nardelli, Chrysler's current CEO, has given his employees the closest thing to an admission as we are likely to see that the company has been in serious negotiations with other automakers regarding future product plans and possibly even mergers. As has been widely reported over the weekend, Chrysler has apparently had discussions with General Motors regarding a tie-up between the two automakers, and the rumormill is churning away with stories that GM isn't the only suitor. Carlos Ghosn already has a history of merging automakers, and his Nissan/Renault partnership has naturally been recalled as a possible mate with Chrysler, as have Fiat and Tata Motors. Remember that there's nothing concrete here to report, just speculation. At this point, all we know is that Nardelli admits that there are "third parties who are interested in exploring future possibilities with Chrysler" and that "as the company evaluates strategic options to maximize core operations and leverage its assets, we engage in a dialogue with these parties." Sounds pretty vague, wouldn't you say? These talks can be routine or they could be much more. We'll just have to keep an interested eye on the news.
The Tata Nano, which will be the world's least expensive car, has already exacted enormous sums of money and time. A dispute over the location of a new factory has cost Tata close to a year of court wrangling and might end up spoiling a £200 million investment. Now the efforts to build the Nano have cost a life.
Unhappy workers were invited to a meeting with Indian and Italian executives of Cerlikon-Graziano Transmissions, which makes auto parts, to discuss reinstatement. Only a few workers were in the meeting, but more than a hundred were waiting outside. When those outside heard someone inside call for help, they rushed in, and in a mob fog anger, bludgeoned the company's operations head, Lalit Kishore Choudhary, to death.
It was later reported that some of the folks involved in the melee weren't even employees of the company. What Tata will need to urgently figure out is where it needs to go -- inside or outside of India -- to build the Nano without backlash. In the mean time, our condolences go to the Choudhary family.
Fueling speculation that the Tata protests last week may have been much more effective than originally reported, India's Tata Motors Ltd has said it will move the upcoming Tata Nano plant from its planned eastern India location if the violent protests don't end. The tension is between the industry that is pushing for the 1,000-acre plant and the farmers who wish to retain the land for agricultural use. After the unveiling of the plant in January, which was hailed by the state's ruling Communists, the protests have been gathering steam. It eventually led to the violent clash last week as more than 1,000 people marched against the planned facility. The announcement from Tata Motors is significant as the company has invested more than 1,500 crore rupees ($350 million) in the project so far, and there is no alternate plan to replace the facility at Singur (although the Nano is going to be manufactured at other plants, as well). In addition, other manufacturers who are expanding into India (including Nissan, Renault, GM, and Hyundai) are watching the unfolding events very closely as they plan their next moves.
The Jaguar XF has been a shot of adrenaline for the perpetually struggling leaping cat, as sexy lines and ample performance are adding new customers to the brand. We love the balance of the naturally aspirated V8 and the ample bite of its supercharged sibling, but we'll always be agreeable with the prospect of more power. Spy photos have shown us that an even more vicious feline is on the horizon with a blown 5.0L V8 that cranks out north of 500 ponies.
The folks over at Auto Telegraaf are reporting that the XFR will be unveiled at the Detroit Auto Show next January, which would give Jaguar a big introduction at North America's biggest auto show. We liked what we saw when the XFR made its cloaked debut at the Goodwood Festival of Speed (that graphic on the side should so be an option), and we're looking forward to seeing Tata's most powerful vehicle when it hits Detroit.
Tata's diminutive Nano will soon be hitting the market with a standard 30-horsepower, 624cc gas engine mated to a four-speed manual transmission. While that may seem a bit small and underpowered, those looking to spend just $2,500 on a brand new car aren't likely to complain. Plus, the combo is good for 54 US miles per gallon, quite the achievement, we'd say. When it was first introduced, Chairman Ratan Tata indicated that a diesel engine was likely soon after launch, and it seems he wasn't kidding around. Displacing 800 cubic centimeters and equipped with common-rail fuel injection along with a turbocharger, the planned twin cylinder diesel engine has been jointly developed by German powertrain specialists FEV, Bosch and Honeywell. So far, no pricing, horsepower or fuel mileage statistics have been released, but the oil-burner is sure to improve fuel mileage even further and will likely add a bit to the cost of the World's cheapest car.
Ratan Tata, the man and mover behind Tata motors, is doing a Meet the Parents tour with Jaguar's oldest and largest U.S. dealers. As the best businesspeople do, he is flying across the States to meet the men and women in charge of his newest brand. Incredibly, it is the first time he has ever stepped inside a Jaguar dealership.
Ratan has probably gone on the whistle-stop tour not only to get to know his dealers, but so his new partners could get a glimpse of the man they've all been wary of ever since Tata emerged as a front-running buyer for the brand. What were dealers telling him? They want they want a convertible sports car like the F-Type, a convertible XJ, and an even more upscale car to compete with Bentley.
Dealer reaction has been effusive. The head of Jaguar's dealer council -- who said India was no place for Jaguar -- reversed himself after meeting Tata, saying flat out, "I was wrong." And said Norm Aron, owner of a 55-year-old dealership in Illinois, "I'm telling you this: He's going to make something out of Jaguar. We're in good hands now." Score one for Mr. Tata, and please, Ratan, keep it up.
If you have a passion for Tata-owned British luxury vehicles and you're willing to move to central England, then Jaguar/Land Rover may have the opportunity of a lifetime for you. The newly Indian-owned British marques are looking to fill 600 positions to beef up their engineering staffs that work on emissions performance. Both experienced engineers and yungins fresh out of college are needed, as well as a few HR schmucks and some purchasing and finance bean counters. The reason for the new hires includes tough new European CO2 emissions targets coupled with the fact that former parent Ford Motor Company had been supplying much of the brain-power to meet those targets. Many earth-saving technologies have already been developed, like an engine stop/start system for Land Rover, but more bodies are needed if game-changing products like the LRX are to see the light of day. If you apply, remember that reading Autoblog daily is considered a total asset by HR people.
It looks as if Ford is finally putting a fork in the sale of Jaguar and Land Rover to Tata Motors... it's done. According to a statement from Ford, which can be read after the break, the sale of the two British automakers has been officially finalized as of today. Ford also wishes the best for its recently departed companies and their employees. Awww, isn't that sweet? We're glad we can all still be friends.
At Jaguar Land Rover, things seem to be business as usual. The company has announced that its new proud papa, Tata Motors, has named former CFO David Smith the new CEO for Jaguar and Land Rover. You may recall the untimely death of Geoff Polites, the company's previous CEO. Today's announcement of Smith's new appointment comes right on schedule based on past information provided by the company. Smith has already been the acting CEO since Polites' death late last April.
It's nothing new to have automakers pushing suppliers to cut their component costs. For the past decade and a half, many companies have demanded suppliers provide price reductions of 3 to 5 percent a year, every year, with varying degrees of success. India's Tata Motors is taking these efforts to a whole new level. In order for Tata to build a new car with a retail price of only $2,500 they need component prices an order of magnitude cheaper than other cars. One example is airbags. While Tata wants the Nano to be a very basic car, it wants it to still meet safety standards. The problem is that frontal airbags cost about $150 each. At that level, a pair of airbags would account for more than 10 percent of the cost of the car, clearly a non-starter. As a result, Tata has asked occupant safety systems supplier Autoliv to develop airbags that cost only $10 each. How or if Autoliv will get down to that price point remains unclear. It seems that features like two-stage airbags and systems that detect the presence of a passenger to disable the bag if there is no one there will have to be left out. In any case, it'll be interesting to see if Autoliv and Tata can pull this one off.
Tata Motors, rumored to have been interested in purchasing a large chunk of Italian motorcycle maker MV Agusta, could have some competition. Another large Indian conglomerate, Mahindra & Mahindra may now be interested in a controlling stake in the storied company. According to India Automotive, the potential exists to gain instant traction in the global motorcycle market by picking up MV Agusta, and the Italian company could use the extra funds from a large and profitable company to release a new line of more competitive machines.
Volkswagen, are you paying attention to all of this? As we've previously reported, the German automaker has expressed interest in purchasing an established motorcycle brand, even going so far as to mention Ducati by name. MV Agusta would offer instant credibility and would be a rather easy entrance into the marketplace.
