Auto News 5

Japanese automaker is slashing by $500 million the amount it will spend to finish the mothballed plant. Corolla output would mark another shift for the project, with an original price tag of $1.3 billion. Full story...

GM's decision to withdraw all loan guarantee applications for its Opel/Vauxhall operations in Europe has been welcomed by the UK government. Full story...

The VW group is expanding in South Africa as part of its Strategy 2018. Following investment totalling around EUR500m (US$600m) there over the last four years, the company has announced a further EUR50m (US$60m) on modernising and expanding the press shop at its plant in Uitenhage, near Port Elizabeth. It has also opened a new EUR23m (US$27.6m) distribution centre near Pretoria. Full story...

Mercury axed, Mazda and Volvo gone. Alan Mulally's One Ford is almost a reality. But some links may be harder to untangle, writes Mark Bursa Full story...

Volkswagen expects to significantly exceed last year's profits due to strong demand for group models in key markets western Europe, China and North America. Full story...

Choosing to resurrect founding father Gottlieb Daimler's maxim 'The best or nothing' heralds the start of a marketing offensive to reassert its brand in the face of pressure from Audi and BMW. Guy Bird caught up with Dr Joachim Schmidt, executive VP of sales and marketing, to ask the 61-year old what he thinks the Mercedes brand should now stand for, the new product that will attract younger customers to help expand from about one million sales in 2009 to 1.5m by 2015 and whether Mercedes could, or even should, ever be 'sexy'. Full story...

Saab will return to marketing this weekend with a blitz for the 9-5 model and may eliminate one-tenth of its dealers to reduce costs. Full story...

New vehicle sales in Thailand increased by 53.4% to 62,205 units in May, compared with 40,539 units a year earlier, according to data gathered by Toyota Motor Thailand. Buyers seemingly have been unaffected by the political unrest which culminated in widespread rioting in and around Bangkok last month. Full story...

Fiat's largest union has denounced as "illegitimate and unacceptable" an agreement signed by the automaker's other labour representatives. Full story...

Replacing the Mercedes CL, first official pictures of the new S-Class Coupe have been leaked on the Internet.

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A new 4.4-litre turbodiesel V8 engine aimed primarily at European customers is the main new feature of the 2011 Range Rover line which also gets minor styling, drivetrain and equipment upgrades. Full story...

British car production rose an annual 54 percent in May, the Society of Motor Manufacturers and Traders said. The industry body said the recovery in UK vehicle and engine production continued for the seventh consecutive month. Full story...

Meet the Polo with a little off-road attitude!

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Don't count out the V8 as a powerplant for the future. Full story...

Sensational concept car brings 1920s supercharged Bentley bang up to date

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All-new 4.4-litre TDV8 and eight-speed gearbox deliver more power and over 30mpg.

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Lada-maker AvtoVAZ, Russia's biggest car producer, has raised its 2010 domestic market sales forecast to 541,000 cars, 35 percent higher than previously expected. Full story...

Belgium's Solvay is selling its 50 percent stake in fuel tank supplier Inergy Automotive Systems to Plastic Omnium. Inergy Automotive is the world's biggest supplier of plastic fuel tank systems and generated revenue $1.1 billion in 2009. Full story...

Nissan says the Juke crossover is aimed at small-sedan and -hatchback shoppers seeking a sporty alternative. Full story...

As major automakers pour billions into electric vehicles and batteries, Rick Woodbury is single-handedly keeping his EV dream alive. At Commuter Cars in Spokane, Washington, Woodbury is a one-man car company. Full story...