Wednesday, 24 July 2019

Proton's resurgence

At the end of 2018 Proton introduced its first ever SUV X70 which was a Geely sourced model that was tweaked to suit local Malaysian market. The sales of this new SUV was moderate upon launching but have since gained a lot of momentum. It is currently the top selling SUV model in Malaysia now and have gained the confidence of local buyers. The car is decent looking with good interior design as well as advanced infotainment system that is not found even in cars costing 4 times more. The initial response was a good but not great as many buyers were concerned about the quality and reliability of the car since it was a China derived model. The sales surged 3 months after the initial launch when many X70 units were seen on the streets. This gave a more confidence to new potential buyers coupled with many good motoring reviews of the car.

Proton then took 3 old existing models like the IRIS, Persona and the Saga and reworked them heavily as part of the facelift exercise. Geely sent numerous engineers from China to help with the facelift project which saw the quality of the car improve in the areas of NVH and build quality. when the facelift models were introduced numerous motoring journalists raved about the improvements which spurred more sales for Proton.

Proton has now capture the 2nd spot for car sales in Malaysia. This second place was lost to Honda in 2018 and now Proton is able to be competitive once again. Proton plans to launch a smaller SUV called the X50 which is based on a Geely model. This X50 is to be priced between RM75,000 to RM90,000 which is cheap and will affect the sales of Honda's BRV and HRV as well as the Toyota Rush and Vios. The X50 will come with a 1.5 litre turbo with a 6 speed direct shift gearbox, something unheard of in a car in this price range.

Geely plans to utilise more of its models for Proton to capture a greater portion of the car market. Companies like Nissan, Honda, Toyota and Hyundai should be worried, especially Toyota since its model offerings are either outdated model that have been revised or models using outdated technology. Proton's target market will no longer be for budget car buyers but will cater to a wider audience with its upcoming product offerings.

What all this means is that with the right injection of capital, models and engineering a company like Proton can be turned around. Prior to its acquisition by Geely, Proton was floundering and lost. The engineering team was lost and had no direction, the company was riddled with corruption and the dealership network was a complete mess. With the right management the company can return to profit and introduce exciting new models that people will want to buy.

Tuesday, 9 July 2019

EV or hybrid?

The automotive world is moving towards electric power but there are still some companies that still strongly support the internal combustion engine such as Mazda who firmly believe in the internal combustion engine. The rest of the world have either started their EV line up or have a hybrid in their current model offering.

The question now is which is a better option, the EV or the hybrid?

Many argue that the hybrid gives better flexibility in terms of usage since it does away with the range anxiety issue that is common with EVs. However, the hybrids of late have been plagued with problems stemming from the relays, power delivery switch module and battery itself. These problems are not isolated to the new hybrid adopters like BMW, Porsche, Mercedes but it also have appeared on Toyotas. There have been numerous reports on the Camry hybrid giving problems when the car's mileage hit 60,000km which is quite surprising since Toyota's record for reliability is the best in the industry.

The EV's problem is charging infrastructure, range anxiety, charging time (now much faster than before), and cost of battery replacement. Not everyone lives in a landed property that can facilitate EV charging and there aren't enough public charging stations. This is truly an inconvenience for EV owners. EVs are also more expensive to buy than regular cars due to their smaller production volume. In countries like Norway the emphasis have been on EVs and the government have put a lot of money into building the charging infrastructure to support it. In other countries the adoption is far slower as the cost of building the infrastructure is high.

there is no right or wrong option for these 2 types of cars but one must weigh out the pros and cons of both before committing to the purchase. Seeing that many countries have announced bans on fossil fuel cars by a certain year, it is very likely that the EV will be choice. The question is when is the right time to make the switch? In countries where the geographic area is huge and the distance between cities or towns is far the EVs will struggle to sell until there is sufficient charging infrastructure installed. Countries like Australia where the distance between cities can be over 1000km there are no EVs that can exceed 600km on a single charge, the driver will need to make at least 1 stop. Even with a rated 600km driving range the real world driving range will be at least 20% less due to the use of air conditioning and other electrical functions in the car. This means that the driver will need to stop twice for the same journey while the hybrid owner can just make just one quick stop for fuel.

From what is observed, the EVs make a lot of sense in highly populated cities to cut air pollution and since the required driving range isn't very far the EVs will be very suitable.

Audi recently made an announcement claiming that they have pioneered the technology to convert CO2 to fuel which can have a massive impact on the automotive industry. The conversion of CO2 into fuel can reverse the amount of carbon in the air and essentially kill the EVs. Many things may change in the next 10 years. It is too early to say what will happen and if governments will reverse their ban on fossil fuel cars.

Monday, 3 June 2019

Is Toyota becoming lazy?

In recent years Toyota has started to introduce car models that are not made by Toyota themselves. It started off with the GT86 which is designed and made by Subaru. In the US there is the Toyota Yaris sedan is actually Mazda 2 or a Mazda Demio (in Japan) and now there is the new A90 Supra which is designed and made by BMW. What is going on with Toyota? Are they taking short cuts now?

In 2013 Toyota worked with Subaru to have the GT86 / BRZ built. Subaru built a better car of themselves (the BRZ) with the profit they earned from building the GT86 for Toyota. The biggest difference was the BRZ had slightly better handling and used better materials for the car's interior. Saying all this, Toyota's GT86 sold more than the Subaru BRZ due to Toyota's wider dealership network and greater access to more markets.

In 2015 Toyota rebadged the Mazda 2 and sold it in the US as the Toyota Yaris Sedan. It is was a joke since Toyota didn't even bother to make any changes to the car apart from swapping the badges where applicable. The infotainment system was 100% mazda and even had the same i-loop and Skyactiv system in the car. This was downright a lazy effort on Toyota's part.

This year Toyota introduced the new A90 Supra which was designed and built by BMW. Toyota didn't hide the fact that the car was essentially a BMW claiming that BMW makes the best inline 6 cylinder engine and they wanted such and engine without having to develop one themselves. This time Toyota did put in some effort and changed the styling to create its own unique exterior.

With all this model borrowing and rebadging what is really happening to Toyota? They are a big company that is capable of developing cars on their own and do they really need to ask other car companies to make cars for them? Toyota isn't like Proton where the R&D team (previously before Geely took over) were made up of morons! Toyota has a massive R&D budget and have the capacity to make some very good cars. They were in fact right on top with new car development in the late 1980s and 1990s. It is very unlike Toyota to have other car companies make cars for them. It is common practice in the automotive industry where car companies share car model platforms and parts to save on cost and enjoy economies of scale. Toyota is one that was very good at this but they didn't share parts and platform with other car companies except for Daihatsu which they owned.

If Toyota keeps up the trend of borrowing models from other car companies soon it will lose its identity and Toyota fans may move to other car brands. it is pointless to buy a car that is rebadged when you can get the original for less money unless the rebadged version is a lot cheaper. In smaller car companies it is common to just rebadge models from bigger car companies but doing it the other way round is just shocking.

One would never expect Toyota to do this and when they first introduced the GT86 Toyota claimed that it was a technical collaboration with Subaru. Most people would have thought that this is acceptable and was probably a one-off project. When Toyota took the Mazda 2 and rebadged it as the Yaris Sedan that was just wrong!

hopefully this trend will stop soon. It is very strange to see such a top 3 car manufacturer do this.

Wednesday, 29 May 2019

New Toyota A90 Supra

The Toyota Supra is finally out after such a long hiatus. It is good that Toyota can finally inject some excitement into the brand. Yes! the car is made and designed by BMW. It is not such a bad thing since BMW do make the best straight 6 engine that is capable of some serious performance and is highly tunable which is something the after market guys will love.

The recent years Toyota has been stuck with the GT86 which is again built by another company Subaru. The GT86 was a very mild sports car to say the least and many enthusiast were craving for more performance but Toyota refused to make a faster version of the GT86. The Supra's launch was highly anticipated and created a lot of interest in the brand again.

Ever since the previous A80 model stopped production in the late 1990s many Toyota fans were waiting for a replacement model. Several concepts were teased at various motor shows but nothing as produced. The new Supra is more grown up and more comfortable than the previous model and carries over many parts from BMW apart from the engine and gearbox. The interior infotainment system is BMW, the centre console is BMW and the switches are also BMW. Toyota spent more time tweaking the suspension and other minor parts to try to set it apart from BMW.

Despite being down on power compared to its sibling the Z4, the Supra is supposedly faster accelerating than the Z4 (with 50hp more) which is hard to understand how this is possible. The only way this is possible is better traction from standstill. The car is much heavier than the GT86 by over 300kg but it makes up for it with the far superior power and torque.

Handling wise the car is not as nimble as the GT86 due to the extra weight and the brakes will fade after 5-6 laps of hard pounding on the track. Tuners are already starting to get ready after market tuning parts for the Supra and it will be the hot topic in the 2020 Tokyo Autosalon. Many tuning fans are already tired of the GT86 / BRZ since it has been in the market since 2013.

The sales of the Supra has been very encouraging with many first shipments sold before the cars were available in several countries. Having multiple variants do help with the sales as the entry level 2.0 turbo caters for the buyers who are buying it for the look rather than performance and with a small budget while the premium model caters for the buyers who want more luxury.

Depending on how this model sells over the next few years hope that Toyota will continue to build or introduce more sports models for the enthusiast. Toyota shouldn't ignore the enthusiast market and focus solely on making boring economy cars, MPVs and SUVs.

Tuesday, 9 April 2019

Driving behaviour in different countries

Driving behaviours vary from country to country. It also have a lot to do with the mentality and attitude of the drivers. In developed countries like Japan, UK and Germany the drivers obey the laws and will often follow a certain etiquette when it comes to driving. This behaviour varies tremendously and can sometimes be very shocking.

Lets break it down by several countries that I have observed:

- China (Shanghai, Shenzhen, Guangzhou, Beijing) : Car ownership is still relatively new and having a driving license is also new for many people in China. In the earlier years (around year 2000) the driving behaviour was atrocious as the drivers had zero respect for traffic laws, often drove against the flow of traffic to save time or to take a short cut. The accident rates were extremely high and resulted in high number of road fatalities. Ever since the Chinese Government's move to install millions of CCTV on highways and on city streets and impose heavy punishment on bad driving or breaking traffic laws the accident rates dropped significantly and the drivers now behave themselves and observe traffic laws.

- India (new Delhi & Bangalore): due to bad town planning and narrow streets the traffic is always bad in all major Indian cities. A two lane wide road will end up having 5 cars squeezing across the 2 lanes. The drivers still try to find short cuts even if it means driving against the flow of traffic. The driving speeds are generally very slow due to heavy congestion but the behaviours of the drivers don't help he situation. Seeing an already congested intersection the drivers will still drive their cars into the congested intersection to make it worse instead of waiting for the next traffic light change. The road conditions and the presence of cows on the road makes situation worse. Badly maintained heavy vehicles and trucks that regularly break down further amplifies the already terrible situation.

- Manila, Jakarta & Bangkok: In cities like Manila where town planning is bad due to prior corruption of politicians the traffic situation will never improve and it is like a perpetual traffic jam every day. The presence of Jeepneys (modified mini bus) that stop randomly makes traffic problem an endless ordeal. There is little to no chance of driving fast and the impatience of the drivers don't help the situation. The traffic police can do little to help the situation since the town planning is the biggest cause of traffic problems.

- Turkey (Istanbul) : by far the most dangerous place to drive. Almost every person driving a car is holding on to their phone texting another person or talk on the phone while the other hand is trying to steer the car or change gears (manual transmission). The drivers are very aggressive and drive extremely fast in narrow streets without fear of hitting pedestrians and have zero navigation planning. They would start driving and then try to find their destination on their phones instead of finding the destination on their phone's GPS before start driving. The cars would meander from lane to lane as the driver is too distracted with their phone to drive safely. Many cars have some sort of accident damage. It is evidence of how bad the driving conditions are in Turkey. The drivers are aggressive and are always in the hurry. Driving against the flow of traffic is common in Istanbul. the drivers have little to no regard for traffic laws.

- Dubai - It is like an Arab driving syndrome. They are always in a hurry, drive very aggressively and are always talking on the phone. The drivers are always distracted and never focus on driving. The accidents are usually big. Despite having big wide road with near perfect road surfaces the drivers are still crazy and all think they are Formula One drivers. Breaking the speed limit is the norm and way of life!

- Singapore : The punishment for bad driving is severe in Singapore but that doesn't stop the drivers behaving like buffoons when they cross over to Malaysia. Whenever they spot a foreign registered car driving in Singapore the Singaporean driver will want to cut off the foreign car. It is like a game for them. The Singaporean drives will get fined heavily when caught speeding or running red lights but they happily do it in Malaysia thinking that they won't have to pay for traffic offences in Malaysia. It is like a caged animal being let loose again!

Tuesday, 26 March 2019

Electric cars and the demise of the fossil fuelled cars

Ever since Tesla's model S was introduced the evolution of the electric car industry has been the talk of the automotive industry. Prior to that electric cars were thought of as a glorified electric golf cart. When Tesla unveiled the Model S many industry observers and several American car makers were laughing at Tesla and said that Tesla won't survive more than 5 years, that was in 2011. Fast forward 8 years and Tesla is leading the way with its electric car technology and no other car maker until today have caught up with it. Those American car giants had to swallow their words and admit that electric cars are the way forward. These car makers are also scrambling to design competitive electric cars to take on Tesla if they don't want to be left behind.

With more countries announcing the ban of gasoline and diesel engine cars, this push towards electric cars just got a lot stronger. Companies like Ford and GM cannot laugh at electric cars and it appears that they have lot of strong competition in this field. China car makers have embraced electric cars because in the eyes of the Chinese automakers it allows them to springboard forward and catch the other long established automakers in this field. China electronic industry and battery industry is one of the most advanced and for them to put together an electric car is not difficult.

China's attempted at making a world class electric car has started with few new comers such as Lynk & Co, Nio and Byton. The designs are not ugly nor are they mundane low rent looking cars. They have current design flair to it and have the technology to compete with the likes of Nissan (leaf) and Chevrolet. 

Some industry observers thought that Tesla was starting to rest on its laurels but every year they introduce something ground breaking like the first electric semi truck capable of 500 miles on a full charge and possibly one of the fastest electric sports cars with the Tesla Roadster 2 which claims a 0-100km/h time of under 2 seconds! Tesla keeps moving the yardstick further and further ahead making it difficult for many car makers to catch. Name such as Mercedes, Audi and Porsche have invested billions to develop their own range of electric cars which aim to compete head to head with Tesla. BMW also just announced their upcoming range of electric models starting in 2021. 

It is exciting times ahead and there will be a lot to look forward to in the electric car industry. The question remains if the older fossil fuel cars will still be relevant in the next 20 years in developed countries. The adoption of the electric car will be faster in developed countries but in poorer third world countries where electricity supply isn't as stable and charging infrastructure is poor it will be difficult to see electric cars over taking gasoline or diesel cars. Among the developed countries Japan seems to be slow to move toward electric cars. The car makers like Toyota, Honda, Subaru and Mazda don't seem to be bothered with full electric cars. Toyota is still sticking to its hybrid technology and Mazda is still championing their combustion engines.

Countries like Indonesia and Philippines will see slow adoption of electric cars, similarly with India and African countries. The reason for the slow adoption is the geographic nature of the country. Indonesia and Philippines are made up of hundreds of small islands while India together with many other developing countries like Myanmar, Laos, Vietnam, Cambodia and many South American countries don't have stable electric power systems. This makes moving to electric cars very difficult.

Shifting to electric cars will be a painful challenge for some countries where charging infrastructure will be the biggest problem. Some countries struggle to generate enough electricity for regular use let alone charging a car which can take an additional burden. In countries like India, during summer the electricity usage spikes which causes often power outages. Charging an electric car in such situations will not be a huge problem. Then there is also the problem with charging in highly populated cities where even charging in one's home is also difficult since most of the population live in apartment buildings and having a charging point is not always an option.

Managing the development of the charging infrastructure will be vital for a successful conversion to electric cars.

Thursday, 21 February 2019

Evolution of the BMW M3

BMW's M3 model is by far one of the most popular among the M cars produced by BMW. It is sporty, fast and is one of the best handling cars in its category. It has evolved from the sporty, sharp handling little sedan in the form of the E30 with just over 200hp but today the upcoming variant in the G80 boasts 480hp! The power output has more than doubled in the last 30 years!

The competition in the category is fierce with the Audi RS4 and Mercedes C63 offering equally capable models. The interesting thing to note that the upcoming G80 M3 will have as much power as the Porsche 997 Turbo!

One would never imagine that the power hikes can really be this much over 3 decades. The very popular E36 M3 Evo pushed out 321hp from a 3.2 litre engine which was one of the best engines of its time. Then came the E46 M3 pushing similar power before the E90 4 litre V8 made a big jump to 400hp. After that the F30 M3 came with 3.0 litre twin turbo pushing out 420hp.

The competitor from Audi had over 440hp and Mercedes's C63 had 500hp! BMW was under pressure to produce a monster capable of beating these two cars. On paper the horsepower was on but on the track the M3's handling was the best of the lot allowing to easily keep up or be faster than the other 2 cars on the track.

As the evolution of the model goes one will wonder how much further the engine power will increase. It is the same for the M5 which started off with the E39 model pushing out 300+hp while the latest variant pushes out over 600hp!

All these sports models from BMW have made sports cars look slow and forced the sports car makers to seek for more power. The terms sports cars is no longer exclusive to 2 door low slung sporty looking cars. The sports sedans are now deemed as a better choice since it can carry 5 people, have decent luggage space and is more comfortable to drive but yet have the performance when you need it. The term sports car is now just a blur!