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General Motors Co.is mating Goodyear’s Fuel Max radials with lightweight forged aluminum wheels from Alcoa Automotive Wheels on the 2011 Chevrolet Cruze Eco, a high-mileage version of the carmaker’s new compact.

Alcoa claims GM’s 17-inch wheels are 20 percent lighter than comparable cast aluminum wheels, helping to reduce the car’s weight. GM is promoting the six-speed Cruze Eco as capable of 40 mpg on the highway.

The four-door hatchback Cruze Eco is powered by a turbocharged 1.4-liter Ecotec four-cylinder engine rated at 138 hp. It also features tweaks such as a lower front grille air shutter that closes at higher speeds to improve aerodynamics and opens at lower speeds to optimize engine-cooling airflow, GM said.

Not only do forged aluminum wheels reduce mass to help lower emissions and fuel consumption, Alcoa said, they also improve driving performance and efficiency by reducing unsprung weight.

“Closely following the launch of our Volt wheel program, the Chevrolet team pursued a wheel providing lightweight performance that would further extend fuel economy for this latest vehicle,” Victor Marquez, vice president and general manager for Alcoa Auto Wheels, said in a statement earlier this week.

Alcoa’s contract for the Cruze is a multiyear deal, the company said. The wheels are made at Alcoa’s Cleveland plant.

The Cruze is expected in dealers’ showrooms this fall. GM has not released sales expectations for the vehicle, which it is pitching as an alternative to hybrids.

- Honda Motor Co.’s new CR-Z sporty hybrid is the car that nearly wasn’t.

The wedge-shaped, two-seat hatchback was almost killed twice because engineers weren’t convinced it was a unique concept and because U.S. bosses originally didn’t want it.

When Norio Tomobe was appointed chief engineer of the project in the summer of 2004, the car was still a blank sheet. And in the early years, the working model had a traditional gasoline engine.

“We had serious doubts about whether this would bring new value,” Tomobe said during a recent interview at Honda’s headquarters here. “I really struggled for a new idea, and we decided to start over from scratch. The hybrid finally gave us the wow factor.”

Yet going hybrid brought its own problems. Today critics assail the CR-Z as neither especially fuel-efficient nor sporty. And Tomobe is quick to admit at least one thing he wishes the CR-Z had: “more horsepower.”

He said he would like a Type R sporty version of the CR-Z someday with a spunkier power-to-weight ratio that lives up to its sporty styling.

Compromise solution

But in the meantime, the CR-Z is an exercise in compromise. It was conceived as a 1.3-liter car for Europe but was given a 1.5-liter engine to appeal to U.S. drivers. It aims to be sporty with a six-speed stick-shift option but also comes in a version with continuously variable transmission to squeeze out extra fuel economy.

The result: a 122-hp package that delivers a 0-to-62-mph time that, at 9.7 seconds, barely edges the Toyota Prius. And fuel economy is only 36/38 mpg, well below the Prius’ 51/48.

The 0-62 time comes from a leaked early edition of the Japanese sales catalog. Honda has dropped all references to it. Indeed, Honda conspicuously omits a 0-60 speed for a car that it touts as sporty.

The CR-Z went on sale in Japan in February and reaches U.S. showrooms this summer.

Honda plans to sell 40,000 to 50,000 CR-Zs a year worldwide, 15,000 in North America. Japan sales are projected at 12,000 a year, and Europe will get the rest.

Tetsuo Iwamura, president of American Honda Motor Co., was skeptical right up until he drove the final prototype.

“He kept saying they don’t need a hybrid,” recalled Tomobe.

“In the American market, people equate hybrids with the Prius,” he said of Iwamura’s cool response. “If the hybrid is sporty, it’s going to confuse the customers and dealers.”

The CR-Z’s fate was put before Takanobu Ito, now president of Honda Motor but then head of automobile operations. “He said, ‘Don’t worry about the States, just keep developing it,’ ” Tomobe said.

While driving early prototypes, Iwamura relentlessly derided the car, Tomobe said. But when he got behind the wheel of the final version, his reaction changed.

Suddenly, the project was a go.

“It’s ironic that the United States was the most vocal in saying they didn’t want the car, but the CR-Z still made its world debut at the Detroit motor show,” Tomobe said.

Tomobe, who cut his teeth as chief engineer on Japanese market projects such as the Mobilio Spike and Elysion minivans, is unapologetic about the CR-Z’s compromises.

“I’m satisfied,” he said. “This is what the future of sports cars will be for Honda. We are not pursuing absolute maximum speed. What we aim for is a car that is exhilarating to drive.”

On paper, the CR-Z’s power may seem lackluster. But sporty handling makes up for it, Tomobe said. The three-mode drive system helps by delivering extra throttle responsiveness.

Drivers can select normal, economy or sporty driving modes. In sporty mode, drivers of the CVT can simulate stepped shifting manually by flipping paddle shifters on the steering wheel.

The CR-Z borrows liberally from its hybrid forerunner, the Insight, which came out last year. It has the same engine room, front flooring, fuel tank and hybrid system. The motor, battery and inverter essentially are the same as the Insight’s, Tomobe said.

Room for improvement

Not only is its engine larger than the Insight’s 1.3-liter, but the CR-Z’s engine has 16 valves instead of the Insight’s eight. This is to help increase power at higher rpm and improve efficiency at lower speeds.

Up to 2,300 rpm, one intake valve per cylinder is closed to limit fuel consumption. Above that, all four valves are working to optimize power.

The CR-Z is also the first Honda hybrid to get a six-speed manual transmission.

Honda already is eyeing improvements. By boosting the storage capacity of the battery and making the motor and inverter smaller and lighter, future generations of the CR-Z should deliver better performance.

Said Tomobe: “There is room for further evolution.”

Critics say Honda could score by offering a gasoline-only CR-Z. But Tomobe said the company has ruled that out. The car’s identity is too closely linked to being a hybrid, he said.

But a Type R racing incarnation is another story. “If that appeals to people and contributes to Honda’s sporty image, we need to consider all options,” Tomobe said, adding that he would like to see an R.

That would require reworking the power-to-weight ratio and boosting the maximum speed. Tomobe said that is still a tall order for the current CR-Z and its eco-friendly mission.

Said Tomobe: “The CR-Z is supposed to be an intelligent sports car.”
Hybrids head-to-head
Specs of Honda and Toyota hybrids
HP Mpg (city/hWY.)
Honda CR-Z 122 36/38 (CVT); 31/37 (manual)
Honda Insight 98 40/43
Honda Civic 110 40/45
Hybrid Toyota Prius 98 51/48
Source: Companies

The National Highway Traffic Safety Administration is investigating allegations that about 6 million General Motors Co. pickups and SUVs may be susceptible to brake-line failure as a result of corrosion.

NHTSA’s preliminary evaluation, the first stage of a formal investigation, covers Chevrolet Silverados, Avalanches and Suburbans and GMC Sierras, Tahoes and Yukons from the 1999 to 2003 model years.

In addition, 189,000 GM heavy-duty pickups from the same model years are being investigated for the same issue.

NHTSA said it has received three complaints that brake failure caused by corroded lines led to crashes. None of the accidents involved injury or death.

GM is cooperating with NHTSA, GM spokesman Greg Martin said in a statement.

A NHTSA document said one complaint alleged that the brake line “burst in an area that was weakened by corrosion.”

Daimler AG CEO Dieter Zetsche says the German company will become a leading manufacturer of electric-car batteries. Trouble is, his new business partner Renault SA CEO Carlos Ghosn has the same idea.

Both chiefs have vowed to produce the best power pack as they begin working together to jointly develop electric cars, creating a potential conflict in their budding cooperation before it even starts.

Daimler and Renault, which swapped 3.1 percent stakes last week to seal a vehicle and engine development cooperation, left batteries out of the deal. Each side will instead vie for the right to install their power packs in electric-powered Smart and Twingo cars they will jointly develop by 2013.

“Daimler has been a company that has traditionally been reluctant to give up its own technology path,” said Anil Valsan, London-based director of automotive research at Frost & Sullivan. “While Daimler’s battery may have a technical edge, Renault-Nissan’s solution may end up being more cost competitive.”

Daimler, the world’s second-largest maker of luxury cars, and Renault, France’s second-biggest carmaker, both regard the technology for storing and managing electricity as critical in the shift to pollution-free driving. Batteries, rather than engines, will be the “heart” of future vehicles, Thomas Weber, Daimler’s development chief, said in a March interview.

Along with Renault, Stuttgart-based Daimler plans to work with BYD Co. Ltd., the Chinese carmaker backed by billionaire Warren Buffett, to build an electric vehicle for China and team up with Evonik Industries AG to develop electric powerpacks.

‘Pioneer’

“Daimler aims to be, and will be, a pioneer in the field of electric mobility,” Zetsche told shareholders earlier this week. “When alternative drive systems go into mass production in a few years, we will be ahead of the competition.”

Ghosn meanwhile plans to make Renault, along with the carmaker’s partner Nissan Motor Co., the global leader in zero-emission vehicles. The effort is due to begin in December with the Nissan Leaf, a battery-powered, five-person car that can travel 100 miles (161 kilometers) before recharging. The Leaf is set to go on sale in Europe before the end of the year.

Potential conflicts in the new alliance bring to mind Daimler’s failed merger with Chrysler LLC as well its effort to absorb Mitsubishi Motors Corp., investors said at yesterday’s annual meeting in Berlin. Working with Renault and Nissan may not bring the benefits Daimler expects, they said.

“We have grave doubts that the new partnership will be a success,” Ingo Speich, a Frankfurt-based fund manager with Union Investment, said at the meeting. “The traces of missteps run like a red thread through Daimler’s cooperation history.”

Sparring partners

The competition between Daimler and Renault to supply batteries for the two- and four-seat versions of the Smart and Twingo minicar was already evident in an exchange between Zetsche and Ghosn at the alliance’s announcement April 7.

“We are obviously going to do everything in order for our battery to be considered as the best,” Ghosn said. While Ghosn said that Daimler is “not obliged” to accept batteries from the Renault-Nissan alliance, he said he “doubts” Daimler would find better components elsewhere.

Zetsche responded that while he may not be able to find a better battery on the market, he may find one “inside” Daimler.

“We have the production know-how and the financial muscle to secure a long-term competitive position,” Zetsche said yesterday in re-emphasizing Daimler’s battery ambitions.

On Thursday Renault’s Chief Operating Officer Patrick Pelata said he did not expect competition between the partners on electric vehicles: “No, no. We’re putting everything together at the moment … We’re in the process of comparing who does what.”

Asked sidelines of a conference on electric vehicles in Paris if Renault and Daimler would work together on electric vehicles, Pelata replied: “Our teams are discussing that … It was part of the talks (before the deal was signed) but to talk and to concretize you need numbers,” Pelata said.

Daimler aims to spend 2 billion euros ($2.72 billion) to develop batteries and fuel-saving engines in the next two years, up from an average of 567 million euros a year in the past three years, after losing ground to competitors, Weber said.

Competing ventures

Part of that money will be funneled into a battery venture with Evonik for a factory in Kamenz, Germany, to produce lithium-ion powerpacks for an electric-powered Smart as well as Mercedes-Benz vehicles by 2012. Daimler earlier this month signed an agreement with BYD to set up a partnership to develop electric vehicles for China, the world’s largest car market.

Renault-Nissan plans to manufacture batteries through a joint venture with NEC Corp., Japan’s biggest personal-computer maker. The alliance is building five battery plants in Japan, the UK, France, Portugal and the United States, with a total production capacity of 500,000 units annually.

Carmakers are teaming up to develop electric batteries out of necessity because of the cost. Lithium-ion batteries, which are lighter and more powerful than the nickel-hydride batteries now in use, currently cost $700 to $750 per kilowatt hour, about twice as much as the cost projected to make electric vehicles competitive with fuel-burning cars, according to Frost & Sullivan estimates.

Cost comparison

For a 24 kilowatt-hour battery like in the Nissan Leaf, the battery cost would therefore range from $16,800 to $18,000, or more than the price of the Nissan Sentra, which starts at $15,420.

Mike Tyndall, a London-based automotive specialist with Nomura Securities, said he’ll be “hugely surprised” if Renault and Daimler end up using separate batteries for the small cars they produce together given the cost.

“They may reach a point where it’s clear that one technology will be better than the other,” Tyndall said. “It’s all a question of how willing they are to work together.”

Toyota Motor Corp. suspended sales of the 2010 Lexus GX 460 on Tuesday after influential magazine Consumer Reports urged car shoppers not to buy the SUV, calling it a “safety risk” that could roll over.

Toyota said its engineers were “vigorously testing” the luxury model to identify the risk cited by Consumer Reports, which said the vehicle was prone to slide when driven in sweeping turns and gave it a “not acceptable” rating.

The rare safety warning from the magazine, which is seen as an objective voice on auto safety and quality in North America, comes at a time when Toyota is battling to repair damage to its reputation from a series of recalls.

“We are taking the situation with the GX 460 very seriously and are determined to identify and correct the issue Consumer Reports identified,” Lexus Group Vice President Mark Templin said in a statement.

“At this time we have asked our dealers to temporarily suspend sales of the 2010 GX 460,” Templin said.

The automaker said it would provide a loaner vehicle until a remedy is available to owners who are concerned.

The last time Consumer Reports concluded that a vehicle was “not acceptable” for consumers to buy was in 2001, when it warned consumers away from the Mitsubishi Montero Limited.

The warning also stands out because past endorsements from Consumer Reports have been credited as one reason for Toyota’s steady sales growth in the United States over the past 15 years.

“It certainly does no favors for Toyota and adds doubts in people’s minds as to the safety and reliability of Toyota vehicles,” IHS Global Insight analyst Aaron Bragman said.

Toyota has struggled under massive recalls due to defective sticky accelerator pedals and the potential for floor mats to entrap the accelerator. The sticky accelerator pedals also led to U.S. sales and production halts.

Another chink in Toyota’s armor

U.S. safety regulators have proposed a record $16.4 million fine against Toyota, the highest allowed, accusing the automaker of knowingly delaying a recall over the defective accelerator pedals and may seek more penalties. The recalls also sparked congressional hearings and numerous lawsuits.

The automaker’s U.S. sales fell 16 percent year-over-year in January and 9 percent in February before rising 41 percent in March under unprecedented incentives. Toyota has extended broad incentives and widened a maintenance offer into May.

Investigations continue into whether unintended acceleration, which Toyota has attributed to mechanical issues, also could have been caused by electronics issues.

Dennis Virag, president of the Automotive Consulting Group, said Toyota appears to have work to do on its software strategy to manage situations within the vehicle under normal or panicked driving situations.

“It is another chink in their armor and an indication that perhaps they do have software problems not only in this vehicle but in other vehicles as well,” Virag said.

Consumer Reports said the sliding its test drivers found in the GX 460 could cause rollover accidents resulting in serious injury or death. It said it knew of no reports of such accidents.

“CR is urging consumers not to buy the GX 460 until the problem has been fixed,” the magazine said in a statement.

Toyota has sold about 5,400 of the Lexus GX 460 SUVs in the four months since it has been on the market. The luxury SUV, which is based on the same platform as the Toyota 4Runner, starts at just over $50,000.

Consumer Reports said the vehicle’s electronic stability control did not intervene quickly enough to stop the vehicle from sliding out in a turn. When pushed to its limits, the rear slid out almost sideways before it regained control.

The magazine said the risk of a rollover accident in the GX 460 was significant because it is a tall SUV with a high center of gravity.

It said no other SUV had slid as far as the Lexus in its recent testing.

Chevrolet dealers who want to sell the Volt plug-in hybrid car will have to invest in staff training, tools and equipment.

John Hughes, Volt marketing manager, would not give details, saying dealers will be told this year. Chevrolet plans to begin selling the Volt by year end.

“Our retailers will have a training requirement and a tools and equipment requirement,” Hughes said last week at the New York auto show.

That could mean that some Chevrolet dealers don’t sell the Volt, he acknowledged.

GM began making Volts with production tooling last week at its Detroit-Hamtramck plant. Hughes said those initial vehicles will be used for testing, as were earlier models built by hand.

The Volt, unveiled at the 2007 Detroit auto show, is General Motors Co.’s attempt to solve the range problem of electric vehicles. GM says the car will travel 40 miles using an electric motor powered by a lithium ion battery, then use an internal combustion engine to recharge the battery.

The powertrain gives Chevrolet the opportunity to attract a new kind of customer, Hughes said. But it will require a major effort to educate consumers beyond electric-vehicle advocates who understand what GM calls its range-extended electric vehicle

In a set of Ford TV commercials scheduled to start Tuesday, owners of competing brand vehicles tout Fords after taking week-long test drives.

The campaign, called “Swap Your Ride,” runs through May 31, a spokesman for Ford Motor Co. said.

The campaign consists of more than a dozen TV spots featuring Mike Rowe, who hosts “Dirty Jobs” on the Discovery Channel and currently appears in Ford spots.

The last time Ford ran Swap Your Ride commercials was in 2007.

Ford wants dealers to support the national spots with regional advertising, said a source who saw the commercials. The source said that in one spot, Ford swaps a Fusion sedan with a Toyota Camry owner and an Escape crossover for a Honda CR-V.