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media.ford.com

DETROIT (AP) — Ford is recalling more than 154,000 Fiesta subcompacts to fix a problem with the side air bags.
 
The company says that if the front passenger seat is empty, the side air bag won't inflate to protect rear-seat passengers in some crashes.
 
Ford says it doesn't know of any crashes or injuries linked to the problem.
 
The recall affects Fiestas from the 2011 through 2013 model years. They were built in Mexico from Nov. 3, 2009 to Sept. 21, 2012.

Dealers will reprogram the computer that controls the side air bag so it inflates even if no one is in the front passenger seat. The repair will be done for free

media.gm.com

WASHINGTON (AP) - Auto industry officials say the government is preparing to warn car owners whose airbags have been replaced in the past three years that dangerous counterfeit bags may have been installed.

Industry officials said the National Highway Traffic Safety Administration has alerted them that thousands of car owners may be driving vehicles with counterfeit airbags. Some of the counterfeit bags fail to inflate properly. The officials requested that their names not be used because NHTSA had asked them not to speak publicly about the problem until after an announcement scheduled for Wednesday.

GM Renaissance Center in Detroit.
John F. Martin / Creative Commons

General Motors says it will close its hydrogen fuel-cell research operation near Rochester, N.Y., and move it to Michigan, along with most of the 220 salaried jobs currently in New York.

The company says most of the 220 salaried workers in Honeoye Falls, N.Y., will be offered the chance to move to GM's engine and transmission research unit in Pontiac.

Spokeswoman Kimberly Carpenter says the move will pull together all of its experts on ways to move vehicles. The company will save some money by not renewing a building lease in New York.

She says GM will continue to focus on electric vehicles and fuel cell development. GM has been testing fuel-cell vehicles that run on hydrogen with no harmful emissions.

Ford Motor Company hopes to earn a place on the hybrid map in the U.S. with its new C-Max.

The company knows that won't be easy. 

No one comes even close to the dominant sales position of the Toyota Prius line of vehicles - the original Prius, the smaller Prius C, and the larger Prius V.

Ford's new C-Max has a major bragging point:  it beats the fuel economy of the Prius V by 7 miles per gallon on the highway.

The Prius is beloved by its owners; it has one of the highest loyalty ratings of any car. 

So Ford has chosen a gentle style of humor over an aggressive pitch to sell the C-Max.

Ford today launched a series of ads using a cartoon character, "La Linea," -- a revival of the classic 1970s character from a popular Italian animated children’s series.

The ads show the character overcoming the performance limitations of a Toyota Prius, by driving a Ford C-Max.  You can see one of the ads here:

“The ads are done with just the right tonality of competitiveness versus a strong competitor. It clearly positions our product in a fun way,” says Matt VanDyke, director, U.S. Marketing Communications, Ford Motor Company .

General Motors says its U.S. sales rose about one and a half percent last month, as a big jump in car sales was offset by falling truck sales.

Ford says its U.S. sales were flat in September, like GM, Ford was weighed down by lower truck sales even as sales of its cars rose.

But Chrysler had the best September of the Detroit Three, with a 12 percent increase in sales.

More from the Detroit News:

Henry Ford Community College

It's been a long time since the days you could succeed on the factory floor with "a weak mind and a strong back," as the adage goes.

Modern manufacturers need people who use their minds more than their bodies.  

Today, manufacturing workers need to be computer literate, solve problems when the robots on the line shut down, and work in teams.

The Obama administration says manufacturing companies added jobs for the first time since the 1990s - more than 500,000 jobs in the past 30 months.

2006-2007 Honda Accord. One of the models included in the recall.
IFCAR / wikimedia

Honda is recalling around 572,000 Accord midsize cars in the U.S. to fix a defective power steering hose that can leak fluid and catch fire.

The recall affects Accords from the 2003 through 2007 model years that are equipped with V-6 engines.

Honda says one fire was reported but no injuries.

From Honda:

American Honda has expanded a May 2012 power steering hose recall to additionally include approximately 572,000 model-year 2003-2007 Accord V6 vehicles in the United States.

Ken Lewenza, president of the Canadian Auto Workers.
Canadian Auto Workers union

Yesterday, the Canadian Auto Workers union said that 90 percent of unionized Chrysler workers voted to approve a new deal with the company.

Ford and GM workers in Canada approved their deals last week.

So what did they get?

Here's a good write-up on the negotiations between the Canadian Auto Workers and Detroit's Big Three automakers from the Detroit Free Press' Brent Snavely.

A 2011 Chrysler Town & Country rolls off the final inspection line at Chrysler Group LLC’s Windsor Assembly Plant.
Chrysler

21,000 unionized auto workers in Canada are another step closer to job stability until at least 2016.

Last night, union workers at General Motors plants in Canada approved a collective bargaining agreement between the Canadian Auto Workers and the auto company.

Ford workers in Canada approved their deal earlier this week. And Chrysler workers will vote this weekend.

CBC News in Windsor reports on what these deals mean:

The CAW union and Chrysler have reached a tentative deal similar to the agreements reached with GM and Ford. Ford workers in Canada ratified their agreement earlier this week. GM workers are expected to do so sometime tomorrow. More from CBC Windsor.

Ken Lewenza, president of the Canadian Auto Workers.
Canadian Auto Workers union

One more agreement, and the Canadian Auto Workers will be on the road to deals with all three U.S. automakers.

The CAW and Chrysler are working on finalizing a labor contract this week.

Ross Marowits of the Montreal Gazette reports the two sides are close to reaching an agreement.

The chairman of the CAW master bargaining committee for Chrysler said the two sides made significant progress over the last 24 hours.

“I think we’re closer and closer by every minute and every hour and again we’re just working at this closing up those loose ends,” Dino Chiodo said Wednesday in an interview from Toronto.

“Unless things completely fall off the rails, which I don’t see happening at this point, I think we’re moving along very well and I’m confident that sometime today or tomorrow we’ll be able to achieve the final task of wrapping this up.”

The bargaining teams are expected to meet tonight after 7 p.m. The CAW and General Motors have reached a tentative agreement. Unionized GM workers in Canada are expected to vote on the proposed agreement today and tomorrow. Ford workers in Canada approved their agreement this past Monday. Altogether, the CAW represents around 21,000 auto workers from the "Big Three."

Canadian Auto Workers union at a rally.
CAW / Facebook

Ford's union workers in Canada have approved a four-year contract with the company.

And the Canadian Auto Workers union have a tentative agreement with GM.

Now, talks with Chrysler continue this week.

CBC Windsor has the latest on the talks:

The CAW's president, Ken Lewenza, knows it's not going to be easy with Chrysler. Company executives have made it clear they want an agreement that lowers labour costs to match those in the United States.

Lewenza said it could be days before there is a tentative agreement between the two sides.

"We can get a deal. I've a great deal of respect for [Chrysler CEO Sergio] Marchionne and his management team," Lewenza said. "I don't hide that and I think he's got respect for our union. But at the end of the day, you can only respect each other when you dot the I's and cross the T's."

If talks stall, the CAW can strike.

But with a deal signed with Ford, and a final deal with GM expected to be approved by GM union workers in Canada  this week, a strike at Chrysler plants in Canada doesn't seem likely.

Steve Carmody/Michigan Radio

DETROIT (AP) - General Motors is offering big discounts to boost sales of the Chevrolet Volt, an electric car that struggled to attract buyers until its price began dropping early this year.

Discounts run as high as $10,000 per Volt, according to figures from TrueCar DOT com, an auto pricing website. They include low-interest financing and subsidized leases.

Chrysler's Windsor Assembly Plant.
Chrysler

The head of the Canadian Auto Workers union says General Motors is waiting for a counter proposal from the union, and he says there has been significant progress toward a new labor deal.

CAW President Ken Lewenza says the union will make the offer today. He also says progress has been made with Chrysler.

The union reached a tentative deal with Ford earlier this week.

From CBC News Windsor:

Ford Motor Company

Ford Motor Company CEO Alan Mulally says he has NOT told his company's board when he will retire-- contrary to recent media speculation.

Mulally's retirement date is an obsessively pursued story in the auto press.

Bloomberg, Reuters and the Wall Street Journal especially are all vying to be the first to get it right.

Bloomberg said last week that the Board of Ford Motor Company was poised to promote Mark Fields, Ford's President of the Americas.

The Detroit News has an update on the "Big Three" and their negotiations with the Canadian Auto Workers union. The deadline for a deal is midnight tonight.

DETROIT (Reuters) - Ford Motor Co's (F.N) board of directors is considering keeping Chief Executive Alan Mulally involved with the No. 2 U.S. automaker after his retirement as nonexecutive chairman, a person familiar with the matter said on Thursday.

Henry Ford's great-grandson said it plainly to the Associated Press... Ford Motor Company was once plagued by internal divisions that dragged the company down.

"At the old Ford, you had heroes and villains," [Bill Ford Jr.] said. "Now, it's, `OK, where do we have issues and how do we solve them?'"

Alan Mulally was brought in by Bill Ford Jr. in 2006 as Ford's new CEO.

Mulally has been credited with righting the ship. Michigan Radio's Tracy Samilton wrote about how Mulally has changed things at Ford over the last six years.

She writes about how Mulally's retirement has been a point of speculation ever since he turned 65:

...one question invariably comes up during media scrums at Ford Motor Company events. "When are you going to retire?" some reporter or other asks. Now that he's 67, the question is being asked even more frequently

Yesterday, Bloomberg News broke a story about moves the company plans to make:

Ford Motor Co. (F) directors are preparing to promote Mark Fields to chief operating officer from president of the Americas, a move that anoints him as probable successor to Chief Executive Officer Alan Mulally, according to a person familiar with the plan.

Bloomberg writes Mulally is expected to retire at the end of 2013. Really? So far the company itself is mum.

But the retirement talk, has AP auto reporters Dee-Ann Durbin and Tom Krisher writing about life at Ford after Mulally.

They highlight six points about the company.

3 of which they say should worry investors, and three of which they say are encouraging signs.

ford.wieck.com

Ever since Ford CEO Alan Mulally turned 65, one question invariably comes up during media scrums at Ford Motor Company events.  "When are you going to retire?" some reporter or other asks.

Now that he's 67, the question is being asked even more frequently -- even though the man is by all accounts healthy, extremely fit, and a fierce competitor on the tennis court and golf course - and even though he seems to relish his job.  

Ken Lewenza, president of the Canadian Auto Workers.
Canadian Auto Workers union

Just five days remain before an existing contract between the Canadian Auto Workers and Ford, GM, and Chrysler  expires. 

Members of the union previously authorized their leaders to call a strike - but it's a double edged sword for the union.

Ken Lewenza is National President of the Canadian Auto Workers.

He says the union is willing to come up with a deal that preserves the Detroit Three's Canadian labor costs as they are now.

Reuters reports on the numbers behind the Volt - "There are some Americans paying just $5,050 to drive around for two years in a vehicle that cost as much as $89,000 to produce."

Jeff Smith / Flickr

There's one week left in contract negotiations with the Canadian Auto Workers union, and it appears there are still some major sticking points in negotiations.

We posted last week that the union voted to authorize a strike if they determined one was needed.

Reuters reports plans for a potential strike are moving forward.

Strike captains at the union, which represents about 20,000 members at the three companies, were to meet in Toronto on Monday to advance plans for a triple strike.

"All three bargaining committees are determined to reject these demands and reach a fair deal," the CAW said in a leaflet distributed to members on Monday.

"The union recognizes the fragility of the industry and the need to stabilize fixed costs, while finding a solution rewards members' work. Unfortunately, our efforts have not been met with equal willingness by the companies to negotiate fair terms," the leaflet said.

The last time the Canadian Auto Workers went on strike was in 1996.

General Motors

General Motors says sales rose 10-percent in August, compared to the same month a year ago.

The Detroit car company also broke several sales records.

GM says it got a noticeable bump from advertising aired during the Olympics.

Sales of the Chevy Cruze, Volt, Spark and Sonic hit an all-time high.

Those are all small cars.  

The Chevy Cruze, a compact car, even beat Honda's perennial top-performer, the Civic, in August.

Auto sales are booming, but don't expect this to be a continuous growth period.
Lester Graham / Michigan Radio

August was a good month for U.S. automakers compared to a year ago. In total, the big three sold more than 585,700 vehicles last month.

Chrysler had its best month since August 2007, according to the AP, and had sales of more than 148,000 vehicles. They say their sales were led by demand for the Dodge Ram pickup truck.

Ford sold 197,249 vehicles in August, and in a press release said high gas prices led more people to their lineup of vehicles.

“As fuel prices rose again during August, we saw growing numbers of people gravitate toward our fuel-efficient vehicles – cars, utilities and trucks,” said Ken Czubay, Ford vice president, U.S. Marketing, Sales and Service.

And General Motors sold 240,520 vehicles in August. More than Ford or Chrysler.

In their press release, GM said it's ready for gradual improvements in the economy.

“The single message Chevrolet communicated this summer was ‘confidence’ and it rang true with customers when they saw how our product lineup is being transformed,” said Kurt McNeil, vice president of U.S. sales operations. “All four of our brands are building momentum behind new products so we’re very well positioned as the economy continues to slowly improve.”

American Axle told the Detroit Free Press this morning it plans to "add 400 to 500 jobs in the next couple years" at its Three Rivers driveline plant in southwest Michigan. The company builds drivetrains and driveline systems and components for auto and truck manufacturers. Its biggest customers are Chrysler and GM.

User: dmealiffe / flickr.com

The Canadian Auto Workers union said today its members have voted to strike against Chrysler, Ford, and GM, if necessary.

The Detroit News reports the CAW is negotiating new contracts with the automakers. Current contracts are set to expire on September 17:

The CAW is expected to meet with the automakers Monday and Tuesday in downtown Toronto.

Randy Stern / Wikimedia Commons

Consumer Reports says it's not just picking on Ford with its latest blog, entitled "Why the MyFord Touch control system stinks."  The magazine says Ford is one of the worst offenders, but it says any car touch screen that takes the driver's eyes off the road is a bad idea. 

MyFord Touch controls the radio, heat or air conditioning, navigation, trip computer, and, well,  just about everything except the gas, brakes and steering wheel. 

Tracy Samilton / Michigan Radio

The world's largest-ever test of connected vehicle technology got underway in Ann Arbor this week.

Experts predict that our cars will one day routinely "talk" to one another with wireless communication devices -- preventing huge numbers of traffic accidents.

Already, ordinary motorists have experienced driving with the devices on closed courses.  One study was held last year at the Michigan International Speedway. 

Now, in the next step, the technology is being tested under real-world conditions.  By October, the University of Michigan Transportation Research Institute (UMTRI for short) plans to install some version of wireless car-to-car communication devices in nearly 3,000 people's cars, as well as on some city and school busses.

Traffic signal-to-car communication devices will be installed at numerous intersections; others will be mounted near potentially dangerous sections of roadway.

See a video of how the technology works: 

 

For a year, the motorists will travel their usual ways, occasionally crossing paths.

UMTRI will collect the data, which will eventually help researchers determine how well the technology works in real life.   Researchers may be able to prove that a handful of accidents were averted. 

But the real potential for the technology is when it is adopted on a wide scale, in millions of vehicles.

UMTRI Director Peter Sweatman thinks the potential to save lives is huge.

"Motor vehicle injuries and fatalities are the number one public health problem in this country -- I don't think people realize that," Sweatman says, standing in a big garage bay where technicians are installing the devices in study participants' cars.  "Between the ages of 1 and 35 - that's the no. 1 cause of death!"

The 2013 Ford C-MAX Hybrid.
Ford Motor Company

Ford Motor Company is taking on Toyota in a market the Japanese automaker once dominated - fuel efficient passenger vehicles. The 2013 Ford C-MAX Hybrid and Ford C-MAX Energi plug-in Hybrid are going on sale this fall.

Ford announced today that the 2013 Ford C-MAX can go further on a tank of gas than the Toyota Prius v.

  • 570 miles for the C-MAX vs. 450 miles for the Prius v.

The 2013 C-MAX hybrid gas-electric vehicle has an mpg rating that is the same for the city and the highway - 47 mpg. Ford notes that is 7 mpg better than Toyota Prius v on the highway.

Oakland County Executive L. Brooks Patterson was in the front seat and not wearing a seat belt -- in violation of state law -- when his car was struck by another driver on Friday.

Patterson sustained a broken femur and two broken wrists.

Patterson's driver was also not wearing a seat belt - nor was the driver of the Volkswagon Passat that struck Patterson's car.

Anne Readett is a spokeswoman for the state Office of Highway Safety Planning.

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