WomanOnWheels.ca

Britain's automakers did a "Brexit" many years ago

They still build their cars in the United Kingdom, but virtually all of the automakers that started out in Britain are now owned by parent companies around the globe. Find out who owns what in my "Rearview Mirror" column at the National Post (Driving.ca).

See the U.S.A. in your Chevro--oops, Camry ...

In a new report released today, Cars.com says that, for the second year in a row, the Toyota Camry is the "Most American" vehicle on the road, with the Honda Accord close behind.

The site determines how "American" a vehicle is by where it's made, how popular it is with U.S. buyers, and the percentage of its parts -- by cost -- that are made in the U.S. or Canada. (Although the editors are fine with looking north, south doesn't count, and several vehicles are left off the list because they, or a majority of their parts, are produced in Mexico.)

For the record, the ten in order are Camry, Accord, Ford Escape, Ford Focus, Chevrolet Malibu, Honda Odyssey, Dodge Ram 1500 (except for the single cab, made -- horrors! -- by those folks south of Texas), Toyota Tundra, Jeep Wrangler and Toyota Sienna.

Yes, I used to have an "eat your foreign car" sticker on my vehicle, a long time ago, before I learned that vehicles are no longer domestic or foreign. Toyota Corollas and Honda Civics are made not too far from where I live in Ontario; the Chevrolet Aveo comes from Korea. Almost all automakers, be they Japanese, German or Korean, have some sort of a manufacturing presence in North America. And the "domestics" have been shipping components to their North American plants from all over the world for years. Your Ford, GM or Chrysler may have been built here, but it probably contains parts from China, Thailand, Korea, India or anywhere else you can drop your finger on a map.

I believe that countries need a manufacturing base to be healthy, which is why the U.S. and Canada are going steadily downhill, morphing from countries that make goods, into ones that simply retail them. But I also see the big picture, and nothing makes my blood boil faster than someone who waves off "import" companies by saying, "Yes, they make the cars here, but then they send all that money back to a foreign country."

News flash: if you're in Canada, every car company is based in a foreign country. We haven't had a truly Canadian company since about, oh, 1920 or so. Every company is putting money back where it's building the cars, whether it's in wages to employees, investments in the facilities, or business taxes (just don't get me started by whining about government funds used for bailouts -- GM and Chrysler just took the money up front, while other companies quietly accept billions in tax credits from state governments hungry for the jobs). Buy the car that's right for you, and if it's made in a plant near you, all the better for your local economy. They're not sending your money away: they're spending it right where you live, no matter what badge is on the trunk.

New-car buyers: Keep it simple, keep it cheap

Earlier this week, research firm AutoPacific released the results of an interesting new survey. When asked if they would consider buying a Chinese car, even without knowing the specific brand or vehicle, 15% of U.S. respondents said they would. Another 11% said they'd consider one from India. What makes that extremely surprising is that only 16% said they'd consider a vehicle from Korea, and that country's been selling cars in North America for 25 years.

This is what many of us in the auto review field, and even those in the business of building and selling cars, don't always comprehend: the way most buyers think. To us, because we're enthusiasts, the important stuff includes horsepower, handling, ride quality, panel gaps, and features and options. To the average consumer, it's price, reliability, fuel economy, and maybe airbags and stability control. Period.

My sister-in-law just traded in her beat-up, 17-year-old minivan, and only because repairing the air conditioning was a major expense. She went into the dealer with three demands: a/c, good price, hatchback. That's it. She didn't even realize the gearshift surround hadn't been completely snapped into place until I pointed it out and fixed it. And any reviewer or auto exec who smirks at that is completely out of touch with most of the buying public.

Just as I have no more interest in my computer than I want it to boot up every time, connect seamlessly to the Internet, and not eat my work, the vast majority of car owners just want something that starts every time, stops when they hit the brakes, plays music, blows hot and cold air, and goes into the shop as little as possible, at a price they can afford.

The AutoPacific survey found that most respondents ranked reliability and durability highest, and had little interest in vehicle dynamics such as braking, acceleration, and handling. We in the business pick apart the Chinese cars at the auto show, and wonder if they'll ever make inroads over here. Well, we said that about the Korean cars, too, and look what happened. The global market is coming. Underestimate the new imports and overestimate the average customer at your own risk.

Europe and China collaborate on cars ... hmmm.

In the news today: the European Automobile Manufacturers' Association (ACEA) and the China Association of Automobile Manufacturers (CAAM) have signed a cooperation agreement.

According to the press release, the agreement will allow both sides "to exchange information on automotive industry trends in China and Europe and, particularly in China, to work more systematically on a coordinated approach regarding regulatory developments of common concern."

Now, that can mean a lot of things, but the word that comes to my mind is homologation. I'm thinking across-the-board standards that could result in a few new developments. Chinese cars that could be exported and sold in Europe. European-brand cars that could be built in China and then sold in Europe. And since you can buy a European-built car in North America, could the ultimate step be that not only will all of our T-shirts and kitchen goods and toys sold in Canada be made in China, but all of our cars, as well?

People used to ask if cars made in China would ever come to Canada. The question now is -- when?

Why we can't have a $2,000 car in North America

  So now the Tata Nano has been launched, and by the summer, buyers in India will be able to purchase a vehicle that, in base form, sells for the U.S. equivalent of about $2,200. And already, people are asking why we can't have a similarly-priced car over here.

I've always said "be careful what you wish for." Because sometimes, you get it -- or in this case, you don't.

The base Nano is two grand partly because it's a four-wheeled motorcycle with a roof. The list of features, according to Tata Motors, is a two-cylinder engine, three exterior colour choices, single-tone seats, and a fold-down rear seat. That's it. You can move up to a heater and air conditioning, but they're not on the base model.

It has seatbelts because they're mandatory in India, and that's probably the only reason. It doesn't have airbags, which are mandatory in Canada. It doesn't have anti-lock brakes or electronic stability control, which will be mandatory in a couple of years. It doesn't have a tire pressure monitoring system, required on vehicles in the U.S. It has only a single wiper blade and one exterior mirror.

The Insurance Institute for Highway Safety in the U.S. has just added roof strength tests to its list of requirements for a vehicle to earn its "Top Safety Pick" award, and the government is expected to pass a ruling requiring stronger roof pillars. Which means that, once again, cars will become more expensive to produce.

Now, just to be sure, I don't think cars should be unsafe. All of the safety features on vehicles can be a good thing, as long as you don't think they're a substitute for a safe, well-trained driver who concentrates on the road instead of the cell phone or the coffee cup. (And don't get me started on the fact that the IIHS says that stronger roofs help keep people from being ejected from the vehicle if they're not wearing seatbelts. You don't deserve fancy safety features if you're too stupid to use the simplest and cheapest one in it.)

But is the government the reason why we can't have a $2,000 car? Not really. I've already had my fill of people who complain about the Smart because "it isn't safe," based on its size. I can only imagine what would happen if the Nano came over here, completely unchanged from the model that's sold in India. The people who complain just want the $2,000 price tag. They definitely wouldn't take the $2,000 car that goes with it.

Where the money goes ...

In today's news: Toyota USA's charitable foundation has given over $317,000 to a school environmental program, part of the $100 million it earmarks for charitable donations to education.

Thus begins my rant for today: people who won't buy import cars because "they send all that money back to Japan".

I just got back from a tour of the Subaru plant in Lafayette, Indiana, where the company builds the Outback, Legacy, Tribeca and the Toyota Camry. The president was obviously from Japan, but none of the hundreds of workers I saw appeared to be. Rather, they all looked like local, corn-fed Indiana men and women. When it was quitting time, they went out to the parking lot and got into their vehicles (which were overwhelmingly Chevrolet trucks), which I'm guessing they bought with their Subaru wages. They were probably going home to houses bought with their pay. Maybe they'd stop on the way and do some shopping with money they'd received in return for their labor at Subaru, too.

Last week I drove along Ontario's Highway 401, past the massive Toyota plant that's being built in Woodstock. The construction workers didn't look like they'd been imported from Japan. I doubt the truckloads of construction materials came from overseas, either. And once the plant is operational, I don't believe the workers screwing the cars together will be brought over from the land of the rising sun. Instead, Toyota will be paying Canadian wages, supporting Canadian suppliers, paying Canadian taxes, and signing local contracts for everything from the toilet paper in the bathroom to the food in the cafeteria. And I'll go out on a limb and say that the almost inconceivable mountain of money it took to build that plant came from Canadian sales of Toyota products. Who knows? Maybe some of it even came in from Japan.

Hate the imports if you like; that's your prerogative. Just don't hide it behind this crap about none of that money being spent here.

And for that matter, don't forget to use your favorite line when you buy your GM, Ford or Chrysler vehicle. Using the prevailing logic, the Big Three take the profits of every vehicle sold in Canada and immediately ship them back to their head offices in Michigan -- sending your money back to a foreign country.

Where the money goes ...

In the news today: the Toyota USA Foundation has given over $317,000 to promote environmental literacy in U.S. schools. It's part of the foundation's $100 million charity to support education programs in the United States.

Thus begins my rant for the day: people who object to import automakers because "they send all that money back to Japan."

I just got back from a tour of Subaru's plant in Lafayette, Indiana, where it builds the Legacy, Outback, Tribeca and the Toyota Camry. The company president was obviously from Japan, but the hundreds of workers I saw weren't. They all looked like local, corn-fed Indiana men and women. At quitting time, they all went out to their vehicles -- overwhelmingly Chevrolet trucks, by the way. I'm guessing they bought them locally, with their Subaru wages. And they were probably going home, to houses paid for with money they'd received by working at the factory. Maybe they'd stop on the way to buy some things, with cash from their pay, too.

Last week, I drove down Ontario's Highway 401, past the huge new Toyota plant that's being built in Woodstock. I'm guessing most of the construction workers I saw were not imported from Japan. I'm also guessing the truckloads of construction material didn't come from overseas. And I seriously doubt that the workforce that finally ends up on the assembly lines will come exclusively from the land of the rising sun, either. That Toyota plant will pay Canadian wages, support local Canadian businesses and pay Canadian taxes. And I'm also guessing that the almost inconceivable mountain of money it took to build this enormous plant came from Toyota's sales in Canada. Hell, maybe some of that money came out of Japan.

The fact is, whenever I look at auto plants, they're shovelling money back into the economy. They're hiring local workers, getting stuff from local suppliers, and writing contracts with local companies to supply everything from construction equipment to the toilet paper in the bathrooms and the food in the cafeteria. And it doesn't matter what nameplate is over the door.

Hate the import automakers if you want. In fact, I think it's healthy to support home-grown Canadian industry.

Just don't hide behind this "they send all their money back to Japan" crap.

And for that matter, when you give your hard-earned Canadian money to GM and Ford and Chrysler, don't forget to repeat your favorite line. Because according to that logic, they're just shipping it straight to their head offices in Michigan -- sending your money back to a foreign country.