Volkswagen Passenger Cars is a German manufacturer of automobiles, based in Wolfsburg, Germany. It forms the major component (in volume of sales) of the much larger Volkswagen Group ("Volkswagen Aktiengesellschaft", or "Volkswagen AG"), which as of July 30, 2007 is the world's third largest car producer after Toyota and General Motors respectively.[6]
Volkswagen means "people's car" in German, in which it is pronounced [ˈfɔlksˌvaːgən]. Its current tagline or slogan is Das Auto (in English The Car). Its previous German tagline was Aus Liebe zum Automobil, which translates to: Out of Love for the Car, or, For Love of the Automobile, as translated by VW in other languages.
Ferdinand Porsche's Type 12 from 1931
Adolf Hitler had a keen interest in cars even though he did not drive. In 1933, shortly after taking over as leader of Germany, he asked Ferdinand Porsche to make changes to his original 1931 design to make it more suited for the working man. Hans Ledwinka discussed his ideas with Ferdinand Porsche, who used many Tatra design features in the 1938 "KdF-Wagen", later known as the VW Käfer - or Volkswagen Beetle. On 22 June 1934, Dr. Ferdinand Porsche agreed to create the "People's Car" for Hitler.
Changes included better fuel efficiency, reliability, ease-of-use, and economically efficient repairs and parts. The intention was that ordinary Germans would buy the car by means of a savings scheme ("Fünf Mark die Woche musst Du sparen, willst Du im eigenen Wagen fahren" — "Save five Marks a week, if you want to drive your own car"), which around 336,000 people eventually paid into. Volkswagen honoured its savings agreements in West Germany (but not in East Germany) after World War II[citation needed]. Prototypes of the car called the "KdF-Wagen" (German: Kraft durch Freude -- "strength through joy"), appeared from 1936 onwards (the first cars had been produced in Stuttgart). The car already had its distinctive round shape and air-cooled, flat-four, rear-mounted engine. The VW car was just one of many KdF programmes which included things such as tours and outings. The prefix "Volks" ("People's") was not just applied to cars, but also to other products in Nazi Germany; the "Volksempfänger" radio receiver for instance. On 28 May 1937, the Gesellschaft zur Vorbereitung des Deutschen Volkswagens mbH was established by the Deutsche Arbeitsfront. It was later renamed "Volkswagenwerk GmbH" on 16 September 1938. [7]
VW Type 83
Erwin Komenda, the longstanding Auto Union chief designer, developed the car body of the prototype, which was recognizably the Beetle we know today. It was one of the first to be evolved with the aid of a wind tunnel; unlike the Chrysler Airflow, it would be a success.
The building of the new factory started 26 May 1938 in the new town of KdF-Stadt, now called Wolfsburg, which had been purposely built for the factory workers. This factory only produced a handful of cars by the time war started in 1939. None were actually delivered to holders of the completed saving stamp books, though one Type 1 Cabriolet was presented to Hitler on 20 April 1938 (his 49th birthday).
War meant production changed to military vehicles, the Type 81 Kübelwagen ("Bucket car") utility vehicle (VW's most common wartime model), and the amphibious Schwimmwagen which were used to equip the German forces.
Volkswagen factory with its own power plant
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1945: British Army, Major Ivan Hirst, unclear future This section does not cite any references or sources.
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The company owes its post-war existence largely to one man, British Army officer Major Ivan Hirst, REME. In April 1945, KdF-Stadt, and its heavily bombed factory were captured by the Americans, and subsequently handed over to the British, within whose occupation zone the town and factory fell. The factory was placed under the control of Oldham-born Hirst. At first, the plan was to use it for military vehicle maintenance. Since it had been used for military production, and had been in Hirst's words a "political animal" rather than a commercial enterprise, the equipment was in time intended to be salvaged as war reparations. Hirst painted one of the factory's cars green and demonstrated it to British Army headquarters. Short of light transport, in September 1945 the British Army was persuaded to place a vital order for 20,000. The first few hundred cars went to personnel from the occupying forces, and to the German Post Office.
Some UK Service personnel were allowed to take their VW Beetles' back to the UK when they were demobilized, and one of the very first Beetles brought back in that way (UK registration number JLT 420) is still owned by Peter Colborne-Baber, the son of the original proprietor of the UK's first official Volkswagen Importer, Colborne Garages of Ripley, Surrey.[8]
By 1946 the factory was producing 1,000 cars a month, a remarkable feat considering it was still in disrepair. Due to roof and window damage, rain stopped production and steel to make the cars had to be bartered for new vehicles.
The car, and its town changed their Second World War-era names to "Volkswagen", and "Wolfsburg" respectively, and production was increasing. It was still unclear what was to become of the factory. It was offered to representatives from the British, American and French motor industries. Famously, all rejected it. After an inspection of the plant, Sir William Rootes, head of the British Rootes Group, told Hirst the project would fail within two years, and that the car "is quite unattractive to the average motorcar buyer, is too ugly and too noisy ... If you think you're going to build cars in this place, you're a bloody fool, young man". In a bizarre twist of fate, Volkswagen would manufacture a locally built version of Rootes' Hillman Avenger in Argentina in the 1980s, long after Rootes went bust at the hands of Chrysler in 1978—the Beetle outliving the Avenger by over 30 years.
Ford representatives were equally critical: the car was "not worth a damn". Henry Ford II, the son of Edsel Ford, did reportedly look at the possibility of taking over the VW factory, but dismissed the idea as soon as he looked up Wolfsburg on the map and found it to be too close for comfort to the East German border.
In France, Citroën started the 2CV on a similar marketing concept. Meanwhile, in Italy, the Fiat 500 "Topolino" was developed.
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Survival in Allied occupied Germany
In Occupied Germany, the Allies followed the Morgenthau Plan, to remove all German war potential, by complete or partial pastoralisation. As part of this, in the Industrial plans for Germany, the rules for which industry Germany was to be allowed to retain were set out. German car production was set at a maximum of 10% of the 1936 car production numbers.[9]
The Volkswagen factory at Wolfsburg came under UK control in 1945, it was to be dismantled and shipped to Britain. Thankfully for Volkswagen, no British car manufacturer was interested in the factory; "the vehicle does not meet the fundamental technical requirement of a motor-car ... it is quite unattractive to the average buyer ... To build the car commercially would be a completely uneconomic enterprise".[10] The factory survived by producing cars for the British Army instead. Allied dismantling policy changed in late 1946 to mid 1947, although heavy industry continued to be dismantled until 1951. In March 1947 Herbert Hoover helped change policy by stating: "There is the illusion that the New Germany left after the annexations can be reduced to a 'pastoral state'. It cannot be done unless we exterminate or move 25,000,000 people out of it".[11] Thanks to the protection of British Army Major Ivan Hirst, Volkswagen survived the perilous times, and came to be part of the German economic miracle.
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1948–1974: icon for German regeneration This section does not cite any references or sources.
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1949 Volkswagen Sedan
1958 Volkswagen Pickup
An original 1300 Deluxe, circa 1966.
Rear, restored 1967 VW Beetle in Sri Lanka.
Volkswagen Beetle found in Torreon, Coahuila, Mexico
From 1948, Volkswagen became a very important element, symbolically and economically, of West German regeneration. Heinrich Nordhoff (1899–1968), a former senior manager at Opel who had overseen civilian and military vehicle production in the 1930s and 1940s, was recruited to run the factory in 1948. In 1949 Major Hirst left association with the company, as it was now re-formed as a trust, controlled by the West German government, and the government of the State of Lower Saxony. Apart from the introduction of the Volkswagen Type 2 commercial vehicle (van, pickup and camper), and the VW Karmann Ghia sports car, Nordhoff pursued the one-model policy until shortly before his death in 1968.
Volkswagens were first exhibited and sold in the United States in 1949, but only sold two units in America that first year. On its entry to the U.S. market, the VW was briefly sold as a "Victory Wagon". Volkswagen of America was formed in April 1955 to standardize sales and service in the United States. Production of the Type 1 Volkswagen Beetle increased dramatically over the years, the total reaching one million in 1955.
Sales soared — due in part to the famous advertising campaigns by New York advertising agency Doyle, Dane Bernbach. Led by art director Helmut Krone, and copywriters Julian Koenig and Bob Levinson, Volkswagen ads became as popular as the car, using crisp layouts and witty copy to lure the younger, sophisticated consumers with whom the car became associated. Despite the fact it was almost universally known as the Beetle (or the Bug), it was never officially labeled as such by the manufacturer, instead referred to as the Type 1. The first reference to the name Beetle occurred in U.S. advertising in 1968, but not until 1998 and the Golf-based New Beetle would the name be adopted by Volkswagen.
Although the car was becoming outdated, during the 1960s and early 1970s, American exports, innovative advertising, and a growing reputation for reliability helped production figures surpass the levels of the previous record holder, the Ford Model T. On February 17th, 1972 the 15,007,034th Beetle was sold. Volkswagen could now claim the world production record for the most-produced, single make of car in history. By 1973, total production was over 16 million.
To commemorate its passing the Ford Model T's record sales mark and its victories in the Baja 1000 Mexican races from 1967-1971, Volkswagen produced its first limited-edition Beetle. It was marketed as the "Baja Champion SE"[12] in the United States and the "Marathon" Superbeetle in the rest of the world. It featured unique "Marathon Blau" metallic blue paint, steel-pressed 10-spoke 15-inch mag wheels, a commemorative metal plate mounted on the glovebox and a certificate of authenticity presented to the original purchaser. Dealer-installed options for this limited-edition Superbeetle included the following: white stripes running the length of the rocker-panel, a special shifter knob, bumper overriders, tapered exhaust tips, fake walnut inserts in the dash (behind the steering wheel and the glovebox cover) as well as Bosch fog lights mounted to the front bumper.
An original and unmodified 1963 VW Notchback.
VW expanded its product line in 1961 with the introduction of several Type 3 models, which were essentially body style variations (Fastback, Notchback, Squareback) based on Type 1 mechanical underpinnings, and again in 1969 with the larger Type 4 (also known as the 411 and 412) models. These differed substantially from previous vehicles, with the notable introduction of monocoque/unibody construction, the option of a fully automatic transmission, electronic fuel injection, and a sturdier powerplant. Volkswagen added a "Super Beetle"[13] (the Type 113) to its lineup in 1971. The Type 113 differed from the standard Beetle in its use of a MacPherson strut front suspension instead of the usual torsion bars. Also the nose of the car was stretched 2 inches (51 mm) to allow the spare tyre to lie flat, and the combination of these two features significantly increased the usable front luggage space. Despite the Super Beetle's (marketed outside North America as the VW 1302, later 1303) popularity with Volkswagen customers, purists preferred the standard Beetle with its less pronounced nose and its original torsion bar suspension. In 1973, Volkswagen introduced the military-themed Type 181, or "Trekker" in Europe and the UK, "Thing" in America, recalling the wartime Type 81. The military version was produced for the NATO-era German Army during the Cold War years of 1970 to 1979. The US Thing version only sold for two years, 1973 and 1974, due at least in part to Ralph Nader's automobile safety campaigns.
In 1964, Volkswagen succeeded in purchasing Auto Union, and in 1969, NSU Motorenwerke AG (NSU). The former company owned the historic Audi brand, which had disappeared after WW2. VW ultimately merged Auto Union and NSU to create the modern day Audi company, and would go on to develop it as its luxury vehicle marque. However, the purchase of Auto Union and NSU proved to be a pivotal point in Volkswagen's history, as both companies yielded the technological expertise that proved necessary for VW to survive when demand for its air-cooled models went into terminal decline as the 1970s dawned.
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1974: from Beetle to Golf/Rabbit
Volkswagen was in serious trouble by 1973.[14] The Type 3 and Type 4 models had sold in much smaller numbers than the Beetle and the NSU-based K70 also failed to woo buyers. Beetle sales had started to decline rapidly in European and North American markets. The company knew that Beetle production had to end one day, but the conundrum of replacing it had been a never-ending nightmare. VW's ownership of Audi / Auto Union proved to be the key to the problem - with its expertise in front-wheel drive, and water-cooled engines which Volkswagen so desperately needed to produce a credible Beetle successor. Audi influences paved the way for this new generation of Volkswagens, known as the Polo, Golf and Passat.
The Volkswagen Polo was in fact simply a re-badging of the short-lived Audi 50, which had been hastily developed from a sedan design, the Audi 60. However, VW produced it shortly after the introduction of the Polo as the Volkswagen Derby. In the rear of the car can plainly be seen that panels are added to the Polo structure to make a "three-box" design of saloon (sedan), or saloon with a boot or trunk.
The Volkswagen Passat (Dasher in the U.S.), introduced in 1973, was again simply a fastback (available as either a hatchback or with separate boot) version of the Audi 80, using identical body and mechanical parts, and the Audi 80 was later produced on the same line in Wolfsburg as the Passat. Estate/wagon versions were offered for overseas markets, however, for two years, if British and South African customers wanted an estate/wagon version, they had to go considerably up-market and buy the Audi 80 GL estate.
However, the pivotal model which would turn Volkswagen's fortunes emerged as the Volkswagen Golf in 1974 (marketed in the United States and Canada as the Rabbit until 1985 and as the Golf until 2006, when the Rabbit name was re-introduced). This was a car unlike its predecessor in most significant ways, both mechanically as well as visually (its angular styling was designed by the Italian Giorgetto Giugiaro). Its design followed trends for small family cars set by the 1959 Mini and 1972 Renault 5 —the Golf had a transversely mounted, water-cooled engine in the front, driving the front wheels, and had a hatchback, a format that has dominated the market segment ever since. Beetle production at Wolfsburg ended upon the Golf's introduction, but continued in smaller numbers at other German factories (Hanover and Emden) until 1978, but mainstream production shifted to Brazil and Mexico.
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Volkswagen from 1974 to 1990 This article or section deals primarily with the United States and does not represent a worldwide view of the subject.
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Volkswagen Polo, 1990
While Volkswagen's range of cars soon became similar to that of other large European automakers, the Golf has been the mainstay of the Volkswagen lineup since its introduction, and the mechanical basis for several other cars of the company. There have been five generations of the Volkswagen Golf, the first of which was produced from the summer of 1974 until the end of 1983 (sold as the Rabbit in the United States and Canada and as the Caribe in Latin America). Its chassis also spawned the Volkswagen Scirocco sport coupe, Volkswagen Jetta saloon/sedan, Volkswagen Golf Cabriolet convertible, and Volkswagen Caddy pickup. North American production of the Rabbit commenced at a factory in New Stanton, Pennsylvania in 1978. It would be produced in the United States as the Rabbit until the spring of 1984. The second-generation Golf hatchback/Jetta sedan ran from late 1983 to late 1991, and a North American version produced in Pennsylvania went on sale at the start of the 1985 model year. The production numbers of the first-generation Golf has continued to grow annually in South Africa as the Citi Golf, with only minor modifications to the interior, engine and chassis, using tooling relocated from the New Stanton plant in Westmoreland Pennsylvania when that site began to build the Second Generation car.
In the 1980s, Volkswagen's sales in the United States and Canada fell dramatically, despite the success of models like the Golf elsewhere. The problems had stemmed from the Rabbit, which had developed a reputation for bad electrical systems and oil burning.[citation needed] The Japanese and the Americans were able to compete with similar products at lower prices. Sales in the United States were 293,595 in 1980, but by 1984 they were down to 177,709.[15] The introduction of the second-generation Golf, GTI and Jetta models helped Volkswagen briefly in North America. Motor Trend named the GTI its Car of the Year for 1985, and Volkswagen rose in the J.D. Power buyer satisfaction ratings to eighth place in 1985, up from 22nd a year earlier.[16] VW's American sales broke 200,000 in 1985 and 1986 before resuming the downward trend from earlier in the decade. Chairman Carl Hahn decided to expand the company elsewhere, and the New Stanton, Pennsylvania factory closed on 14 July 1988.[17] Meanwhile, Hahn expanded the company by purchasing a greater share of the Spanish car maker SEAT, which VW bought outright in 1990; the Czech car maker Škoda Auto was acquired the following year.
Volkswagen had entered the supermini market in 1976 with the Volkswagen Polo, a stylish and spacious three-door hatchback designed by Bertone. It was a strong seller in West Germany and most of the rest of Western Europe, being one of the first foreign small cars to prove popular in Britain. The second generation model, launched in 1981 and sold as a hatchback and "coupe" (with the hatchback resembling a small estate car and the coupe being similar to a conventional hatchback), was an even greater success for Volkswagen. It was facelifted in 1990 and was still selling well after 13 years, when it was replaced by the third generation Polo in 1994.
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Volkswagen from 1991 to 2000 This section does not cite any references or sources.
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The 2000 Volkswagen Golf GL, in North American form
In 1991, Volkswagen launched the third-generation Golf, which was European Car of the Year for 1992 (the previous two generations were nominated but lost to the Citroën CX in 1975 and the Fiat Uno in 1984). The Golf Mk3 and Jetta arrived in North America just before the start of 1994 model year, first appearing in southern California in the late spring of 1993. The sedan version of the Golf was badged Vento in Europe (but remained Jetta in the USA, where its popularity eventually outstripped the Golf).
The late 1990s saw a gradual change in perception of the company's products - with Audi having elevated itself into same league as BMW and Mercedes-Benz, Volkswagen moved upmarket to fill the void left by Audi; with SEAT and Škoda now occupying what was once VW's core market. The first tangible evidence of this was the fifth-generation Passat in 1996 with its high-quality interior trim and standards of build quality which were demonstrably a cut above the run-of-the-mill Ford Mondeo, Opel/Vauxhall/Holden/Chevrolet Vectra and Peugeot 406.
This move upmarket was continued with the Golf Mk4, introduced at the end of 1997 (and in North America in 1999), its chassis spawned a host of other cars within the Volkswagen group — the Volkswagen Bora (the sedan, still called Jetta in the USA), New Beetle, SEAT Toledo, SEAT León, Audi A3, Audi TT and Škoda Octavia. However, it was beaten into third place for the 1998 European Car of the Year award by the winning Alfa Romeo 156 and runner-up Audi A6.
The other main models have been the Polo, a smaller car than the Golf, and the larger Passat for the segment above the Golf. The Scirocco and the later Corrado were both Golf-based coupés.
By the early 1990s, Volkswagen's annual sales in the United States were below 100,000, and many car buyers found the company's products to be lacking in value. Some automotive journalists believed that Volkswagen would have to quit the North American market altogether. VW eventually realized that the Beetle was the heart and soul of the brand in North America, and the firm quickly set about creating a new Beetle for American and Canadian showrooms.
The Volkswagen New Beetle proved to be a popular concept, especially in North America.
In 1994, Volkswagen unveiled the J Mays-designed Concept One, a "retro"-themed car with a resemblance to the original Beetle but based on the Polo platform. Its genesis was secret and in opposition to VW management, who felt it was too backward-looking. Management could not deny the positive public response to the concept car and gave the green-light to its development as the New Beetle. The production car would be based on the Golf rather than the Polo, because the Polo frame was too small for the car to pass crash test standards in the U.S. It has been quite popular in the North America and is now gaining in the EU.
Volkswagen's fortunes in North America improved once the third-generation Golf and Jetta models became available there. Sharp advertising and savvy promotional stunts, like including Trek bicycles, and accompanying bike racks with a limited edition of the 1996 Jetta sedan, were credited for the firm's recovery in the U.S. and Canada, but the introductions of the New Beetle and the fifth-generation Passat were a major boost to the brand.
In the UK, Volkswagen's market share grew throughout the 1990s. In 1990, the Golf was Britain's 12th most popular car with nearly 50,000 units sold. The Mk3 Polo achieved similar success in the mid 1990s, but in 1999 the Mk4 Golf was Volkswagen's first-ever entrant in Britain's top 10 list of most popular new cars. Its success continued into the 2000s, while the Polo and Passat were never far outside the top 10. Bad news for Volkswagen during this era was a dip in customer satisfaction. A brand which had built its reputation on reliability was now being overtaken by marques whose reputations had been damaged by quality problems. This bad press took several years to eradicate.
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Volkswagen in the 21st century This section does not cite any references or sources.
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2006 Volkswagen Phaeton
Volkswagen began introducing an array of new models after Bernd Pischetsrieder became Volkswagen Group CEO (responsible for all Group brands) in 2002. The fifth generation VW Golf was launched in 2004, came runner-up to the Fiat Panda in the 2004 European Car of the Year, and has spawned several cousins: SEAT Toledo, Škoda Octavia and Audi A3 hatchback ranges, as well as a new mini-MPV, the SEAT Altea. The GTI, a "hot hatchback" performance version of the Golf, boasts a 2.0 L Turbocharged FSI direct injection engine. VW began marketing the Golf under the Rabbit name once again in the U.S. and Canada in June 2006. (The GTI had arrived to North America four months earlier). The fifth-generation Jetta, and the performance version, the GLI, are also available in the United States and Canada. The sixth-generation Passat and the fifth-generation Jetta both debuted in 2005, and VW has announced plans to expand its lineup further by bringing back the Scirocco by 2008. Other models in Wolfgang Bernhard's (Volkswagen brand CEO) "product offensive" include the Tiguan mid-sized SUV in 2008 and a Passat Coupé. In November 2006 Bernd Pischetsrieder announced his resignation as Volkswagen Group CEO, and was replaced by Audi worldwide CEO Martin Winterkorn at the beginning of 2007. Winterkorn is credited with making Audi a challenger to the dominance of BMW and Mercedes, and his design-led strategy has led to Audi being considered one of the most important brands in the world. It remains to be seen how Winterkorn's focus on design shapes the Volkswagen brand's future. Nevertheless, Volkswagen continues to have complicated relations with both unions and shareholders. The German state of Lower Saxony owns significant stock in VW, as does sportscar manufacturer Porsche. Recently[when?] Porsche has announced to buy the majority of Volkswagen's stock, thus becoming the new owner of Volkswagen.
The fifth-generation Passat, from 2001.5 to 2005 features a facelift from the 98-01 model
In North America, VW faced many challenges. After rising significantly between 1998 and 2001, VW's North American sales began to fall sharply leading to a 2005 loss of roughly US$1 billion for its operations in the U.S. and Canada. Profitability has not been strong, and the lack of reliability of the company's cars appears to bear some of the responsibility for this situation. By 2005, its models sat near the bottom of Consumer Reports reliability ratings, and J.D. Power and Associates ranked VW 35th out of 37 bands in its initial quality survey. Attempts to enter a new market segment also compromised Volkswagen's standing in North America. In 2002, Volkswagen announced the debut of its Phaeton luxury car, which was critically acclaimed but not well received in the marketplace. VW announced its discontinuance in the U.S. market for the 2007 model year due to the disappointing sales.
The 2006 Jetta
Volkswagen in 2005, despite challenges, still maintained North American sales of 224,195 -- a dramatic increase from the low in 1993 when US sales totaled only 49,533 vehicles. Momentum continued for fiscal 2006, as VW's North American sales for the year were 235,140 vehicles, a 4.9 percent increase over 2005, despite a slump in domestic North American manufacturer's sales. VW plans to close out the decade[when?] with the release on several new vehicles worldwide and a barrage of advertising. In conjunction with the introduction of new models, production location of Volkswagen vehicles also underwent great change. The 2007 Eos, a hardtop convertible, is produced in a new facility in Portugal. All Golf/Rabbit and GTIs as of 2006 are manufactured in Wolfsburg, Germany, rather than VW's Mexican factory in Puebla, where Golfs and GTIs for the North American market were produced from 1989 to 1998, and the Brazilian factory in Curitiba, where Golfs and GTIs were produced from 1999 to 2006. (The Jetta has primarily been made in Mexico since 1989). VW is also in the process of reconfiguring an automotive assembly plant in Belgium. The new models and investments in manufacturing improvements were noticed immediately by automotive critics. Favorable reviews for VW's newest cars include the GTI being named by Consumer Reports as the top sporty car under $25,000, one of Car and Driver magazines "10 Best" for 2007, Automobile Magazine's 2007 Car of the Year, as well as a 2008 Motor Trend comparison ranking the midsize Passat first in its class. J.D. Power and Associates 2006 Automotive Performance, Execution and Layout (APEAL) Study scored Volkswagen fourteenth overall with strong performances by its new Jetta and Passat models.
The fifth-generation Golf, sold in North America as the Rabbit.
Volkswagen is recognized as one of the leading small diesel engine manufacturers, and is partnering with Mercedes and other companies to market BlueTec clean diesel technology, calling it BlueMotion. Volkswagen has offered a number of its vehicles with a TDI Turbocharged Direct Injection engine, which lends class-leading fuel economy to several models. According to the United States Environmental Protection Agency, four of the ten most fuel efficient vehicles available for sale in the U.S. in 2004 were powered by Volkswagen diesel engines. They were a three-way tie for 8th (TDI Beetle, TDI Golf, TDI Jetta) and ninth, the TDI Jetta Wagon. As of 2007, VW has not yet offered a gas-electric hybrid powertrain such as that in the Toyota Prius (though a diesel-electric hybrid 5th generation Jetta was produced as a test vehicle). In addition, all Volkswagen TDI diesel engines produced from 1996 to 2003-2006 can be driven on 100% biodiesel fuel. For the 2007 model year, however, strict U.S. government emissions regulations have forced VW to drop most diesels from their U.S. engine lineup, but a new lineup of diesel engines compatible to U.S. standards are due for 2008.
The 2006 Eos hardtop convertible
Volkswagen long resisted adding an utility vehicle to its lineup, but it finally relented with the introduction of the Touareg in the early 2000s, sharing major components with the Porsche Cayenne and Audi Q7 sport utility vehicles. Though acclaimed as a fine handling vehicle, the Touareg has been a modest seller at best. Some automotive analysts blame the Touraeg's absence of a third-row seat, the relatively poor fuel economy, and the high vehicle mass. VW plans to add a compact SUV with styling influences from its "Concept A" concept vehicle. On July 20, 2006, VW announced that the new vehicle would be called the Tiguan. One major irony of Volkswagen's current North American lineup is the absence of a minivan, considering that VW is credited for inventing the minivan with its original Transporter, but the firm is currently developing just such a vehicle for the U.S. and Canadian markets with DaimlerChrysler named the Volkswagen Routan, with current plans to introduce it in 2008. Volkswagen is also considering a new entry-level model for the North American lineup. A venture with DaimlerChrysler to produce such a vehicle was considered but dropped as of September 2006. Due to technical difficulty adapting the Polo to meet North American vehicle regulations, VW presented in 2006 the "Iroc" as a concept of the proposed 2009 Scirocco as a potential new small model.
In September 2006, Volkswagen began offering the City Golf and City Jetta only for the Canadian market. Both models were originally the Mk4 Golf and Jetta but were later replaced with the Brazilian versions of the Golf Mk4 and Bora. The City Golf and City Jetta were introduced to compete with the Toyota Yaris and Honda Fit. Volkswagen's introduction of such models is seen as a test of the market for a subcompact and, if successful, may be the beginnings of a thriving subcompact market for Volkswagen.
When Martin Winterkorn became the eighth postwar CEO of Volkswagen, the company made several personnel changes in Wolfsburg. Though the VW Group already had their presence in India with Škoda Auto, Volkswagen introduced the Passat and Touareg with TDI engine to India's automobile market in September 2007.
The VW 1L will be available in 2010, in limited numbers. The 1L is a lightweight two person vehicle made out of a magnesium frame covered by an unpainted carbon fiber skin. Every component of the vehicle is intended to reduce the vehicles weight. Aluminum brakes, carbon fiber wheels, titanium hubs, and ceramic bearings all contribute to the vehicle’s light weight of a mere 290 kg. To reduce the weight even further, and to increase the aerodynamics of the vehicle, there are no rear view mirrors. Instead, the car is equipped with cameras that display visual information to the driver via the internal LCD screen. The car is extremely fuel efficient, each gallon of fuel will take you over 235 miles. The fuel tank holds just 1.7 gallons, making the entire travel distance capability about 400 miles per tank. Its top speed is 120 km/h (75 mph), which although isn’t too fast is a welcome trade off for the huge savings in gas consumption.
On July 15, 2008 Volkswagen announced that they will construct an automobile assembly plant in Chattanooga, Tennessee. This plant will produce cars specifically designed for North America. Production is scheduled to begin in early 2011.[18]
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Relationship with Porsche, and the "Volkswagen Law"
Volkswagen has always had a close relationship with Porsche, the Zuffenhausen-based sports car manufacturer founded in 1931 by Ferdinand Porsche, the original Volkswagen designer. The first Porsche car, the Porsche 64 of 1938, used many components from the Volkswagen Beetle. The 1948 Porsche 356, continued using many Volkswagen components, including a tuned engine, gearbox and suspension.
The two companies continued their collaboration in 1969 to make the VW-Porsche 914 and 914-6, whereby the 914-6 had a 6-cylinder Porsche engine, and the standard 914 had a 4-cylinder Volkswagen engine, and in 1976 with the Porsche 912E (USA only), and the Porsche 924, which used many Audi components and was built at an Audi Neckarsulm factory. Most 944s also were built there, although they used far fewer VW components.
The Porsche Cayenne, introduced in 2002, shares its entire chassis with VW Touareg and Audi Q7, which are built at the Volkswagen factory in Bratislava.
In September 2005, Porsche announced it would increase its 5% stake in Volkswagen to 20% at a cost of €3 billion, with the intention that the combined stakes of Porsche and the government of Lower Saxony would ensure that any hostile takeover by foreign investors would be impossible.[19] Speculated suitors included DaimlerChrysler, BMW, and Renault. In July 2006, Porsche increased their ownership again to 25.1%.
On February 13, 2007 Advocate General Damaso Ruiz-Jarabo ruled that a German law preventing any shareholder in Volkswagen from executing more than 20% of the total voting rights in the firm was illegally restricting the flow of capital in Europe.[20] This again opened the possibility of a hostile takeover of VW and so on 26 March of the same year Porsche took its holding of Volkswagen shares to 30.9%. Porsche formally announced in a press statement that it did not intend to take over Volkswagen, but intended the move to avoid a competitor taking a large stake and to stop hedge funds from dismantling VW.[21] As expected, on October 22, 2007 the European Court of Justice ruled in agreement with Ruiz-Jarabo and the law was struck down.[22]
On October 26, 2008, Porsche finally revealed its plan to assume control of VW. As of that day, it held 42.6 percent of Volkswagen's ordinary shares and stock options on another 31.5 percent. Combined with the state of Lower Saxony's 20.1% stake, this left only 5.8% of shares on the market.[23]
Volkswagen briefly became the world's largest company by market capitalisation on October 28th, 2008.[24]
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Environmental record This article or section deals primarily with the United States and does not represent a worldwide view of the subject.
Please improve this article or discuss the issue on the talk page.
Volkswagen of America Inc. promotes its work in developing clean diesel, and other fuel-efficient technologies, in order to increase U.S. sales to environmentally conscious consumers. One of the promoting vehicle is the 2009 clean-diesel Jetta TDI, which has a 16-valve, four-cylinder common rail direct injection engine which reduces emissions by 90 percent. Volkswagen also claims that this model has the advantage of fuel economy in the mid-50s and mid-40s in city conditions. Stefan Jacoby, CEO of America's Volkswagen, said that it will be released in a sedan and sport-wagon model in May 2008 in California, becoming the first 50-state clean diesel offering.[25] Also, Volkswagen and Sanyo have teamed up to develop a hybrid vehicle battery system.[26]
Volkswagen boss Martin Winterkorn has confirmed the company plans to build compact hybrid vehicles. There will definitely be compact hybrid models, such as Polo and Golf, and without any great delay", with gasoline and diesel engines. For example, Golf is the ideal model to go hybrid as the Golf 1.4 TSI was recently awarded the “Auto Environment Certificate” by the Oko-Trend Institute for Environmental Research, and was considered as one of the most environmentally friendly vehicles of 2007.[27] Also underway at Volkswagen's Braunschweig R&D facilities in Northern Germany is a hybrid version of the next-generation Touareg, due in 2010.[28]
VW intends all future models to have the hybrid option. “Future VW models will fundamentally also be constructed with hybrid concepts,” VW head of development Ulrich Hackenberg told Automobilwoche in an interview. Hackenberg mentioned that the car based on the up! concept seen at Frankfurt motorshow[29], as well as all future models, could be offered with either full or partial hybrid options. The rear-engine up! will go into production in 2011. Nothing has been said about plug-in hybrid option.[30]
VW's Chief of research, Dr. Jurgen Leohold, said the company has concluded hydrogen fuel-cell cars are not a viable option.[31][32]
[edit]
Current Volkswagen models
[edit]
Europe
Eos
Fox
Golf Mk5
Golf Plus
Golf Variant
Corrado
Jetta Mk5
Multivan
Passat Mk6
Passat Mk6 Variant
Phaeton
Polo Mk4F
Scirocco
Sharan
Touran
Tiguan
Touareg
[edit]
Americas
[edit]
USA and Canada
See also: Volkswagen Group of AmericaModel United States
Canada
City Golf ♦
City Jetta ♦
Eos ♦ ♦
GLI ♦ ♦
GTI ♦ ♦
Jetta ♦ ♦
Jetta SportWagen ♦ ♦
New Beetle ♦ ♦
New Beetle Convertible ♦ ♦
Passat ♦ ♦
Passat Wagon ♦ ♦
R32 ♦
Rabbit ♦ ♦
Routan ♦ ♦
Tiguan ♦ ♦
Touareg ♦ ♦
[edit]
Mexico
See also: Cars in Mexico
Volkswagen was introduced in Mexico in 1954 to sell the popular Beetle. A major investor in Volkswagen de Mexico dealership was Prince Alfonso von Hohenlohe. The Type 1 was officially called Sedán and commonly called "Vocho" as an abbreviation of Volkswagen.
Volkswagen recently introduced the Jetta TDi with 1.9 Diesel engine that is the second diesel-engineered car in Mexico since the Volkswagen Caribe Diesel (1979-1983) which was slow-selling in this country. Unfortunately the sales of the Jetta TDi (which has a huge number of sales on its 2.0i edition) are in small numbers, encouraging to its end in this country. VW is trying to convince government and environmental authorities of the advantages of using diesel to encourage the reduction of taxes and other stimulations to increase the sales of the TDi.
Bora (Jetta Mk5)
Bora Sportwagen (Jetta Mk5 wagon)
Crafter
CrossFox
Derby (Polo Mk3 Sedan) (Soon to be replaced by the Gol/Voyage NF notchback sedan)
EuroVan
Golf GTI
Jetta (The facelifted Jetta/Bora Mk4)
Lupo (A rebadged brazilian Fox)
New Beetle
Pointer (Soon to be replaced by the new Gol NF)
Sharan (Soon to be replaced by the Volkswagen Routan)
SportVan (Fox Wagon version, named Suran in Argentina and SpaceFox in Brazil)
Passat
Touareg
[edit]
Volkswagen models to be introduced in Mexico
Volkswagen Eos (Scheduled for 2009)
Volkswagen Passat CC (Scheduled for September 2008)
Volkswagen Routan (Scheduled for September 2008)
Volkswagen Tiguan (Scheduled for September 2008)
Volkswagen Gol/Voyage 3rd generation (Scheduled for September 2008-march 2009)
[edit]
South America
See also: Volkswagen do Brasil
Fox/CrossFox/Suran (SpaceFox)
Gol/Parati/Saveiro/Voyage (Pointer)
Polo/Polo sedan
Derby
Golf
Jetta
Vento
Bora
New Beetle/New Beetle Cabriolet
Passat/Passat Variant
Phaeton
Sharan
Touareg
Touran
[edit]
Asia-Pacific
See also: Volkswagen Group China
Gol
Polo
Golf/Golf Plus/Golf Variant
Jetta
Bora
Sagitar
New Beetle/New Beetle Cabriolet
Passat Lingyu
Santana
Santana Vista
Passat/Passat Variant
Magotan
Phaeton
Sharan
Tiguan
Touareg
Touran
[edit]
South Africa
CitiGolf
Polo
Golf/Golf Variant/Golf Plus
Jetta
New Beetle/New Beetle Cabriolet
Passat/Passat Variant
Sharan
Tiguan
Touareg
Touran
Eos
[edit]
Cult status of the Beetle This section does not cite any references or sources.
Please help improve this section by adding citations to reliable sources. Unverifiable material may be challenged and removed. (June 2008)
Beetles used as taxis in Mexico City
Like its competitors, the Mini, the Citroën 2CV and the Fiat 500, the original-shape Beetle long outlasted predictions of its lifespan. It maintains a very strong following worldwide, being regarded as something of a "cult car", owing to its 1960s association with the hippie movement. Currently, there is a wide array of clubs that are concerned with the Beetle. The fans are quite diverse. Looks include the resto-look, Cal Look, German-look, resto-Cal Look, buggies, Baja Bugs, old school, Disney's Herbie the Love Bug replicas, ratlook, etc. Part of their cult status is attributed to being one of a few cars with an air-cooled, horizontally-opposed engine design, and the consequent ease of repair and modification, as opposed to the more conventional and technically complex watercooled engine design. The original flat-four boxer design had less than 200 moving parts.
In the late 1990s, a group of Volkswagen enthusiasts formed "Volkswagenism", a satirical religion based on owners' devoted loyalty to both the Beetle and the company. Under the leadership of founder Jason Gaudet, this "religion" has gained notoriety through radio, television and print coverage from around the world...turning ordinary fans of the car into Volkswagenists.[citation needed]
By 2002, over 21 million Type 1s had been produced. And they were also called bugs because of this model.
On 30 July 2003, the last Type 1 rolled off the production line in Puebla, Puebla, Mexico. It was car number 21,529,464, and was immediately shipped off to the company's museum in Wolfsburg, Germany. In true Mexican fashion, a big celebration and a mariachi band serenaded the last car in the 68-year-old history. The last car was nicknamed El Rey, which is Spanish for "The King", named after a legendary Mexican song by José Alfredo Jiménez. The last 3000 type 1s were called the "Última Edición" or the last edition.
In the United States, Volkswagen enthusiasts frequent large Volkswagen-themed car shows, especially in the summer months. Many of these shows feature camping, a car show called a "show 'n' shine", drag racing, parts swap meet, raffles, burnout contests, and other events. Die-hard and loyal "VW-heads" or "Dubbers" attend these shows regularly, often traveling 500 miles (800 km) or more (even abroad) to attend their favorite event.
In the winter, a group of drivers of the "splitscreen" bus model (1951-1967 Microbuses, trucks, campers, and panel vans) drive from Willits, California, to Mount Shasta, California, largely on unpaved back roads. This event is called the "Mt. Shasta Snow Trip Challenge" and is a good example of VW enthusiasts' trust in the durability of their 40-plus-year-old cars.
[edit]
Motorsport
In 1966, Volkswagen starting in Formula Vee — circuit racing with cars built from easily available Beetle parts — took off in Europe. It proved very popular as a low-cost route into formula racing.[33]
In 1971, Volkswagen moved on to the more powerful Formula Super Vee, which became famous for hothousing new talent. In the 11 years it ran, until 1982, it produced a stable of world-famous Formula One drivers — names like Niki Lauda, Jochen Mass, Nelson Piquet, Jochen Rindt and Keke Rosberg. Volkswagen also notched up several victories, and the championship in Formula Three.
In 1976, Volkswagen enter the under 2000 cc Trans-Am Series, with the Scirocco, and they won their class outright.[34]
In 1981, now based in Hanover, and renamed Volkswagen Motorsport, VW took a new direction into rallying, with the launch of the first generation Golf, and Sweden's Per Eklund, Frenchman Jean-Luc Therier, and the Finn Pentti Airikkala. The final chapters in Volkswagen Racing UK's rallying story were the 'one-make' Castrol Polo Challenge, and the Polo GTI 'Super 1600' in 2001.
In 2000, Volkswagen started a one make racing cup with the newly released to Europe New Beetle called the ADAC New Beetle Cup. Beside that, the ADAC Volkswagen Lupo Cup, founded in 1998, is continued to support young talents on the way to the top.
In 2001, the department was renamed Volkswagen Racing, and since then has concentrated all its efforts on developing its circuit racing championship, the Volkswagen Racing Cup.
In 2003, VW replaced the ADAC Volkswagen Lupo Cup with the newly released Polo, to become the ADAC Volkswagen Polo Cup.
In 2004, Volkswagen Commercial Vehicles enter the European Truck Racing series with the Volkswagen Titan series truck - it became back-to-back champions for the 2004 and 2005 series.
[edit]
The Dakar
In 1980, Volkswagen competed in the Paris-Dakar Rally with the Audi-developed Iltis, placing 1st, 2nd, 4th and 9th overall.
Volkswagen enlists Dakar Champion Jutta Kleinschmidt, the first female to win the Dakar in 2001, to help design and compete a Dakar Racer.
In 2003, the Hannover based team starts with a 2WD buggy named Tarek. It places 6th outright but took 1st in the 2WD and Diesel class.
In 2004, VW enters the newly developed Race-Touareg T2, finishing 6th overall and 2nd in the Diesel class.
In 2005, an updated Race-Touareg with slightly more power is entered, with driver Bruno Saby, finishing in 3rd overall and 1st in the Diesel class.
In 2006, Volkswagen released the most powerful Race-Touareg yet: the Race-Touareg 2. Five vehicles enter, with driver Giniel de Villers finishing in 2nd place overall, and 1st in the Diesel class.
[edit]
Volkswagen motorsport: around the world
Below are Official, or Dealership-sponsored Volkswagen Racing activities, outside Germany:
China rally participation: Shanghai-VW Santana, Shanghai-VW Polo, FAW-VW Jetta, and Shanghai-VW supported the 1st Shanghai F1 Grand Prix, with a Polo Cup support series.
South Africa rally participation: VW Polo, SEAT Ibiza based Polo Playa, VW Citi and VW Golf. Circuit participation: SEAT Ibiza based Polo Derby/Classic, A3 engined series which supports the A1 Racing series, and the GTI engined F3 style racing series.
France: A French Volkswagen team entered the 2000 and 2001 Le Mans Series, with there 2.0 Turbo racer, which produced around 356 kW/485 hp.
Brazil rally participation: Gol and Voyage, and Volkswagen Commercial Vehicles heavy trucks. Circuit participation: Brasilia, Karmann Ghia, and Gol, Voyage. The Bora used nowadays in Stock car racing is actually a plastic body around a tubular chassis with Chevrolet V8 engine.
Peru: VW Peru Rally the Fox in the S1600 class.
Japan circuit participation: Golf, Lupo and Polo Cup's.
Poland circuit participation: Golf with TDI Cup.
United Kingdom circuit participation: Lupo, Polo, Golf, Jetta (Vento/Bora), Scirocco, Corrado, Beetle, Type 3, and Caddy. Rally entries: Beetle, Type 3, Polo & Golf. VW Racing UK now have their own cup, they also have had Rallyed a Polo 1600 class and Golf TDI.
Australia: VW has a very close relationship with Motorsport it was the REDeX and Mobil Trials of the 1950s which propelled VW to be a sales success in Australia. In 1999 and 2000, VW won the F2 Australian Rally Championship with the Golf GTI. In 2001 and 2002, VW raced the New Beetle RSI in the GT Performance series, it was close to the top of the board both seasons. In 2003, VW Australia was the first to race and develop the R32 Golf in the 2004 GT Performance series, and came 2nd overall.
Finland: In 2002, VW won the Finnish Rally Championship in a7/(F2), with a Golf Mk4 KitCar, with Mikko Hirvonen. In 1999 and 2000, VW won the Finnish Rally Championship in a7/(F2) with a Golf Mk3 KitCar. In 2000, 2001 and 2002, VW won the Finnish Racing Championship in Sport 2000 with a Golf Mk4.[35]
Austria: From 1967 until 1974, the Austrian sole distributor "Porsche Salzburg (Austria)" successfully entered the VW Beetle (1500, 1302S and 1303S) in European-wide rallies. Victories were achieved in `72 and `73 in the overall Austrian championship,on Elba, in the Acropolis rally (first in class). The last versions used the 1600 cc engine with 125hp and a 5 speed Porsche 914 transmission. Top drivers were Tony Fall(GB), Achim Warmbold(D), Guenter Janger(A), Harry Källström(S).
[edit]
Motorsport gallery
1939 Berlin to Rome. Porsche Type 64 racer based on Beetle platform
Twin-engine racing Beetle developed by Wilson and Emerson Fittipaldi brothers
Bora in TC 2000, a national championship of Argentine
Bora in Stock Car Brasil
Edition 2007 Race Touareg 2 at Essen Motor Show 2006
Constellation in the 2006 Brazilian Fórmula Truck Championship
[edit]
See also
List of Volkswagen Group platforms
List of Volkswagen Group engines
List of Volkswagen Group diesel engines
Baron Klaus von Oertzen - "father" of Volkswagen in South Africa
Electronics Research Laboratory
Murat Günak Twike - hybrid vehicle developed by former VW employee
Standard Superior - Volkswagen prototype by Josef Ganz
Volkswagen Group of America
Volkswagen advertising history
VDub - tagline for the recent VWoA Golf GTI TV advertisement
List of German cars
1 Kasım 2008 Cumartesi
Toyota
Toyota Motor Corporation (トヨタ自動車株式会社 Toyota Jidosha Kabushiki-gaisha?) (pronounced [to-yo-ta]) is a multinational corporation headquartered in Japan, and is the world's largest automaker.[3][4]
In 1934, while still a department of Toyota Industries, it created its first product Type A engine and in 1936 its first passenger car the Toyota AA. The company was eventually founded by Kiichiro Toyoda in 1937 as a spinoff from his father's company Toyota Industries to create automobiles. Toyota currently owns and operates Lexus and Scion brands and has a majority shareholding stake in Daihatsu Motors,[5] and minority shareholdings in Fuji Heavy Industries Isuzu Motors, and Yamaha Motors. The company includes 522 subsidiaries.[6]
Toyota is headquartered in Aichi, Nagoya and in Tokyo. In addition to manufacturing automobiles, Toyota provides financial services through its division Toyota Financial Services and also creates robots. Toyota Industries and Finance divisions form the bulk of the Toyota Group, one of the largest conglomerates in the world.
Name
Toyota Head office in Toyota City, Japan
Vehicles were originally sold under the name "Toyoda" (トヨダ), from the family name of the company's founder, Kiichiro Toyoda. In September 1936 the company ran a public competition to design a new logo. Out of 27,000 entries the winning entry was the three Japanese katakana letters for (Toyoda) in a circle. But Risaburo Toyoda, who had married into the family and was not born with that name, preferred "Toyota" (トヨタ) because it took eight brush strokes (a fortuitous number) to write in Japanese, was visually simpler (leaving off two ticks at the end) and sounded better with two "t"s. Since "Toyoda" literally means fertile rice paddies, changing the name also helped to distance the company from associations with old fashioned farming. The newly formed word was trademarked and the company was registered in August 1937 as the "Toyota Motor Company". [7] [8] [9]
In predominantly Chinese speaking countries, Toyota is known as "豊田".[10] This is a direct translation of "Toyoda" (fertile rice paddies) into Chinese.
From September 1947, Toyota's small-sized vehicles were sold under the name "Toyopet" (トヨペット).[11] The first vehicle sold under this name was the Toyopet SA[12] but it also included vehicles such as the Toyopet SB light truck, Toyopet Stout light truck[13], Toyopet Crown and the Toyopet Corona. However, when Toyota eventually entered the American market in 1957 with the Crown, the name was not well received due to connotations of Toys and pets.[14] The name was soon dropped for the American market but continued in other markets until the mid 1960's.
[edit]
History
Toyota founder Kiichiro Toyoda
Toyota automatic loom (Type G)
Replica of the Toyota Model AA, the first production model of Toyota in 1936
In 1933, Toyoda Automatic Loom Works created a new division devoted to the production of automobiles under the direction of the founder's son, Kiichiro Toyoda. Kiichiro Toyoda had traveled to Europe and the United States in 1929 to investigate automobile production and had begun researching gasoline-powered engines in 1930.[15] Toyoda Automatic Loom Works was encouraged to develop automobile production by the Japanese government, which needed domestic vehicle production partly due to the worldwide money shortage and partly due to the war with China.[16] In 1934, the division produced its first Type A Engine, which was used in the first Model A1 passenger car in May 1935 and the G1 truck in August 1935. Production of the Model AA passenger car started in 1936. Early vehicles bear a striking resemblance to the Dodge Power Wagon and Chevrolet, with some parts actually interchanging with their American originals.[16]
Although the Toyota Group is best known today for its cars, it is still in the textile business and still makes automatic looms, which are now computerized, and electric sewing machines which are available worldwide.
Toyota Motor Co. was established as an independent and separate company in 1937. Although the founding family's name is Toyoda (豊田), the company name was changed in order to signify the separation of the founders' work life from home life, to simplify the pronunciation, and to give the company a happy beginning. Toyota (トヨタ) is considered luckier than Toyoda (豊田) in Japan, where eight is regarded as a lucky number, and eight is the number of strokes it takes to write Toyota in katakana.[17] In Chinese, the company and its vehicles are still referred to by the equivalent characters (traditional Chinese: 豐田; simplified Chinese: 丰田; pinyin: fēng tián), with Chinese reading.
During the Pacific War (World War II) the company was dedicated to truck production for the Imperial Japanese Army. Because of severe shortages in Japan, military trucks were kept as simple as possible. For example, the trucks had only one headlight on the center of the hood. The war ended shortly before a scheduled Allied bombing run on the Toyota factories in Aichi.
1947 Toyopet Model SA
1957 Toyopet Crown
After the war, commercial passenger car production started in 1947 with the model SA. In 1950, a separate sales company, Toyota Motor Sales Co., was established (which lasted until July 1982). In April 1956, the Toyopet dealer chain was established. The following year, the Crown became the first Japanese car to be exported to the United States and Toyota's American and Brazilian divisions, Toyota Motor Sales Inc. and Toyota do Brasil S.A., were also established.
Toyota began to expand in the 1960s with a new research and development facility, a presence in Thailand was established, the 10 millionth model was produced, a Deming Prize and partnerships with Hino Motors and Daihatsu were also established. The first Toyota built outside Japan was in April 1963, at Port Melbourne in Australia.[18] By the end of the decade, Toyota had established a worldwide presence, as the company had exported its one-millionth unit.
With high gas prices and a weak US economy in the summer of 2008, Toyota reported a double-digit decline in sales for the month of June, similar to figures reported by the Detroit Big Three. For Toyota, these were attributed mainly to slow sales of its Tundra pickup, as well as shortages of its fuel-efficient vehicles such as the Prius, Corolla and Yaris. In response, the company has announced plans to idle its truck plants, while shifting production at other facilities to manufacture in-demand vehicles.[19][20][21][22]
[edit]
Company overview
Concept i-unit
Concept PM
The Toyota Motor Company was awarded its first Japanese Quality Control Award at the start 1970s and began participating in a wide variety of Motorsports. Due to the 1973 oil crisis consumers in the lucrative U.S. market began turning to small cars with better fuel economy. American car manufacturers had considered small economy cars to be an "entry level" product, and their small vehicles were made to a low level of quality in order to keep the price low. Japanese customers, however, had a long-standing tradition of demanding small fuel-efficient cars that were manufactured to a high level of quality. Because of this, companies like Toyota, Honda, and Nissan established a growing presence in North America in the 1970s.
In 1982, the Toyota Motor Company and Toyota Motor Sales merged into one company, the Toyota Motor Corporation. Two years later, Toyota entered into a joint venture with GM called NUMMI, the New United Motor Manufacturing, Inc, operating an automobile manufacturing plant in Fremont, California. The factory was an old General Motors plant that had been closed for several years. Toyota then started to establish new brands at the end of the 1980s, with the launch of their luxury division Lexus in 1989.
In the 1990s Toyota began to branch out from producing mostly compact cars by adding many larger and more luxurious vehicles to its lineup, including a full sized pickup, the T100 (and later the Toyota Tundra), several lines of SUVs, a sport version of the Camry, known as the Camry Solara, and the Scion brand, a group of several affordable, yet sporty, automobiles targeted specifically to young adults. Toyota also began production of the world's best selling hybrid car, the Toyota Prius, in 1997.
With a major presence with Europe, due to the success of Toyota Team Europe, the corporation decided to set up TMME, Toyota Motor Europe Marketing & Engineering, to help market vehicles in the continent. Two years later, Toyota set up a base in the United Kingdom, TMUK, as the company's cars had become very popular among British drivers. Bases in Indiana, Virginia and Tianjin were also set up. In 1999, the company decided to list itself on the New York and London Stock Exchange.
With over 30 million sold, the Toyota Corolla is one of the best selling cars in the world.
In 2001, Toyota's Toyo Trust and Banking merged to form the UFJ, United Financials of Japan, which was accused of corruption by the Japan's government for making bad loans to alleged Yakuza crime syndicates with executives accused of blocking Financial Service Agency inspections.[23] The UFJ was listed among Fortune Magazine's largest money-losing corporations in the world, with Toyota's chairman serving as a director.[24] At the time, the UFJ was one of the largest shareholders of Toyota. As a result of Japan's banking crisis, the UFJ was merged again to become Mitsubishi UFJ Financial Group.
In 2002, Toyota managed to enter a Formula One works team and establish joint ventures with French motoring companies Citroën and Peugeot, a year after Toyota started producing cars in France.
On December 7, 2004, a U.S. press release was issued stating that Toyota would be offering Sirius Satellite Radios. However, as late as Jan. 27, 2007, Sirius Satellite Radio and XM Satellite radio kits were not available for Toyota factory radios.[citation needed] While the press release enumerated nine models, only limited availability existed at the dealer level in the U.S. As of 2008, all Toyota and Scion models have either standard or available XM radio kits. Major Lexus dealerships have been offering satellite radio kits for Lexus vehicles since 2005, in addition to factory-equipped satellite radio models.
In 2007, Toyota released an update of its full size truck, the Toyota Tundra, produced in two American factories, one in Texas and one in Indiana. "Motor Trend" named the Tundra "Truck of the Year," and the 2007 Toyota Camry "Car of the Year" for 2007. It also began the construction of two new factories, one to build the Toyota Rav4 in Woodstock, Ontario and the other to build the Toyota Highlander in Blue Springs, Mississippi. The company has also found recent success with its smaller models - the Corolla and Yaris - as gas prices have risen rapidly in the last few years.
[edit]
Toyota philosophy
Main article: The Toyota Way
iReal concept chair
Toyota's management philosophy has evolved from the company's origins and has been reflected in the terms "Lean Manufacturing" and Just In Time Production, which it was instrumental in developing.[25] The Toyota Way has four components: 1) Long-term thinking as a basis for management decisions, 2) a process for problem-solving, 3) adding value to the organization by developing its people, and 4) recognizing that continuously solving root problems drives organizational learning[26]. The Toyota Way incorporates the Toyota Production System.
[edit]
The Toyota Production System
Main article: Toyota Production System
Toyota has long been recognized as an industry leader in manufacturing and production. Three stories of its origin have been found, one that they studied Piggly-Wiggly's just-in-time distribution system, one that they followed the writings of W. Edwards Deming, and one that they were given the principles from an Army training program. It is possible that all are true. Regardless of the origin, the principles, described in Toyota's management philosophy, The Toyota Way, are as follows:
Base your management decisions on a long-term philosophy, even at the expense of short-term goals
Create continuous process flow to bring problems to the surface
Use “pull” systems to avoid overproduction
Level out the workload
Build a culture of stopping to fix problems, to get quality right the first time
Standardized tasks are the foundation for continuous improvement and employee empowerment
Use visual control so no problems are hidden
Use only reliable, thoroughly tested technology that serves your people and processes
Grow leaders who thoroughly understand the work, live the philosophy, and teach it to others
Develop exceptional people and teams who follow your company’s philosophy
Respect your extended network of partners and suppliers by challenging them and helping them improve
Go and see for yourself to thoroughly understand the situation (genchi genbutsu)
Make decisions slowly by consensus, thoroughly considering all options; implement decisions rapidly
Become a learning organization through relentless reflection and continuous improvement
[edit]
Operations
Toyota Pavilion at the Expo in Aichi
Toyota has grown to a large multinational corporation from where it started and expanded to different worldwide markets and countries by becoming the largest seller of cars in the beginning of 2007, the most profitable automaker ($11 billion in 2006) along with increasing sales in, among other countries, the United States. The world headquarters of Toyota are located in its home country in Toyota, Aichi, Japan. Its subsidiary, Toyota Financial Services sells financing and participates in other lines of business. Toyota brands include Scion and Lexus and the corporation is part of the Toyota Group. Toyota also owns majority stakes in Daihatsu, and 8.7% of Fuji Heavy Industries, which manufactures Subaru vehicles. They also acquired 5.9% of Isuzu Motors Ltd. on November 7, 2006 and will be introducing Isuzu diesel technology into their products.
Toyota has introduced new technologies including one of the first mass-produced hybrid gas-electric vehicles, of which it says it has sold 1 million globally (2007-06-07) [27], Advanced Parking Guidance System (automatic parking), a four-speed electronically controlled automatic with buttons for power and economy shifting, and an eight-speed automatic transmission. Toyota, and Toyota-produced Lexus and Scion automobiles, consistently rank near the top in certain quality and reliability surveys, primarily J.D. Power and Consumer Reports.[28]
In 2005, Toyota, combined with its half-owned subsidiary Daihatsu Motor Company, produced 8.54 million vehicles, about 500,000 fewer than the number produced by GM that year. Toyota has a large market share in the United States, but a small market share in Europe. Its also sells vehicles in Africa and is a market leader in Australia. Due to its Daihatsu subsidiary it has significant market shares in several fast-growing Southeast Asian countries.[29]
Toyota Century is the official state car of the emperor Akihito.
according to the 2008 Fortune Global 500, Toyota Motor is the fifth largest company in the world. Since the recession of 2001, it has gained market share in the United States. Toyota's market share struggles in Europe where its Lexus brand has three tenths of one percent market share, compared to nearly two percent market share as the U.S. luxury segment leader.
In the first three months of 2007, Toyota together with its half-owned subsidiary Daihatsu reported number one sales of 2.348 million units. Toyota's brand sales had risen 9.2% largely on demand for Corolla and Camry sedans. The difference in performance was largely attributed to surging demand for fuel-efficient vehicles. In November 2006, Toyota Motor Manufacturing Texas added a facility in San Antonio. [30] Toyota has experienced quality problems and was reprimanded by the government in Japan for its recall practices.[31] Toyota currently maintains over 16% of the US market share and is listed second only to GM in terms of volume. [32] Toyota Century is the official state car of the Japanese imperial family, namely for the Emperor of Japan Akihito.
[edit]
Worldwide presence
Toyota has factories all over the world, manufacturing or assembling vehicles for local markets, including the Corolla. Toyota has manufacturing or assembly plants in Japan, Australia, India, Canada, Indonesia, Poland, South Africa, Turkey, the United Kingdom, the United States, France, Brazil, Portugal, and more recently Pakistan, Argentina, Czech Republic, Mexico, Malaysia, Thailand, China, Vietnam, Venezuela, the Philippines, and Russia.
In 2002, Toyota initiated the "Innovative International Multi-purpose vehicle" project (IMV) to optimize global manufacturing and supply systems for pickup trucks and multipurpose vehicles, and to satisfy market demand in more than 140 countries worldwide. IMV called for diesel engines to be made in Thailand, gasoline engines in Indonesia and manual transmissions in the Philippines, for supply to the countries charged with vehicle production. For vehicle assembly, Toyota would use plants in Thailand, Indonesia, Argentina and South Africa. These four main IMV production and export bases supply Asia, Europe, Africa, Oceania, Latin America and the Middle East with three IMV vehicles: The Toyota Hilux (Vigo), the Toyota Fortuner, and the Toyota Innova.[33]
Toyota has invested considerably into cleaner-burning vehicles such as the Toyota Prius, based on technology such as the Hybrid Synergy Drive. In 2002, Toyota successfully road-tested a new version of the RAV4 which ran on a Hydrogen fuel cell. Scientific American called the company its Business Brainwave of the Year in 2003 for commercializing an affordable hybrid car.
[edit]
Toyota North America This section does not cite any references or sources.
Please help improve this section by adding citations to reliable sources. Unverifiable material may be challenged and removed. (June 2008)
Main article: Toyota Motor Engineering & Manufacturing North America
The Toyota Camry is assembled in several facilities around the world including Australia, China (PRC and ROC), Japan, Malaysia, Philippines, Russia, Thailand, and the United States.
Toyota Motor North America headquarters is located in New York City and operates at a holding company level in North America. Its manufacturing headquarters is located in Hebron, Kentucky, and is known as Toyota Motor Engineering and Manufacturing North America, or TEMA.
Toyota has a large presence in the United States with five major assembly plants in Huntsville, Alabama; Georgetown, Kentucky; Princeton, Indiana; San Antonio, Texas; Buffalo, West Virginia; and a new one being built in Blue Springs, Mississippi. Toyota also has a joint-venture operation with General Motors at New United Motor Manufacturing Inc. (NUMMI), in Fremont, California, which began in 1984, and with Subaru at Subaru of Indiana Automotive, Inc. (SIA), in Lafayette, Indiana, which started in 2006. Production on a new manufacturing plant in Tupelo, Mississippi is scheduled for completion in 2010. North America is a major automobile market for Toyota. In these assembly plants, the Toyota Camry and the 2007 Toyota Tundra are manufactured, among others.
Toyota marketing, sales, and distribution in the U.S. are conducted through a separate subsidiary, Toyota Motor Sales, U.S.A., Inc. Toyota uses a number of slogans in its American TV commercials such as It's time to move forward, Smart way to keep moving forward, or Moving forward. It has started producing larger trucks, such as the new Toyota Tundra, to go after the large truck market in the United States. Toyota is also pushing hybrid vehicles in the US such as the Toyota Prius, Toyota Camry Hybrid, Highlander Hybrid, and various Lexus products.
Toyota has sold more hybrid vehicles in the country than any other manufacturer. Toyota is a public corporation and the company's shares are traded on the Tokyo Stock Exchange, New York Stock Exchange and the London Stock Exchange. Toyota also sponsors Chivas de Guadalajara.
[edit]
United States employees and investments
Toyota directly employed around 34,675 people in the United States, invested USD $15.5 billion, produced 1.2 million vehicles using US and foreign auto parts, sold 2.54 million vehicles, and donated USD $340 million to nonprofits. [34] It has in total 10 plants, USD $2.9 billion per year payroll, purchased USD $28 billion in parts and supplies from 30 states. It created around 386,000 jobs in the United States as result of Toyota's spending and demand from suppliers. It celebrated its 50th year anniversary in the United States in 2008.[35]
Outcomes
Toyota is now the world’s largest automaker in terms of net worth, revenue, and profits. According to Stephen Spier, Toyota has been an industry leader since the 1960s and has consistently been more productive than its competitors. The company has been widely recognized for the quality of its products and production systems:“ In 2001, Toyota continued to maintain industry leadership. Consumer Reports rated Toyota models first in four of ten product categories. In a separate 2001 study of initial quality, J.D. Power and Associates rated Toyota and Lexus products first in 7 of 16 product categories. Toyota’s Kyushu car plant was rated the best in the world, with Toyota’s Tahara car plant second in Asia and the Kyushu truck plant third. In North America, Toyota’s Cambridge Ontario plant was first, and the Georgetown Kentucky Camry plant tied for second. Despite industry-wide difficulties, Toyota’s market share and capitalization continued to grow. Worker involving, problem-solving processes at the NUMMI plant, specifically, a TPS-managed joint venture with General Motors, were a source of performance superiority.[52] ”
[edit]
Environmental record
The Toyota Motor Corporation (TMC) implemented its Fourth Environmental Action Plan in 2005. The plan contains four major themes involving the environment and the corporation's development, design, production, and sales. The five-year plan is directed at the, "arrival of a revitalized recycling-based society."[53] Toyota had previously released its Eco-Vehicle Assessment System (Eco-VAS) which is a systematic life cycle assessment of the effect a vehicle will have on the environment including production, usage, and disposal. The assessment includes, "... fuel efficiency, emissions and noise during vehicle use, the disposal recovery rate, the reduction of substances of environmental concern, and CO2 emissions throughout the life cycle of the vehicle from production to disposal."[54] 2008 marks the ninth year for Toyota's Environmental Activities Grant Program which has been implemented every year since 2000. Themes of the 2008 program consist of "Global Warming Countermeasures" and "Biodiversity Conservation." [55]
Since October 2006, Toyota's new Japanese-market vehicle models with automatic transmissions are equipped with an Eco Drive Indicator. The system takes into consideration rate of acceleration, engine and transmission efficiency, and speed. When the vehicle is operated in a fuel-efficient manner, the Eco Drive Indicator on the instrument panel lights up. Individual results vary depending on traffic issues, starting and stopping the vehicle, and total distance traveled, but the Eco Drive Indicator may improve fuel efficiency by as much as 4%.[56] Along with Toyota's eco-friendly objectives on production and use, the company plans to donate $1 million and five vehicles to the Everglades National Park. The money will be used to fund environmental programs at the park. This donation is part of a program which provides $5 million and 23 vehicles for five national parks and the National Parks Foundation. [57]
Despite its many environmental advances, corporate watchdog Corporate Accountability International (CAI) selected the Toyota Motor Corporation as one of its nominees (along with Archer Daniels Midland, Countrywide, Mattel, Nestle, Blackwater, Wal-Mart, and Wendy’s) for its 2008 “Corporate Hall of Shame” elections. CAI states that Toyota is contributing to inaction on global warming. The watchdog group claims that "the company has hypocritically crafted an image as a corporate ally in the fight against climate change while working behind the scenes to stop greenhouse gas mandates from becoming law." The group points out that Toyota, has opposed “clean cars” legislation in many U.S. states, and is employing "aggressive lobbying efforts" to prevent legislation to limit gas-guzzling vehicles by 2020.[58]
According to CAI, despite the green image surrounding the Prius, the company's hybrid sales are only part of its story. Toyota also produces the 14-mile-per-gallon (mpg) Tundra pickup truck and other “gas guzzlers” which lower the company’s fleet-wide fuel efficiency to "levels below what they were several decades ago."[58]
In 1934, while still a department of Toyota Industries, it created its first product Type A engine and in 1936 its first passenger car the Toyota AA. The company was eventually founded by Kiichiro Toyoda in 1937 as a spinoff from his father's company Toyota Industries to create automobiles. Toyota currently owns and operates Lexus and Scion brands and has a majority shareholding stake in Daihatsu Motors,[5] and minority shareholdings in Fuji Heavy Industries Isuzu Motors, and Yamaha Motors. The company includes 522 subsidiaries.[6]
Toyota is headquartered in Aichi, Nagoya and in Tokyo. In addition to manufacturing automobiles, Toyota provides financial services through its division Toyota Financial Services and also creates robots. Toyota Industries and Finance divisions form the bulk of the Toyota Group, one of the largest conglomerates in the world.
Name
Toyota Head office in Toyota City, Japan
Vehicles were originally sold under the name "Toyoda" (トヨダ), from the family name of the company's founder, Kiichiro Toyoda. In September 1936 the company ran a public competition to design a new logo. Out of 27,000 entries the winning entry was the three Japanese katakana letters for (Toyoda) in a circle. But Risaburo Toyoda, who had married into the family and was not born with that name, preferred "Toyota" (トヨタ) because it took eight brush strokes (a fortuitous number) to write in Japanese, was visually simpler (leaving off two ticks at the end) and sounded better with two "t"s. Since "Toyoda" literally means fertile rice paddies, changing the name also helped to distance the company from associations with old fashioned farming. The newly formed word was trademarked and the company was registered in August 1937 as the "Toyota Motor Company". [7] [8] [9]
In predominantly Chinese speaking countries, Toyota is known as "豊田".[10] This is a direct translation of "Toyoda" (fertile rice paddies) into Chinese.
From September 1947, Toyota's small-sized vehicles were sold under the name "Toyopet" (トヨペット).[11] The first vehicle sold under this name was the Toyopet SA[12] but it also included vehicles such as the Toyopet SB light truck, Toyopet Stout light truck[13], Toyopet Crown and the Toyopet Corona. However, when Toyota eventually entered the American market in 1957 with the Crown, the name was not well received due to connotations of Toys and pets.[14] The name was soon dropped for the American market but continued in other markets until the mid 1960's.
[edit]
History
Toyota founder Kiichiro Toyoda
Toyota automatic loom (Type G)
Replica of the Toyota Model AA, the first production model of Toyota in 1936
In 1933, Toyoda Automatic Loom Works created a new division devoted to the production of automobiles under the direction of the founder's son, Kiichiro Toyoda. Kiichiro Toyoda had traveled to Europe and the United States in 1929 to investigate automobile production and had begun researching gasoline-powered engines in 1930.[15] Toyoda Automatic Loom Works was encouraged to develop automobile production by the Japanese government, which needed domestic vehicle production partly due to the worldwide money shortage and partly due to the war with China.[16] In 1934, the division produced its first Type A Engine, which was used in the first Model A1 passenger car in May 1935 and the G1 truck in August 1935. Production of the Model AA passenger car started in 1936. Early vehicles bear a striking resemblance to the Dodge Power Wagon and Chevrolet, with some parts actually interchanging with their American originals.[16]
Although the Toyota Group is best known today for its cars, it is still in the textile business and still makes automatic looms, which are now computerized, and electric sewing machines which are available worldwide.
Toyota Motor Co. was established as an independent and separate company in 1937. Although the founding family's name is Toyoda (豊田), the company name was changed in order to signify the separation of the founders' work life from home life, to simplify the pronunciation, and to give the company a happy beginning. Toyota (トヨタ) is considered luckier than Toyoda (豊田) in Japan, where eight is regarded as a lucky number, and eight is the number of strokes it takes to write Toyota in katakana.[17] In Chinese, the company and its vehicles are still referred to by the equivalent characters (traditional Chinese: 豐田; simplified Chinese: 丰田; pinyin: fēng tián), with Chinese reading.
During the Pacific War (World War II) the company was dedicated to truck production for the Imperial Japanese Army. Because of severe shortages in Japan, military trucks were kept as simple as possible. For example, the trucks had only one headlight on the center of the hood. The war ended shortly before a scheduled Allied bombing run on the Toyota factories in Aichi.
1947 Toyopet Model SA
1957 Toyopet Crown
After the war, commercial passenger car production started in 1947 with the model SA. In 1950, a separate sales company, Toyota Motor Sales Co., was established (which lasted until July 1982). In April 1956, the Toyopet dealer chain was established. The following year, the Crown became the first Japanese car to be exported to the United States and Toyota's American and Brazilian divisions, Toyota Motor Sales Inc. and Toyota do Brasil S.A., were also established.
Toyota began to expand in the 1960s with a new research and development facility, a presence in Thailand was established, the 10 millionth model was produced, a Deming Prize and partnerships with Hino Motors and Daihatsu were also established. The first Toyota built outside Japan was in April 1963, at Port Melbourne in Australia.[18] By the end of the decade, Toyota had established a worldwide presence, as the company had exported its one-millionth unit.
With high gas prices and a weak US economy in the summer of 2008, Toyota reported a double-digit decline in sales for the month of June, similar to figures reported by the Detroit Big Three. For Toyota, these were attributed mainly to slow sales of its Tundra pickup, as well as shortages of its fuel-efficient vehicles such as the Prius, Corolla and Yaris. In response, the company has announced plans to idle its truck plants, while shifting production at other facilities to manufacture in-demand vehicles.[19][20][21][22]
[edit]
Company overview
Concept i-unit
Concept PM
The Toyota Motor Company was awarded its first Japanese Quality Control Award at the start 1970s and began participating in a wide variety of Motorsports. Due to the 1973 oil crisis consumers in the lucrative U.S. market began turning to small cars with better fuel economy. American car manufacturers had considered small economy cars to be an "entry level" product, and their small vehicles were made to a low level of quality in order to keep the price low. Japanese customers, however, had a long-standing tradition of demanding small fuel-efficient cars that were manufactured to a high level of quality. Because of this, companies like Toyota, Honda, and Nissan established a growing presence in North America in the 1970s.
In 1982, the Toyota Motor Company and Toyota Motor Sales merged into one company, the Toyota Motor Corporation. Two years later, Toyota entered into a joint venture with GM called NUMMI, the New United Motor Manufacturing, Inc, operating an automobile manufacturing plant in Fremont, California. The factory was an old General Motors plant that had been closed for several years. Toyota then started to establish new brands at the end of the 1980s, with the launch of their luxury division Lexus in 1989.
In the 1990s Toyota began to branch out from producing mostly compact cars by adding many larger and more luxurious vehicles to its lineup, including a full sized pickup, the T100 (and later the Toyota Tundra), several lines of SUVs, a sport version of the Camry, known as the Camry Solara, and the Scion brand, a group of several affordable, yet sporty, automobiles targeted specifically to young adults. Toyota also began production of the world's best selling hybrid car, the Toyota Prius, in 1997.
With a major presence with Europe, due to the success of Toyota Team Europe, the corporation decided to set up TMME, Toyota Motor Europe Marketing & Engineering, to help market vehicles in the continent. Two years later, Toyota set up a base in the United Kingdom, TMUK, as the company's cars had become very popular among British drivers. Bases in Indiana, Virginia and Tianjin were also set up. In 1999, the company decided to list itself on the New York and London Stock Exchange.
With over 30 million sold, the Toyota Corolla is one of the best selling cars in the world.
In 2001, Toyota's Toyo Trust and Banking merged to form the UFJ, United Financials of Japan, which was accused of corruption by the Japan's government for making bad loans to alleged Yakuza crime syndicates with executives accused of blocking Financial Service Agency inspections.[23] The UFJ was listed among Fortune Magazine's largest money-losing corporations in the world, with Toyota's chairman serving as a director.[24] At the time, the UFJ was one of the largest shareholders of Toyota. As a result of Japan's banking crisis, the UFJ was merged again to become Mitsubishi UFJ Financial Group.
In 2002, Toyota managed to enter a Formula One works team and establish joint ventures with French motoring companies Citroën and Peugeot, a year after Toyota started producing cars in France.
On December 7, 2004, a U.S. press release was issued stating that Toyota would be offering Sirius Satellite Radios. However, as late as Jan. 27, 2007, Sirius Satellite Radio and XM Satellite radio kits were not available for Toyota factory radios.[citation needed] While the press release enumerated nine models, only limited availability existed at the dealer level in the U.S. As of 2008, all Toyota and Scion models have either standard or available XM radio kits. Major Lexus dealerships have been offering satellite radio kits for Lexus vehicles since 2005, in addition to factory-equipped satellite radio models.
In 2007, Toyota released an update of its full size truck, the Toyota Tundra, produced in two American factories, one in Texas and one in Indiana. "Motor Trend" named the Tundra "Truck of the Year," and the 2007 Toyota Camry "Car of the Year" for 2007. It also began the construction of two new factories, one to build the Toyota Rav4 in Woodstock, Ontario and the other to build the Toyota Highlander in Blue Springs, Mississippi. The company has also found recent success with its smaller models - the Corolla and Yaris - as gas prices have risen rapidly in the last few years.
[edit]
Toyota philosophy
Main article: The Toyota Way
iReal concept chair
Toyota's management philosophy has evolved from the company's origins and has been reflected in the terms "Lean Manufacturing" and Just In Time Production, which it was instrumental in developing.[25] The Toyota Way has four components: 1) Long-term thinking as a basis for management decisions, 2) a process for problem-solving, 3) adding value to the organization by developing its people, and 4) recognizing that continuously solving root problems drives organizational learning[26]. The Toyota Way incorporates the Toyota Production System.
[edit]
The Toyota Production System
Main article: Toyota Production System
Toyota has long been recognized as an industry leader in manufacturing and production. Three stories of its origin have been found, one that they studied Piggly-Wiggly's just-in-time distribution system, one that they followed the writings of W. Edwards Deming, and one that they were given the principles from an Army training program. It is possible that all are true. Regardless of the origin, the principles, described in Toyota's management philosophy, The Toyota Way, are as follows:
Base your management decisions on a long-term philosophy, even at the expense of short-term goals
Create continuous process flow to bring problems to the surface
Use “pull” systems to avoid overproduction
Level out the workload
Build a culture of stopping to fix problems, to get quality right the first time
Standardized tasks are the foundation for continuous improvement and employee empowerment
Use visual control so no problems are hidden
Use only reliable, thoroughly tested technology that serves your people and processes
Grow leaders who thoroughly understand the work, live the philosophy, and teach it to others
Develop exceptional people and teams who follow your company’s philosophy
Respect your extended network of partners and suppliers by challenging them and helping them improve
Go and see for yourself to thoroughly understand the situation (genchi genbutsu)
Make decisions slowly by consensus, thoroughly considering all options; implement decisions rapidly
Become a learning organization through relentless reflection and continuous improvement
[edit]
Operations
Toyota Pavilion at the Expo in Aichi
Toyota has grown to a large multinational corporation from where it started and expanded to different worldwide markets and countries by becoming the largest seller of cars in the beginning of 2007, the most profitable automaker ($11 billion in 2006) along with increasing sales in, among other countries, the United States. The world headquarters of Toyota are located in its home country in Toyota, Aichi, Japan. Its subsidiary, Toyota Financial Services sells financing and participates in other lines of business. Toyota brands include Scion and Lexus and the corporation is part of the Toyota Group. Toyota also owns majority stakes in Daihatsu, and 8.7% of Fuji Heavy Industries, which manufactures Subaru vehicles. They also acquired 5.9% of Isuzu Motors Ltd. on November 7, 2006 and will be introducing Isuzu diesel technology into their products.
Toyota has introduced new technologies including one of the first mass-produced hybrid gas-electric vehicles, of which it says it has sold 1 million globally (2007-06-07) [27], Advanced Parking Guidance System (automatic parking), a four-speed electronically controlled automatic with buttons for power and economy shifting, and an eight-speed automatic transmission. Toyota, and Toyota-produced Lexus and Scion automobiles, consistently rank near the top in certain quality and reliability surveys, primarily J.D. Power and Consumer Reports.[28]
In 2005, Toyota, combined with its half-owned subsidiary Daihatsu Motor Company, produced 8.54 million vehicles, about 500,000 fewer than the number produced by GM that year. Toyota has a large market share in the United States, but a small market share in Europe. Its also sells vehicles in Africa and is a market leader in Australia. Due to its Daihatsu subsidiary it has significant market shares in several fast-growing Southeast Asian countries.[29]
Toyota Century is the official state car of the emperor Akihito.
according to the 2008 Fortune Global 500, Toyota Motor is the fifth largest company in the world. Since the recession of 2001, it has gained market share in the United States. Toyota's market share struggles in Europe where its Lexus brand has three tenths of one percent market share, compared to nearly two percent market share as the U.S. luxury segment leader.
In the first three months of 2007, Toyota together with its half-owned subsidiary Daihatsu reported number one sales of 2.348 million units. Toyota's brand sales had risen 9.2% largely on demand for Corolla and Camry sedans. The difference in performance was largely attributed to surging demand for fuel-efficient vehicles. In November 2006, Toyota Motor Manufacturing Texas added a facility in San Antonio. [30] Toyota has experienced quality problems and was reprimanded by the government in Japan for its recall practices.[31] Toyota currently maintains over 16% of the US market share and is listed second only to GM in terms of volume. [32] Toyota Century is the official state car of the Japanese imperial family, namely for the Emperor of Japan Akihito.
[edit]
Worldwide presence
Toyota has factories all over the world, manufacturing or assembling vehicles for local markets, including the Corolla. Toyota has manufacturing or assembly plants in Japan, Australia, India, Canada, Indonesia, Poland, South Africa, Turkey, the United Kingdom, the United States, France, Brazil, Portugal, and more recently Pakistan, Argentina, Czech Republic, Mexico, Malaysia, Thailand, China, Vietnam, Venezuela, the Philippines, and Russia.
In 2002, Toyota initiated the "Innovative International Multi-purpose vehicle" project (IMV) to optimize global manufacturing and supply systems for pickup trucks and multipurpose vehicles, and to satisfy market demand in more than 140 countries worldwide. IMV called for diesel engines to be made in Thailand, gasoline engines in Indonesia and manual transmissions in the Philippines, for supply to the countries charged with vehicle production. For vehicle assembly, Toyota would use plants in Thailand, Indonesia, Argentina and South Africa. These four main IMV production and export bases supply Asia, Europe, Africa, Oceania, Latin America and the Middle East with three IMV vehicles: The Toyota Hilux (Vigo), the Toyota Fortuner, and the Toyota Innova.[33]
Toyota has invested considerably into cleaner-burning vehicles such as the Toyota Prius, based on technology such as the Hybrid Synergy Drive. In 2002, Toyota successfully road-tested a new version of the RAV4 which ran on a Hydrogen fuel cell. Scientific American called the company its Business Brainwave of the Year in 2003 for commercializing an affordable hybrid car.
[edit]
Toyota North America This section does not cite any references or sources.
Please help improve this section by adding citations to reliable sources. Unverifiable material may be challenged and removed. (June 2008)
Main article: Toyota Motor Engineering & Manufacturing North America
The Toyota Camry is assembled in several facilities around the world including Australia, China (PRC and ROC), Japan, Malaysia, Philippines, Russia, Thailand, and the United States.
Toyota Motor North America headquarters is located in New York City and operates at a holding company level in North America. Its manufacturing headquarters is located in Hebron, Kentucky, and is known as Toyota Motor Engineering and Manufacturing North America, or TEMA.
Toyota has a large presence in the United States with five major assembly plants in Huntsville, Alabama; Georgetown, Kentucky; Princeton, Indiana; San Antonio, Texas; Buffalo, West Virginia; and a new one being built in Blue Springs, Mississippi. Toyota also has a joint-venture operation with General Motors at New United Motor Manufacturing Inc. (NUMMI), in Fremont, California, which began in 1984, and with Subaru at Subaru of Indiana Automotive, Inc. (SIA), in Lafayette, Indiana, which started in 2006. Production on a new manufacturing plant in Tupelo, Mississippi is scheduled for completion in 2010. North America is a major automobile market for Toyota. In these assembly plants, the Toyota Camry and the 2007 Toyota Tundra are manufactured, among others.
Toyota marketing, sales, and distribution in the U.S. are conducted through a separate subsidiary, Toyota Motor Sales, U.S.A., Inc. Toyota uses a number of slogans in its American TV commercials such as It's time to move forward, Smart way to keep moving forward, or Moving forward. It has started producing larger trucks, such as the new Toyota Tundra, to go after the large truck market in the United States. Toyota is also pushing hybrid vehicles in the US such as the Toyota Prius, Toyota Camry Hybrid, Highlander Hybrid, and various Lexus products.
Toyota has sold more hybrid vehicles in the country than any other manufacturer. Toyota is a public corporation and the company's shares are traded on the Tokyo Stock Exchange, New York Stock Exchange and the London Stock Exchange. Toyota also sponsors Chivas de Guadalajara.
[edit]
United States employees and investments
Toyota directly employed around 34,675 people in the United States, invested USD $15.5 billion, produced 1.2 million vehicles using US and foreign auto parts, sold 2.54 million vehicles, and donated USD $340 million to nonprofits. [34] It has in total 10 plants, USD $2.9 billion per year payroll, purchased USD $28 billion in parts and supplies from 30 states. It created around 386,000 jobs in the United States as result of Toyota's spending and demand from suppliers. It celebrated its 50th year anniversary in the United States in 2008.[35]
Outcomes
Toyota is now the world’s largest automaker in terms of net worth, revenue, and profits. According to Stephen Spier, Toyota has been an industry leader since the 1960s and has consistently been more productive than its competitors. The company has been widely recognized for the quality of its products and production systems:“ In 2001, Toyota continued to maintain industry leadership. Consumer Reports rated Toyota models first in four of ten product categories. In a separate 2001 study of initial quality, J.D. Power and Associates rated Toyota and Lexus products first in 7 of 16 product categories. Toyota’s Kyushu car plant was rated the best in the world, with Toyota’s Tahara car plant second in Asia and the Kyushu truck plant third. In North America, Toyota’s Cambridge Ontario plant was first, and the Georgetown Kentucky Camry plant tied for second. Despite industry-wide difficulties, Toyota’s market share and capitalization continued to grow. Worker involving, problem-solving processes at the NUMMI plant, specifically, a TPS-managed joint venture with General Motors, were a source of performance superiority.[52] ”
[edit]
Environmental record
The Toyota Motor Corporation (TMC) implemented its Fourth Environmental Action Plan in 2005. The plan contains four major themes involving the environment and the corporation's development, design, production, and sales. The five-year plan is directed at the, "arrival of a revitalized recycling-based society."[53] Toyota had previously released its Eco-Vehicle Assessment System (Eco-VAS) which is a systematic life cycle assessment of the effect a vehicle will have on the environment including production, usage, and disposal. The assessment includes, "... fuel efficiency, emissions and noise during vehicle use, the disposal recovery rate, the reduction of substances of environmental concern, and CO2 emissions throughout the life cycle of the vehicle from production to disposal."[54] 2008 marks the ninth year for Toyota's Environmental Activities Grant Program which has been implemented every year since 2000. Themes of the 2008 program consist of "Global Warming Countermeasures" and "Biodiversity Conservation." [55]
Since October 2006, Toyota's new Japanese-market vehicle models with automatic transmissions are equipped with an Eco Drive Indicator. The system takes into consideration rate of acceleration, engine and transmission efficiency, and speed. When the vehicle is operated in a fuel-efficient manner, the Eco Drive Indicator on the instrument panel lights up. Individual results vary depending on traffic issues, starting and stopping the vehicle, and total distance traveled, but the Eco Drive Indicator may improve fuel efficiency by as much as 4%.[56] Along with Toyota's eco-friendly objectives on production and use, the company plans to donate $1 million and five vehicles to the Everglades National Park. The money will be used to fund environmental programs at the park. This donation is part of a program which provides $5 million and 23 vehicles for five national parks and the National Parks Foundation. [57]
Despite its many environmental advances, corporate watchdog Corporate Accountability International (CAI) selected the Toyota Motor Corporation as one of its nominees (along with Archer Daniels Midland, Countrywide, Mattel, Nestle, Blackwater, Wal-Mart, and Wendy’s) for its 2008 “Corporate Hall of Shame” elections. CAI states that Toyota is contributing to inaction on global warming. The watchdog group claims that "the company has hypocritically crafted an image as a corporate ally in the fight against climate change while working behind the scenes to stop greenhouse gas mandates from becoming law." The group points out that Toyota, has opposed “clean cars” legislation in many U.S. states, and is employing "aggressive lobbying efforts" to prevent legislation to limit gas-guzzling vehicles by 2020.[58]
According to CAI, despite the green image surrounding the Prius, the company's hybrid sales are only part of its story. Toyota also produces the 14-mile-per-gallon (mpg) Tundra pickup truck and other “gas guzzlers” which lower the company’s fleet-wide fuel efficiency to "levels below what they were several decades ago."[58]
Renault
Renault S.A. (Euronext: RNO) is a French automaker producing cars, vans, buses, tractors, and trucks. Due to its alliance with Nissan, it is currently the world's 4th largest automaker.[2]
It owns the Romanian automaker Dacia and the Korean automaker Renault Samsung Motors and Carlos Ghosn is the current CEO. The company's most successful car to date is the Renault Clio, and its core market is France.[2]
The company is well known for numerous revolutionary designs, security technologies, and motor racing.
Foundation and early years (1898–1918)
Producing cars since late 1898, the Renault corporation was founded in 1899 as Société Renault Frères by Louis Renault, his brothers Marcel and Fernand, and his friends Thomas Evert and Julian Wyer. Louis was a bright, aspiring young engineer who had already designed and built several models before teaming up with his brothers, who had honed their business skills working for their father's textiles firm. While Louis handled design and production, Marcel and Fernand handled company management.
The first Renault car, the Renault Voiturette 1CV was sold to a friend of Louis' father after giving him a test ride on December 24, 1898. The client was so impressed with the way the tiny car ran and how it climbed the streets that he bought it.
The brothers immediately recognised the publicity that could be obtained for their vehicles by participation in motor racing and Renault made itself known through achieving instant success in the first city-to-city races held in Switzerland, resulting in rapid expansion for the company. Both Louis and Marcel Renault raced company vehicles, but Marcel was killed in an accident during the 1903 Paris-Madrid race. Although Louis Renault never raced again, his company remained very involved, including Ferenc Szisz winning the first ever Grand Prix motor racing[3] event in a Renault AK 90CV in 1906. Louis was to take full control of the company as the only remaining brother in 1906 when Fernand retired for health reasons.
The Renault reputation for innovation was fostered from very early on. In 1899, Renault launched the first production sedan car. At the time, cars were very much luxury items, and the price of the smallest Renaults available being 3000 francs reflected this; an amount it would take ten years for the average worker at the time to earn. As well as cars, Renault manufactured taxis, buses and commercial cargo vehicles in the pre-war years, and during World War I (1914–18) branched out into ammunition, military airplanes and vehicles such as the revolutionary Renault FT-17 tank. Company's military designs were so successful that Renault himself was honoured by the Allies for his company's contributions to their victory.[citation needed] By the end of the war, Renault was the number one private manufacturer in France.[citation needed]
[edit]
Between the world wars (1919–38)
Louis Renault enlarged the scope of his company after 1918, producing agricultural and industrial machinery. However, Renault struggled to compete with the increasingly popular small, affordable "people's cars", while problems with the stock market and the workforce also adversely affected the company's growth. Renault also had to find a way to distribute its vehicles more efficiently. In 1920, he signed one of its first distribution contracts with Gustave Gueudet, an entrepreneur from northern France.
The pre-First World War cars had a distinctive front shape caused by positioning the radiator behind the engine to give a so called "coalscuttle" bonnet. This continued through the 1920s and it was not until 1930 that all models had the radiator at the front. The bonnet badge changed from circular to the familiar and continuing diamond shape in 1925. Renault models were introduced at the Paris Motor Show which was held in September or October of the year. This has led to a slight confusion as to vehicle identification. For example a "1927" model was mostly produced in 1928.
Renault produced a range of cars from small to very large. For example in 1928 which was the year when Renault produced 45,809 cars the range of 7 models started with a 6cv, a 10cv, the Monasix, 15cv, the Vivasix, the 18/24cv and the 40cv. There was a range of factory bodies, of up to 8 styles, and the larger chassis were available to coachbuilders. The number of a model produced varied with size. The smaller were the most popular with the least produced being the 18/24cv. The most expensive factory body style in each range was the closed cars. Roadsters and tourers (torpedoes) were the cheapest.
The London operation was very important to Renault in 1928. The UK market was quite large and from there "colonial" modified vehicles were dispatched. Lifted suspensions, enhanced cooling and special bodies were common on vehicles sold to the colonies. Exports to the USA by 1928 had almost reduced to zero from their high point prior to WW1 when to ship back a Grand Renault or similar high class European manufactured car was common. A NM 40cv Tourer had a USA list price of over $4,600 being about the same as a V12 Cadillac Tourer. Closed 7 seat limousines started at $6,000 which was more expensive than a Cadillac V16 Limousine.
The whole range was conservatively engineered and built. The newly introduced 1927 Vivasix, model PG1, was sold as the "executive sports" model. Lighter weight factory steel bodies powered by a 3180 cc six cylinder motor provided a formula that went through to the Second World War.
The "de Grand Luxe Renaults", that is any with over 12-foot (3.7 m) wheelbase (3.68m), were produced in very small numbers in two major types - six and eight cylinder. The 1927 six cylinder Grand Renault models NM, PI and PZ introduced the new three spring rear suspension that considerably aided road holding that was needed as with some body styles over 90 mph (140 km/h) was possible. The 8 cylinder Reinastella was introduced in 1929. This model lead on to a range culminating in the 1939 Suprastella. All Grand Renaults from 1923 are classed as classics by CCCA. Coachbuilders included Kellner, Labourdette, J.Rothschild et Fils and Renault bodies. Closed car Renault bodies were often trimmed and interior wood work completed by Rothschild.
Renault also introduced in 1928 an upgraded specification to the larger cars designated "Stella". Vivastella's and Grand Renaults had upgraded interior fittings and had a small star fitted above the front hood Renault diamond. This proved to be a winning marketing differentiator and in the 1930s all cars changed to the Stella suffix from the previous two alpha character model identifiers.
The Grand Renaults were built using a considerable amount of aluminium. Engines, brakes, transmissions, floor and running boards and all external body panels were aluminium. Unfortunately of the few that were built many went to scrap to aid the War effort.
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World War II and after (1939–71)
During World War II, Louis Renault's factories worked for Nazi Germany producing trucks with work on cars officially forbidden. He was, for this reason, arrested during the liberation of France in 1944 and died in prison before having prepared his defense. An autopsy later showed that his neck had been broken, suggesting that he was murdered. His industrial assets were seized by the provisional government of France. The Renault factories became a public industry (known as Régie Nationale des Usines Renault) under the leadership of Pierre Lefaucheux.
In the years immediately following its nationalisation Renault experienced something of a resurgence, led by the rear engine 4CV model, which was launched in 1946 and proved itself a capable rival for cars such as the Morris Minor and Volkswagen Beetle, its success (more than half a million sold) making sure it remained in production until 1961. There was also a large mechanically conventional 2-litre 4-cylinder car, the Renault Fregate, from 1951 to 1960.
As with earlier Renault models, the company made extensive use of motor racing to promote the 4CV, the car winning both the Le Mans 24 Hours and Mille Miglia races as well as the Monte Carlo rally. However, despite the success of its flagship model, the company continued to be blighted by labor unrest, and indeed continued to be well into the 1980s.
1956 Renault 4CV
The 4CV's replacement, the Dauphine, sold extremely well as the company expanded production and sales further abroad, including Africa and North America. The car did not sell well in North America and it was outdated by the start of the 1960s. In an attempt to revive its flagging fortunes, Renault launched two cars which were to become phenomenally successful — the Renault 4 and Renault 8 in 1961 and 1962 respectively. The R8 continued Renault's traditional rear-engined layout, but the R4 started the revolution to front engined/front wheel drive. R4 production continued until 1992. The larger rear-engined Renault 10 followed the success of the R8, but was the last of the rear-engined Renaults. The company achieved success with the more modern and more upmarket Renault 16 launched in 1966, which continued Renault's reputation for innovation by being the world's first hatchback larger than subcompact size. The smaller Renault 6 followed, in the style of the R16.
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Modern era (1972–80)
The new Renault corporate logo introduced in 1972, as part of the major brand revamp carried out to coincide with the launch of the Renault 5 hatchback.
The company's compact and economical Renault 5 model, launched in 1972, was another success, particularly in the wake of the 1973 energy crisis. The R5 remained in production until 1984 when it was replaced by the Super5. The formula was much the same however, and the Super5 inherited its styling lines from its father (however with a transversal engine, as opposed to the longitudinal engine inherited by the first generation Renault 5 from the Renault 4). Soon after, the four-door Renault 12 model slotted into the Renault range between the R6 and the R16, and introduced a new styling theme. Throughout the '70s the R4, R5, R6, R12 and R16 maintained Renault's production. In the '80s the latter two were replaced by the R9 (and its R11 sedan variation) and the R15/R17 sport coupes. Both the R15/R17 were essentially identical two-door coupes, but while the R15 had a large glassy greenhouse, the R17 had thick pillars behind the doors, with slatted windows, to make it look the sportier of the two.
Endangered like all of the motor industry by the energy crisis, during the mid seventies the already expansive company diversified further into other industries and continued to expand globally, including into South East Asia. The energy crisis also provoked Renault's attempt to reconquer the North American market; despite the Dauphine's success in the United States in the late 1950s, and an unsuccessful car-assembly project in Saint-Bruno-de-Montarville, Quebec, (1964–72), Renault as a stand-alone brand, began to disappear from North America at the end of the '70s.
Throughout the decades Renault developed a collaborative partnership with Rambler and its successor American Motors Corporation (AMC). From 1962 to 1967, Renault assembled complete knock down (CKD) kits of the Rambler Classic sedans in its factory in Belgium. Renault did not have large or luxury cars in its product line and the "Rambler Renault" was aimed as an alternative to the Mercedes-Benz "Fintail" cars. Similar to the fate of some of these Mercedes cars at the time, many of these "American" Renaults finished their life working as taxis. Later, Renault would continue to make and sell a hybrid of AMC's Rambler American and Rambler Classic called the Renault Torino in Argentina (sold through IKA-Renault). Renault partnered with AMC on other projects, such as development of a rotary concept engine in the late 60s, and would eventually own AMC in 1980.
1965 Renault Rambler sales brochure
This was one of a series of collaborative ventures undertaken by Renault in the late 1960s and 1970s, as the company established subsidiaries in Eastern Europe, most notably Dacia in Romania, and South America (many of which remain active to the present day) and forged technological cooperation agreements with Volvo and Peugeot (for instance, for the development of the PRV V6 engine, which was used in Renault 30, Peugeot 604, and Volvo 260 in the late 1970s.).
In the mid 1960s an Australian arm, Renault Australia, was set up in Heidelberg, Melbourne, the company would produce and assemble models from the R8, R10, R12, R16, sporty R15, R17 coupe's to the R18 and R20, soon the company would close in 1981. Interestingly Renault Australia did not just concentrate on Renaults, they also built and marketed Peugeots as well. From 1977, they assembled Ford Cortina station wagons under contract- the loss of this contract led to the closure of the factory.
1974 Renault 15 coupe
In North America, Renault formed a partnership with AMC, lending AMC operating capital and buying a small percentage of the company in late 1979. Jeep was keeping AMC afloat until new products, particularly the XJ Cherokee, could be launched. When the bottom fell out of the 4x4 truck market in early 1980 AMC was in danger of going bankrupt. To protect its investment Renault bailed AMC out with a big cash influx — at the price of a controlling interest in the company — 47.5%. Renault quickly replaced some top positions in AMC with their own people.
The Renault–AMC partnership also resulted in the marketing of Jeep vehicles in Europe. Some consider the Jeep XJ Cherokee as a joint AMC/Renault project since some early sketches of the XJ series was done as a collaboration of both Renault and AMC engineers (AMC insisted that the XJ Cherokee was designed by AMC personnel; however, a former Renault engineer designed the Quadra-Link front suspension for the XJ series). The Jeep also used wheels and unique rocking seats from Renault. Part of AMC's overall strategy when the partnership was first discussed was to save manufacturing cost by using Renault sourced parts when practical, and some engineering expertise. This led to the improvement of the venerable AMC in-line six — a Renault/Bendix based port electronic fuel injection system (usually called Renix) that transformed it into a modern, competitive powerplant with a jump from 110 hp (82 kW) to 177 hp (132 kW) with less displacement (4.0L vs. 4.2L).
The Renault-AMC marketing effort in passenger cars was not as successful compared to the popularity for Jeep vehicles. This was because by the time the Renault range was ready to become established in the American market, the second energy crisis was over, taking with it much of the trend for economical, compact cars.
One exception was the Renault Alliance (Renault 9), which debuted for the 1983 model year. Assembled at AMC's plant in Kenosha, Wisconsin, the Alliance was an instant hit with more economically minded buyers. Motor Trend gave its domestic Car of The Year award for 1983 to the Alliance, a surprising pick to many. The Alliance's 72% U.S. content allowed it to qualify as a domestic vehicle, making it the first car with a foreign nameplate to win the award. (In 2000, Motor Trend did away with separate awards for domestic and imported vehicles.)
Renault sold some interesting models in the U.S. in the 1980s, especially the simple-looking but fun Renault Alliance GTA and GTA convertible — a real automatic-top convertible with a simple but clean euro-style design featuring a gently sloping hood, as well as a 2.0 L engine — big for a car of its class; and the ahead-of-its-time Renault Fuego coupe, which generated some excitement. The Alliance was followed by the Encore (Renault 11), an Alliance-based hatchback. This burst of success in the United States proved to be short-lived, though.
Renault's Wisconsin-built and imported models quickly became the target of customer complaints for poor quality, and sales plummeted. Eventually, Renault sold AMC to Chrysler in 1987 after the assassination of Renault’s chairman, Georges Besse. The Renault Medallion (Renault 21 in Europe) sedan and wagon was sold from 1987 to 1989 through Jeep-Eagle dealerships. Jeep-Eagle was the new division Chrysler created out of the former American Motors. However, Renault products were no longer imported into the United States after 1989. Rumors have since persisted about Renault's return to the U.S. market; all of them have been unfounded.
A completely new full-sized 4-door sedan, the Eagle Premier, was developed during the partnership between AMC and Renault. The Premier design, as well as its state-of-the-art manufacturing facility in Bramalea, Ontario, Canada, were the starting point for the sleek LH sedans such as the Eagle Vision and Chrysler 300M.
In the late seventies and early eighties Renault increased its involvement in motorsport, with novel inventions such as turbochargers in their Formula One cars. The company's road car designs were revolutionary also — the Renault Espace was one of the first minivans and was to remain the most well-known minivan in Europe for at least the next two decades. The second-generation Renault 5, the European Car of the Year-winning Renault 9, and the most luxurious Renault yet, the 25 were all released in the early 1980s, building Renault's reputation, but at the same time the company suffered from poor product quality which reflected badly in the image of the brand and the ill-fated Renault 14 is seen by many as the culmination of these problems in the early 1980s.
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Restructuring (1981–95)
1986 Renault 21 berline and Renault 4 (right)
Although its cars were somewhat successful both on the road and on the track, Renault was losing a billion francs a month and reported a deficit of 12.5 billion in 1984. The government intervened and Georges Besse was installed as chairman; he set about cutting costs dramatically, selling off many of Renault's non-core assets, withdrawing almost entirely from motorsports, and laying off many employees. This succeeded in halving the deficit by 1986, but he was murdered by the left wing terrorist group Action Directe in November 1986. He was replaced by Raymond Lévy, who continued along the same lines as Besse, slimming down the company considerably with the result that by the end of 1987 the company was more or less financially stable.
A revitalised Renault launched several successful new cars in the early 1990s, including the phenomenally successful 5 replacement the Clio, the second-generation Espace, the innovative Twingo, the Laguna, and the 19. In the mid-1990s the successor to the R19, the Renault Mégane, was the first car ever to achieve a 4-star rating, the highest at the time, in EuroNCAP crash test in passenger safety. In 1998 Renault introduced Mégane Scénic, a completely new class of cars, a compact monospace with a footprint of a regular Mégane. The return to success on the road was matched by a return to success on the racetrack — Renault-powered cars won the Formula One World Championship in 1992, 1993, 1996 and 1997 with Williams, and in 1995 with Benetton.
Throughout this period, Renault's European advertising famously made extensive use of Robert Palmer's song "Johnny And Mary." The earlier television advertisements used Palmer's original version, while a range of special recordings in different styles were produced during the 1990s; most famously Martin Taylor's acoustic interpretation which he released on his album Spirit of Django. Taylor recorded many alternate versions for Renault; the last being in 1998 for the launch of the all-new Renault Clio.
[edit]
Privatization (1996–99)
It was eventually decided that the company's state-owned status was detrimental to its growth, and Renault was privatized in 1996. This new freedom allowed the company to venture once again into Eastern Europe and South America, including a new factory in Brazil and upgrades for the infrastructure in Argentina and Turkey. It also meant the end of the aforementioned successful Formula 1 campaign.
In the twenty-first century, Renault was to foster a reputation for distinctive, outlandish design. The second generation of the Laguna and Mégane featured ambitious, angular designs which turned out to be highly successful. Less successful were the company's more upmarket models. The Avantime, a bizarre coupé / multi-purpose mix vehicle, sold very poorly and was quickly discontinued while the luxury Vel Satis model did not sell as well as hoped. However, the design inspired the lines of the second generation Mégane, the most successful car of the maker. As well as its distinctive styling, Renault was to become known for its car safety; currently, it's the car manufacturer with the largest number of models achieving the maximum 5 star rating in EuroNCAP crash tests. The Laguna was the first Renault to achieve a 5 star rating; in 2004 the Modus was the first to achieve this rating in its category.
The government of France owns 15.7 per cent of the company. Louis Schweitzer has been the Chairman of Renault since 1992 and was CEO from 1992 to 2005. In 2005, Carlos Ghosn (also CEO of Nissan) became Renault's CEO, with Louis Schweitzer staying on as Chairman.
Renault owns Samsung Motors (Renault Samsung Motors) and Dacia, as well as retaining a minority (but controlling) stake (20%) in the Volvo Group. (Volvo passenger cars are now a subsidiary of the Ford Motor Company). Renault bought 99% of the Romanian company Dacia, thus returning after 30 years, in which time the Romanians built over 2 million cars, which primarily consisted of the Renault 8, 12 and 20.
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The Renault Nissan Alliance (2000– ) It has been suggested that this section be split into a new article entitled Renault-Nissan. (Discuss)
2004 Renault Megane II
Signed on March 27, 1999, the Renault–Nissan Alliance is the first of its kind involving a Japanese and a French company, each with its own distinct corporate culture and brand identity, linked through cross-shareholding. Renault has a stake of 44.4 percent in The Japanese automaker Nissan, while Nissan in turn has a 15 percent stake (non-voting) in Renault.
For 2004 Renault reported a 43% rise in net income to €3.5 billion and 5.9% operating margin, of which Nissan contributed €1,767 million. The Group (Renault, Dacia, Renault Samsung Motors) posted a 4.2% increase in worldwide sales to a record 2,489,401 vehicles, representing a global market share of 4.1%. Renault retained its position as the leading brand in Europe with 1.8 million passenger cars and light commercial vehicles sold and market share of 10.8%.
The Renault–Nissan Alliance holds 9.8% of the worldwide market (5.74% for Nissan and 4.04% for the Renault group) with sales of 3,597,748 (Nissan) and 2,531,500 (Renault Group), placing the alliance fourth after GM, Toyota, and Ford, 2005.[4]
The marketing success was also matched by success of their return to the Formula 1 circuit as a manufacturer again after buying the Benetton team. The team went on to win both World Drivers and Constructors championships in 2005 and 2006 ahead of the vastly more experienced Ferrari and McLaren teams.
Global locations of Renault factories
Renault is exhibiting a Hi-Flex Clio 1.6 16v at the 2006 Paris International Agricultural Show. This vehicle, which addresses the Brazilian market, features Renault-developed flexible-fuel engine technology, with a highly versatile engine that can run on fuel containing petrol and ethanol in any proportion (0% to 100% of either).
On June 30, 2006, the media reported that General Motors convened an emergency board meeting to discuss a proposal by shareholder Kirk Kerkorian to form an alliance between GM and Renault-Nissan. The hastily arranged meeting suggests that GM's board was treating Kerkorian's proposal with urgency. Coincidentally, unsubstantiated rumours have been circulating about Renault's possible return to the U.S. market. There has been speculation that a GM–Renault–Nissan alliance could pave the way for Renault's return to the U.S. market, since GM could eliminate some of its less profitable brands, and offer Renault franchises to dealerships that would otherwise close.
However, GM CEO Richard Wagoner felt that an alliance would benefit Renault's shareholders more than those of GM, and that GM should receive some compensation for it. This did not sit well with Renault; subsequently, talks between GM and Renault ended on October 4, 2006.
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Investment in VAZ
On February 29, 2008, Renault acquired a blocking stake in the largest Russian automaker VAZ. For a long time needing to modernize its technology, VAZ was seeking a strategic partnership since the late nineties. Its owners tried to form an alliance with various foreign auto manufacturers, such as General Motors. Most of these attempts weren't all that successful, however, and generally fell through.
Renault was in talks with VAZ on and off since 2005, initially insisting on CKD assembly of Logan cars on its facilities, while VAZ intended to keep its own Lada brand and only wished to acquire a new platform and engine. After several rounds of talks, between which VAZ also sought alliance with Fiat and Magna, Renault agreed to the partnership under terms not unlike the earlier Nissan deal.
Renault and VAZ major stockholder, state corporation Rosoboronexport, are to form a holding, jointly owning 50% share in VAZ, with the French side receiving several key positions in the new management structure, such as Chief Operational Officer, Chief Financial Officer and Chief Engineer. In return, Renault is to supply a new platform for the Lada brand and assist in plant modernization.
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Possible Industry Realignment (2008)
On October 7, 2008, the Wall Street Journal reported that a Renault executive said the company was interested in acquiring or partnering with Chrysler, which is owned by the private equity firm Cerberus Capital Management.[5] On October 11, 2008, the New York Times reported that General Motors, Nissan and Renault had all been in discussions over the past month with Cerberus about acquiring Chrysler.[6]
[edit]
Corporate governance
Current members of the board of directors of Renault are:
Yves Audvard
Michel Barbier
Alain Champigneux
François de Combret
Charles de Croisset
Carlos Ghosn
Jean-Louis Girdolle
Itaru Koeda
Marc Ladreit de Lacharrière
Dominique de La Garanderie
Bernard Larrouturou
Henri Martre
Jean-Claude Paye
François Pinault
Franck Riboud
Louis Schweitzer
Georges Stcherbatcheff
Robert Studer
[edit]
Timeline This section does not cite any references or sources.
Please help improve this section by adding citations to reliable sources. Unverifiable material may be challenged and removed. (June 2008)
1898 - Louis Renault founded Renault
1903 - Marcel Renault dies in a car accident
1912 - A Renault car was loaded onto the RMS Titanic at Southampton dock.
1943 - The Renault factory in Billancourt is attacked by the Allies.
1944 - Louis Renault dies in prison after being arrested on charges of collaborating with the Nazis during WWII.
1944 - Renault nationalized by the French Government in response to the Nazi collaboration charges against its founder.
1961 - The Renault 4 goes on sale to give Renault a practical competitor for the likes of the Citroën 2CV and Volkswagen Beetle.
1965 - Renault launches the world's first production hatchback - the Renault 16.[citation needed]
1971 - Renault launches the Renault 15 and Renault 17 two-door coupes, giving it a serious competitor for the Ford Capri.
1972 - Renault enters the new "supermini" market with its R5 hatchback, one of the first such cars in this sector. On its launch, the R5 only has three similar competitors - the Fiat 127, Autobianchi A112 and Peugeot 104.
1976 - The Renault 5 Alpine is launched, giving the marque its first entrant into the Hot hatch market. Possibly one of the very first hot hatches, going into production in the same year as the Volkswagen Golf GTI.
1977 - Renault enters the small family hatchback market with the 14, which is one of Europe's first hatchbacks of this size.
1979 - Renault buys a stake in American Motors, with a view to establishing itself on the American market.
1980 - Renault launches the 5 Turbo, which is designed as a rally car but does include roadgoing versions. It ditches the front-drive, front-engined layout for a mid-mounted engine (in place of the rear seats) and rear-wheel drive.
1981 - Renault launches the 9 a four-door saloon, a modern three-box design which is designed to keep the market interest in saloons at a time when hatchbacks are becoming the norm in this sector. It is voted European Car of the Year.
1982 - Renault becomes the second European automaker to build cars in the United States, after Volkswagen. The Alliance, the North American version of the 9, is manufactured in Wisconsin by American Motors and debuts as a 1983 model. It is voted Car of the Year by Motor Trend.
1983 - Renault launches the 11 - a hatchback version of the R9. It gives Renault its first serious rival to the Volkswagen Golf. It goes on sale in the fall in the United States as the Encore.
1984 - Renault enters the executive car market with the large 25 hatchback, aimed directly at the likes of the Ford Granada, Rover SD1 and Opel Rekord.
1985 - Renault launches the Espace - Europe's first multi-purpose vehicle. It gains praise from all over Europe thanks to its unique practicality and innovation.
1986 - On April 9 the Government of France rules against the privatization of Renault.
1986 - Renault replaces the 18 with the all-new R21 saloon and Savanna seven-seater estate.
1987 - Renault sells its stake in American Motors to Chrysler.
1988 - The 9 and 11 ranges are replaced by a single model, the 19, which is praised for its excellent ride and handling, as well as the frugality and refinement of its diesel engines.
1990 - Renault launches the Clio supermini, designed as an eventual replacement for the Renault 5. The Clio is the first new model of a generation which will see the numeric models replaced by new cars with traditional nameplates. It sets supermini benchmarks for build quality, comfort and space, and is voted European Car of the Year.
1991 - The Renault 19 becomes available as a cabriolet, and a mild facelift sees the standard range's exterior styling refreshed.
1992 - Louis Schweitzer becomes president of Renault group.
1992 - Renault moves into the city car market with its Twingo, a small hatchback with a "cube" design that maximises interior space, though it is only built with left-hand drive. It re-enters the executive market with the Safrane, an ultramodern large hatchback which replaces the R25.
1995 - Renault 5 production finishes after nearly a quarter of a century. It had been produced in Slovenia since the launch of the Clio in 1990.
1995 - Renault replaces the Renault 19 with the Megane, a range of hatchbacks, saloons, estates, coupes and cabriolets.
1996 - Renault enters the new "compact MPV" market with its Megane-based Scenic. It is voted European Car of the Year, fighting off competition from the Ford Ka and Volkswagen Passat
1996 - The company was privatised to create Renault S.A.
1997 - The all-new Espace goes on sale with a more upmarket image than its predecessor, that served the company for over 10 years.
1998 - The second generation Clio is launched, using an all-new body and being one of the most competitively-priced European superminis, though its styling is not to all tastes.
1999 - Renault purchased a 36.8 percent equity stake in Nissan, the almost bankrupt Japanese car maker, by injecting US$3.5 billion to obtain effective control of the company under Japanese law. Renault vice-president, Carlos Ghosn was parachuted in to turn round the ailing firm. Nissan also owns 15% of Renault in turn.
1999 - Renault purchased a 99 percent stake in Romanian car maker Dacia for US$50 mln ; so, Renault is back in Piteşti after 30 years. Renault has invested more than US$1.7 billion between 2000 and 2007.
2000 - Renault launches the Laguna II - the first European family car to feature "keyless" entry and ignition.
2001 - Renault sold its industrial vehicle subdivision (Renault Véhicules Industriels) to Volvo, which renamed it Renault Trucks in 2002. The Clio undergoes a major facelift and the launch of a 1.5 direct-injection diesel engine to keep it competitive in the supermini sector.
2002 - Benetton Formula One team formally becomes Renault F1, Renault increases its stake in Nissan to 44.4 percent.
2002 - Renault gains another European Car of the Year success with its second generation Megane, a quirky-looked car which is set to form the basis of Nissan's Almera replacement later in the decade.
2003 - Renault expands in Megane hatchback range with coupe-cabriolet, estate (SportsTourer) and sedan (SportsSaloon) variants.
2004 - The Renault factory in Billancourt is demolished.
2005 - Carlos Ghosn becomes president.
2005 - The Clio III is elected European Car of the Year 2006 and gains plaudits from all over Europe for its class-leading qualities. The previous generation Clio is set to continue for a while until the Twingo II goes on sale. Renault F1 win the constructors world championship as well as the drivers championship.
2006 - In February, Carlos Ghosn announced the "Renault Commitment 2009" plan focusing on three main goals :
sell 800 000 more cars than in 2006
Reach an operating margin of 6%
Place the new Laguna in terms of quality and service rate.
The same year, Renault and Nissan engaged talkes with General Motors to study a potential alliance. This approach was finally abandoned due to the fact that GM asked for money as "entry ticket" from Renault. Renault F1 win the constructors world championship as well as the drivers championship for the second year in succession.
2007 - The third generation Laguna is introduced, with the objective to strengthen Renault's position in the large family car sector.
2008 - Job-cut plan (4800) partly due to Laguna whose sales have fallen short of expectations [7]
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Renault in the UK This article needs additional citations for verification.
Please help improve this article by adding reliable references. Unsourced material may be challenged and removed. (October 2008)
The first popular Renault motor vehicles to achieve sustained sales success in the United Kingdom were the R5 mini-car and R18, both of which attained six-digit sales figures during the late 1970s and early 1980s, although they failed to achieve anything like the volumes of established carmakers Ford, Vauxhall and Austin Rover.
Renault enjoyed a huge rise in popularity among British buyers on the arrival of the Clio supermini in early 1991. It was regularly among Britain's most popular cars each year during the 1990s and its successor (launched in 1998 alongside the final installment of the successful 'Nicole and Papa' advertising campaign), where the original model left off. The sedan/saloon version, called Thalia, was not launched in the UK.
Renault went from strength to strength in the UK during the 2000s following the introduction of its distinctively-styled Mégane hatchback in November 2002. Any suggestions that its quirky styling would not fit in with the tastes of British buyers were quickly confounded in 2005 when it was the fourth best selling car in Britain. Renault also helps produce cars known now as Nissan.
In 2006, it was the third most popular brand of car in the United Kingdom. Only Ford and Vauxhall sold more units.
In 2007 Renault UK lost a US$2 million law suit against an independent distributor who had placed orders for 217 cars under a discount scheme intended for members of the British Airline Pilots Association- 3 were legitimate- because they had "made a profit of some sort on every vehicle". Two Renault employees were criticized for having "turned a blind eye" to the very large number of orders.[8]
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List of vehicles This section does not cite any references or sources.
Please help improve this section by adding citations to reliable sources. Unverifiable material may be challenged and removed. (June 2008)
Main article: List of Renault vehicles
Current model line up:
Mégane II (SW, CC, Saloon, Hatch 3 and 5 doors, launched 2002)
Scénic II (Launched 2003)
Grand Scénic (Launched 2003)
Laguna III (Hatchback & Estate, launched 2007)
Espace IV (& Grand Espace, launched 2002)
Vel Satis (Launched 2002, no longer available in UK)
'Nouvelle' Twingo (Launched 2007)
Modus (Launched 2004)
Clio II (Supermini with hatchback and sedan body styles, launched 1998)
Clio III (Lutécia III in Japan, launched 2005)
Sandero (Launched 2008)
Kangoo (Launched 1998)
Trafic (Launched 2003)
Logan (Launched 2004, Also available in India from 2007 with Mahindra-Renault tie-up) is the first "low-cost" car of Renault. Developed with Dacia, it has become a world car.
Renault Laguna was the first medium-size car to obtain five-star rating, as well as the Modus and Megane in its own category.
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Models
Renault Clio
Renault Clio Renault Sport
Renault Clio V6 Renault Sport
Renaultsport Clio 197
Renault Electric Mégane
Renault Mégane
Renault Mégane Renault Sport
Renault Ondelios, a crossover hybrid diesel-electric vehicle .
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Electric vehicles
Israeli and Jordanian officials and executives are reported to be in discussions with executives from Renault-Nissan about setting up Israeli-Jordanian factory, in an agreement with Project Better Place, to make environmentally-friendly electric cars. Renault is working on development of exchangeable batteries.[9]
The electric cars, to be made in Europe, will run on a battery developed by Nissan and Japan's NEC and will be available in 2011. A prototype is already on the road in Israel and various models will be sold by Renault and Nissan. The car would cost the same or less than comparable gasoline engine autos and would have a lifetime warranty. Renault want mass market 10,000 to 20,000 cars a year in Israel. [10]
Carlos Ghosn says the electric version of the Mégane saloon that Renault is building for Israel will come with a lifetime warranty, and payment will follow the model established by the mobile-phone industry. After buying the car, owners will subscribe to a battery-replacement and charging plan based on their anticipated mileage. Recharging will be done at one of 500,000 spots that Project Better Place will build and maintain. [11]
Renault is also currently collaborating with Project Better Place to produce a network of all-electric vehicles and thousands of charging stations in Denmark. The company hopes to achieve this with the use of lithium-ion technology. The plan is said to be operational by 2011.[12]
The Renault-Nissan alliance and the largest French electric utility, Electricite de France (EDF) have signed an agreement to promote emission-free mobility in France. The move aims at offering all-electric volume vehicles from 2011 — including a countrywide network of battery charging stations. The French-Japanese car manufacturer has already signed similar agreements in a number of geographies outside of France including Israel, Portugal, Denmark and the U.S. state of Tennessee. [13].
Serge Yoccoz is the electric vehicle project director [14].“ We have decided to introduce zero-emission vehicles as quickly as possible in order to ensure individual mobility against the background of high oil prices and better environmental protection ”
—Carlos Ghosn, CEO of Renault and Nissan [15]
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PHEV Research Center
The Renault-Nissan group is in the PHEV Research Center. Nissan is also hedging its bets by developing both a "parallel hybrid" system (akin to that found in the Toyota Prius) and a plug-in "series hybrid" similar to the Chevy Volt. But it favours the all-electric approach, even though it will be a tough sell, says Mr Lane. As for Mr Ghosn, he has no doubts. "We must have zero-emission vehicles," he says. "Nothing else will prevent the world from exploding." [11]
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Renault Ondelios
Renault Ondelios Concept is described by Renault as an "environmentally friendly high-end crossover". [16]. The Ondelios gets a hybrid electric powerplant combining a more powerful 205 HP version of Renault's 2.0-liter dCi engine with two 20kW electric motors at the front and rear [17] [18].
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Renault Z.E.
Renault has rolled out a new all-electric car concept in Paris today that gives a preview of what we might expect when Project Better Place kicks off. The Z.E. Concept is based on the Renault Kangoo Be Bop that is also debuting at the Paris Show [19]. It has its compact dimensions (length: 3.95 m (156 in), height: 1.85 m (73 in)[20] . The Z.E. is powered by a 70 kW electric motor and lithium-ion batteries. Solar panels positioned on the roof power a temperature regulation system [21][22]. Please help improve this section by expanding it. Further information might be found on the talk page or at requests for expansion. (October 2008)
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Environmental record
Renault introduced a new line of eco-friendly vehicles in 2007 marked eco². A minimum of 5% recycled plastic is used in all models and at the end of the vehicles life the remains are 95% reusable. Also, eco² line’s CO2 emissions do not exceed 140g/km or are biofuel compatible.[23]
At the 2008 Fleet World Honours, Renault was rewarded with the prestigious Environment Award. The judges in the event were made up experts in the industry including members of the leasing industry, fleet managers, representitives from residual value guides, and Fleet World’s editorial team. The chairman of Judges, George Emmerson, commented, “This was the most hotly contested category in the history of the Fleet World Honours, such is the clamour for organizations’ green credentials to be recognized. There were some very impressive entries, but the panel felt that Renault’s impressive range of low-emission vehicles was the most tangible, and the most quantifiable.[24]
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Motorsport This section does not cite any references or sources.
Please help improve this section by adding citations to reliable sources. Unverifiable material may be challenged and removed. (June 2008)
Fernando Alonso driving for Renault F1 at Indianapolis in 2005, the year in which the team won their first Formula One championship.
Main article: Renault F1
Main article: Renault Sport
Motorsport has long been recognised as an effective marketing tool for automobile manufacturers. In the late seventies and early eighties, Renault began to involve itself more heavily in motorsport, setting up a dedicated motorsport division called Renault Sport, and winning the Le Mans 24 Hours (with the Renault Alpine A442, built in collaboration with newly-acquired Alpine) while achieving success in both rallying (with the Renault 5 Turbo) and Formula One. Initially, Renault's entry into Formula One in 1977 was ridiculed when the team's first design included such curiosities as a turbocharger. However, the team was to win their first race on home soil in Dijon a mere two years later and by the early eighties, every front-running Formula One team used turbochargers.
Renault also took over the Benetton F1 team in 2001, and quickly became very competitive, Fernando Alonso winning Renault's first race in its second incarnation at the 2003 Hungarian Grand Prix. 2004 saw the Renault team finish a close third in the Constructors' Championship and in 2005 the team won both Constructors' and Drivers' titles (with Fernando Alonso). In 2006 Renault repeated its success of the previous year, again claiming both the Constructors' and Drivers' titles (again with Fernando Alonso before his departure to McLaren in 2007).
Questions have been raised regarding Renault's commitment to its Formula One team, particularly with the appointment of Carlos Ghosn as CEO. However at the 2005 French Grand Prix Ghosn set out his policy regarding the company's involvement in motorsport:
"We are not in Formula One out of habit or tradition. We're here to show our talent and that we can do it properly… Formula One is a cost if you don't get the results. Formula One is an investment if you do have them and know how to exploit them."
In short he will continue Renault's investment in F1 as long as the team is successful and can use the resulting publicity for wider commercial gain. Conversely if the team is unsuccessful in future it can be expected that Ghosn will withdraw resources from the sport.
In 2006 Carlos Ghosn finally announced that the team would stay in F1 in the long term (at least until 2012) putting an end to the rumors.
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Accolades This section does not cite any references or sources.
Please help improve this section by adding citations to reliable sources. Unverifiable material may be challenged and removed. (June 2008)
Renault cars have performed well in the European Car of the Year awards. The Clio is the only car since the prize's conception in 1964 to win the award twice.
1966: Renault 16
1982: Renault 9
1991: Renault Clio
1997: Renault Scénic
2003: Renault Mégane II
2006: Renault Clio III
The Renault 12 (1970), Renault 5 (1972), Renault 20 (1976), Renault 25 (1985) and Renault Laguna (2002) have all achieved runners-up in spot in the competition. Renaults most recent models are well known for their safety, all but 4 of the current models have achieved the maximum 5-star rating by the EuroNCAP crash-test assessment programme. Renault has regularly topped the French car sales charts, fighting off fierce competition from Citroën and Peugeot.
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Overseas accolades
Wheels magazine has announced its Car of the Year every year since 1963, with the exception of 1972, 1979 and 1986 when no cars were considered worthy of the honour. It is considered Australia's most prestigious automotive award. Wheels Magazine itself contends that its Car of the Year award remains the oldest continuous award of its kind in the world.
The inaugural Australian Wheels Car of the Year award was won by the R8 in 1963 (particularly in consideration to its four wheel disc brake system), and Renault won again in 1970 when the Renault 12 won the prestigious award.
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Typeface
Both the Renault logo and its documentation (technical as well as commercial) historically used a specially designed typeface called Renault, developed by British firm Wolff Olins. This type family is said to have been designed not for prestige reasons, but mainly to save costs at a time where the use of typefaces was more costly than it is now.
In 2004, French typeface designer Jean-François Porchez was commissioned to design a replacement. This was shown in October of that year and is called Renault Identité.
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Miscellanea
The Renault factory in Billancourt is the visual inspiration for the factory seen on Code Lyoko and featured some of its vehicles in the series.
Renault also built rail vehicles. Mainly autorail type vehicles.
Renault sponsored and was heavily featured in Le Visionarium a time-travel film at Disneyland Paris.
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Pronunciation
When its cars were exported to the United States during the 1950s and 1960s, the name was commonly mispronounced as "Ren-alt" to and by the American public, and the Americanized pronunciation continues in common usage, though the original French has gained significant ground over recent years. This was partially countered in the 1980s, when Renault launched a significant television advertising campaign in the United States. The ads featured the tag, "The one to watch," followed by a deep-voiced announcer carefully intoning the brand name. Presently in the United Kingdom it is also incorrectly pronounced as "Reh-no". The correct pronunciation is "Ruh-no".
It owns the Romanian automaker Dacia and the Korean automaker Renault Samsung Motors and Carlos Ghosn is the current CEO. The company's most successful car to date is the Renault Clio, and its core market is France.[2]
The company is well known for numerous revolutionary designs, security technologies, and motor racing.
Foundation and early years (1898–1918)
Producing cars since late 1898, the Renault corporation was founded in 1899 as Société Renault Frères by Louis Renault, his brothers Marcel and Fernand, and his friends Thomas Evert and Julian Wyer. Louis was a bright, aspiring young engineer who had already designed and built several models before teaming up with his brothers, who had honed their business skills working for their father's textiles firm. While Louis handled design and production, Marcel and Fernand handled company management.
The first Renault car, the Renault Voiturette 1CV was sold to a friend of Louis' father after giving him a test ride on December 24, 1898. The client was so impressed with the way the tiny car ran and how it climbed the streets that he bought it.
The brothers immediately recognised the publicity that could be obtained for their vehicles by participation in motor racing and Renault made itself known through achieving instant success in the first city-to-city races held in Switzerland, resulting in rapid expansion for the company. Both Louis and Marcel Renault raced company vehicles, but Marcel was killed in an accident during the 1903 Paris-Madrid race. Although Louis Renault never raced again, his company remained very involved, including Ferenc Szisz winning the first ever Grand Prix motor racing[3] event in a Renault AK 90CV in 1906. Louis was to take full control of the company as the only remaining brother in 1906 when Fernand retired for health reasons.
The Renault reputation for innovation was fostered from very early on. In 1899, Renault launched the first production sedan car. At the time, cars were very much luxury items, and the price of the smallest Renaults available being 3000 francs reflected this; an amount it would take ten years for the average worker at the time to earn. As well as cars, Renault manufactured taxis, buses and commercial cargo vehicles in the pre-war years, and during World War I (1914–18) branched out into ammunition, military airplanes and vehicles such as the revolutionary Renault FT-17 tank. Company's military designs were so successful that Renault himself was honoured by the Allies for his company's contributions to their victory.[citation needed] By the end of the war, Renault was the number one private manufacturer in France.[citation needed]
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Between the world wars (1919–38)
Louis Renault enlarged the scope of his company after 1918, producing agricultural and industrial machinery. However, Renault struggled to compete with the increasingly popular small, affordable "people's cars", while problems with the stock market and the workforce also adversely affected the company's growth. Renault also had to find a way to distribute its vehicles more efficiently. In 1920, he signed one of its first distribution contracts with Gustave Gueudet, an entrepreneur from northern France.
The pre-First World War cars had a distinctive front shape caused by positioning the radiator behind the engine to give a so called "coalscuttle" bonnet. This continued through the 1920s and it was not until 1930 that all models had the radiator at the front. The bonnet badge changed from circular to the familiar and continuing diamond shape in 1925. Renault models were introduced at the Paris Motor Show which was held in September or October of the year. This has led to a slight confusion as to vehicle identification. For example a "1927" model was mostly produced in 1928.
Renault produced a range of cars from small to very large. For example in 1928 which was the year when Renault produced 45,809 cars the range of 7 models started with a 6cv, a 10cv, the Monasix, 15cv, the Vivasix, the 18/24cv and the 40cv. There was a range of factory bodies, of up to 8 styles, and the larger chassis were available to coachbuilders. The number of a model produced varied with size. The smaller were the most popular with the least produced being the 18/24cv. The most expensive factory body style in each range was the closed cars. Roadsters and tourers (torpedoes) were the cheapest.
The London operation was very important to Renault in 1928. The UK market was quite large and from there "colonial" modified vehicles were dispatched. Lifted suspensions, enhanced cooling and special bodies were common on vehicles sold to the colonies. Exports to the USA by 1928 had almost reduced to zero from their high point prior to WW1 when to ship back a Grand Renault or similar high class European manufactured car was common. A NM 40cv Tourer had a USA list price of over $4,600 being about the same as a V12 Cadillac Tourer. Closed 7 seat limousines started at $6,000 which was more expensive than a Cadillac V16 Limousine.
The whole range was conservatively engineered and built. The newly introduced 1927 Vivasix, model PG1, was sold as the "executive sports" model. Lighter weight factory steel bodies powered by a 3180 cc six cylinder motor provided a formula that went through to the Second World War.
The "de Grand Luxe Renaults", that is any with over 12-foot (3.7 m) wheelbase (3.68m), were produced in very small numbers in two major types - six and eight cylinder. The 1927 six cylinder Grand Renault models NM, PI and PZ introduced the new three spring rear suspension that considerably aided road holding that was needed as with some body styles over 90 mph (140 km/h) was possible. The 8 cylinder Reinastella was introduced in 1929. This model lead on to a range culminating in the 1939 Suprastella. All Grand Renaults from 1923 are classed as classics by CCCA. Coachbuilders included Kellner, Labourdette, J.Rothschild et Fils and Renault bodies. Closed car Renault bodies were often trimmed and interior wood work completed by Rothschild.
Renault also introduced in 1928 an upgraded specification to the larger cars designated "Stella". Vivastella's and Grand Renaults had upgraded interior fittings and had a small star fitted above the front hood Renault diamond. This proved to be a winning marketing differentiator and in the 1930s all cars changed to the Stella suffix from the previous two alpha character model identifiers.
The Grand Renaults were built using a considerable amount of aluminium. Engines, brakes, transmissions, floor and running boards and all external body panels were aluminium. Unfortunately of the few that were built many went to scrap to aid the War effort.
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World War II and after (1939–71)
During World War II, Louis Renault's factories worked for Nazi Germany producing trucks with work on cars officially forbidden. He was, for this reason, arrested during the liberation of France in 1944 and died in prison before having prepared his defense. An autopsy later showed that his neck had been broken, suggesting that he was murdered. His industrial assets were seized by the provisional government of France. The Renault factories became a public industry (known as Régie Nationale des Usines Renault) under the leadership of Pierre Lefaucheux.
In the years immediately following its nationalisation Renault experienced something of a resurgence, led by the rear engine 4CV model, which was launched in 1946 and proved itself a capable rival for cars such as the Morris Minor and Volkswagen Beetle, its success (more than half a million sold) making sure it remained in production until 1961. There was also a large mechanically conventional 2-litre 4-cylinder car, the Renault Fregate, from 1951 to 1960.
As with earlier Renault models, the company made extensive use of motor racing to promote the 4CV, the car winning both the Le Mans 24 Hours and Mille Miglia races as well as the Monte Carlo rally. However, despite the success of its flagship model, the company continued to be blighted by labor unrest, and indeed continued to be well into the 1980s.
1956 Renault 4CV
The 4CV's replacement, the Dauphine, sold extremely well as the company expanded production and sales further abroad, including Africa and North America. The car did not sell well in North America and it was outdated by the start of the 1960s. In an attempt to revive its flagging fortunes, Renault launched two cars which were to become phenomenally successful — the Renault 4 and Renault 8 in 1961 and 1962 respectively. The R8 continued Renault's traditional rear-engined layout, but the R4 started the revolution to front engined/front wheel drive. R4 production continued until 1992. The larger rear-engined Renault 10 followed the success of the R8, but was the last of the rear-engined Renaults. The company achieved success with the more modern and more upmarket Renault 16 launched in 1966, which continued Renault's reputation for innovation by being the world's first hatchback larger than subcompact size. The smaller Renault 6 followed, in the style of the R16.
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Modern era (1972–80)
The new Renault corporate logo introduced in 1972, as part of the major brand revamp carried out to coincide with the launch of the Renault 5 hatchback.
The company's compact and economical Renault 5 model, launched in 1972, was another success, particularly in the wake of the 1973 energy crisis. The R5 remained in production until 1984 when it was replaced by the Super5. The formula was much the same however, and the Super5 inherited its styling lines from its father (however with a transversal engine, as opposed to the longitudinal engine inherited by the first generation Renault 5 from the Renault 4). Soon after, the four-door Renault 12 model slotted into the Renault range between the R6 and the R16, and introduced a new styling theme. Throughout the '70s the R4, R5, R6, R12 and R16 maintained Renault's production. In the '80s the latter two were replaced by the R9 (and its R11 sedan variation) and the R15/R17 sport coupes. Both the R15/R17 were essentially identical two-door coupes, but while the R15 had a large glassy greenhouse, the R17 had thick pillars behind the doors, with slatted windows, to make it look the sportier of the two.
Endangered like all of the motor industry by the energy crisis, during the mid seventies the already expansive company diversified further into other industries and continued to expand globally, including into South East Asia. The energy crisis also provoked Renault's attempt to reconquer the North American market; despite the Dauphine's success in the United States in the late 1950s, and an unsuccessful car-assembly project in Saint-Bruno-de-Montarville, Quebec, (1964–72), Renault as a stand-alone brand, began to disappear from North America at the end of the '70s.
Throughout the decades Renault developed a collaborative partnership with Rambler and its successor American Motors Corporation (AMC). From 1962 to 1967, Renault assembled complete knock down (CKD) kits of the Rambler Classic sedans in its factory in Belgium. Renault did not have large or luxury cars in its product line and the "Rambler Renault" was aimed as an alternative to the Mercedes-Benz "Fintail" cars. Similar to the fate of some of these Mercedes cars at the time, many of these "American" Renaults finished their life working as taxis. Later, Renault would continue to make and sell a hybrid of AMC's Rambler American and Rambler Classic called the Renault Torino in Argentina (sold through IKA-Renault). Renault partnered with AMC on other projects, such as development of a rotary concept engine in the late 60s, and would eventually own AMC in 1980.
1965 Renault Rambler sales brochure
This was one of a series of collaborative ventures undertaken by Renault in the late 1960s and 1970s, as the company established subsidiaries in Eastern Europe, most notably Dacia in Romania, and South America (many of which remain active to the present day) and forged technological cooperation agreements with Volvo and Peugeot (for instance, for the development of the PRV V6 engine, which was used in Renault 30, Peugeot 604, and Volvo 260 in the late 1970s.).
In the mid 1960s an Australian arm, Renault Australia, was set up in Heidelberg, Melbourne, the company would produce and assemble models from the R8, R10, R12, R16, sporty R15, R17 coupe's to the R18 and R20, soon the company would close in 1981. Interestingly Renault Australia did not just concentrate on Renaults, they also built and marketed Peugeots as well. From 1977, they assembled Ford Cortina station wagons under contract- the loss of this contract led to the closure of the factory.
1974 Renault 15 coupe
In North America, Renault formed a partnership with AMC, lending AMC operating capital and buying a small percentage of the company in late 1979. Jeep was keeping AMC afloat until new products, particularly the XJ Cherokee, could be launched. When the bottom fell out of the 4x4 truck market in early 1980 AMC was in danger of going bankrupt. To protect its investment Renault bailed AMC out with a big cash influx — at the price of a controlling interest in the company — 47.5%. Renault quickly replaced some top positions in AMC with their own people.
The Renault–AMC partnership also resulted in the marketing of Jeep vehicles in Europe. Some consider the Jeep XJ Cherokee as a joint AMC/Renault project since some early sketches of the XJ series was done as a collaboration of both Renault and AMC engineers (AMC insisted that the XJ Cherokee was designed by AMC personnel; however, a former Renault engineer designed the Quadra-Link front suspension for the XJ series). The Jeep also used wheels and unique rocking seats from Renault. Part of AMC's overall strategy when the partnership was first discussed was to save manufacturing cost by using Renault sourced parts when practical, and some engineering expertise. This led to the improvement of the venerable AMC in-line six — a Renault/Bendix based port electronic fuel injection system (usually called Renix) that transformed it into a modern, competitive powerplant with a jump from 110 hp (82 kW) to 177 hp (132 kW) with less displacement (4.0L vs. 4.2L).
The Renault-AMC marketing effort in passenger cars was not as successful compared to the popularity for Jeep vehicles. This was because by the time the Renault range was ready to become established in the American market, the second energy crisis was over, taking with it much of the trend for economical, compact cars.
One exception was the Renault Alliance (Renault 9), which debuted for the 1983 model year. Assembled at AMC's plant in Kenosha, Wisconsin, the Alliance was an instant hit with more economically minded buyers. Motor Trend gave its domestic Car of The Year award for 1983 to the Alliance, a surprising pick to many. The Alliance's 72% U.S. content allowed it to qualify as a domestic vehicle, making it the first car with a foreign nameplate to win the award. (In 2000, Motor Trend did away with separate awards for domestic and imported vehicles.)
Renault sold some interesting models in the U.S. in the 1980s, especially the simple-looking but fun Renault Alliance GTA and GTA convertible — a real automatic-top convertible with a simple but clean euro-style design featuring a gently sloping hood, as well as a 2.0 L engine — big for a car of its class; and the ahead-of-its-time Renault Fuego coupe, which generated some excitement. The Alliance was followed by the Encore (Renault 11), an Alliance-based hatchback. This burst of success in the United States proved to be short-lived, though.
Renault's Wisconsin-built and imported models quickly became the target of customer complaints for poor quality, and sales plummeted. Eventually, Renault sold AMC to Chrysler in 1987 after the assassination of Renault’s chairman, Georges Besse. The Renault Medallion (Renault 21 in Europe) sedan and wagon was sold from 1987 to 1989 through Jeep-Eagle dealerships. Jeep-Eagle was the new division Chrysler created out of the former American Motors. However, Renault products were no longer imported into the United States after 1989. Rumors have since persisted about Renault's return to the U.S. market; all of them have been unfounded.
A completely new full-sized 4-door sedan, the Eagle Premier, was developed during the partnership between AMC and Renault. The Premier design, as well as its state-of-the-art manufacturing facility in Bramalea, Ontario, Canada, were the starting point for the sleek LH sedans such as the Eagle Vision and Chrysler 300M.
In the late seventies and early eighties Renault increased its involvement in motorsport, with novel inventions such as turbochargers in their Formula One cars. The company's road car designs were revolutionary also — the Renault Espace was one of the first minivans and was to remain the most well-known minivan in Europe for at least the next two decades. The second-generation Renault 5, the European Car of the Year-winning Renault 9, and the most luxurious Renault yet, the 25 were all released in the early 1980s, building Renault's reputation, but at the same time the company suffered from poor product quality which reflected badly in the image of the brand and the ill-fated Renault 14 is seen by many as the culmination of these problems in the early 1980s.
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Restructuring (1981–95)
1986 Renault 21 berline and Renault 4 (right)
Although its cars were somewhat successful both on the road and on the track, Renault was losing a billion francs a month and reported a deficit of 12.5 billion in 1984. The government intervened and Georges Besse was installed as chairman; he set about cutting costs dramatically, selling off many of Renault's non-core assets, withdrawing almost entirely from motorsports, and laying off many employees. This succeeded in halving the deficit by 1986, but he was murdered by the left wing terrorist group Action Directe in November 1986. He was replaced by Raymond Lévy, who continued along the same lines as Besse, slimming down the company considerably with the result that by the end of 1987 the company was more or less financially stable.
A revitalised Renault launched several successful new cars in the early 1990s, including the phenomenally successful 5 replacement the Clio, the second-generation Espace, the innovative Twingo, the Laguna, and the 19. In the mid-1990s the successor to the R19, the Renault Mégane, was the first car ever to achieve a 4-star rating, the highest at the time, in EuroNCAP crash test in passenger safety. In 1998 Renault introduced Mégane Scénic, a completely new class of cars, a compact monospace with a footprint of a regular Mégane. The return to success on the road was matched by a return to success on the racetrack — Renault-powered cars won the Formula One World Championship in 1992, 1993, 1996 and 1997 with Williams, and in 1995 with Benetton.
Throughout this period, Renault's European advertising famously made extensive use of Robert Palmer's song "Johnny And Mary." The earlier television advertisements used Palmer's original version, while a range of special recordings in different styles were produced during the 1990s; most famously Martin Taylor's acoustic interpretation which he released on his album Spirit of Django. Taylor recorded many alternate versions for Renault; the last being in 1998 for the launch of the all-new Renault Clio.
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Privatization (1996–99)
It was eventually decided that the company's state-owned status was detrimental to its growth, and Renault was privatized in 1996. This new freedom allowed the company to venture once again into Eastern Europe and South America, including a new factory in Brazil and upgrades for the infrastructure in Argentina and Turkey. It also meant the end of the aforementioned successful Formula 1 campaign.
In the twenty-first century, Renault was to foster a reputation for distinctive, outlandish design. The second generation of the Laguna and Mégane featured ambitious, angular designs which turned out to be highly successful. Less successful were the company's more upmarket models. The Avantime, a bizarre coupé / multi-purpose mix vehicle, sold very poorly and was quickly discontinued while the luxury Vel Satis model did not sell as well as hoped. However, the design inspired the lines of the second generation Mégane, the most successful car of the maker. As well as its distinctive styling, Renault was to become known for its car safety; currently, it's the car manufacturer with the largest number of models achieving the maximum 5 star rating in EuroNCAP crash tests. The Laguna was the first Renault to achieve a 5 star rating; in 2004 the Modus was the first to achieve this rating in its category.
The government of France owns 15.7 per cent of the company. Louis Schweitzer has been the Chairman of Renault since 1992 and was CEO from 1992 to 2005. In 2005, Carlos Ghosn (also CEO of Nissan) became Renault's CEO, with Louis Schweitzer staying on as Chairman.
Renault owns Samsung Motors (Renault Samsung Motors) and Dacia, as well as retaining a minority (but controlling) stake (20%) in the Volvo Group. (Volvo passenger cars are now a subsidiary of the Ford Motor Company). Renault bought 99% of the Romanian company Dacia, thus returning after 30 years, in which time the Romanians built over 2 million cars, which primarily consisted of the Renault 8, 12 and 20.
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The Renault Nissan Alliance (2000– ) It has been suggested that this section be split into a new article entitled Renault-Nissan. (Discuss)
2004 Renault Megane II
Signed on March 27, 1999, the Renault–Nissan Alliance is the first of its kind involving a Japanese and a French company, each with its own distinct corporate culture and brand identity, linked through cross-shareholding. Renault has a stake of 44.4 percent in The Japanese automaker Nissan, while Nissan in turn has a 15 percent stake (non-voting) in Renault.
For 2004 Renault reported a 43% rise in net income to €3.5 billion and 5.9% operating margin, of which Nissan contributed €1,767 million. The Group (Renault, Dacia, Renault Samsung Motors) posted a 4.2% increase in worldwide sales to a record 2,489,401 vehicles, representing a global market share of 4.1%. Renault retained its position as the leading brand in Europe with 1.8 million passenger cars and light commercial vehicles sold and market share of 10.8%.
The Renault–Nissan Alliance holds 9.8% of the worldwide market (5.74% for Nissan and 4.04% for the Renault group) with sales of 3,597,748 (Nissan) and 2,531,500 (Renault Group), placing the alliance fourth after GM, Toyota, and Ford, 2005.[4]
The marketing success was also matched by success of their return to the Formula 1 circuit as a manufacturer again after buying the Benetton team. The team went on to win both World Drivers and Constructors championships in 2005 and 2006 ahead of the vastly more experienced Ferrari and McLaren teams.
Global locations of Renault factories
Renault is exhibiting a Hi-Flex Clio 1.6 16v at the 2006 Paris International Agricultural Show. This vehicle, which addresses the Brazilian market, features Renault-developed flexible-fuel engine technology, with a highly versatile engine that can run on fuel containing petrol and ethanol in any proportion (0% to 100% of either).
On June 30, 2006, the media reported that General Motors convened an emergency board meeting to discuss a proposal by shareholder Kirk Kerkorian to form an alliance between GM and Renault-Nissan. The hastily arranged meeting suggests that GM's board was treating Kerkorian's proposal with urgency. Coincidentally, unsubstantiated rumours have been circulating about Renault's possible return to the U.S. market. There has been speculation that a GM–Renault–Nissan alliance could pave the way for Renault's return to the U.S. market, since GM could eliminate some of its less profitable brands, and offer Renault franchises to dealerships that would otherwise close.
However, GM CEO Richard Wagoner felt that an alliance would benefit Renault's shareholders more than those of GM, and that GM should receive some compensation for it. This did not sit well with Renault; subsequently, talks between GM and Renault ended on October 4, 2006.
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Investment in VAZ
On February 29, 2008, Renault acquired a blocking stake in the largest Russian automaker VAZ. For a long time needing to modernize its technology, VAZ was seeking a strategic partnership since the late nineties. Its owners tried to form an alliance with various foreign auto manufacturers, such as General Motors. Most of these attempts weren't all that successful, however, and generally fell through.
Renault was in talks with VAZ on and off since 2005, initially insisting on CKD assembly of Logan cars on its facilities, while VAZ intended to keep its own Lada brand and only wished to acquire a new platform and engine. After several rounds of talks, between which VAZ also sought alliance with Fiat and Magna, Renault agreed to the partnership under terms not unlike the earlier Nissan deal.
Renault and VAZ major stockholder, state corporation Rosoboronexport, are to form a holding, jointly owning 50% share in VAZ, with the French side receiving several key positions in the new management structure, such as Chief Operational Officer, Chief Financial Officer and Chief Engineer. In return, Renault is to supply a new platform for the Lada brand and assist in plant modernization.
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Possible Industry Realignment (2008)
On October 7, 2008, the Wall Street Journal reported that a Renault executive said the company was interested in acquiring or partnering with Chrysler, which is owned by the private equity firm Cerberus Capital Management.[5] On October 11, 2008, the New York Times reported that General Motors, Nissan and Renault had all been in discussions over the past month with Cerberus about acquiring Chrysler.[6]
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Corporate governance
Current members of the board of directors of Renault are:
Yves Audvard
Michel Barbier
Alain Champigneux
François de Combret
Charles de Croisset
Carlos Ghosn
Jean-Louis Girdolle
Itaru Koeda
Marc Ladreit de Lacharrière
Dominique de La Garanderie
Bernard Larrouturou
Henri Martre
Jean-Claude Paye
François Pinault
Franck Riboud
Louis Schweitzer
Georges Stcherbatcheff
Robert Studer
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Timeline This section does not cite any references or sources.
Please help improve this section by adding citations to reliable sources. Unverifiable material may be challenged and removed. (June 2008)
1898 - Louis Renault founded Renault
1903 - Marcel Renault dies in a car accident
1912 - A Renault car was loaded onto the RMS Titanic at Southampton dock.
1943 - The Renault factory in Billancourt is attacked by the Allies.
1944 - Louis Renault dies in prison after being arrested on charges of collaborating with the Nazis during WWII.
1944 - Renault nationalized by the French Government in response to the Nazi collaboration charges against its founder.
1961 - The Renault 4 goes on sale to give Renault a practical competitor for the likes of the Citroën 2CV and Volkswagen Beetle.
1965 - Renault launches the world's first production hatchback - the Renault 16.[citation needed]
1971 - Renault launches the Renault 15 and Renault 17 two-door coupes, giving it a serious competitor for the Ford Capri.
1972 - Renault enters the new "supermini" market with its R5 hatchback, one of the first such cars in this sector. On its launch, the R5 only has three similar competitors - the Fiat 127, Autobianchi A112 and Peugeot 104.
1976 - The Renault 5 Alpine is launched, giving the marque its first entrant into the Hot hatch market. Possibly one of the very first hot hatches, going into production in the same year as the Volkswagen Golf GTI.
1977 - Renault enters the small family hatchback market with the 14, which is one of Europe's first hatchbacks of this size.
1979 - Renault buys a stake in American Motors, with a view to establishing itself on the American market.
1980 - Renault launches the 5 Turbo, which is designed as a rally car but does include roadgoing versions. It ditches the front-drive, front-engined layout for a mid-mounted engine (in place of the rear seats) and rear-wheel drive.
1981 - Renault launches the 9 a four-door saloon, a modern three-box design which is designed to keep the market interest in saloons at a time when hatchbacks are becoming the norm in this sector. It is voted European Car of the Year.
1982 - Renault becomes the second European automaker to build cars in the United States, after Volkswagen. The Alliance, the North American version of the 9, is manufactured in Wisconsin by American Motors and debuts as a 1983 model. It is voted Car of the Year by Motor Trend.
1983 - Renault launches the 11 - a hatchback version of the R9. It gives Renault its first serious rival to the Volkswagen Golf. It goes on sale in the fall in the United States as the Encore.
1984 - Renault enters the executive car market with the large 25 hatchback, aimed directly at the likes of the Ford Granada, Rover SD1 and Opel Rekord.
1985 - Renault launches the Espace - Europe's first multi-purpose vehicle. It gains praise from all over Europe thanks to its unique practicality and innovation.
1986 - On April 9 the Government of France rules against the privatization of Renault.
1986 - Renault replaces the 18 with the all-new R21 saloon and Savanna seven-seater estate.
1987 - Renault sells its stake in American Motors to Chrysler.
1988 - The 9 and 11 ranges are replaced by a single model, the 19, which is praised for its excellent ride and handling, as well as the frugality and refinement of its diesel engines.
1990 - Renault launches the Clio supermini, designed as an eventual replacement for the Renault 5. The Clio is the first new model of a generation which will see the numeric models replaced by new cars with traditional nameplates. It sets supermini benchmarks for build quality, comfort and space, and is voted European Car of the Year.
1991 - The Renault 19 becomes available as a cabriolet, and a mild facelift sees the standard range's exterior styling refreshed.
1992 - Louis Schweitzer becomes president of Renault group.
1992 - Renault moves into the city car market with its Twingo, a small hatchback with a "cube" design that maximises interior space, though it is only built with left-hand drive. It re-enters the executive market with the Safrane, an ultramodern large hatchback which replaces the R25.
1995 - Renault 5 production finishes after nearly a quarter of a century. It had been produced in Slovenia since the launch of the Clio in 1990.
1995 - Renault replaces the Renault 19 with the Megane, a range of hatchbacks, saloons, estates, coupes and cabriolets.
1996 - Renault enters the new "compact MPV" market with its Megane-based Scenic. It is voted European Car of the Year, fighting off competition from the Ford Ka and Volkswagen Passat
1996 - The company was privatised to create Renault S.A.
1997 - The all-new Espace goes on sale with a more upmarket image than its predecessor, that served the company for over 10 years.
1998 - The second generation Clio is launched, using an all-new body and being one of the most competitively-priced European superminis, though its styling is not to all tastes.
1999 - Renault purchased a 36.8 percent equity stake in Nissan, the almost bankrupt Japanese car maker, by injecting US$3.5 billion to obtain effective control of the company under Japanese law. Renault vice-president, Carlos Ghosn was parachuted in to turn round the ailing firm. Nissan also owns 15% of Renault in turn.
1999 - Renault purchased a 99 percent stake in Romanian car maker Dacia for US$50 mln ; so, Renault is back in Piteşti after 30 years. Renault has invested more than US$1.7 billion between 2000 and 2007.
2000 - Renault launches the Laguna II - the first European family car to feature "keyless" entry and ignition.
2001 - Renault sold its industrial vehicle subdivision (Renault Véhicules Industriels) to Volvo, which renamed it Renault Trucks in 2002. The Clio undergoes a major facelift and the launch of a 1.5 direct-injection diesel engine to keep it competitive in the supermini sector.
2002 - Benetton Formula One team formally becomes Renault F1, Renault increases its stake in Nissan to 44.4 percent.
2002 - Renault gains another European Car of the Year success with its second generation Megane, a quirky-looked car which is set to form the basis of Nissan's Almera replacement later in the decade.
2003 - Renault expands in Megane hatchback range with coupe-cabriolet, estate (SportsTourer) and sedan (SportsSaloon) variants.
2004 - The Renault factory in Billancourt is demolished.
2005 - Carlos Ghosn becomes president.
2005 - The Clio III is elected European Car of the Year 2006 and gains plaudits from all over Europe for its class-leading qualities. The previous generation Clio is set to continue for a while until the Twingo II goes on sale. Renault F1 win the constructors world championship as well as the drivers championship.
2006 - In February, Carlos Ghosn announced the "Renault Commitment 2009" plan focusing on three main goals :
sell 800 000 more cars than in 2006
Reach an operating margin of 6%
Place the new Laguna in terms of quality and service rate.
The same year, Renault and Nissan engaged talkes with General Motors to study a potential alliance. This approach was finally abandoned due to the fact that GM asked for money as "entry ticket" from Renault. Renault F1 win the constructors world championship as well as the drivers championship for the second year in succession.
2007 - The third generation Laguna is introduced, with the objective to strengthen Renault's position in the large family car sector.
2008 - Job-cut plan (4800) partly due to Laguna whose sales have fallen short of expectations [7]
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Renault in the UK This article needs additional citations for verification.
Please help improve this article by adding reliable references. Unsourced material may be challenged and removed. (October 2008)
The first popular Renault motor vehicles to achieve sustained sales success in the United Kingdom were the R5 mini-car and R18, both of which attained six-digit sales figures during the late 1970s and early 1980s, although they failed to achieve anything like the volumes of established carmakers Ford, Vauxhall and Austin Rover.
Renault enjoyed a huge rise in popularity among British buyers on the arrival of the Clio supermini in early 1991. It was regularly among Britain's most popular cars each year during the 1990s and its successor (launched in 1998 alongside the final installment of the successful 'Nicole and Papa' advertising campaign), where the original model left off. The sedan/saloon version, called Thalia, was not launched in the UK.
Renault went from strength to strength in the UK during the 2000s following the introduction of its distinctively-styled Mégane hatchback in November 2002. Any suggestions that its quirky styling would not fit in with the tastes of British buyers were quickly confounded in 2005 when it was the fourth best selling car in Britain. Renault also helps produce cars known now as Nissan.
In 2006, it was the third most popular brand of car in the United Kingdom. Only Ford and Vauxhall sold more units.
In 2007 Renault UK lost a US$2 million law suit against an independent distributor who had placed orders for 217 cars under a discount scheme intended for members of the British Airline Pilots Association- 3 were legitimate- because they had "made a profit of some sort on every vehicle". Two Renault employees were criticized for having "turned a blind eye" to the very large number of orders.[8]
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List of vehicles This section does not cite any references or sources.
Please help improve this section by adding citations to reliable sources. Unverifiable material may be challenged and removed. (June 2008)
Main article: List of Renault vehicles
Current model line up:
Mégane II (SW, CC, Saloon, Hatch 3 and 5 doors, launched 2002)
Scénic II (Launched 2003)
Grand Scénic (Launched 2003)
Laguna III (Hatchback & Estate, launched 2007)
Espace IV (& Grand Espace, launched 2002)
Vel Satis (Launched 2002, no longer available in UK)
'Nouvelle' Twingo (Launched 2007)
Modus (Launched 2004)
Clio II (Supermini with hatchback and sedan body styles, launched 1998)
Clio III (Lutécia III in Japan, launched 2005)
Sandero (Launched 2008)
Kangoo (Launched 1998)
Trafic (Launched 2003)
Logan (Launched 2004, Also available in India from 2007 with Mahindra-Renault tie-up) is the first "low-cost" car of Renault. Developed with Dacia, it has become a world car.
Renault Laguna was the first medium-size car to obtain five-star rating, as well as the Modus and Megane in its own category.
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Models
Renault Clio
Renault Clio Renault Sport
Renault Clio V6 Renault Sport
Renaultsport Clio 197
Renault Electric Mégane
Renault Mégane
Renault Mégane Renault Sport
Renault Ondelios, a crossover hybrid diesel-electric vehicle .
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Electric vehicles
Israeli and Jordanian officials and executives are reported to be in discussions with executives from Renault-Nissan about setting up Israeli-Jordanian factory, in an agreement with Project Better Place, to make environmentally-friendly electric cars. Renault is working on development of exchangeable batteries.[9]
The electric cars, to be made in Europe, will run on a battery developed by Nissan and Japan's NEC and will be available in 2011. A prototype is already on the road in Israel and various models will be sold by Renault and Nissan. The car would cost the same or less than comparable gasoline engine autos and would have a lifetime warranty. Renault want mass market 10,000 to 20,000 cars a year in Israel. [10]
Carlos Ghosn says the electric version of the Mégane saloon that Renault is building for Israel will come with a lifetime warranty, and payment will follow the model established by the mobile-phone industry. After buying the car, owners will subscribe to a battery-replacement and charging plan based on their anticipated mileage. Recharging will be done at one of 500,000 spots that Project Better Place will build and maintain. [11]
Renault is also currently collaborating with Project Better Place to produce a network of all-electric vehicles and thousands of charging stations in Denmark. The company hopes to achieve this with the use of lithium-ion technology. The plan is said to be operational by 2011.[12]
The Renault-Nissan alliance and the largest French electric utility, Electricite de France (EDF) have signed an agreement to promote emission-free mobility in France. The move aims at offering all-electric volume vehicles from 2011 — including a countrywide network of battery charging stations. The French-Japanese car manufacturer has already signed similar agreements in a number of geographies outside of France including Israel, Portugal, Denmark and the U.S. state of Tennessee. [13].
Serge Yoccoz is the electric vehicle project director [14].“ We have decided to introduce zero-emission vehicles as quickly as possible in order to ensure individual mobility against the background of high oil prices and better environmental protection ”
—Carlos Ghosn, CEO of Renault and Nissan [15]
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PHEV Research Center
The Renault-Nissan group is in the PHEV Research Center. Nissan is also hedging its bets by developing both a "parallel hybrid" system (akin to that found in the Toyota Prius) and a plug-in "series hybrid" similar to the Chevy Volt. But it favours the all-electric approach, even though it will be a tough sell, says Mr Lane. As for Mr Ghosn, he has no doubts. "We must have zero-emission vehicles," he says. "Nothing else will prevent the world from exploding." [11]
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Renault Ondelios
Renault Ondelios Concept is described by Renault as an "environmentally friendly high-end crossover". [16]. The Ondelios gets a hybrid electric powerplant combining a more powerful 205 HP version of Renault's 2.0-liter dCi engine with two 20kW electric motors at the front and rear [17] [18].
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Renault Z.E.
Renault has rolled out a new all-electric car concept in Paris today that gives a preview of what we might expect when Project Better Place kicks off. The Z.E. Concept is based on the Renault Kangoo Be Bop that is also debuting at the Paris Show [19]. It has its compact dimensions (length: 3.95 m (156 in), height: 1.85 m (73 in)[20] . The Z.E. is powered by a 70 kW electric motor and lithium-ion batteries. Solar panels positioned on the roof power a temperature regulation system [21][22]. Please help improve this section by expanding it. Further information might be found on the talk page or at requests for expansion. (October 2008)
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Environmental record
Renault introduced a new line of eco-friendly vehicles in 2007 marked eco². A minimum of 5% recycled plastic is used in all models and at the end of the vehicles life the remains are 95% reusable. Also, eco² line’s CO2 emissions do not exceed 140g/km or are biofuel compatible.[23]
At the 2008 Fleet World Honours, Renault was rewarded with the prestigious Environment Award. The judges in the event were made up experts in the industry including members of the leasing industry, fleet managers, representitives from residual value guides, and Fleet World’s editorial team. The chairman of Judges, George Emmerson, commented, “This was the most hotly contested category in the history of the Fleet World Honours, such is the clamour for organizations’ green credentials to be recognized. There were some very impressive entries, but the panel felt that Renault’s impressive range of low-emission vehicles was the most tangible, and the most quantifiable.[24]
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Motorsport This section does not cite any references or sources.
Please help improve this section by adding citations to reliable sources. Unverifiable material may be challenged and removed. (June 2008)
Fernando Alonso driving for Renault F1 at Indianapolis in 2005, the year in which the team won their first Formula One championship.
Main article: Renault F1
Main article: Renault Sport
Motorsport has long been recognised as an effective marketing tool for automobile manufacturers. In the late seventies and early eighties, Renault began to involve itself more heavily in motorsport, setting up a dedicated motorsport division called Renault Sport, and winning the Le Mans 24 Hours (with the Renault Alpine A442, built in collaboration with newly-acquired Alpine) while achieving success in both rallying (with the Renault 5 Turbo) and Formula One. Initially, Renault's entry into Formula One in 1977 was ridiculed when the team's first design included such curiosities as a turbocharger. However, the team was to win their first race on home soil in Dijon a mere two years later and by the early eighties, every front-running Formula One team used turbochargers.
Renault also took over the Benetton F1 team in 2001, and quickly became very competitive, Fernando Alonso winning Renault's first race in its second incarnation at the 2003 Hungarian Grand Prix. 2004 saw the Renault team finish a close third in the Constructors' Championship and in 2005 the team won both Constructors' and Drivers' titles (with Fernando Alonso). In 2006 Renault repeated its success of the previous year, again claiming both the Constructors' and Drivers' titles (again with Fernando Alonso before his departure to McLaren in 2007).
Questions have been raised regarding Renault's commitment to its Formula One team, particularly with the appointment of Carlos Ghosn as CEO. However at the 2005 French Grand Prix Ghosn set out his policy regarding the company's involvement in motorsport:
"We are not in Formula One out of habit or tradition. We're here to show our talent and that we can do it properly… Formula One is a cost if you don't get the results. Formula One is an investment if you do have them and know how to exploit them."
In short he will continue Renault's investment in F1 as long as the team is successful and can use the resulting publicity for wider commercial gain. Conversely if the team is unsuccessful in future it can be expected that Ghosn will withdraw resources from the sport.
In 2006 Carlos Ghosn finally announced that the team would stay in F1 in the long term (at least until 2012) putting an end to the rumors.
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Accolades This section does not cite any references or sources.
Please help improve this section by adding citations to reliable sources. Unverifiable material may be challenged and removed. (June 2008)
Renault cars have performed well in the European Car of the Year awards. The Clio is the only car since the prize's conception in 1964 to win the award twice.
1966: Renault 16
1982: Renault 9
1991: Renault Clio
1997: Renault Scénic
2003: Renault Mégane II
2006: Renault Clio III
The Renault 12 (1970), Renault 5 (1972), Renault 20 (1976), Renault 25 (1985) and Renault Laguna (2002) have all achieved runners-up in spot in the competition. Renaults most recent models are well known for their safety, all but 4 of the current models have achieved the maximum 5-star rating by the EuroNCAP crash-test assessment programme. Renault has regularly topped the French car sales charts, fighting off fierce competition from Citroën and Peugeot.
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Overseas accolades
Wheels magazine has announced its Car of the Year every year since 1963, with the exception of 1972, 1979 and 1986 when no cars were considered worthy of the honour. It is considered Australia's most prestigious automotive award. Wheels Magazine itself contends that its Car of the Year award remains the oldest continuous award of its kind in the world.
The inaugural Australian Wheels Car of the Year award was won by the R8 in 1963 (particularly in consideration to its four wheel disc brake system), and Renault won again in 1970 when the Renault 12 won the prestigious award.
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Typeface
Both the Renault logo and its documentation (technical as well as commercial) historically used a specially designed typeface called Renault, developed by British firm Wolff Olins. This type family is said to have been designed not for prestige reasons, but mainly to save costs at a time where the use of typefaces was more costly than it is now.
In 2004, French typeface designer Jean-François Porchez was commissioned to design a replacement. This was shown in October of that year and is called Renault Identité.
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Miscellanea
The Renault factory in Billancourt is the visual inspiration for the factory seen on Code Lyoko and featured some of its vehicles in the series.
Renault also built rail vehicles. Mainly autorail type vehicles.
Renault sponsored and was heavily featured in Le Visionarium a time-travel film at Disneyland Paris.
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Pronunciation
When its cars were exported to the United States during the 1950s and 1960s, the name was commonly mispronounced as "Ren-alt" to and by the American public, and the Americanized pronunciation continues in common usage, though the original French has gained significant ground over recent years. This was partially countered in the 1980s, when Renault launched a significant television advertising campaign in the United States. The ads featured the tag, "The one to watch," followed by a deep-voiced announcer carefully intoning the brand name. Presently in the United Kingdom it is also incorrectly pronounced as "Reh-no". The correct pronunciation is "Ruh-no".
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