In the year 2000, as the IT world scrambled to fix computer problems and people bid farewell to the '90s, Ford and GM Holden - with their Falcon and Commodore, respectively - stood supreme as the dominant forces of the dominant large car market in Australia. Just seven years on and that market has shrunk from 35.9 percent to just 13.5 percent in the light of rising fuel prices which has seen a massive movement away from large family cars to medium-sized cars. The Falcon and Commodore are now fighting each other over a diminishing market while simultaneously trying to hold off the other locally produced six cylinder competition in the form of the Mitsubishi 380 and the Toyota Aurion.

Such has been the slide in demand for big cars that Holden just announced that 600 jobs will be axed at their Adelaide plant.

The market movement towards smaller cars has led both Ford and Holden to announce new entrants into the already cut-throat medium sized car market which is currently dominated by Asian vehicles like the class-leading Toyota Camry along with the Mazda6, Honda Accord Euro and Hyundai Sonata. Holden is about to release the Daewoo made Epica and Ford is bringing the Mondeo back later this year.

Analysis: The Mondeo and the Epica both look to be good quality cars at a good price but they're in for a real fight to gain traction in the medium-sized car market because it is already dominated by good quality cars at a good price. Fuel prices have clearly had a massive impact on the car market in Australia as fuel economy becomes a critical factor in the buying decisions of many consumers.

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• Higher gas prices not hurting big RV sales, but some owners are driving less
• New Canadian budget includes fuel economy carrots and sticks

[Source: CARSguide.com.au]

Click on the image for a gallery of high-res images of the 2007 Volkswagen Passat.

This is the second part of a review of the 2007 Volkswagen Passat TDI. Yesterday we covered the Passat's pricing, appearance and some of its many features. Click here to read part one.

Today we cover the interior, safety, economy and on-road performance.

Probably the first thing you'll notice if you hop in and go to turn the car on though is the key fob itself. Instead of a traditional key, the entire key fob slots into the dash for push-button electronic on / off operation. VW thought of everything though because hidden inside the key fob is a "conventional", plastic key which can gain you access to the vehicle but will not start it up. This allows you to leave the (expensive - $500!) key fob locked in the car while you go surfing and just take the plastic key into the water.



Like the on / off control, the parking brake is also a push-button job located close to the ignition switch, and must be engaged for the car to be turned off. An associated feature is the Auto Hold function which neatly answers the question, "I'm on the side of a hill and I don't have a hand brake to stop me rolling back down, what do I do?" Again a push-button operated feature, this time flanking the transmission, Auto Hold automatically activates the electronic parking brake for painless hill starts. Eliminating the hand brake has the added benefit of freeing up room around centre console, resulting in a simple, uncluttered layout.

Continue reading part two of the review after the jump.

Click on the image for a gallery of high-res images of the 2007 Volkswagen Passat.

Late last year I had the pleasure of helping my father choose his new vehicle, and after determining that he wanted a diesel sedan, we quickly narrowed the possible options - BMWs, the 300C, Audis, Peugeots, Mazdas, Fiats, Alfas and VWs - down to the Volkswagen Passat. Offering a great blend of size, comfort, features, diesel economy and price, he picked the Passat up in late November last year. Having helped pick it, I am biased about this car. But that said, let's look at why it worked for my father and me.

The 2007 Volkswagen Passat TDI leads VW's car line-up in Australia as their largest model apart from the Touareg luxury SUV. The 2007 Passat offers three models each in a sedan and wagon format ranging from AUD$42,990 (US$34,056) for the Passat 2.0 TDI Sedan 6 Speed Direct Shift Gearbox (DSG) transmission, through AUD$44,990 (US$35,641) for the Passat 2.0T FSI Sedan 6 Speed Automatic and topping out at AUD$54,990 (US$43,563) for the Passat 3.2 V6 FSI Sedan 6 Speed DSG. The wagon equivalents of each adds $2,000. Frankly I don't understand this pricing scale because the TDI delivers better fuel economy and good performance via VW's outstanding DSG 6-speed gearbox, in which the clutch and gearshift are controlled electronically, for a lower price than the equivalent automatic petrol model.

Despite the array of standard features in the Passat, there are still a good dozen options that you can play with if your wallet allows including sunroofs, sat nav, bi-xenon headlights with dynamic cornering, leather upholstery etc. My father however had a limited range of options due to the fact that multiple Volkswagen dealers in our area quoted delivery times of over six month and as high as nine months due to a global shortage. So, when he was presented with a silver model kitted out with black leather upholstery, he signed up straight away.

Continue reading part one of the review after the jump.

Click on the image for two high-res images of the BP Ultimate Unleaded GM Holden Monaro.

BP had a display at the Brisbane Motor Show promoting their Ultimate Unleaded high octane fuel as improving performance and so reducing fuel consumption. BP Ultimate Unleaded has an octane rating of 98 in comparison to regular unleaded fuel in Australia has an octane rating of 91. Ultimate Unleaded also has three times less sulphur than regular unleaded plus engine cleaning additives resulting in cleaner emissions and more effective and complete combustion.

BP's display had a modified GM Holden Monaro where half the cylinders of the V8 engine were fed regular unleaded, while the other half were simultaneously fed Ultimate Unleaded. Used fuel intake valves had been removed from the engine to display the build up of carbonaceous deposits on the regular unleaded valves compared to the virtually clean Ultimate Unleaded valves. TVs also displayed video of the inside of the fuel intake manifold where again, the regular unleaded had coated the walls with carbonaceous deposits in comparison to the clean walls of the Ultimate Unleaded manifold.

In terms of actual performance results and fuel efficiency benefits, BP says that "Ultimate Unleaded can give you up to 8.3 percent more power, with an average power gain of 5.9 percent. Ultimate Unleaded can increase fuel economy by up to 4.2 percent with an average benefit of 2.8 percent."

Analysis: BP sells their Ultimate Unleaded product at a significant premium over regular unleaded so buyers need to be convinced of the benefits. Lower sulphur emissions and better performance is a good place to start - after all, 2.8 percent really adds up on millions of barrels of oil.



Related:

• GM Holden Commodore adds duel-fuel option
• Recent drop to $2 gas just might help Detroit's SUV sales, Europe is immune
• Ford, GM clash over best alternative fuel

[Source: BP]

GM Holden Australia has added a factory-backed dual-fuel option (petrol + liquid petroleum gas) to the latest models of its leading large car, the Commodore. It's not a cheap option though, adding almost AUD$2000 (US$1546) to the standard price even after a federal government rebate is taken into account. While liquid petroleum gas (LPG) is significantly cheaper than regular unleaded petrol, only people like taxi drivers who put in huge kilometres behind the wheel are likely to gain the full financial benefit from adding LPG.

The new VE Commodore range including Omega, V-Series, Berlina models has been updated for the new dual-fuel option which is also available on the current wagon and ute models. The sticker price for adding the LPG option is a very serious AUD$3900 (US$3015), which after taking into account the Australian Federal Government's LPG grant of AUD$2000 (US$1546), reduces the final surcharge to AUD$1900 (US$1469).

Ford has been the leading proponent of LPG fuel options in Australia, including an LPG-only car, the only one of its kind. The direct injection LPG technology used in the Commodore is newer than the pre-mix method used by Ford, but CARSguide at least gave its thumbs up to the Ford for quieter and smoother option at a lower price.

Analysis: The Australian government has come under fire from environmental groups for offering such a hefty discount to promote the use of LPG, which is not a renewable fuel. The major oil companies end up winning either way so they're happy. And voters do get a cheaper fuel option, but I'd prefer to see this kind of federal initiative promoting ethanol flex-fuel and biodiesel.

Related:

• Going green with a LPG limo
• Oil companies are the big winners in Australia's switch to LPG

[Source: CARSguide.com.au]