The Auto Writer

I’ve been doing my best to skirt the obvious bad news of the day — the fast dropping fortunes of the U.S. automakers. Truth be told, the entire industry is suffering with even robust manufacturers such as Toyota and Honda cutting back on production and issuing gloomy predictions for 2009.

As tough as things are for the short term, no company can fail to plan for the future, the heart of what Carlos Ghosn, President/CEO for Renault/Nissan said yesterday in his keynote address to the media. Quite suddenly, the economy could begin to pick up, giving those automakers who have invested in the future a leg up, one that could dash the recovery hopes of those manufacturers who pulled back a little too much.

I don’t see Chrysler surviving in its present form regardless of what the future holds, with General Motors not far behind. This morning I learned that Ford’s stock closed at just above one dollar a share yesterday, dangerously close to “penny stock” territory. Even with the Ford Fusion Hybrid, a new F-150 in the market, and the 2010 Ford Mustang on the way, time may not be on Ford’s side. Clearly, Chapter 11 may be the best approach for all three.

On the brighter side, it was good to see several automakers pressing forward, revealing new products plus showing some concepts that have a good chance of seeing production or at least having their design cues and technologies incorporated in upcoming models.  The BMW Group’s MINI E is a small step in the right direction, as it has the promise of expanding well beyond its introductory pool of 500 electric cars being set aside for drivers in New York or L.A.

Honda’s Insight is getting ready to return and it could be the most fuel efficient of all hybrids when it becomes available for sale next Spring. A Honda representative backed off from earlier claims that 60 mpg fuel economy is possible for the car and that initial $18,500 price may not hold. Still, it’ll sell for under $20K and beat the Prius by some $3K. I’m wondering just what all the talk about the $40K Chevrolet Volt is when a conventional hybrid can be made for such a low price.

Hyundai may not be a favorite brand (for me) but the Korean automaker continues to make a compelling pitch to consumers. Though I disagree with putting the Genesis under the Hyundai umbrella, the car is well made, fairly decent looking (I don’t like the sedan’s grill) and offers all of the amenities of a high end Mercedes, Lexus, or BMW at a price that cannot be beat. Hyundai is pressing forward with its own hybrid technology and has several diesel powerplants in the mix.

Today, Kia will get their chance to shine as the Kia Soul is officially unveiled. The Soul could be just the car Kia needs to move away from their cheap, plasticized look to something definitely not mainstream, but more Scion-like in appealing to young people. Kia, part of the Hyundai-Kia Automotive Group, hasn’t always been on equal footing with its Korean sibling, but the Soul just may change that.

One segment that won’t die anytime soon is the exotic car category. Here at the show, the entire Concourse Hall area has been set aside for Spyker, Rolls Royce, Lotus, Lamborghini, Aston Martin, Bentley and Ferrari. The Ferrari California is being featured and what a beauty of a car it is! Bentley has already shown the Azure and Lamborghini had their roll out yesterday. Besides Ferrari, other exotics on display include Lotus, Maserati and Spyker. Each of the latter will have their press conferences today with the Press Day concluding with a Design Challenge Award and the Faurceia conference — the French automotive parts supplier.

I’ll be wrapping everything up later today and flying home Friday morning with one eye on fast breaking industry news and other one on sifting through my pile of media stuff.