Honda will recall approximately 344,000 Odyssey and 68,000 Element vehicles from the 2007-2008 model years in the U.S. to modify the Vehicle Stability Assist (VSA) modulator. Honda has received customer complaints of brake pedals that feel “soft” or that gradually exhibit a pedal height that gets lower (closer to the floor) before the vehicle stops. In affected vehicles, this condition tends to very slowly increase over time. Honda is announcing this recall to encourage all owners of these vehicles to take their vehicle to an authorized dealer as soon as they receive notification from Honda that their vehicle is affected. Notification to customers will start at the end of April.

Some VSA modulators were assembled in a manner that could allow air intrusion, making it possible for air to enter the modulator during the VSA self-check mode. While only a miniscule amount of air can enter the system during each check, over a period of months or years, the air will accumulate and can result in the “soft brake pedal” or “low brake pedal” condition symptoms associated with this issue. Although not all vehicles being recalled are affected by this issue, we are recalling all possible units to assure all customers that their vehicles will perform correctly.

BMW India will start its used car business, ‘BMW Premium Selection’ from April this year aiming for at least 30% of its total sales in the country to come from it. The company will open the first showroom for pre-owned cars in Chennai on April 1 and follow it up with a showroom in Gurgaon by the third quarter of 2010. On an average a customer uses a premium of luxury segment car in India for 5.6 years. The vehicles will be selected from the owners only after a full inspection by BMW engineers and technicians. However only those cars which were purchased since the launch of BMW’s Indian operations in 2006 will be accepted from the owners. The firm will give a warranty for the cars to new customers.

“I want to make the announcement that we are starting our used-car business in India from April 1. The business will be known as ‘BMW Premium Selection’, in line with our global brand,” BMW India President Peter Kronschanabl said. “We want to create an entirely new business with our used-cars,” he added.

Nissan will start selling the Micra from July this year and aims to sell 80,000 units in the financial year ending March 2011. Exports, which will be a major portion of sales, will start in the second half of 2010. The Micra is based on the V-platform and is Nissan’s global small car.

Renault-Nissan Alliance Chairman and CEO Carlos Ghosn today joined more than 1000 guests in Chennai, India, for the inauguration of the first dedicated Renault-Nissan Alliance vehicle manufacturing plant. Representing an investment of 45 billion Rupees ($990 million) and with the capacity to produce 400,000 units per year at full ramp up, the new Chennai plant will initially employ 1,500 workers at start of production in May 2010. With a supplier park of six companies in Chennai, the company estimates a total of 6,000 jobs will be created in the region. The new plant will operate in full compliance with Alliance global manufacturing processes and quality standards. The new manufacturing process allows the plant to seamlessly mix production of both Renault and Nissan products on same line.

The first vehicle to be produced at the plant will be the new Nissan Micra, a global sub-compact. The Micra, production for which will commence in May 2010, is the also first vehicle derived from the new V-platform, is destined for the Indian market as well as for export to over 100 countries in Europe, the Middle East and Africa. In 2011, the plant will start production of the Renault Koleos and Fluence, both destined for the Indian market. Chennai already plays host to the Renault-Nissan Technology and Business Centre which is contributing to both partners’ global operations in the key areas of advanced research and development, advanced Computer-Aided Engineering, product development, digital vehicle development, information systems development and local and global parts sourcing.

Fiat India plans to expand the range of its current cars in India by launching more powerful versions of the Linea and Grande Punto. The company has been getting repeated requests from consumers for a more powerful Linea and keeping that in mind, they will launch the Linea with a 1.4L T-JET heart in July this year. The Fiat Linea 1.4 T-JET is expected to be priced around Rs. 8.5 lakhs (ex-showroom). Also on the cards is the Punto Sports (more can be read here) which is expected to cost Rs. 7.5 lakhs (ex-showroom).

“We have been getting a lot of requests from consumers asking for the Linea 1.4. Keeping that demand in mind, we will be launching the same in July. We would also be introducing Punto Sports sometime that period although work is still on the same and so any exact timeline is difficult,” Ravi Bhatia, vice president, Commercial for Fiat India said to Carwale.

The success of the Toyota Fortuner has prompted Mitsubishi to get its Pajero Sport in India. The Pajero Sport (also called Montero Sport or Challenger) is based on a new ladder-frame with high torsional rigidity improving the vehicle’s reliability in off-road use as well as improving handling and ride comfort. The Pajero Sport will be powered by a 3.2-liter common rail diesel engine that produces 163 HP at 3,500 rpm and 343 Nm of torque at 2,000 rpm. The engine is mated to a 4-speed automatic gearbox. The Pajero Sport is expected to be priced at Rs. 22 lakhs (ex-showroom, Mumbai).

The Pajero Sport uses an All Wheel Control-inspired Super Select 4WD driveline which feeds maximum drive torque to the wheels with the most grip. The Pajero Sport will  come with 3 rows of seats (7-seater) and the front seatbacks can recline completely to provide a flat surface together with the rear seats. The rear seats also boast a 150 mm slide travel, allowing various configurations for occupant and luggage spaces. The arrival of Bharat IV norms in April makes the current Pajero dated (emission wise) and the company will phase it out in the metros. The Pajero Sport is all set to replace the current Pajero in India by October, 2010. Now only if Mitsubishi really get the Lancer EVO X.

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Audi’s small car A1 is likely to hit the Indian roads by 2011. The smallest and the least expensive hatchback from the Audi stable, unveiled in the just concluded Geneva Motor Show, will first be launched in Europe this August. It is expected to be priced around €16,000 (about Rs 9.8 lakh). The premium small car may not come at a small price in India. A1’s pricing in India could turn out to be a challenge for Audi as completely-built units attract 110% customs duty. We expect the A1 to cost close to Rs. 20 lakhs when launched in our country.

The Indian launch could be by the end of 2011 or in 2012. In India, compared to other markets, the small car segment is extremely big. This is quite developed, compared to the high-end where we see demand still very small. But, on the lower end, there is a huge potential and A1 could be a major boost. The sporty premium compact car A1, which comes with turbo charged 1.2 and 1.4 litre petrol engines and 1.6 litre common rail diesel engine, plus a start-stop system, is globally pitched against BMW Mini and Alfa Romeo Mito. Audi also unveiled A1’s electric version, the A1 e-tron, at the Geneva show. Top company executives said it would be launched by 2014-15.

Renault-Nissan is looking at the burgeoning Indian automobile market with much focus and intends to become a significant part in the market over the next ten years. The inauguration of the Renault Nissan Alliance plant, the first green field project in India is a clear strategy for the company in India and a big part of this strategy is the Big Industrial complex starting production this year. The plant, which will have an initial capacity of 200,000 cars by the 2012, will be scaled up to 400,000 cars by the year 2015. The plant will be a major driver for Renault-Nissan’s objective in India.

The company doesn’t want to be a niche player in the Indian market, by selling imported cars, but develop into a full fledged player through local manufacturing with locally sourced parts produced to be marketed to the local market here in India. Their partnership philosophy in India has been sharing of technology and experience with their partner who in turn introduces them to frugal engineering and frugal product planning, thus, improving potential to produce vehicles for the developing markets.

Mr. Carlos Ghosn, CEO, Renault- Nissan said the following on Joint Ventures and Projects : -

The ULCC (Ultra Low Cost Car) project with Bajaj is currently underway. There are no plans to produce the ULCC at the Chennai facility. More details regarding the project will be announced after a formal contract is agreed upon with Bajaj.

The joint venture with Ashok Leyland for the LCV market is reaching fruition. The first product from this Joint Venture will be produced by mid 2011 and will be produced at the existing locations of the partners. The Greenfield project between the partners for the new product had been frozen due to the global economic crisis of last year. This project would be restarted as soon as the market conditions are favorable.

Renault Joint Venture with Mahindra and Mahindra – It is mutually agreed by both the partners that the market response to the Logan has been below expectations. There are discussions at this point for the repositioning and further simplification of the car. As soon as these discussions reach a conclusion they will be announced. Until then the Logan will stay on the roads and will continue its regular life cycle in the country.

The budget wasn’t positive for the auto industry with all manufacturers announcing price hikes, however Mahindra-Renault has just announced discounts of Rs. 50,000/- on the Logan Petrol. Although people assume these discounts are from dealers looking to clear stocks but the truth is that these discounts are straight from the company (which can be seen on their website). The diesel variant is the more popular (if you can say popular and Logan in the same breath) one and sees a discount of Rs. 18,000/- With just 4,981 units of the Renault Logan being sold in the April 2009 – February 2010 period, these discounts are set to continue for the times to come.

The strategy of having a small car in a car manufacturers portfolio in India is more of a necessity than anything else and Renault is no different. The French automaker will make its entry into the small car space with the next-generation Clio by 2011. The next-generation Clio will be based on sister concern Nissan’s V platform. The V platform is also used by the India bound Micra. Both the Clio and Micra are set to be produced at the firm’s Chennai facility.