🔮 Better than the Oracle? Our Fair Value found this +42% bagger 5 months before Buffett bought itRead More

Automakers struggle with the future in Los Angeles

Published 11/26/2017, 08:13 AM
Updated 11/26/2017, 08:20 AM
© Reuters. FILE PHOTO: The test vehicle Acura is using to test its autonomous Automated Drive is pictured at the 2016 Los Angeles Auto Show in Los Angeles
STLAM
-
MBGn
-
BMWG
-
TSLA
-
TAMO
-
VOWG_p
-
7203
-

By Joseph White

DETROIT (Reuters) - Car manufacturers' attempts to square what U.S. consumers want against the clean vehicles regulators and investors demand will be on display in Los Angeles this week at an auto show that has moved away from calling itself just an auto show.

Automakers on Monday will begin previewing new models for the media at an event called AutoMobility LA, reflecting an emphasis on digital technology and new ways to get around, such as self-driving cars. On Friday, the Los Angeles Auto Show will open to the public for 10 days, attracting visitors from one of the world's most affluent and culturally influential metropolitan markets.

For now, self-driving cars are not ready for consumers, and sales of the battery-powered vehicles demanded by California regulators remain marginal and money-losing. Profits are generated by gasoline-fueled sport utility vehicles and trucks.

Automakers caught between the petroleum past and the digital future will send muddled messages.

Volkswagen AG (DE:VOWG_p) will try to replace memories of the diesel emissions cheating scandal that tarnished its image with many California customers by promoting its $40 billion wave of electric vehicles.

In the next breath, the German automaker will tout its gasoline-fueled Audi A8 large luxury sedan, which can pilot itself under limited circumstances but is out of step with a market where buyers are switching to sport utility vehicles.

Rivals overshadowed by electric vehicle pioneer Tesla Inc (O:TSLA) are in a quandary, too. Despite a booming stock market, sales for luxury brands BMW, Daimler AG's (DE:DAIGn) Mercedes-Benz and Toyota Motor Corp's (T:7203) Lexus are down for the first 10 months of 2017.

BMW AG (DE:BMWG) is expected to roll out new versions of its i8 plug-in hybrid sports car. But for those not interested in electrification, the company will use the show to promote a high-performance version of its 5 Series sedan.

Tata Motors (NS:TAMO) unit Jaguar Land Rover will accompany its new gasoline-powered Range Rover SVAutobiography, billed as the "pinnacle" of a lineup that already has models priced above $100,000, with its first plug-in hybrid Range Rovers.

At AutoMobility LA, auto and technology industry executives will debate how ride-sharing, self-driving vehicles and electric cars will shape the future. At the auto show itself, the stars will be gasoline-burning SUVs, such as the Subaru Ascent, a large, three-row SUV from a brand known for compact, all-wheel-drive cars.

© Reuters. FILE PHOTO: The test vehicle Acura is using to test its autonomous Automated Drive is pictured at the 2016 Los Angeles Auto Show in Los Angeles

Fiat Chrysler Automobiles NV (MI:FCHA) will unveil a new Jeep Wrangler with styling that still harks back to the trusty vehicles that helped the United States win World War Two.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.