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Nutson's Weekly Automotive News Nuggets May 21-27, 2018: FCA Cruise-control Disaster And Jeep Recall; MAMA Spring Rally - Nissan And Lots Of Driving; Apple and VW Partnership; Gas Prices Up; China Drops Import Car Tariffs; Autonomous Cars Be Afraid Be Very Afraid; Posche Recall; Rivian A Go; NASCAR H of F Inductees; Big Racing Weekend


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AUTO CENTRAL, CHICAGO - May 27 2018; Every Sunday Larry Nutson, Senior Editor and Chicago Car Guy along with fellow senior editors Steve Purdy and Thom Cannell from The Auto Channel Michigan Bureau, give you TACH's "take" on this past week's automotive news in easy to "catch up" news nuggets. For More search the past 25 year's millions of (Indexed By Google) pages of automotive news, automotive stories, articles, reviews, archived news residing in The Auto Channel Automotive News Library.

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Nutson's Automotive News Nuggets May 21-27, 2018

* During a media briefing that took place this week at the Midwest Automotive Media Association's (MAMA) Spring Rally in historic racing's Elkhart Lake Wisconsin's Road America, Nissan debuted the 2019 Altima Edition ONE to Midwest auto journalists including The Auto Channel's Chicago Car Guy Larry Nutson and Steve Purdy Bureau Chief of TACH's Michigan Bureau as well as Thom Cannell. We also got behind the wheel of many new vehicles ranging from the new Hyundai Kona to the $421,000 Roll-Royce Black Badge Wraith. Watch for our personal thoughts, opinion and observations in later publications.

* The latest in the Trump administration threats against the global auto industry is now an investigation into raising import tariffs on the grounds of national security. China, Japan and EU makers condemned the move. The move would hurt U.S. consumers as well as GM, Ford and FCA.

* The New York Times reports that Apple has signed a deal with Volkswagen to turn some of the carmaker’s new T6 Transporter vans into Apple’s self-driving shuttles for employees. At a lab near Turin, Italy, run by a Volkswagen subsidiary called Italdesign, the companies plan to remake Volkswagen’s T6 vans as electric self-driving shuttles, according to the NY Times article. The frame, wheels and chassis of the T6 vans will remain, but Apple is replacing many components, including the dashboard and seats, said people familiar with the project. Apple is also adding other computers, sensors and a large electric car battery, they said. The shuttles will ferry employees between two of Apple’s Silicon Valley campuses, and will include a driver behind the wheel to take control if needed, as well as an operator in the passenger’s seat tracking the van’s performance.

* A tweet from Tesla founder and CEO Elon Musk this week my have him in hot water with the National Labor Relations board. Musk suggested that if workers at the Fremont, CA plant organize under the UAW they will loose their stock options. At least that is the way it is being interpreted by regulators. Musk and Tesla have been accused of anti-union activities and abuses of their workforce over the past few years.

* Federal investigators confirmed that the self-driving Uber vehicle that killed an Arizona pedestrian did not stop because the system used to automatically apply brakes had been disabled. Uber said this is to avoid erratic behavior and instead relies on a human back-up driver, who in this case was (um) distracted. Meanwhile, Uber announced this week it has ended its self-driving program in Arizona after the fatal crash. Similar Uber research programs in Pennsylvania and California will continue but in a more limited form.

* Gasoline prices for this Memorial Day weekend have jumped to a national average of $2.96. Prices in the midwest are especially high due to short supply, with Chicago area prices averaging $3.29. Inspite of gasoline prices AAA says 36.6 million drivers will hit the road.

* Historically, we expect significantly higher fuel prices will be reflected in dealers’ showrooms as customers opt for smaller, more fuel-efficient vehicles. Not so this time. The Kelley Blue Book Current Events Panel released a study this week showing that 20% of respondents expect fuel prices to rise this year, but 60% report it is unlikely to affect their purchase decisions. The study found that purchase decisions for most respondents will be affected only when gasoline reaches $4/gallon.

* Chinese officials announced a drop in import tariffs on passenger vehicles from 25% to 15% along with a cut in tariffs on auto parts and components to 6%. That did not impress critics like Elon Musk and President Trump who continue to see Chinese trade practices as one-sided. Worries of a trade war between the U.S. and China, threatened by the Trump administration, have eased as both sides seem to be softening their positions.

* Fear of autonomous cars rises after high-profile fatalities, AAA survey finds. Consumer trust in self-driving cars has plummeted following high-profile roadway fatalities, with almost three-quarters of Americans now saying they are too afraid to ride in an autonomous vehicle. The fear factor reported by 73 percent of those polled last month was up 10 points from late 2017 and nearly erased gains from the 78 percent afraid of automated cars early last year. The biggest surge in anxiety comes from young adults, ages 20 to 37, with 64 percent now saying they're afraid to ride in a self-driving car, up from 49 percent at the end of last year. The so-called millennial generation had previously been the most accepting of the new technology.

* Fiat Chrysler Automobiles issued a recall this week for 4.8 million U.S. cars, SUVs, crossovers and pickups over a defect in the cruise control that could prevent the system's deactivation. The fix involves a software upgrade and owners are cautioned not to use the cruise control until taken care of. No crashes or injuries have been reported as result of the problem. Another half million vehicles are affected in Canada. Nearly a dozen models from 2014 to 2019 are involved.

* Fiat Chrysler Automobiles is also recalling more than 51,000 of its 2018 Jeep Cherokees because of a fire risk coming from fuel-supply tubes that could leak. The campaign is limited to Cherokees with a 2.4-liter engine and does not include the refreshed 2019 Jeep Cherokee.

* Long emergency stopping distances, difficult-to-use controls and a harsh ride stopped Tesla’s Model 3 electric car from getting a recommended buy rating from Consumer Reports. Consumer Reports says the car has exhilarating acceleration and handling. But testers were troubled by its 152-foot average stopping distance from 60 miles per hour in emergency braking tests. The distance was worse than any modern car Consumer Reports has tested and is about 7 feet longer than a Ford F-150 pickup truck. Tesla says its own tests found 60-to-zero braking distances averaging 133 feet. It also says it continually does software updates to improve factors such as stopping distance. The Model 3 is Tesla’s first attempt to appeal to mass-market buyers. The car that starts at $35,000 has been plagued by production delays.

* Porsche must recall almost 60,000 sport utility vehicles in Europe to fix manipulated diesel engines after the German auto industry regulator found software functions that are illegal. Inspections of Macan and Cayenne SUVs found they contained software that could reduce emissions controls for smog-inducing nitrogen oxide, the German transport ministry said in an emailed statement. Porsche, a unit of Volkswagen AG, confirmed it received notifications for the recall from the regulator this week. The recall, for 52,831 Macan 3.0-liter V6 and 6,755 Cayenne 4.2-liter V8 vehicles, marks the latest setback in VW’s efforts to draw a line under the diesel-emissions scandal the world’s biggest carmaker has battled since September 2015. Last week, Porsche’s sister brand Audi suspended deliveries of the current A6 and A7 models, continuing a drip-feed of recalls that are a blow to the brand’s image.

* Startup Rivian Automotive has secured a $200 million loan to begin producing electric vehicles at the former Mitsubishi plant in Normal, Ill., by 2020. The Michigan-based company has yet to unveil a single vehicle design, but Rivian seeks to gear up for its initial models — a fully electric five-passenger pickup truck and seven-passenger SUV.

* Elected to the NASCAR Hall of Fame in voting by a panel of NASCAR officials, track owners, drivers, team owners and journalists were four-time champ Jeff Gordon, current team owners Jack Roush and Roger Penske and late drivers Alan Kulwicki and Davey Allison. They will be inducted Feb. 1 next year.

* Memorial Day weekend brings race fans joy with the Monaco Grand Prix F1, Indy 500 and the NASCAR Coca Cola 600. Have a safe and happy Memorial Day.