Free Newsletters - Space News - Defense Alert - Environment Report - Energy Monitor
. 24/7 Space News .




CAR TECH
Nissan profit tumbles on China, Europe woes
by Staff Writers
Tokyo (AFP) Feb 8, 2013


Renault to recall more than 60,000 cars in China: report
Beijing (AFP) Feb 10, 2013 - French car maker Renault has begun recalling more than 60,000 cars exported to China over problems with their fuel gauge sensors, China's consumer quality watchdog said, according to state media.

The recall affects 61,508 Koleos sports utility vehicles made between 2008 and 2012. After prolonged use, the fuel-level sensors fail to deliver correct readings and are unsafe, a government agency told Xinhua on Saturday.

This is not the first time the Koleos has encountered trouble in China, the number one car market in the world, where Renault is aiming to make a comeback through a joint venture with China's Dongfeng Motor.

More than 5000 Koleos vehicles were recalled last month over a welding defect, and in December 2011, Renault called back some 1,400 vehicles over a steering problem. The Koleos 4X4 represents the bulk of Renault sales in China.

Nissan's heavy exposure to China and recession-hit Europe slammed its earnings with the Japanese automaker saying Friday its net profit in the three months to December plunged 34.6 percent.

But the company, part-owned by France's Renault, added that a weakening yen, cost cutting and a planned slate of new models helped it keep its previous full-year earnings forecast unchanged.

Nissan Chief Executive Carlos Ghosn criticised his company's quarterly results, saying they fell below expectations as the automaker also reported that nine-month profit was down about 12 percent year-on-year.

The firm's global vehicle sales slipped 3.8 percent in the quarter to 1.16 million units, hit by slumping demand in Europe and tough conditions in China, the world's biggest vehicle market.

"Nissan's performance in the third quarter did not meet our expectations," Ghosn said in a statement.

"This was primarily the result of difficult operating conditions in Europe for the entire auto industry, in China for Japanese automakers, and in the US for Nissan."

Japan's second-biggest automaker is the most exposed to the China market among top domestic rivals Toyota and Honda, with its quarterly unit sales in the country down 15.6 percent.

Nissan's rivals reported a jump in earnings last week, as the country's automakers cemented a recovery from Japan's 2011 quake-tsunami disaster, although they have also been hurt by a Tokyo-Beijing diplomatic spat.

The long-standing feud flared in September when Tokyo nationalised some of a tiny East China Sea archipelago that is also claimed by Beijing, setting off huge demonstrations across China and a consumer boycott of Japanese brands.

Japanese factories and businesses across China temporarily closed or scaled back operations over fears of being targeted by angry mobs.

Ghosn had previously warned that Nissan would think twice about making new investments in China due to the row. It has several production plants there with a new factory in the northeastern city of Dalian planned for 2014.

A Nissan official said Friday the China market was "normalising", echoing similar comments from the firm's competitors.

Japanese automakers have also been hit by slumping demand in Europe, with Nissan's unit sales falling 16.2 percent on the continent in the quarter.

However, Toyota and Honda have said sales in the key North American market were improving, while Nissan's fell 6.6 percent in the quarter.

On Friday, Nissan said it earned 54.1 billion yen ($582 million) between October and December, down 34.6 percent from a year earlier, on sales of 2.21 trillion yen, down 5.3 percent.

Net income in the nine months to December was 232.4 billion yen, from 266.1 billion yen a year earlier.

However, Nissan expects a net profit of 320 billion yen in the fiscal year to March. The forecast is down 20 percent from an earlier estimate last year.

"We anticipate further yen correction... And we remain confident that we will meet our full-year outlook," Nissan said, adding that the company has "taken action to reignite our sales momentum and growth".

Japanese firms have struggled with a strong yen as it made their products less competitive overseas and diluted the value of repatriated foreign income.

The unit hit record highs around 75 against the dollar in late 2011, but it has fallen steeply in recent months. The greenback was trading above the 92-yen level in forex trade Friday.

"The impact of the yen's depreciation is a decisive factor for the Japanese auto industry and its positive impact will emerge toward the end of this fiscal year," said Koichi Sugimoto, an auto analyst at BNP Paribas.

"But we are also looking out for negative factors such as the uncertainties in China and stagnant European market."

Nissan shares slipped 0.60 percent to end at 987 yen in Tokyo on Friday, before the results were published.

.


Related Links
Car Technology at SpaceMart.com






Comment on this article via your Facebook, Yahoo, AOL, Hotmail login.

Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle




Memory Foam Mattress Review
Newsletters :: SpaceDaily :: SpaceWar :: TerraDaily :: Energy Daily
XML Feeds :: Space News :: Earth News :: War News :: Solar Energy News





CAR TECH
China auto sales hit record in January: industry group
Shanghai (AFP) Feb 7, 2013
Auto sales in China, the world's largest car market, hit a record 2.03 million vehicles last month, driven by robust demand ahead of the Chinese Lunar New Year, an industry group said Thursday. Auto sales tend to pick up before the holiday, which starts Sunday, as people spend their New Year bonuses. "There was evident growth of demand in the passenger vehicle market," the China Associat ... read more


CAR TECH
Building a lunar base with 3D printing

US, Europe team up for moon fly-by

Russia to Launch Lunar Mission in 2015

US, Europe team up for moon fly-by

CAR TECH
How The World's Saltiest Pond Gets Its Salt; Implications For Water On Mars

Lockheed Martin Completes Assembly, Begins Environmental Testing of NASA's MAVEN Spacecraft

NASA Curiosity Rover Collects First Martian Bedrock Sample

Sampling Several Rock Targets

CAR TECH
Supersonic skydiver even faster than thought

Ahmadinejad says ready to be Iran's first spaceman

Iran's Bio-Capsule Comes Back from Space

A Hero For Humankind: Yuri Gagarin's Spaceflight

CAR TECH
Reshuffle for Tiangong

China to launch 20 spacecrafts in 2013

Mr Xi in Space

China plans manned space launch in 2013: state media

CAR TECH
Progress docks with ISS

NASA to Send Inflatable Pod to International Space Station

ISS to get inflatable module

ESA workhorse to power NASA's Orion spacecraft

CAR TECH
Ariane 5 Arrives At Kourou For 4th Automated Transfer Vehicle Mission

Rocketdyne Powers Atlas 5 Upper Stage, Placing New Landsat In Orbit

Arianespace Launches Six Globalstar Birds Using Starsem Soyuz

Final checkout underway for the Starsem Soyuz launch with Globalstar spacecraft

CAR TECH
Direct Infrared Image Of An Arm In Disk Demonstrates Transition To Planet Formation

Kepler Data Suggest Earth-size Planets May Be Next Door

Earth-like planets may be closer than thought: study

Are Super-Earths Actually Mini-Neptunes?

CAR TECH
New classes of magnetoelectric materials promise advances in computing technology

Mercury contamination in water can be detected with a mobile phone

Scientists team with business innovators to solve 'big data' bottleneck

Looking out for lasers




The content herein, unless otherwise known to be public domain, are Copyright 1995-2014 - Space Media Network. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA Portal Reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. Advertising does not imply endorsement,agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. Privacy Statement