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Toyota Motor Sales' president, Jim Lentz, announced the company will not be battling truck giants Chevy, Ford, and Dodge for full-size supremacy. Automotive News presented this information in line with Toyota's recently announced 0 percent financing, designed to move slow-sellers like its new Tundra pickup. With Tundra sales down 60.7 percent compared to Chevy Silverado sales off only 3.9 percent, it is refreshing that Toyota is setting realistic goals for itself and its dealers.

Lentz blamed Texas and Indiana plant shutdowns as part of the reason for an abbreviated 2008 model year that saw abysmal Tundra sales. In addition, many past Tundra buyers are commuters who purchase based on image and are not necessarily truck devotees. This factor, in addition to economic realities and gas prices, makes it easier for Tundra buyers to walk away from a segment they were never wedded to in the first place.

Falling short of saying it has been cancelled, Lentz did say that development of a diesel engine for the Tundra has been shelved for the time being. Said Automotive News, "that's a big step back from Toyota telling dealers...that a diesel would arrive by 2010 or 2011."--Colin Mathews

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Reporting from the Paris Auto Show, Automotive News claims that Volvo plans to introduce diesel/electric hybrid vehicles by 2012. This makes it the first confirmed plan to mate a diesel engine with an electric motor in a mass-production car. Volvo also plans to implement engine start-stop technology beginning on some 2009 vehicles.

The diesel hybrids will first appear in Volvo's larger sedans, crossovers, and SUVs. The system consists of a front-mounted, front-wheel drive diesel powertrain and a rear-mounted, rear-wheel drive electric propulsion system. It has electric-only capability at low speeds. Magnus Jonsson, Volvo's senior vice president of R&D, said that plug-in hybrid models will come "very quickly" after the first hybrid models become available.

Because both diesels and electric motors produce the bulk of their torque at low engine speeds, the combination of the two hasn't been a popular one where fossil fuel/electric hybrids are concerned. But, conceivably, proper gearing will help keep the diesel's RPM low enough while cruising to boost efficiency. This seems like an ideal setting for a CVT transmission, where ratios can be adjusted infinitely.

Lex Kerssemakers, Volvo senior vice president for business and product strategy, said the firm is contemplating abandoning the V-8 engine that it recently installed under the hood of its S80 and XC90 vehicles. It will likely go back to turbocharged sixes if it nixes the V-8. Said Kerssemakers: "if the environment is changing, you can be stubborn, or you can look for alternatives."--Colin Mathews

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In a possible stroke of genius where small cars are concerned, one of the Detroit's Big Three is seriously considering bringing a small, Europe-only mini car to market in the U.S. Ford CEO Alan Mulally's shift was confirmed by Detroit News who said that "increased demand for small cars has led the automaker to revisit its decision not to bring the tiny European Ka model to the United States."

The new Ka (above) was just released at the Paris Auto Show last week. Detroit Free Press points out that "Ka is far smaller than the Focus, which is Dearborn-based Ford's only U.S. compact car." The Ka is similar in size to Daimler AG's Smaft fortwo mini car, making it even smaller than vehicles like Toyota's Yaris and Honda's Fit. Whether or not American consumers are ready to buy mini cars in numbers large enough to make an American Ka a worthwhile investment is up for debate. This year's economic downturn and gas price fluctuations have boosted Ford Focus sales some 24 percent.

In 2010, Ford also plans U.S. sales of its new global sub-compact, the Fiesta, and the superior European version of its popular Ford Focus.--Colin Mathews

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The Automotive Hall of Fame, located in Dearborn, Michigan, yesterday inducted eight new individuals (five posthumously) into its ranks. These individuals are being honored for their contributions to racing, design, manufacturing, the aftermarket, or management. The list of inductees is as follows: Paul V. Galvin, Mort Schwartz, Jack Telnack, Robert W. Galvin, Phil Hill, Bob Irvin, William Metzger, and John Willys. The organization is the only "industry-wide means to honor the men and women of the global motor and related industries."

Robert W. Galvin, born in 1922, is most notable for expanding Motorola's product range as well as heading up Motorola's Six Sigma quality management process. He is former Chairman, CEO, and President of Motorola.

Mort Schwartz, born in 1934, founded the Global Automotive Aftermarket Symposium and is considered by many to be the automotive aftermarket's greatest ambassador.

John J. "Jack" Telnack (1937 - ), as former head of design at Ford, was the man responsible for the game-changing '86 Ford Taurus as well as Ford's "Aero Look" and "New Edge" design philosophies.

Paul V. Galvin (1895 - 1959) was noted for the first commercial application of radios in autos, and was the co-founder of Motorola.

The recently departed, and much celebrated Phil Hill (1927 - 2008) was the first American - and the only American-born - race car driver to win the Formula 1 World Drivers Championship in 1961. He was also a three-time winner of the 24 Hours of LeMans.

Bob Irvin (1933 - 1980), was a famed automotive journalist who reported for UPI, Detroit News, and Automotive News.

William E. Metzger (1868 - 1933) stood significantly as America's first car dealer, founded Detroit's E-M-F Motor Company, and was a notable automotive pioneer and promoter.

John North Willys (1873 - 1935), took his place in automotive history as automotive pioneer and successful businessman, having founded the famed Willys-Overland and Willys-Knight auto companies.

The Hall of Fame honors four Young Leaders, individuals that it believes stand for the next generation of leadership in the industry. These are Lisa Drake - Chief Enginer for Global Hybrid Strategy and Applications at Ford, Trang D. Hamm - President and General Manager, Smart Center Portland and Smart Center Denver,  Mathew E. Hargett - Chief Engineer, Honda R&D Americas, and David M. Nowicki - Manager of Advance Program Engineering at Ford.

Rudolf Diesel, 18th-century inventor of the compression-ignition engine that makes efficiency wonders like Audi's A4 TDI concept e possible, was honored by the Automotive Hall of Fame in 1978. They note that "as early as 1912, he encouraged design engineers to consider air pollution and limited natural resources in their developmental work."--Colin Mathews

On Tuesday, President George W. Bush lent his John Hancock to a $634 billion spending bill that includes the $25 billion low interest government-backed loan guarantees that the domestics have all but been begging for. The loan is intended to provide the capital necessary for automakers to retool plants so that they may begin producing more advanced, fuel-efficient vehicles. The vehicles produced under these terms need to be at least 25 percent more fuel efficient than required by current industry mandates.

This support from the President, whose advisors were split on whether or not to back the bill, is arguably essential for the survival of GM, Ford, and Chrysler. It allows them to borrow at interest rates of around five percent, a comparatively affordable rate next to the 15+ percent rates the beleaguered companies would face on the open market. The Detroit News claims that this governmental assistance "could save Detroit's Big Three more than $100 million per $1 billion borrowed."

Loan repayment terms are 25 years, with a five-year deferment. A $7.5 billion insurance cost for the loans and possible deferment was approved by Congress.

After commending Congress and the President for their action, GM spokesman Greg Martin made a rather convoluted statement that seems to be a gentle plea for more money down the road: "now, we need the rulemaking process to keep pace with the urgency in which we're developing new technologies." As we read it, "rulemaking process" = Federal purse-string oversight, and keeping pace "with the urgency in which we're developing new technologies" = giving domestic automakers more money if they need it for technology that's going to be all but required to meet new fuel economy regulations.

Brace yourselves, American taxpayers. And, Big Three, don't you dare spend our money on more SUVs.--Colin Mathews