FRANKFURT (AP):

Auto industry heavyweight Volkswagen AG expects the global car sector's sales in 2010 to come in at levels similar to this year's, a senior executive said Wednesday.

Wolfsburg-based Volkswagen said it delivered 4 million cars worldwide in the January-August period, a 2.1 per cent drop from record 2008 levels.

However, that compared with a decline of about 14 per cent in the global auto market. VW said it was making progress and gaining market share, especially in Germany, China and Brazil.

Balancing act at Ford

PLYMOUTH, Michigan (AP):

United Auto Workers union president Ron Gettelfinger said Thursday that while the group continues to discuss additional contract modifications with Ford Motor Co both sides are working to maintain a good relationship.

"It's a delicate balance," said Gettelfinger of Ford's desire to make changes and UAW workers' potential reluctance to further concessions.

Ford is looking to make minor contract tweaks to things such as work rules, in an effort to make its latest modified contract on par with General Motors Corp and Chrysler Group LLC. The companies' hourly workers approved concessions earlier this year before they entered bankruptcy protection.

GM sees modest sales

ORLANDO, Florida (AP):

US auto sales should improve modestly next year as tight credit for auto financing eases and the economy works its way out of the recession, General Motors Co's top executive said on Thursday.

CEO Fritz Henderson said he expects the auto industry to sell 11.5 million to 12 million cars and light trucks in the US next year, compared with about 10 million to 10.5 million vehicles this year.

Henderson spoke to reporters in Orlando on the last stop of a nine-city tour.

Chrysler revamps

DETROIT (AP):

Chrysler's new governing board will hear details of plans to revamp the automaker's struggling product line by adding models based on those made by Italy's Fiat Group SpA, a person briefed on the agenda said.

The board will consider a range of new vehicles, including a critical midsize car based on underpinnings now being developed by Fiat, said the person, who asked not to be identified because the board has not acted on the plan.

CEO Sergio Marchionne has said the product plan would be unveiled publicly in November.

Plant closure

LONDON (AP):

Jaguar Land Rover said Thursday that it plans to close one factory in England and is introducing a new model of the Range Rover sport utility in a bid to reverse recent losses.

The firm, owned by Tata Motors of India, said it will decide next year whether to shut its factory at Castle Bromwich, which makes Jaguars, or its Solihull plant, which makes Range Rovers.

No compulsory redundancies will be involved in the closure, the company said, but unions reacted angrily to the company's announcement that it will close its defined-benefit pension plan to new members, and make other changes for existing members.

Job cuts in Russia

MOSCOW (AP):

Russia's largest carmaker AvtoVAZ will lay off more than a quarter of its employees to battle spiralling losses, the company said Thursday.

A company statement said layoffs this year of up to 36,000 had been discussed, but the AvtoVAZ trade union provided a plan reducing that figure to 27,600 of its 102,000 workers.

AvtoVAZ is 25 per cent owned by France's Renault and has been losing money for years. Demand for its Lada sedans has fallen sharply in the economic downturn. AvtoVAZ's sales dropped by 44 per cent in the first six months of the year, according to the Association of European Businesses in Russia.

In June, it reported a 14.2 billion ruble (US$458 million) loss in June against a profit of 1.5 billion rubles a year earlier.

Company president Igor Komarov okayed the layoff plan at the meeting with the trade union on Wednesday.

High on luxury, low on emission

The BMW 320D is said to be the most fuel efficient and lowest emission in the BMW range.

The engine is a 2.0-litre aluminum four-cylinder turbo diesel which can exert 163 horsepower. The vehicle travels 0-60 miles per hour in 8.2 seconds and has a top speed of 225 km/h.

BMW states that the 320D will return a fuel economy of 4.1 litres per 100 km (68.9 mpg).

Mazda's makeover

Mazda UK recently announced that the new MPS Mazda 3 will go on sale in October 2010.

Only one trim level will be offered. The MPS offers a 2.3L turbocharged engine that emits 260 horsepower. It will do 0-100 km/h in 6.1 seconds with an electronically limited top speed of 250 km/h. Two-hundred-and-eighty pounds per feet of torque powers the front wheels through a six-speed gearbox.