WORLD AWARDS THE ROAD AHEAD

INTRODUCTION

Mike Rutherford Vice-Chairman, World Car Awards

World Car Awards Vice-Chairman, Mike Rutherford

Mike Rutherford, WCA Vice-Chairman, focuses on the end of March. And scores of major car makers plus the brands, global vehicle manufacturing groups, countless smaller but still important niche manufacturers continents and countries that have enjoyed the most in all corners of the globe are desperate to get their hands success so far in the 2016 World Car Awards. on them.

Car awards don’t come bigger - or more sought-after - than But at this delicate, tense, deliciously exciting stage of the those presented by WCA every Springtime in America’s 2016 competition, the cold and harsh truth is that only 14 most exciting city. manufacturers from seven car producing nations are still in the running for WCA glory at our awards ceremony on Trouble is, there are only five large and heavy trophies the morning of the second press day (March 24) at the New up for grabs at our prize-giving ceremony in New York at York International Auto Show. THE ROAD TO WORLD CAR TAKES MANY PATHS

For the World Car Awards programme, its hundreds of media and VIP guests, plus those 14 quietly confident but nervous manufacturers representing just seven car producing nations, March 24 2016 will be a bit like the automotive equivalent of Olympic Finals day.

Every car or car manufacturer who has made it through to this late stage of the WCA process can consider itself victorious in the sense that it has officially qualified as a 2016 WCA Finalist - and nobody can ever take that fact away from such vehicles and their makers. Hyundai is a welcome newcomer to the WCA finals But there’s a difference between being a worthy finalist and an outright winner of a World Car Awards trophy. But here’s another way of looking at it. In terms of car manufacturing groups rather that individual marques - is a no fuss, less is more company that should never JLR (Jaguar Land Rover) is better placed than any other in be under-estimated. And as Table 1 (next page) suggests, the world for a WCA win or wins as it has qualified with an of all the firms in all the world it’s this one that’s surely one unprecedented six finalists. of the favourites to return from NYC to its home town of Hiroshima in possession of at least one World Car trophy. JLR enjoyed its best ever year in 2015 when it became the fastest-growing group on the planet for vehicle sales. But After all, the Japanese maker of urban, family and sports as 70-plus World Car jurors across the globe have recently has qualified with more finalists (four) than any other decreed via the ballot box, Jags and Land Rovers aren’t brand. just selling better than ever - they’re also stronger than ever contenders for World Car trophies in NYC. But Audi, BMW, Jaguar, Land Rover, Mercedes and Toyota (all on three) are joint second favourites, with As for continents and countries, it’s an astonishing fact (two) just behind them, and , Honda, Hyundai, that at the awards ceremony, Europe will have more Skoda, Volkswagen and Volvo the outsiders (with one finalist cars than all the other parts of the world combined. apiece). And Germany just manages to edge out increasingly strong Japan and England the underdog, as the nation with the most finalists.

Not that any of this guarantees World Car wins for the biggest, strongest, firms, regions or countries.

Hyundai and Skoda are welcome newcomers to the WCA Finals. And, respectively, they might - just might - further upset the global ‘automotive establishment’ by departing New York and returning to South Korea and the Czech Republic armed with coveted World Car trophies.

Frankly, I wouldn’t bet against it.

Mazda is surely one of the favourites to bring home a WCA trophy THE ROAD TO WORLD CAR TAKES MANY PATHS THE STATE OF THE CAR FIRMS & CAR-PRODUCING NATIONS

FINALIST CARS PER FINALIST CARS PER BRAND CONTINENT

MAZDA 4 EUROPE 18 AUDI 3 ASIA 9 BMW 3 NORTH AMERICA 3 JAGUAR 3 LAND ROVER 3 FINALIST CARS PER MERCEDES-BENZ 3 NATION TOYOTA 3 CHEVROLET 2 GERMANY 10 CADILLAC 1 JAPAN 8 HONDA 1 UK 6 HYUNDAI 1 USA 3 SKODA 1 CZECH REPUBLIC 1 VOLKSWAGEN 1 SOUTH KOREA 1 VOLVO 1 SWEDEN 1

FINALIST CARS FINALIST CARS PER PER VEHICLE NATION - PERCENTAGE MANUFACTURING SHARE GROUP GERMANY 33.3% JLR 6 (UK) JAPAN 26.7% VW 5 (GERMANY) UK 20% MAZDA 4 (JAPAN USA 10% BMW 3 (GERMANY) CZECH REPUBLIC 3.3% DAIMLER 3 (GERMANY) SOUTH KOREA 3,3% GM 3 (USA) SWEDEN 3.3% TOYOTA 3 (JAPAN) HONDA 1 (JAPAN) HYUNDAI 1 (SOUTH KOREA) VOLVO 1 (SWEDEN) THE ROAD TO WORLD CAR TAKES MANY PATHS

2016 FINALISTS BY MANUFACTURER

AUDI HYUNDAI MERCEDES-BENZ AUDI A4 SEDAN / AUDI HYUNDAI TUCSON – MERCEDES-AMG C A4 AVANT – WORLD CAR WORLD CAR OF THE 63 COUPÉ – WORLD OF THE YEAR YEAR PERFORMANCE CAR AUDI Q7 – WORLD MERCEDES-BENZ GLE LUXURY CAR JAGUAR COUPE – WORLD LUXURY AUDI R8 COUPE – JAGUAR XE – WORLD CAR WORLD PERFORMANCE CAR OF THE YEAR AND MERCEDES-BENZ GLC CAR WORLD CAR DESIGN OF – WORLD CAR OF THE THE YEAR YEAR BMW JAGUAR XF – WORLD BMW 330E PLUG-IN- LUXURY CAR SKODA HYBRID – WORLD GREEN SKODA SUPERB – CAR LAND ROVER WORLD CAR OF THE BMW 7 SERIES – WORLD LAND ROVER DISCOVERY YEAR LUXURY CAR SPORT – WORLD CAR OF BMW X1 – WORLD CAR THE YEAR AND WORLD TOYOTA OF THE YEAR CAR DESIGN OF THE TOYOTA PRIUS – WORLD YEAR CAR OF THE YEAR RANGE ROVER TOYOTA MIRAI CADILLAC CT6 – WORLD SPORT SVR – WORLD (HYDROGEN FUEL CELL) CAR DESIGN OF THE PERFORMANCE CAR – WORLD GREEN CAR YEAR TOYOTA PRIUS (HYBRID) CHEVROLET CAMARO – MAZDA – WORLD GREEN CAR WORLD PERFORMANCE MAZDA CX-3 – WORLD CAR CAR OF THE YEAR AND VOLKSWAGEN CHEVROLET VOLT – WORLD CAR DESIGN OF VOLKSWAGEN PASSAT WORLD GREEN CAR THE YEAR GTE – WORLD GREEN MAZDA MX-5 – WORLD CAR HONDA CAR OF THE YEAR AND HONDA CIVIC TYPE R I – WORLD CAR DESIGN OF VOLVO WORLD PERFORMANCE THE YEAR VOLVO XC90 – WORLD CAR LUXURY CAR

THE ROAD TO WORLD CAR TAKES MANY PATHS CES HIGHLIGHTS 2016 Las Vegas challenging Detroit for the cream of new concept reveals

BY PETER LYON, CHAIRMAN OF THE WORLD CAR AWARDS

At this year’s Consumer Electronics Show (CES) in Las Meanwhile, Ford kicked off its press conference at CES by Vegas, the world’s top technology companies unveiled revealing plans to expand aggressively into the $5.4 trillion their coolest new products from virtual reality to smart transportation services market, having struck a new deal home gadgets, and autonomous driving ideas to the latest with Amazon’s Echo and Alexa voice-recognition service. in hardware. Let’s take a brief look at some of the automotive highlights. The company also shared plans for autonomous vehicles using LiDAR sensors, vision, ultrasonic and radar to sense In a sign of the times, CES’s focus has changed over the past a car’s external environment. several years to the extent that it is now vying with NAIAS as a global stage to launch new automotive technology and even new models - like the Chevy Bolt electric car.

For those buyers who can’t splurge on a Tesla, the 4-door Bolt hatchback is being hailed as revolutionary in that it can travel over 200 miles on a charge, costs less than $30,000 (with tax credits) and will go on sale in 2017.

Dr. Herbert Diess on stage at the Consumer Electronics Show

Volkswagen’s new CEO, Dr. Herbert Diess, appeared on the CES stage with a long apology to the American people for the company’s problematic emission systems issues. Diess then demonstrated Volkswagen’s vision for cars of the future.

Chevrolet Bolt hatchback: “Revolutionary” THE ROAD TO WORLD CAR TAKES MANY PATHS

Volkswagen’s e-Golf Touch is a prototype electric vehicle featuring a 9.2 inch touch infotainment system that takes input via voice and gestures. Looking further into the future, the Volkswagen BUDD-e is a long-range all-electric microbus developed from the original VW Bus.

It does away with door handles and can be opened using voice command or hand gestures. In addition to a unique rear-mounted “drop-box,” which works like a 24-hour mail box allowing packages to be deposited anywhere, on-board apps feed connectivity to the driver’s smart home in a process that can unlock home doors for guests from an owner’s car, check the contents of a fridge or put appliances in “away mode” when you drive away. Future captured the stand out award for its FFZERO1

Toyota showed off a variety of concept cars including its Precariously perched under a huge metal structure, Audi’s continued push towards hydrogen-powered vehicles with virtual dashboard using AMOLED screens and haptic the FCV Plus. This fuel cell concept is designed to run on feedback was impressive. hydrogen, but also capable of using hydrogen from an external tank to generate electricity for a home or office. Mercedes Benz unveiled a called the Intelligent The company’s research boss showed rare brevity in Aerodynamic Automobile (IAA). In a vehicle boasting reference to autonomous vehicles by stating that much of features that reminded onlookers of the protagonist’s the science to get fully-autonomous cars on the road has car in Luc Besson’s “Taxi,” this show car transforms into yet to be developed. aerodynamic mode extending its tail by 15 inches, and expands its wheel rims outwards when it reaches 50mph. Fiat was all about in-car connectivity, unveiling the latest version of their Uconnect system that supports both captured the stand out award at CES Apple CarPlay and Android Auto. A new Charger this year for its outrageously styled FFZERO1, a 1,000 with custom law enforcement displays and controls was horsepower electric concept car that supposedly will also featured. leap from zero to 60 mph in under three seconds. But the company also raised eyebrows for showing a “hypercar” that has no working prototype. Indeed, the car was criticized by some local media as a “hypecar” and not a “hypercar.” Faraday’s dubious funding was also revealed to come from Chinese billionaire Jia Yueting with news that the company has plans to break ground on a $1 billion factory north of Las Vegas in the coming weeks.

And last but not least, who could resist the world’s first Jetson’s-like one-manned drone “ehang 184” from Chinese company Ehang? It has four arms and 8 propellers, features a top speed of 62mph, and pre-programmable automated flight from point A to B. The ultimate in autonomous driving, oops flying. ehang 184 drone: Who could resist? THE ROAD TO WORLD CAR TAKES MANY PATHS AUTONOMOUS CARS: SO NEAR AND YET SO FAR

BY GERRY MALLOY, WORLD CAR AWARDS DIRECTOR AND PRESIDENT

Autonomous cars are coming. On that point virtually everyone in the industry agrees.

But beyond that point there is very little agreement, particularly in terms of when they will arrive and just what form they will take when they do.

If many mass media reports are to be believed, they’ll be here by 2020 if not before. Some have proclaimed they’re here already.

They can be forgiven for such pronouncements for, in many cases, they are driven by the hyperbole of automakers, or in some cases ‘wannabe’ automakers, themselves. Dr Gill Pratt: Toyota Research Institute CEO

Several manufacturers have publicly set a 2020 target for the technology, raising collective expectations. And the Research Institute, summed the situation up concisely: use of terms such as “Autopilot” for the latest iteration of Tesla’s Advanced Driver Assistance System (ADAS), for “These systems (at their current stage of development) example, confuses the issue further. can only handle certain speed ranges, certain weather conditions, certain street complexity, or certain traffic.” What is not being said, at least not very loudly, is that there are multiple levels of autonomy, at least in the current He added that, “Most of what has been collectively lexicon, and what is being touted for 2020 or before is a accomplished has been relatively easy because most long way from the fully driverless, go-anywhere in-any- driving is easy. Where we need autonomy to help us is weather vehicle that the term evokes in many minds. when the driving is difficult.”

In a presentation at CES 2016 in Las Vegas, Gill Pratt, CEO To expand on that point, the U.S. National Highway Traffic of the recently-established, billion-dollar funded, Toyota Safety Administration (NHTSA) has developed a hierarchy THE ROAD TO WORLD CAR TAKES MANY PATHS

of vehicle automation, where ‘Level 0’ is no autonomy at all Some of the challenges to getting there are technical – and ‘Level 4’ – the highest level – is no driver input at all. things like a lack of international protocols and standards that allow vehicles to communicate with each other. And On a larger scale, the International Organization of Motor mapping technology sufficient to locate the vehicles Vehicle Manufacturers (OICA) has established a similar precisely without relying on visual cues, particularly in bad ladder of automation levels ranked from 0 to 5. weather. Others are regulatory, or even ethical.

In either case, vehicles at the highest level will need One of the problems already encountered with autonomous destination or navigation input but won’t require that a test vehicles is that they may be too cautious. By sticking driver be prepared to take control at any time during the rigorously to speed limits and traffic laws, they’re out drive. of step with other traffic and may become targets for collisions with other vehicles. That initial input might even be provided remotely, so the vehicle could operate without anyone on-board. They’ll Those closest to the challenges are, perhaps, the most also be capable of operating on any road in any weather cautious in predicting when they’ll all be overcome. conditions, at least to the same extent that a human driver could. Axel Gern, head of the autonomous vehicle department at Mercedes-Benz Research and Development North We’re not there yet. Not even close, beyond some very America, is optimistic about the near-term potential for narrowly defined locales and circumstances. autonomous operation in prescribed highway driving conditions. But when asked about full autonomy in dense Where we are, with today’s most sophisticated ADAS, is city environments, he opined that 10 years would be “a well along the path to semi-autonomous driving – near very aggressive timeline!” autonomous in many highway driving scenarios. But that next step is a big one. THE ROAD TO WORLD CAR TAKES MANY PATHS AUTONOMOUS DRIVING : TRENDS AND INSIGHTS

BY BERND HITZEMANN, CHIEF OPERATING OFFICER AT PRIME RESEARCH UK

not important at all mixed very important

Brake Assist Systems Strongly safety-related Pre-Crash Systems

Intelligent Lights ? “How important and desirable are the following ‘Advanced Pedestrian Detection Driver Assistance’ features from your point of view?” Blind Spot Detection “Systems became much better in recent years” Adaptive Cruise Control

Automated Crash Reporting

Traffic Sign Recognition 2013 Expert Panel Attention Assist Lesser degree 2014 of autonomy Nightvision Systems Expert Panel

Lane Keeping Systems 2015 Expert Panel Park Assist

Autonomous Driving

-3 -2 -1 0 1 2 3 The exposure of autonomous driving substantially increased The once most hated advanced driver assistance feature over the last five years through special events, concept and “Autonomous Driving“ has turned into one of the most serial production cars. The steep learning curve over the last admired features in 2015. In just three years, what a turn- three years also changed journalists‘ perceptions. around!

mixed challenging very challenging Legislation is the BIGGEST challenge to enable autonomous driving Legislation (on federal & national level) Safety is thekey to consumer Safety acceptanceof autonomous driving. Industry standards for Car-to-Car and Car-to-X communications Ethics (e.g. system decision in crash situation)

Integrity of technology ? “From your point of view, how challenging are the Consumer acceptance following aspects to enable autonomous driving?” Infrastructure investments

Data protection

Extra costs

New players (like Apple, Google)

New business models & scenarios 2015 (e.g. car sharing) Expert Panel

0 1 2 3 THE ROAD TO WORLD CAR TAKES MANY PATHS EMISSIONS WAKE-UP CALL – CRISIS OR OPPORTUNITY?

BY SIDDHARTH VINAYAK PATANKAR, WORLD CAR AWARDS DIRECTOR

It has been several years now that the automobile industry The first is what more consumers now know – emission has had to keep up with tougher and tighter emission regimes are not uniform the world over – and different norms in various markets. countries have norms that clamp down on different components of tailpipe emissions. That one player chose to do this by adopting unfair and deceptive means is unfortunate. But the fallout of the Most consumers the world over are happy to simply know Volkswagen scandal has stayed relatively focussed on VW that their vehicle meets local requirements – assuming itself and not the industry at large. that it meant the vehicle is good on all kinds of possible pollutants.

The VW scandal has highlighted how the US’s EPA (Environmental Protection Agency) is tougher on nitrogen oxides, while the European emission control has been skewed towards carbon oxides.

Let us leave the political reasoning out of this disparity for now – though there is one – and accept that this is also led by consumer preferences in fuel type etc. This will get more uniform now as more and more countries start to get serious about holistic emission control that is not specific to just one kind of noxious gas or particulate.

The second factor is perhaps one the industry needs to start addressing quicker. So far we have had two parallel The fallout of the Volkswagen scandal has stayed relatively worlds if you will. One which saw the developed world really focussed on VW itself start to go hard on tailpipe emissions and the developing countries staying far behind.

But the emissions crisis that the industry faced courtesy The rationale was that they needed to work their way – of that scandal actually points to two very glaring facts – or catch up as it were. But the Kyoto protocol and more one for the industry and one for the consumer – that had recently the Climate Conference in Paris have highlighted perhaps gone unacknowledged until 2015. the need for that catch up become accelerated. THE ROAD TO WORLD CAR TAKES MANY PATHS

A country like India has also seen a sudden change in Soon we will find similar requirements coming from the people’s perceptions that is leading government and likes of Indonesia, Vietnam, and perhaps the next such judiciary to take action against high levels of pollution. wave would come from parts of Africa.

The fact that consumers will pressure such a change is no longer surprising, and nor is it something manufacturers wouldn’t already have thought of in their future planning.

That they may now need to do it sooner even by law – is something that they will need to take into account very quickly.

The ones who do will have huge benefits almost immediately, and those who do not will lose share almost overnight. Is that a wake-up call?

Perhaps it is – but having a more uniform production cycle for all vehicular engines (and not just platforms and model Volkswagen 1.6 TDI engine lines), will eventually begin to benefit industry with its economies of scale much more, than the hurt it will feel in the immediate term while it gets there. Now it is very true that automobiles are not the sole contributor to that pollution, but tighter emissions will now become one of the steps these nations need to take to help meet the commitments they made at Paris.

India for instance has already advanced its move to Euro VI levels of emissions by 2020 instead of 2024 (India currently has Euro IV norms in the top cities, and Euro III elsewhere).

This will mean the automobile makers and oil refining players will need to speed up their readiness – which in turn means larger investments in the shorter term. India is not the only such example.

Volkswagen CEO Matthias Müller at a recent VW press conference PARTNERS

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