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U.S. cars top European in reliability
Tue Mar 9, 6:47 AM ET

By Matt Nauman, Mercury News

For the first time in 25 years, European cars aren't as reliable as those made by U.S. automakers, Consumer Reports magazine says in its annual auto issue that hits newsstands today.

Asian automakers continue to lead the industry, the magazine says, but domestics topping the Europeans is a sea change.


Especially considering the high quality of cars the Europeans have been known for, "this year they seem to have dropped considerably," said David Champion, senior director of Consumer Reports' auto test department and head of its 327-acre testing facility in Connecticut.


In all, only eight of 41 European cars and trucks tested by Consumer Reports' editors and evaluated by their readers earned the coveted "recommended" check mark.


They were: BMW 3-Series, Porsche Boxster, Saab 9-3 and 9-5, Volkswagen Passat six-cylinder, Volvo S60, S80 and V70.


European bestsellers such as the Audi A4, BMW 5- and 7-Series, Land Rover Discovery, Mercedes-Benz C-, E- and M-Classes, Mini Cooper, Volvo XC90 and VW Golf, Jetta and New Beetle aren't recommended.

In a telephone conference with reporters, Champion revealed a startling statistic: a new 2003 BMW 7-Series sedan has more problems than an 8-year-old Lexus LS 400 sedan


Consumer Reports confirms a growing awareness of less-than-perfect quality with the cars and trucks made by European automakers.


Last year, J.D. Power and Associates' Vehicle Dependability Study of 3-year-old vehicles showed "substantial quality gaps" between domestic and European models. On average, European vehicles had 49 more problems per 100 vehicles than did U.S. cars and trucks at three years of ownership.


Will growing awareness of quality problems begin to affect the reputation and sales of European cars?


"I'm sure it will," Champion said. "People who buy these expensive cars tend to be busy people. Any down time in their day is a big annoyance to them."


A Mercedes-Benz spokeswoman said via e-mail that her company wouldn't comment on the findings until it got more specific details from Consumer Reports. A call to the U.S. headquarters of Volkswagen in Auburn Hills, Mich., wasn't returned Monday.


Most of the problems with European cars, according to Champion and Rik Paul, the magazine's automotive editor, relate to electrical systems and power components such as seats.


European brands such as Mercedes-Benz, BMW and Audi "do tend to make very complicated vehicles," Champion said. Still, vehicles from Lexus and Infiniti offer similar complexity without similar problems, he said.


And, Paul noted, the problem more precisely is an apparent lack of progress rather than lack of quality.


The number of problems with European vehicles actually fell from about 21 per 100 vehicles in 2002 to 20 in 2003. Domestic vehicles, however, fell from about 21 in 2002 to about 18 in 2003.


The average for all vehicles in the survey is 17 problems per 100 vehicles, while Asian models only have 12 problems.

D2-AUTOSPORT

Great post E, this is truly a disturbing find, the fact the European marques are below the Japanese in reliability is not big deal, nothing new. But the fact that some have slipped below American cars is not good at all.

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I'm sure it will," Champion said. "People who buy these expensive cars tend to be busy people. Any down time in their day is a big annoyance to them."

I truly believe this, reliability (IMHO) is an integral part of the luxury-upscale car experience. When you purchase a S600, yet people see you driving a C220 alot, they start to wonder how great that big bad Benz really is! I think the upscale image is not having to tell people your car is "in the shop" LOL

Quote:

Most of the problems with European cars, according to Champion and Rik Paul, the magazine's automotive editor, relate to electrical systems and power components such as seats.

This also bothers me, I do not know why the European automakes insist on being so stubborn and will not farm out the electronics development to the pros- the Japanese! When I was selling my 1st Gen I was SERIOUSLY considering a 00-01 E430 (I really like those cars) but I joined M/BWorld and started a reliability thread. I got some eye opening answers from honest owners, people replacing climate control units, window switches, radios, etc etc. Could you imagine replacing those bits while not under warranty? The sad part is, they are not bad cars, its not as if the engines are weak, or the tranny's are crappy (a few BMW and M/B isolated issues, notwithstanding). So how sad is it to have a great brand with beautiful powerful machines have its reputation tarnished by a faulty climate control unit?

KVA

Very interesting read...hopefully they will take notice or the demand for their vehicles may begin a steep decline...this would be perfect timing for Lexus to start competing in the AMG & M class.

lex400sc

No-brainer # 14: Precision engineering is meaningless with shoddy manufacturing

Lexmexico

Not a surprise to me, as living in Mexico I see all the Eurotrash you don't see north of the border, just take a look or drive south of the border.

http://mx.autos.yahoo.com/newcarspecs/index.html?com=0

When I walk into a Renault or Peugeot dealer here in Mexico, they laud me with how much quality their cars has over Chevrolet, Chrysler and Ford. When I ask them about Nissan, Renault says they are partners and Peugeot says they are better. Then I ask about Honda, and they reply we have better style and handing. I then ask about Toyota and also point to my Lexus sitting outside, THEY SHUT UP.

I will say this, Renault and Peugeot have A LOT BETTER designs than what we remember.

http://www.peugeot.com/
http://www.renault.com

One word of note. Unlike the U.S. where quality is always talked about, many countries have restrictions on commercial advertising and talking about quality. This is a problem in Mexico and is also an issue in several European countries.

chicagoblknazn

When I ldecided to let my ES go, I juggled with the idea of owning a MB. I had my eye on a few of them but I read so many posts about how unreliable they were and my friends who owned them shared the same experiences. Only positive I received from them was the look they got from others when they were driving the cars...but keep in mind, this only happened when the car wasn't in the shop.

mmarshall

I agree that Lexus in general makes the best cars in the buisness, but even Japanese electronics are not always perfect. There have been some quirks with the electronic transmission control units in some IS, ES, and GS models. This has been well-publicized in a number of different Lexus forums and web sites, including this one.

mmarshall

So some countries want to turn on the quality censors and button people's lips? Too bad. The Internet, E-Mail, and forums like this will always allow the truth to get out.
And, yes, the truth about quality in some partially state-owned auto firms in Europe like Renault , Peugeot, VW, Fiat, etc..... would certainly embarass their governments.
One of the main reasons many of these cars succeed in Europe, unlike here in the U.S., is that in Europe the governments practice protectionism and effectively restrict Japanese imports through tariffs and quotas.

-J-P-L-

I'm happy for the American company's. I've been a fan of Chrysler/Dodge since they reinvented
themselves in '92. I think we as Americans should hope that the big 3 do well since it will
improve our economy and create more pride for American products.

Lexmexico

mmarshall,

You got it right. Unfortunately, many cars like Lexus have not made inroads like they have in the U.S despite their quality, they just do not have the advertising power financially or legally. Let me give everyone a few other examples of stupidity in quality I have encountered in Mexico.

In Mexico, we have two Hyundai models the Atos and Elantra. Atos is a little car like a boxy Matrix. They are marketed under the Dodge name. Otherwise, Hyundai would have to pay huge taxes or have a plant in Mexico to get an advantage in pricing. Nowhere, not even when I went to the dealer would they mention the name Hyundai, despite the fact you see their classic H on the car. The car is marketed as a Dodge.
Recently, on the TV news and in several Mexico City newspapers, they reviewed the new Elantra. A striking comment persisted along the lines of, "While the Elantra is certainly a fine vehicle, we find Dodge quality suspect as in previous products, and might expect the same with the reliability of the Elantra." THESE PEOPLE ARE BRAIN-DEAD.

Honda dealers in Mexico try a different tactic when promoting quality to skirt certain commercial advertising rules, they give a handout to customers at the dealer showing average cost of repairs for vehicles. They show Honda having the lowest and Toyota being about 5th on the list behind Nissan, VW and SEAT (a Spanish VW). Yet, when I asked them where they obtained this information, it was from a marketing study in Germany. How this has any relevancy to Mexico is beyond me.

mmarshall

Well, with Lexus moving south of the border it is not just a quality issue. Even though per-capita wages in Mexico have recently risen somewhat, partially due to the number of auto plants and the number of vehicles built there, we still don't see U.S.-type living standards in most places. So Lexus simply cannot market significant numbers of its U.S-style products there. The average Mexican farmer, rancher, or merchant simply does not have the kind of pesos (dollar equivalent) to plunk down on a brand-new Lexus.
That is one reason why there is such a black market in the country in expensive stolen cars and SUV's.
Many Land Cruisers, Grand Cherokees, Tahoes, 4 Runners, Navigators, Escalades, etc......are stolen here in the U.S. by organized rings and snuck into Mexico and Central America, where they are in great demand, partly due to the primitive road ( and off-road ) conditions there, and the fact that many people who want them can't aford them legally.

Lexmexico

Today, Mexico and Japan agreed to a free trade deal. My Toyota sources tell me this was the last hurdle to allow Lexus to come into Mexico. Well done. In addition, Acura/Honda and Nissan/Infiniti along with Mitsubishi also are winners here. This will allow those cars produced in Japan to come in tax free, applying only the registration fees and sales tax post-sale, which are very high.

In Mexico, there is no middle class, but rather a 10% rich/90% poor split. Still, there is a big car market despite the higher prices in Mexico than the U.S.

The Lexus strategy in Mexico will be to steal market share gradually from the other biggies like BMW and Mercedes, along with Infinti and eventually Acura. They have been doing a great job in stealing Honda's market share, as Honda can no longer lay the claim we are best in quality.

Lexus already sells in several other Latin markets, though not with the same range as Canada/U.S. If I remember correctly, you can find Lexus in:

Brazil
Bolivia
Dominican Republic
El Salvador
Guatemala
Honduras
Nicaragua
Panama

In Brazil, Lexus has separate dealerships along with the more popular Toyota dealers selling Lexus which is standard in the rest of the countries.

BMW and Mercedes have so many different models in Mexico (more than in the U.S.), that they are trying to saturate the market hoping to avoid the Japanese models from stealing their market share. That can only work so long as it is profitable and unit costs stay low to produce. Then again, if nobody is buying you are SOL.

You are right that most of the population cannot afford these vehicles. Still, I have heard statistics of the Mexican car market growing 4% ever year. Not much, but way better than the rest of Latin America which is much, much poorer.