Safety recalls covered

The new-vehicle industry in New Zealand has agreed on a voluntary code of conduct for safety-related recalls on used vehicles imported by third parties. Under the code, new-vehicle franchise holders will take responsibility for the repair of used cars affected by safety recalls, irrespective of who imported them.

The distributor will either carry out the recall repairs or tell Land Transport New Zealand to advise affected owners.

Challenge to mustang

DaimlerChrysler nameplate Dodge is preparing a rival for the Ford Mustang, a rear-wheel-drive two-door likely to be called Challenger after the car it introduced in 1970. The new Hemi V8 model is expected to be based on the LX Platform - the basis of the Chrysler 300 and Dodge Magnum and Charger - and on sale later this decade.

Swift increases sales

Worldwide demand for the new generation Suzuki Swift has forced the Japanese carmaker to increase production. In India, Suzuki sold 15,000 Swifts in the first week, a sales record. The 1.5 litre, five-door hatchback, introduced here in February, has also boosted New Zealand sales. At the end of May, Suzuki new-car sales were up 51 per cent over the first five months of last year.

Benz to sponsor Alinghi

Mercedes-Benz has signed a sponsorship deal with Swiss sailing team Alinghi. The luxury carmaker will provide vehicles for the Alinghi team until the end of the next America's Cup in 2007. In return, Alinghi will host hospitality events for Mercedes-Benz' VIP customers.

Repairs to skyrocket

By 2008, motorists in Britain could be paying more than 200 ($480) an hour to get their car fixed at a franchised dealer, according to a survey. During the past 12 months, labour rates have risen by an average of 4 per cent. The most expensive dealers have increased their rates by 10 per cent, which puts them on course to charge 256 ($617) an hour by the end of the decade. The highest hourly labour rate recorded was 158.63 ($382), at a BMW dealership in London.

Enviro-friendly buses

Australia's national environmental award programme, the Banksia foundation, has praised the Perth-based hydrogen fuel cell bus trial as an example of Government leading by example for a sustainable future. Perth's public transport authorities have three hydrogen-powered Mercedes-Benz Citaro city buses on a two-year trial, run by DaimlerChrysler and the West Australian Government. The foundation said: "the zero-emission and low-noise operation of these buses is a significant advantage especially in urban traffic."