Not that people have any leftover hope of enjoying what was once considered a normal life, but the Canadian International AutoShow (CIAS) is moving entirely online for 2021. It’s French Canadian equivalent Salon International de l’Auto de Montréal (MIAS) has also been relegated to the digital world as a way to kick off another year of absolutely nothing happening.

Obviously, this is being done to protect the world from itself and ensure the country remains on the mend indefinitely. But some provinces are said to be easing lockdown restrictions and reopening schools, suggesting the world may not be a practical joke played entirely at our collective expense. There’s a palpable fear among event organizers, however, especially if theirs happens to be indoors and include words like “international” in the title. Nobody wants to be the person who relaunched COVID-19 around the world, even if contagion rates have dropped and hospitals have better ways of treating the virus.

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The Uber test vehicle that struck and killed a pedestrian in Tempe, Arizona, has been under public scrutiny since March of 2018. But we never heard a lot about the safety driver behind the wheel. So much attention was given to addressing whether or not the autonomous systems on the SUV should or could have seen Elaine Herzberg — and stopped the car before the tragedy occurred — that it became the overriding narrative.

But it really shouldn’t have, as some of the earliest video footage appeared to show that Uber’s safety operator had entirely tuned out of the driving experience in the moments leading up to the incident. Fortunately, Maricopa County Superior Court and National Transportation Safety Board (NTSB) were keeping tabs while the rest of us were not. In fact, the former decided to charge Rafael Vasquez (who also goes by Rafaela) with negligent homicide late last month.

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Considering the dire straits Nissan currently finds itself in, I don’t think anybody felt ultra-confident that its next Z-badged performance coupe was automatically going to be a home run. I certainly did not. But then I watched Nissan CEO Makoto Uchida climb out of the prototype as he reminisced about how his first car was a Fairlady Z, noting that it was a “love at first sight” kind of deal.

It was fitting, not just because the Proto Z that debuted on Tuesday is clearly inspired by that iconic model but also because he just unveiled a car that will probably leave a lot of other young drivers feeling the exact same way.

Nissan spent a lot of time parading around Z models ahead of the debut, suggesting that the prototype would be influenced by them all. But it has become clear that the earliest models are the ones doing the heavy lifting. While the squared tail lamps floating on a black canvas covers everything up to the 300ZX, the Proto Z’s overall shape is commensurate with the original 240Z. It also happens to be quite handsome and uncluttered by a lot of the busyness found on modern-day sporting cars. (Read More…)

Daimler has officially agreed to pay $2.2 billion as a resolution to the United States’ diesel emissions cheating investigation and over 250,000 claims from Mercedes-Benz customers. The automaker stated that it was likely going to settle in August, estimating a need to set aside roughly $1.5 billion to appease U.S. authorities. Another $700 million was earmarked for civil suits, with the company assuming millions more would be needed to fulfill the requirements of the various settlements.

Court documents shared by Reuters show the company agreeing to pay 250,000 owners up to $3,290 each on vehicles that exceed regulatory emissions standards through the use of emissions cheating software. It also decided against opposing spending $83.4 million in attorney fees and expenses for the owners’ legal representation — something Volkswagen called “unwarranted” in a similarly sized suit where the attorneys were only asking for $59 million. However, VW’s emission woes have remained obnoxiously persistent since 2015 and have cost it well over $40 billion.

By contrast, Daimler is getting off with a slap on the wrist by settling for just a couple billion smackers. Although the likelihood of further criminal action remains relatively high in both the United States and Europe. Keep in mind that it took prosecutors nearly five years just to get this far and governments around the globe are disavowing diesel vehicles as if they appeared in a group photo on Jeffrey Epstein’s private island. (Read More…)

As you’re undoubtedly aware, there has been a lot of pressure to de-fund the police this year following the highly publicized death of George Floyd in Minneapolis, Minnesota. The city became the epicenter of violent and peaceful protests demanding police departments be stripped of funding that has since spread across the rest of the United States. Some cities, including Minneapolis, have already agreed to cut their budgets or abolish departments entirely.

While most of the ramifications of these decisions would be off-topic for this particular forum, a study came out this week examining how on-road policing has been impacted. Unsurprisingly, the number of traffic stops in Minneapolis has declined immensely. Since May 25th, Bloomberg’s CityLab estimated the department had made 80 percent fewer stops each week.

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Greg Kelly, the American businessman and former Nissan board member that was arrested with ex-chairman Carlos Ghosn almost two years ago, has pleaded not guilty to the financial misconduct charges leveled against him in Japan. While he was supposed to stand trial with Mr. Ghosn, Carlos escaped his captors with the help of at least one U.S. Army Special Forces veteran and a lot of careful planning at the end of 2019. Kelly is accused of helping the former chairman hide millions of dollars in deferred compensation.

During the trial, he defended Ghosn by saying he was an outstanding automotive executive who helped save Nissan in its darkest hour. He also hinted that the firm should have done everything in its power to retain him, adding that his role was to find legal ways of keeping Ghosn from jumping ship to a rival company. While that included financial incentives, Kelly asserted during the trial that Nissan’s attorneys were always consulted before decisions were made and that no illegal actions were taken. “I informed Mr. Ghosn what could be done legally and what could not be done legally,” he told the court. “I believe the evidence will show that I did not violate the [financial] disclosure regulations.”

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Fiat Chrysler Automobiles and PSA Group announced a few revisions to their planned merger on Monday. Unfortunately, ditching the Stellantis moniker when they become the world’s fourth-largest automaker wasn’t among the changes listed. Because it still sounds like a medication for people with arthritis.

Ask your doctor is Stellantis is right for you. Don’t take Stellantis if you’re pregnant or nursing.

As the duo wants to maintain a 50/50 split, they need to address “the liquidity impact on the automotive industry of the COVID-19 pandemic while preserving the economic value” of their original agreement. That has left PSA maintaining control of French parts supplier Faurecia. A special dividend to be distributed among its shareholders before closing is set at 2.9 billion euros (which was previously listed as €5.5 billion) while PSA’s 46 [percent] stake in Faurecia will be distributed to all Stellantis shareholders following the newly formed board’s approval. (Read More…)

Following a scathing report from Hindenburg Research that called Nikola a fraudulent company largely dependent upon the blind excitement surrounding electric vehicles, the accused has finally issued a response. On Monday, Nikola released a bulleted letter suggesting the report was the act of an opportunistic short seller that was attempting to take advantage of the period immediately proceeding the announced partnership with General Motors. While Hindenburg didn’t exactly hide that aspect of itself in its own report, it frames the business as only profiting off companies that weren’t above board to begin with. It also received support from Citron Research, which said it likewise thought Nikola needed to be scoped out by the Securities and Exchange Commission (SEC) and promised to help pay for half of any legal fees incurred as a result of Hindenburg’s reporting.

Meanwhile, Nikola was crafting its rebuttal after founder Trevor Milton explained he had to wait on a comprehensive response because he was already in contact with the SEC. As his constant Twitter updates started to become counterproductive, this was likely a wise decision. The response dropped on Monday, clearing a handful of items up while making a bunch of other aspects seem even more suspect. (Read More…)

Interested in joining Formula 1? We hope you have $200 million handy because that’s the amount you have to pay to enter a new team under the sport’s seventh Concorde Agreement. Signed by the Fédération Internationale de l’Automobile (FIA), the Constructors Association, and existing F1 teams last month, this arrangement exists to help ensure participants remain committed to the sport to offer organizers and broadcasters the ability to maximize marketability.

They also tend to be kept a secret, with only their most general aspects of the deal ever making it out to the public. We already knew that teams would be subject to additional fees through 2025 to prove they were serious about joining while discouraging existing names from exiting the sport. But McLaren Racing CEO Zak Brown has since confirmed the amount with Racer. Over the weekend he said new entrants would be starring down the barrel of a $200-million fee, adding that the rationale was to avoid diluting the existing prize totals split between teams.

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Not that it should be any surprise with pricing creeping up, but U.S. vehicle inventories are some of the lowest we’ve seen in roughly a decade. Unfortunately, it’s difficult to get a solid estimate on supplies as many automakers no longer have the balls to conduct monthly reports, at least not any they’re willing to share. The few that still do have been a little light on the lot, however.

Going into fall, we’d expect to see supplies around the 60-day mark with about a quarter of those vehicles representing the upcoming model year. Mainstream brands seem to be running with a lot fewer cars this month. On Monday, Automotive News estimated that September was probably representing the lightest industry-wide supply of vehicles since October of 2011. Meanwhile, Cox Automotive has the industry sitting on 56 days worth of cars — noting that national inventories shrank to 2.26 million vehicles, or about 870,000 fewer from the year before.

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Hyundai and Kia are recalling nearly 200,000 vehicles in the United States over a potential short in the antilock brake system of select models. Problem vehicles include around 180,000 examples of the 2019-21 model year Hyundai Tucson and roughly 9,000 Kia Stingers from 2019.

Based on the recall information provided by the manufacturers, around six Stingers have caught fire over the issue. Regulators have confirmed that the issue lies in the ABS control module and that combustion is still possible when the vehicle has been shut down. That has led us to believe this might be related to an earlier recall involving 283,803 Kia Optima sedans (MY 2013-15), 156,567 Kia Sorento crossovers (2014-15), and 151,205 Hyundai Santa Fe Sport crossovers (2013-15). Each of those models ran the risk of brake fluid seeping out onto the hydraulic electronic control unit and causing a fire.

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Thanks to a particularly slow news week, everyone has had extra time to gawk at the 2021 Maserati MC20 — a vehicle that serves to set right all that is wrong with the Italian nameplate and will be the first new vehicle the company has built in almost five years.

Despite being most famous for its racing vehicles from the 20th century, the brand has been passed around more than a basketball and has been forced to evolve its identity. Under Fiat Chrysler Automobiles, Maserati has remained fixated on luxury and had straddled the line between premium mainstream cars and hyper exclusivity. With a base price of around $200,000, it’s pretty clear what side of the line the MC20 is on. But it’s hard to criticize something that’s biggest problem is being a supercar — especially when it’s part of a larger effort to rebuild the brand’s racing pedigree and garner extra attention from the sort of people that are serious about cars and have money to waste on sleek, flame-belching baubles.

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While we’ve suspected that electric vehicle startups and green tech, in general, is probably a little overvalued, we’ve never accused anyone of outright fraud. Burgeoning automakers have a tendency to over promise and under deliver. Throughout history, this has occasionally gotten them into serious trouble. But it’s also how the game is played, especially when you’re new to the scene and need to distinguish yourself from giant entities who would just as soon crush you in lieu of risking the eventual competition. Nikola is a perfect example of this and built a hype train so swift that legacy brands could only hope to buy it out or invest and share in the fruits of its labor before it sped away.

But what if it wasn’t ever growing any industrial fruit?

That’s the claim being made by Hindenburg Research — which specializes in short selling, pointing to firms on the cusp of financial disaster (hence the name), and attempting to bust businesses the Securities and Exchange Commission (SEC) might be interested in. The financial research firm has suggested that Nikola founder Trevor Milton had misrepresented what the company was actually capable of in terms of product, with the intent to mislead investors into thinking the company should be incredibly valuable. It reads like a hit piece and was accused by Milton of being just that. However, there are issues brought up in the report that are still worth examining.

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Cadillac is upping the ante on the CT4 and CT5 for the 2021 model year. As both cars were introduced last year and the upgrades represent fairly comprehensive changes to both vehicles, this refresh is quite curious. Either General Motors spent the pandemic being more productive than we initially presumed or this is a desperate effort to make these cars more appealing to Americans. U.S. Cadillac sales decreased by 41.4 percent in the second quarter of 2020, so we’re inclined to believe either scenario.

The biggest change the manufacturer would like you to know about the ability to option GM’s Enhanced Super Cruise system. While still limited to divided highways, it technically offers hands-free driving on a limited basis… though that’s technically true of all vehicles with decent wheel alignment. Super Cruise is a bit fancier than that and will offer the ability to changes lanes and is no longer limited to the V-Series trims, starting in 2021.

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Germany’s Schaeffler AG will reportedly be eliminating 4,400 jobs and abandoning several facilities in its home country as the supplier confronts what it dubbed complications relating to the global pandemic. Like Continental, which is actually controlled by the same people, Schaeffler has been coping with lessened demand after automakers around the globe shut down earlier this year as a precautionary measure. While the coronavirus lockdowns can’t be faulted for every issue the companies are facing, they have been a thorn in the side of parts suppliers everywhere.

Continental announced it would need to eliminate roughly 13 percent of its workforce last week. That’s roughly 30,000 fewer jobs. Schaeffler’s restructuring plan only calls for eliminating 4,000 positions. However, it is the smaller of the two and has decided to spread its cuts out as much as possible.

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