Category: Industry

By on February 10, 2022

us-capitol, public domain

The U.S. Department of Transportation (DOT) announced today that it will distribute $5 billion to establish electric-vehicle charging along the interstate highway system. Managed by the newly formed  Joint Office of Energy and Transportation formed after the $1.2-trillion Infrastructure Investment and Jobs Act (IIJA) passed in Congress, the federal spend is a joint operation between the DOT and U.S. Department of Energy.

By 2030, the federal government is hoping to have a network of 500,000 charging stations in a bid to reduce range anxiety and spur EV adoption. But it wants individual states to make the necessary investments to connect the highway-based network to cities and towns. As you might have guessed, Democrat lawmakers have broadly supported the imitative while Republicans are calling it too expensive and a distraction from other aspects of U.S. infrastructure in need of maintenance.  Read More >

By on February 4, 2022

Nobody should envy car shoppers right now. With production shortages ongoing, there’s never anything you want on the lot, and what is there is likely to be grotesquely overpriced.

This has encouraged consumers to wait longer before replacing their current ride, which is statistically likely to be far older than years past. But not everyone has the same level of patience or financial wellbeing, meaning certain parts of the country are seeing longer intervals between cars than others. There are also regional inventory disparities to account for, encouraging analytics firm Growth from Knowledge (GfK) to conduct an investigation into which parts of the United States are waiting for the longest to procure a new automobile.  Read More >

By on January 28, 2022

Following the U.S. Supreme Court’s decision to block proposed OSHA regulations backed by the Biden administration, it was assumed that automakers would quickly begin weighing in on vaccine rules now that there would be no federal obligation. However, they’ve actually been keeping quiet on the matter, with Stellantis being the first manufacturer to walk back previous requirements.

While the automaker had previously been working up to companywide vaccine mandates, it pushed back its vaccine deadline for early January. This week, Stellantis confirmed that it will be abandoning the scheme entirely after suggesting that the existing compliance rates were sufficient. Though something tells me that executives have become aware of the swelling pushback against COVID restrictions and became concerned with the optics.  Read More >

By on January 20, 2022

Toyota Motor Corp is currently having to contend with idle factories in Asia, reducing the automaker’s estimated output by over 47,000 units this month. Shockingly, it’s not alleged to have anything to do with the semiconductor shortage that’s been wreaking havoc on Western markets.

With chip production having been localized primarily in China and Taiwan, Asian suppliers have had better access to them. But Eastern markets have still been subjected to other routine plant closures due to supply chain restrictions stemming from the pandemic. Existing protocols in China, combined with renewed restrictions in Japan, have created a situation impacting numerous automakers with Toyota announcing this week that it probably won’t reach its goal of manufacturing 9 million cars this year — though it made sure to include the ongoing semiconductor issue as relevant.  Read More >

By on January 19, 2022

Ford

Ford will be idling Mustang production this week due to an insufficient supply of semiconductor chips. For all the talk the industry made about getting over supply chain hurdles in 2021, manufacturers continue citing insufficient access to microchips as the primary obstacle preventing them from enjoying more routine operations.

The automaker confirmed the move on Tuesday, explaining that Michigan’s Flat Rock Assembly will be down until sometime next week.  Read More >

By on January 13, 2022

A divided U.S. Supreme Court has blocked the Biden administration’s vaccine-or-test rule that would have been enforced by the Occupational Safety and Health Administration (OSHA) and impacted roughly 1.7 million automotive employees.

“Although Congress has indisputably given OSHA the power to regulate occupational dangers, it has not given that agency the power to regulate public health more broadly,” the court explained. “Requiring the vaccination of 84 million Americans, selected simply because they work for employers with more than 100 employees, certainly falls in the latter category.”  Read More >

By on December 27, 2021

Honda has filed to trademark ADX with the United States Patent and Trademark Office (USPTO), presumably so it can use the name for an upcoming luxury model. While Honda has previously sold vehicles with alphanumeric monikers ending in the letter X, that’s literally Acura’s entire lineup and it’s supposed to be delivering a few new models to round out its rather limited selection.  Read More >

By on December 27, 2021

While the official figures haven’t dropped, just about every outlet tracking new vehicle sales is projecting a significant decline in volume for December 2021. Showrooms have been trending toward the minimalist aesthetic since 2019 with the pandemic kicking things into overdrive as supply bottlenecks nullified practically every manufacturer’s ability to produce anywhere near its normal pace.

Last December was bleak, with sales falling by around 5 percent for the month as the typical transaction price for automobiles set new records. The U.S. market only saw 1.54 million sales, the lowest volume witnessed since December of 2014. But 2021 volumes are shaping up to be decidedly worse. This month is on track to fall by anywhere from 23 to 30 percent with retail sales barely cresting 1 million units as transaction prices for both new and used vehicles surpass all previous metricsRead More >

By on December 21, 2021

Nikola Corp. has agreed to pay $125 million to settle charges levied by The Securities and Exchange Commission (SEC) that the company actively defrauded investors by providing misleading information about its technical prowess, production capabilities, and general prospects.

The settlement comes after a salvo of civil and criminal charges were launched against Nikola’s founder Trevor Milton, who got in trouble for convincing investors that the prospective automaker had fully functional prototypes boasting technologies other companies would have envied when that wasn’t actually the case. Milton was chided for using social media to promote false claims about the business, with his pleading not guilty to fraud charges brought up by the Department of Justice in July.  Read More >

By on December 15, 2021

A little over a decade ago, it seemed like everyone I knew was abandoning cable packages for online streaming services. They were cheaper, on-demand, and offered more choices with fewer advertisements. But as the years progressed, companies stopped selling their media to a handful of online video platforms and started building their own. Programming became more transient and isolated, forcing consumers to buy into additional subscription services. We’ve since hit a point where the overall consumer experience has diminished and grown more expensive, despite the steady influx of competition.

While automakers have been dabbling with subscription services of their own, their earliest attempts turned out to be such overwhelmingly bad deals that the public refused to play along. But they’re not giving up that easily. Industry players have been trying to figure out ways to charge customers indefinitely for years and are starting to settle upon subscription packages that can unlock hardware that’s already been installed into the vehicle or add software that can be downloaded via over-the-air (OTA) updates. Love or hate it, vehicular connectivity has opened up the door for new sources of revenue and businesses everywhere are eager to take advantage — with most companies projecting exceptionally healthy profits for the years ahead.  Read More >

By on December 14, 2021

On Tuesday, Toyota Motor Corp. announced a commitment of 8 trillion yen ($70 billion USD) toward the goal of achieving carbon neutrality someday. Though the concept of any multinational manufacturing entity totally nullifying their carbon footprint seems kind of laughable, so we’ll be referencing this as another electrification strategy — which is still a big deal considering how EV averse Toyota has been thus far.

Despite being an environmental trendsetter with the Prius Hybrid, Toyota has been hesitant to formally commit itself to transition its lineup toward being reliant on battery power. However, President Akio Toyoda has just proudly confirmed that the Japanese automaker would be earmarking the funds for exactly that purpose, noting that the brand (along with Lexus) would be spending the money through 2030 to make sure its global sales of battery electric vehicles (BEVs) reach 3.5 million vehicles annually. Though the most enjoyable aspect of the release was the direct manner it was presented, with Toyoda-san being impressively honest about modern automotive trends.  Read More >

By on December 14, 2021

cami assembly factory

Unvaccinated workers from General Motors’ CAMI Assembly Plant have been removed from the facility and forced into unpaid leave. The automaker had a deadline set for December 12th to have all employees vaccinated, with Unifor previously having urged the company to postpone the date. The Western world has seen a surge of citizens protesting vaccine mandates this year, with Canadian unions conducting more than a few of their own. Though several organizers have said they’re operating independently due to a shared belief that Unifor was offering insufficient support to members and was effectively siding with automakers.  Read More >

By on December 13, 2021

Chevrolet’s Corvette plant in Bowling Green, Kentucky, will be seeing a week of downtime following the vicious tornadoes that swept through the United States over the weekend. With twisters populating Southern and Midwestern states, Kentucky became ground zero from some of the most devastating weather seen all year.

Governor Andy Beshear called for a state of emergency Saturday due to the extensive damage across the state, with Bowling Green yielding some of the most harrowing examples. While the Corvette factory was spared the total destruction endured by other buildings, General Motors has said the site will still need to remain closed so the necessary cleanup can be done. Read More >

By on December 10, 2021

When people started burning down 5G towers in fear, the practice seemed a little misguided. But if you happen to be the owner of a connected automobile, there’s a chance you’ll be wishing enough of them had been taken down to delay those low-latency spires from becoming the default broadcasting network.

While you were probably aware that 3G cellular networks will be shut down in the U.S. next year so the telecom industry can focus in on 5G, you may not have been hip to the fact that this could totally nullify the connected features inside of your car. Unfortunately, loads of automobiles manufactured the early days of phone pairing and internet integration won’t be able to make the journey into 5G like the new phone or tablet you purchased. Worse yet, there are even some modern vehicles that are about to become a lot less feature rich with companies that have no intention of offering updates.  Read More >

By on December 9, 2021

Used-vehicle prices set another record last month thanks to elevated demand and suppressed production of new cars. Depending on who you ask, the typical transaction fee for a secondhand automobile rose nearly 50 percent in November vs the same period in 2020. While the pandemic had meaningfully suppressed demand during that time, that’s still a staggering increase over any 12-month period.

Sharing Cox Automotive’s Manheim Used Vehicle Value Index, Automotive News nailed down the annual difference to a 44-percent increase. This also represents the November pricing index swelling by 3.9 percent against October, which is noteworthy in itself. But what does that look like in dollars?  Read More >

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