Category: Industry

By on February 28, 2018

Fred Diaz

Fred Diaz, who once headed the Ram brand before Nissan tapped him to lead the company’s truck division, has been put in charge of Mitsubishi’s North American operations.

While I’d love to run a headline saying something to the effect of “Mitsu Raids Corporate Cupboard for a New Raider,” I think the chances of a full-sized, badge-engineered Diamond Star pickup are somewhere between nil and nada, no matter the background of the brand’s new CEO.

Read More >

By on February 28, 2018

2019 Ram 1500

After last week’s announcement of a $9 billion Daimler stock buy-up by China’s Geely Group, an old story is once again rearing its head. Remember last year’s buzz surrounding a possible takeover of Fiat Chrysler Automobiles? The rumors CEO Sergio Marchionne subsequently refuted? Yes, that story.

A new report claims Geely did indeed give FCA the once-over, even engaging in preliminary talks. Obviously, this first date went nowhere, as Geely now owns nearly 10 percent of German auto giant Daimler, not the maker of Jeeps and Rams. Read More >

By on February 26, 2018

2017 Hyundai Ioniq Electric, Image: Steph Willems

First ordered by Congress in 2010 and delayed endlessly ever since, the U.S. Department of Transportation has finalized a date for the end of “noiseless” electric vehicles and hybrids: September 2020.

That’s a year after the previous deadline, announced in the final days of the Obama administration in November 2016. The National Highway Traffic Safety Administration subsequently froze the date in order to hear arguments from automakers. With that process now wrapped up, the new (and unchanged) rules mean any four-wheeled vehicle with a GVWR of less than 10,000 pounds must emit a pedestrian-warning noise at speeds below 18.6 miles per hour.

Enjoy the “silence” while you can. Read More >

By on February 26, 2018

Mexican flag

With NAFTA negotiations finally progressing a bit, now would be the perfect time for something to bring up another potential hurdle and ruffle everyone’s feathers. This time, the prospective cataclysm stems from Mexico, and has manifested itself as one man — presidential frontrunner Andres Manuel Lopez Obrador, known colloquially as “AMLO.”

Business interests and NAFTA advocates are fearful the leftist candidate could chuck a wrench into the trade policy by adopting a hardline stance opposing the White House’s plan to redefine the agreement to favor the United States. Lopez Obrador is a long-time proponent of social programs that help vulnerable members of society. However, many criticize him for being a populist with socialist ideals that do not serve the financial well-being of the country at large.

While this is debatable, winning Mexico’s July 1st election could see him push back hard against U.S. trade proposals, stalling progress.  Read More >

By on February 26, 2018

2018 Alfa Romeo Stelvio Ti Sport - Image: FCA

The popular thing among automakers last year, besides the incessant preaching of “mobility,” was the pledging of allegiance to an electrified future. This year, it seems diesel fuel is the bogeyman all automakers must reject. We’ve already told you about Porsche’s abandonment of the blacklisted power source. Now, it’s Fiat Chrysler’s turn.

Though unconfirmed at this time, the Financial Times (subscription required) reports that FCA’s mid-term plan, due out this June, will announce the dropping of diesel across its lineup by 2022. If you’re currently wondering how you’ll tow a horse trailer using a battery, don’t get too upset just yet. Read More >

By on February 24, 2018

2017 Mercedes-Benz C350e grille hood ornament - Image: Mercedes-Benz

Unlike German auto titans BMW Group and Volkswagen Group, Mercedes-Benz parent company Daimler didn’t have the stabilizing effect of a family or individual with a massive, long-term cache of company shares. That’s no longer the case, as Geely Group owner Li Shufu has announced his purchase of a 9.69 percent stake in the German automaker.

This makes Shufu Daimler’s largest single shareholder.

The Chinese auto tycoon, whose Zheijang Geely Holding Group manages car-producing Geely Group, already owns Volvo Cars and Lotus, and is a major shareholder in truck builder Volvo AB. Always on the hunt for opportunities, the near 10-percent stake in Germany’s largest luxury automaker should give Shufu the partnership he’s looking for.  Read More >

By on February 23, 2018

By Siyuwj Geely_assembly_line

Is a seemingly unstoppable Chinese automaker slowly amassing a significant ownership stake in Germany’s Daimler AG? That’s what sources tell Bloomberg.

According to the news outlet, sources claim Geely Auto Group, which owns the Volvo, Lotus, and the mysterious Lynk & Co. car brands, is steadily acquiring a $9.2 billion stake in the German giant. That would give the Chinese a near 10-percent stake in the maker of Mercedes-Benz vehicles.

Are we witnessing the birth of a new alliance? Read More >

By on February 22, 2018

Image: UPS

UPS, the package delivery company best known for shorts that don’t reach nearly as far down the thigh as its drivers might prefer, wants fewer emissions from its fleet of signature brown delivery vans. It also doesn’t want to pay more for clean vehicles than it has to.

In an announcement Thursday, the company says its partnership with Ohio’s Workhorse Group — a company known for its EV pickup — will yield a delivery truck that doesn’t burn fossil fuels or cost any more than a conventional rig, even without government subsidies. Via a 50-strong fleet of experimental trucks, UPS and Workhorse plan to work out the bugs and create a vehicle for industry-wide adoption. Read More >

By on February 22, 2018

Image: Ford

Yesterday’s shocking ouster of Raj Nair as president of Ford North America, which came after an internal investigation into “inappropriate behavior,” left a leadership vacuum at the highest levels of the company’s food chain. On Thursday morning, the automaker announced a successor: Kumar Galhotra, soon-to-be former Lincoln Motor Company boss and Ford chief marketing officer.

Galhotra, 52, has overseen Lincoln since 2014, but his new role will see him pulling all the levers of Ford’s North American business. Read More >

By on February 21, 2018

[Image: Ford]

Raj Nair, the now-former executive vice president and president for North America, had a reputation as being one of the top “car guys” in Dearborn.

He may have had a different kind of reputation inside the halls of Ford HQ. That’s because Ford announced today that he’s leaving the company, effective immediately, following an “internal investigation into reports of inappropriate behavior.”

Ford’s investigation found that Nair behaved in a way “inconsistent with the company’s code of conduct.”

Read More >

By on February 21, 2018

2019 Kia Forte Sedan

As market share swings rapidly towards SUVs and crossovers, automakers have had to sit down with their accountants and crystal ball to map out a product strategy for the future. The questions swirling in an executive’s mind are easy to imagine: Are cars worth it? Is it still useful having a minivan in the lineup? Does the future call for crossovers, not cars, in every size class?

Fiat Chrysler’s American divisions have already pulled out of the compact and midsize car market, and forget about the possibility of a subcompact. Minivans? Nah. Ford Motor Company’s non-truck lineup looks to be headed down a similar road. At Kia, however, there’s not one or two, but six passenger cars on offer, spanning the subcompact to full-size premium segments. Like minivans? They’ve got ’em, too.

Is this a smart strategy for a brand that saw its sales fall 8.9 percent in the U.S. last year? Sure, says Kia’s vice president of product planning — it means certain buyers aren’t being forgotten. Not everyone wants a crossover. One thing Kia won’t do, however, is follow its corporate sibling Hyundai down certain product paths. Read More >

By on February 20, 2018

If buyers really do plan to line up to buy electric vehicles, even before the government forces them to, automakers had best figure out a way to make them affordable not just to buy, but to build.

We all know battery packs are expensive (with ingredients clouded by child labor and environmental issues), but batteries are only part of the equation. While simple in operation, electric motors are nothing like the aluminum or iron affairs under the hood of your dad’s Buick Enclave. There’s a lot of metals you’ve never heard of in a permanent magnet AC motor.

Toyota, which wants to be an electric car bigshot, just figured out a way to make a cheaper motor. Read More >

By on February 20, 2018

Child Labor

Electric cars have been praised as the future savior of mankind for quite some time now, but only in the last few years have mainstream automakers promised to drive headlong into EV production. Governments around the globe encourage the transition. The reality of battery production isn’t so clear-cut, however. Unless you make your daily commute in a Mack truck, odds are good that swapping to a sparkly new four-door with a lithium-ion battery isn’t going to be better for the environment.

Currently, it takes substantially more energy to produce an electric car than a conventional internal-combustion model. EVs sourcing their energy from fossil fuel-burning power plants aren’t much better for the environment than something that runs off pump gas. In addition to that, defunct batteries have to be recycled or they become environmental hazards — and no one has quite figured out the best way to do that yet.

There’s also the issue of sourcing the materials for those batteries. EV cells need scarce precious metals like nickel and cobalt. Those materials take a lot of energy to harvest and have, unfortunately, led to an increase in child labor rates in Africa.  Read More >

By on February 20, 2018

Stately. Elegant. Dignified. Endangered?

This isn’t the first time someone has applied that final descriptor to flagship passenger cars, and with good reason. As SUVs gobble into traditional passenger car market share, sales of even the most prestigious sedans have taken a hit — leaving premium automakers wondering “what’s next?”

Well, more SUVs, for one, but also more electrification. Luxury car buyers have shown themselves to be more receptive to plug-in hybrid or fully electric vehicles, but more importantly, one pesky American automaker — Tesla — is threatening to eat everyone’s lunch.

In Europe, competition between the Old World and Silicon Valley is heating up, and the newcomer is winning the sales race. Read More >

By on February 20, 2018

2017 Chevrolet Sonic

 

The home of America’s smallest General Motors vehicles is bleeding sales and cash, forcing the automaker into harsh measures in an attempt to save its South Korean operation. Many fear last week’s plant closure announcement is just the beginning of an eventual exodus from the Korean market. There’s three remaining assembly plants, each sitting on shaky financial ground.

Today brings encouraging news, however. Two reports paint a picture of GM in triage mode, doing everything in its power to stem the bleeding — of both money and customers. Read More >

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