Last month, Volkswagen global brand head Herbert Diess said that Chattanooga would be the likely location for the company’s new electric vehicle plant. But he was also careful to specify that VW had made “no formal decision” on the matter.

While it’s always best to wait for the press release to say anything definitive, the automaker has begun posting openings for specialized positions that would relate to its upcoming MEB platform in Tennessee. Perviously, the automaker had only said it intended to build MEB vehicles at its plant in Zwickau, Germany, beginning with the I.D. hatchback model in 2019. It also mentioned it was planning a facility in China while the American site was still under consideration.  (Read More…)

Italy and Germany are opposing attempts to give the European Union more authority over the way national car regulators approve new cars for sale. As wild as it is to learn that Germany is standing in the way of stricter automotive regulation and oversight, allow us to assure you that you’ve not misread the above statement. For some reason, Deutschland doesn’t want to see enhanced industry surveillance.

Our best guess is that the opposition has something to do with Volkswagen Group’s diesel crisis, recent concerns that BMW may have utilized a “shut off” device that masked NOx emissions, and the ongoing investigation into a German automotive cartel that may have operated for decades. But there’s also a chance these automakers simply don’t want to deal with the red tape that comes along with piling on government oversight.  (Read More…)

Project Pinnacle hasn’t been incredibly popular with dealerships. Low approval ratings required multiple revisions of the plan, and dealers still found themselves irritated with the final version. There was a lengthy delay, refusal of noncompliant stores to accept General Motors’ buyout plan, and difficulties ensuring eligible shops adhered to the plan’s high standards of service.

Cadillac now says it will weigh customer satisfaction scores and compliance with brand standards more than actual sales volumes when determining U.S. dealer bonuses for 2018. The reason for this comes down to so many dealerships not meeting this year’s sales targets. That’s good news for those smaller outlets that were upset with Pinnacle to begin with.  (Read More…)

Practically every automaker seeking to expand its global footprint is courting China right now. Ford Motor Company has already signed an agreement with Anhui Zotye Automobile to set up a $754 million joint venture focused on electric cars in the hopes it can get a head start on the country’s fast-approaching EV mandate.

With so much opportunity for growth, major manufacturers see Asia as a ripening market as North America withers on the vine. With that in mind, Ford has announced plans to launch 50 new vehicles in China by 2025.  (Read More…)

There has been some gentle complaining among select individuals that Chinese ownership will somehow taint the purity of the Lotus brand — a strange accusation considering the brand was operating under the Malaysia-based Proton Holdings since 1997 long before being bought by Geely Automotive earlier this year.

Sure, it might not be the Lotus of yesterday but the company’s new Chinese overwatch has said it still has big plans for the brand. Based on its handling of London Taxi and Volvo, we haven’t been overly concerned. But we have been hoping the parent company would elaborate on what that might entail.  (Read More…)

One of the handful of Volkswagen Group executives that have been forced to appear in front of a judge over the company’s widespread emission scandal, Oliver Schmidt, has exclaimed he was misused by his employer after issuing a guilty plea. Unless the charges are revised prior to sentencing, the former VW employee has copped to conspiracy to defraud the federal government and violating the Clean Air Act. A third charge of aiding and abetting wire fraud was rolled into the conspiracy charge.

The admission to corporate wrongdoing was made in August. However the claim that the company had taken advantage of him came later via a letter to U.S. judge Sean Cox.  (Read More…)

Toyota Motor Corp. is shuffling its management team because it’s worried about the automotive industry’s uncertain future. The changes, announced this week in Tokyo, take effect at the start of the new year. Toyota wants to diversify its corporate leadership in order to handle the changing shape of car building and the growing role of “mobility.”

However, an argument can be made that the company might be browning its pants prematurely. While the current nature of the automotive industry appears to be evolving into something else, it won’t happen overnight. Still, company president Akio Toyoda talks of the shifting winds as if someone has placed a gun to his head.

“Over the next 100 years, there is no guarantee that automobile manufacturers will continue to play leading roles in mobility,” Toyoda explained. “A crucial battle has begun — not one about winning or losing, but one about surviving or dying.” (Read More…)

The automotive industry is wary of any changes that might be made in regard to the North American Free Trade Agreement. Fortunately for them, little progress has been made during the last few months of negotiations. But that doesn’t create an assurance that changes aren’t still en route. So, manufacturers and suppliers have banded together via various trade groups to voice their opinion on how to best handle NAFTA.

Meanwhile, the Trump administration has attempted to make itself appear friendly to the automotive business. Continuing these efforts, Vice President Mike Pence has met with General Motors CEO Mary Barra, Fiat Chrysler’s Sergio Marchionne, Ford North America President Joe Hinrichs, and a handful of other top-tier auto executives. (Read More…)

Hyundai Motor Company has, once again, found itself at the mercy of an unhappy workforce. No stranger to labor disputes, the company hinted that it might scale back its at-home labor in South Korea — presumably aware that the possible response would be negative, which it was. But the timing couldn’t be worse.

The Kona crossover is believed to be the model that will turn things around for Hyundai in the United States, but a new labor strike has put the export vehicle’s production on hold only a week after it started. (Read More…)

You’ve no doubt heard about net neutrality over the last few years. But, in case you haven’t, net neutrality is the principle that forces Internet service providers to treat all data on the Internet equally. It forbids them from discriminating on subject matter or charging different fees based upon the user, site content, website, platform, application, or method of delivery. Essentially, it makes the internet into a tap where you pay one flat fee for access to all content.

That could soon change. On Tuesday, the chairman of the Federal Communications Commission announced plans to repeal the landmark neutrality order from 2015. FCC head Ajit Pai, a Republican appointed by President Donald Trump in January, said last year that he believed net neutrality’s “days were numbered.”

Pai has been criticized for being overly supportive of telecom companies. But a few automakers support his cause, as some of the FCC’s regulations have been at odds with autonomous car development.  (Read More…)

The 60-day auto delinquency rate continued to climb through the third quarter of 2017. Driven primarily by “relaxed” underwriting standards from years past and increasing subprime originations, TransUnion’s senior vice president and automotive business head, Brian Landau, said two-month payment lapses rose 7 basis points to 1.4 percent.

At the same time, the average balance of outstanding auto loans increased by around 5.9 percent, resulting in the lowest year-over-year growth rate since the third quarter of 2012. The group’s Industry Insights Report cited this quarter’s serious auto loan delinquency rate as the highest observed since Q3 2009 — you know, when nobody had any money to pay their bills. (Read More…)

Carlos Ghosn, CEO of the Nissan-Renault-Mitsubishi Alliance, says automakers are going to have to get comfortable with suppliers doing more of the work as the industry evolves. With in-car technologies progressing more rapidly than ever before, the alliance head says engineers will have to lean on parts providers to take the burden off its own engineers.

Ghosn even said he had recently spoken to supplier who accused him of not listening. “They said we are duplicating [their] work,” the CEO recalled.

“They said, ‘We are developing the same things, and at the end of the day, you’re going to order parts from me, and you’re going to pay twice — for your own development and for mine. So why don’t we start from the beginning to work together?’ That’s an important point,” he said. “We are now probably one of the largest buyers in the world.”

The automotive collective intends to sell more than 14 million vehicles annually by the end of 2022, which represents an increase of about 3.5 million units from the expected volume for 2017. The strategy includes more shared platforms and powertrains between brands, a dozen EV models, and a fleet of autonomous taxis.  (Read More…)

On Friday, Nissan Motor Co. blamed a shortage of key staff for improper final inspection procedures at Japanese assembly plants. The problem, which amounts to little more than not having having a specially certified technician give each vehicle a final once-over, has forced the automaker to recall 1.2 million vehicles within Japan this year. As the mandate applies only to vehicles sold on the nation’s domestic market, no exports to North America are affected.

However, that hasn’t stopped Japan’s government from coming down hard on the company for its bureaucratic misstep. After discovering that uncertified inspectors were signing off on vehicle checks required by the transport ministry, Nissan has been incredibly apologetic. It even launched a full-scale investigation, finding that “nonconforming final inspections” were commonplace by the 1990s at the plants, and could even have existed at one factory since 1979.  (Read More…)

Jaguar Land Rover has taken its first steps into the scariest part of autonomous development — real world testing.

As most automakers are already deep into R&D work on self-driving cars, luxury manufacturers like JLR cannot afford to be late to the party. In today’s world, premium automobiles are less about ride quality or cabin space and more about having the latest and greatest tech. A big, comfortable car isn’t hard to come by — they used to build them all the time. They also aren’t particularly expensive, especially if you shop on the used market.

However, a 2005 Lincoln Town Car in the driveway doesn’t scream “prestige” to the neighbors. But an autonomous Range Rover that parks itself in the garage while you get the mail is something else entirely. If you had a vehicle like that, the guy across the street would have difficulty even holding your now-powerful gaze — shamed by his own car’s clear inferiority. Imagine what kind of price you might pay to have that kind of mastery over another person. Now you can see why this technology is so important to JLR. (Read More…)

Apparently, Turkey’s electric is still in the works. In case you don’t remember, the former hub of the Ottoman Empire purchased the Saab 9-3’s license from National Electric Vehicle Sweden while it was still attempting to convert the model into a marketable EV in 2015. But, despite being the absolute perfect project to give up on, nobody has.

The plan was to make the electric 9-3 “the national car of Turkey.” That’s a little weird considering the model ended its life as an American-owned Swedish car, using General Motor’s Epsilon platform, that was later sold to Dutch automobile manufacturer Spyker and eventually NEVS back in Sweden. But, considering Turkey’s national sport is semi-erotic oil wrestling, this might be another case of the Republic embarking on something my Western mind can’t fully appreciate.  (Read More…)