Automotive Industry
News covering the Automotive Industry at large.
503 articles in this category
-
Most buyers don't tend to think of resale value until it comes time to sell their vehicle. But which models keep their value and which ones don't? iSeeCars.com recently published a study that looked into more than 4.3 million new and used car sales to determine which models lowest and highest loss in value after a five-year time frame. What vehicles had the lowest depreciation? According to iSeeCars, that would be SUVs and trucks. Taking the number one spot was the Jeep Wrangler Unlimited w
We'll give you a clue: What types of vehicles are flying off dealer lots?
-
After months of speculation and rumor, it is now official: The Detroit Auto Show will be moving from January to June in 2020. “Our show is undergoing its most significant transformation in the last three decades. Detroit will continue to be a global stage for some of the world’s most significant and iconic vehicle reveals and host an unparalleled international audience of media and key industry influencers,” said Rod Alberts, Executive Director of the Detroit Auto Show. The Detroit Auto
We don't have to deal with snow anymore?!
-
Geely Automotive's chairman Li Shufu made headlines last week by dropping $9 billion for 9.69% stake in Daimler AG, making him the biggest shareholder in Mercedes-Benz's parent company. This follows a trend by Geely in buying automakers (Volvo in 2010, a 51 percent stake in Lotus last year). But a new report from Bloomberg reveals Shufu had his eye on a possible bigger prize. Last year, Shufu approached Fiat Chrysler Automobiles about "a potential takeover". According to people familiar wit
Was Geely the mysterious bidder last year?
-
China has announced today that it would be reducing tariffs on U.S.-built cars and car parts from 40 to 15 percent beginning on January 1st. This reduction will last for three months as the U.S. and China begin hashing out a new trade deal. We first reported the reduction of the tariffs earlier this week. China's Ministry of Finance posted on their website said it hopes the talks between the two can go quickly and remove "all additional tariffs on each other’s goods" that were brought forth
Walking somewhat back from the tariff cliff
-
Earlier this week, the Environmental Protection Agency announced that it would be rolling back the fuel-efficiency regulations that were approved during the Obama administration. The agency also announced possibly revoking California's waiver that allows it to set tougher standards on vehicle emissions. The state vowed to fight this. But a new report from the New York Times says California and officials from the Trump administration are in talks about possibly reaching a deal to avoid a legal fi
Trying to avoid legal trouble
-
Last month, we reported on a rumor that that Saudi Arabia's Public Investment Fund (PIF) was in talks about possibly providing funding to electric car start-up Lucid Motors. The fund would provide an initial investment of $500 million, but would expand it to a billion if certain milestones were met. This morning, Lucid Motors announced that it signed an agreement with the PIF totaling over $1 billion, subject to necessary regulatory approvals. If given the go-ahead, Lucid will use the money
Totaling over a billion dollars
-
Like many countries, China offers various incentives to spur the sales of electric vehicles. But a report from Bloomberg says the Chinese government is considering reducing various subsidies beginning next year. According to sources, the government is considering cutting the average incentive by more than a third from where they currently stand. Also up for consideration is incentives being eligible on models that can travel at least 200 kilometers (about 125 miles) on a single charge. Why
To spur innovation
-
With President Donald Trump tweeting last Friday threating a 20 percent tariff on all imports of European Union assembled cars, the EU has responded by saying it would raise their tariffs on imports of U.S.-built vehicles. “If they decide to raise their import tariffs, we’ll have no choice, again, but to react,” said EU Commission Vice President Jyrki Katainen. “We don’t want to fight (over trade) in public via Twitter. We should end the escalation.” This comes a month after the T
Tit for Tat on Tariffs
-
The National Highway Traffic Safety Administration has sent a cease-and-desist letter to Dolder, Falco and Reese Partners LLC, the company behind an aftermarket device called the Autopilot Buddy. Autopilot Buddy is a small, weighted device that clips onto either side of the wheel to place minor amounts of torque. This fools the Autopilot system into thinking that a driver has their hands on the wheel. The company markets the device as "nag reduction device", reducing the amount of warnings
This was bound to happen sooner or later
-
We all know someone who takes things a bit a too far. In the case of automakers, that someone is EPA Administrator Scott Pruitt. Back in April April, Pruitt announced a serious rollback of fuel economy regulations that were set in stone during the Obama administration. In a summary of the proposed draft, the EPA would rollback the fleetwide average from 46.8 mpg for the 2026 model year to around 37 mpg - the fleetwide average for the 2020 model year. The draft also mentions pre-empting "Californ
This isn't what we exactly wanted. -Automakers
-
Automakers have been edge for a few months with talk of a trade war and possibly putting up to a 25 percent tariff on imported new vehicles. They only would be pushed further to the edge as President Donald Trump tweeted last week a 20 percent import tariff on all cars assembled in the European Union. Now, automakers are rebuking the President over this. Reuters reports today that two trade groups, representing nearly every major global automotive brands have issued comments saying the pres
This is a terrible idea. -Automakers to Trump
-
Since Volkswagen and Ford announced a new partnership back in the summer, there have been rumors flying around if it could expand into other areas. The two said it would primarily focus commercial vehicles, but they were open to other opportunities. As we reported last week, the two are discussing the possibility of expanding into autonomous tech and electric vehicles. Recently, Volkswagen Group CEO Herbert Diess gave an interview to Automotive News. He reiterated that the focus of the part
This could make a number of people happy
-
Back in June, Ford and Volkswagen signed a Memorandum of Understanding for a new alliance that would focus on commercial vehicles. Since then, the two companies have been in discussions about it and there have been various rumors flying about. Yesterday, Volkswagen CEO Herbert Diess added some more fuel to the fire. Speaking to reporters outside of the White House, Diess revealed that the German automaker is interested in using Ford's plants in the U.S. to build vehicles. "We might use
This could be an interesting development
-
PSA Group's decade-long plan of possibly returning to the U.S. continues forward and they are facing their next roadblock, setting up a dealer network. Trying to convince dealers to sell brands that haven't been sold since the early nineties. But the French automaker believes they have a solution, using a tech-centric approach that will be affordable. "We see the high cost of doing this business; we see the challenges that exist in profitability for dealers and OEMs. We believe with the new
There's a fair amount of tech involved
-
2018 saw a continuation of near-record sales and large profits for automakers in the U.S., but that appears to be coming to an end. Bloomberg reports various factors are conspiring to end this trend such as increasing interest rates and the average price of a new vehicle hitting record highs. While some may point out that 2018 saw a 0.3 percent increase in vehicle deliveries (17.6 million according to AutoData), analysts point that this is due to the tax cuts brought by President Donald Trump la
The sales party is coming to a close
-
More and more automakers are launching subscription services as another option to get into new or used cars. But a new report shows the subscription services are still flying under the radar for most consumers. Autolist recently conducted a survey with 1,428 car shoppers in the second half of April. This is what they found out. 70 percent of shoppers had no idea that such a thing existed Out of the 30 percent of shoppers who knew about subscription services, only half could a
The reasons as to why are somewhat easy to explain
-
It is now official, the Detroit Auto Show will not be held in January beginning in 2020. Organizers of the show made the announcement yesterday afternoon and released a teaser video showing what the show may look like in its new date, complete with outdoor test tracks and vehicle displays. The Detroit Auto Dealers Association (DADA) will be holding a press conference on July 24th announcing the new date. As we have reported previously, DADA was considering moving the show to October not onl
The question is which month
-
If the Trump administration goes forward with placing a 25 percent tariff on new cars, it could cost automakers between one to two million sales. Analysis done by researcher LMC Automotive said if automakers pass on the full 25 percent tariff to customers, it could cut sales by about two million - about 10 percent of annual U.S. sales. If automakers absorb some some of tariff, the sales drop would reduce to just a million. Jeff Schuster, senior vice president of forecasting for LMC Aut
The possible 25 percent tariffs could do some serious damage to car sales
-
The number of automakers teaming up to share and develop new vehicles and technologies is growing in an effort to help reduce costs. A new report from German paper Handelsblatt says that BMW and Daimler are considering such a move. Speaking to sources at both companies, BMW and Daimler are looking into possibly jointly developing their next-generation compact cars (BMW 1-Series and Mercedes-Benz A-Class) - as part of a wider cooperation that includes sharing autonomous car tech. Working tog
The next-generation BMW and Mercedes-Benz compacts may be quite similar
-
The future of Faraday Future is becoming dimmer. The Verge reported yesterday that the automaker has decided to shut down some operations this week at their headquarters in Gardena, California, and at its factory in Hanford, California. Workers who started after May 1st of this year “must take a furlough,” according to an email sent by FF CEO Jia Yueting. Those working before "will have the option to remain on board with a reduced salary of $50,000 per year," employees told The Verge. Yueting sa
The lights are dimming at Faraday Future
-
With more people trending towards trucks and utility vehicles, it would be expected that prices on cars would be falling. But not on used cars according to Edmunds. In their latest Used Car Report, Edmunds says the average price for a used subcompact rose 3 percent in the first quarter. Compacts saw their average price increase by 3.9 percent. The reason according to the report is due to the increasing cost for a gallon of gas. "Used-car shoppers are typically more price-sensitive to
Thank you high gas prices
-
The talk about whether any of the major auto shows still matter has been going on for few years as a number of automakers pulling out has been increasing. But what you haven't heard is a major head of automaker questioning them, until now. “Motor shows are dead,” said Herbert Diess, chairman of the Volkswagen Group. “They are a product of the 1960s and they are not as relevant anymore. They’re not delivering what we want and they’re not delivering what car buyers want.” The Detroi
Surprising for an auto executive to say this
-
On Friday, California regulators voted to require that automakers stick with the Obama-era emission regulations for vehicles sold in the state, no matter the efforts of the Trump administration to weaken the standards. This basically means vehicles built for through 2025 model year comply with the state’s standards and can legally be sold there. Beginning with the 2026 model year, vehicles have to meet the stricter standards if automakers want to sell vehicles in the state, along with the 12 oth
Still is vowing to work with the national government to establish a national standard
-
As expected, the Environmental Protection Agency (EPA) and National Highway Traffic Safety Administration (NHTSA) have unveiled a proposal that will suspend increases in fuel economy put forth by the Obama administration, and take away California's ability regulate vehicle emissions. The new proposal is called the "Safer Affordable Fuel-Efficient (SAFE) Vehicles Rule." Under the new proposal, the Corporate Average Fuel Economy (CAFE) would be capped at the 2020 level of 37 mpg through
Prepare yourselves, there are some mental gymnastics involved
-
The project of a trade war between the U.S. and China (along with the European Union) has many automakers on edge. Some are beginning to speak out about the possible dangers it may bring. Mercedes-Benz's parent company, Diamler AG announced yesterday that its full-year earnings will be slightly lower than last year. Their reasoning comes down to consumers in China buying fewer SUVs that are imported from the U.S. Most of Mercedes-Benz SUVs are built in Alabama. “Remember, for those fol
One Predicts a Hit on Profits, While the Other Says it will threaten jobs
-
Consumer Reports' has unveiled the results of their 2018 Auto Reliability Survey and it was not a good showing for the domestics. Only two domestic brands finished in the top 20 - Ford which came in 18th and Buick who placed 19th. The latter dropping 11 spots in this year's survey. The rest of the domestic brands finished in the bottom half with Ram, Tesla, and Cadillac finishing 26th to 28th. Finishing last was Volvo with CR saying the brand's Sensus Connect infotainment system being the reason
Not a pleasant showing for the domestics
-
The New York Times dropped a bombshell of a report last week saying that German automakers funded an experiment that had 10 monkeys in airtight chambers, inhaling diesel fumes from a Volkswagen Beetle TDI. The experiment took place back at an Albuquerque, New Mexico laboratory in an effort to prove newer diesel vehicles were cleaner than older models. But researchers were unaware that the Beetle used in the experiment was equipped with a defeat device that allowed it produce fewer emissions in t
No, we are not making this up
-
New cars are getting more and more expensive. Kelly Blue Book reported earlier this month that the average transaction price of a new car was $35,541, up 1.8 percent compared to the same time last year. This has more consumers checking out the used car lot, causing demand to rise. “Customers forget a new car is now more than $30,000 and they expect it to be $20,000,” said Brian Allan, a senior director at Galpin Motors Inc., to the Wall Street Journal. “When people see the price has go
New cars are just too expensive
-
One of the key materials used in electric car batteries is cobalt. But there are growing concerns that the supply of cobalt is getting scarce as more and more automakers begin building electric cars. A new report from Bloomberg New Energy Finance says cobalt shortages are expected to happen earlier than previously forecast. This issue possibly brings a big challenge to the rollout of electric vehicles over the next five to seven years. "The long lead time to bring on new mines and the
More electric vehicles mean more cobalt supply problems
-
When we last reported on the date change of the Detroit Auto Show, organizers had made the final decision on what month it would be held beginning in 2020 - either October or June. A new report from The Detroit News says June will be month that will be announced at a press conference on July 24th. Sources tell the paper that back in January that the Detroit Auto Dealers Association (DADA), organizers of the show sat down and started discussions as to moving the show. Originally, DADA had Oc
Might have some elements of the Goodwood Festival of Speed
-
Tesla and General Motors lead the pack when it comes to the sales of plug-in vehicles. Data from Automotive News says Tesla stands at 193,344 vehicles, followed by GM at 181,062, But there arises a problem; once they cross the 200,000 mark, the phaseout of the $7,500 tax credit begins. Tesla is expected to be first with some predicting it taking place next month (provided they don't run into more production troubles). GM will follow sometime next year. Barring some sort of extension of the
Might become tougher to sell some EVs
-
Automakers already have enough of a headache with the current administration in the white house, but news that broke today is only going to make it even worse. Wilbur Ross, the U.S. Secretary of Commerce has announced that President Donald ordered an investigation under Section 232 of the Trade Expansion Act of 1962 to determine "whether imports of automobiles, including SUVs, vans and light trucks, and automotive parts into the United States threaten to impair the national security." "T
May lead to tariffs and other issues
-
A new report from the German publication Handelsblatt says that Ford and Volkswagen are considering expanding their partnership "that stands to change the German industry.” The two are reportedly looking into working together on autonomous tech and electric vehicle development. There are a number of ideas under consideration between two. One example is for Volkswagem's Moia self-driving subsidiary to take a 50 percent stake into Ford’s Autonomous Vehicles LLC. In return, Volkswagen could sh
May include autonomous vehicles
-
Yesterday, President Donald Trump announced that he had reached an agreement with Japanese Prime Minister Shinzo Abe to open trade talks between the two nations. Previously, the president had threatened a 25 percent tariff on cars to reduce imports and encourage more production in the U.S. The two agree that the "sanctions on auto exports won’t be applied while the talks take place." A key topic of talks will likely be giving better access to U.S. cars to be sold in Japan, something Preside
Its all about that perception
-
The past month has been quite strenuous on the relationship between the Environmental Protection Agency and the State of California. Back in April, EPA chief Scott Pruitt announced they would be rolling back the fuel-efficiency regulations set towards the end of President Obama's tenure. The EPA also announced that it was considering revoking California's waiver to set their own emission standards. A few days later, we reported that the officials from the White House, California, and automakers
It is getting a bit messy
-
The COVID-19 pandemic has basically brought most of the world to halt. Orders to stay at home, businesses either having workers to their work from home or closing down, and unemployment skyrocketing is causing the economy to crater. There are efforts to try and jump-start the economy such as $1,200 stimulus checks. But an executive at Ford wants to see a return of a "cash for clunkers" like program. “We think some level of stimulus somewhere on the other side of this would help not only the
Is this a good idea or not?
-
Yesterday, President Donald Trump announced a new round of tariffs on about $200 billion in Chinese goods beginning next Monday. The tariffs are set at 10 percent and could rise to 25 percent in January if the Chinese government refuses to offer concessions. Today, the Chinese government announced that it would take retaliatory action by placing tariffs on $60 billion of U.S. goods. This is bad news for automakers as the Detroit Free Reports that more than 100 car parts - ranging from tires
Increased tariffs on car parts are to blame
-
The U.S. Commerce Department is asking automakers to spill their secrets; product planning, financing, supply chains, and other bits that aren't in public filings. Bloomberg reports that the department’s Bureau of Industry and Security sent out a 34-page questionnaire asking for sensitive details to several automakers. Failure to do so could result "in a maximum fine of $10,000, imprisonment of up to one year, or both" as mentioned on the first page of the survey. “The breadth and dep
I've got a secret
-
The Geneva Motor Show saw Mercedes introduce their new AMG GT 4-Door and BMW revealing their M8 Gran Coupe concept. We still find ourselves scratching our heads as to why these vehicles exist in the first place, but a new Bloomberg report explains an interesting reason as to why automakers are building them. These high-performance models with high price-tags will help generate the cash needed to develop electric vehicles. BMW for example is in the midst of its largest rollout of new models
How else are they supposed pay for it?
-
January is usually not a strong month for car sales as it just after the holidays and people don't have the money to buy a new car. This is reflected in our January sales figure ticker where most automakers post small increases and decreases. There were some automakers that posted some surprising numbers. Nissan reported a 10 percent increase and Toyota noted an impressive 16.8 percent rise. The two automakers credit their utility as a key reason for the rise. But Bloomberg reports there is anot
How do you explain a noticeable increase in January sales?
-
In 2009, the U.S. saw its lowest number of pedestrian deaths. But since then, that number has increased by 46 percent as pedestrian crashes have become more frequent and deadlier. Why is that? The Insurance Institute for Highway Safety released a study today investigating the possible reasons. One key indicator is the number of crashes involving SUVs. According to IIHS data, between 2009 and 2016, fatal single-vehicle crashes involving SUVs rose 81 percent - the largest increase of any vehi
Highest amount since 2009
-
Fuel efficiency guidelines and California's right to set its own vehicle emissions standards are in the crosshairs of the Trump administration again. Bloomberg has learned from sources that the administration will be introducing a proposal later this week that revises key parts of the Obama-era standards. This includes capping federal fuel economy requirements at 2020 level of 35 mpg fleet wide, instead of the 50 mpg requirement by 2025. There is also a provision that would revoke the Clean
Here we go once again
-
IHS Markit recently published their analysis on how long Americans are holding onto their vehicles. The average according to the firm stands at 11.9 years, the highest amount since they have been tracking this. Also, about one in four vehicles is over sixteen years old. We should note that this data came before COVID-19 started to wreak havoc on the U.S. IHS notes that new cars only made up 6.1 percent of vehicles in operation in 2019, down 0.8 percent when compared to high of 2016. This highlig
Expect the Age to Climb Higher Due to COVID-19
-
Ask Peter Welch, the CEO of the National Automobile Dealers Association (NADA) what worries him the most, he'll admit that it is average consumers getting priced out of new cars. He admitted this yesterday at the Automotive News World Congress in Detroit. Welch said that the latest figures he has seen - through October of last year - reveal the average retail price of a new car climbing to a new high of $35,366. The average monthly payment is hovering at $538, and interest rates have climbe
Even NADA's CEO is wondering where are the affordable vehicles
-
Germany's highest court, the Federal Administrative Court ruled today that cities can ban older diesel vehicles to help cut pollution. According to Reuters, the case was brought to the Federal Administrative Court after local courts ordered the Düsseldorf and Stuttgart governments to ban older diesel vehicles. The states disagreed with this decision and appealed it to the highest court. Originally, the Federal Administrative Court was expected to rule on the case last week, but it was push
Environmentalists love it, Government officials hate it
-
Many new cars are fitted with various driver assist systems; backup cameras, blind spot monitoring, adaptive cruise control, forward collision warning, and lane-keep assist to name a few. But this has introduced the problem of drivers becoming too reliant on these systems, causing them not realize the limitations and taking their own "preventative measures". The AAA Foundation for Traffic Safety published a report this month looking into drivers' experiences with the assistance technologies
Drivers rely too much on assist systems
-
The recently announced alliance between Ford and Volkswagen will not bring any benefits to North America at the beginning. Both companies said that the partnership will focus on Africa, Europe, and South America beginning with commercial vans and the next-generation Ranger/Amarok pickup. Down the road, both Ford and Volkswagen said there could be a potential product for the U.S. While Ford is keeping quiet on what that product could be, Volkswagen CEO Herbert Diess said that a commercial ve
Down the road, that may change
-
A new audit released by the U.S. Transportation Department’s Office of Inspector General rips the National Highway Traffic Safety Administration (NHTSA) over its handling of the Takata airbag recall. In the report, the Inspector General says NHTSA's recall monitoring process "does not ensure that remedies are reported completely and in a timely manner," nor does it "verify recall completion rates, although it has the authority to do so." Other issues the audit found included the long time i
Doesn't put NHTSA in a positive light
-
On the surface, Faraday Future appears to been having a run of good luck. It had gotten a major investment from healthcare division of Chinese real estate group Evergrande; testing is continuing on their first EV, the FF 91; and the company has started building pre-production vehicles at its US plant. But trouble always seems to be looming and it has struck once again for the start-up automaker. Yesterday, Reuters reported on a filing made by Evergrande Health for the Hong Kong stock exchan
Did we mention the fire that involved FF's only pre-production FF91?
-
Premium battery manufacture of Germany, AKASOL has announced that they will open a battery system production plant in Detroit Michigan USA. This dedicated operations in North America will ensure that AKASOL's customers comply with the Buy America Act Regulations and is in response to demand for their high energy battery modules from various OEM manufacturer of Trucks, Buses and auto's. This considerable investment will create over 200 jobs within the next 5 years. State of Michigan awarded
Detroit Michigan has been chosen to ensure that AKASOL's customers comply with Buy America Act regulations, which dictate that they must purchase locally-produced battery systems.
-
Earlier this month, Fiat Chrysler Automobiles filed a complaint with the U.S. International Trade Commission over the Mahindra Roxor - a side-by-side off-road utility. FCA alleges that the certain design elements of the Roxor infringe on the " intellectual property rights of FCA's Jeep design," and is wanting to stop the sale of the model in the U.S. Mahindra is fighting back. Reuters reports that the company has filed a public interest statement with the U.S. ITC and started proceedings in
Deals with the Roxor Utility
-
The Chinese government is considering a proposal to reduce tariffs on U.S.-Built vehicles from the current 40 percent back down to the 15 percent before the trade war broke out between it and the U.S. Sources tell Bloomberg a proposal has been submitted to the cabinet to be reviewed in the coming days. This proposal stems from a trade summit in Buenos Aires where U.S. President Donald Trump and Chinese President Xi Jinping agreed to a 90-day truce on the trade war earlier this month. After
Could the trade-war be cooling down?
-
Another wave of fallout from the Volkswagen diesel emission scandal could be coming later this week in a German court. Reuters reports that Germany’s federal administrative court will be ruling whether or not local governments could ban diesel vehicles. Environmental group DUH sued the Stuttgart and Duesseldorf governments for over levels of diesel particulate matter exceeding European Union limits after Volkswagen admitted to cheating on emission tests. Local courts ordered the government
Could cause serious issues in terms of resale values
-
Back in 2010, Renault-Nissan and Daimler announced a new partnership that would see the two share powertrains and work on various projects. Some of those have come to fruition such as the Infiniti QX30, which is a Mercedes-Benz GLA-Class in different clothing and the platform that underpins the Infiniti QX50. But other projects between the two have been halted. Late last week, the Nikkan Kogyo business daily reported that joint development of luxury compact car project has been suspended. T
Consumer tastes and tariffs are to blame
-
PSA Group has been hard at work on its plan to return to the U.S. by 2026. They already have a brand chosen that will lead the launch (bur aren't saying if it will be Citroen, DS, Peugeot, or the recently acquired Opel/Vauxhall) and has open their U.S. headquarters in Georgia. The next step is figuring out where they'll begin selling vehicles. Larry Dominique, CEO of PSA Group North America told reporters that he has his eyes on 15 states to launch. Among the states mentioned include,
But what happens if the tariffs go into effect?
-
The threat of a 20 percent tariff on vehicles exported from the European Union has a number of automakers panicking. But that tariff could be taken off the table if the EU removes their tariff on vehicles exported from the U.S. German paper Handelsblatt learned from sources that a meeting was held between the US ambassador to Germany, Richard Grenell and number of CEOs from German automakers. Grenell presented an offer directly from President Donald Trump - "elimination of all tariffs on au
But they would need to make some concessions
-
Ever since PSA Group announced that it would be making a return the U.S. as part of a 10-year plan, there has been a large amount of speculation as to which brand would be sold. Would it be Citroen, DS, Peugeot, or the recently acquired Opel/Vauxhall? “We’ve chosen a brand, but it’s too early to talk about it,” said Larry Dominique, president and CEO of PSA North America to Car and Driver. PSA Group is still in the first phase of its plan with the Free2Move mobility aggregation platfor
But they aren't saying which one.
-
It is no secret that buyers are gobbling up SUVs and crossovers, nor is it that automakers are introducing new and redesigned models. Take a look at the New York Auto Show this week where a number a new models (Toyota RAV4 and Subaru Forester) and concepts (Lincoln Aviator) made their debut. According to automotive consultancy firm LMC Automotive, there are currently 63 mainstream crossover and SUV models, and 53 luxury models. By 2023, LMC is projecting 90 models for both mainstream and lu
But is there such a thing as too many?
-
The Volkswagen diesel emission scandal has given many a black eye. Robert Bosch GmbH, a supplier of diesel engine technology was one of those as it found itself under investigation by German authorities to see whether or not it aided and abetted in the scandal. The company also had to pay out $327.5 million as part of a settlement in the U.S. But the company isn't giving up on diesel just yet. This week at the Bosch’s annual press conference, CEO Dr. Volkmar Denner claimed they had found “de
But is it too late?
-
There has been a lot of talk about driverless cars with companies (both automotive and tech) promising a safe and grandiose future and a number of high-profile crashes that have resulted in fatalities. This got us wondering how the general public feels about them. Recently, two studies came asking this and their results are very interesting. First up is CarGurus which asked 1,873 vehicle owners in the U.S. between the ages of 18 to 65 about self-driving vehicles. 79 percent of participants s
Both have some interesting results
-
About a year ago, European antitrust regulators became very suspicious that BMW, Daimler, and Volkswagen were involved in a longstanding automotive cartel that colluded on restricting certain emissions control devices for the market. Raids were carried out at various facilities, but nothing came out. That changed yesterday as the European Commission has opened a formal investigation. "The Commission is investigating whether BMW, Daimler and VW agreed not to compete against each other on the
BMW, Daimler, and Volkswagen are involved in the investigation
-
Most people aren't so keen on letting an autonomous system take control of their vehicle according to a new survey done by Cox Automotive. Nearly 85 percent of the 1,250 people surveyed said they should have the option to drive themselves even in a self-driving vehicle. Only 16 percent said they would feel comfortable allowing a autonomous driving system take over. When asked if they would be a fully-autonomous vehicle (Level 5 under SAE's vehicle autonomy guidelines), almost half said no.
Blame the number of recent crashes involving self-driving cars
-
President Donald Trump is no fan of German automakers. Take for instance this quote from last January, He has also made comments about BMW in the past few months in light of possible tariffs (which appear to be going into effect today). Now, new comments have been brought to light where the president wants to try and ban German cars from the U.S. German magazine Wirtschaftswoche reports that during French President Emmanuel Macron's visit to the U.S. in April, Trump said that he will
Because automakers really want more uncertainty
-
China is the world's largest EV market with sales of electric auto's reaching 2.61 million up 70% in 2018 over 2017. This constitutes 4% of the total Chinese market today. China is requiring 10% of total sales to be EV in 2019 and raised to 12% for 2020. In comparison, the US saw EV sales jump 81% for 2018 to a total of 360,000 EVs sold out of a total of 17.2 million auto's sold. Yet the US has only 1 million EVs on the road and the auto industry is projected to spend a mind blowing $255 billio
Automakers are planning to bring to market 100's of electric automobiles by 2025 and a german research company may have solved one of the biggest problems surrounding making them profitable.
-
Last week, Tesla CEO Elon Musk revealed that Saudi Arabia's Public Investment Fund (PIF) could help provide the necessary funding to make the company private. But a new report hints that the PIF could invest its money into a different electric automaker. Reuters has learned from sources that the PIF is in talks with Lucid Motors about a potential investment. The two have drawn up a term sheet where the PIF could invest more than $1 billion into Lucid Motors and become the majority stakehold
Another automaker may be in the sights of Saudi Arabia's Public Investment Fund
-
It is already tough for a number of people to afford a new vehicle as the average transaction price keeps rising. According to Kelly Blue Book, the average transaction price for November rose 2.1 percent to $36,978. This isn't being helped by American automakers deciding to stop producing cars due to changing consumer tastes. This was brought to light last week when General Motors announced that it would be cutting a number of cars including the Chevrolet Cruze. Most automakers and dealers belie
And why that may pose a problem
-
Under the current standards for vehicle emissions, automakers have a variety of ways to achieve compliance. These are known as "compliance flexibilities" which allows an automaker to sell electric vehicles to off-set gad-guzzlers like SUVs as an example. But the recent proposal by the Trump administration to ease emission standards, will remove these flexibilities. The proposal unveiled last week would freeze fuel-economy and emissions standards at their 2020 levels for several years beyond
And now for something completely contradictory
-
If you have been following auto sales for the past few years, then you know that SUVs and trucks currently dominate the sales charts partly due to the low gas prices. This is especially true when it comes to the luxury segment, where utility models are eating sedans. But a new report from The New York Times reveals that American automakers are eating the lunches of luxury car manufacturers. According to data from Edmunds, the likes of Ford, Chevrolet, and GMC have seen their share of domes
American automakers are cleaning up here.
-
Towards the end of last year, the fate of Faraday Future looked to be bleak. Their main investor, Chinese company Evergrande Health Industry Group filed a complaint with the Hong Kong Stock Exchange that claimed Faraday tried to cancel a deal to sell a 45 percent stake to them. Evergrande claimed the company didn't meet various milestones to get the full $2 billion it had agreed to in the summer. But Faraday fought back, saying that Evergrade didn't cough up the cash. This would only signal
Also opens the door for Faraday to find new financing
-
Prices on new pickup trucks have been steadily increasing as more people are choosing them as their family vehicle and in turn are wanting more luxury features. But this rise in prices has been making it harder for the average buyer to afford one. Data from Edmunds shows through September, the average transaction price for a full-size pickup is $48,377; a 48 percent increase when compared to 10 years ago and 19 percent increased when compared to 2013. "A 48-percent increase in price is
All of those luxury touches are causing prices to climb
-
When the EPA and NHTSA unveiled the proposal for revised fuel economy standards, there was a key part that brought up a lot of debate: The claim that the new regulations would reduce the number of fatalities and crashes. As we pointed out in our story, there were a number of holes in that argument. It seems we were not the only ones questioning this. Yesterday, the review of the proposal done by the White House's Information and Regulatory Affairs was made public. In it are hundred of pages
Ah, interagency fighting.
-
Developing autonomous vehicles in sunny, dry locales like Phoenix, Arizona has proven to be difficult due to numerous variables such as traffic and human behavior. But an upcoming study from Michigan State University reveals that autonomous technologies still have a number of hurdles as testing begins in areas with changing conditions. Automotive News had the chance to speak with Hayder Radha, an MSU professor of electrical and computer engineering who oversaw the upcoming study. The findin
A light sprinkle could cause some major headaches for self-driving vehicles
-
Fiat Chrysler Automobiles is none too pleased with the Indian automaker Mahindra & Mahindra Ltd as they're planning to sell an off-road vehicle that looks very much like the original Willys Jeep. Bloomberg obtained a complaint filed by FCA to the U.S. International Trade Commission on August 1st. The document claims that Mahindra's Roxor infringes key characteristics of Jeep's signature design - namely the “boxy body shape with flat-appearing vertical sides and rear body ending at about
A fair amount of their complaint deals with the design
-
The bad news keeps hitting Faraday Future. Earlier this month, we reported on the fight between the automaker and its latest backer, Evergrande Health Industry Group. Faraday claims that Evergrande failed to provide additional funds as part of an investment deal. Evergrande has denied this claim and has brought in lawyers to fight this charge. But this row has caused the electric car start-up to make some difficult decisions. The Verge obtained an email sent to Faraday Future staff on Sunda
20 percent cut in salaries and an unknown number of people will be laid off
-
We'll excuse you if you forgot that Fiat Chrysler Automobiles and PSA Group have been working towards finalizing their merger considering the state of the world at the moment. But the two are making serious headway as they have announced the new name of the multi-national corporation that will form once the two merge. Meet Stellantis. Don't worry, you're not the only who is thinking "What" or thinking of some clever joke to make fun of this name. We'll let the two explain what this name mean
How much did the two spend on consultants to come up with this name?
-
Back i n May, the U.S. Commerce Department launched an investigation into car imports to determine the impact of car imports. The investigation falls under Section 232 of the Trade Expansion Act of 1962 which states "whether imports of automobiles, including SUVs, vans and light trucks, and automotive parts into the United States threaten to impair the national security." This could allow the Trump administration to levy tariffs as high as 25 percent on foreign-built vehicles. Yesterday, th
The tariffs as high as 25% are on hold for the moment.
-
The battle to be the first Chinese automaker to make it in the U.S. is heating up. Ford's Chinese partner Zotye has been setting up agreements for about 20 dealerships in the US, The goal is to bring the Zoyte T600 to the US in 2020. Previously Guangzhou Automotive had planned to bring their vehicles to the U.S. in 2019, but Trump's tariffs would delay their arrival. The T600, which looks like a cross between an Audi Q5 and previous generation VW Tiguan, sells between approximately $12,00
Lining up dealers to sell a budget crossover in 2020.
-
The Trump Administration and the EPA officials have scrapped all further talks with California and canceled the $929 million in federal funds for a California high-speed rail project. California's Governor has responded that this is in response to California leading a 16 state coalition challenge to President Trump's national emergency to take funds from the defense department and apply it to building a wall from the Gulf of Mexico to the Pacific Ocean. California has already filed sui
Federal officials from the EPA have ended negotiations with California.
-
According to research issued by AAA, 40 percent of Americans expect driver assist systems with names like ProPilot, Co-Pilot 360, or Autopilot to give the vehicle the ability to drive itself. In a quote to Automotive News, Director of Automotive Engineering and Industry Relations at AAA says "Somewhere in there, you'd think a pilot is involved, but indeed no, human driving is still required." AAA examined 34 vehicle brands to identify the number of driver-assistance names used and foun
Consumers think that with names like Co-Pilot 360, ProPilot, or Autopilot, the car should be able to drive itself.
-
A few weeks after Honda announced the closure of its manufacturing plant in Swindon, Sky News is reporting that BMW and Nissan are both looking at moving operations out of the UK in the event of a no-deal Brexit. BMW currently produces the Mini-Cooper in Oxford. BMW's Peter Schwarzenbauer has said that the company would "need to consider" moving production out of the UK. In addition to Mini production, some engine production would move to Austria from Birmingham. Likewise Nissan, whic
A no-deal Brexit may kill automotive jobs in the UK.
-
Market forecasts of the future is a fragile thing, yet LMC Automotive has a strong reputation as a consulting firm looking at the global markets. The daily announcements of electric-car churn, major production investments, battery supply, etc. is cause for people to want to take a reality check of the projections by various OEM producers to individual government pronouncements. US projection is that fossil fuel light-duty autos will still be 69% or 7 out of 10 autos on the road in 2030. Acc
95% of Auto's sold in 2018 globally were ICE, what should we expect in 2030?
-
BMW Group and Daimler AG are combining forces to take on rideshare and mobility services like Uber and Lyft. They will invest a combined 1 billion euro to build a new company with a multiprong approach. The new company will offer five services in a single portfolio. Eventually, they will offer an all-electric, self-driving fleet of vehicles that charge, park, and drive autonomously and interconnect with other forms of transport. The five apps include: Reach Now: Offers a range of op
1B € combined investment
-
Automakers for the most part were hurting in sales during the second quarter. The COVID-19 pandemic and the economy coming to a screeching halt for a brief time caused new car sales to drop by a third according to Automotive News. But there is a slim silver lining to this, full-size pickups have moved into being the best-selling segment of vehicles. According to data from Automotive News, one out of four vehicles sold between April and June was a pickup truck. This helped put them ahead of
The Trucks Are Alright, Everyone Else TBD
-
From the strange bedfellows' file; Hyundai and Kia have announced a joint investment of 80 million Euros (about $90 million) into Croatia-based Rimac Automobili. Rimac may be known to most people for the fast Concept One electric supercar - the vehicle which Richard Hammond had a serious crash when filming The Grand Tour. "The companies will work closely together to develop prototypes for an electric version of Hyundai Motor's N brand midship sports concept car and a high-performance fuel ce
...Wait, what?...
-
There has been a prevailing thought about the likes of Uber and Lyft that once they switch from human drivers to self-driving vehicles, they would stand to see a significant reduction in overall operating costs. This possibly means consumers could see these services as an alternative to owning a vehicle. But a new study from the Massachusetts Institute of Technology (MIT) disputes that claim. Researchers Ashley Nunes and Kristen D. Hernandez examined the San Francisco market on the per-mile
...That whole autonomous-vehicle will be our savor to ride-hailing services.... that may not be exactly true...
-
Fiat Chrysler Automobile has abruptly pulled back on their merger offer with Renault after the second day of negotiations came to a close. The Wall Street Journal reports that Renault's partner, Nissan declined to support the deal according to sources. During a vote today on the Renault board, the two Nissan representative abstained, raising concerns for both FCA and Renault that Nissan would back out of the alliance. This, in turn, caused the French Government (major stakeholder in Renault
...That was abrupt...
-
Revolution most commonly starts in the heart of what is to be disrupted. In this case, oil country is where one of the most revolutionary new motor designs is coming from. The minds at the University of Texas in Dallas, Dr. Babak Fahimi and the Renewable Enery and Vehicular Technology Laboratory brings us this new startup "Linear Labs Inc. A Smart Electric Motor Company" who just completed their funding round to allow them to market and produce their flagship motor, the Hunstable Electric Turbin
...more torque, better power density, and 10 percent further range...
-
Guangzhou Automobile Group Co. (GAC) made a big splash at the Detroit Auto Show this year with a number of models destined for the U.S. The plan at the time was to begin talking with dealers at the National Automobile Dealers Association convention in March, with sales to follow early next year. But GAC has postponed plans of coming to the U.S. due to the trade war. In a statement issued to Bloomberg, GAC said “the escalation of China-U.S. trade frictions” and distribution “uncertainties” h
...Damn you trade war!...
-
Financial Times is reporting that Renault wants to make the marriage to Nissan more official and formally merge. Renault wants to start talks within the next 12 months and include a potential bid for automaker FCA . The combined companies of Nissan, Renault, Fiat, and Chrysler would be a conglomerate that rivals the size of Toyota and Volkswagen. Carlos Ghosn tried to start merger talks prior to his arrest for financial wrongdoing, however, the French government stopped his proposals. Ren
.. Move from alliance to formal merger
-
A near-production prototype Bugatti Chiron on special Michelin tires has broken the 300 mph barrier in Germany at the Ehra-Lessien proving ground. Though full specs were not announced, but it is suspected to have 1,578 horsepower, carbon fiber components, taller gearing, lowered suspension, and specialized Michelin tires. The test mule received a clip on rear tail with a more aggressive diffuser. If the car makes it into production, it will hold the record as the fastest production cars. T
...They've gone as fast at they'll go...
-
If you're currently running with an older GPS system, either built into your car or via an external device, you may need to check if a firmware update is available. Tonight at midnight, the UTC clock used by the satellite navigation system will roll over to 0000000000. That number is a 10-bit "week number" that counts the number of weeks since August 21, 1999, the date of the current GPS "epoch". Most newer GPS devices will know about the coming rollover and will just continue working,
...the UTC clock is about to roll over...
-
The tariffs that Trump had threatened to impose on Mexico starting June 10th will not be going on to effect. Trump tweeted out that Mexico had made concessions to deploy their newly formed Nation Guard to their own southern border and that it only took two days for Mexico to bend to Trump's demands. This is false. The truth, according to a report in the New York Times is that Mexico had already agreed to do that back in March 2019 during secret talks between the (at the time) Director of
...the "deal" was made months ago...
- Editor-in-Chief
-
Ford and GM, the U.S.'s top two auto manufacturers are bracing themselves for the worst. They have been running economic modeling to determin the steps they would take given a medium or severe recession in the US and across global markets. General Motors has a stockpile of $18 billion in cash while Ford has $20 billion saved up. GM is relying on deferring non-essential capital expenditures and a shift in production to lower cost vehicles as part of its plan to save costs in the event of a
...Preparing for the worst...
-
A Pittsburgh Port Authority Bus became stuck in a sink hole in downtown Pittsburgh this morning. The bus was waiting at a traffic light when the road gave way. There were two people on the bus who were able to get off the bus safely. A Kia Optima was also left with its front wheels hanging into the hole. The incident occurred at about 7:40 a.m. outside the Westin Hotel downtown on the corner of 10th street and Penn Avenue. The hole is about 20 feet deep and 75 feet wide. The bus is sitti
...open up!...
-
The National Highway Traffic Safety Administration has begun testing vehicles that have cameras in place of real mirrors. The request to test such devices goes back to March of 2014 when the Alliance of Automobile Manufacturers along with Tesla filed a petition with the NHTSA to get approval to install based rear or side vision cameras and screens in their vehicles. Daimler filed a similar petition in 2015 for their heavy duty trucks. Japan and Europe have already approved the technology.
...New tech to replace old tech...
-
If you're the owner of an Android phone and an Android Auto enabled vehicle, this summer there will be a big upgrade coming to the interface of both. The new design will allow you to do more with fewer taps, while also showing more information on the screen at a time. As soon as you start your car, Android Auto will pick up where you left off with your media and automatically show your navigation app of choice. Navigation will show a suggested list of places or the user can say "Hey Googl
...Major UI improvements coming...
- Editor-in-Chief
-
The President has threatened to slap tariffs on the import of all cars in a year if Mexico does not completely halt the flow of illegal immigration, a near impossible task. This is after he backtracked on his previous threat to completely close the US-Mexico border, a move his own advisers recommended against. Such actions would have massive economic repercussions on both sides of the border, raising prices for many consumer goods. Trump said, "Mexico understands that we're going to clos
...in spite of negotiating no tariffs with them earlier..
-
The European car market as a whole has been in decline for six consecutive months as of March 2019 with 19 out of 27 markets posting declines. March numbers were down 3.6 percent over the same month in 2018. Looking at the first quarter of 2019 paints an even bleaker picture with only 6 countries recording growth. While overall demand is down, the demand for electric vehicles grows. The sales of EVs exceeded 100,000 units for the first time ever with a total of 125,400 EV and PHEVs sold.
...in a market that continues to decline, EVs are doing well...
-
Jaguar Land Rover has announced a temporary halt in production in November as the threat of disruption from a No-Deal Brexit looms. BMW and Toyota have already announced plans for temporary work stoppages at their UK factories. All four of JLR's UK factories are affected. Although No-Deal Brexit is still not a certainty. Manufacturers like JLR have to plan for the worst. JLR uses 20 million parts a day and needs to have those parts available at just the right time. Toyota will be s
...bracing for a No-Deal Brexit...
- Editor-in-Chief
-
The Society of Automotive Engineers has announced today that they are joining with Ford, General Motors, and Toyota to form the Automatic Vehicle Safety Consortium (AVSC), a group that will work together to test the deployment and development of Level 4 and Level 5 automated vehicles. The AVSC will provide a safety framework for the advancement of the technology in a safe and responsible manner. The group will use the expertise of its current members to establish a set of guiding principle
...banding together to bring about safer autonomous vehicles...
.jpeg.362db63b38fe9f2f7db674634cea2655.jpeg)
