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Category Archives: economy
North American Production Up, But Sales Down
With 2018 in the rearview mirror, overall sales of imported vehicles increased by just over 2%, with imported SUV sales skyrocketing by more than 15%, due to a lack of regionally-produced models to meet the ever-growing demand for the boxy body style. Continue reading
Posted in economy, manufacturing
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Trade Wars: FCA to Expand Production Capacity in Michigan
Given his vast international experience, Manley appears ideal to negotiate the choppy waters of ongoing and yet unknown trade wars and protect FCA’s investment of nearly $14.5 billion since 2009, with ~30,000 jobs created to date. All automakers are against Trump trade policy by twitter. Continue reading
Millennials – Soon Largest Generation in US electorate
The growing gap by education is even more apparent when looking at annual household income of the elite. For households headed by Millennials ages 25 to 37 in 2018, the median adjusted household income was about $105,300 for those with a bachelor’s degree or higher, roughly $56,000 greater than that of households headed by high school graduates. The median household income difference by education for prior generations ranged from $41,200 for late Boomers to $19,700 for the Silent Generation when they were young. Continue reading
Ford Exits Heavy Truck Business in South America
Most of these pre-tax special item charges and cash outflows of 4460 million will be recorded in 2019 and are part of the $11 billion in EBIT charges with cash-related effects of $7 billion the company expects to take in the redesign of its global business. Continue reading
Global Light Vehicle Sales Start New Year with a Whimper
A worrisome ghost dancing across AutoInformed’s screen is that 2019 began in a cowed manner in most major markets with the weakness that has been evident for several months continuing. Chinese LV sales were again the most influential for the global market, with another double-digit YoY decline. China of course us is enmeshed in a Trump tariff tirade. Continue reading
Japanese-brand Automakers Generate 1.52 Million Jobs in US
It doesn’t estimate how many are lost to oversees manufacturing and imports. Thus, go the one-sided volleys in the ongoing automotive trade wars. Continue reading
Posted in economy, financial results, labor issues, manufacturing, news analysis
Tagged auto industry commentary, autoinformed, autoinformed.com, automotive blog, connected vehicles, jama, Ken Zino, Manny Manriquez, new vehicle reviews, Rutgers University Economics Professor Thomas J. Prusa, The Contribution of the Japanese-Brand Automakers to the United States Economy
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Trump Tariffs Hurt New Auto Prices, Jobs, Consumers
NADA is worried that under a 25% tariff on all imports and parts, “consumers would see the price of the typical vehicle sold in the United States rise by $4,400. Prices of U.S.‐assembled vehicles rise due to an increase in the cost of imported vehicle parts, adding $2,270 to the price. For the typical imported vehicle, these tariffs raise consumer prices by $6,875 per vehicle.” Continue reading
Posted in economy, labor issues, new vehicle, news analysis, people
Tagged auto industry commentary, autoinformed, autoinformed.com, automotive blog, center for automotive research, connected vehicles, Department of Commerce, Ken Zino, NADA President and CEO Peter Welch, new vehicle reviews
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EU Passenger car registrations ‐4.6% in January 2019
During January 2019, the European passenger car market saw a slow start to the year, posting a -4.6% decline compared to one year ago. This makes for six straight months of decline before the impending Brexit disaster takes hold.
Posted in economy, news analysis, sales
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Doomsday? No-Deal Brexit Impact on UK Light Vehicle Market
If the UK leaves the EU without a deal, then the LMC assumption would be that vehicles exported to the EU from the UK would be subject to a tariff of 10% as the UK would, by then, have become a ‘third country’ under EU trade rules. Continue reading
Wither US Automotive Sales? Uncertainties Abound
CAR notes that there are “many risks to the 2019 automotive outlook: Will 2019 be the start of the economic downturn? How will U.S. trade policies affect the auto industry? Will regulatory and technological developments start to change what products are made and sold in North America?” Continue reading
Posted in economy, new vehicle, news analysis, sales
Tagged 2019 CAR US Light Vehicle forecast, 2019 US light vehicle sales forecast, auto industry commentary, autoinformed, autoinformed.com, automotive blog, center for automotive research, connected vehicles, Ken Zino, NADA Sales Forecast, new vehicle reviews
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Cars for Cheese? EU Turning Point in Japanese Localization
In 2018, the three UK Japanese transplants of Nissan, Toyota and Honda collectively produced over 730,000 cars, which represent almost half of all Light Vehicles built in Britain. Continue reading
GM Canada Led 2018 Sales. Now Threatened by Unifor Boycott
That’s precisely the problem, ey? Canadian auto workers are not benefiting from and are being punished with layoffs and the closure of the award-wining Oshawa plant as GM sends middle-class jobs to Mexico where workers are paid $2 an hour. Continue reading
Unifor Boycott Threatens Damage for Ontario Workers GM Says
“GM is arrogant enough to think it can rob Canada of jobs without repercussions,” said Unifor National President Jerry Dias, who resisted the boycott at first. “GM is making a choice to increase manufacturing in Mexico while it abandons communities that have supported it for generations but make no mistake Canadian and American consumers also have a choice,” he concluded. Continue reading
Posted in customer satisfaction, economy, labor issues, milestones, news, news analysis, people
Tagged auto industry commentary, autoinformed, autoinformed.com, automotive blog, Canadian Boycott of GM products., connected vehicles, GM Boycott, Ken Zino, nafta, new vehicle reviews, trade wars, uaw, unifor
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IndustriALL Endorses Global Agreements to Fight and Shape Policy on the Growing Number of Auto Plant Closures
So whither auto plants with their well-paid, highly skilled and heavily unionized work? Plant closures and retrenchments in several countries is worrying for unions. Continue reading →