American Honda Motor is recalling 725,000 2019 Passport, 2016-2019 Pilot, and 2017-2020 Ridgeline vehicles because the hood can fly open while driving. The hood latch striker can become damaged and separate from the hood. Honda has known about the problem for more than five years.* Honda said in the required NHTSA filing that there are no reports of accidents or injuries due to this safety defect. Continue reading
CARB testing showed several small off-road engine products, aka SORE (aptly named?), did not meet evaporative emission standards. These control the amount of raw fuel that can evaporate from these engines, typically used in lawn and garden equipment such as lawn mowers, leaf blowers and pressure washers.
The California Air Resources Board (CARB) said today it reached a settlement agreement with American Honda Motor Corporation of Torrance, California for $6.9 million for violations of CARB’s air quality regulations. This is the second enforcement action against Honda in the past two years*.
Small off-road engines are a major source of pollution in California. In California during 2021, these small engines surpassed light-duty passenger cars as a source of smog-forming emissions. This includes the emissions of raw fuel that continue to evaporate from these engines, lawn mowers and other equipment even when they are off. CARB will consider a regulation on 9 December 2021 to transition small off-road engines to zero-emission technologies, aka electric. This will help California “meet its required federal clean air standards, clean the air and significantly reduce harmful emissions for those who work all day with these small off-road engines.” Continue reading
Toyota will use 100% renewable energy at this new plant to produce the batteries.
Toyota Motor North America said today that a new automotive battery manufacturing plant, Toyota Battery Manufacturing, North Carolina will be located in Greensboro-Randolph. By 2025 TBMNC will have four production lines, each capable of delivering enough lithium-ion batteries for 200,000 vehicles. The stated plan is to expand to at least six production lines for a combined total of up to 1.2 million vehicles per year.
The $1.29 billion investment made by Toyota and Toyota Tsusho is partially funded from a total investment of approximately $3.4 billion previously announced in October. The plant is expected to create 1,750 new American jobs. Continue reading
Hagerty, Inc. (NYSE: HGTY) said that shares of its common stock and warrants will begin trading today on the New York Stock Exchange under ticker symbols HGTY and HGTY.WS, respectively. This results from the completion of the Company’s previously announced business combination with Aldel Financial Inc., a publicly traded special purpose acquisition company. Aldel shareholders approved the business combination at a special meeting held on December 1. Hagerty executives will ring the bell to open the trading day at the New York Stock Exchange on Monday 6 December 2021.
The transaction values Hagerty* at a pro forma enterprise of, gulp, ~$3.1 billion. Net proceeds of ~$265 million, it’s claimed, will be used to advance Hagerty’s growth. Hagerty is self-described as an automotive lifestyle brand and a leading specialty insurance provider focused on the global automotive enthusiast market. The firm has been close to the automotive Concourse scene with financial support, particularly in the US. It also sponsors classic car ride-and-drives associated with classic auto shows or events.
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Production of the 2022 Toyota Tundra started today at Toyota Motor Manufacturing, Texas (TMMTX). TMMTX promoted the official line off of the Tundra and hybrid-powered Tundra that is not due until spring of 2022 as the truck’s first major model change at the San Antonio plant since it began assembling trucks in 2006. (read AutoInformed.com on:First Look: Gen 3 2022 Toyota Tundra)
In 2019, TMMTX announced an investment of $391 million to prepare for production of the 2022 Tundra, pushing its cumulative investment to more than $3.1 billion. This helped TMMTX prepare for production of the next generation Tundra by expanding its facility by 141,000 linear feet – equivalent to 470 football fields – for un-named new processes and technologies to bring the redesigned truck to customers. Continue reading
Daimler says using standardized battery platforms and scalable vehicle architectures – with advances in battery technology – will contribute to a reduction in the variable costs of vehicles. This of course sounds like the plan of all major automakers.
Daimler AG’s Supervisory Board today approved the Mercedes-Benz Business Plan for 2022 to 2026. This means that Mercedes-Benz will transform to a fully electric connected car company. After the Daimler Truck spin-off, Mercedes-Benz will focus on growth opportunities in the passenger car and van businesses. By doing so it is hoped that the German luxury can work for leadership in the area of electric drives and car software at a time when the entire industry is pursuing the same aim. (Shareholders Vote to Spin-off of Daimler Truck, Rename Daimler AG to Mercedes-Benz Group; Daimler Truck Receives Investment Grade Ratings)
The Supervisory Board agreed to an investment plan for the years 2022 to 2026 of more than €60 billion. Mercedes-Benz claims it will reduce capital expenditures, research and development expenses for the electrification of the product portfolio and digitalization processes, including steps towards automated driving, albeit at an admittedly high level. Needed to do this is an increase net revenues per vehicle. In addition, a gradual shift toward a direct sales model, which includes control over pricing, is being sought. Rising revenue from digital services will further support results. Continue reading
The Securities and Exchange Commission today charged the former Chief Financial Officer of pharmaceutical company Immunomedics, Inc. and his former romantic partner with insider trading in the company’s stock.
Herewith the, err, lowlights from the SEC legal action: while serving as CFO of Immunomedics, Usama Malik learned that the FDA had permitted the company to halt a clinical trial for a breast cancer drug because the existing trial data provided compelling evidence that the drug was effective. Malik – who was subject to a trading “black-out” that prohibited him and anyone living in his household from purchasing Immunomedics stock – immediately told Lauren S. Wood, with whom he lived at the time, as well as three family members. Wood and two of the family members then bought Immunomedics stock, as did an account in the name of the third family member’s spouse. Continue reading
Ford Motor appears to be the only major U.S. automaker to report a year-over-year sales increase in November 2021. Preliminary data show an increase of 5.9% compared to November 2020. Retail share totaled an estimated 13.8% or 2.7 percentage points higher than a weak November 2020. During November, 29 % of Ford retail sales came from previously placed customer orders as the company struggles to manage the semiconductor crisis* that is affecting the entire industry. Initial industry wide data show a 6% y-o-y decline in November, which was better than in the previous two months, but volume fell to 1 million units and the annualized selling rate fell to under 13 million units, according to LMC.
As usual Ford Motor should consider changing its name to Ford Truck. Ford brand SUVs achieved record November retail sales on the success of new products. Sales increased 25.6% y-o-y to a total of 66,390 vehicles. The Bronco family had its highest combined sales since launch – totaling 19,773 SUVs, which to put it in perspective is less than the output of one assembly plant on an annual basis. Continue reading
Batteries work via electro-chemical reactions of lithium (Li) ions that flow back and forth from the positive pole (+) to the negative pole (-) to generate electricity. They are used to power EVs, IT devices and home appliances. Batteries consist of four elements: cathodes, anodes, electrolytes, and separators. POSCO Chemical produces essential materials used in batteries — cathodes and anodes.
General Motors (NYSE: GM) and POSCO Chemical* today said the will form a joint venture to construct a factory in North America to process critical battery materials for GM’s Ultium electric vehicle platform. The joint venture will process Cathode Active Material (CAM), a battery material that represents ~40% of the cost of a battery cell. The location of the facility, which will create hundreds of jobs when it opens in 2024 it’s claimed, will be announced later.
“We are building a sustainable and resilient North America-focused supply chain for EVs covering the entire ecosystem from raw materials to battery cell manufacturing and recycling,” said Doug Parks, GM executive vice president, Global Product Development, Purchasing and Supply Chain. Analysts will not that Korean owned Posco’s operating income and net income have declined in 2019 and 2020. The GM deal – if it works – will be beneficial to the company, which also has close business ties with China. Continue reading
Stellantis N.V. (NYSE / MTA / Euronext Paris: STLA) and Factorial Energy# announced today the signing of a joint development agreement to advance Factorial’s high-voltage traction solid-state battery technology. The agreement also includes a strategic investment from Stellantis. Mercedes-Benz also has invested in Factorial in what were in effect concurrent announcements. Stellantis announced in July 2021 its target of having the first competitive solid state battery technology introduced by 2026.
Solid-state batteries exist as automotive vaporware currently so all the usual caveats about Forward Looking Statements apply*.They are alluring because of the difference in the use of an electrolyte that is made of solid material instead of the commonly used liquid electrolyte. The electrolyte, of course, is needed to transport ions back and forth between the electrodes when charging and discharging the battery. Solid electrolytes promise enhanced battery safety, as well as the use of new types of anodes, such as lithium-metal anodes. These can provide in theory an almost doubled energy density compared to today’s Li-ion battery cells. As a result, they also promise an increase in range, while at the same time ensuring shorter charging times. (Stellantis Has Lithium Supply Deal with Vulcan Energy; Solid State Batteries Lure Mercedes-Benz to Factorial Energy) Continue reading
Mercedes-Benz said today that it is forming a joint venture with Factorial Energy* to develop next-generation battery technology. The actual equity stake Mercedes took in Factorial was not disclosed. The testing of prototype cells is promised as early as next year. The goal of the partnership is to start with the cell and extend development to include entire modules and integration into the vehicle battery. Implicit in the announcement is the need to be able to access the capital markets for what will be an expansive and expensive transformation of the carbon fuel befouled auto industry. (Mercedes-Benz – New Platforms Electric Only From 2025; EV Battery Gold-Rush – GM and Wolfspeed Cut Deal)
Solid-state batteries exist as vaporware currently. They are enticing because of the difference in the use of an electrolyte that is made of solid material instead of the commonly used liquid electrolyte. The electrolyte, of course, is needed to transport ions back and forth between the electrodes when charging and discharging the battery. Solid electrolytes promise optimization of battery safety, as well as the use of new types of anodes, such as lithium-metal anodes. These can provide an almost doubled energy density compared to today’s Li-ion battery cells. As a result, they promise an increase in range, while at the same time ensuring shorter charging times. (Ford Ion Park in Southeastern MI is New Global Battery Center; GM to Invest in New Battery Building to Lower EV Costs) Continue reading
Surprise!
Volkswagen Group of America is recalling more than 50,000 2021 Atlas and 2020-2021 Atlas Cross Sport SUVs for inadvertent airbag deployments. The air conditioning system drain tube could be blocked, causing water to leak inside the vehicle near the air bag control module. If so, water can accumulate and leak inside the vehicle. The water may damage the airbag control module. The airbag warning light may illuminate if a malfunction is detected.
Incorrectly manufactured parts at a sub-supplier, Air International Thermal of Auburn Michigan, for the air conditioning system is the cause of the safety defect. The so-called remedy component is the same part number as the recalled part which has been correctly manufactured. In an apparent attempt to limit the cost of the recall, the recalled part will be repaired if affected, not replaced. The recalled part is the Air Conditioner Evaporator Housing, part number 3QF.820.007. Continue reading
Stellantis N.V. (NYSE / MTA / Euronext Paris: STLA) and Vulcan Energy Resources (ASX: VUL) today said Vulcan will supply battery grade lithium hydroxide in Europe for use in electrified vehicles to the Stellantis Group. The five-year agreement calls for shipments to begin in 2026. Vulcan will supply Stellantis with a minimum of 81,000 metric tons and a maximum of 99,000 metric tons of lithium hydroxide over the five-year term of the agreement. Stellantis says it will invest more than €30 billion through 2025 in electrification and software development (Stellantis Ups Electrification Strategy by $35.54 Billion).
Stellantis also claims – focused firmly on the capital markets required for enormous funding – that it will be 30% more efficient than the industry with respect to total Capex and R&D spend versus revenues. At the moment there is no factory nor a proven process at Vulcan at the scale needed for mass production. Vulcan too need access to the capital markets to survive. (Stellantis New Credit Line €12B Tops PSA and FCA Combined) Continue reading
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The Federal Aviation Administration (FAA) said today that it wants to make sure laser-light displays are aimed at your home, not at the sky. Each year, the FAA receives reports from pilots who are distracted or temporarily blinded by residential laser-light displays. The extremely concentrated beams of laser lights reach much farther than you might realize.
“If we become aware that your laser-light display affects pilots, we’ll ask you to adjust them or turn them off. If your laser-light display continues to affect pilots, despite our warnings, you could face a civil penalty,” said the FAA. The FAA works with federal, state, and local law enforcement agencies to pursue civil and criminal penalties against individuals who purposely aim a laser at an aircraft. It can impose civil penalties of up to $11,000 per violation. Civil penalties of up to $30,800 have been imposed by the FAA against individuals for multiple laser incidents. Continue reading
Bad Brakes – Ford Recalls Bronco Sport, Escape SUVs
Ford Motor is recalling ~115,000 2021-2022 Bronco Sport and Escape SUVs because Continental Automotive Mexicana may have incorrectly manufactured the rear brake linings. The safety defect means that these vehicles fail to comply with the requirements of Federal Motor Vehicle Safety Standard number 135, “Light Vehicle Brake Systems” because of increased stopping distances. There is no warning system to alert the drive of the defect.
NHTSA discovered the problem. The Office of Vehicle Safety Compliance contacted Ford at the beginning of October 2021, regarding the results of its FMVSS 135 compliance audit on the 2021 model year Bronco Sport vehicle equipped with a brake vacuum booster. The stopping distance test results for “Brake Power Assist Unit Inoperative” were 191.9 meters which exceeds the federal regulation of 168 meters.
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