Toyota and Hino appear to be out front on fuel-cell trucks at the moment.
Daimler Truck AG and the Volvo Group today completed a transaction to form a fuel-cell joint venture. The Volvo Group has acquired 50% of the partnership interests in the existing Daimler Truck Fuel Cell company for ~€0.6 billion on a cash and debt-free basis.
The lofty goal is to make the new joint venture a leading global manufacturer of fuel-cells. It will help both truck makers survive the growing and capital intensive move to climate-neutral and sustainable transportation. Daimler and the Volvo renamed the company “cellcentric GmbH & Co. KG.” In November 2020, the Volvo Group and Daimler Truck AG signed a binding agreement that provided the foundation for the JV.
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Brazil – A Ford Motor South American Nightmare
The growing Ford business crisis in Brazil stems from its attempts to shore up its balance sheet with its latest reorganization that ceases all manufacturing in Brazil.
Ford Motor management is standing at an intersection of survival and extinction in the international auto business. It’s attempting to eliminate losing operations in the face of a long heritage of local operations, customs and traditions that predate and overlook the globalization, disruption and perils that the company is facing. It’s a risky political challenge as well.
With the exception of North America and Europe, Ford’s automobile businesses lost money during Q4 and Full Year 2020 in every other major region – including China where the economy is thriving. Ford Motor earnings before interest and taxes (EBIT) are slight at 4.9% or when adjusted a paltry 2.2%.
In money-losing South America there is a governmental history of graft and corruption, economic catastrophes and failed financial and fiscal policies – among other factors at play. The brew distilling there appears to be 151-proof toxic. The outcome is a potential drunk-driving multi-car collision that will leave smoldering businesses and tragically ruined lives and careers. This is all playing out against a backdrop of a new potent Corona virus variant in Brazil that infects vaccinated people, and an ongoing public health disaster. Deaths have surpassed 250,000 in Brazil. It is the world’s second-highest mortality tally after the U.S. Continue reading →