New LG and Magna Joint Venture in Powertrain Electrification

Ken ZIno of AutoInformed.com on Chevrolet Bolt EV and Magna and LG Electronics

Chevrolet Bolt EVs and Sonics are assembled at a GM plant in Orion Township, Michigan.

LG Electronics and Magna International said today that they have a proposed joint venture to manufacture e-motors, inverters and on-board chargers and, for un-named automakers, e-drive systems to support the growing global shift toward vehicle electrification. The transaction is expected to close in July of 2021, subject to several conditions including obtaining LG shareholder approval and all necessary regulatory approvals. The question in AutoInformed’s opinion is to how many electrification parts and services will be brought in-house by automakers and how much will go to suppliers?

The new company, tentatively called LG Magna e-Powertrain, is said to combine Magna’s strength in electric powertrain systems and automotive manufacturing with LG’s expertise in component development for e-motors and inverters. The stated goal is to hasten both partners’ growth in the electric powertrain market. The market for e-motors, inverters and electric drive systems is expected to have significant growth between now and 2030, and the JV will target this fast-growing global segment. Continue reading

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Honda Recalls 737,000 Accord, Insight Cars for Bad Software

Honda is recalling 2018-2020 Accord Sedan, Accord Hybrid, and 2019-2020 Insight vehicles because a Sumitomo software error may cause intermittent or continuous disruptions in communication between the Body Control Module (BCM) and other components. Various malfunctions of windshield wipers and defroster, rearview camera, exterior lights, audible warning of a stopped vehicle, and power window operation can occur.

These Hondas fail to comply with Federal Motor Vehicle Safety Standard (FMVSS) number 103, “Windshield Defrosting and Defogging Systems” and number 111, “Rear Visibility” as well as FMVSS numbers 104, 108, 114, 118, and 305. Continue reading

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November EU Commercial Vehicle Sales Flat. YTD -20%

Ken Zino of AutoInformed.com on EU Commercial Vehicle Sales Demand for commercial vehicles in the EU was flat in November with new registrations up 0.1% to 167,315 units. Sales of vans and buses slowed down last month, while the heavy truck segment posted +6% to the tally.

The four biggest markets posted mixed performances in November, with registrations contracting in Spain (-7.0%) and France (-3.1%), while the Italian (+11.7%) and German (+4.3%) markets expanded.

Year-to-date reflects the ongoing Covid catastrophe. Sales at 1.5 million units  were down -20.3% 11 months into 2020. All EU27 markets – including the four major ones – have recorded double-digit declines so far in 2020, although less steep than in the preceding months: Spain (-28.4%), France (-18.4%), Germany (-16.3%) and Italy (-15.6%). Continue reading

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Ford Motor Announces Safety Defect Recalls on 2020-21 Ford Explorers, E-Series, and Lincoln Aviators

Ford Motor Company issued three safety recalls in North America this morning. Recalled are 2021 Ford E-Series vehicles with the 7.3-liter engine, as well as 2020-21 Ford Explorer and Lincoln Aviator SUVs. Continue reading

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2021 Nissan LEAF Starts at $32,545

Ken Zino of AutoInformed.com on 2021 Nissan US LeafThe all-electric 2021 Nissan LEAF is on sale now starting at $3254 with the small battery pack with a 40-kWh lithium-ion battery pack and 110-kW electric motor that delivers 147 horsepower, 236 lb.-ft. of torque and up to 149 miles of range in idea conditions. It’s available in two trim levels, S and SV. With more than 500,000 Nissan LEAF electric vehicles sold worldwide, but the advanced technology remains expensive for a small 5-passenger car. (Read AutoInformed.com on Milestones – 10th Anniversary of First US LEAF Delivery, Milestones: Nissan Production of 500,000 Leaf EVs, Nissan LEAF at 400,000 Sales as IMQ Crossover EV Due in 2022, Nissan Leaf Debuts in U.S. at $32,780)

The “extended range” LEAF PLUS has a standard 62-kWh lithium-ion battery and 160 kW electric motor, delivering an EPA range of up to 226 miles. Every 2021 LEAF has standard Apple CarPlay® and Android Auto™. PLUS also has a more powerful 160 kW motor that produces 214 horsepower – an increase of 45% – and 250 lb.-ft. of torque. LEAF PLUS has three trim levels – S PLUS, SV PLUS and SL PLUS starting at, gulp, $39,145 and going to $44,845. Continue reading

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Fisker Ocean to Be Made by Magna in Europe

Ken Zino of AutoInformed.com on Fisker Ocean SUV EV

Claimed starting price below $40,000?

Fisker (NYSE: FSR) says it has entered a definitive “operational phase” platform-sharing and initial manufacturing agreement with Magna International, finalizing the agreement announced on 15 Oct. 2020. The Fisker Ocean will initially be manufactured exclusively by Magna in Europe, where it currently produces several vehicles for other brands.

Fisker claimed that interest in the Ocean continues “to build at an encouraging pace, with global paid reservations now standing at more than 10,400. Fisker plans to unveil a production-intent prototype of the Ocean in the summer of 2021. Production of the all-electric Fisker Ocean SUV is projected to commence in Q4 2022. Continue reading

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COVID Changes – Digital Auto Lending Infected

Ken Zino of AutoInformed.com on auto lending satisfaction

Click to Enlarge.

COVID-19 pandemic has simultaneously strained day-to-day operations and pushed more transactions than ever to digital, according to the J.D. Power, which released the 2020 U.S. Dealer Financing Satisfaction Study.

“The pandemic has severely disrupted dealer-lender communication, with many dealers reporting that lenders were delayed or not available when they needed them, or not able to assist in a timely manner,” said Patrick Roosenberg, director of automotive finance intelligence at J.D. Power. This of course begs the question of there’s another solution – such as borrowers dealing directly digitally with lenders, which will eliminate a lucrative profit center at dealerships. Continue reading

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Artificial Intelligence Will Bring Scooter Riding to Bike Lanes?

Ken Zino of AutoInformed.com on Spin and Artificial Intelligence

Doesn’t look like a typical New York sidewalk.

Spin today announced an exclusive partnership with Drover AI to incorporate their PathPilot technology into the next generation of the Spin Insight e-scooter monitoring platform to cities in the United States, across the United Kingdom and other regions around the world in 2021.

“With nearly all municipalities prohibiting scooter use on sidewalks, Spin Insight data— in combination with Spin’s in-app mapping technology that enables riders to find routes that maximize bike lane use— can be used as a key tool by cities to help enforce local regulations and promote safe riding behaviors in dense, urban environments like New York City,” said Derrick Ko, Chief Executive Officer at Spin.

The micro-mobility part of Ford Motor Company claims Spin Insight Level 2 with Drover AI’s computer vision and machine learning platform, equips Spin’s vehicles with a camera, an array of sensors, and on-board computing power. Spin claims Drover’s technology is highly adaptive and easily scaled to new environments, allowing an e-scooter to” understand its surroundings in real time and assist riders in making safe riding decisions.” Not a word was mentioned of potential privacy or legal issues or who owns the customer data produced and how it will be used. Future capabilities planned include detecting wrong-way riding, adjusting vehicle speed based on riding conditions, and collision warnings. Continue reading

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Hendrick Motorsports Making Chrome-Moly Steel Roll Bars for New GM Defense Infantry Squad Vehicle

Ken Zino of AutoInformed.com on GM Defense Infantry Squad Vehicle

GM Defense will manufacture 649 ISVs and will support the production of up to 2,065 vehicles with additional authorization over eight years. This is the first major award and delivery for GM Defense since it was reestablished in 2017.

GM Defense today announced that it has started renovations a GM building in in Concord, North Carolina to make the Infantry Squad Vehicle (ISV), an all-terrain troop carrier intended to transport a nine-soldier squad. The facility, located in Concord, North Carolina, will produce ISVs for the U.S. Army as part of a $214.3 million contract awarded to GM Defense in June 2020. (see AutoInformed – GM Defense Delivers First Infantry Squad Vehicle to US Army)

A key supplier is North Carolina-based Hendrick Motorsports, which brings its extensive experience developing race cars in NASCAR’s high-load, high-risk, highly political environments. Hendrick is responsible for providing the chrome-moly steel exoskeleton of the vehicle frame, including the ISV rollover protection system. Continue reading

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COVID Changes – Porsche Starts Online Car Sales in Europe

Ken Zino of AutoInformed.com on PorscheAfter a successful start in Germany in October 2019, the Porsche online sales channel has been launched in eight more European countries. Customers in Spain, Portugal, Switzerland, Italy, France as well as in Poland, Slovenia and Estonia can buy new and used vehicles from dealers in the respective market via the digital sales channel. UK will follow soon. The stated aim is to create a marketplace for all Porsche products and services.

The dealers in the nine countries offer most of their new and used cars on the platform. These include standard variants of the Porsche models as well as rare derivatives. There are also plans to further expand the platform, claims Porsche, who is dependent on dealers for distribution unlike Tesla. (AutoInformedPorsche – First Virtual Annual Meeting Declares Risky €676 Million in Dividends. No Earnings Forecast Yet, Porsche Q3 in Black at €437 Million Because of VW, Online Car Buying Trends)

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Lyft and Motional to Deploy Fully Self-Driving Vehicles in 2023

Ken Zino of AutoInformed.com on Lyft and Motional Self Driving progress

We will see…

Lyft with Motional said today they will launch their fully driverless vehicles on the Lyft network in 2023 in multiple US cities. This is the first promised deployment partnership between a rideshare company and a driverless technology provider for transportation. Motional will develop and manage the fleet of driverless cars with an” integrated driverless system with no one behind the wheel, while Lyft will provide the “rideshare network and rider experience.”

Lyft with abundant self-interest and General Motors backing claims a rideshare network is “vastly important to making AVs become a reality.” This thesis in search of proof will balance AVs operating on Lyft’s network with human drivers and other options including bikes, scooters, and transit.  Lyft claims it can ensure riders always have reliable transportation options regardless of where they need to travel. Lyft also claims that riders want a ride to arrive within minutes of requesting one and it’ll take years for AVs to reach the scale and technological sophistication needed to meet this service level for all ride scenarios. Rideshare networks might be where riders experience self-driving technology for the first time. Continue reading

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First Look at a Technological Tour de Force – Toyota Gen 2 Mirai Fuel-Cell Electric Sedan, $9000 Cheaper vs Gen 1

Ken Zino of AutoInformed.com on 2021 Toyota Mirai Fuel Cell EV

The resulting air released from the FC system is cleaner than the intake air.

With a switch to the Lexus LS400 platform, a price cut of -$9000 less with a MSRP of $49,500, and up to $15,000 of Hydrogen Fuel included with a Mirai purchase or lease, the technology tour de force sedan is poised to be a dream for US buyers and a nightmare for German and Korean automakers.

In short, the streak continues. The 2016-2020 Mirai was the first production fuel-cell electric vehicle (FCEV) offered for sale to retail customers in North America. Now, for 2021 Toyota has re-positioned the Mirai as a premium rear-wheel drive luxury FCEV with space age technology, with claims (unverified here) of a more engaging driving performance and a significantly longer EPA-estimated range rating of 402 miles. AutoInformed opines – a technological tour de force – NASA levels of man-on-the-moon magic at a down to earth price. Think of it a cordless EV. Continue reading

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EU – Truck Makers Agree to Be Fossil-Fuel-Free By 2040

The relentless assault on the latter-day avatars of flat earthers – the Deny and Scoff at Climate Change mob  –  and Big Oil continued today as the EU and Europe’s truck manufacturers concluded that by 2040 all new trucks sold need to be fossil free to reach carbon-neutrality by 2050. (No Recharging or Refueling Infrastructure for Euro Trucks Exist)

This is a bold move considering that ~97% of new European trucks sold are powered with diesel engines. It also underscores a growing movement of citizen voters who hold corporations accountable for negative social effects produced by their goods and services. The incoming President Biden Administration has promised to address environmental issues mocked by loser Trump and has already said it will rejoin l’accord de Paris. This agreement is within the United Nations Framework Convention on Climate Change (UNFCCC), dealing with greenhouse-gas-emissions mitigation. AutoInformed thinks that it is only a question of time before a similar deal is put in place in the US.  (Multinationals Liable For Supply Chains? Swiss Vote Due) Continue reading

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GM Investing $76 Million in Tonawanda, Parma Plants

Ken Zino of AutoInformed.com on Tonawanda Engine Plant Investment

Mark Reuss, GM President at Tonawanda celebration of Corvette engine production.

General Motors Co. (NYSE: GM) says it will invest $70 million at its Tonawanda, New York engine plant and more than $6 million into its Parma, Ohio metal stamping plant. The two manufacturing-related investments support continued strong customer and dealer demand for GM’s Chevrolet Silverado and GMC Sierra pickups.

The Tonawanda investment will be used to increase capacity on the engine block machining line and the Parma investment will be used to construct four new metal assembly cells to support increased truck production volumes. Continue reading

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US Cuts Deal with UAW Union on Reform, Corruption and Fraud

AutoInformed.com on GM andthe UAW

Former UAW President Gary Jones, left, is awaiting sentencing after pleading guilty of fraud. On open issue is GM’s federal racketeering lawsuit against FCA and former FCA executives who previously have pled guilty in the federal corruption probe.

United States Attorney Matthew Schneider announced today that an agreement has been reached with the United Auto Workers Union to resolve the Eastern District of Michigan findings of fraud and corruption within the UAW. The parties also jointly filed a proposed Consent Order setting forth the terms of a settlement of the lawsuit.

The proposed settlement – subject to Court approval – fully and finally resolves the criminal and civil investigation of the UAW as an entity. The UAW also agrees to resolve a tax investigation by making a payment of $1.5 million to the Internal Revenue Service in connection with administrative fees that the union received from the three joint training centers that were operated with the  FCA, Ford and GM.

In a partial UAW victory, the civil lawsuit was not filed under the federal anti-racketeering RICO law because the investigation by the United States did not uncover any involvement by organized crime or the mafia in the operations of the UAW.  Instead, the civil complaint sets forth in detail a series of corrupt and fraudulent acts by former officers and board members of the UAW, as well as executives of Fiat Chrysler Automobiles. The status of another RICO suit by GM  related to the UAW corruption matter (updated 15 Dec) is GM’s federal racketeering lawsuit against FCA and former FCA executives is: “GM’s suit is ongoing. It’s directed against FCA, as well as individuals (Ashton, Iacobelli – both are in prison) who are former executives,” said David Caldwell of GM.

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