By Joseph White and Paul Lienert

DETROIT, Jan 28 (Reuters) – General Motors Co (GM.N) and Ford Motor Co (F.N) are expected to report next week they turned solid profits for the last quarter of 2021, but rarely has past performance mattered less to investors.

The two Detroit automakers are in mid-leap between a combustion-powered present, and a future they have promised will be defined by electric vehicles and software-powered services.

Both companies have mapped out multibillion-dollar investments in new North American electric vehicle and battery factories, aimed at challenging Tesla Inc (TSLA.O) and a flock of smaller EV startups in the still-tiny market. But those new factories will not be at full speed until the middle of this decade.

Continue reading “Ford, GM juggle today’s challenges with tomorrow’s promises”

By Aditi Shah

NEW DELHI, Jan 28 (Reuters) – Ather Energy, India’s top electric scooter maker by revenue, is raising funds to ramp up annual production to one million scooters over the next three years amid a surge in demand, the startup’s co-founder and chief executive told Reuters.

Ather, which counts Tiger Global and Indian bikemaker Hero MotoCorp (HROM.NS) as investors, has raised about 12 billion rupees ($160 million) since its inception in 2013 and is in the process of raising more, Tarun Mehta said in an interview.

“Our plan was to not raise more capital and focus on growing the brand, but the rate of transition to electric and the pace at which the supply chain and capacities need to ramp is way faster than what we thought a year back,” Mehta said.

Continue reading “India’s Ather targets 1 million electric scooters a year as demand soars”

ROME, Jan 28 (Reuters) – Carmaker Stellantis (STLA.MI), said on Friday its unit FCA Italy and other Italian subsidiaries had repaid a 6.3 billion euro ($7 billion) loan to Italy’s top lender Intesa Sanpaolo (ISP.MI).

The loan was “instrumental in the restart of industrial production (after the COVID-19 outbreak) and provided continuity for key investment projects”, the company said in a statement.

It added that Stellantis was now in a position to repay it, ahead of its maturity in March 2023.

The loan, granted in June 2020, had a three-year maturity and credit export agency SACE provided a guarantee on 80% of its amount.

($1 = 0.8981 euros)

WASHINGTON, Jan 28 (Reuters) – Three key U.S. lawmakers on Friday urged General Motors and the Mexican government to safeguard worker rights ahead of a union vote next week of Mexican autoworkers at a pick-up truck plant in central Mexico.

Representative Earl Blumenauer, who chairs a key subcommittee on trade, along with Representatives Bill Pascrell and Dan Kildee raised concerns Friday about reports of worker intimidation ahead of next week’s union election at GM’s Silao plant, where it build the Silverado.

“It is imperative that GM and Mexico’s labor authority ensure that every single worker may cast a secret ballot freely and without intimidation,” the lawmakers said.

BERLIN, Jan 28 (Reuters) – Daimler AG (DAIGn.DE) will be formally renamed Mercedes-Benz Group AG on Tuesday – nearly a year after the spin-off of its truck and bus division was announced – in a move its boss hopes will unlock shareholder value for the premium carmaker.

The change is the latest in a string of structural reshuffles for the carmaker that began its life as Daimler-Benz AG in 1926. The Mercedes brand, named after the daughter of an automobile entrepreneur, was officially adopted by Daimler AG in 1902.

“We have a real chance to raise the multiple,” CEO Ola Kaellenius told reporters on Friday, without naming a specific target valuation for the firm now worth just under 77 billion euros ($85.70 billion).

Continue reading “Daimler AG to rebrand as Mercedes-Benz on Feb. 1”

SHANGHAI, Jan 28 (Reuters) – China’s Great Wall Motor (601633.SS) said on Friday it will invest 11.5 billion yuan ($1.81 billion) over the next decade to build electric vehicles in Brazil where its has taken over a factory from Daimler AG (DAIGn.DE).

Baoding-based Great Wall, China’s top pickup truck maker, said it planned to launch 10 new electrified products within three years in Brazil, four of which will be pure electric vehicles and six hybrid. It added that it would introduce the first product in the fourth quarter of this year, it added.

The vehicles will be built from its new factory in the city of Iracemapolis in Sao Paulo state, which it officially took over on Thursday.

Continue reading “China’s Great Wall says will invest $1.9 bln in Brazil over next decade”

By Tina Bellon

Jan 27 (Reuters) – Uber Technologies Inc (UBER.N) on Thursday said it had reached an agreement with Canada’s largest services-sector union to offer employee-like benefits to contractors who work as ride-hail and food delivery drivers.

Uber and United Food and Commercial Workers Canada (UFCW) said they will jointly lobby Canada’s provincial governments to pass labor reforms that would provide gig workers with minimum earnings of at least 120% of local minimum wage, a benefits fund that includes pension and sick pay and other workers’ rights.

Today, those benefits are generally reserved for employees, leaving gig workers, who are largely independent contractors, without benefits and protections.

Continue reading “Uber, Canadian union reach deal to support gig worker benefits, flexibility”

WASHINGTON, Jan 26 (Reuters) – Prominent U.S. business leaders expressed support for key parts of President Joe Biden’s proposed $1.75 trillion spending bill on climate and social programs even as it faces an uncertain future in Congress.

The White House is still pushing to win approval for more than $500 billion to tackle climate change and boost electric vehicles along with hundreds of billions of dollars for universal preschool, paid family leave and other social safety spending.

“I offer a full-throated endorsement of the climate provisions,” Microsoft (MSFT.O) President Brad Smith said at a White House meeting, adding the United States needs to do more to bring more Americans back to work “and people can only come back to work if they have a way to take care of their children.”

Continue reading “GM, Microsoft tout Biden climate, social spending push”

By Paul Lienert

Jan 26 (Reuters) – Ford Motor Co (F.N) and longtime Chinese partner Jiangling Motors Corp (000550.SZ) have formed a joint venture aimed at strengthening Ford’s sales efforts and reach in China, the companies said Wednesday.

Jiangling Ford Automobile Technology (Shanghai) Co aims to sell Ford passenger vehicles — mainly SUVs and vans — built by JMC through a network of 181 showrooms in major Chinese cities.

The portfolio includes the recently launched Ford Equator Sport, a five-passenger mid-size SUV with such features as advanced driver assist, a Tencent (000550.SZ) infotainment system and mobile device interface and wireless over-the-air software updates.

Continue reading “Ford, Jiangling form China joint venture to sell SUVs, vans”

Jan 26 (Reuters) – General Motors Co (GM.N) said on Wednesday it would hire more than 8,000 new technical staff this year, as the U.S. automaker accelerates its development of electric vehicles and software-driven services.

The company said it is expanding teams that electrify cars, develop vehicle software and autonomous technology and engineer fuel cells.

GM’s announcement comes just a day after the company unveiled a $7 billion investment plan in Michigan, mainly toward making full-size electric pickups, intensifying a battle with rival Ford Motor Co (F.N) for EV supremacy in North America. read more

Continue reading “General Motors plans 8,000 new tech hires to power EV goals”

By Tim Kelly and Gilles Guillaume

Summary

TOKYO/PARIS, Jan 27 (Reuters) – Renault (RENA.PA) and Nissan will work more closely together to make electric cars, they said on Thursday, as they detailed a $26 billion investment plan over the next five years to stay competitive in the switch to cleaner driving.

The two-decade old alliance, which also includes Mitsubishi Motors (7211.T), said it would increase the number of common platforms for electric vehicles (EV) to five from four.

Continue reading “Renault-Nissan to do more together in $26 bln electric bet”

By Joseph White

DETROIT, Jan 25 (Reuters) – Ford Motor Co (F.N) Chief Executive Jim Farley won applause from Wall Street by increasing the production target for the automaker’s electric F-150 to 150,000 a year, more than three times the original number.

Now, Farley wants investors and commercial vehicle customers to pay more attention to the software and services Ford wants to sell with those trucks, as well as to the company’s electric Transit vans and its portfolio of combustion engine commercial vehicles.

At an event in Sonoma, California, this week, Farley and other Ford executives are rolling out more details of their Ford Pro commercial vehicle strategy – and setting ambitious goals.

Continue reading “Ford aims to be the Tesla of connected commercial vehicles”

Jan 25 (Reuters) – General Motors Co (GM.N) said Tuesday it will invest $7 billion in Michigan, much of that aimed at dramatically boosting production of full-size electric pickups, intensifying a battle with rival Ford Motor Co (F.N) for EV supremacy in North America.

Both U.S. automakers, however, will have to contend with current leader Tesla (TSLA.O), which will soon open a second U.S. plant in Austin, Texas, and is on pace to sell more than 1 million electric vehicles globally in 2022.

GM said its Detroit-Hamtramck and Orion Township plants will be able to build more than 600,000 electric trucks a year by late 2024, with three other plants in Tennessee, Ontario and Mexico boosting the company’s total North America EV production capacity to more than a million units by late 2025.

Continue reading “GM’s $7 billion investment intensifies EV battle with Ford, Tesla”

By Chandini Monnappa and Aditi Shah

BENGALURU, Jan 25 (Reuters) – Shares of India’s top carmaker Maruti Suzuki (MRTI.NS) surged more than 7% on Tuesday as a series of price hikes, to offset high material costs, improved margins despite a fall in third-quarter profit.

The company, which sells every second car in India, also said it sees the chip-shortage crisis improving in the current quarter which it hopes will help ramp up production to close the gap on pending orders. However, it added that may not still be enough to reach full capacity.

“Though still unpredictable, the electronics supply situation is improving,” Maruti said in a statement, adding it has more than 240,000 pending orders.

Continue reading “Maruti Suzuki margins jump on price hikes, sees chip supply improving”

By David Shepardson

WASHINGTON, Jan 25 (Reuters) – The U.S. Commerce Department is expected to soon release details from a study of semiconductor chips it conducted last year amid a push to win funding to boost U.S. manufacturing from Congress.

In September, the department asked semiconductor chip manufacturers and other companies in the supply chain to voluntarily submit data amid a shortage of chips that has curtailed auto production around the world.

he department has said it received cooperation but has not yet released details. Automakers and chips manufacturers have warned the supply shortages could last until least 2023.

Continue reading “U.S. set to release study details on chips shortage amid funding push”

SEOUL, Jan 25 (Reuters) – South Korea’s LG Energy Solution (LGES) plans to spend $2.1 billion with General Motors (GM.N) to build a U.S. electric vehicle (EV) battery plant, parent firm LG Chem (051910.KS) said on Tuesday.

LGES and GM are expected to fund the project equally via Ultium Cells, their U.S.-based battery joint venture, for what will be their third joint battery plant in the United States, LG Chem’s regulatory filings showed.

LGES declined to provide detail on the location or production capacity of the new plant.

Continue reading “LG Energy Solution, GM to build $2.1 billion battery factory in U.S.”

Jan 24 (Reuters) – Moody’s upgraded Tesla Inc’s (TSLA.O) debt rating by two notches to “Ba1” from “Ba3” on Monday, reflecting the ratings agency’s expectations that the Elon Musk-led company will maintain its position as the leading battery electric vehicle manufacturer.

Moody’s affirmed in a note that Tesla’s outlook remains positive and the company will continue to increase its scale rapidly and improve its profitability notably.

Tesla’s financial policy is likely to be prudent and liquidity would remain very good, Moody’s said, adding that a more competitive offering of battery electric vehicles by other automakers could start to exert some pressure on the company’s margins in 2023.

Continue reading “Moody’s expects Tesla to stay at EV leader spot, upgrades to ‘Ba1’”

By Katya Golubkova and Gleb Stolyarov

MOSCOW, Jan 25 (Reuters) – Carmaker Stellantis (STLA.MI), which produces and sells the Peugeot, Citroёn, Opel, Jeep, Fiat brands in Russia, will begin exporting locally-made light commercial vehicles to Western Europe next month, it said on Tuesday.

Stellantis, the company formed from the merger of Fiat Chrysler and Peugeot, has just 1% of the car market in Russia, where it runs its Kaluga plant some 125 miles south-east of Moscow with Japanese carmaker Mitsubishi (7211.T).

On Tuesday, Stellantis said it planned to start exports of its Peugeot Expert, Opel Vivaro and Citroёn Jumpy minivans to Western Europe next month, as overall production of Peugeot, Citroen and Opel cars at the Kaluga plant doubled in 2021.

Continue reading “Stellantis to start exporting Russia-made minivans to Western Europe”

By Victoria Waldersee

Summary

BERLIN, Jan 25(Reuters) – Volkswagen’s (VOWG_p.DE) software subsidiary Cariad and autos supplier Bosch are teaming up to develop software for automated driving to use in Volkswagen’s cars, the companies said in a joint statement on Tuesday.

Using data from Volkswagen’s fleet, the partners will develop so-called Level 2 autonomous driving software – enabling hands-free driving in cities, rural areas and on the motorway – as well as a Level 3 system that takes over all driving functions on the motorway.

Continue reading “Volkswagen and Bosch team up on automated driving software”

BERLIN, Jan 24 (Reuters) – Volkswagen’s (VOWG_p.DE) carbon emissions from passenger vehicles in 2021 were around 2% under the European target limits at 118 grams per kilometre, according to preliminary figures, the carmaker said on Monday.

A total of 472,300 electric vehicles were delivered in the EU, Norway and Iceland in 2021, 64% above the previous year, Volkswagen said in a statement.

The proportion of battery-electric and hybrid vehicles among total sales grew to 17.2% from 10.1% the year before.

Continue reading “Volkswagen meets European CO2 emissions targets”

Jan 23 (Reuters) – Renault SA (RENA.PA), Nissan Motor Co and Mitsubishi Motors Corp (7211.T) plan to triple their investment to jointly develop electric vehicles (EVs), two people with knowledge of the plan told Reuters.

As established automakers face pressure from new competitors and an expected shift in demand toward EVs, the French-Japanese alliance is seeking to deepen cooperation.

Continue reading “EXCLUSIVE Renault, Nissan, Mitsubishi to unveil 2030 EV plan this week”

By David Shepardson and Paul Lienert

WASHINGTON/DETROIT Jan 21 (Reuters) – General Motors and a joint venture with LG Energy Solution (051910.KS) are to set announce investments of more than $6.5 billion next week in Michigan in new electric truck and battery plants, according to a state document and sources briefed on the matter.

The Michigan Strategic Fund said Friday it plans to consider at a Tuesday board meeting GM’s and the Ultium Cells joint venture’s plans to invest $6.5 billion and add 4,000 jobs at sites in Lansing and Orion Township.

In December, Reuters reported that GM had proposed building a $2.5-billion battery plant near Lansing with LG Energy Solution adding 1,700 jobs. The two companies are expected to split the cost.

Continue reading “GM sets $6.5 bln for in Michigan electric vehicle plants -document, sources”

By Daina Beth Solomon

MEXICO CITY, Jan 21 (Reuters) – The United Auto Workers (UAW) union on Friday pressed General Motors (GM.N) and Mexican officials to step up efforts to ensure workers at a pick-up truck plant in central Mexico can vote freely next month to choose a new union.

The election will allow some 7,000 workers at the plant in the city of Silao to choose among four new unions in line with a Mexican labor reform aimed at ensuring freedom of association, a key tenet of a new trade deal with the United States and Canada.

By Aleksandar Vasovic

Summary

BELGRADE, Jan 21 (Reuters) – Serbian politicians on Friday blasted environmentalists for forcing them to scuttle Rio Tinto Plc’s (RIO.AX), (RIO.L) proposed $2.4 billion lithium project, warning the move could hurt efforts to grow and diversify the Balkan country’s economy.

Environmentalists, though, having scored a victory after the government bowed to pressure and revoked Rio’s lithium exploration licences on Thursday, are now demanding a moratorium on lithium mining before expected elections in April to ensure the decision is not reversed afterwards.

Continue reading “Serbian government blasts green groups for scuttling Rio’s lithium project”

By Tim Kelly and Shinji Kitamura

Summary

TOKYO, Jan 21 (Reuters) – Sony Group (6758.T) will likely add new technology partners to its electric vehicle (EV) project to help it forge a mobility business to transform cars from transportation machines to entertainment spaces, a Sony executive told Reuters.

An ongoing shift to electric cars, which are easier to build than those with internal combustion engines, is allowing new entrants into vehicle manufacturing. At the same time, autonomous driving and 5G connectivity is expected remold the auto industry by turning cars into mobile platforms for information and entertainment services.  Continue reading “Sony seeks new partners for transformative EV project -executive”

Jan 20 (Reuters) – General Motors Co’s (GM.N) pre-production version of electric SUV Cadillac Lyriq have been assembled and the final production version is expected to be delivered to customers in a few months, President Mark Reuss said in a LinkedIn post on Thursday.

Detroit-based GM, recently dethroned as the No.1 U.S. automaker, is competing with century-old rival Ford Motor Co (F.N) over which company will sell more electric vehicles by 2025.

“Our teams have worked tirelessly on the Lyriq, bringing the launch up nine months ahead of schedule,” Reuss said.

Continue reading “GM to deliver electric SUV Cadillac Lyriq to customers in ‘few months’”

BEIJING, Jan 21 (Reuters) – China’s Geely Holding (GEELY.UL) and France’s Renault (RENA.PA) have formally agreed a deal to jointly design and produce electric hybrid and gasoline-fueled vehicles in South Korea for sale there, as well as for export, according to a joint statement by the two automotive groups.

The new vehicles, based on Geely’s compact vehicle architecture as well as its hybrid powertrain and other technologies, will be produced at the Renault-Samsung facility in Busan with production forecast to begin in 2024.

“This collaboration marks a further step in efforts by the two automobile groups in producing low-emission models, as well as increasing their penetration in the Asian HEV markets,” the statement said.

Continue reading “Geely, Renault formally agree on cooperation in South Korea”

Reuters

TOKYO, Jan 20 (Reuters) – (This Jan. 19 story has been corrected after Toyota corrects number of affected plants to 12 from 11)

Toyota Motor Corp (7203.T) is slowing production at as many as 12 plants in Japan because of rising COVID-19 infections among its workers and those at parts suppliers, it said on Thursday.

That disruption, which comes amid a shortage of semiconductors that is already forcing it to curb output, could cut production plans this month by about 47,000 vehicles, a Toyota spokesperson said.

Continue reading “Toyota to curb more production in Japan as COVID spreads”

By Hyunjoo Jin

San Francisco, Jan 20 (Reuters) – Luxury carmaker Mercedes-Benz will partner with self-driving sensor maker Luminar Technologies Inc (LAZR.O) to enable fully automated driving on highways for its next-generation vehicles, Luminar’s founder said.

Luminar shares surged 18% at $15.89 on Thursday. Luminar said Mercedes-Benz will have 1.5 million shares in Luminar, which will vest over time when certain milestones are met.

Vehicle autonomy “is really going mainstream with Mercedes,” Luminar CEO Austin Russell told Reuters on Wednesday, without disclosing a timeframe for putting the technology in Mercedes’ vehicles.

Continue reading “Self-driving sensor maker Luminar shares rally on Mercedes-Benz tie-up”

By Tina Bellon

Jan 19 (Reuters) – General Motors (GM.N) on Wednesday said it plans to expand its hydrogen fuel cell business beyond vehicles by supplying hydrogen-powered generators for uses including at construction sites, music festivals, data centers and the military.

The wider application of hydrogen fuel cells will allow GM to leverage and scale existing hydrogen investments and refine the technology, GM executives said.

“Think of places where you don’t have a permanent installation for power generation, but you need clean power sources,” Charlie Freese, executive director of GM’s Hydrotec business, said on a call with journalists.
Continue reading “GM targets hydrogen-powered generators in expansion of fuel cell business”

By Aditi Shah and Aditya Kalra

NEW DELHI, Jan 20 (Reuters) – Talks between India and Tesla Inc (TSLA.O) over potential tax benefits are deadlocked as the government is not keen to give the company any breaks without a commitment to manufacture locally, people familiar with the discussions told Reuters.

Tesla is desperate to import and sell its electric vehicles in India and has for nearly a year lobbied officials in New Delhi to reduce tariffs, which the company’s billionaire CEO Elon Musk says are among the highest in the world.

ut Indian official sources said they have been unconvinced by Tesla’s lobbying as the company has not yet shared any firm plan to invest in the country, something that would be in line with Prime Minister Narendra Modi’s “Make in India” vision to boost local manufacturing and create jobs.

Continue reading “India, Tesla in ‘weird stalemate’ on tax cut demands with no investment pledge-sources”

Jan 18 (Reuters) – Ford Motor Co (F.N) said on Tuesday its fourth-quarter results would include an $8.2 billion gain on its investment in Rivian Automotive Inc (RIVN.O), following the electric-vehicle maker’s blockbuster market debut in November.

Rivian had soared as much as 53% to cross $100 billion in the biggest initial public offering of 2021, but the company’s shares have dropped over 27% since then. read more

The stock closed 8.5% lower on Tuesday after hitting its weakest since the IPO amid a broader tech selloff on Wall Street.

Continue reading “Ford records $8.2 bln fourth-quarter gain from Rivian investment”

By Victoria Waldersee

• JV to be set up by the end of this year
• To deliver battery production systems, assist manufacturers
• Will serve Volkswagen and other factories across Europe

BERLIN, Jan 18 (Reuters) – Volkswagen (VOWG_p.DE) and Bosch have agreed to set up a joint venture by the end of this year to equip battery cell factories and help make Europe self-sufficient in battery production.

The venture will deliver battery production systems and assist battery cell manufacturers in scaling up and maintaining production sites, Volkswagen said on Tuesday, adding it would serve its own factories and others across Europe.

Continue reading “Volkswagen and Bosch team up to boost Europe’s battery ambitions”

Reuters

PARIS, Jan 19 (Reuters) – Carmaker Stellantis (STLA.MI), whose brands include Citroen and Fiat, said it would announce a new long-term strategic plan in March.

“A bright future ahead: Long-term strategic plan to be announced on March 1, 2022 ,” the company said on Wednesday.

Reuters

Jan 18 (Reuters) – Newly spun-off commercial vehicle maker Daimler Truck (DTGGe.DE) sold 455,000 units in 2021, the company reported on Tuesday, a fifth more than last year but still 13% below pre-pandemic levels.

Supply chain bottlenecks slowed production particularly in the second half in the United States and Europe, the company said in a statement.

Trucks Asia fared best with 30% growth, while the Buses segment did not grow at all, with sales flat at 19,000.

Continue reading “Daimler Truck sees 20% sales growth in 2021”

Reuters

TOKYO, Jan 18 (Reuters) – Toyota Motor Corp (7203.T) will build 700,000 vehicles globally in February, up 10% on the year, but will still need to make a million more in March in order to reach an annual production target of 9 million, the Nikkei business daily said.

A Toyota spokesperson declined to comment when asked about the Nikkei report or whether the Japanese automaker planned to stick to that production target for the year ending March 31.

The world’s biggest car maker has been trying to increase production in the final months of the business year to make up for output lost earlier because of a shortage of components from plants in Southeast Asia hit by COVID-19 lockdown restrictions.

Continue reading “Toyota needs to build 1 mln cars in March to reach annual target – Nikkei”