• GM expands Bolt EV recall over fire risk

• Battery supplier parent LG Chem shares drop nearly 10%

• Recall may delay LG Chem battery unit IPO -analyst

SEOUL, Aug 23 (Reuters) – LG Chem Ltd (051910.KS) shares closed down 11.1% on Monday after General Motors Co (GM.N) said it would recall an extra 73,000 Chevrolet Bolt cars that use the South Korean firm’s batteries, months after a similar recall by Hyundai Motor Co (005380.KS).

GM on Friday expanded its recall of Bolt electric vehicles (EVs) due to fire risk from what it called battery manufacturing defects, saying the recall would cost $1 billion and that it would seek reimbursement from LG. read more

Continue reading “S.Korea’s LG Chem shares dive on GM electric car recall”

WASHINGTON, Aug 21 (Reuters) – General Motors Co (GM.N) said on Friday it would take a hit of $1 billion to expand the recall of its Chevrolet Bolt electric vehicles due to the risk of fires from the high-voltage battery pack – a blow for the largest U.S. automaker as it seeks to ramp up EV sales.

The Detroit company also said it would indefinitely halt sales of the EVs due to the issue and will seek reimbursement from battery supplier LG. The latest recall covers 73,000 vehicles from model years 2019 through 2022.

“The reserves and ratio of cost to the recall will be decided depending on the result of the joint investigation looking into the root cause, currently being held by GM, LG Electronics and LG Energy Solution,” LG said in a statement, referring to its subsidiaries.

Continue reading “GM expands Chevy Bolt EV recall for fire risk, will take $1 billion hit”

HONG KONG/SHANGHAI, Aug 20 (Reuters) – Embattled Chinese property developer Evergrande Group (3333.HK) is in talks with smartphone maker Xiaomi (1810.HK) and Shenzhen state-backed investment firms as it looks to sell part of a 65% stake in its electric vehicle (EV) unit, three sources said.

China’s central bank, banking and insurance regulator summoned executives of Evergrande to a meeting on Thursday and issued a rare warning that the company ought to reduce its debt risks and prioritise stability. read more

The Evergrande New Energy Vehicle (NEV) Group (0708.HK) had a market capitalisation of $12.5 billion on Thursday and one of the sources said the consortium is looking to buy a significant minority stake.

Continue reading “EXCLUSIVE China Evergrande in talks with Xiaomi consortium to sell EV unit stake-sources”

MEXICO CITY, Aug 19 (Reuters) – Workers at a General Motors Co (GM.N) pickup-truck plant in central Mexico have voted to scrap their collective contract, opening the door for them to oust one of Mexico’s largest labor organizations as their union under a new trade deal.

The vote, with safeguards agreed upon by Mexico and the United States to ensure a fair vote, was the first test of labor rules under an accord that replaced the 1994 North American Free Trade Agreement (NAFTA).

The outcome marks a defeat for one of the most powerful unions in Mexico while representing an opening for workers to freely choose independent groups they feel will best fight for their interests.

Continue reading “GM workers in Mexico defeat union in first test of U.S. trade deal”

By Carl O’donnell

Aug 18 (Reuters) – The U.S. government said on Wednesday it plans to make COVID-19 vaccine booster shots widely available to all Americans starting on Sept. 20 as infections rise from the Delta variant of the coronavirus.

The White House is prepared to offer a third booster shot starting on that date to all Americans who completed their initial inoculation at least eight months ago, the U.S. Department of Health and Human Services said in a statement.

The booster shots initially will be given primarily to healthcare workers, nursing home residents and older people, all of whom were among the first groups to be vaccinated in late 2020 and early 2021, the department said.

Continue reading “U.S. to start offering COVID-19 vaccine booster doses in September”

Aug 17 (Reuters) – A cybersecurity flaw in a software designed by BlackBerry Ltd (BB.TO) could put at risk cars and medical equipment that use it and expose highly sensitive systems to attackers, the U.S. drugs regulator and a federal agency said on Tuesday.

The warning came after the Canadian company disclosed that its QNX Real Time Operating System (QNX RTOS) has a vulnerability that could allow an attacker to execute an arbitrary code or flood a server with traffic until it crashes or gets paralyzed.

The software is used by automakers including Volkswagen (VOWG_p.DE), BMW (BMWG.DE) and Ford Motor (F.N) in many critical functions including the Advanced Driver Assistance System.

Continue reading “BlackBerry software flaw could impact cars, medical devices – U.S. agencies”

MEXICO CITY, Aug 18 (Reuters) – Volkswagen AG’s (VOWG_p.DE) Mexico unit said on Wednesday that it had agreed with a workers’ union to a 5.5% salary increase.

The deal with the Independent Union of Volkswagen Automotive Industry Workers (SITIAVW), also included a 1% increase to workers’ savings funds, the company said in a statement.

The agreement was reached in “an environment of challenges, where the automotive industry struggles to keep its recovery going after more than a year of the coronavirus pandemic, and in the face of the semiconductor (chip) shortage,” Volkswagen said.

Continue reading “Volkswagen’s Mexico unit says strikes deal with union for 5.5% salary rise”

BICESTER, England, Aug 17 (Reuters) – Electric car and van startups racing to become the next Tesla Inc (TSLA.O) all want to avoid Elon Musk’s journey through “manufacturing hell.”

But electric vehicle firms such as UK van company Arrival SA (47K.F) and Fisker Inc (FSR.N) are taking very different roads to overcome the challenges of profitable mass production that almost broke Tesla.

A few have found investors willing to hand over billions to fund their journey. Rivian has raised around $10.5 billion from Amazon.com Inc (AMZN.O), Ford Motor Co (F.N) and others as it ramps up production to build electric vans, pickups and SUVs.

Continue reading “EV startups hunt for low-cost roads to mass production”

SILAO, Mexico, Aug 17 (Reuters) – General Motors (GM.N) employee Mari says that for the past decade, she has felt powerless to demand higher pay at the plant in central Mexico that cranks out hundreds of thousands of profitable pickup trucks annually.

But on Tuesday and Wednesday, the plant’s nearly 6,500 unionized workers are to vote on what Mari and many coworkers see as a historic opportunity to oust their union, which they say protects the company’s interests over their own.

If workers reject the Miguel Trujillo Lopez union, it would open the door for them to bring in new representation.

Continue reading “GM workers’ historic vote in Mexico tests new trade deal”

BEIJING, Aug 17 (Reuters) – Tesla Inc (TSLA.O) is hiring managers for legal and external relations teams in China, according to a job post on its Wechat account, as the electric-car maker faces public scrutiny in the country over safety and customer service complaints.

U.S.-headquartered Tesla, which is making electric Model 3 sedans and Model Y sport-utility vehicles in Shanghai, is hiring external relation managers in several Chinese cities including Beijing, Shanghai and Shenzhen, according to the post.

The job advertisement did not go into details of external relation positions, but separate posts showed the managers will handle government relations as well.

Continue reading “Tesla expands legal, external relations workforce in China”

WASHINGTON, Aug 17 (Reuters) – Production at U.S. factories surged in July, boosted by an acceleration in motor vehicle output as auto makers either pared or canceled annual retooling shutdowns to work around a global semiconductor shortage.

Manufacturing output jumped 1.4% last month after falling 0.3% in June, the Federal Reserve said on Tuesday.

Economists polled by Reuters had forecast manufacturing production rising 0.6%.

Continue reading “U.S. manufacturing production accelerates on autos in July”

CHENNAI, Aug 17 (Reuters) – An Indian arbitrator has asked Renault-Nissan to pay its 3,542 workers at its southern Indian plant an average of over 7,100 Indian rupees ($95.52) per month in additional wages as interim relief, according to a copy of the order reviewed by Reuters.

Workers at the Renault-Nissan plant in Chennai filed an industrial arbitration suit demanding 20,000 rupees as a monthly interim settlement after the expiry of a previous wage agreement in March 2019.

The consortium had agreed to pay on an average 2,250 rupees every month ending March 2021.

Continue reading “Indian arbitrator asks Renault-Nissan to pay workers $9.5 mln interim dues”

WASHINGTON, Aug 16 (Reuters) – U.S. auto safety regulators said Monday they had opened a formal safety probe into Tesla Inc’s (TSLA.O) driver assistance system Autopilot in 765,000 U.S. vehicles built since 2014 after a series of crashes involving emergency vehicles.

The National Highway Traffic Safety Administration (NHTSA) said that since January 2018 it had identified 11 crashes in which Tesla models “have encountered first responder scenes and subsequently struck one or more vehicles involved with those scenes.”

Tesla shares fell 5% on the news.

After investigating, NHTSA could opt to take no action, or it could demand a recall, which might effectively impose limits on how, when and where Autopilot operates. Any restrictions could narrow the competitive gap between Tesla’s system and similar advanced driver assistance systems offered by established automakers.

Continue reading “U.S. opens probe into Tesla’s Autopilot over emergency vehicle crashes”

DETROIT, Aug 16 (Reuters) – The future may belong to electric cars, but for U.S. automakers, trucks will rule for years to come.

Automakers in North America plan to build more big pickups and sport utility vehicles than electric vehicles well into the late 2020s, chasing sales trends that run counter to the Biden administration’s goal of boosting EVs to half the market by 2030, according to internal production forecasts viewed by Reuters.

The popularity of Detroit’s big trucks is a challenge both to the industry and efforts by lawmakers and regulators to reduce emissions of carbon dioxide and other exhaust gas pollutants from combustion engines.

Continue reading “Detroit sticks with trucks, SUVs despite lofty 2030 goals for EVs”

DETROIT, Aug 13 (Reuters) – Ford Motor Co (F.N) said late on Friday it will ask the U.S. Patent Office to rescind trademarks obtained by rival General Motors Co (GM.N) for the terms “Cruise” and “Super Cruise,” escalating a brawl GM began by suing Ford over its use of “Blue Cruise” for an automated driving system.

The legal fight between the two Detroit automakers turns on whether “cruise” is a generic term for technology that allows the car to take over some share of driving tasks from a human motorist.

The clash underscores the intensity of competition among established automakers to be seen as leaders in automated driving technology, competitive with Silicon Valley rivals Tesla Inc (TSLA.O), Alphabet Inc(GOOGL.O) ‘s Waymo unit and others.

Continue reading “Ford counterattacks in ‘cruise’ dispute with GM”

Ben Klayman

Reuters 2 min read

Ford Motor Co’s (F.N) electric vehicle battery joint venture with South Korea’s SK Innovation Co Ltd (096770.KS) will extend beyond North America into Europe, a senior Ford executive said on Wednesday.

In May, Ford announced the joint venture with SK to produce about 60 gigawatt-hours (GWh) annually in battery cells and array modules, starting in the middle of this decade, with the potential to expand. The deal, which still needs to be finalized, includes plans for two North American plants. read more

Continue reading “Ford battery venture with SK Innovation will extend to Europe, executive says”

Reuters

2 min read

China’s ride-hailing giant Didi Global Inc (DIDI.N) said on Thursday that rumours about a possible management change are not true.

“Didi is actively and fully cooperating with regulators’ cybersecurity probe, market rumours about management change at the company is not true,” Didi said in a Weibo post.

Continue reading “Didi denies management changes amid cybersecurity probe”

Reuters

2 min read

The Chinese government has asked automakers to strengthen data protection and store locally generated key data in the country.

Automakers need to get regulatory approval for both when they need to export critical data and before they update in-car systems, according to a new policy published by the Ministry of Industry and Information Technology on its website.

Continue reading “China urges automakers to strengthen data protection”

Reuters

1 min read

The Biden administration’s supply chain team remains in touch with auto industry executives about issues driving up prices, White House press secretary Jen Psaki said on Tuesday.

Short-term disruptions in shipments of automotive semiconductors is now becoming a long-term problem and is driving average prices of new and used vehicles to luxury-car levels, fueling inflation fears and causing concern in the White House.

Continue reading “White House says it remains in touch with auto executives about high car prices”

David Shepardson, David Lawder

Reuters 4 min read

Mexican auto parts company Tridonex on Tuesday agreed to ensure worker rights, pay severance and back wages to dismissed employees to settle an early labor rights complaint under the new North American trade deal.

The agreement announced by the U.S. Trade Representative (USTR) and Tridonex parent Cardone Industries Inc aimed to settle complaints that the company’s workers were being denied the rights of free association and collective bargaining.

Continue reading “U.S. reaches deal with Mexican auto parts factory in USMCA labor complaint”

Reuters

2 min read

China’s vehicle sales slid in July for a third consecutive month, hit hard by flooding in some areas of the country, COVID-19 outbreaks in other areas and the global shortage of semiconductors.

The world’s biggest auto market saw sales drop 11.9% from the same month a year earlier to 1.86 million vehicles, according to data from the China Association of Automobile Manufacturers (CAAM).

Continue reading “China auto sales tumble for a third straight month in July”

Aditi Shah, Yilei Sun

Reuters 5 min read

Great Wall Motor (601633.SS) has decided to re-allocate to Brazil a portion of its $1-billion investment in India, as the Chinese automaker has been unnerved by a year-long delay in winning government approvals, three sources told Reuters.

The re-allocation, which could range up to $300 million, comes as the sources said the maker of popular sport-utility vehicles (SUVs) and pick-ups was close to acquiring a former Daimler (DAIGn.DE) plant in Brazil to build cars.

Continue reading “EXCLUSIVE Great Wall Motor to shift some India investment to Brazil after approval delays -sources”

Aftab Ahmed, Aditi Shah

Reuters 5 min read

India is considering slashing import duties on electric cars to as low as 40%, two senior government officials told Reuters, days after Tesla Inc’s (TSLA.O) appeals for a cut polarised the country’s auto industry.

For imported electric vehicles (EVs) with a value of less than $40,000 – including the car’s cost, insurance and freight – the government is discussing slashing the tax rate to 40% from 60% presently, the officials told Reuters.

Continue reading “EXCLUSIVE India considers sharp import tax cuts on EVs after Tesla lobbying – sources”

David Shepardson

Reuters 3 min read

A group of 28 U.S. House Democrats on Monday asked congressional leaders to back $85 billion in funding for electric vehicle charging infrastructure, a big jump over funding proposed in a bill before Congress.

The current $1 trillion bipartisan infrastructure bill under consideration has $7.5 billion in EV charging infrastructure funding, but Democrats plan to add additional funding in a separate measure that could spend up to $3.5 trillion.

Continue reading “28 U.S. House Democrats want $85 billion in EV charging infrastructure funding”

Aditi Shah

Reuters 4 min read

Volkswagen AG (VOWG_p.DE), the world’s second-largest carmaker, is calling for lower import duties on electric cars in India to help drive demand for clean vehicles, echoing Tesla’s recent pitch which has divided the country’s auto industry.

Cutting duties on electric vehicles (EVs) even to 25% – from current levels as high as 100% – would not pose a “big threat” to domestic players, but would help to drive investment, the German carmaker’s India head told Reuters in an interview.

Continue reading “VW joins Tesla in call for lower import tax on EVs in India”

Reuters

1 min read

Tesla Inc (TSLA.O) is telling workers at its Nevada battery factory they will be required to wear a mask indoors starting Monday regardless of vaccination status, the Wall Street Journal reported on Sunday.

Workers at the Reno, Nevada-area facility had previously been required to wear a mask if they were not vaccinated, but could avoid that requirement if they were, the Journal said, citing people familiar with the matter.

Continue reading “Tesla mandates masks at Nevada battery factory – WSJ”

Norihiko Shirouzu

Reuters 4 min read

France’s Renault SA (RENA.PA)said on Monday it is looking to revive business in China by forming a hybrid vehicle joint venture with Geely Holding Group (GEELY.UL), a year after it ended its previous operation in the world’s largest car market.

The two companies have signed a framework agreement to set up the joint venture, which would make and sell Renault-branded petrol-electric hybrid cars in China using Geely’s technologies, supply chains and manufacturing facilities while Renault would focus on sales and marketing.

Continue reading “France’s Renault, China’s Geely to explore new hybrid-focused venture”

David Shepardson, Jeff Mason

Reuters 4 min read

 President Joe Biden took a step toward his goal of slashing greenhouse gas emissions on Thursday with an executive order aimed at making half of all new vehicles sold in 2030 electric, a move made with backing from the biggest U.S. automakers.

The administration also proposed new vehicle emissions standards that would cut pollution through 2026, starting with a 10% stringency increase in the 2023 model year.

Continue reading “Biden seeks to make half of new U.S. auto fleet electric by 2030”

David Shepardson

Reuters 4 min read

President Joe Biden’s administration on Thursday said it would propose reversing the Trump-era loosening of vehicle emissions rules with a new plan to boost efficiency 10% in the 2023 model year and aiming for a fleet average of 52 miles per gallon by 2026.

The U.S. Environmental Protection Agency proposal also calls for a near 5% stringency increase in each model year from 2024 through 2026. But it would not seek to reverse former President Donald Trump’s rollbacks in fuel efficiency standards for the 2021 or 2022 model years.

Continue reading “U.S. EPA shoots to push vehicle fuel efficiency to 52 mpg by 2026”

Reuters

1 min read

Ford Motor Co (F.N) confirmed Thursday it hopes to cut 1,000 U.S. salaried positions as it offers voluntary incentives to leave to some white-collar employees in select areas.

The No. 2 U.S. automaker said the “action is to further enable us to match our business priorities with the critical skills needed to turnaround our automotive operations.”

Continue reading “Ford to offer salaried buyouts, hopes to cut 1,000 U.S. positions”

Reuters

2 min read

Australia’s consumer watchdog filed a court case against Mercedes-Benz on Wednesday alleging that the company downplayed the risks involved with the use of Takata airbags in its vehicles.

The defective airbags, which in rare instances lead to a rupture in inflator and send potentially deadly metal fragments flying, have resulted in the world’s largest automotive recall impacting 100 million vehicles.

Continue reading “Australia takes Mercedes to court for downplaying Takata airbag risks”

Paul Lienert

Reuters 3 min read

British-based Zapp Scooters plans to begin selling its new i300 electric two-wheeler this fall in Europe and early next year in the United States, the company said on Wednesday, as the electric motorbike segment grows increasingly crowded.

Founded by Thai entrepreneur Swin Chatsuwan, a former investment banker now based in the UK, four-year-old Zapp is going to market with a build-to-order business model, according Tony Posawatz, a Zapp investor and adviser who was formerly with General Motors Co (GM.N).

Continue reading “Zapp Scooters poised to enter crowded electric motorbike segment”

Nate Raymond, Tina Bellon

Reuters 3 min read

A coalition of app-based companies, including Uber Technologies Inc(UBER.N), Lyft Inc(LYFT.O) and DoorDash Inc(DASH.N), on Wednesday took the first step to put a measure before Massachusetts voters that would define their drivers as independent contractors entitled to minimum benefits but avoid having them declared their employees.

If placed on the ballot next year, the proposal could make Massachusetts the epicenter for an expensive fight over the legal rights of gig workers, after a heated battle in California ended last year with voters cementing their contractor status.

Continue reading “Group backed by Uber, Lyft pushes Massachusetts gig worker ballot measure”

Vera Eckert

Reuters 3 min read

Hyundai Motor Co (005380.KS) will invest in Germany’s H2 Mobility network of hydrogen fuelling station operators, it said on Thursday, as it looks to support infrastructure for fuel cell-powered vehicles.

A partner in the project since 2017, Hyundai Motor’s German subsidiary will become a seventh shareholder shortly, it said, having received approval from Germany’s cartel office.

Continue reading “Hyundai to take stake in German hydrogen fuelling group H2 Mobility”

David Shepardson

Reuters 4 min read

U.S. President Joe Biden will sign an executive order on Thursday setting a target to make half of all new vehicles sold in 2030 zero-emissions vehicles and propose new vehicle emissions rules to cut pollution through 2026, the White House said.

Biden’s goal, which is not legally binding, won the support of major U.S. and foreign automakers who warned it would require billions of dollars in government funding.

Continue reading “Biden to set target for 50% EVs by 2030; industry backs goal”

Tina Bellon, Akanksha Rana

Reuters 3 min read

Uber Technologies Inc (UBER.N) on Wednesday reported widening losses as it spent more to entice drivers to return to its platform, sending shares of the ride-hail and food delivery company down in after-hours trade.

Investors sold the shares despite Uber management’s assurances that the company can deliver a sharp turnaround in profitability even as New York and other major cities reimpose some pandemic restrictions.

Continue reading “Uber posts $509 mln adjusted loss on driver incentives even as trips rise”