Trade News

Volkswagen Group and Foxconn Technology Group are keeping workers on-site at factories in Chengdu after the Chinese metropolis locked down 21 million residents to contain a COVID-19 outbreak.

The German automaker’s factory, jointly operated with local partner China FAW Group Co., entered a so-called “closed loop system” Thursday evening to maintain production, a company representative said on the phone on Friday, without elaborating. Foxconn, the largest assembler of Apple Inc. devices, is also adopting the method at a facility that makes iPads there, according to a person familiar with the decision.

Robert Bosch, one of the world’s biggest auto parts makers, has shifted to a closed-loop operation at two manufacturing sites for power tools and automotive components in Chengdu, with office staff working from home, a spokeswoman for its China business said.

First used during the Beijing Winter Olympics as a way of keeping athletes and support staff separat…

Instead of spending millions of dollars trying to defeat right-to-repair laws, automakers should save their money, says global research and consulting firm Ducker Carlisle.

State laws, and eventually a national one, inevitably will be approved by voters, a Ducker Carlisle survey shows. But the firm's research also found dealerships may not lose customers, as most have assumed. And any defections would not be because of right-to-repair laws.

"Our goal was to figure out what is going to happen if right to repair passes," said Nate Chenenko, a director at Ducker Carlisle. "Everybody thinks it's going to be really bad, but what's actually going to happen?"

To find out, Ducker Carlisle conducted a consumer sentiment survey of 2,147 vehicle owners. The firm did message testing, giving a third of those surveyed the "pro-right-to-repair" definition used by those championing various state bills. Another third was supplied the "anti-right-t…

Mercedes-Benz full-size electric SUV will carry a hefty sticker price when it arrives in stores this fall.

The EQS SUV starts at $105,550, including shipping, and is available in three variants.

The top-of-the-line EQS 580 4MATIC version starts at $127,100, including the $1,150 shipping charge.

While the Alabama-made SUV qualifies for a $7,500 federal tax credit for new electric vehicles through Dec. 31, its six-figure MSRP will disqualify it next year under the Inflation Reduction Act's vehicle price cap.

The EQS SUV is the third model based on Mercedes' EVA2 architecture for upper-market segment EVs. The SUV delivers up to 536 hp and is powered by a 107.8-kilowatt-hour battery.

The single-motor rwd EQS 450+ delivers an EPA-estimated 305 miles, and the EQS 450 4MATIC and EQS 580 4MATIC will run for 285 miles on a single charge.

The EQS SUV will be joined in the lineup this year by the EQB compact crossover and the EQE midsize sedan.…

WASHINGTON — Electric vehicles, although subject to unique crashworthiness challenges, can generally lean on crash tests designed for vehicles with internal combustion engines.

Whether a vehicle is powered by a combustion engine, a battery or a combination of the two, the stored energy poses a potential safety hazard in a crash and, therefore, certain precautions must be taken by automakers and crash test engineers, vehicle safety experts told Automotive News in August.

"It's building on the evolution of crashworthiness," said Brian Latouf, global chief safety officer at Hyundai Motor Co. "It's the same crash dummies. It's the same injury protocols."

NHTSA, for instance, conducts the same crash tests for electric and internal combustion engine vehicles to evaluate occupant protection as part of its consumer-facing New Car Assessment Program.

But EVs, Latouf noted, must also comply with Federal Motor Vehicle Safety Standard No. 305, which evolved …

The monthly sales news is good for Hyundai and Kia, but not so great for Honda. Porsche plans a big hire ahead of its planned IPO. There's more fallout for Cruise after its June crash in San Francisco. Plus, a deeper look at Toyota's big infusion of cash into its battery plant in North Carolina and what it says about the future of EV manufacturing in North America. 

How do I subscribe?

Can't wait to hear the next episode of "Daily Drive"? Subscribe through a podcast app to receive episodes days in advance. If you don't have a podcast app already, here are some options. 

iPhone / iPad

“Daily Drive” is available on the iTunes Store and through the ‘Podcast’ app pre-installed on all iOS devices. Click here to subscribe to "Daily Drive"

Android

“Daily Drive” is available on the Google Play store. Click here to subscribe to "Daily Drive"

Spotify

"Daily Drive" is available on Spotify.&nb…

MEXICO CITY -- Volkswagen Group's Mexico unit said in a statement on Thursday it is "profoundly disappointed" by the union's rejection of a 9 percent proposed salary increase.

The raise would have been the country's largest salary increase by an automaker in recent years, and is the second time the union has voted to reject the deal.

The company said in a statement that outside interests influenced the voting process and impacted the result with false arguments.

"This result is damaging a relationship built over more than 50 years," Volkswagen's statement said.

The union for workers at the plant in Puebla, in central Mexico, had initially sought a raise of more than 15 percent to account for soaring inflation, from salaries that range from $15 to $48 per day.

"The union and company representatives can now sit down again to continue negotiating and try to reach an agreement," Mexico's Federal Labor Center said in a statement early Thursday, …

Toyota Motor North America is recalling about 84,000 of its newest light trucks, certain 2022 Toyota Tundra full-size pickups and 2022 Lexus NX250 and NX350 crossovers, over concerns that their electronic parking brake may not operate properly.

The Japanese automaker said it intends to update the skid control ECU software to fix the issue, in which the electronic parking brake may not engage or disengage properly, and will notify effected owners and leasees by late next month.

Consumers with additional questions or concerns are asked to contact the respective brand customer service center.

As dealerships face profitability challenges, the right technology can make a big difference. A digital workflow lets you work faster and save on numerous overhead costs compared to manual processes. It can also help you avoid errors that can delay funding, stay compliant, and improve the customer experience.

In their latest infographic, Dealertrack shows how digital solutions can address dealership challenges including:

Giving customers the speed and convenience they demand. Reducing errors throughout the deal process. Improving funding speed and cash flow. Savings on operational costs. Avoiding compliance missteps that put you at risk of fraud and fines.

IBM Watson Advertising provides marketers the full power of The Weather Channel app - including its massive audience. In a survey of 5,800 app users about their automobile purchasing behaviors and considerations. About 28% of them said they were likely to consider buying an EV, which is roughly 3x higher than the general population. Shocked? Don't be.

Check out the infographic to find out what these EV intenders revealed to us, including the:

Most important features they consider when choosing a vehicle Top areas of concern or confusion about hybrids/EVs Anticipated timeline for buying or leasing a new vehicle *Source of all statistics: Results cited are from a survey by The Weather Channel of over 5,800 app users about their automobile purchasing behaviors and considerations. May 2022.

Buick is adding another crossover, the compact Envista, customized for the Chinese market, aiming to enrich its product mix in one of the most popular segments.

The Envista, with a starting price of 150,000 yuan ($21,770), is tailor made for younger generations of buyers and families in urban areas, GM’s China unit said. It was introduced at an auto show in the southwest city of Chengdu and heralds a new design direction for the brand.

The Envista is 182.5 inches long and 71 inches wide, or about the size of Buick's Envision in the U.S.

The Envista is fitted with a 1.5-liter four-cylinder direct injection turbocharged Ecotec engine and a chain drive transmission, with maximum power of 183 hp and fuel consumption as low as 6.52 liters per 100 kilometers under WLTC conditions.

The sporty Envista GS features a black mesh grille and 18-inch black-painted wheels paired with red brake calipers.

The Envista is Buick’s fifth crossover produced in C…

Major state-owned automaker GAC Motor  is set to produce batteries developed on its own to ensure supplies for its rapidly expanding electric-vehicle output. 

The move will make GAC the second Chinese EV maker, following BYD Co., to build batteries for its own electric vehicles. 

It plans to build a battery plant with an investment of up to 10.9 billion yuan ($1.58 billion) in the south China city of Guangzhou, GAC said this week. 

With construction set to begin at the end of the year, the factory is expected to produce 26.8 gigawatt-hours of batteries annually in 2025.

The plant will initially produce lithium iron phosphate batteries. 

It will first supply batteries to GAC’s EV subsidiary Aion New Energy Vehicle Co. and other affiliates. At a later stage, it will supply outside customers, according to GAC’s plan.

Additional details about the battery plant were not disclosed. 

GAC, based in Guangz…

Private equity firm One Planet Group has completed its acquisition of dealership marketing company AutoWeb Inc., which no longer will be publicly traded.

Walnut Creek, Calif.-based One Planet Group said Wednesday that AutoWeb — a provider of consumer leads to auto dealerships — will operate as a standalone business within One Planet's portfolio.

"I am so excited to welcome AutoWeb into the One Planet Group family," CEO Payam Zamani said in a statement. "AutoWeb has an incredible legacy in the automotive space, and I believe that its brand, assets and expertise offer a foundation that will allow us to build it back into a business that will lead the next evolution of the industry."

In July, AutoWeb, of Tampa, Fla., disclosed the acquisition plans after earlier saying its board would explore strategic alternatives for the company, including a potential sale or restructuring, including through federal bankruptcy protection. AutoWeb said "substantial doubt" …