Trade News

Buckeye Honda has worked to overcome inventory shortages by creating an interactive research hub where online shoppers can get an up-close look at a vehicle even if it's not in stock.

The Lancaster, Ohio, dealership deployed a virtual configurator on its site this spring called izmoEmporio that lets users personalize new Honda models with accessories and get 360-degree views of the exterior and interiors.

It has been operational for only a few months, but the configurator — a relatively rare offering on a dealership's website — is fostering engagement with online shoppers and helping the store sell more accessories. Management says consumers who use the tool are spending an average of two minutes on it, and the dealership considers them higher-quality leads than typical website visitors.

Consumers can access the technology on a phone, tablet or computer.

More than 300 vehicles covering the full spectrum of Honda's lineup have been configured on t…

A federal grand jury has indicted Erik Charles Maund, 47, a former partner at Maund Automotive Group in Austin, Texas, and three other individuals on murder-for-hire charges in the deaths of a Nashville couple, according to the U.S. Department of Justice.

In addition to Maund, Gilad Peled, 48, and Bryon Brockway, 47, both residents of Austin, along with Richlands, N.C., resident Adam Carey, 31, have been charged with murder for hire, conspiracy to kidnap resulting in death and kidnapping resulting in death, Mark H. Wildasin, the U.S. attorney for the Middle District of Tennessee, said in a news release.

The superseding indictment from the DOJ also alleges that following his arrest, Maund agreed to pay for the killing of a co-conspirator, who had requested additional money.

"Peled informed Maund that one of the co-conspirators involved in the kidnapping and murders wanted more money as payment for the criminal acts. Maund agreed to pay the co-conspirator …

The details in the U.S. Senate's EV tax credit deal could rile some automakers. The biggest Asian and North American suppliers report tough quarters. GM gets into the green bonds business. Plus, PartsEdge sales and marketing manager Kaylee Felio talks about how parts departments are managing supply chain issues amid threats of a recession.

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DETROIT -- Ford Motor Co. is once again struggling with quality problems that are leading to recalls and driving up warranty costs. And that has top executives renewing a vow to fix the problem.

“These issues simply shouldn’t happen,” Kumar Galhotra, head of Ford Blue, the company’s traditional business in internal combustion engine vehicles, said at a BNP Paribus conference Thursday. “Fixing quality is our No. 1 priority as a company.”

Jim Farley has been promising to slash billions from warranty repair costs since he became CEO in October 2020 and the company made progress last year. But this year, it’s backsliding. Ford had to recall 100,000 hybrid models for a fire risk and stop delivering the popular Mach-E due to a defect that could cut power to the vehicle while in motion. Federal investigators are probing catastrophic engine failures on the hot-selling Bronco SUV.

“We continue to be hampered by recalls and customer satisfaction actions,” Farley t…

WASHINGTON — A Republican senator is trying to repeal a provision in the infrastructure law passed by Congress last year that would require a passive technology to prevent drunken or impaired drivers from starting their vehicles.

The infrastructure law orders NHTSA to issue a final rule by November 2024 requiring new vehicles to be equipped with an advanced drunken-driving and impaired-driving prevention technology. Once the rule is issued, automakers would have two to three years to implement the technology as standard equipment in all new light-duty cars and trucks.

Sen. Mike Rounds, R-S.D. — who previously sought to block the provision before the bill was enacted in November — introduced legislation Wednesday to amend the Infrastructure Investment and Jobs Act and reverse the requirement. Rounds' bill is supported by Sens. Mike Braun, R-Ind., and John Cornyn, R-Texas.

Automotive News has reached out to the three senators for comment.

Mothers Ag…

Xiaomi Corp. is facing difficulties getting regulatory approval for its electric vehicle project in China, an unexpected hurdle for the smartphone giant’s $10 billion automotive ambitions.

The Beijing company has been talking to officials at the National Development and Reform Commission about the licensing for months without success, according to people familiar with the matter.

Xiaomi is one of the later would-be entrants to a Chinese EV sector already teeming with rivals, including longer-established names BYD Co. and Nio Inc. But billionaire co-founder Lei Jun, who has said EVs will be his final startup endeavor, hopes Xiaomi’s expertise in connected technologies and building loyal user communities can translate in the world’s biggest EV market. But the longer the delay in securing a license, the bigger the head start its rivals will gain.

The smartphone and electronics maker is pursuing new growth areas after logging its first sales decline on reco…

Magna International Inc. reported a $156 million net loss in the second quarter as the diversified Canadian auto supplier grappled with higher commodities and energy costs and the impact of the Russian invasion of Ukraine.

The net loss compares with second-quarter 2021 income of $424 million and comes despite a 3.6 percent year-over-year gain in sales to $9.36 billion.

The loss for the quarter ended June 30 includes a one-time impairment charge of $376 million related to Magna's operations in Russia, which remain substantially idled because of the war. Magna operates six plants in the country that employ 2,500 people.

Adjusted income before interest, taxes and other expenses came in at $358 million, Magna said, compared with $557 million in adjusted net income in the second quarter of 2021.

"Continuing challenges have impacted our Q2 earnings," Magna CEO Swamy Kotagiri said in a Friday conference call with analysts. "However, results were in line …

Twitter Inc.’s lawsuit against Tesla Inc. CEO Elon Musk over a canceled $44 billion buyout of the social-media platform is set for a five-day trial starting Oct. 17 in Delaware, a judge ruled.

The decision late Thursday by Delaware Chancery Court Judge Kathaleen McCormick comes after Musk’s lawyers claimed Twitter wanted an Oct. 10 start date “without justification.” Twitter said it wasn’t opposed to Oct. 17 as long as it was assured of a full five-day trial.

McCormick agreed earlier this month to fast-track the trial over the Musk’s failed deal to acquire Twitter for $54.20 a share, which he nixed over claims that usage statistics for the social-media platform are inflated by spam and robot accounts.

Twitter claimed Musk, the world’s richest person, was dragging his feet on setting the schedule and lobbed a letter onto the court docket without sharing it with his opponents. McCormick, in her eight-page order, warned both sides that any pre-trial informa…

Stellantis' state-owned Chinese partner accused the European company of disrespecting customers in the world’s biggest auto market in an escalation of a dispute over their failed Jeep venture.

Guangzhou Automobile Group on Friday said comments Stellantis CEO Carlos Tavares made the previous day on how trust had broken down between the two companies over their Chinese manufacturing partnership were “unbelievable.”

Several Stellantis ventures “failed to achieve success, which is the result of a lack of respect for customers in the Chinese automobile market,” GAC Group said in a statement.

The latest twist in the months-long back-and-forth comes after Tavares on Thursday during earnings presentations and an interview with Bloomberg Television flagged growing risks of operating factories in China because its politicians are increasingly meddling in business.

Tavares added that GAC did not want to abide by the binding memorandum of understanding the c…

A deal in the U.S. Senate resurrects expanded EV tax credits. A look at the latest financial results, including record earnings for Stellantis. A former U.S. auto executive could be part of a swap to get WNBA star Brittney Griner home from Russia. Plus, Automotive News GM reporter Hannah Lutz talks about the automaker's disappointing quarterly earnings and its product plans for the coming years.

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. 

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“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"

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

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"Daily Drive" i…

Asbury Automotive Group Inc. generated record net income of $201.4 million during the second quarter, bolstered by dozens of new Larry H. Miller Dealerships locations it purchased at the end of 2021.

That translated to a net income gain of 32 percent compared with the second quarter of last year, Asbury reported Thursday. Asbury's revenue rose 53 percent to $3.95 billion.

Asbury CEO David Hult said Asbury also set records with $352.1 million in adjusted earnings before interest, taxes, depreciation and amortization, and $10.04 in adjusted earnings per share. However, Asbury's same-store revenue fell 7.2 percent, and same-store gross profit stood essentially unchanged for the quarter.

"With two full quarters with our expanded dealership portfolio, our incredible team across the nation delivered a sequential increase in adjusted EBITDA of 5 percent and adjusted EPS of 8 percent over the first quarter of 2022," Hult said in a statement Thursday.

Asbu…

Specialty vehicle manufacturer Shyft Group Inc. saw decreases in both net income and revenue in the second quarter due to supply chain disruptions and inflationary pressures.

Net income plunged 67 percent to $5.3 million, the company said in its second-quarter earnings report Thursday. Sales slipped 4.8 percent to $232.2 million in the same period.

Shyft CEO Daryl Adams told investors on a conference call Thursday morning that chassis supply disruption continued to disrupt the company's fleet vehicle business. He said supply disruptions peaked for the company in April but steadily eased in May and June.

"The improvement came from the release of units that were produced but on hold at the end of the quarter as well as increased production levels at the OEMs," Adams said. "While the OEMs are not yet back to full production, the improvement does give us confidence as we look out into the second half of the year."

Shyft Group rebranded from Spartan Mo…