Ukraine war cost German automakers 150K vehicles in March

German automakers lost about 150,000 vehicles from their March production plans because of supply shortages stemming from the war in Ukraine, according to an LMC Automotive estimate.

The German operations of Volkswagen, Mercedes-Benz and BMW have been among the manufacturers most heavily impacted by the war, which has sent shock waves through the European supply chain.

Germany's automakers are being affected more than others in large part because of the country's proximity to Ukraine and their dependence on it for wire harnesses, cables and other components, said Jeff Schuster, president of global vehicle forecasting at LMC.

Some Ukrainian suppliers have managed to continue operating during the war, but Russia's invasion of the country has left many automakers without access to components they need.

"The good news is some suppliers are still operating, and some have restarted," Schuster said. "There is some flow coming out. But overall, it's the…

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Nissan considers dealer margin cut on Ariya EV to offset R&D

As Nissan gears up to launch a wave of pricey next-generation electric vehicles, the EV pioneer is turning to its dealers to share in some of the financial pain.

The Japanese automaker is considering a cut of 2.5 percentage points in dealer margins on the Nissan Ariya, a 300-mile electric crossover set to arrive in the U.S. this fall.

Under the new plan, retailers could receive 8.5 percent of the vehicle's sticker price as a profit margin, dealers briefed on the matter told Automotive News last week. That's less than the 11 percent margin Nissan dealers earn on combustion-engine models.

Nissan, which has not finalized the plan, told dealers the profit cut is needed to help offset R&D investments in EVs, the sources said.

The automaker declined to confirm margin discussion details.

"We are working closely with the dealer network to ensure that our programs deliver strong customer satisfaction and preserve the long-term…

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Nissan considers dealer margin cut for Ariya EV

As Nissan gears up to launch a wave of pricey next-generation electric vehicles, the EV pioneer is turning to its dealers to share in some of the financial pain.

The Japanese automaker is considering a cut of 2.5 percentage points in dealer margins on the Nissan Ariya, a 300-mile electric crossover set to arrive in the U.S. this fall.

Under the new plan, retailers could receive 8.5 percent of the vehicle's sticker price as a profit margin, dealers briefed on the matter told Automotive News last week. That's less than the 11 percent margin Nissan dealers earn on combustion-engine models.

Nissan, which has not finalized the plan, told dealers the profit cut is needed to help offset R&D investments in EVs, the sources said.

The automaker declined to confirm margin discussion details.

"We are working closely with the dealer network to ensure that our programs deliver strong customer satisfaction and preserve the long-term…

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How NASA technology found its way to auto assembly lines

Work done by General Motors and NASA has led to the creation of robotic, grip- strengthening gloves that the space agency says could help both astronauts and assembly-line workers on the job.

Ironhand, as the glove is called, was named a NASA commercial invention of the year in 2020 and was the result of years of work stemming from a collaboration between NASA and GM. The technology was highlighted in NASA's annual Spinoff report, which spotlights technologies developed by the space agency that have terrestrial, commercial applications.

The glove was recently commercialized by Swedish wearable systems company Bioservo Technologies, but the groundwork had been laid as far back as 2006. That year, GM and NASA signed an agreement for the construction of a robotics system, with the goal of better understanding how robots and humans could work side by side.

GM and NASA engineers quickly discovered that they could remake the finger actuat…

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HONDA: 8 straight monthly declines as parts crunch dents supplies

American Honda's U.S. sales dropped 27 percent in March and 23 percent in the first quarter as availability of both Honda and Acura products continues to be undermined by low parts supplies and other bottlenecks.

March marked the seventh straight monthly U.S. sales decline for Acura and the eighth consecutive decrease at the Honda brand.

"We aren't out of the woods yet, but we will continue to manage the supply issues to maximize production and help our dealers meet the needs of our customers," Dave Gardner, executive vice president of business and sales at American Honda, said in a statement.

The Honda HR-V crossover saw its 14th consecutive month of growth. Honda will introduce a new 2023 Honda HR-V specifically for North America on April 4, which should drum up additional interest in the subcompact crossover. Acura's results were driven primarily by the three-row Acura MDX, which logged its strongest sales since May 2021.

Brands: Honda; down …

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HYUNDAI: Strong retail offset by tight supplies, zero fleet

Hyundai snapped a two-month streak of sales gains to close the first quarter on a down note, with March deliveries off 21 percent and first-quarter sales down 4.5 percent, mostly behind tight supplies and zero fleet shipments. Hyundai's first-quarter drop outpaced a broader industry decline behind continued healthy consumer demand, especially with hybrids, plug-in hybrids, full cell hybrids and full-electric vehicles.

Sales of Hyundai's "green" products now represent about 16 percent of the brand's overall mix, according to Hyundai sales chief Randy Parker.

Hyundai's U.S. sales slid 21 percent to 59,380 in March mostly because of supply constraints caused by the ongoing microchip shortage. Retail sales remain a bright spot. Hyundai posted record quarterly retail deliveries of nearly 159,676, a 1.4 percent increase compared with the same period in 2021, the company said.

Genesis, Hyundai's luxury arm, continues to rack up healthy gains led by the GV70 an…

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STELLANTIS: Q1 volume drops 14%; Jeep dips 2%

Sales at Stellantis' U.S. arm dropped 14 percent in the first quarter as each brand posted lower volume compared with the year-earlier period. It was the third straight quarterly decline for the automaker.

Stellantis said first-quarter U.S. retail sales declined 13 percent.

Jeep's sales dipped 2.2 percent during the latest period, while Ram fell 15 percent. Dodge, which discontinued the Caravan and Journey after the 2020 model year, had a 36 percent sales dip.

Although Jeep fell slightly, the redesigned Grand Cherokee and new three-row Grand Cherokee L helped the nameplate post its best first quarter ever with sales of 75,117.

Brands: Jeep, down 2.2%; Ram, off 15%; Chrysler, down 27%; Dodge, off 36%; Fiat, down 58%; Alfa Romeo, down 29%.

Notable nameplates: Grand Cherokee, up 36%; Wrangler, down 8.2%; Cherokee, down 73%; Compass, up 22%; Gladiator, down 4.8%; Ram pickups, down 15%; Charger, down 22%; Challenger, off 26%; Pacifica, off 23%…

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GM: Q1 decline with fleet boost; inventory to remain low

DETROIT — General Motors' U.S. light-vehicle sales fell 20 percent in the first quarter on declines at all four brands, but the automaker began to expand its fleet mix.

"Supply chain disruptions are not fully behind us, but we expect to continue outperforming 2021 production levels, especially in the second half of the year," Steve Carlisle, president of GM North America, said in a statement Friday.

Buick, Cadillac and Chevrolet reported double-digit declines, while GMC's deliveries fell 7.5 percent.

Full-size SUV sales were among the automaker's bright spots last quarter. Deliveries of the Cadillac Escalade, Chevy Suburban and Tahoe and the GMC Yukon each grew more than 4 percent. The Yukon posted the biggest increase at 15 percent.

GM also accelerated fleet shipments last quarter, with fleet making up 24 percent of total sales. Fleet made up only 17 percent of GM's total sales a year ago, but in the first quarter of 2020, before the pandemic s…

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UAW’s legal fees for executive board members mount

DETROIT — The UAW in 2021 spent more money on legal fees for fewer officers than it did in 2020, according to an annual financial report filed Thursday with the U.S. Department of Labor.

The union disclosed it spent $36,069 on legal fees for President Ray Curry, and $113,016 on legal fees for outgoing Vice President Cindy Estrada, who heads the union's Stellantis department.

The union in 2020 paid out nearly $30,000 in legal fees for four officers: $10,888 for Region 8 Director Mitchell Smith; $10,718 for Region 9A Director Beverley Brakeman; $6,683 for Curry; and $1,210 for Estrada.

Both figures are still significantly smaller than what the UAW spent on Ex-President Dennis Williams, who is now in prison for embezzling money from the union. In 2019, the UAW paid $320,912 in legal fees defending Williams and $24,599 for defending Ex-President Gary Jones, who is also in prison.

All told, 16 individuals have been charged — and 16 have pleaded guilty …

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NISSAN: Parts shortages upend momentum

A product portfolio overhaul lifted Nissan Group's U.S. sales and brand confidence last year.

But a tsunami of industry-wide supply shortages now threatens to overwhelm the momentum.

Following an 8.7 percent increase in sales last year, Nissan Group started 2022 in negative territory. Deliveries tumbled 30 percent to 201,081 in the first quarter.

Nissan division sold 189,835 vehicles in the January-to-March period, down 29 percent from a year earlier. Infiniti volume cratered 41 percent to 11,246 vehicles. It was the company's third consecutive quarterly decline.

"It just comes down to production — what's available to actually sell," said Judy Wheeler, Nissan division vice president of sales and regional operations in the U.S.

In 2021, Nissan lost about 228,000 units of production in North America because of the chip shortage, according to data from AutoForecast Solutions.

This year, an earthquake in Japan and COVID-related lockdow…

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Gatik, ChargePoint pair up to face challenges of electric delivery trucks

<!--*/ */ /*-->*/ Gatik, ChargePoint pair up to face challenges of electric delivery trucks

Can soaring demand for e-commerce hasten a switch to electric delivery vehicles?

In some segments, that shift is already underway, with the likes of General Motors' BrightDrop commercial EV business targeting first- and last-mile delivery customers and Amazon compiling a fleet of 100,000 delivery vans as it aims to be carbon neutral by 2040.

In other segments, the case for electric delivery vehicles is less clear-cut, with heavy batteries and their associated charging times that are perhaps less than optimal for high-utilization vehicles.

Self-driving truck startup Gatik and ChargePoint, a national EV charging network, are looking to solve those challenges. The two companies said this week they've established a strategic partnership designed to address those problems and maximize operational efficiency.

Gatik's autonomous-driving system can …

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Rivian says war in Ukraine exacerbates supply-chain woes

EV maker Rivian Automotive Inc. says Russia’s invasion of Ukraine is adding to supply chain pressures and costs, becoming one of the first U.S. automakers to cite the war in Eastern Europe as a risk and headwind.

In a regulatory filing Thursday, Rivian blamed the dispute between Russia and Ukraine, along with the ongoing pandemic and inflation, for “disruptions to and delays” in operations. The Irvine, California-based company also listed the conflict as a factor in higher component costs --  including battery metals, which it said have risen “considerably.”

The Amazon.com Inc.-backed EV upstart has struggled to ramp up production of its debut battery-powered vehicles. The company had an embarrassing U-turn on raising prices earlier this month, a move it originally attributed to a supply chain crunch and price pressures. It also gave a tepid production forecast of 25,000 vehicles, half of what the company’s Normal, Ill., plant is capable of building.

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