Trade News

The IRS filed tax liens of more than $1.4 billion against former Reynolds and Reynolds Co. CEO Bob Brockman in two Colorado counties, both individually and involving properties the government says are affiliated with him, according to a newspaper report.

The Aspen Times reported the liens this week. They cover 12 years — 2004 through 2007, 2010 and 2012 through 2018 — and include unpaid balances as high as $302.2 million in 2004, according to the report. Additional tax liens list separate entities as taxpayers, each of which the IRS wrote in the liens is considered an "alter-ego" of Brockman, according to the newspaper.

Brockman, 80, has been charged with 39 federal counts, including tax evasion, wire fraud, money laundering and evidence-tampering in what federal prosecutors say was a scheme lasting two decades to evade taxes on $2 billion in income. Brockman has pleaded not guilty. A federal judge this week agreed to delay a competency hearing until November t…

BEIJING -- Xpeng Heitech, a flying car startup backed by electric vehicle maker Xpeng Inc., said on Wednesday that it would deliver electric flying cars to customers in 2024.

The startup, founded in 2013 and funded by Xpeng and Xpeng's CEO He Xiaopeng, now employs 400 people and will expand its work force to 700 by the end of this year, company founder Zhao Deli told the World New Energy Vehicle Congress.

Xpeng Heitech's model will be able to drive on roads, Zhao said. The electric flying car will be able to travel over 600 kilometers (370 miles) on the ground on a single charge, but Zhao did not say how far it can fly on one charge.

Other automakers that are developing flying cars in China include Geely's Terrafugia, which is building a factory in the central city of Wuhan. Volkswagen AG is also studying the industry in China.

Regulators in China, however, have yet to roll out detailed rules on flying vehicles.

Rivian, the Amazon.com Inc.-backed electric vehicle maker that registered last month for a stock market debut, is aiming to raise between $5 billion and $8 billion with the listing, making it one of the largest U.S. initial public offerings of recent years, according to people familiar with the matter.

Rivian, which counts Ford Motor Co. and T. Rowe Price among its investors, registered the IPO confidentially with U.S. regulators last month. It is seeking a valuation of about $80 billion in the listing, which is expected to land in late October or November, the sources said.

Rivian declined to comment.

If Rivian raises $8 billion in the IPO, that would rank as the fourth biggest of the past decade in the United States. Only three other companies have raised more than $8 billion in IPOs since 2011, according to Dealogic: Alibaba, which raised a world-record $25 billion in 2014; Facebook, which raised $16 billion in 2012; and Uber, which raised $8.1 billi…

Are dealership service departments coming down from the high of a busy spring and early summer? Recent data from the Cox Automotive Dealer Sentiment Index show a dip in how the current level of fixed ops business is viewed by those in the stores.

The third-quarter survey shows dealers scored their service business a 67 (out of 100), down from 74 last quarter. And while dealerships in the Northeast and South reflect a slightly better level of fixed ops business (both gave it a 71), the Midwest and West regions were both down in the low 60s.

To be sure, this is not to say dealers have a negative view of fixed ops at the moment. For perspective, Cox says a score over 50 "indicates more dealers view conditions as strong or positive rather than weak or negative." But this quarter's numbers do show a bit less enthusiasm.

Rick Wegley, an instructor with NCM Associates in Kansas City, said many dealership service departments are struggling.

The shortage o…

BEIJING -- One of General Motors' China joint ventures said on Wednesday it is developing auto chips and aims to increase use of locally sourced chips in the next five years.

Liuzhou-based SGMW, GM's venture with partners SAIC Motor Corp. and Guangxi Automobile Group, said at an industry conference that it has been developing its own auto computing chips since 2018.

SGMW did not say whether it is merely designing chips or is also participating in chip-manufacturing but said it would boost cooperation with Chinese manufacturers to improve quality and economy of its chips.

A prolonged global shortage of semiconductor chips has affected nearly all major automakers including Ford Motor Co., Honda Motor Co., and Volkswagen Group, forcing many to idle or curtail production.

SGMW is also developing battery-swapping stations for its micro electric vehicles, it said at World New Energy Vehicle Congress.

Chinese electric vehicle maker Xpeng Inc. would consider acquiring less successful rivals to expand production capacity in the future, company President Brian Gu told reporters during a conference call.

Xpeng is building two new factories in China. At the same time, the Chinese government is signaling it wants to see consolidation in the Chinese EV sector to rein in construction of unproductive factories.

"If we need additional capacity in a year or two…we may think about using M&A as a tool to get more capacity," Gu said.

Guangzhou-based Xpeng also said that its new P5 compact sedan model will be priced between 157,900 yuan ($24,549) and 223,900 yuan after receiving government subsidies. It is now selling P7 sedans and G3i utility vehicles.

Lithia Motors Inc. has entered Georgia with the acquisition of a Honda store and separately bought a Chrysler-Dodge-Jeep-Ram-Fiat dealership in Southern California.

Both transactions closed on Monday.

Combined, the two acquisitions will add an expected $320 million to Lithia's annual revenue.

Lithia bought Curry Honda in Chamblee, Ga., northeast of Atlanta, from Bernie Curry. Lithia is keeping the dealership’s name.

DCG Acquisitions, a Dave Cantin Group company, represented Curry in the transaction.

Georgia is the latest Southeast state that Lithia has entered. In July, Lithia bought its first dealership in Alabama and bought its first Mississippi store in June.

Lithia also acquired Orange Coast Chrysler-Jeep-Dodge-Ram-Fiat in Costa Mesa, Calif., in Orange County, from Jon Gray.

Gray, a past chairman of the Stellantis, then known as FCA, National Dealer Council, is staying on as general manager and the dealership's name is sta…

CHENNAI, India -- Factory workers at Ford Motor Co.'s southern Indian plant near Chennai city have sought the state government's help to safeguard jobs that will be lost once the carmaker stops production, workers and union leaders said.

Last week, Ford said it would stop making cars in India, taking a hit of about $2 billion to end years of unprofitable operations in a market that once promised exponential growth but that has disappointed.

The U.S. automaker will wind down operations at its factory in Sanand in the western state of Gujarat by the fourth quarter of 2021, and vehicle and engine manufacturing in its southern Indian plant in Chennai by 2022, potentially laying off up to 4,000 employees.

The sudden announcement by Ford will put at risk the livelihoods of more than 2,600 permanent workers and over 1,000 contract staff, union members said.

"Thousands of workers are at risk of losing their jobs as a result of Ford's decision t…

DETROIT — Right after its official debut during Sunday night's nationally televised NFL game, the redesigned 2022 Toyota Tundra will make its first auto show appearance next week here.

The full-size pickup will be shown at Motor Bella, an outdoor event set for Sept. 21-26 at the M1 Concourse in Pontiac, a suburb about a half hour north of Detroit. It will be the first auto show in the region since COVID-19 upended plans for the 2020 North American International Auto Show.

The unveiling is set for 9 p.m. Eastern time. The first ad for the 2022 Tundra will air Sunday night during the Kansas City Chiefs vs. Baltimore Ravens game on NBC.

Two days later, Toyota Marketing executive Joe Moses will conduct a press briefing on the Tundra at Motor Bella at 10:10 a.m.

The new Tundra enters the hypercompetitive, highly profitable full-size pickup space with the line's first redesign in nearly a decade and a half. The Detroit 3 dominate the segment. In the fi…