Trade News

WASHINGTON -- The Federal Communications Commision will vote Nov. 18 to split a key spectrum block set aside for auto safety to accommodate the growing number of wireless devices, even as the Transportation Secretary warned of "thousands more deaths" in traffic accidents.

The FCC will vote to finalize a plan announced last year to divide a block of the 5.9 GHz spectrum band that was reserved in 1999 for automakers to develop technology to allow vehicles to talk to each other, but has so far gone largely unused.

Automakers have opposed the split on safety grounds, while many internet providers say the spectrum is essential to support growing wireless use.

FCC Chairman Ajit Pai said on Tuesday that "making more spectrum available for Wi-Fi is critical to meeting America's growing connectivity needs."

The FCC gave initial approval to the plan in December in a 5-0 vote. U.S. Transportation Secretary Elaine Chao previously warned the FCC decision could…

Volkswagen of America will move its headquarters, currently in a suburban Washington office park, to a larger high-rise facility under construction a few miles away in late 2023.

The automaker will lease just less than 200,000 square feet covering several floors in a new 14-story office building that is part of Reston Town Center, a commercial and residential complex in Reston, Va., the company said Tuesday. The new location is 3 miles east of the automaker's current six-story building in Herndon.

Audi of America also will move to the new location, as will other subsidiaries including Lamborghini of America, Bentley, Bugatti and Volkswagen Credit. In all, the move will involve about 1,000 workers in or near the headquarters, a spokesman said, and would increase "work force efficiencies and cooperation."

Unlike its existing headquarters, the new building, being developed by Boston Properties, will have in-building parking with provisions for 300 electric …

DETROIT -- General Motors' defense subsidiary, which delivered its first Infantry Squad Vehicle on Tuesday to the U.S. Army, could soon use GM's electrification development for military applications.

The truck delivered Tuesday is the first major product for GM Defense since it was reestablished by GM in 2017. The original GM Defense, which helped U.S. combat efforts beginning with World War I, was acquired by General Dynamics in 2003.

"There's a relearning process for the company to get back its skill. This represents a fantastic cornerstone program for us to do just that," David Albritton, president of GM Defense, told reporters Tuesday.

The vehicle, based on the Chevrolet Colorado ZR2, can transport nine soldiers and their equipment. Despite coronavirus-related challenges, GM developed the vehicle in just four months after it was awarded a $214.3 million defense contract in June. GM Defense said it will build 649 of the vehicles through 2024 and will…

A probable-cause hearing for Sonic Automotive Inc. CEO David Smith, has been moved to Dec. 1, according to the court in Mecklenburg County, N.C.

The hearing delay follows his arrest this month on felony assault by strangulation and other charges.

Smith, 46, had been scheduled to appear in district court on Tuesday, but his hearing was continued, Jessica Davis, public information officer in the trial court administrator's office in Mecklenburg County, wrote in an email to Automotive News.

He was scheduled to appear on Oct. 20, but that hearing also was delayed.

Smith, CEO of Sonic since September 2018 and a son of Sonic co-founder Bruton Smith, was arrested Oct. 5 and spent a night in the Mecklenburg County Jail before he was released on $30,000 bail.

He faces charges of assault by strangulation, false imprisonment, assault on a female and interfering with emergency communication related to an alleged incident with a 22-year-old woman.

Mercedes-Benz will increase its stake in Aston Martin to up to 20 percent from 2.6 percent as part of an expanded technology partnership between the automakers.

Aston Martin will get access to advanced Mercedes technologies, including next-generation hybrid and electric powertrains, Mercedes said in a statement on Tuesday.

Mercedes will receive new shares in Aston Martin as part of the partnership. Mercedes said it will not increase its holding in Aston Martin beyond 20 percent.

"We already have a successful technology partnership in place with Aston Martin that has benefited both companies. With this new expanded partnership we will be able to provide Aston Martin with access to new cutting-edge technologies and components," Mercedes' product strategy chief, Wolf-Dieter Kurz, said in the statement.

By expanding a tie-up with Mercedes that started in 2013, Aston Martin will spare its already stretched balance sheet from spending on a costly shift …

Let's face it: Toyota's product cycles can be loooooonnnnnnggggg — among the lengthiest in the industry — and as woven into the automaker's culture as is the Toyota Production System and the notion of Genchi Genbutsu (go see for yourself).

As a company, Toyota prefers the strategy of continuous improvement in its products, making small changes as necessary as a vehicle ages between generations but saving big changes for the next redesign.

If nothing else, it's a profit-rich strategy that maximizes the return on almost every investment, so long as customers keep buying. But it has a side effect: When a long-in-the-tooth Toyota does finally get that overdue redesign, the results can be, well ... jarring.

Case in point: The 2021 Toyota Sienna minivan, which is so much better in almost every respect from the 2020 Sienna that dealers would be wise to clear out their entire remaining inventory before parking the new ones where customers …

Volkswagen of America has hired former American Honda executive Ray Mikiciuk as its new senior vice president of sales.

In the role, Mikiciuk will lead the German brand's sales delivery, operations and planning in the U.S. and will report to Duncan Movassaghi, executive vice president of sales and marketing for Volkswagen of America.

Mikiciuk spent 30 years with American Honda before departing last year as vice president of sales operations. He has since worked as director of manufacturer and industry relations for Victory Automotive Group, where he managed factory relations for the group's 43 dealerships.

Mikiciuk is a graduate of Michigan State University.

WASHINGTON/SEOUL --The U.S. International Trade Commission on Monday delayed a decision in a trade secrets case involving South Korean battery makers LG Chem and SK Innovation to Dec. 10.

LG Chem, an EV battery supplier for Tesla Inc. and General Motors, filed its trade complaints against SK Innovation in April 2019 in the United States over alleged trade secret theft, seeking to block SK from producing battery cells in the United States and importing the components necessary to make the cells.

An adverse ruling by the ITC could lead to the import ban of SK Innovation's batteries and necessary components, potentially causing setbacks for Volkswagen Group and Ford Motor Co. as they move to build new electric vehicles. The automakers have said the dispute between the South Korean battery makers could disrupt supplies of the key EV parts and cost U.S. jobs during the COVID-19 pandemic.

"It is clear that this delay has resulted in a longer litigation process…

The Nissan brand scored at the top among non-luxury brands in the 2020 Automotive Reputation Report.

Subaru, Toyota, Ford and Mini rounded out the top five for 2020, the second year for the report.

Reputation.com ranks 18,000 automotive brands and dealerships in the U.S. on a scale of 0 to 1,000 based on visibility, sentiment and engagement.

The scores are measured using online data reviews, listings, search results, social media and customer engagement on Google, Facebook, Cars.com and Edmunds.

The Nissan brand finished with a reputation score of 681 compared with 672 in 2019.

Mazda took the last-place spot, with 25 fewer points than last year at 548, replacing Mitsubishi on the bottom of the non-luxury list.

Lexus was the highest-ranking luxury brand in the U.S. with a 673 score, up one point from 2019.

Tesla ranked in the bottom three with the lowest rate for responding to negative reviews and the lowest engagement scores.…

Tesla Inc. expects capital spending on new plants and equipment to reach the high end of a range from $2.5 billion to $3.5 billion in 2020, according to a regulatory filing.

The Palo Alto, Calif.-based maker of electric vehicles also projects that spending could almost double in each of the next two years, rising to a range of $4.5 billion to $6 billion, it said in the quarterly filing disclosed Monday.

Tesla currently has an auto assembly plant in Fremont, Calif., and a newer factory in Shanghai, China. The company has begun construction on new vehicle-assembly facilities in Berlin and Austin, Texas, with plans to begin delivering vehicles from both locations next year.

Tesla shares have risen more than 400 percent this year. The company's shares closed Monday's trading down 35 cents to $420.28.