Trade News

Hon Hai Precision Industry Co., also known as Foxconn Technology Group, unveiled plans to expand its nascent automotive business as the Taiwanese electronics giant seeks to offset slowing growth in its core consumer electronics assembly business.

On Friday, it announced its first electric vehicle chassis as well as a software platform aimed at helping EV makers deliver models to the market faster. The company also outlined plans to release a solid-state battery by 2024 that could potentially displace the more commonly used lithium ion batteries in electric vehicles.

Chairman Young Liu, who took over from founder Terry Gou in July 2019, has turned to the emerging automotive, robotics and medical applications sectors to boost profitability amid plateauing growth in smartphone units in recent years. Apple Inc. still accounts for about 50 percent of overall sales of Hon Hai, but the company is seeking to diversify from its role as the assembler of consumer electron…

Daimler's earnings snapped back in the third quarter, with recovering car sales and cost cuts giving the Mercedes-Benz maker the confidence to predict its momentum will last through the end of the year.

Earnings before interest and taxes surged to 3.07 billion euros ($3.6 billion) for the three months ended in September, Daimler said late Thursday. The preliminary operating profit exceeds the company’s result a year ago and far surpasses the 1.61 billion-euro average estimate among analysts surveyed by Bloomberg.

“The third quarter shows a very strong performance and provides further proof that we are on the right path to reducing the break-even of our company,” CFO Harald Wilhelm said in a statement. “We expect positive momentum to continue in the fourth quarter.”

Daimler coped with the biggest disruption to the auto industry in decades better than feared, though it did suffer a 1.68 billion-euro ($1.97 billion) operating loss in the second quarter. Wil…

Before taking the helm of Reynolds and Reynolds Co., Bob Brockman was a self-taught computer programmer who started Reynolds' eventual acquiror, Universal Computer Systems Inc., from his Houston living room.

Brockman's initial product for UCS focused on tracking dealership parts inventory.

"I wrote the first parts inventory package in the evenings, and then went out and sold it," Brockman, 79, said in a biography on his personal website. "I actually sold in the daytime, programmed at night, and processed on the weekend."

Brockman, who has rarely granted interviews, on Thursday was indicted in U.S. District Court in San Francisco on 39 counts of tax fraud, money laundering, destruction of evidence and other financial charges. He pleaded not guilty by video conference from Houston.

The longtime software executive holds a bachelor's degree in business administration from the University of Florida and started in the industry as a Ford Motor Co. mark…

LOS ANGELES — Mitsubishi released the first full photos of the freshened Eclipse Cross that will be coming to the U.S. in the first quarter of next year as a 2022 model.

While the front end has been mildly updated, changes to the rear are the most notable. The brand removed the horizontal light bar that bisected the rear hatch glass. It impeded visibility and was considered an awkward design element.

"The front end adopts an evolved version of Mitsubishi's signature Dynamic Shield design concept, expressing strength and security," the company said. "The sleek silhouette continues to the rear with a redesigned hatch and rear window, giving a more sophisticated SUV styling and resulting in improved rear visibility."

Mitsubishi, which released images of the right-drive version of the Eclipse Cross on Thursday, showed a teaser photo in September that suggested the rear design would be cleaned up.

Changes to the interior in…

A pilot out of Tampa, Fla., is bringing three automakers together in a unique collaboration to test connected vehicles.

Honda R&D Americas, Hyundai America Technical Center Inc. and Toyota Motor North America will participate in a pilot program run by the Tampa Hillsborough Expressway Authority, the companies announced Thursday.

The authority has worked with the U.S. Department of Transportation since 2015 as a connected-vehicle pilot site. The authority has been conducting its tests in downtown Tampa by adding wireless technology to buses, streetcars and the vehicles of more than 1,000 volunteers. Now, working with automakers, it will deploy vehicles already equipped with connectivity features.

The automakers will interact with one another and existing connected-vehicle pilot participants in their deployment. Supplier Denso will provide the on-board units for all three companies and will develop a "common set of CV apps" for …

General Motors' Cruise unit will be allowed to test autonomous vehicles on public roads in San Francisco without a safety driver, joining Amazon.com Inc.-backed Zoox Inc. and a handful of other self-driving startups.

Cruise is permitted to operate five vehicles without a driver behind the wheel, a step up from approval it received five years ago that required the presence of a person to take control if needed, the California Department of Motor Vehicles said Thursday in a statement.

While some 60 companies have permission to conduct autonomous testing with a safety driver in California, Cruise becomes only the fifth allowed to test a truly driverless mode in the state. Others in that small group include Alphabet Inc. unit Waymo LLC, Nuro Inc., AutoX Technologies and Zoox -- which received its permit last month.

Cruise will be allowed to conduct both daytime and nighttime tests on certain public roads with speed limits no greater than 30 mph and only in f…

Many dealership service departments across the country were off to a good start in 2020, then the pandemic hit. Here's how they reacted, adjusted and climbed their way back to profitability. 

Speakers:

Becca Kroeger, Service Manager, Universal NissanFrancisco Mora, Service Manager, Esserman International VWDanielle Rodriguez, Service Manager, Audi NashuaMark Williamson, Service Director, Love ChevroletDan Shine, Editor, Fixed Ops Journal

This conversation was originally broadcast on October 15, 2020, as the second of five conversations in the Fixed Ops Journal Forum series. The series runs through November 5. Learn more and register for future broadcasts here.

China's used-vehicle sales continued to grow for the third-straight month, rising 12 percent in September to some 1.46 million on demand for trucks and sedans. 

Because of major national government investment in infrastructure projects initiated in the wake of the coronavirus outbreak, used-truck deliveries remained robust, jumping 30 percent to some 140,000 last month, the China Automobile Dealers Association said this week. 

Used-sedan sales advanced 17 percent to exceed 884,400 last month.

Secondhand bus deliveries rose 8 percent to roughly 128,800, while used minibus sales gained 1 percent to around 32,600.

But aggregate sales of used SUVs and crossovers turned south in September, dropping 5.2 percent to about 134,700. 

Demand for secondhand multipurpose vehicles remained weak, dipping 1.3 percent to approximately 83,000. 

Despite the three-monthlong rebound, annual used-vehicle sales in China are likely to …

Robert T. Brockman, head of the largest private dealership management system company in the U.S., was charged with using a web of Caribbean entities to evade taxes in what may be the largest prosecution of its kind in U.S. history.

Brockman, 79, is accused of using a family charitable trust based in Bermuda and other offshore entities to hide assets from the Internal Revenue Service while failing to pay taxes, according to an indictment unsealed Thursday in federal court in San Francisco. Brockman was also charged with money laundering and other crimes.

Brockman is CEO of Reynolds and Reynolds Co. of Dayton, Ohio, a DMS provider to dealerships and manufacturers in the U.S., Canada and Europe. Brockman was due to appear Thursday before a judge in U.S. District Court in San Francisco.

“Mr. Brockman has pled not guilty and we look forward to defending him against these charges," Kathryn Keneally, a lawyer for Brockman and a partner in the Jones Day law fir…

Henry Ford Museum gets new historic vehicle: A driverless Navya shuttle

Some say that autonomous vehicles are making history. For at least one AV, that's actually the case.

A Navya Autonom Shuttle, used by Mcity – the research partnership for connected and automated vehicles at the University of Michigan in Ann Arbor – is joining a collection of notable automobiles at the Henry Ford Museum in Dearborn, Mich.

The addition of the shuttle to the museum – chock-full of exhibits dedicated to iconic vehicles – represents an intersection of past and present that outlines the evolution vehicles have gone through over the last century.

The Autonom was used as part of a driverless shuttle project focused on user behavior on the Michigan campus.

"Sitting alongside early automotive examples like Ford's Quadricycle from 1896, presidential limousines and iconic Americana like a 1950s-era Oscar Mayer Wienermobile – the Shuttle will be right at home…

TOKYO -- U.S. auto sales may take three years to recover to pre-coronavirus pandemic levels even as sales continue to rebound from an April low, the CEO of Japanese automaker Subaru Corp. said Thursday.

"The feeling of Subaru America is that a return to the 17 million vehicle level could take two to three years," Tomomi Nakamura said during a press roundtable in Tokyo.

In 2019 light vehicle sales in the U.S. totaled 17.1 million, according to the Automotive News Data Center. The U.S. market accounts for around two-thirds of Subaru's sales.

The maker of the Outback and Forester sport-utility vehicle crossovers will see likely see U.S. sales of around 600,000 this year compared to a forecast of 700,000 made before the coronavirus outbreak, Nakamura said.

That figure may grow to around 660,000 next year, he added.

Automotive News contributed to this report.

Asbury Automotive Group said Wednesday it expects to report a rise in adjusted net income of more than 70 percent on a per-share basis for the third quarter. The increase comes in the wake of Asbury's August purchase of Park Place Dealerships, the largest acquisition in company history.

Asbury, the seventh-largest U.S. dealership group as ranked by new-car sales, said it anticipates adjusted net income per diluted share will be between $4.00 and $4.08 for the third quarter. That's an increase of up to 75 percent compared with actual results of $2.33 per share in the third quarter of 2019.

If Asbury retains the 19.3 million outstanding shares it reported having at end of the second quarter, the expected results would translate to adjusted net income of up to $78.7 million for the quarter. That compares with adjusted net income of $48.7 million in this year's second quarter and net income of $45 million in the third quarter of 2019, a period that had no reported…