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Jaguar Land Rover will slash its manufacturing capacity by 25 percent over five years and write off investment in products it’s decided to scrap under new CEO Thierry Bollore.

The British carmaker will take a non-cash charge of about 1 billion pounds ($1.4 billion) in the quarter ending in March related to higher previous spending and projects it won’t complete, according to an investor presentation. The company said last week it was calling off plans to build a battery-powered replacement of the Jaguar XJ sedan.

The Tata Motors Ltd.-owned manufacturer’s new business plan under Bollore, 57, includes making the Jaguar marque all-electric within four years while giving the Land Rover SUV brand more time to make the jump. On Friday, the carmaker said it has lowered its breakeven point to about 400,000 vehicles a year, from 600,000.

JLR’s pivot away from the internal combustion engine is the latest seismic shift in the auto industry driven by stricter emissi…

Jaguar Land Rover will look outside the company to find a platform for new full-electric Jaguar models, CEO Thierry Bollore said.

The UK automaker plans to make its Jaguar brand all-electric starting in 2025, dropping combustion engines as the marque’s sedans and crossovers reach the end of their life cycles. Land Rover will get its first battery-powered vehicle in 2024 but will not be electric-only in the new future.

The plan includes giving Jaguar its own standalone electric platform, which would be expensive to produce in-house for a brand that is expected to remain low-volume, below even the 103,000 vehicles it sold worldwide last year. 

Bollore said the automaker has started the process to find a company willing to partner with Jaguar on the architecture. “Naturally there is massive appetite to work with us,” he told financial analysts during an investor day on Friday.

The decision to work with a partner “was a matter of scale and speed …

Join Automotive News Publisher Jason Stein for a daily podcast series about the coronavirus crisis. He’ll speak with industry experts, insiders and Automotive News reporters about how the virus is impacting and reshaping the automotive industry.

He didn't plan on becoming a car dealer, but his stores helped build AutoNation. Maroone USA CEO Mike Maroone reflects on the legacy of his father, who died last week at the age of 98.

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FRANKFURT -- Volkswagen Group said it expects revenues and deliveries to rebound strongly in the current year, shrugging off the impact of the coronavirus pandemic.

The automaker also said its operating profit, stripping out special items related to the diesel scandal, fell 45 percent to 10.6 billion euros ($12.9 billion) last year.

VW is projecting an operating margin of 5 percent to 6.5 percent for 2021 and aiming for the higher end of that range, according to a statement issued after the automaker's supervisory board meeting on Friday.

"We intend to carry over the strong momentum from the significantly better second half into the current year," CFO Frank Witter said in the statement. "The programs for reducing our fixed costs and in procurement will make us more robust in the long term," he said.

VW Group's vehicle deliveries fell 15 percent to 9.3 million last year.

The company cautioned that intense competition, volatile commodity…

SEOUL -- Hyundai Motor Co. has so far avoided a chip shortage that has plagued global automakers, largely maintaining its stockpile of chips last year and even accelerating purchases towards the end, three people with knowledge of the matter told Reuters.

The shortage has forced production cuts worldwide, including at Volkswagen Group and General Motors, prompting Germany and the U.S. to ramp up efforts to resolve the shortage.

Other than Japan's Toyota Motor Corp., which said this month it had enough chip inventory to last it about four months, Hyundai and its sister firm Kia Corp. are the only global automakers to have maintained a stockpile of low-tech chips that helped them keep up production.

If it doesn't ease soon, though, the shortage could hit Hyundai too, as tight capacity on factory floors starts pressuring production of even high-tech auto chips, said two of the people, who are familiar with the company's purchases.

The South Korean au…

Ford Motor Co.'s production in Europe will continue to be affected by the global semiconductor shortage until late in the second quarter, said the automaker's regional boss, Stuart Rowley.

The shortage will stop production at Ford's factory in Saarlouis, Germany, where it builds the Focus compact car, for five weeks Rowley told Automotive News Europe. "That is a huge impact on our operations," he said.

Ford's plant in Valencia, Spain, is the second worst hit, he said.

"We have taken significant downtime and lost production," Rowley said. He did not specify how much production has been lost.

Microchip shortages at Valencia affected production of the Kuga crossover, Mondeo midsize model and Galaxy minivan, he said.

Ford's factory in Cologne, Germany, home of the Fiesta small hatchback, was also impacted but to a "relatively minor" extent, Rowley said.

Ford has extended short-time work in the Cologne and Valencia plants, as well as in…

HONG KONG/BEIJING -- Huawei plans to make EVs under its own brand and could launch some models this year, four sources told Reuters, as the world's largest telecommunications equipment maker, battered by U.S. sanctions, explores a strategic shift.

Huawei Technologies Co. is in talks with state-owned Changan Automobile and other automakers to use their car plants to make EVs, two of the people familiar with the matter told Reuters.

Huawei is also in discussions with Beijing-backed BAIC Group's BluePark New Energy Technology to manufacture its EVs, said one of the two and a separate person with direct knowledge of the matter.

The plan heralds a potentially major shift in direction for Huawei after nearly two years of U.S. sanctions that have cut its access to key supply chains, forcing it to sell a part of its smartphone business to keep the brand alive.

Huawei's push into the EV market is currently separate from a joint smart vehicle company it co-…

Soh Weiming, one of Volkswagen Group’s most senior executives in China, is leaving the automaker after more than 15 years and considering an offer to become Renault’s China country head, according to people familiar with the matter.

Soh may join Renault as soon as next month, the people said, asking not to be identified because the discussions are private. A spokesperson for VW China confirmed Soh had left the company, declining to comment further, while Renault in China said it didn’t have any information at the current time. Soh declined to provide details on his future plans when contacted via WeChat.

Something of an iconic figure in China’s auto industry, Soh helped to establish VW’s Mobility Asia unit in 2018. A wholly owned subsidiary of VW, Mobility Asia is at the heart of the carmaker’s high-tech efforts in the region, driving research and development around autonomous driving, artificial intelligence and smart-car ecosystems.

Most recently, Soh …

Nissan Motor Co. said on Friday it has reached a breakthrough in achieving a 50 percent thermal efficiency with its in-development e-Power hybrid technology, which could lead to a further reduction of car CO2 emissions.

This new thermal efficiency level would improve fuel consumption by 25 percent over the 40 percent thermal efficiency level in the upcoming e-Power engine, the company said.

"Nissan's latest approach to engine development has raised the bar to world-leading levels, accelerating past the current auto industry average range of 40 percent thermal efficiency, making it possible to even further reduce vehicle CO2 emissions," the company said in a statement.

Nissan did not disclose when the e-Power technology with 50 percent thermal efficiency would be launched.

Toshihiro Hirai, senior vice president of the powertrain and EV engineering division at Nissan, told reporters on Friday that the automake…

Fisker Inc. is open to borrowing money rather than issuing equity to fund development of four future EVs by 2025, CEO Henrik Fisker said.

Speaking after the company’s first-ever earnings report, the entrepreneur and longtime auto designer said he’d rather take on debt and sell zero-emission vehicle credits to raise money. These credits could be available as soon as production of the Ocean electric SUV -- the company’s first model -- starts in the fourth quarter of next year, Fisker said. Potential buyers have reserved 12,467 Oceans so far.

Raising cash will be vital as the company prepares to roll out two vehicles in as many years. The Manhattan Beach, Calif.-based business has just under $1 billion in cash, and will spend about $450 million of it on capital expenditure this year, Fisker said in an interview.

“There are various ways to raise money besides equity,” he said. “We didn’t put electric-vehicle credits in the business model. Eventually that wil…

Nikola Corp. is dialing back projected output of its first commercial zero-emission vehicles and said an internal review of claims about its technology concluded the startup and its founder made several inaccurate statements -- marking a break with the company’s previous denials of misleading communications with the public.

The EV maker’s probe found nine statements made by the company and its founder and former chairman, Trevor Milton, were wholly or partially inaccurate, according to a regulatory filing made public Thursday.

Nikola commissioned the law firm Kirkland & Ellis to conduct the review after a short seller’s report in September accused the company and its founder of misleading investors. The startup had repeatedly denied the allegations against it and Milton, who stepped down shortly after short seller Hindenburg Research published the report and the company’s share price plummeted.

The accusations prompted inquiries by the U.S. Secu…