Senator urges EPA watchdog to expand investigation into new fuel efficiency rules

U.S. Sen. Tom Carper sent a letter Monday asking EPA Inspector General Sean O'Donnell to expand the agency's investigation into the new fuel efficiency rules adopted under the Trump administration.

In late February, Carper asked the inspector general to open an investigation into "potentially unlawful efforts and procedural problems" related to the vehicle emissions rules, citing reports received by his office that EPA political officers were dodging certain rule-making and procedural requirements and appeared to be trying to conceal documents critical of the draft rules.

President Donald Trump's rollback of Obama-era vehicle emissions standards was completed March 31. The new rules require 1.5 percent annual increases in efficiency through 2026. The final rules take effect June 29.

In the letter Monday, the Delaware congressman and top Democrat on the Senate Environment and Public Works Committee said his office has obtained new documents revealing "sig…

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German auto lenders under scrutiny as crisis hits car values, report says

FRANKFURT -- Germany's car finance companies are facing increased scrutiny from the country's main financial watchdog as the coronavirus crisis reduces the value of the vehicles used as collateral for their loans.

Bafin has stepped up how frequently the country's car leasing and auto finance companies must report liquidity and capital metrics, according to people familiar with the matter.

Scrutiny of the lenders is now the closest since at least the financial crisis more than a decade ago, the people said, asking not to be identified discussing private information.

A Bafin spokesman declined to comment.

Lockdowns to combat the spread of the coronavirus have resulted in a collapse of car resale values and increased financial stress for many borrowers, a combination that could force increased provisions and writedowns at auto lenders. The companies generally are not subject to much scrutiny because their loans are usually backed by the cars that are…

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Ford briefly halts production at two plants after workers test positive

DETROIT — Ford Motor Co. has briefly halted production at two assembly plants in two consecutive days after workers tested positive for COVID-19. 

Employees at the automaker’s Dearborn Truck Plant in Michigan were sent home early Wednesday afternoon after a worker tested positive for the coronavirus, according to a spokeswoman, although the company hoped to restart production later Wednesday evening. Assembly lines at its Chicago Assembly Plant were briefly halted Tuesday afternoon and again overnight after two workers there were found to have the virus.

Ford again halted production at Chicago Assembly Wednesday afternoon following a supplier parts shortage, a spokeswoman said. The Wall Street Journal reported an issue at the nearby Lear Corp. seating plant. 

The incidents are the first known issues at Ford since the automaker restarted production at most of its North American assembly plants Monday.

The affected employees in Chicag…

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DAILY DRIVE PODCAST: May 20, 2020 | VW Group’s Nikolai Ardey: Putting innovation in the fast lane

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.

VW's executive director of innovation discusses how the company is fast-tracking the development of future products, moving forward with a venture capital fund to take stakes in startups, and using its Konnect innovation hub to collaborate with the Israeli mobility community.

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Zoox explores new opportunities amid pandemic

Since its founding six years ago, self-driving startup Zoox has devoted its efforts exclusively to creating a brand-new, bespoke people mover. But amid the current pandemic, the company has explored the possibility of using its prototypes for package deliveries.

"This gave us the opportunity to think about moving beyond people," CEO Aicha Evans said Tuesday. "In times of an emergency like this, we're helping the health sector, and cities and states, do essential services. We see this as an opportunity."

Whether the exploration remains a short-term anomaly or evolves into part of the company's overall strategy might hinge on the fate of Zoox itself.

Evans did not address reports of a prospective sale during an appearance Tuesday at the virtual EcoMotion mobility technology conference. But in recent weeks, multiple news outlets have reported the company has explored the possibility.

Given the capital-intensive challenge…

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Inside FCA Canada’s daily COVID-19 screening process

WINDSOR, Ont. -- Auto assembly is slowly coming back online in Canada. 

Fiat Chrysler Automobiles was the latest to fire up production lines as production resumed at its Windsor Assembly Plant in Windsor, Ont., where the automaker builds minivans.

All employees, from unionized hourly workers to office staff a few miles away at the company’s Canadian headquarters had to undergo a health screening before reporting to work.

Automotive News Canada was one of a handful of media that saw firsthand how employees are screened before entering the workplace — be it a factory or office space.

Six tents and six trailers have been deployed in parking lots east and west of the plant. Employees are first required to pass a daily online personal health questionnaire, delivered through an app on mobile phones.

They then slowly and methodically filed through a screening tent, following red dots spaced about six feet apart in the empl…

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F&I Providers Relief Fund celebrates raising half of $1M fundraising goal, but more funds are in demand from F&I managers in need

(Florida, May 2020--) The F&I Providers Relief Fund for F&I Managers raised more than $500,000 in only about a month – half of its $1 million fundraising goal – but the board is still looking for donors to meet the overwhelming need for financial assistance grants to F&I managers.

Only about three weeks after announcing a 7-member board of directors and $1 million fundraising goal, the F&I Providers Relief Fund for F&I Managers has raised $507,220 (as of May 19, 2020) from more than 40 F&I providers and industry leaders, and $444,500 has been awarded in financial assistance grants to F&I managers.

Despite the success in fundraising so far, grant requests keep pouring in, and the board is looking to raise more funds to keep up with demand.

Nearly 600 grant requests have been submitted since the charity launched in late April, and the board reviews requests daily to keep the award process moving quickly. Feedback from those not …

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AutoAlert and AutoFi collaborate to boost and simplify customer vehicle purchases online

SAN FRANCISCO, May 14, 2020 /PRNewswire/ -- Two powerhouse digital car sales platforms, AutoAlert and AutoFi, have teamed up to create an integrated software solution to provide dealerships with all the tools they need to streamline and complete customer vehicle sales online. The new remote selling solution launches in June to strengthen the capabilities of dealerships challenged by the unpredictable sales environment of the COVID-19 pandemic. 

AutoAlert's CXM (Customer Experience Management) has an AI engine that optimizes complex customer journey data from a myriad of sources to send over five million personalized key to key offers every month to qualified buyers from the dealership's database. CXM provides dealers with the opportunity to positively engage and communicate with their sales and service customers while creating the best customer experiences. The robust AutoFi e-commerce platform integrates with a dealer's existing systems through its API and allow…

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Using technology to promote sustainability, efficiency in public transit

Sustainability and boosting transportation efficiency are top priorities for Daniel Ramot.

Ramot is CEO of Via, a company that operates on-demand, app-based passenger shuttles in some cities and also provides a digital infrastructure for optimizing various types of transit services.

He says that despite the challenges the coronavirus pandemic presents for the auto industry and transportation in general, it brings opportunities for Via to further aid public transit providers.

"Longer term, public transport is facing, on the one side, the challenge that people may not want to take public transportation. They may be much more weary of boarding a vehicle that has other passengers on it; they may want to drive themselves," Ramot said Tuesday in a fireside chat during the virtual EcoMotion event. "There's definitely some headwinds around getting people back onto public transport."

COVID-19 highlights areas in which public …

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Volvo Cars CEO sees reason for early optimism

The signs of a recovery are small, but they're there.

Hakan Samuelsson, CEO of Volvo Cars, has watched information on sales trickle into his office on a daily basis and sees signals of a rebound.

So far, he says, the automaker's sales in China have risen 20 percent this month, compared with the same period last year. In the Southern U.S., he says, Volvo has sold more cars over the past 10 days than it did last year at that time.

"It's a very small period but still a sign of recovery," he said. "Hopefully, this will be history some months from now, and we will be back into business."

Samuelsson's remarks came Tuesday during a remote appearance at the EcoMotion mobility conference.

He said those were encouraging signs because the company's challenges are not related to supply-chain disruptions. "Our problem is our customers have to come back and buy cars," he said.

Whatever the economic and log…

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Santander agrees to $550M U.S. settlement over subprime auto loans

WASHINGTON -- Santander Consumer USA Holdings Inc. said on Tuesday it had agreed to make changes to its underwriting practices as part of a $550 million settlement with 33 states and the District of Columbia over subprime auto loans.

The states said Santander violated consumer protection laws by placing borrowers with subprime credit into auto loans it knew carried a high probability of default. Santander has agreed to pay $65 million for restitution for some customers and to waive deficiency balances on loans worth $478 million. It will also pay $7 million to the states to manage restitution claims.

Santander, the nation's largest subprime auto financing company and an arm of Spanish bank Banco Santander SA that went public in 2014, said it was pleased to resolve the investigation and "no additional charges will be taken in connection with the settlement."

"Santander profited by approving high-cost loans to disadvantaged auto buyers who were doomed from…

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Trump’s Ford visit set despite order prohibiting nonessential tours

DETROIT -- When Ford Motor Co. hosts President Donald Trump on Thursday for a tour of its Rawsonville components operation near Detroit, the automaker will be doing so in technical violation of an executive order from Gov. Gretchen Whitmer prohibiting "nonessential" plant tours. But her office signaled it would not stand in the way of the visit.

Whitmer's new coronavirus pandemic workplace regulations for businesses laid out in Executive Order No. 2020-91 states that "manufacturing facilities must ... suspend all non-essential in-person visits, including tours."

A spokesman for Whitmer confirmed Tuesday that this provision applies to Ford, which is hosting the presidential visit Thursday to show Trump its auto parts plant that was quickly converted to assembling ventilators in partnership with GE Healthcare.

But there's no indication Michigan's governor -- and potential running mate for presumptive Democratic nominee Joe Biden -- is going to prevent the …

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