Audi to cut 9,500 German jobs in switch to electrification

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Audi to cut 9,500 German jobs in switch to electrification

Nov 26. 2019
Audi plans to eliminate roughly 15% of its German workforce to lift earnings by $6.6 billion (6 billion euros).

Audi plans to eliminate roughly 15% of its German workforce to lift earnings by $6.6 billion (6 billion euros).
By Syndication Washington Post, Bloomberg · Christoph Rauwald

569 Viewed

Audi plans to eliminate roughly 15% of its German workforce to lift earnings by $6.6 billion (6 billion euros) as Volkswagen’s largest profit maker pushes ahead with a restructuring plan to help adapt to the costly transition to electric cars.

The turnaround is aimed at regaining ground lost to luxury-car leaders Mercedes-Benz and BMW and counter pressure from Tesla. Volkswagen has been scrambling to revive Audi’s fortunes after turmoil sparked by the aftermath of the 2015 diesel-cheating scandal.

By 2025, Audi plans to cut as many as 9,500 jobs in Germany and streamline operations at its two main factories in its home country. The positions will be reduced through attrition and voluntary measures including early retirement, Audi said in a statement Tuesday after reaching an agreement with employee representatives.

The approximately 50,000 remaining Audi employees in Germany will have job guarantees through 2029, and Audi will create 2,000 new jobs to strengthen its engineering muscle for electric cars and digital offerings.

“We are now tackling structural issues in order to prepare Audi for the challenges ahead,” Audi Chief Executive Officer Bram Schot said in the statement. “In times of upheaval, we are making Audi more agile and more efficient.”

Talks with labor unions on the job cuts had dragged on for months, and Volkswagen appointed former BMW executive Markus Duesmann, 50, as the brand’s new chief starting in April to advance the process. He will replace Schot, who succeeded Rupert Stadler after his arrest in connection with the diesel crisis.

“VW group has embarked on a potentially significant reorganization of its activities,” Timm Schulze-Melander, Redburn industry specialist, said in a note. “Things may not move in a straight-line, but progress is expected by investors given the significant challenges in 2021 in Europe.”

Complying with tighter European emissions rules requires significant investment, while trade wars and uncertainty related to Brexit fallout adds to the complexity of managing the disruptive technology shift.

Audi has been wrestling with stricter emission-test procedures that took effect in Europe last year and led to significant production bottlenecks that bogged down deliveries.

The world’s third-largest luxury-car brand has been pushing for a fresh start with a review of its product range, which led to the decision to halt the TT coupe. The former design icon will be replaced with a battery-powered model.

To revive momentum, Audi will launch five fully-electric and seven plug-in hybrid models within two years and broaden the lineup to more than 30 electrified cars by 2025. But the transition will be costly after higher spending on electric models like the E-Tron contributed to returns last year dropping to 6% from 7.8%.

Audi produces the E-Tron at its factory in Brussels. It will add electric-car production at its two main German factories in Ingolstadt and Neckarsulm as well as part of the labor pact to ensure sufficient output.

Audi targets slightly higher deliveries and revenue this year, and an operating profit margin between 7% and 8.5%. The cost-cuts are aimed it lifting margins back to a range of 9% to 11%. Audi didn’t specify whether it can reach the goal next year as planned.

[ASEAN-Korea summit] Hyundai Motor clinches $1.5b deal with Indonesia to build automotive plant

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[ASEAN-Korea summit] Hyundai Motor clinches $1.5b deal with Indonesia to build automotive plant

Nov 26. 2019
President of Indonesia Joko Widodo (center right) and Executive Vice Chairman of Hyundai Motor Group Chung Euisun (center left) chat in front of Kona Electric after leaving a signature on the car, prior to the investment clinch ceremony which took place at the automaker’s plant in Ulsan, Tuesday. (Hyundai Motor Group)

President of Indonesia Joko Widodo (center right) and Executive Vice Chairman of Hyundai Motor Group Chung Euisun (center left) chat in front of Kona Electric after leaving a signature on the car, prior to the investment clinch ceremony which took place at the automaker’s plant in Ulsan, Tuesday. (Hyundai Motor Group)
By By Kim Da-sol
The Korea Herald

511 Viewed

Hyundai Motor Group on Tuesday clinched a $1.5 billion investment deal with the Indonesian government to construct an automotive plant in Delta Mas in Bekasi, Indonesia, which will be the automaker’s first finished car production facility in the Southeast Asian region.

The investment clinching ceremony was attended by President of Indonesia Joko Widodo, Coordinating Minister for Maritime Affairs and Investment of Indonesia Luhut Binsar Pandjaitan, Coordinating Minister for Economic Affairs of Indonesia Airlangga Hartarto, Chairman of Indonesian Investment Coordinating Board Bahlil Lahadalia, Executive Vice Chairman of Hyundai Motor Group Chung Euisun and President and CEO of Hyundai Motor Company Lee Won-hee. The ceremony took place at Hyundai Motor’s automotive plant in southeastern city of Ulsan.

“Establishing Hyundai Motor’s local factory in Indonesia is an achievement based on the Indonesia government’s active cooperation and support,” said Executive Vice Chairman Chung during the ceremony.

He added that the automaker will continue to contribute to the growth of the ASEAN region and meet the Indonesian government’s eco-friendly car policy.

The investment comes three years after the automaker launched a business unit in charge of entry to the Southeast Asian market in 2017.

Located 40 kilometers from the Indonesian capital, Hyundai Motor’s finished car factory will be built over 776,000 square meters by 2021.

Up to $1.55 billion will be injected by 2030 to expand the facility to hold up to 250,000 cars from the currently planned 150,000 vehicles.

The automaker said the manufactured vehicles at its Indonesian plant will be exported to other Southeast Asian countries including the Philippines, Thailand and Vietnam, while exports to Australia and Middle East are also under review.

Separate from finished cars, exports of auto parts for complete knock down, to be assembled at the final destination, are also among the plans, the automaker said.

The latest deal hints at the automaker’s official entry to Southeast Asia’s largest market for vehicles, also aiming to make use of export benefits in the country, such as in-state tax exemptions.

Market data shows that 1.15 million vehicles were sold in Indonesia last year, in a country where some 270 million population reside, posting an average 5 percent economic growth annually.

In major Southeast Asian countries including Indonesia, Thailand, Malaysia, the Philippines, Vietnam and Singapore, up to 4.49 million vehicles are expected to be on roads by 2026, from the current 3.17 million units as of 2017.

Strategically targeting Indonesia, the automaker said it plans to newly develop small-sized sport utility vehicles and compact multipurpose vehicles, while the production for electric vehicles is one of the possible scenarios.

For stable operation at the new Indonesia factory, Hyundai Motor said it will conduct a differentiated strategy and system from product development and production to sales, by focusing on customer-centered strategy.

The automaker said it will adopt a built-to-order system, offering customers more options and reducing the company’s stock management cost.

Amid the rapidly growing e-commerce environment for consumers, the automaker said it will also introduce an omnichannel retail platform for purchasing a car by collaborating with industry-leading e-commerce companies.

Its localization strategy will include developing innovative information technology functions including a voice command system and vehicle control unit technology, targeting young population in the local market.

Hyundai Motor also plans to secure some 100 nationwide dealership networks by the end of 2021, considering customer accessibility and demand per regions.

The automaker said it will also push for collaboration between auto parts makers in South Korea and Indonesia to bolster Indonesian auto parts companies’ technology development.

By Kim Da-sol (ddd@heraldcorp.com)

Ford to unveil Ranger and Everest variants at Motor Show

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Ford to unveil Ranger and Everest variants at Motor Show

Nov 21. 2019
Ford Ranger FX4

Ford Ranger FX4
By THE NATION

759 Viewed

Ford will unveil special edition Ranger and Everest variants at the upcoming Thailand International Motor Expo 2019 being held from November 29 to December 10 at Impact Challenger, Muang Thong Thani.

Ford will showcase the full lineup of its segment-defining and “Built Ford Tough” Ranger pickup truck, including the new Ranger FX4 that features an enhanced exterior design, an exclusive new mesh grille, 18-inch black alloy wheels, a black sports bar and FX4 decals, and is equipped with the 2.2L Duratorq diesel engine.

Also on display will be the full range of Everest, including the new Everest Sport, which boasts a new urban design and renowned driver assistance features.

The iconic Mustang sports coupe will also be on display. Named as one of the most technologically advanced sport cars, the new Mustang is loaded with advanced driver assistance technologies, and two world-class performance engines – the 5.0L V8 engine and the 2.3L EcoBoost engine – that deliver power and sharp driving dynamics.

Ford Everest Sport

Ford Everest Sport

How many seats you need? Mazda SUV offers choices

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How many seats you need? Mazda SUV offers choices

Nov 13. 2019
The CX-8 Premium Crossover SUV offers three-row six- and seven-seat options

The CX-8 Premium Crossover SUV offers three-row six- and seven-seat options
By THE NATION

476 Viewed

Mazda Sales (Thailand) Co Ltd and Mazda Motor Corp have unveiled the CX-8 Premium Crossover SUV offering three-row six- and seven-seat options.

The CX-8 boasts outstanding luxury and elegance while answering the requirements of every occupant with the “Precious Moment for All” concept.

It also features a choice between two engines – the 2.2-litre Skyactiv-D Clean Diesel and 2.5-litre Skyactiv-G petrol engines.

Added customer benefits include a five-year warranty and free maintenance.

The price starts at Bt1.599 million.

Mazda has set a sales target of 6,000 units.

MG banks on unique features of Extender for share in Thai pick-up market

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MG banks on unique features of Extender for share in Thai pick-up market

Nov 11. 2019
By Kingsley Wijayasinha
Special to The Nation

1,099 Viewed

With Thailand being the world’s largest 1-tonne pickup truck market, dominated by Japanese and American players, it comes as a surprise that MG has entered the highly-contested market with its Extender pickup.

Amid constant supplies of high-quality pickups to the domestic and export markets by major producers such as Toyota, Isuzu, Mitsubishi, Nissan, Ford and Chevrolet, one wonders what MG has up its sleeves with the new pickup.

Question is how would it fight the big players with extensive R&D as well as strong marketing drives here?

MG, which is owned by SAIC (Shanghai Automotive Industry Corporation) of China, has design and technical centres in Birmingham, England, but enjoys tremendous support from SAIC in the form of global sourcing, components supply chain and quality control management. While MG was well-known for making small sports cars and convertibles in the past, today its product lineup covers mass-market segments such as passenger car and SUV, with China being the largest market.

MG entered Thailand in 2013, joining hands with the Charoen Phokphand (CP) Group, and has been building assembly plants in Chon Buri for both domestic and Asean markets.

The Extender, based on the Maxus T60 made by SAIC Motors, was launched in the Thai market in August, instantly opening up a new market for MG, which previously offered only passenger cars and SUVs here. The Extender comes with only nine variants in luxury space cab and double cab bodies, while the commercial single-cab style has been omitted, pointing out what type of customers it is targeted at.

Unlike previous MG models that came with low price strategy, the Extender’s pricing seems pretty usual, ranging from Bt549,000 for the entry 2.0 Giant Cab model with manual transmission to Bt1.029 million for the top 2.0 Double Cab 4×4 model.

Still, MG is confident that the Extender can help it expand customer base in Thailand due to a good number of attractions.

Firstly, the attractive front-end design and large dimensions would surely appeal to Thai buyers. The radiator grille and projector headlights look luxurious, similar to something you’d expect from an SUV rather than pickup truck, and you can clearly see that it’s pretty big in size too.

The Extender measures 5,365mm in length, 1,900 in width and 1,850mm in height (for the 4×4 model), while the wheelbase is 3,155mm long. Apart from the strong road presence, this enables the Extender to come with lots of interior space as well as loading space when compared with trucks with smaller dimensions.

Get inside and it is also easy to notice the spaciousness both front and rear (even six-footers enjoy plenty of legroom). There are some soft-touch leather in the cabin that give it a luxurious feel, although most of the console and door panel still feel plasticky.

Both front seats are electrically-powered, and the rear seat backrests can be folded to increase carrying capacity in the double cab model. There are air vents at the rear too.

The console design looks good and has a large 10-inch color touchscreen display in the center with i-SMART connectivity system, supporting Thai voice command for all sorts of functions including phone, air-conditioner, power windows and even search for nearby attractions. There is navigation system with real-time traffic info. The system also has music streaming and news updates, and allows owners to check vehicle status and service logs via a diagnostic panel.

The Extender is powered by a 2.0-litre direct-injection turbo diesel engine that produces 161 horsepower and 375Nm of torque, which is just mediocre compared to the competition. The top model is fitted with a 6-speed automatic that’s a little jumpy in first gear, but performs smoothly in general.

While market leaders have reached the 500Nm level for torque output, the Extender’s 375Nm might just be enough for normal driving. With its 2,050kg weight, overtaking performance might not impress, and you’d probably wish for more torque.

MG claims an average fuel economy of 12.7km/litre which is pretty average while average CO2 is claimed at 207g/km.

The 4WD system is electronic and simple to use, offering the standard 2H, 4H and 4L options.

What you will like about the engine, meanwhile, is the smoothness, which is also reflected in the suspension setup. There are double wishbones up front and despite the rear leaf springs, the Extender offers a highly comfortable ride with no bumpiness to be found during our drive in Northeastern Thailand last week.

Cracks, bumps and potholes on the road were ironed out effectively, while noise insulation has been carried out well too, resulting in a pretty quiet and peaceful cabin (at least up to 120km/h).

The Extender comes with all the safety features you’d expect from a top brand, such as six airbags, disc brakes all-round, electronic stability control, traction control, tire pressure monitoring, hill start assist, hill descent control, blind spot detection and lane departure warning. The parking camera has bird’s eye view function, but not with the best resolution though.

MG says that it’s cheap to maintain the Extender, with no more than Bt20,000 cost per 100,000km of driving.

The Extender might not be a superior truck compared to other brands in the market. But it does come with some good points that can help MG find customers who are looking for a pickup with elegant design, spacious interior as well as the latest multimedia connectivity.

 

MG Extender Double Cab 2.0 Grand 4WD X 6AT

Engine: 4-cylinder DOHC 16-valve turbo intercooler

Displacement: 1,996cc

Bore and stroke: 83.0×92.0mm

Compression ratio: 15.9:1

Max power: 161ps/4,000rpm

Max torque: 375Nm/1,500-2,400rpm

Transmission: 6-speed automatic

Average fuel economy: 12.7km/liter

Average CO2: 207/g/km

Suspension (f/r): double wishbone/leaf spring

Steering: powered rack-and-pinion

Turning circle: 12.5 meters

Brakes (f/r): vented disc/disc

Dimensions (mm)

Length: 5,365

Width: 1,900

Height: 1,850

Wheelbase: 3,155

Track (f/r): 1,580/1,580

Ground clearance: 183

Weight: 2,050kgs

Wheels: 18-in alloy

Tires: 255/60 R18

Fuel tank capacity 73 liters

Price: Bt1,029,000

Distributor: MG Sales (Thailand) Co Ltd

Federal safety officials probe alleged Tesla battery defects

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Federal safety officials probe alleged Tesla battery defects

Nov 02. 2019
By The Washington Post · Faiz Siddiqui, Ian Duncan · NATIONAL, BUSINESS, TECHNOLOGY, COURTSLAW113 Viewed
Federal safety officials are opening an inquiry into alleged battery defects with Tesla sedans and SUVs, the latest in a string of safety concerns faced by the electric vehicle manufacturer.

According to a letter last week, the National Highway Traffic Safety Administration is evaluating a petition to investigate potential defects in Tesla batteries, particularly those for Model S and X vehicles produced for model years 2012 through 2019.

An attorney filing a class-action lawsuit on behalf of Tesla owners brought the petition to the agency’s Office of Defects Investigation, citing an “alarming number of car fires” that appeared to be spontaneous.

NHTSA asked Tesla to provide documents including consumer complaints, reports relating to the alleged battery fires and an accounting of software updates and certain failures related to battery cells by Nov. 28. Failure to comply would result in fines of up to $111,642,265, according to the agency’s letter, dated Oct. 24.

NHTSA has previously issued Tesla and its chief executive, Elon Musk, a cease-and-desist letter regarding “misleading statements” on the safety of Tesla’s Model 3 sedan, which the company claimed had the lowest injury-probability of any vehicle tested. Former safety officials and regulators also have accused Tesla of overstating the capability of its Autopilot advanced driver-assistance system, which has been active in multiple fatal crashes.

NHTSA acknowledged receiving the petition on Tesla’s battery management software and said it will review the complaint and any data associated with it. The agency said it is conducting a technical analysis of the claim and will post a final decision on whether to hold a hearing after that evaluation.

If NHTSA grants the petition, a hearing to evaluate any defects would enable safety officials to decide whether to take corrective action, such as issuing a recall or levying fines or other penalties, according to the agency.

In a separate Oct. 1 notice that it had opened a file, NHTSA estimated that about 2,000 vehicles could be affected.

Car and Driver magazine first reported NHTSA’s request for information and the scope of the investigation.

Tesla did not immediately respond to a request for comment. Tesla’s Model 3 was not included in the request for information.

Attorney Edward Chen, the petitioner, has separately filed a class-action lawsuit in U.S. District Court for the Northern District of California on alleged battery fires, according to the NHTSA letter.

Tesla vehicles have been blamed in multiple fires that happened without a prior collision, such as a Tesla Model S that appeared to burst into flames while driving in traffic in Los Angeles. A parked Tesla Model S also spontaneously caught fire in Hong Kong, according to media reports earlier this year.

A Tesla spokesman called the incident in Los Angeles an “extraordinarily unusual occurrence.”

Jason Levine, the executive director of the Center for Auto Safety, a consumer group, said the regulator appeared to be moving relatively quickly, sending its request just a few weeks after receiving the initial petition. That may not mean officials will open an investigation, but “it does indicate that they are taking it pretty seriously,” he said.

Levine said the pace of the review will be determined in large part by how quickly Tesla responds.

Defect petitions are relatively rare. The agency listed just five open petitions in September. They can also drag on: Levine said one of the open cases dates to 2013.

Separate from the defect petition, NHTSA has received more than two dozen formal complaints about Tesla battery issues reducing cars’ range, the agency’s records show.

“This is cheating,” reads one complaint about a 2014 Model S. “Tesla remotely lowered my battery range without my approval.”

Ford vehicles compatible with B20 biodiesel, automaker confirms

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Ford vehicles compatible with B20 biodiesel, automaker confirms

Nov 01. 2019
By THE NATION

64 Viewed

Ford Thailand has confirmed that its 2.0L Turbo and 2.0L Bi-Turbo diesel engines are fully compatible with the quality and standard of B20 biodiesel fuel being promoted by the Thailand Department of Energy Business.

Ford vehicles in Thailand equipped with the 2.0L Turbo and 2.0L Bi-Turbo engine include the Ford Ranger pickup truck, Ford Ranger Raptor performance pickup truck, and Ford Everest mid-size SUV.

The use of B20 diesel will also not affect car maintenance schedules and will not affect insurance policies or coverage. However, B20 diesel users must use only the oil certified by the Department of Energy Business under the Ministry of Energy.

Ford received an ECO sticker from the Thai Industrial Standards Institute (TISI) after completing studies and tests to guarantee that its 2.0L engines, both Turbo and Bi-Turbo, were B20 diesel compatible.

“Following extensive engineering checks and testing, we’ve confirmed that both our single and bi-turbo 2.0L engines are fully compatible with B20 biodiesel,” said Wichit Wongwattanakarn, managing director, Ford Thailand. “Ford supports the government’s policy and efforts to identify actions that will help reduce pollution concerns and effects on the environment.”

Honda showcases new ‘Fit’ in Tokyo

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Honda showcases new ‘Fit’ in Tokyo

Oct 23. 2019
By THE NATION

745 Viewed

Honda debuted its fourth generation “Fit” hybrid model at the Tokyo Motor Show on Tuesday (October 22), showing a design that is “small-on-the-outside, big-on-the-inside car”.

The new “Fit” is available in both petrol and hybrid powertrain, with the latter equipped with a new two-motor system called e:HEV, boasting electric-only driving for everyday usage.

The first “Fit” model was launched in 2001 and was marketed in Thailand and several overseas markets as “Jazz”. It has accumulated sales of over 7.1 million units.

There is no confirmation of the launch date for the new (Fit/Jazz) in Thailand.

Honda Thailand has selected “City” model for the eco-friendly market. A source said it may use the hybrid version of Jazz to spearhead the hybrid market in the future.

Mazda unveils ‘relaxing, creative’ MX-30 in Tokyo

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Mazda unveils ‘relaxing, creative’ MX-30 in Tokyo

Oct 23. 2019
By THE NATION

840 Viewed

Mazda Motor Corp on Wednesday (October 23) unveiled its first mass-production electric vehicle, the MX-30, at the Tokyo Motor Show.

The automaker’s third new-generation model is touted as offering “an experience that lets customers relax and be themselves and deepens the bond between car and owner”.

Under the “Car as Art” ethos, the styling aims to raise the vehicle’s artistic value and expand the expressive range of Mazda’s “Kodo, Soul of Motion” design language.

Spaces in and around the centre console give the cabin an open feel, and environmentally conscious materials such as cork and fabrics made from recycled materials are used in ways that bring out their natural appeal, creating a comfortable interior space.

The MX-30 has freestyle, centre-opening double doors so customers can invent new and creative ways of using it.

The model new electric-drive technology, e–Skyactiv, combines outstanding response with smooth dynamic behaviour.

“Mazda wants people to experience exuberant moments in life through cars,” said Akira Marumoto, representative director, president and CEO. “We will continue striving to deliver creative products and technologies so our customers will love and hold onto their Mazda for a long time.”

The Tokyo Motor Show is open to the general public from Friday through November 4.

Egat driving project to convert conventional cars to electric ones

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Egat driving project to convert conventional cars to electric ones

Oct 15. 2019
By The Nation

1,061 Viewed

The Electricity Generating Authority of Thailand (Egat) is studying how to develop a low-cost electric car battery to make it much more affordable for car owners who want to convert their vehicles to electric ones, said assistant governor for Research, Innovation and Business Development Jiraporn Sirikum.

The move is part of the state agency’s EV Kit & Blueprint Project in cooperation with the National Electronics and Computer Technology Centre and the National Science and Technology Development Agency.

The project aims to enable Thais to convert their old cars into electric vehicles at a cost not exceeding Bt200,000 (excluding the price of the battery).

The project has three phases.

The first phase (2010-2016) has been completed, with the conversion of some Honda Jazz and Toyota Vios models into electric cars.

The second phase, with a budget of Bt60 million, began in 2017 and will be completed next year.

The third phase is set to begin next year.

After this last phase is completed, the project will come out with a blueprint, which will be the standard for conversion of conventional cars into electric vehicles. It will subsequently seek out qualified car repair garages and provide knowledge to them in installing the EV kits.