|Day's Range||1.1500 - 1.2000|
Ford's U.S. marketing chief told the Detroit News the company has never seen those kinds of numbers. Furthermore, conquest buyers are heading to Ford dealerships a year before the first of the electric crossovers are due on the market; a dealer outside Phoenix said two-thirds of the 47 people who've made reservations with him are new to his dealership, some also new to electric cars. In an attempt to keep customers happy once the traditional car shopping experience begins, CarsDirect reports that Ford wants to forbid dealers from advertising the Mach-E below MSRP.
Sales of new cars in Russia fell 6.4% year-on-year in November to 156,848 units, after a 5.2% decline in the previous month, the Association of European Businesses (AEB) said on Thursday. "November sales confirmed the prevailing negative trend in the Russian car market this year," Joerg Schreiber, chairman of the AEB Automobile Manufacturers Committee, said in a statement. Schreiber said strong sales in the latter part of the previous year explained the decrease and meant a trend recovery is not expected in December sales.
The latest 13F reporting period has come and gone, and Insider Monkey is again at the forefront when it comes to making use of this gold mine of data. We at Insider Monkey have plowed through 752 13F filings that hedge funds and well-known value investors are required to file by the SEC. The 13F […]
United Auto Workers leaders from Fiat Chrysler Automobiles NV's U.S. plants on Wednesday recommended approval of a tentative labor agreement that would allow the Italian-American automaker to avoid a strike as it works to merge with France's Groupe PSA. Fiat Chrysler (FCA) and PSA, the maker of Peugeot and Citroen, in October announced a planned $50 billion merger to create the world's fourth-largest automaker. The tentative four-year agreement with FCA, reached last week, must now be ratified by the 47,200 UAW members at the company, with voting set to begin Friday.
Ford said it will use coffee chaff, which is the dried skin of the bean that comes off during the roasting process, to make some of its car parts.
(Bloomberg) -- It’s turning out to be one of the worst years ever for auto workers across the globe amid shrinking demand and a tectonic shift in vehicle technology, with Daimler AG and Audi announcing almost 20,000 job cuts in just the past week.All told, carmakers are eliminating more than 80,000 jobs during the coming years, according to data compiled by Bloomberg News. Although the cuts are concentrated in Germany, the U.S. and the U.K., faster-growing economies haven’t been immune and are seeing automakers scale back operations there.The German companies joined General Motors Co., Ford Motor Co. and Nissan Motor Co. in massive retrenchments put in motion over the past year. The industry is sputtering as trade tensions and tariffs raise costs and stifle investment, and as manufacturers reassess their workforce in an era of electrification, autonomous driving and ride-on-demand services.The global auto industry will produce 88.8 million cars and light trucks this year, an almost 6% drop from a year ago, according to researcher IHS Markit. German auto-industry lobby VDA on Wednesday predicted that the decline will continue next year, forecasting global deliveries of 78.9 million vehicles, the lowest level since 2015.The pace of job cuts in the home of Mercedes-Benz, Porsche and BMW is expected to be “more pronounced in 2020,” VDA President Bernhard Mattes said at a press conference in Berlin, adding that the technology shift alone could lead to the loss of 70,000 jobs over the next decade.“A fundamental structural change with enormously high investments at a time of deteriorating market dynamics -- the tension is being felt at many companies,” said Mattes.Cuts are also being carried out in China, which employs the largest number of people in the industry and has been mired in a sales slump. Electric-vehicle startup NIO Inc., which has lost billions of dollars and watched its New York-listed shares plummet, dismissed about 20% of its workforce by the end of September, shedding more than 2,000 jobs.“The persistent slowdown in global markets will continue to dent automakers’ margins and earnings, which have already been hurt by increased R&D spending for autonomous-driving technology,” said Gillian Davis, an analyst with Bloomberg Intelligence. “Many automakers are now focused on cost-saving plans to prevent margin erosion.”Being an early leader in electrification hasn’t spared Nissan, which has been in turmoil since the arrest of former Chairman Carlos Ghosn a year ago.With profits plumbing decade lows, the Japanese automaker is shedding 12,500 positions in the coming years, mostly at factories across the globe, to reduce costs as it rushes to refresh an aging model lineup. A redesigned version of the battery-powered Leaf, which debuted later than planned because of the loss of the company’s longtime leader, isn’t giving the company much of a boost this year.Factory-floor workers have been rising up against the retrenching. GM’s more than 46,000 U.S. hourly workers staged a 40-day-long strike this fall — the longest against the company in almost half a century — but managed to coax the company into keeping open only one of the four American factories it made plans to shutter a year ago.On Nov. 22, about 15,000 people marched in the streets to protest job cuts and factory closures in Stuttgart, the German city that’s home to the global headquarters of Daimler, Porsche and major parts supplier Robert Bosch GmbH.Protesters in the historic downtown square of Schlossplatz wore red scarfs, blew whistles and waved red flags in support of Germany’s powerful labor union IG Metall, which organized the demonstrations. Top union officials who represent workers at Mercedes-Benz, Audi and many parts makers claim the companies are using the shift toward EVs as an excuse to push through deeper cuts and boost profits.“We don’t let our jobs be taken away just because some managers haven’t done their homework,” Roman Zitzelsberger, the regional head of IG Metall in the state of Baden-Wuerttemberg and the worker representative on Daimler’s supervisory board, told the crowd.The job concerns proved to be justified. Audi announced a week later it will eliminate as many as 9,500 positions in Germany through 2025 as parent Volkswagen AG prepares for a costly transition to electric vehicles. Daimler announced plans to shed more than 10,000 worldwide.If it were a country, the auto industry would be the world’s sixth-largest economy, according to Fircroft, a technical job-placement firm. In Germany alone, when including local operations of foreign manufacturers, about 150,000 jobs might be at risk in coming years, according to estimates by the Center of Automotive Management, near Cologne.The clouds started to form for U.S. carmakers last year, when Ford revealed plans for a years-long, $11 billion restructuring. The company has made a series of piecemeal announcements since then, slashing roughly 10% of its global salaried ranks and shutting six plants: three in Russia and one apiece in the U.S., U.K. and France. Of roughly 17,000 jobs Ford is eliminating, 12,000 will be in Europe.The state of car-factory jobs in the U.S. is less clear, mainly thanks to the new contracts Detroit-area automakers have been negotiating for the next four years.The prospects looked somewhat bleak for the United Auto Workers union when talks began this summer. With vehicle demand slowing, production shifts were being pared back across the country — by Nissan at its truck-and-van plant in Mississippi, Fiat Chrysler Automobiles NV at its Jeep Cherokee SUV factory in Illinois and Honda at an Ohio plant that mostly makes Accord sedans. Workers fear plug-in cars, which have fewer parts and require less labor to build, will doom auto jobs.In the end, the UAW has announced commitments by GM, Ford and Fiat Chrysler to invest almost $23 billion in U.S. facilities over the course of the next four years, and to add or retain more than 25,000 jobs. While that sounds like a lot, it remains to be seen whether the spending will actually boost production. It costs the companies billions to convert or retool existing factories for them to make new cars and powertrains.The union also didn’t emerge without some bruising losses, with the most notably being its lost battle to save GM’s spacious car plant in Lordstown, Ohio. The factory, opened in 1966, became a political football when the company announced production of Chevrolet Cruze sedans would end in March. President Donald Trump told supporters a year and a half earlier not to sell their homes, assuring them his administration would bring jobs back. GM sold the complex to cash-strapped electric-truck startup Lordstown Motors Corp. last month.For Scott Brubaker, GM’s offloading of the Lordstown plant could be a one-way ticket out of the auto industry. The automaker transferred him to its Corvette sports-car plant in Bowling Green, Kentucky, which meant leaving an Ohio farm his family has owned for four generations.The idling of the factory left him with two options: live in his camper trailer in Bowling Green and commute home on weekends, or take a $75,000 severance check from GM and find a new job near Lordstown. He has an offer to work for a company clearing land for developers, but it pays $5 an hour less than GM, and he says it would cost him his pension. Lordstown Motors is still raising money for its electric trucks, and Brubaker has his doubts it will succeed.“I went to GM for good pay and benefits,” Brubaker said. “What we did in the plant we did successfully, and GM still pawned us off.”(Adds comments from German auto lobby beginning in fourth paragraph)\--With assistance from Kristie Pladson, Keith Naughton, Gabrielle Coppola, Craig Trudell, Cécile Daurat and Chris Reiter.To contact the reporters on this story: Christoph Rauwald in Frankfurt at firstname.lastname@example.org;David Welch in Southfield at email@example.com;Anurag Kotoky in New Delhi at firstname.lastname@example.orgTo contact the editors responsible for this story: Emma O'Brien at email@example.com, Reed Stevenson, Michael TigheFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Ford executive Marion Harris, until recently a vice president in the company’s Mobility Business Group, will speak at the Deutsche Bank 2019 AutoTech Conference in San Francisco, Calif., on Tuesday, Dec.
China wants one in four cars sold by 2025 to be electric cars and hybrid cars, up from an earlier target of 20%. Tesla stock edged up.
The Mustang Mach-E, unveiled publicly at the 2019 Los Angeles Auto Show, inaugurated Ford's electric car offensive. The company will keep the momentum going by releasing additional battery-powered models in the coming years, and one of its top engineers says it's only a matter of time before the regular, two-door Mustang joins the growing arsenal of zero-emissions models. Ford developed the platform that underpins the Mach-E specifically for electric vehicles.
Fiat (FCAU) commits an investment of $9 billion, boosting the $50-billion merger plans of Fiat and PSA to create the world's fourth largest automaker.
(Bloomberg Opinion) -- After a week in which Daimler AG and Volkswagen AG’s Audi announced thousands of job cuts, it’s easy to forget that the German car industry once seemed unassailable.The 2009 recession forced a massive downsizing of America’s auto giants. General Motors Co. and Chrysler filed for Chapter 11 bankruptcy protection; Ford Motor Co. escaped a similar fate only by cutting its workforce to the bone. By contrast, Volkswagen, BMW AG and Daimler’s Mercedes-Benz overcame the crisis with barely a scratch. Afterwards they took full advantage as wealthy Chinese splurged on luxury German vehicles. Germany’s carmakers and their suppliers went on a hiring spree at home and abroad.There were early signs of hubris: Volkswagen paid its chief executive officer 17.5 million euros ($19.3 million) in 2011. But Germany’s powerful trade unions made sure workers benefited too. In recent years production line staff at BMW and VW’s Porsche subsidiary took home almost 10,000 euros as an annual bonus. BMW spends an average of more than 100,000 euros per employee on salary, pension and social security costs, according to its annual report. Now that jobs boom has come to a screeching halt, and not before time. An industry facing unprecedented upheaval can’t afford such largess.The chief reason for the belt-tightening is, of course, the vast cost of moving beyond combustion engines. Volkswagen expects to spend an astonishing 60 billion euros on hybrid, electric and digital technology in the next five years. Doing this requires the hiring of even more people, but the products they’re developing aren’t always big money spinners yet.For a time, the industry will have to provide a full range of propulsion options. For their factories this means “peak complexity” — to borrow a phrase from Mercedes’s management. Eventually, however, many of these factory workers will become unnecessary because electric motors are much simpler to build than diesel and gasoline engines. Last week's job cuts won’t be the last.The German industry has been caught out too by an unexpected slowdown in demand. Continental AG, the supplier that’s cutting 20,000 jobs, expects production to stagnate over the next five years. Daimler said last month that sales haven’t matched its production capacity. Audi’s domestic plants are reportedly particularly under-utilized, not helped by the popularity of SUVs over sedans (the former tend to be built overseas).Volkswagen, BMW and Daimler will still generate about 24 billion euros of net profit this year, according to analysts polled by Bloomberg. But the era of 10% operating profit margins — long a benchmark for German luxury carmakers — is over. Mercedes thinks 4% is more realistic next year.The automakers therefore have to tackle their bloated fixed costs. In view of its spending commitments, Volkswagen was unwise to let its workforce swell to almost 700,000. That’s about 80% more than Japan’s Toyota Motor Corp., which builds a similar number of cars (though Volkswagen has a big truck unit too).Volkswagen’s labor expenses have crept higher as a percentage of sales since the last recession. Doubtless this reflects the influence of the German unions and hence it’ll be very difficult to rectify. Like their peers, German employees at the Volkswagen brand have job guarantees until 2029.Ultimately the German car jobs boom was a bet that demand would increase, combustion engines would have a long life and global trade would remain encumbered. Instead, the electric shift is happening faster than expected and Trump’s tariff crusades have turned the German industry’s global production presence into a liability.Cars are superfluous for many young people today, and if they do buy one it will soon have a simple electric motor, not a combustion engine made of hundreds of intricate components. The hiring practices of German carmakers look like a bubble that’s burst.To contact the author of this story: Chris Bryant at firstname.lastname@example.orgTo contact the editor responsible for this story: James Boxell at email@example.comThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Chris Bryant is a Bloomberg Opinion columnist covering industrial companies. He previously worked for the Financial Times.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.
Fiat Chrysler Automobiles and the United Auto Workers (UAW) union on Saturday announced a tentative agreement for a four-year labor contract, a boost for the automaker as it works to merge with France's Groupe PSA. Italian-American Fiat Chrysler and PSA, the maker of Peugeot and Citroen, last month announced a planned $50 billion merger to create the world's fourth-largest automaker. The tentative agreement with Fiat Chrysler, which is subject to ratification by the union members, follows contracts that the UAW already concluded with Ford Motor Co and General Motors Co.
The United Auto Workers and Fiat Chrysler reached a tentative agreement Saturday on a new four-year contract, which includes a total of $9 billion in investments but still needs final approval from workers.
Fiat Chrysler Automobiles NV and the United Auto Workers (UAW) union on Saturday announced a tentative agreement for a four-year labor contract, a boost for the automaker as it works to merge with France's Groupe PSA. Italian-American Fiat Chrysler and PSA, the maker of Peugeot and Citroen, last month announced a planned $50 billion merger to create the world's fourth-largest automaker. The tentative agreement with Fiat Chrysler, which is subject to ratification by the union members, follows contracts that the UAW already concluded with Ford Motor Co and General Motors Co.
While Tesla's (TSLA) Cybertruck is getting enough attention with more than 250,000 pre-orders till now, General Motors (GM) files a federal racketeering lawsuit against Fiat Chrysler.
Before I share with you 35 delicious red wines chosen because, whatever the price, I feel they represent good value, allow me a small whinge about the British wine retail scene. It’s very different in other countries, notably the US, where wine is bought in bricks-and-mortar stores that offer serried ranks of individual bottles of fine wines on their shelves. All too often, interesting wine seems to be corralled in the fine-wine trading marketplace rather than being offered to the regular wine drinker.
Tenneco (TEN) forecasts a decline in light-vehicle production and a slight deceleration in commercial vehicle markets, which are likely to negatively affect the upcoming results.
Orders for Tesla Inc's electric pickup Cybertruck are inching closer to the record set by the company's Model 3 sedans in 2016, with company head Elon Musk signalling 250,000 customers have now lined up to buy the new vehicle less than a week after its launch. The flood of reservations has been encouraged by Tesla's cut-price $100 deposit to place a booking and a steady drumbeat of promotion from the Silicon Valley billionaire to his millions of social media followers. Ford Motor Co executive Sunny Madra has also pitched in by challenging Musk via his Twitter account to an "apples to apples" tug of war between the Cybertruck and a comparable Ford F-150 pickup.
Spartan Motors, Occidental, Tesla, Ford and General Motors highlighted as Zacks Bull and Bear of the Day