Category Archives: Automotive industry

GM’s Cruise admits submitting false report to robotaxi safety investigation

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General Motors unit to pay $500,000 fine after failing to disclose key details of 2023 San Francisco crash to NHTSA

General Motors’ self-driving car unit, Cruise, admitted on Thursday to submitting a false report to influence a federal investigation and will pay a $500,000 criminal fine as part of a deferred prosecution agreement, the justice department said.

The department said Cruise failed to disclose key details of an October 2023 crash to the National Highway Traffic Safety Administration (NHTSA) in which one of its robotaxis in San Francisco struck a pedestrian after she was hit by another vehicle and dragged her 20ft (6.1 meters).

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Stellantis reports slump in car sales as European demand falls

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Owner of Fiat, Chrysler and Peugeot brands pushes back against rules that force sale of more electric vehicles

The owner of car brands including Fiat, Chrysler and Peugeot has reported a steep fall in sales, blaming production delays and flagging European demand.

Stellantis reported revenues on Thursday of €33bn (£27.6bn) for the July to September quarter, a drop of 27% compared with the same period a year earlier.

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Lloyds shareholders could take £1bn hit over car finance crisis

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Analysts forecast bank will have to halve £2bn buyback plan, as ex-boss of City regulator blames watchdog for crisis

Lloyds Banking Group could give almost £1bn less to shareholders this year as a result of the car finance crisis, analysts have said, as the City regulator’s former boss blamed the watchdog for the chaos.

The estimated size of a multibillion-pound compensation bill for motor lenders has grown after a shock court of appeal ruling last Friday, which said customers could not consent to motor loans that involved “secret commission” payments to brokers and car dealerships.

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Fleet of 30 luxury cars taken to Thailand returned to UK, police say

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Detectives say cars including £220,000 Lamborghini were fraudulently bought on finance, shipped abroad and sold on

A fleet of 30 luxury cars worth £6.5m whisked out of the UK to Thailand after being fraudulently bought on finance have been recovered and returned, police have said.

The haul of vehicles included a £220,000 Lamborghini Huracán Spyder – a car described by the maker as “the pinnacle of Italian taste and hand craftsmanship” – along with Porsches, Mercedes and a Ford Mustang.

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Santander to cut more than 1,400 jobs in UK amid increasing automation

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News of redundancies comes as UK division delays publication of results after car finance court ruling

Santander is cutting more than 1,400 jobs across its UK business this year as part of its efforts to reduce costs.

The Spanish bank’s chief executive officer, Hector Grisi, confirmed the cuts as its UK division delayed publication of its latest financial results to consider the impact of an influential court ruling linked to commission on car finance.

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Vauxhall owner to make decision on future of UK plants ‘in next few weeks’

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Stellantis chief says company is nearing decision on Ellesmere Port and Luton amid row over EV quotas

The owner of the Vauxhall, Citroën and Peugeot brands has said a decision will be made on the future of its UK plants “in the next few weeks”, amid a row over government electric vehicle quotas.

Carlos Tavares, the outgoing chief executive of Stellantis, has said the company is nearing a decision on the future of Ellesmere Port and Luton.

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Monster pickup trucks accelerate into Europe as sales rise despite safety fears

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A Dodge Ram 1500 is bigger than a Panzer I tank and campaigners say heavy trucks are ‘lethal’ in collisions

The engines rev, the guitars thrum and a gruff narrator lays out why the vehicle occupying the driveway is more than just a machine. “A truck is a tool,” he says, “but a Ram – a Ram is life.”

So begins an advert for the Ram 1500, a pickup truck slightly bigger than the Panzer I tanks of Nazi Germany and almost as heavy. It is growing in popularity in Europe, with the number of Rams arriving on the continent up 20% in 2023 from the year before, according to registration data from the European Environment Agency. Road safety and environmental campaigners in the UK and Europe are aghast as the latest, most extreme cases of North American car bloat – giant pickup trucks – are increasingly crossing the Atlantic.

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Tesla’s value drops $60bn after investors fail to hail self-driving ‘Cybercab’

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Analysts criticise lack of detail about the ‘robotaxi’ showcased by CEO Elon Musk

Tesla shares have fallen by 8%, wiping about $60bn (£45bn) from the company’s value, after the long-awaited unveiling of its so-called robotaxi failed to excite investors.

Shares in the electric carmaker fell to $219.40 in early trading on Friday after an event in Hollywood, where the chief executive, Elon Musk, revealed a much-hyped driverless vehicle.

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China puts tariffs on EU brandy in escalating trade row with Brussels

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Beijing also considering duties on European petrol cars after EU imposed extra levies on Chinese electric vehicles

China has imposed tariffs on EU brandy imports in an escalating tit-for-tat trade row with Brussels over extra levies on Chinese-made electric vehicles.

Beijing also said it was considering duties on imported petrol cars from Europe.

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EU leaders back extra Chinese EV tariffs despite split vote

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Decision opposed by five countries including Germany, where car firms say it could be ‘fatal’ blow for industry

EU leaders have given the green light to extra tariffs on electric vehicles from China despite opposition from five countries including Germany, where car manufacturers condemned the decision as a potential “fatal” blow for the auto industry.

The European Commission – which provisionally approved the step in June after an inquiry found that Beijing’s state aid to auto manufacturers was unfair – now has free rein to impose steep tariffs for five years from the end of this month.

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Vauxhall owner warns on profits amid falling sales and tougher Chinese competition

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Stellantis slashes growth forecast, with Aston Martin maker also warning of problems as car industry’s woes deepen

The owner of Vauxhall, Fiat and Peugeot has issued a profit warning, blaming a hit to sales from a deterioration in the global automotive market and increased competition from Chinese rivals.

Stellantis shares plunged by 14% on Monday after it said it expected profit margins to be between 5.5% and 7% for the year, down from the previous forecast of double-digit growth.

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Jaguar Land Rover to invest £500m in Halewood car plant

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Upgrade to Merseyside site will allow it to build hybrid cars and prepare for electric vehicle production

Jaguar Land Rover has said it will spend half a billion pounds to upgrade a Merseyside factory to build hybrid cars and prepare for electric vehicle production.

Britain’s largest automotive employer – officially known as JLR – said it has already spent £250m on new car production lines, machinery, people and digital technology at the Halewood plant, with plans for £250m more over the coming years.

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Batterymaker Northvolt to cut 1,600 jobs amid electric car ‘headwinds’

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Move comes after weeks of uncertainty over reports of financial problems as green vehicle sector struggles

The Swedish batterymaker Northvolt is to cut 1,600 jobs, in response to “headwinds” blowing through the electric car industry.

The battery company announced redundancies across three of its sites on Monday, including 1,000 in Skellefteå, in northern Sweden, where it is suspending the expansion of Northvolt Ett, Europe’s first homegrown battery gigafactory.

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BMW shares fall to four-year low as recall of 1.5m cars announced

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Mini and Rolls-Royce models also affected by potential braking system fault likely to cost BMW almost €1bn

Shares in BMW tumbled as the carmaker revealed it will have to recall 1.5m vehicles over a braking problem, costing it almost €1bn (£0.84bn).

The German manufacturer said its annual earnings would be considerably lower than expected, with the fault in the braking system now discovered to be far more widespread than first thought.

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VW slams production into reverse as industry faces battles on all sides

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Plan to cut German factories is politically fraught but makes sense economically

When Bernd Pischetsrieder attempted to cut jobs at Volkswagen in the early 2000s, he was forced out. When Herbert Diess tried the same, he got the same result, leaving in 2022. Yet now Volkswagen appears to be deliberately grasping the nettle.

“This time it’s different,” says Matthias Schmidt, a Berlin-based automotive analyst. Chief executive Oliver Blume is “VW through and through”, and his actions likely reflect the desires of the controlling Porsche and Piëch dynasties, Schmidt said. The course is set for a historic clash over the future for Germany’s largest carmaker.

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Volkswagen has ‘a year, maybe two to turn around’, financial chief warns

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Carmaker defends plan to close German plants as Volvo ditches target to sell only electric cars by 2030

Volkswagen says it has “a year, maybe two” to adapt to a slump in European car sales, as it seeks to justify proposals to close factories in Germany for the first time in its history.

Separately, the Swedish automaker Volvo said it had ditched a target to sell only electric cars by 2030, opting instead to continue selling some petrol vehicles alongside battery models.

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Volkswagen considers German plant closures to save billions in costs

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Plans underline European carmakers’ problems in switching from petrol and diesel vehicles to electric models

Volkswagen is considering shutting two German factories, in what would be the carmaker’s first closures ever in its home country, as it struggles with the transition away from fossil fuels.

The Wolfsburg-based manufacturer on Monday informed its works council, which represents employees, that it was looking at closing “at least one larger vehicle manufacturing plant and one component factory in Germany” in order to find cost savings worth billions of euros.

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Hyundai to double hybrid range as demand for ‘pure’ electric cars slows

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Carmaker increases portfolio to 14 and will also launch challenge in large and luxury vehicle sectors

The carmaker Hyundai has said that it will double the range of its hybrid car models amid a wider slump in consumer demand for “pure” electric vehicles.

Hyundai, which is increasing the number of hybrid vehicles in its portfolio to 14, also plans to move beyond making compact and mid-size electric vehicles (EVs) and challenge in the large and luxury vehicle sectors.

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Canada to follow US lead in imposing 100% tariff on Chinese electric vehicles

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Trudeau also announces 25% tariff on imported steel and aluminum and says ‘China is not playing by the same rules’

Canada, following the lead of the United States, on Monday said it would impose a 100% tariff on the import of Chinese electric vehicles and also announced a 25% tariff on imported steel and aluminum from China.

The prime minister, Justin Trudeau, said Ottawa was acting to counter what he called China’s intentional, state-directed policy of over-capacity. But he did not specify whether tariffs would be softened or would be the same on Tesla, whose shares were down over 3% on Monday after the announcement.

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From cars to coffee machines, here’s how Australian spending habits are weathering the high cost of living

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Retailers like Temple & Webster have slashed their pricing and tweaked their product range to lure gen Z and millennials – and it’s working

Many Australian businesses are feeling the pinch as customers can no longer afford the armchairs, gadgets, clothing brands and new bathrooms they could before the cost of living shot up.

But spending patterns remain uneven, and at times counterintuitive, leading to a mixed corporate earnings season marked by subdued but not collapsing demand.

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