Honda walks away from ICE; Renault takes it slow; and EV start-ups shredding management. Please enjoy our auto industry and mobility briefing for 19^th April to 25^th April 2021. A PDF version can be found here.

• This Is Me — Honda says that it will be all-electric by 2040. If a company so steeped in the mystery of the internal combustion engine that it once advertised cars using a perfume bottle full of motor oil can convince itself that the time has come to make a commitment to the future, what excuse does everyone else have?
• From Now On — Renault is following Volvo’s lead in restricting the top speed of vehicles to 180 km/h (just over 110 mph). The benefits are clear: companies can burnish their safety reputation by saying low speeds are safer, and cut costs because they no longer need to engineer cars, engines and transmissions that can travel as fast, and can optimise powertrain parts for fuel economy at real-world speeds. Will competitors follow? What does this mean for sportscars?
• Rewrite The Stars — Canoo confirmed that its CEO has been displaced by the chairman. It seems unlikely that this will be the last SPAC-funded electric vehicle start-up to boot out the incumbent management. Thoughts therefore turn to how these investor led companies will act. They are all sub-scale, many have promise, but their success rests on beating the others to market. Might they be stronger together?

News is arranged by company and topic. Stories that apply to more than one company or topic are duplicated.

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News about the major automakers

BMW ^(history)

• Released initial Q1 2021 financial results because they are better than expected, Group EBIT is €3.8 billion, of which automotive EBIT is €2.2 billion. (BMW)
• Says it is on track to meet EU CO2 targets for 2025 and 2030 because more than 50% of sales will be all-electric by 2030 (previously the commitment was for more than 50% to be BEV and PHEV combined). BMW appears more bullish on the prospects for solid state batteries than VW. Whereas VW intends to use them in niche applications and believes that they will be too expensive for the mainstream (for at least a generation or two), BMW thinks that the technology will be a “game changer”. (BMW)
• Claimed the world premiere of the BMW iX in Shanghai, despite having revealed the model in November 2020. It turned out that BMW meant this was the first time people could see the vehicle in the flesh. (BMW)

Daimler ^(history)

• Released full financial results for Q1 2021. Revenue of €41 billion rose 10% on a year-over-year basis whilst adjusted EBIT of €4.97 billion was almost seven times higher than prior year. Daimler upped its full year guidance and now expects the vans and cars division to have an adjusted return on sales of 10% – 12%. (Daimler)
• Extended the contract of the CEO of the truck division to 2025. The CFO’s new deal runs to 2027. (Daimler)
• Says there are more than 20,000 orders for the EQA. (Daimler)
• Credit losses at Daimler’s captive finance arm are falling, after rises in the last couple of years, and now sit at around 2018 levels. (Daimler)
• When asked about margin parity between ICE and BEV, Daimler’s CFO said that parity had not yet been reached but since the firm had achieved a 14% margin in Q1 2021 with a 10% electric vehicle mix, he was comfortable that electric vehicle sales could grow without “too strong margin dilution” and that margin parity would be before the end of the decade. (Seeking Alpha)

Ferrari

• Ferrari have recruited an editor from BBC’s TopGear to produce in-house content. (Ferrari)
• Released photographs of an unnamed variant of the 812 SuperFast (long rumoured to be the GTO). Ferrari (hyperbolically) suggests the car’s performance is so extreme that it can’t have a conventional rear windscreen and the company has fitted an aluminium panel instead. (Ferrari)

Ford ^(history)

• Using 3D printing to create a keepsake for launch customers of the Mustang Mach E. They will each get a wireframe sculpture of the car’s emblem, dyed to match the colour of their car. (Ford)
• Unveiled the Lincoln Zephyr Reflection, previewing a China-only large car. (Ford)

Geely (includes Volvo) ^(history)

• Volvo reckons it can save 1 billion SEK per year (about $120 million) by recycling more and saving energy. (Volvo)
• Geely unveiled the Xingyue L SUV at Shanghai. (Geely)
• Geely and Baidu’s electric car joint venture will reportedly invest almost $8 billion in new products over the next five years. (Reuters)

General Motors ^(history)

• The Cadillac brand will only launch all-electric products from now on. (Electrek)
• GM’s Cruise self-driving unit says that 1% of the fleet will be dedicated to social causes. (GM)

Honda ^(history)

• Says that by 2040, the company will sell only all-electric or fuel cell vehicles, with a target of 80% of global sales being from these vehicle types by 2035. (Honda)

Hyundai / Kia ^(history)

• Hyundai reported Q1 2021 revenue of 27.4 trillion KRW (about $24.7 billion), up 8.2% on a year-over-year basis. Operating profit was 1.66 trillion KRW (about $1.4 billion), up 92% year-over-year. (Hyundai)
• Kia reported Q1 2021 revenue of 16.6 trillion KRW (about $14.9 billion), up 14% versus prior year. Operating profit of 1.1 trillion KRW (about $1 billion) rose 142% year-over-year. (Kia)
• Says that solid state batteries will be production ready in 2027. The company recognises that it has more to do to stimulate demand in emerging markets. (Hyundai)
• Invested in Ottopia, a company that can drive vehicles through remote control. (TechCrunch)

Renault ^(history)

• Reported Q1 2021 revenue of €10 billion, down (1)% versus prior year. Group sales of 665,038 vehicles rose 1%. In Europe, 23% of Renault’s mix was electric (including PHEV and HEV), although at a group level, including Lada and Dacia, there was a quarter over quarter drop. (Renault)
• Has a new mission statement “our spirit of innovation takes mobility further to bring people closer”. (Renault)
• Renault and Dacia cars will have their top speed restricted to 180 kmh (112 mph) from 2022 onwards. (Les Echos)

Stellantis (formed via the merger of PSA and FCA)

• Fitting Peugeot 308 cars with analogue dials, rather than digital displays, to reduce the impact of semiconductor shortages. (Reuters)

Tesla ^(history)

• Chinese regulators called on Tesla (again) to improve quality after a public complaint at the Shanghai show. (Reuters)

Toyota ^(history)

• Wants to be carbon neutral by 2050. (Toyota)
• Toyota will launch a series of all-electric vehicles branded “Beyond Zero”, with seven on sale by 2025. (Toyota)
• Invested in hydrogen transport company Universal Hydrogen. (Toyota)
• Revealed a minor refresh to the Lexus ES. (Lexus)

VW Group ^(history)

• Unveiled the Audi A6 e-tron concept, an all-electric saloon. (Audi)
• VW’s research says that North American customers are more open to electric vehicles with 60% ready to consider the technology and 80% believing that there are environmental benefits. Oddly, despite long-standing concerns over range anxiety, VW finds that customer driving 100 miles or less per week are less interesting in all-electric cars than those driving more than 200 miles per week. (VW)
• Appointed the head of the VW workers council to head of HR for the Traton truck division. (VW) His replacement will be his deputy. (Manager Magazin)
• Porsche’s CEO wants the brand to have its own battery cell factory, arguing that his cars will need a different type of cell to the majority of the group’s vehicles. (Handelsblatt)

Other

• The marketing team at Great Wall might want to brush up on industry slang. Their new vehicles are based on a technology named “L.E.M.O.N.”. (Great Wall)
• Rimac is investing €200 million in a new headquarters. (Rimac)
• Canoo announced that its executive chairman would assume the responsibilities of CEO. (Canoo)
  • Significance: Alongside Nikola, Canoo now becomes the second SPAC-funded EV company to boot out its incumbent management.

News about other companies and trends

Economic / Political News

• The UK department of transport has decided that “myth-busting” is needed to convince customers that they should switch to electric cars ahead of a planned 2030 ban on new sales. Reflecting the improved confidence in electric vehicles, although over 80% of consumers worry they are too expensive, under 60% have reliability concerns. (AA)

Suppliers

• Veoneer is developing a passive safety (airbag) adjustment system based on camera monitoring of occupants using equipment from emotion3D so that the system can take more parameters than weight into account. (Veoneer)
• Michelin says that it is working with Carbios, a company that creates specialist enzymes which can break down unwanted plastics, and that together they have created fibres suitable for tyres. (Michelin)
• Autoliv reported Q1 2021 revenue of $2.2 billion and operating income of $237 million. (Autoliv)
• Continental reported Q1 2021 revenue of €10.3 billion and an adjusted EBIT margin of 8.1%. (Continental)
• Schaeffler reported better than expected Q1 2021 revenue of €3.6 billion and EBIT margin go 11.3%. (Schaeffler)
• Nidec announced Q1 2021 revenue of 433 billion JPY (about $4 billion) and PBT of 43.6 billion JPY (about $400 million). (Nidec)
• Magna wants to be carbon neutral by 2030. (Magna)
• Bosch criticised the EU’s approach to CO₂ reduction, saying that it needed to do more on synthetic fuels and hydrogen to achieve carbon neutrality. (TechCrunch)

Dealers

• Dealer software companies Autofutura and GForces agreed to merge. (Autofutura)
• German used car website Driverama says it will cost €400 million to launch its business across Europe. (Faconauto)

Driverless / Autonomy ^(history)

• Autonomous software specialist Black Sesame is reportedly seeking $231 million in funding ahead of an IPO, with Xiaomi said to be interested. (Deal Street Asia)
• GM’s Cruise self-driving unit says that 1% of the fleet will be dedicated to social causes. (GM)

Electrification ^(history)

• BMW appears more bullish on the prospects for solid state batteries than VW. Whereas VW intends to use them in niche applications and believes that they will be too expensive for the mainstream (for at least a generation or two), BMW thinks that the technology will be a “game changer”. (BMW)
• Daimler’s CFO said that ICE to BEV margin parity had not yet been reached yet, but he expects it will be before the end of the decade. (Seeking Alpha)

Other

• Truckmaker Volvo reported Q1 2021 sales of 94 billion SEK (about $11.2 billion) and adjusted operating income of 11.8 billion SEK (about $1.4 billion). (Volvo) Volvo is taking a majority stake in Designwerk Technologies, a company that develops batteries and electric powertrain for heavy vehicles. (Volvo)
• Electric scooter rental firm Dott raised $85 million. (TechCrunch)
• French driving school firm Ornikar, which helps drivers through the process of learning to drive, but also getting started on the road once they pass their test (e.g setting up insurance) raised €100 million. (TechCrunch)

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Geely selling small stakes in everything; VW choosing one meaningless name over another; and workers and managers need to unite. Please enjoy our auto industry and mobility briefing for 12^th April to 18^th April 2021. A PDF version can be found here.

Before you read the detail, what were my favourite stories of the past week…?

• Money, Money, Money — Geely sold a stake in Polestar and reportedly is thinking about doing something similar to raise money for Lotus. This follows hot on the heels of calling off the merger between Geely and Volvo. Is Geely a bit short of cash, or is a web of interlinked car companies with majority, but not complete, control the way of the future?
• Scream If You Want To Go Faster — VW says faster versions of all-electric cars will be called GTX. For the last few decades, we’ve known them as GTIs. I know that in theory, the “I” is injection and indicates the role of an internal combustion engine, but the “GT” stands for grand tourer — hardly the description most would use for a Golf. Why not go the whole way and rename it to something that makes sense?
• Lean On Me — German unions are demanding that Continental offer payoffs of €250,000 per person to workers being made redundant after the company decided to close a plant making combustion engine parts. Unless Continental ups the offer, unions threaten to strike indefinitely. At face value, nothing has changed versus the 1970s, except that it has: the entire powertrain is changing in around a decade. Tens of thousands of workers will be made redundant and companies saddled with huge closure costs won’t make it to the end. How can companies and workers be realistic about the future but fair and respectful at the same time?    

News is arranged by company and topic. Stories that apply to more than one company or topic are duplicated.

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News about the major automakers

Daimler ^(history)

• Reported preliminary Q1 2021 financial results because they were better than the market expected. Daimler expects EBIT of €5.7 billion, €4.1 billion of which comes from cars and light vans. (Daimler)
• Unveiled the EQB, a mid-size, all-electric, SUV. With an optional seven seat package, the car seems squarely aimed at the Tesla Model Y. (Daimler)
• CEO Källenius says the all-electric EQS will achieve “reasonable” returns. (Automotive News)

Ferrari

• Released its 2020 sustainability report. (Ferrari)
• Ferrari will launch its first all-electric model in 2025. (Engadget)

Ford ^(history)

• Longtime board member Jon Huntsman is joining the company as vice chairman with a responsibility for policy. He will remain on the board. (Ford)
• Ford’s advanced driver assistance will be called BlueCruise. Owners will need to pay upfront for the hardware and then be subject to a $600 subscription every three years. (TechCrunch)
• Will operate a direct sales model for electric cars in China, alongside franchised dealerships. (Detroit News)

Geely (includes Volvo) ^(history)

• Polestar raised $550 million in external funding. (Deal Street Asia)
• Reportedly contemplating raising $1 billion for Lotus to support the brand’s electrification plan. (Automotive News)

General Motors ^(history)

• Thanks to new investment from Walmart, Cruise has raised $2.75 billion in its most recent round. (TechCrunch)
• Battery developer SES (formerly Solid Energy Systems) raised $139 million in a round led by GM. (SES)

Honda ^(history)

• Launched the e:progress home charging service in Europe. Customers get reduced energy bills in return for letting an algorithm decide when their car gets to charge up. It isn’t V2G, the system simply chooses to charge during times of low demand. (Honda)
• Unveiled the production version of the all-electric Honda SUV e. The front end is similar to the concept shown at the end of 2020, but the car is now a four door. (Honda)

Hyundai / Kia ^(history)

• Announced a deal to sell all-electric cars to Uber at a reduced price. (Hyundai)
• Regulators are reportedly scrutinising insider trading around the time of news confirming talks with Apple about new cars had been taking place. (FT)
• Reportedly working on a closer tie up with Samsung SDI to develop new batteries. (ET News)

Nissan and Mitsubishi ^(history)

• Nissan’s CEO says sustainability is a priority for the car industry and good environmental custodianship reflects good corporate governance. (CNBC)

Stellantis (formed via the merger of PSA and FCA)

• Unveiled the Citroën C5 X large car. (Stellantis)
• Opel’s head said that it is important for the brand to have a flagship model but refused to be drawn on what type of car might replace the Insignia large car and says he hasn’t yet set a firm date to stop diesel sales. (Automotive News)
• Reportedly looking at restructuring its financial services arm. (Il Sole 24 Ore)
• CEO Tavares set announced updated electrification aspirations, and is now aiming for 70% of the company’s sales in Europe to be low emission vehicles by 2030, although in the USA it would only be 35%. (Detroit Free Press)

Tata (includes JLR) ^(history)

• JLR’s in-house VC firm InMotion invested in battery recycling firm Battery Resourcers. (JLR)

Toyota ^(history)

• Unveiled the BZ4X Concept car, a mid-size SUV that will share its underpinnings with Subaru. (Toyota)
• Recalling 279,000 cars because faulty sensors could stop airbags from deploying. (Toyota)

VW Group ^(history)

• Lamborghini says that it offers 348 colours to customers of its bespoke program, which the brand reckons makes it a world leader. Despite all the choice, Lamborghini says customers have a habit of going for the same thing: red in Asia, green in EMEA and blue in America. The brand uses archetypes Lamborghini calls “personalities” to drive customers towards consistent choices of colours and materials. (Lamborghini)
• Lamborghini had its best ever quarter, with deliveries of 2,422 cars in Q1 2021. (Lamborghini)
• Unveiled the Škoda Kodiaq SUV. (Škoda)
• Took the wraps off the VW ID6 all-electric SUV. (VW)
• Unveiled the production version of the Auto Q4 e-tron SUV, plus a sportback version. (Audi)
• Porsche’s HR chief says headcount reduction is not in the company’s vocabulary. (Porsche)
• Souped up versions of all-electric ID models will be called GTX. (VW)
• Porsche sold 71,986 cars in Q1 2021, up 36% on a year-over-year basis. (Porsche)
• Agreed a 2.3% pay increase for German workers, plus a one-off bonus. (Reuters)
• A German court ruled that VW must refund finance payments made on cars that had test-defeating emissions equipment. (Reuters)

Other

• Faraday Future announced a new head of sales and confirmed that it will use a combination of wholly-owned dealers and third party owned sites. It is implied, but not confirmed, that all sales will take place on a single online platform run by Faraday Future. (FF)
• Sono Motors says it has 13,000 reservations for the Sion solar augmented electric car. (Sono)
• Apple is rumoured to be about to announce a production partnership with LG and Magna. (Autocar)
• BAIC and Huawei announced the Arcfox Alpha S, an all-electric vehicle they have developed together. (Nikkei)

News about other companies and trends

Economic / Political News

• European passenger car sales during March of 3.08 million units rose 0.9% versus prior year. (ACEA)

Suppliers

• Aludyne purchased casting assets from Shiloh Industries. (Aludyne)
• Drone company DJI intends to launch a line of autonomous vehicle sensors. (China Money Network)
• Bosch is creating a joint venture for fuel cells with Chinese truck maker Qingling. (Bosch)
• German unions decided began a series of strikes at Continental’s Karben, Germany factory because the company won’t reconsider plans to close the site or commit to redundancy payments of €250,000 for workers with the long service. (Handelsblatt)
• Grammer announced a new joint venture for seating in China with FAW Group. (Grammer)
• Magna held an investor day. (Magna)
• Magna is collaborating with REE to develop modular electric vehicles. (REE)
• Marelli and Chinese firm WHST are teaming up for radars. (Autocar)
• Martinrea is forming a joint venture with NanoXplore (in which it owns a significant stake) to develop advanced electric car batteries. (Martinrea)
• TI Fluid Systems held an investor day. (TI Fluid Systems)

Ride-Hailing, Car Sharing & Rental ^(history)

• Grab agreed to merge with a special purpose vehicle in a deal that values the firm at $40 billion. (TechCrunch)
• Chinese ride hailing service Senmiao is expanding through a partnership with Heifei Cheyun. (Senmiao)

Driverless / Autonomy ^(history)

• Oxbotica raised an additional £10 million for food warehouse firm Ocado. (TechCrunch)
• Autonomous delivery vehicle maker Udelv plans to make 35,000 driverless vans. (Intel)

Electrification ^(history)

• Battery recycling firm Battery Resourcers raised $20 million from JLR and others. (FINSMES)
• Battery developer SES (formerly Solid Energy Systems) raised $139 million in a round led by GM. (SES)

Other

• Vietnamese electric motorcycle maker Dat Bike raised $2.6 million. (Deal Street Asia)

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Keeping strong residuals after an EV transition; Ssangyong’s collapse; and lessons learned the hard way. Please enjoy our auto industry and mobility briefing for 29^th March to 11^th April 2021. A PDF version can be found here.

Before you read the detail, what were my favourite stories of the past week…?

• Shiny — Bentley’s boss said it would be “crazy” for the EU to stop classifying plugin hybrids as sustainable (and therefore able to qualify for certain favourable investment treatment). As the head of a brand that plans to go all-electric by 2030, the complaint could at first sight appear confusing; why does Bentley even care? The brand still wants residual values of cars built in the years leading up to 2030 will remain strong after the brand goes all electric. Will owners revel in driving a last of the line fossil-fuel powered car, or feel embarrassed to be in something so olde worlde?
• Let It Go — Ssangyong’s rescue talks have apparently failed at the brand could end up being liquidated. The reason it failed seems clear: it was sub-scale with low brand equity. Paying back new product investment was hard because too few cars sold for too little return. Yet, Ssangyong achieved volumes many startups can only dream about (~150,000 per year). How do they plan on escaping a similar fate?
• A Whole New World — Sony is making good progress on its Vision series of all-electric cars. But development engineers shared an interesting insight… although they have benefited from some fresh thinking by importing “agile development” methods from software and smartphones, they have discovered that old ways work best for safety critical systems, because there is no “good enough” result to be found through trial and error, only success or dramatic failure. I just can’t help looking at the delayed launches of many high profile startups and wondering if they have found the same thing (albeit later than Sony)?

News is arranged by company and topic. Stories that apply to more than one company or topic are duplicated.

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News about the major automakers

BMW ^(history)

• Sold 636,606 cars in Q1 2021, an increase of 33.5% on a year-over-year basis with higher sales across brands and luxury marque Rolls-Royce up a stonking 62% (Rolls says demand is very strong in China, the US and Asia Pacific with Cullinan and Wraith selling well). BMW says it will sell over 100,000 all-electric cars this year. (BMW)
• Daimler and BMW sold a 33.3% stake in their charging joint venture to BP. (BMW)
• BMW’s head of autonomous driving said that the company is working hard on SAE level 3 driver assistance and that automatic parking in a car park is “within reach”. (BMW)
• CEO Zipse called on European regulators to ensure that the internal combustion engine has a life in the market beyond 2030. (Reuters)

Daimler ^(history)

• Mercedes-Benz sold 667,327 cars and vans in Q1 2021, up 22% on a year-over-year basis. Sales were up in most major markets, although passenger cars suffered a (15)% fall in Germany. (Daimler)
• Formalised the appointment of ex-BMW and VW CEO Bernd Pischetsrieder as chairman. (Daimler)
• Daimler and BMW sold a 33.3% stake in their charging joint venture to BP. (BMW)

Ford ^(history)

• Sold 521,334 vehicles in the USA during Q1 2021, a rise of 1% on a year-over-year basis. (Ford)
• Sold 153,822 vehicles in China during Q1 2021, 73% up on prior year. (Ford)
• A US Ford dealer said that demand for new cars was so high, they can be considered “2021’s version of toilet paper”. Although overall sales are only slightly up, there is a big swing towards retail customers. (Detroit Free Press)
• The CEO of Argo made comments at an internal meeting that led to speculation that the self-driving vehicle developer could have an IPO in the near future. (Detroit News)
• After several owners of Mustang Mach-E electric cars complained that their batteries were dead, Ford said that software was to blame and the problem was with the old-fashioned 12 volt battery. (Reuters)
• Ford paused selling at-home charging equipment meant to accompany the Mustang Mach E, saying that faulty devices were cutting off power without warning. (Automotive News)
• Recalling around 35,000 cars in the USA because the rear view cameras don’t always work. (Ford)
• By 2027, Ford says it will have enough all-electric vehicles on sale to cover 70% of US market demand, and that by 2028 it will boast 32 million connected vehicles capable of over the air upgrades. (Ford)
• Released a new sustainability report. (Ford)
• CEO Farley is joining Harley-Davidson’s board. (Detroit Free Press)
• Dropping the Vignale trim level from the Focus model due to slow sales, indicating that the brand is unable to justify the additional price tag. (Autocar)

Geely (includes Volvo) ^(history)

• Geely sold 333,576 units in Q1 2021, an increase of 62% versus prior year. (Geely)
• Volvo sold 185,698 cars in Q1 2021, up 41% on a year-over-year basis with increases across markets and sales in China more than doubling. (Volvo)
• An IPO for Volvo is under consideration, with a targeted value of around $20 billion. (Reuters)
• Volvo has a new CFO. (Volvo Cars)
• Volvo says 90% of customers signing up for the Care all-inclusive leasing offering in the UK are new to the brand. Rather than alienate dealers, Volvo says that they have recognised its abilities in online retail and are asking for help in creating their own services. (Autocar)

General Motors ^(history)

• Sold 642,250 vehicles in the USA during Q1 2021, an increase of 4% on a year-over-year basis. (GM)
• Delivered 780,000 vehicles in China during Q1 2021 (including China-only brands operated through JVs), an increase of 69% from a year earlier. (GM)
• When asked about the risk of job losses from a move to electric vehicles that will see the end of internal combustion engine and transmission manufacturing, plus less work in the assembly of a vehicle, GM said there would be “opportunities for everyone”. (Detroit Free Press)
  • Significance: Given the lower labour hours in an electric car, GM’s comments can only be interpreted as: (1) an unshakeable belief that overall sales will grow enough to make up for the reduced per unit workload and that all powertrain workers will be offered transfers to vehicle making factories (that could be long distances away); (2) that attrition will be successfully managed so that net workforce numbers decline, but no one is pushed out of a job; or (3) that jobs will be lost, but workers will have the opportunity to offer sufficient concessions and productivity improvements that it isn’t their factory that gets closed, or unallocated in GM-speak.
• GM received heavy criticism in the USA over a perceived failure to allocate a fair share of advertising spending to black-owned media businesses. Whilst the criticism appeared not to be unique to GM, it was held up as an exemplar and found initial efforts to get offstage were ineffective after promised spending hikes were revealed to be miniscule in the gran scheme of things. (Detroit Free Press)
• Confirmed that there will be an all-electric version of the Silverado pick-up truck. (GM)
• Unveiled the SUV variant of the Hummer all-electric truck, a few months after “mistakenly” showing it off during a webcast. Compared to the pick-up, the SUV will have a smaller battery and less powerful motors. (Engadget)

Hyundai / Kia ^(history)

• Hyundai sold 997,882 cars in Q1 2021, up 10.5% on a year earlier. (Hyundai)
• Kia sold 688,409 cars in Q1 2021, up 6% versus prior year. (Kia)
• Unveiled the Genesis X concept, a large all-electric coupe. (Hyundai)
• Canoo says it has ended its technical partnership with Hyundai. (The Verge)
• Unveiled the Hyundai Alcazar, a six and seven seat MPV, in India. (Autocar)
• Merged three subsidiary software companies. Hyundai Autron (automotive software), Hyundai MnSOFT (mapping and navigation) and Hyindai AutoEver (corporate IT) will have a 4,000 strong engineering team. (ET News)

Nissan and Mitsubishi ^(history)

• Nissan says 70% of European drivers are ready to seriously consider an electric car for their next purchase. (Nissan)
• Nissan is dropping its dealer sales target setting process in the USA after the company discovered that dealers sold more cars than expected during lockdown when the targets were temporarily suspended. (Automotive News)

Stellantis (formed via the merger of PSA and FCA)

• Sold 469,651 vehicles in North America over Q1 2021, an increase of 5% on 2020 levels. (Stellantis)
• Stellantis says that fuel cells will have a role in powering fuel cell vehicles, believing that a 3 minute refuelling time to be critical for business users. Stellantis thinks that a smallish battery will still be used, so that there is some degree of plugin range. (Stellantis)

Tata (includes JLR) ^(history)

• Tata Motors sold 182,824 vehicles (excluding JLR) in India during Q1 2021, up 94% versus prior year. (Tata)

Tesla ^(history)

• Reported Q1 sales of 184,800 units, marginally up from Q4 2020. Whilst the Model 3 and Model Y deliveries continued to grow, Tesla didn’t make a single Model S or Model X in the quarter, impacting deliveries heavily. (Tesla)
  • Significance: Since the Model S and Model X are not all-new, the complete manufacturing hiatus appears puzzling (model refreshes are normally accomplished in a matter of weeks), although Tesla calmly said everything was fine.
• Complained to German courts that it was taking too long to get necessary regulatory approvals for its new factory in Berlin, threatening production plans. (Reuters)
• Tried to settle unease over the in-car footage Tesla appears to be collecting by saying it only downloaded data from cars in North America. (Reuters)
• Started offering a Model 3 with a 93 mile range in Canada. The product seems to be a wheeze to create a car with a low enough list price to benefit from government purchase incentives. Owners can then upgrade the range via a paid for update that unlocks additional capacity through a software update. (Electrek)

Toyota ^(history)

• Lexus unveiled the LF-Z all-electric concept, which Toyota says will be put into production around 2025. Lexus also announced a new technical campus, due to open in 2024. (Lexus)
• Unveiled the next generation GR 86 sportscar. (Toyota)
• Investing in French startup EODev, a company that develops generators from Toyota’s fuel cell technology. (Toyota)

VW Group ^(history)

• VW’s April Fool’s stunt backfired after a joking promise to rebrand as Voltswagen (because of all the electric vehicles, geddit?) was released early and sent the share price racing upwards as EV-hungry investors jumped on the news. VW found itself accused of lying and had to apologise. (Detroit News)
• The CEO of Argo made comments at an internal meeting that led to speculation that the self-driving vehicle developer could have an IPO in the near future. (Detroit News)
• Lamborghini is retrofitting recently built models with connectivity kit. (Lamborghini)
• Bentley’s boss said European policy makers would be “crazy” to stop labelling PHEVs as sustainable vehicles from 2025 onwards (currently a draft proposal), arguing that it would prematurely end consumer interest (which he is banking on to bridge the gap to 2030, when his brand intends to phase out the technology altogether). (Reuters)
• Lamborghini’s CEO suggested that the brand is still undecided on how to approach electrification, beyond the bear-term replacement of the Aventador. (Autocar)
• Porsche will use synthetic fuels in its one make racing series to test their performance. (Autocar)

Other

• Canoo reported full year 2020 earnings — a net loss of $(90) million. (Canoo) On the earnings call, the CEO was absent and the newly-appointed executive chairman fielded questions, including whether the CEO is still in role — he is, but the CFO has left. Canoo confirmed the end of its technical partnership with Hyundai. (The Verge)
• Faraday Future says it is the only maker of “next-gen intelligent internet EV product”. (Faraday)
• Nio reported Q1 2021 sales of 20,060 cars, more than five times the prior year value. (Nio)
• BYD wants to sell batteries to rivals, and could seek a listing for its battery unit. (Nikkei)
• Caterham Cars has been sold: its new owner is Japanese firm VT Holdings. (Motor Trader)
• Xiaomi says it will invest up to $10 billion developing electric cars. (Economic Times of India)
• XPeng announced the go-ahead of a 100,000 unit capacity plant in Wuhan. (XPeng) In Q1 2021, XPeng sold 13,340 cars, and has now delivered more than 50,000 in its lifetime. (XPeng)
• Mahindra’s new CEO says the company has learned it “doesn’t make sense to venture out of our core” and will mainly stick to SUVs in future. (Economic Times of India) Mahindra’s outgoing boss says that Indian consumers don’t need electric vehicles with 600kms of range and thinks that “no one can compete with Mahindra and Tata” at offering the type of value products the local market wants. He says that the proposed JV with Ford would have gone ahead if coronavirus hadn’t hit industry volume as hard. (Economic Times of India) The failure of talks with a proposed new investor means that the South Korean Ssangyong brand is rumoured to be entering receivership in the coming days. The plant has reportedly shut and liquidation is a serious option. (Economic Times of India)
• SAIC’s MG brand revealed the Cyberster concept, seemingly the company’s answer to the Tesla Roadster. With wheels so big they barely fit in the wheel arches, and a best of the best spec sheet, the car may not be a signal of production intent. Taillights that echo Mini’s play on the Union flag suggests MG may make a renewed effort to leverage its British heritage. (Top Gear)
• VinFast’s owners are reportedly hoping the unit could be valued at $60 billion. (Reuters)
• A delay in Evergrande’s trial production build schedule led to increased speculation about the company’s ability to deliver on its plans for the future. (Bloomberg)

News about other companies and trends

Economic / Political News

• US light vehicle SAAR in March of 17.75 million units rose 56% versus prior year. (Wards)
• German registrations in March of 292,349 passenger cars, up 36% on a year-over-year basis. (KBA)
• UK passenger car registrations in March of 283,964 units rose 11.5% versus prior year. (SMMT)
• Spanish registrations in March of 85,819 cars, up 128% on a year earlier. (ANFAC)
• Italian registrations of 169,684 cars in March rose 497% from prior year. (UNRAE)
• French passenger car registrations in March of 182,774 units rose 192% on a year-over-year basis. (CCFA)
• The European car makers trade body said it would support harsher CO₂ reduction targets from 2030 onwards, if member states committed to spend heavily on charging infrastructure. (ACEA)
  • Significance: The last time ACEA tried to link target setting to the development on infrastructure was when the EU set targets for CO2 reduction between 2025 and 2030. The group was ignored. With several members having broken ranks and committed to sell only electric vehicles by 2030, ACEA’s hand looks weak.

Suppliers

• Grammer reported 2020 financial results and said that for Q1 2021, the company expects €490 million of revenue and €22 million of EBIT. (Grammer)
• Liberty Steel’s boss pleaded with creditors to give him time to rescue the firm after its main backer collapsed and pledged to keep plants open. (Reuters)
• LG Chem and SK Innovation resolved a legal dispute that had seen courts order SK Innovation to stop US imports. Following a hefty cash payment to LG Chem, the two said there was enough space in the global market for them to compete fairly. (Reuters)
• Hyundai Mobis unveiled two concept cars: a 4-seater autonomous shuttle and a two seat city car. An accompanying press release drew parallels between the 4-seater and a robotaxi being developed with Yandex. (Mobis)
• China Automotive Systems reported 2020 revenue of $418 million and operating loss of $(8) million. (CAAS)
• Michelin held an investor day. Michelin believes that it will win a bigger market share of BEV tyres than for conventional models (possibly because they mainly appear in less price conscious segments) and hopes to grow in non-tyre businesses of fleet management, 3D metal printing and hydrogen fuel cells. (Michelin)
• Sony’s development team working on the Vision S electric car say they discovered that it was difficult to apply agile development tools derived from software and smartphones when engineering safety critical systems because the techniques rely on an unacceptable degree of trial and error. (Nikkei)
• Romeo Power reported 2020 full year revenue of $9 million and said that 2021 would be worse than hoped because there is a constraint on battery cells. (Romeo Power)
• Renesas Electronics is moving production of automotive components to other plants in Japan as it takes longer than expected to fully recover output following a fire. (Nikkei)
• LG is closing its smartphone business, saying that it thinks other sectors such as electric vehicle batteries are a better bet. (LG)

Dealers

• Dealer loan approval company CarCapital raised $9 million. (CarCapital)
• On-demand servicing firm Pitstop raised $3.5 million. (Tech In Asia)
• Used car website Spinny raised $65 million. (Deal Street Asia)

Ride-Hailing, Car Sharing & Rental ^(history)

• Crypto-currency financed mobility firm AYLI says it has raised an undisclosed amount from an undisclosed source. The firm promises to reveal all in its full year financial report (which is delayed). (AYLI)
• Ride hailing firm MVL raised $15 million. (Tech In Asia)
• Didi Chuxing reportedly agreed a $1 billion deal to acquire Aurora, but abandoned the idea after US officials indicated that they were against the idea. (The Information)
• AirAsia is reportedly looking to enter the ride hailing business. (Tech In Asia)

Driverless / Autonomy ^(history)

• Waymo’s CEO is stepping down and will be replaced by co-CEOs who will cover technical and business operations between them. (Detroit News)
• Didi Chuxing is reportedly looking for $500 million of investment for its self-driving unit. (China Money Network)
• Self-driving truck company Plus raised $200 million. (China Daily)
• Volvo trucks is partnering with Aurora to develop self-driving trucks. (Volvo)
• Optimus Ride will create self-driving vehicles with slow-moving light vehicles from Polaris. (TechCrunch)
• The CEO of Ford and VW owned Argo made comments at an internal meeting that led to speculation that the self-driving vehicle developer could have an IPO in the near future. (Detroit News)

Electrification ^(history)

• A variety of Japanese car makers including Toyota, Nissan, Honda and Mitsubishi have invested in a nationwide charging service called e-Mobility Power. (Toyota)
• Charging station repair service ChargerHelp raised $3 million. (TechCrunch)
• Battery swapping firm Oyika is reportedly set to raise $100 million. (Tech In Asia)
• Rickshaw battery swapping business Oye Rickshaw raised 240 crore INR (about $3 million). (Economic Times of India)
• Daimler and BMW sold a 33.3% stake in their charging joint venture to BP. (BMW)

Other

• Air taxis firm Lilium is going public in a $3.3 billion merger with a special purpose entity. (Reuters)
• Volvo trucks hopes to develop fossil-free steel to use in new models. (Volvo)

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