Double

This post has been edited by EnergyAnalyst: Sep 1 2024, 10:02 AM

https://www.nytimes.com/2024/09/02/business...n%20competitors.



https://www.cnbc.com/2024/09/02/volkswagen-...ting-drive.html

https://fortune.com/europe/2024/09/03/germa...exit-recession/

Germany in crisis: Intel and Volkswagen mull a multibillion-dollar withdrawal from the country

https://theedgemalaysia.com/node/725377


Toyota, Maruti launch marketing drive for hybrids in key Indian state
By Saurabh Sharma & Aditya Kalra / Reuters
03 Sep 2024, 06:20 pm



Aggressive much Toyota via Maruti Suzuki with its hybrid....in India

This post has been edited by EnergyAnalyst: Sep 4 2024, 10:25 AM

VW warns time running out as clashes with workers over cuts
By Reuters - September 4, 2024 @ 6:31pm

WOLFSBURG: Volkswagen has "one, maybe two" years to turn its main car brand around, the automaker's finance chief said on Wednesday, trying to convince workers at a stormy meeting to back plans for deep cost cuts, including German plant closures.

Delayed for several minutes as staff whistled and shouted "Auf Wiedersehen" - German for 'goodbye' - when he took to the stage, Arno Antlitz appealed to the joint responsibility of staff and management to cut spending if the brand is to survive the shift to electric cars.

To a packed hall of 16,000 workers and another 5,000 outside watching on a screen, Antlitz said Europe's car market had shrunk after the pandemic and the company was facing a shortfall in demand of about 500,000 cars, equivalent to about two plants.

"The market is just not there," he told the meeting at Volkswagen's Wolfsburg headquarters. He added he did not expect sales to recover and that the core VW brand had "one, maybe two" years to cut spending and adjust its output.

In response, works council chief Daniela Cavallo said management had "massively damaged trust", and compared its threat to close plants to a "declaration of bankruptcy."


Cavallo urged CEO Oliver Blume, who was not scheduled to give a speech, to address staff and explain why the group was prioritising spending on a 5-billion-euro software partnership with U.S. start-up Rivian over protecting German jobs.


The prospect of site closures at one of Germany's most storied companies has raised more red flags for Europe's largest economy, which is battling anaemic growth, weaker export demand, higher costs and competition from abroad.

Fresh from a drubbing in regional elections that saw a surge in far-right support, Chancellor Olaf Scholz has made Volkswagen a top priority and coordinated with company executives and union members, a source familiar with the matter said.

Labour Minister Hubertus Heil promised support, telling RTL/ntv that "Germany must remain a strong car country." But he did not specify what kind of support and said the company must first do its job to secure employment and prevent site closures.

Scholz's cabinet was expected on Wednesday to agree proposed measures for tax reductions to boost demand for EVs, which has lagged expectations.

Underscoring the tough backdrop, business sentiment in the German automotive industry slid further into negative territory in August, the Ifo economic institute said on Wednesday.

Volkswagen, whose brands also include Audi, SEAT and Skoda, said on Monday it was considering closing factories in Germany and ending a decades-old job guarantee at six of its plants in a drive to deepen a 10 billion euro (US$11 billion) cost-cutting plan. It is targeting a 6.5% profit margin at the VW brand by 2026, up from 2.3 per cent in the first six months of this year.

Unions and Volkswagen management in Germany are due to negotiate over a wage increase in October, but labour representatives want to pull that forward and have a wide-ranging discussion on the carmaker's options, according to Thomas Knabel, representative for the IG Metall union at Volkswagen's Zwickau plant.

But the union, one of Germany's mightiest labour groups with seats on Volkswagen's supervisory board, cannot imagine starting negotiations without the company taking its threat to close down plants off the table, he warned in an interview.

"We need to agree on the rules of the game," he said.

While management laid blame for its financial woes on the worsening economic environment in Germany and new competitors entering the market, labour representatives said the carmaker's production strategy was inefficient and decision-makers had been too slow in investing to produce a mass-market electric vehicle.

Whatever the cause, the company must make quick decisions about where to cut costs, investors and analysts said - a challenging task for a firm of its size and with a complex power structure formed over its 87-year history.

"In difficult times, management and unions have an ability to get to consensus," Jefferies analyst Philippe Houchois said. "But it's not going to be smooth."[/QUOTE]

source: https://www.nst.com.my/business/corporate/2...rkers-over-cuts[QUOTE]

https://www.kedglobal.com/electric-vehicles...ked202409020015


I bet no one see this coming....

especially considering the rivalry....

in North America: Aggressive Hyundai EV plan aims to be Toyota's worst nightmare
The South Korean automaker is taking on Toyota's bread-and-butter, and some more.
https://www.thestreet.com/electric-vehicles...worst-nightmare



AND in india:

https://sg.finance.yahoo.com/news/hyundai-t...-103052934.html

Hyundai, Tata, others lobby Indian state against hybrid support as Toyota rivalry deepens



This post has been edited by EnergyAnalyst: Sep 5 2024, 09:44 AM

https://www.cnbc.com/2024/09/06/once-the-en...ng-economy.html


Once the envy of the world, Germany’s car brands now weigh heavily on its struggling economy

PUBLISHED FRI, SEP 6 20241:11 AM
thumbnail
Sophie Kiderlin
@IN/SOPHIE-KIDERLIN-B327B914A/
@SKIDERLIN

KEY POINTS

Germany’s car industry was once recognized around the world for its high-quality, innovative internal combustion engine cars. But things have changed since then.

The industry is facing a range of issues, from regulation to macroeconomics, China and EVs.

Issues in the automotive sector may also have spill over effects onto the wider German economy, which has been struggling for some time now.

https://cleantechnica.com/2024/09/05/is-byd...r-in-the-world/


Is BYD Going To Become The Largest Automaker In The World?

...We also have had stories on the potential crisis coming Toyota’s way, and the fact that Toyota is even relying on BYD tech for its EVs in China. Given recent decades, it’s hard to not see Toyota at the top of the auto charts, but trends imply that Toyota could be on the way down as BYD is on the way up. BYD is setting foot in more and more markets around the globe, and is surely looking to scale up sales in those countries as the “best value for money” provider of high quality but cheap electric vehicles. Nothing really comes to mind to stop me from thinking BYD is well on its way to becoming “the next Toyota.” And if BYD is the next Toyota, that implies BYD will become the largest automaker in the world.

Convince me otherwise. What arguments are there, really, to counter this?

Oh yeah, and BYD already has its own ocean shipping vessels and is a leader in battery production! The company is vertically integrated like no other.

https://insideevs.com/news/732873/ev-sales-...morgan-stanley/


The EV Slowdown Will Last Another 12-18 Months, Analysts Say

After that, plan for a "resurgence"—especially if traditional automakers ink deals with EV startups and Chinese firms.
EV sales

InsideEVs
Sep 6, 2024 at 5:00pm ET

By: Tim Levin
Following years of explosive growth, big promises and a healthy dose of hype, the transition to electric vehicles—particularly in the U.S.—has hit some turbulence. Car companies like Toyota, Ford and Volvo are scaling back their electric plans in the face of uneven consumer demand. And in some ways it all makes sense given how adoption of a new technology typically works out; it’s not always up and to the right, even if that’s the general trajectory.


In a new report out this week, Morgan Stanley's auto-industry analysts say to expect the global EV slowdown to persist another 12-18 months. Around 2027, however, they expect a “resurgence” in EV momentum.

What’s important to note about this “slowdown” is that it’s a drop in the rate of growth—not a decline in overall sales. Amid all the gloomy headlines, it’s easy to miss that more and more people are buying EVs. Morgan Stanley notes that the world is headed for yet another record year of electric sales. The bank’s analysts have an interesting take on what’s causing the slowdown and the keys to fixing it—maybe a Ford/Xpeng collab?—so let’s dive in deeper.


First off: the numbers. Between 2024 and 2026, Morgan Stanley’s autos team now projects that EV sales as a percentage of global car sales will grow from 14% to 17%—3% less than its prior estimates. After that, though, EV sales growth should reaccelerate, hitting an estimated 32% of the global market in 2030. (That’s 8% less than the bank’s analysts previously projected.)

So, EV sales should still climb over the next few years, just not as ferociously as before. There are many intertwined reasons that’s happening, the analysts say.

Why EV Sales Growth Is Slowing Down
Much of the shortfall in EV volume will stem from markets like the U.S. and Europe, where EV affordability and tariffs against Chinese manufacturers “remain key gating factors to EV adoption,” the bank says. EV prices in those markets are 20-30% higher than their combustion counterparts, the analysts note. High interest rates aren’t helping either.


On top of that, global automakers are pumping the brakes on their largely unprofitable EV investments. Most companies making EVs have invested a huge amount in R&D and new production lines, but haven’t hit the economies of scale necessary to be in the black. So they’re doubling down on combustion.

A new boom in demand for hybrids and plug-in hybrids (PHEVs), the analysts say, is also to blame. They’re cheaper and easier to live with than full EVs, in many cases, and threaten to cannibalize EV sales in coming years. Given the surge in PHEV sales over the last year, Morgan Stanley bumped its estimate for global PHEV penetration to 14% by 2030, 3.5% higher than its prior estimate.

How Will EV Sales Bounce Back?
So, what’s the key to an EV rebound? In general, industry watchers point to more confidence-inspiring charging infrastructure, lower vehicle prices and a wider variety of appealing EV options. The Morgan Stanley team argues something different—that the future health of the EV industry hinges on new collaborations between EV companies and established automakers, and especially between Chinese and Western manufacturers.


In other words, Ford ought to strike a deal with China’s Xpeng. Or maybe General Motors should team up with Lucid or Li Auto.

“[I]ncreasing collaboration among legacy OEMs and EV players, evidenced by VW-XPeng, Stellantis-Leap, and VW-Rivian, could help reignite interest in global EV adoption,” the report says.



Legacy automakers, the analysts say, benefit from lots of manufacturing capacity, developed global supply chains, strong brands and access to capital. EV players have the upper hand when it comes to software, electrical architectures (which are becoming increasingly important), driver-assistance tech and technological innovation more broadly. American and European automakers are struggling to produce affordable EVs profitably. Chinese manufacturers, aided by a plethora of government subsidies, are known for blistering development cycles, advanced technology and low manufacturing costs. But tariffs threaten to hinder their advance into huge Western markets.

All of this makes joint ventures look like a win-win, the analysts say. And it’s already happening. The huge Volkswagen Group recently inked a multi-billion-dollar deal with Rivian to leverage the startup’s vehicle software and electrical architectures. The big question is: Would the U.S. government let joint Chinese-American ventures build EVs in the U.S. despite geopolitical tensions? After all, the U.S. plans to slap a 100% tariff on Chinese-made EVs.

The Morgan Stanley analysts say there’s no other choice: “We think joining hands with China's EV ecosystem has become a prerequisite to manufacturing affordable EVs in the US, rather than being optional.”

Contact the author: tim.levin@insideevs.com

https://www.reuters.com/business/autos-tran...rts-2024-09-05/

My question is are the Japan government aiding fund used for its intended purpose or otherwise?

This post has been edited by EnergyAnalyst: Sep 11 2024, 10:36 AM

https://themalaysianreserve.com/2024/05/02/...-left-by-china/

Honda EV for Canada

https://www.straitstimes.com/business/compa...hnology-at-home

If this report is true , then many will get a taste of their own medicines

https://www.businesstimes.com.sg/internatio...hina-ev-tariffs



This post has been edited by EnergyAnalyst: Sep 12 2024, 04:09 PM

https://soyacincau.com/2024/09/05/get-audi-...ee-vw-golf-gti/

Muah hahahahaha

Suddenly both brands look cheap despite asking for high prices.

This post has been edited by EnergyAnalyst: Sep 14 2024, 07:46 AM

https://www.torquenews.com/17995/gm-critici...ng-gms-collapse

...Currently, the only thing protecting the US auto market are the heavy Tariffs but even with 100% Tariffs, Chinese cars are drifting towards competitive pricing which means, if those Tariffs ever went away the automakers now benefitting from those Tariffs would fail. And these car makers are spinning up manufacturing in countries like Mexico which can avoid those Tariffs and can benefit from China’s advantages in terms of parts costs and enjoy labor costs similar to China’s.

GM allegedly responded that they think Zeekr is advancing too fast.

Anticipating The End Of The US Automotive Industry

We were here before in the 1970s, Japan got its car industry together (ironically with a ton of help from US car companies) and suddenly the car companies in the US couldn’t react. Cars like the Pinto and Vega tried to compete but they were relatively poorly built, had serious reliability issues, and the Pinto in particular had a reputation for exploding when hit from behind (I still think this was overblown given most pickups had the same issue – the link is from the movie comedy Top Secret which came out around that time).

This is often how countries lose their industry leadership, for instance, with cell phones Finish company Nokia didn’t think Smartphones were a thing, and then thought Apple was a joke. They lost their dominance and nearly went under and aren’t even a well-known brand today as a result.

AT&T dominated telecommunications until the US market opened up to competition and then they failed over into the Baby Bells, it was eventually resurrected as a very different company, but this lesson is learned the hard way over and over again. You have to step up to competition or that competition will roll right over you.

The Coming Electric Car Tidal Wave

With any new technology, there is an initial over-excitement, then a pullback as the technology catches up to expectations, and then it goes vertical. With AI we are still in that early phase but with electric cars we are quickly going through the valley of disappointment as the infrastructure for charging begins to come online at scale and cars are arriving with significantly greater range, reliability, and battery life.

Granted Musk’s behavior has done significant damage to this effort and Tesla but we are seeing used electric cars to start to outsell gas cars at prices that new Chinese cars enjoy today. That’s a serious problem because if you get good new cars selling at the same price as cars one or two years old you are done as a car company.

These Chinese cars are well built and rich with features, they have had some quality issues but these are in line with what Tesla is experiencing which was and continues to be survivable and they are better, relatively, than the early Japanese cars particularly the ones made in the 50s and 60s.

China’s effort is ramping up nicely and will coincide with what I believe will be a second electric car wave starting in 2025/6, but many western car companies are now pulling back and Jaguar, the one European car maker that decided to go all-electric and stay on the path, is having a really bad time pivoting to electric and may not survive as a result.

Wrapping Up:

When you go to the market you have to be prepared to compete at the same level as your competitors and right now Chinese car companies like Zeekr are so greatly outperforming US domestic car companies that they are starting to overcome massive protective tariffs, should those tariffs be bypassed (Mexican manufacturing) or be eliminated as part of a future trade deal, I doubt companies like GM and Ford will survive and I don’t think the European companies will do much better.

Technology pivots often wipe out much of the pre-existing companies, I expect we are seeing that play out once again.

Rob Enderle is a technology analyst covering automotive technology and battery developments at Torque News. You can learn more about Rob on Wikipedia, and follow his articles on Forbes, on X, and LinkedIn.

This post has been edited by EnergyAnalyst: Sep 18 2024, 05:47 PM

https://www.ft.com/content/7e5677b8-87fa-41...48-9009ac7f14fc




This post has been edited by EnergyAnalyst: Sep 23 2024, 11:59 PM

https://fortune.com/europe/2024/09/30/volks...profit-warning/


Volkswagen AG’s second profit warning in three months makes one thing clear: Europe’s biggest automaker is in decline.

The German manufacturer on Friday slashed expectations for revenue, profit and cash flow due to waning demand for its cars. The company now expects to deliver fewer vehicles this year than in 2023 — its fourth annual sales slump in five years.

The warning underscores the extent of the crisis at Volkswagen, which has bungled a transition to electric vehicles and lost relevance in China, where its VW, Audi and Porsche brands are hemorrhaging market share. In Europe, Chief Executive Officer Oliver Blume faces new entrants including China’s BYD Co. as well as a conflict with unions over possible job cuts and unprecedented plant closures.