Q&A: Green Car Pioneer Ron Cogan Offers Sage Insights

Posted on May 3, 2021 by admin

Green Car Journal Publisher Ron Cogan at the 2020 Green Car Awards. He’s been covering the shift to environmentally friendly vehicles for three decades.

The automobile has transformed we live, work and play. Unfortunately, it’s also had a seriously detrimental impact on Planet Earth. And now, as it becomes more crucial to address issues like climate change, the automobile is in the crosshairs.

That’s a message many have come to just lately. Not Ron Cogan. The veteran automotive journalist was among the first to recognize the need to clean up the car, in 1992 launching Green Car Journal. Where some have focused exclusively on electrified vehicles, pure battery-electric models, in particular, Cogan and his magazine have looked at all the various green car technologies that have come — and, in many cases, gone — during the past three decades.

The latest issue of Green Car Journal focuses specifically on battery-electric vehicles. But, as is Cogan’s style, it takes a pragmatic, even somewhat skeptical, look at this potentially game-changing technology, recognizing there are still many challenges to be overcome before BEVs can clearly replace the time-tested internal combustion engine.

Cogan spoke to TheDetroitBureau.com about his years covering the green car world and what he sees coming in the years ahead.

Cogan’s enjoyed a front-row seat, watching and writing about the shift from ICE-powered vehicles to electrified models in the U.S.

TheDetroitBureau: These days, everyone is writing about electric vehicles but you’ve been at this for a long time, haven’t you? And don’t you take something of a broader look when it comes to environmentally friendly vehicles?

Ron Cogan: Green Car Journal, which launched in 1992, has been all about options, everything that’s happening in the green space, whether it’s methanol, ethanol and natural gas, even high fuel-efficiency gasoline. Now, there’s a huge push towards electrification. It wasn’t our call to tell people what to drive. With our 30^th birthday coming up we wanted to let people read different opinions from industry leaders.

TDB: We now have General Motors CEO Mary Barra setting a transition to all-electric vehicles and announcing a second battery plant. Is this the year of the tipping point for battery-electric vehicles?

Cogan: I would agree there’s a tipping point going on in the sense that there’s a major commitment by a lot of automakers. It’s gone beyond lip service. For the industry, the tipping point is here. The question is whether it is a consumer tipping point yet. Only so many people are willing to step up to pure electric vehicles. More see a hybrid as the way to go because it’s so seamless, and some to plug-in hybrids. But have we reached a tipping point for consumers? I’m not so sure.

Cogan notes that hybrids provide a level of convenience that pure EVs cannot.

TDB: Yet BEVs do seem to be gaining a lot of momentum.

Cogan: Well, the range issues is being overcome to a large degree, But even with 250 miles, on a long trip you have to plan ahead (to find places to charge), which is why I think plug-in hybrids are going to be pretty huge. When you can’t plug in you’re not limited, so I think that category is really going to expand. With a plug-in you can do everyday driving in electric but switch to internal combustion when you have to go farther. I think it’s a win-win. And it will get more people into buying electric vehicles.

TDB: I find that the best way to promote electric vehicles is to get people into electric vehicles. They’re often surprised by the performance, for one thing.

Cogan: Yeah, today’s electric vehicles are pretty amazing given what they offer — everything a combustion vehicle can offer and more. The launch in an electric vehicle can be pretty exciting and some companies, like Tesla, are keying in on that, talking about how they can beat a Ferrari on track and all that. I think that’s surprising a lot of people.

Cogan is quick to note that EVs are not the only way to improve the efficiency of vehicles. His publication’s honored several diesels.

TDB: I have more and more people asking if this is the right time to buy an electric vehicle. Many worry that, like with an iPhone, if they buy today something better will soon come out and they’ll regret it. What would you tell them?

Cogan: The technology, the range, all of that will improve over time, as will the cost which will continue to go down incrementally. So, it’s a tough question. If you find the right vehicle that appeals to you, it makes sense, go ahead and buy the vehicle. There are some great choices out there now and there are going to be more coming up. The jump to 250 miles (which most new BEVs are offering) is huge and there are going to be more and more charging stations coming online. True, the nature of it is that there’s always going to be something better. But do you never buy an electric vehicle because of that?

TDB: Doesn’t that make an argument for leasing, rather than buying? You can move to something newer and better in a few years — and not worry about trade-in values.

Cogan: I think leasing is the ideal way to go with electric vehicles. It means you don’t have to take as much of a risk. You know what your payments are. You know when you’re going to turn it in. And then, you can move on to the next generation of electric vehicles. Leasing takes the risk out.

Green Car Publisher Ron Cogan, Chevy Marketing Director Steve Mojoras and the 2016 Volt, which was honored by the Green Car Awards.

TDB: Let’s talk about batteries — in particular, next-generation batteries. Honda, Ford and others are all talking about solid-state batteries (which supposedly will be lighter, deliver longer range and shorter charging times and even reduce the risk of fire). Are they real? And will they live up to expectations?

Cogan: It seems that if solid-state comes close to all the promises it would put BEVs over the top, making all the difference in the world. Solid-state, from what we hear, is the ideal technology.

TDB: What would you estimate will be the BEV share of the market by 2030? And could it be even bigger than people are forecasting now?

Cogan: It’s tough to make a prediction, and I try to avoid that. But automakers and other interests are pushing for them and there’s a lot of interest in setting up a nationwide rapid charging network. All of that takes us in the direction where we know there’s going to be significantly more electric vehicles sold by then. But many things could influence the fate of gasoline vehicles. How’s the price of gas? If gas prices stay low there’ll be less incentive for electric vehicles. Technology will influence things. A recession could, as well. Legislation clearly will have an influence, especially if it’s a disincentive to drive on gasoline.

Honda has been at the forefront of fuel-cell vehicles with the Clarity.

TDB: On the subject of politics, the Biden administration wants to have 500,000 charging stations in place by 2030. Could that mean a faster growth rate for electric?

Cogan: If we get the range to drive on battery like you would on gasoline and you have a network of rapid chargers, suddenly, your functionality is increased exponentially. But there’s no way yet to know if the government is going to create (that public charging network). Administrations change. Agendas change. So, I don’t put stock into what you can count on as far as legislation matters.

TDB: But the Biden administration is clearly making a lot of proposals to promote electric vehicles. Do you like what you’re seeing?

Cogan: Yeah, as far as I can tell. I mean, we’re going to see how this all unfolds. This administration has a more proactive agenda for environmental issues in general and clean cars, specifically, than the previous administration. But I have to say you can’t always count on that. Back under the Obama administration, he wanted a million electric vehicles by 2015. It was never going to happen because there weren’t enough vehicles to make it happen. (But) I look at all of these things (Biden is proposing) as positive … a direction that seems to make sense for electrified vehicles.

Cogan drove a GM EV1 for a full year.

TDB: You started publishing Green Car Journal in 1992. Looking back on the last three decades, what were biggest surprises, the things you didn’t count on early on?

Cogan: One of the milestones was the debut of the GM Impact prototype and then the actual production of the GM EV1, I drove one of those for a year. It was an amazing car to be in on the evolution of electric vehicles. It was also interesting to note how hydrogen was big and then (see automakers) backpedaling, Now they’re interested in hydrogen again. It’s gaining momentum again.

One of the (other) things that surprises me is that we’re seeing such a push for electrification, at the extreme high end of both luxury vehicles and sports cars and exotics.

TDB: To wrap up, is the age of the internal combustion engine coming to an end?

Cogan: I don’t think you can discount internal combustion because it keeps getting better and better. And I don’t think you can discount hybrids and plug-in hybrids and focus just on battery-electric vehicles. Those are all a big part of the solution. It may have narrowed from when we started publishing. It’s no longer really about ethanol and natural gas and propane. It’s really about electrification and significantly more efficient internal combustion engines — and a combination of the two. It’s going to be even more exciting in the years ahead seeing how it will play out.

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Automakers Suspend Operations, Change Equipment Due to Chip Shortage

Posted on April 21, 2021 by admin

Ford is temporarily suspending production at its Kansas City assembly plant to deal with the shortage.

Automakers continue to search for ways to deal with the semiconductor chip shortage impacting the industry on a global scale.

Most companies cut back production and shift available chip inventory to high-profit vehicles like pickup trucks. Seemingly no automaker is immune to the problem, including pricey luxury and sports car makers. Mercedes-Benz, Porsche and others all recently announced moves to deal with the shortage.

This week is not different with Daimler, Stellantis and Subaru reporting today they are taking new measures to account for current run of chip shortages, both in the U.S. and in other facilities around the world.

New announcements

Ford plans to extend the shutdowns at plants that build its F-150, Ford Transit, Ford Explorer and Lincoln Aviator, Ford Edge/Lincoln Nautilus and Ford Mustang. The Kansas City Assembly Plant that builds its top-selling F-150 and Transit commercial van suspend operations for the weeks of May 3 and 10. It’s currently closed down.

GM is slowing production of its van at its Wentzville plant to deal with the chip shortage.

The Flat Rock, Michigan plant, which builds the Mustang, and Chicago plant that builds the Explorer and Aviator will also be down the first two weeks of next month. They’ve been down since the week of April 12, according to Automotive News.

The company plans to continue the reduced production of its Super Duty and medium-duty trucks at the Ohio Assembly Plant near Cleveland.

General Motors plans to move its Wentzville (Missouri) Assembly plant from three shifts to just two on a temporary basis starting the week of April 26. It’s cutting van production at the site. Production of its midsize pickups, the Chevy Colorado and GMC Canyon, are unaffected. The company just restarted operations at the facility last week after a two-week shutdown.

Other moves

In what may be the most novel approach to dealing with the issue thus far, Stellantis is using analog speedometers in some its Peugeot models instead of the digital ones they would normally come equipped with.

Daimler is cutting hours for 18,500 workers at two plants in Germany as it waits for more chips.

The move affects only the Peugeot 308, Reuters reported, which are built in France. The brand sold about 98,000 of the 308 model last year. The 308 is being phased out this fall in favor of a new vehicle. The company may reduce the price as a result of the less advanced speedo.

Daimler plans to reduce hours for 18,500 employees and idle production at its Bremen and Rastatt plants in Germany. Bremen builds the C-Class as well as the GLC, GLC Coupe and the all-electric EQC. The Rastatt plant produces the A-Class hybrid as well as the A-Class sedan, B-Class and GLA compact SUV.

Japanese automaker Subaru Corp. revealed plans to temporarily suspend production at its plant in Lafayette, Indiana. The closure will be in place until the end of April, according to officials. It will affect about 15,000 vehicles for North America, officials noted. The company builds the Ascent, Outback, Legacy and Impreza at the site.

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Shootout in Shanghai: A Roundup of the Hottest New Products Debuting at the Shanghai Auto Show

Posted on April 19, 2021 by admin

A little bit of normalcy in what is still a topsy turvy world, Auto Shanghai has plenty of new models.

While big auto shows have been put on indefinite hold in the U.S., Europe and much of the rest of the world due to the coronavirus, the industry got back to a sense of normal in China this week with the media days opener at the Shanghai Auto Show.

Reflecting the size of what is now the world’s largest automotive market, the event brought out scores of new and substantially updated products from both domestic Chinese brands, as well as from the foreign-owned marques still dominating the market.

As has become the case worldwide, there is a heavy emphasis on electrified vehicles in Shanghai, from conventional hybrids to pure battery-electric vehicles. But there are plenty of conventionally powered models. And one Chinese automaker even launched an all-new off-road SUV sub-brand.

Plenty of offerings at the show

Audi A6 e-tron concept

Here’s a roundup of some of the most important product announcements from the 2021 Shanghai Auto Show:

Audi. The German luxury brand is a big player in the Chinese market and Audi hopes to gain even more ground with a mix of new and updated models. One of its most significant introductions in Shanghai is the A6 e-tron concept. While just a show car, for now, a production version of this low-slung battery sedan is in the works. It will help Audi meet China’s tough New Energy Vehicle mandate calling for 25% of sales to use plug-in or all-electric drive by 2025. The automaker also revealed the new Q4 e-tron and Q4 Sportback e-tron, as well as a stretched version of the familiar Audi A7 fastback.

BMW. One of the worst-kept secrets in Shanghai was the “surprise” debut of the production version of the BMW iX. With its controversial take on the brand’s familiar double-kidney grille, the iX will serve as the flagship of BMW’s rapidly expanding line-up of battery-electric vehicles. Set to go on sale in China, North America and Europe next year, the iX uses a new modular architecture that will underpin a broad range of BMW BEVs. The automaker says it will deliver “more than” 500 horsepower and hit 60 in less than 5 seconds in its top trim using the new eDrive technology.

BMW iX

Buick. Buick was one of the very earliest foreign entries into the Chinese market and remains a major player. It has several new models making their debuts on the Shanghai show floor this year, starting with the Envision Plus. It’s an extended version of the small Envision SUV — gaining 7 inches in length and 2 inches in height — that Buick already exports to the U.S. No word if the Plus will reach North America, as well. Also new, the Verano Pro is a “premium family sedan” aimed at younger Chinese buyers. It features a relatively conventional exterior paired with a decidedly high-tech cabin.

Cadillac. Parent General Motors says it wants to halt production of gas and diesel vehicles by 2035. The U.S. luxury brand aims to reach that target five years earlier — and the Lyriq will be the first step in the process. A prototype was unveiled online last August. It will hold a place on the Shanghai stand until later this week when Cadillac plans to reveal the actual production version of the all-electric SUV. The midsize Lyriq will use GM’s new Ultium batteries and electric vehicle architecture that will be shared with a broad range of other, upcoming BEVs.

Cadillac Lyriq

Citroen. The French automaker is billing its new C5 X as something of a Swiss Army knife, claiming it “combines the best attributes of a sedan, a station wagon and an SUV.” The vehicle will be offered both in gas and plug-in hybrid forms, the last helping the automaker meet strict new Chinese electrification mandates. The C5 X and C5 X Hybrid will be produced solely at a joint venture plant in Chengdu operated by parent Stellantis and Chinese partner Dongfeng for export to Europe and other markets.

Ford. There’s plenty of buzz about a potential crossover that could bring back the Fusion badge, which Ford abandoned when it dropped its passenger car line-up in the States. While that plan has yet to be confirmed, the automaker did reveal the new Evos in Shanghai, a sporty, coupe-like crossover that is widely expected to find a place in Europe and North America, as well as in China. The five-door could replace the European Mondeo sedan and, speculation suggests, might push aside the stodgy Edge crossover in the U.S. and Canada. Ford also debuted the new Equator, a more conventional SUV.

Zeekr 001

Geely. The fast-growing domestic Chinese brand has launched an entirely new, all-electric sub-brand, Zeekr. It gets off the ground with a midsize station wagon called the Zeekr 001, which delivers an estimated 435 miles per charge. The underpinnings will be shared with some of the other Geely brands, including Lynk & Co. and Volvo. Geely plans to back up its push into electric propulsion by setting up a network of 2,200 fast-charge stations across China. Geely also debuted an assortment of its own new and updated models, such as the GS and Xingyue L.

Genesis. Hyundai’s spinoff luxury brand is rapidly expanding its line-up and is set to deliver its first battery-electric model, the G80 Electrified. The BEV shares the basic design of the conventionally powered G80 but manages to squeeze in enough batteries to deliver 500 km, or around 310 miles, of range, Genesis claims. It will launch in China but details of a North American launch will be released later this year. The Korean carmaker hints that “additional EV models” are in development.

Genesis Electrified G80 Concept

Great Wall. The ambitious Chinese domestic automaker covered a number of bases during its Shanghai news conference. The Ora Lightning Cat concept hints at an upcoming all-electric sports sedan. The design seems to draw inspiration from both Porsche and Tesla, the latter with the notable lack of any sort of grille. Twin Motors will help the Cat hit 60 in barely 3.5 seconds, the automaker said. Great Wall also announced a new sub-brand, Tank, to produce serious off-road SUVs.

Honda. The Japanese automaker has two new models in Shanghai, starting with the SUV E:Prototype. Looking a fair bit like the current Honda Fit, it’s a small, all-electric SUV that is widely expected to return in production form in China next year. Honda isn’t saying much, so it’s unclear if the E:Prototype uses a more modern skateboard platform or squeezes batteries into what would basically be an electrified version of the Fit. Also on display, the Breeze plug-in hybrid.

Hyundai Motor Group. The world’s fifth-largest automaker held a combined news conference focusing on its ambitious electrification plans. This covered three different brands, Hyundai, Kia and Genesis. (See the Genesis news, above.) Among the highlights: the Chinese debut of the Ioniq 5, the first of what’s to become a sub-brand and family of Hyundai battery-electric vehicles. For its part, Kia showed off the EV6, the first in what will be its own family of BEVs. Kia said it plans to launch a new all-electric model every year in China, aiming for eight by 2030.

Hyundai Ioniq 5

Lexus. Toyota’s luxury division introduced a midcycle update of its popular ES sedan. The refresh brings some significant tweaks, though they largely focus on the cabin, as well as the ES sedan’s performance. The interior “seat-in-control” concept brings all switches and controls within easy reach of the driver, among other things moving the infotainment screen outward by four inches. The Lexus Safety Sense driver assistance technology gets an upgrade and the ES 350 F Sport adds a new Dynamic Handling Package for 2022.

Maserati. The Italian automaker brings out its first BEV, the new Gran Turismo next year. But it’s now launching its second hybrid, a version of the big Maserati Levante. The SUV uses an electric drive system paired with a 2.0-liter inline-4 gas engine. Capable of pushing it to 240 kmh, or 150 mph. Maserati dashed expectations of a plug-in hybrid, officials claiming the added mass would have cost too much performance. The new Grecale SUV coming later this year also will offer hybrid technology. Maserati expects all models will offer some form of electrified option by 2025.

Mercedes-Benz EQB

Mercedes-Benz. The German automaker brought two new battery-electric vehicles to Shanghai, including the EQS, the battery-powered alternative to its familiar S-Class flagship, which got an early, online preview. It introduces the new, one-bow design concept that will shape future BEVs. The EQB, however, gets a more conventional SUV look, albeit with distinctive design cues like its sealed grille and distinctive fiber-optic light bar. The EQB will be offered in both two- and three-row packages and will roll out worldwide. Alongside the two BEVs, Mercedes also revealed a stretched version of its C-Class sedan.

MG. The British brand — now Chinese-owned — returns to its sports car roots with the debut of the Cyberster concept. Decidedly not retro, the all-electric two seater was designed at MG’s Advanced Design Center in London and packs a wallop, both visually and in terms of performance. The Cyberster reportedly can deliver 800 km, or about 500 miles, per charge, and it will launch from 0 to 60 in less than three seconds. There are no plans to revive the brand in the U.S. market.

MG Cyberster

Nissan. The second-largest Japanese automaker debuted the new X-Trail SUV, which is largely a Chinese take on the latest-generation Nissan Rogue that was introduced in North America last year. It’s also known as the Qashqai in Europe. But …there is some big news, nonetheless. It will feature Nissan’s new e-Power plug-in hybrid drivetrain technology. Electric motors drive the X-Trail’s wheels. But the drivetrain can supplement a modest-sized battery pack with power generated by a 1.5-liter turbo-4 gas engine using Nissan’s variable compression technology.

Toyota. The Japanese giant has been slow to embrace all-electric propulsion, preferring to focus on its familiar hybrids and newer Prius plug-in hybrids. But, with more and more markets going all-electric — China setting a high target for 2025, Toyota is entering the fray and revealed in Shanghai it is working up 15 BEVs. Seven of those will be part of the new “Beyond Zero” line. The first will be the bZ4X, a concept version of which made its debut at the Shanghai show. The production model will follow in short order, though Toyota isn’t revealing global rollout details yet.

Volkswagen. The German automaker is a powerhouse in the Chinese market and wants to retain its position — which means it needs to be a big player in the growing BEV segment. So, Shanghai sees the debut of the new ID.6. With three rows, and seating for up to seven, it’s the largest battery-electric vehicle VW has yet introduced, though it shares the same, underlying MEB architecture as Europe’s ID.3 hatchback and the ID.4 SUV just going on sale in the U.S. Two versions will be available: the ID.6 Crozz, closer to the original ID.Crozz concept crossover, and the ID.6 X.

Chinese Smartphone Titan Xiaomi Entering the EV Race

Posted on April 1, 2021 by admin

Xiaomi, a Chinese smartphone colossus, has announced they are building their own branded electric vehicles (EVs), just like Apple, Huawei, Sony, and Foxconn.

If you’re prepared to lose money, starting a car company is easy. Just ask Tesla. Xiaomi has plenty, enough to sink $10 billion into the venture over the next 10 years.

Xiaomi, the third-largest smartphone maker, is merging automotive, electronics, and information and communication technology with the traditional auto industry model. Xiaomi’s expertise is in manufacturing, hardware-based Internet service, software, and hardware integration. Their appeal in China, brand recognition, and presence in other countries will no doubt help at launch.

Xiaomi’s smartphone brand, POCO, has made its way into 35 markets in the past three years. Xiaomi shipped over 9 million phones worldwide in 2020. The POCO F1 was their first release in 2018, adopted early on by techies and later by the media, achieving over 2.2 million shipments.

Yesterday, Xiaomi released the Mi Mix Fold, a new foldable smartphone. Xiaomi’s entrance in this segment is notable beyond the foldable display. Xiaomi’s new flagship, it has 16GB of RAM and 512GB of storage. The first camera phone to use their Surge C1 chipset, it’s also the first to use liquid lens technology.

Besides the new smartphone, the company unveiled its new Xiaomi logo, designed by Japanese graphic designer Kenya Hara. Look for Xiaomi’s entrance into the EV segment to intensify the competition within China, as well as elsewhere in the world.

[Images: Xiaomi]

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Lexus LF-Z Concept Previews Brand’s Electrified Future

Posted on March 30, 2021 by admin

The new LF-Z concept offers a hint of what’s coming from Lexus and its battery-car offerings.

Lexus will roll out nearly two dozen new models by mid-decade, including an assortment of hybrids, plug-ins and pure battery-electric vehicles. The new LF-Z concept offers a hint of what’s coming, both from a design perspective as well as the new technologies the luxury brand will bring to market.

Like other luxury marques, Lexus expects to see demand for electrified powertrain technology surge in the coming years. But in contrast to some of its key competitors, Toyota’s high-line brand expects buyers to continue seeking out a mix of solutions, ranging from conventional gas-powered products to those running entirely on battery power.

“Our main goal, moving forward, will be to look at each individual region and their specific needs and then to choose the best (powertrain) alternatives,” said Lexus Chief Engineer Takashi Watanabe, during a media roundtable Tuesday morning Japan time.

Early pioneer doesn’t want to get left behind

The 2021 LF-Z concept is just the latest LF concept car shown by Lexus.

Lexus was the first luxury brand to offer a hybrid, a version of the old GS sedan. Like parent Toyota, it has been reluctant to bring out a pure battery-electric option. But, with most of its competitors set to enter the BEV space, Lexus doesn’t want to get left behind.

It has shown several all-electric prototypes in recent years. The new LF-Z is the latest. And it’s also the closest to what will wind up in Lexus showrooms before mid-decade, Watanabe and his colleagues hinted during the media backgrounder.

That includes the LF-Z’s design language which takes current Lexus styling cues in a new direction. There’s a hint of the familiar spindle grille framed by what might seem, at first glance, to be the big air intakes of the LF-C sports car. But this isn’t a standard grille, as there’s no need to feed air into the engine compartment. In fact, there is no engine compartment. The concept’s battery pack and motors are mounted within LF-Z’s skateboard-like platform.

The curvaceous shape of the crossover has a functional purpose, designed to minimize aerodynamic drag, said Watanabe. In turn, that improves performance while also boosting range.

Lexus Driving Signature

The LF-Z squeezes in 90 kilowatt-hours of lithium-ion batteries, enough for an estimated 600 kilometers, or roughly

The LF-Z is the latest battery-electric concept using a yoke-style steering wheel.

375 miles, of range per charge. (That’s using the European WLTP test cycle. The numbers would drop 10% or more based on the more stringent test cycle used by the U.S. EPA.)

Power is delivered to two electric motors, one on each axle, according to Watanabe. They’re part of the brand’s new Direct4 drive system which splits torque between left and right wheels to achieve what the automaker calls the “Lexus Driving Signature.”

“Direct4 precisely controls the delivery of drive torque from front and rear electric motors and braking force to all four wheels,” the automaker said when it first showed the technology last December. “By automatically adjusting the balance of front and rear-wheel drive, the system adapts the driving conditions to the driver’s intentions, changing the driving feel and giving the car the best driving posture.”

The Direct4 system is paired with a new steer-by-wire system that eliminates the traditional, mechanical connection between the steering wheel and the front wheels. The system, Lexus officials claim, provides a more intuitive connection between man and machine. The degree to which the wheels turn can vary depending upon factors such as road condition, vehicle speed and the rate at which the driver turns the steering wheel.

New technologies coming by 2025

The concept features a tinted, but not opaque, panoramic glass roof.

The yoke-like wheel anchors the minimalist cabin layout and incorporates switches that let a driver control the LF-Z much as a rider guides a horse by using the reins. The low instrument panel is topped by a large head-up display and makes use of augmented reality to enhance navigation and other vehicle operations.

While there’ll be no production LF-Z, “You will see some form of those technologies … in some of those vehicles … coming by 2025,” said Watanabe. That will include several all-electric products, as well as plug-in and conventional hybrids.

While Lexus plans to continue offering vehicles powered solely by internal combustion engines for the foreseeable future, all models will be offered with some form of electrified option by 2025, said Hiroo Tagahi, the brand’s communications chief. And he said Lexus planners expect that those battery-based models will, by mid-decade, generate the majority of the marque’s global sales.

All-new HQ

The shift to electrification comes at the same time Lexus plans major changes in its headquarters operations. It is building a new, multi-function complex at the Toyota Technical Center in Shinoyama, about 60 miles north of Tokyo. The new HQ will consolidate design, engineering and management into a single building, an approach Lexus officials hope will lead to greater creativity and flexibility. The complex also will add an assortment of new test tracks — even while retaining 70% of the center’s land in pristine natural condition.

The new Lexus headquarters is expected to open by mid-decade.

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Daimler Boosts Earnings Despite Pandemic

Posted on February 18, 2021 by admin

Daimler CEO Ola Källenius said company turned a better-than-expected profit due to the cost-cutting measures implemented company wide.

Daimler AG reported profits increased 48% to $4.8 billion during 2020 in a challenging environment due to the COVID-19 pandemic.

The company’s total unit sales of passenger cars and commercial vehicles decreased by 15%, to 2.84 million units while revenue dropped 11 percent. For the full year, Daimler’s net profit improved to $4.8 billion, compared to $3.2 billion.

However, cutting cost and cash preservation measures and steady performances across all divisions boosted earnings before interest taxes of the Daimler Group by 53 percent.

“The year 2020 was a stress test for just about every company in almost every industry. The Daimler team mastered this test very well,” said Ola Källenius, chairman of the Board of Management of Daimler AG and Mercedes-Benz AG.

Daimler products remain popular

Källenius added Daimler products continue to be in great demand across all major markets and divisions.

Daimler’s management team reviews the company’s financial results for 2020.

“With rapid growth in our xEV sales and the introduction of new products and technologies, we have also taken important steps in terms of electrification and digitalization,” said Källenius, adding the company’s financial results are significantly above market expectations.

“We proved our ability to generate substantial cash flow and to drive the ongoing transformation on our own – even under the adverse circumstances of a pandemic.”

At the Annual General Meeting on March 31, 2021, the Board of Management and the Supervisory Board will propose a dividend of 1.35 euros or $1.62 per share, up from 2019’s dividend of .90 euros or $1.08 per share.

Källenius added, “We are confident that we can maintain positive momentum if current market conditions prevail, accelerating our strategic plans and further enhancing our financial robustness.”

Separation still ready to go

Daimler AG is undergoing big changes in 2021 with the spinoff of the truck business.

Daimler plans to spin off and list Daimler Truck on Germany’s DAX index. The new Daimler Truck shares will be distributed to current Daimler shareholders. The new company will be just that: a new company. It will have an independent management team, stand-alone corporate governance including an independent Chairman of the Supervisory Board.

“The intended separation of our industrial businesses is designed to unlock the full potential for Mercedes-Benz as the world’s pre-eminent luxury car business,” he said. Additional details will be offered at a separate meeting in the third quarter of this year.

The transaction and the listing of Daimler Truck on the Frankfurt stock exchange is expected to be completed before year-end 2021. In addition, it is also Daimler’s intention to rename itself as Mercedes-Benz at the appropriate time.

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Daimler AG Splitting into Two Companies in Q3 2021

Posted on February 4, 2021 by admin

Ola Källenius, Daimler AG chairman, said splitting into two separate companies will add value to shareholders.

In an effort to pacify its habitually restless shareholders, Daimler AG will divide into two separate companies – one dedicated to passenger cars and the second to manage its heavy truck and bus business, which has long been part of the company’s structure.

“This is a historic moment for Daimler. It represents the start of a profound reshaping of the company. Mercedes-Benz Cars & Vans and Daimler Trucks & Buses are different businesses with specific customer groups, technology paths and capital needs,” said Ola Källenius, chairman of the Board of Management of Daimler and Mercedes-Benz.

Källenius said Mercedes-Benz and Daimler Truck offer industry leading transportation solutions and services to customers, they operate in industries that are facing major technological and structural changes. This presented some issues for the company.

“Given this context, we believe they will be able to operate most effectively as independent entities, equipped with strong net liquidity and free from the constraints of a conglomerate structure,” he said.

Third Quarter Targeted for Shareholder Approval

Workers inspect the new Mercedes-Benz EQ as it rolls off the line.

The split will not be complete until the third quarter but officials said the plans include a fundamental change in its structure that is designed “to unlock the full potential of its businesses in a zero-emissions, software-driven future,” according to a statement released by the company, which said the changes was approved earlier this week by the Management Board and Supervisory Board.

The company said more details will be released prior to an extraordinary shareholders meeting set for the third quarter.

While separate entities, the two new companies will retain the basic German character under the plan now being evaluated by Daimler’s existing management and supervisory companies.

Daimler said in its announcement that a significant majority stake in Daimler Truck will be distributed to Daimler current shareholders, which include Kuwait’s sovereign wealth fund and the Chinese automaker Geely.

The transaction and the listing of Daimler Truck on the Frankfurt stock exchange is expected to be complete before the end 2021. In addition, it is also Daimler’s intention to rename itself as Mercedes-Benz at the appropriate time.

The split into two companies will give Mercedes-Benz Cars more freedom and flexibility.

When the split is complete, both companies will operate with individual management boards, comprised of each company’s senior executives and a supervisory, which under German law, will include outside directors and representatives of the employees from each company.

Daimler Executives Long Contemplated the Split

The change has been in the works for more than two years and Daimler took the first step last year when it set up a holding company that retained some financial control over its different groups, including Daimler Truck and Mercedes-Benz Cars and Vans.

As part of a more focused corporate structure, both Mercedes-Benz and Daimler Truck will also be supported by dedicated captive financial and mobility service entities, driving sales with tailor-made financing, leasing and mobility solutions, increasing retention and building customer loyalty. In this process, the company plans to assign resources and teams from today’s Daimler Mobility to both Mercedes-Benz and Daimler Truck.

“We have confidence in the financial and operational strength of our two vehicle divisions. And we are convinced that independent management and governance will allow them to operate even faster, invest more ambitiously, target growth and cooperation, and thus be significantly more agile and competitive,” Källenius said.

Move Increases Shareholder Value

Daimler’s Manfred Bischoff said the planned market listing of Daimler Truck is an important step to create value, especially for small shareholders.

Manfred Bischoff, chairman of the Supervisory Board of Daimler, said the planned market listing of Daimler Truck is an important step to create value. Daimler’s small shareholders in Germany have been sensitive over the years to the fluctuations of Daimler’s shares.

The failure of the Daimler-Benz merger with Chrysler Corp. can in part be traced back to the dissatisfaction of the small shareholders who said the merger diluted the value of their shares.

Bischoff said both Mercedes-Benz and Daimler Truck enter this transformation with significant strengths. “We are convinced they will emerge even stronger as independent companies, serving their respective customers,” he said.

However, with their different return profiles and capital needs, the rationale for two independent entities is evident. We are convinced that the capital markets will appreciate the opportunity to invest in more clearly focused, pure-play businesses, Bischoff noted.

The split also is expected to leave the company’s troubled and troublesome diesel business in the hands of Daimler Truck since the Mercedes-Benz cars is moving rapidly towards electrification.

New truck models of the Actros range now available for order: sales start of Actros F and Edition 2.

Employees Endorse New Structure

The tentative split was given a boost when Michael Brecht, chairman of the Daimler’s General Works Council, and the top employee representative on the Supervisory Board, endorsed the plans. “The transformation of our industry is moving ahead quickly. In order for us to keep pace, we need to invest in innovations boldly and more quickly,” he said.

The split provides additional support for each facility and helps to secure employment. In addition, the labor agreements are unaffected, remaining in force until the end of the decade.

“The planned independence will bring Mercedes-Benz and Daimler Truck many advantages, and we will continue to do everything in our power to uphold the interests of our colleagues. We have the unique opportunity to proactively and sustainably shape our commercial vehicle sites — from production to the service business — in order to help write the next chapter of the Daimler Truck success story,” Brecht said.

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Apple Readying to Bring a New Vehicle to Market in 2024, Report Claims

Posted on December 22, 2020 by admin

Apple appears to be back in the “building a car” game with an EV said to be coming in 2024.

Tech behemoth Apple Inc. is apparently on again when it comes to its on-again, off-again oft-speculated about Project Titan, after media reports say the company will bring out a vehicle potentially using a cutting-edge battery technology in 2024.

Apple’s been walking the line of potentially building an electric vehicle for most of the last decade, scooping up top tech minds from potential competitors, like Tesla, during that time. However, the company would never officially confirm Project Titan or its plans to build its own car.

However, a few years back, CEO Tim Cook decided to put the rumors to rest, saying the company was working on the development of autonomous technology that could be used by automakers. However, a new report from Reuters, which cites multiple sources familiar with the project, claims that an actual car is coming in three years, separate from the self-driving technology.

(Apple cuts over 200 jobs at autonomous vehicle project.)

Apple CEO Tim Cook has called self-driving vehicles “the mother of all AI projects.”

The tech giant’s been close before, hiring Doug Field, an Apple veteran who had worked at Tesla Inc., to oversee the project in 2018 and laid off 190 people from the team in 2019, according to Reuters. However, since then, the company’s been plugging along and now believes it’s made enough progress to build a vehicle, Reuters reported.

In an age where electric vehicle startups are seemingly commonplace, Apple’s return to the game doesn’t seem all that big a deal, until the report of the new battery design comes into play. Automakers are looking to improve batteries significantly so the costs will be on par with a vehicle with a gasoline- or diesel-powered engine.

The sources told Reuters that the new design could “radically” cut the battery cost while increasing the vehicle’s range. Current range for the top EVs exceeds 300 miles on a single charge, but Tesla, Lucid, General Motors and others are proclaiming that they’re pushing beyond 400 miles with their current vehicles. By the time an Apple EV shows up in 2024, the range could be double that, if not more.

(Apple files patent linked to AV driving.)

According to the story, the iPhone maker plans to use a “monocell” design. It bulks up the individual cells in the battery, freeing up space inside the battery pack by eliminating pouches and modules holding battery materials. The design allows for more battery material to be stuffed in the battery, extending its range.

Apple’s autonomous vehicle — a T6 Transporter van from Volkswagen.

Additionally, Reuters reported that Apple is researching a new battery chemistry: lithium iron phosphate, also known as LFP. Its primary advantage is that it’s less likely to overheat, making it safter than other batteries.

Apple’s big checkbook instantly makes it a player in any market it chooses to compete, but building a car isn’t the same as building a phone or a laptop. Tesla has struggled with its production issues and quality problems plague each of their vehicles when they roll off the assembly line during the early launch and even well beyond that time frame.

(Apple’s autonomous vehicle involved in California crash.)

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Canoo Joins EV Delivery Van Race with MPDV

Posted on December 17, 2020 by admin

Nascent EV maker Canoo is the latest company to get into the electric delivery van segment with its new MPDV.

The race to dominate the electric delivery van market continues to heat up with the entry of startup Canoo which today revealed its own entry featuring Level 2.5 autonomous driving capabilities, appropriately dubbed the Multi-Purpose Delivery Vehicle.

Canoo will join a growing mix of players set to bring battery-electric delivery vans to market, including established manufacturers like General Motors, Ford and Daimler, as well as newer players such as Rivian, which has a contract to supply 100,000 electric vans to online retail giant Amazon by the end of the decade.

The industry is under growing pressure to shift to electric propulsion for delivery vans for a variety of reasons, which includes new regulatory requirements. California, for example, plans to phase out the use of internal combustion engines in virtually all trucks by 2035. But there’s also the economic incentive of lower energy and maintenance costs that battery vans are expected to offer.

(EV maker Canoo riding the rapids like other companies to IPO.)

Canoo’s battery-electric van is aptly named Multi-Purpose Delivery Van.

The company claims an owner could save up to $80,000 in costs over a six- to seven-year period compared to conventional vans.

Among the many battery-car startups, Canoo is a relatively recent entry. It started outlining its plans in early 2019, revealing its first vehicle prototype, also dubbed the Canoo, later that year. Looking a lot like a toaster on wheels, the company says it plans to offer the passenger vehicle only through a subscription model.

Canoo did not discuss details about how it will offer the new delivery van to customers, whether through a conventional purchase model or under subscription, as well. It did emphasize a goal of offering “best-in-class total cost of ownership,” however.

The van will share the same architecture as the passenger Canoo, a skateboard-style platform with batteries, motors and other key drivetrain components mounted under the floorboard.

The layout is similar to what other battery-electric vans are adopting, and allows for a much lower load floor than conventional vans. Meanwhile, like the passenger version of the Canoo, the delivery vehicle adopts a relatively boxy shape with the driver sitting close to the nose, further enhancing cargo space.

Officials said the starting price for the MPDV is $33,000. It’s expected to arrive in 2022.

(Hyundai partnering with specialty EV maker Canoo.)

The van, said Canoo, was designed to target a wide spectrum of small businesses and, in particular, “last-mile” delivery services. There is significant flexibility to the design with lots of room for customization. The ability to pop open a side panel and create a window and window would suggest it might appeal to those who would turn it into a food truck. A statement from the automaker added that larger customers will “have the option to co-develop a custom vehicle.”

The flexibility includes an interior that can be used as a workstation, with room to the left of the driver where a laptop computer could be set up.

“We created our multi-purpose delivery vehicle from the inside out, with the ergonomics of the driver in mind and with attention to detail to help them be happier and more productive at work,” said Tony Aquila, executive chairman, Canoo. “The vehicle is affordable and offers greater cargo capacity than the current electric delivery offerings in its class. We aim to lower the total cost of ownership and increase return on investment for everyone from local small business owners to large fleets.”

The driver’s cockpit for the Canoo MPDV offers a simple layout.

Canoo did not disclose specific details on the van’s battery drive technology. The passenger-focused Canoo Canoo model will yield an estimated 250 miles per charge, with a single motor pushing 300 horsepower through the rear axle. That range should be more than sufficient for most delivery services, studies showing they generally average less than 50 miles use per day.

The battery pack could serve a dual purpose for operators, particularly those who might need power for tools and other electrical or electronic devices at a worksite. The Canoo van will feature bi-directional charging, providing energy through 120- or 240-volt plugs built into the vehicle.

(Canoo debuts 1st production EV – but only plans to offer it by subscription.)

Canoo expected the delivery vehicle to start at around $33,000, with “limited availability” starting in 2022 and volume ramping up the following year.

Mercedes Launching Six All-Electric Models by 2022 – With Two to Be Built in U.S.

Posted on December 14, 2020 by admin

Mercedes production chief Jorg Burzer stands by a prototype of the Mercedes EQS battery car. It will be one of two EVs built in Mercedes’ Alabama facilities.

Mercedes-Benz is getting ready to launch a major push into electrification, the automaker announcing plans to have six all-electric EQ models in production by 2022, including two that will roll off its assembly line in Tuscaloosa, Alabama.

Production of the new Mercedes-EQ sub-brand began in 2019 with the launch of the EQC in Bremen, Germany, with the electric crossover being added at a plant in China. This year, the automaker introduced its all-electric EQV van, produced at its Vitoria plant in northern Spain. Production of the EQA at a German plant has just begun, with sales to begin next month.

Within two years, four other model lines, including electric sedans and SUVs, will be added to the list, as part of the “Electric First” program. The automaker will have factories dedicated to battery-electric vehicle, or BEV, production in the U.S., Germany, China, Hungary, Spain and Poland.

(New Mercedes strategy means EVs coming for AMG, Maybach.)

The German automaker is “investing heavily in transformation,” said research chief chief and Mercedes-Benz COO Markus Schafer. “Our vehicle portfolio becomes electric and thus also our global production network with vehicle and battery factories.

An electric Mercedes EQV van rolls down the assembly line at a plant in Spain.

“We intend to lead in the field of e-mobility and focus in particular on battery technology,” Schafer added. “We are taking a comprehensive approach, ranging from research and development to production, and also including strategic cooperation.”

On top of the products that have already been rolled out, Mercedes announced Monday plans to begun production at a variety of other factories:

The EQS, essentially an electrified S-Class and a Tesla Model S competitor, will begin production at Mercedes’ flagship plant in Sindelfingen, Germany, during the first half of 2021;
The compact EQA SUV is already being produced in Rastatt, Germany, but a second line in Beijing will be added next year;
Another compact SUV, the EQB will become the first Mercedes EQ model to go on sale in the U.S. after production launches in both Kecskemet, Hungary, and Beijing next year;
The EQE, the electric alternative to the familiar, midsize Mercedes GLE SUV, will be produced in Bremen, Germany, as well as Beijing starting next year;
The production rollout wraps up with the launch of the EQS und EQE SUVs in Tuscaloosa, Alabama starting in 2022, though still other all-electric models will be coming later in the decade.

A Mercedes EQB undergoes winter testing.

Mercedes also plans to build battery systems in Alabama, Germany, Poland and Beijing.

(Mercedes upping stake in Aston Martin, expanding tech ties.)

Long focused on diesel technology to boost its fuel economy and drive down carbon dioxide emissions, Mercedes began shifting direction mid-decade as a series of diesel emissions scandals embroiled it and other European automakers.

“All systems are go. We are investing more than 10 billion euros in the development of our EQ vehicle portfolio alone,” Ola Källenius, who last year became Daimler CEO, previously noted. “We will also be electrifying the entire Mercedes‑Benz portfolio and our customers will thus have the choice of at least one electric alternative in every Mercedes‑Benz model series, taking the total to 50 overall.”

Mercedes’ electrification program isn’t limited to pure battery-powered models. The automaker plans to continue producing plug-in hybrids like its current GLC 350e 4Matic. And it has begun using “mild,” or 48-volt hybrid powertrains in a number of products. But it expects its various plug-based models to yield fully half of the brand’s sales by 2030, company officials have said.

(Daimler teaming up with Volvo parent Geely to build hybrid powertrains.)

That’s on top of the business it expects to generate by supplying partners, such as Aston Martin, with hybrid drivetrain technologies. Parent Daimler AG also launched a new partnership with China’s Geely. The two automakers will develop new plug-based drivetrains for use in a variety of their individual model lines.

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