Auto File: Giorgia says it out loud
Sept 24 -By Nick Carey, European Autos Correspondent
Greetings from London!
Another week, another reminder of how hard it is to scale up in the world of electric cars, especially if you’re trying to chase decades of Asian investment in and dominance of battery making.
In a fresh announcement, Northvolt cut about a fifth of its workforce and dropped plans to massively expand a factory in Sweden, just two weeks after saying it was giving up on cathode active material production for EV battery cells.
Northvolt has raised about $15 billion in equity and debt financing, but despite all that money the fact remains that getting to scale in battery manufacturing is expensive and immensely difficult. We’ll see if the latest cuts are enough to keep Northvolt moving forward.
Which brings us to today’s Auto File…
Meloni says “no, grazie” to fossil-fuel ban
Through software, U.S. targets Chinese EVs
Stellantis mulls life after Carlos
Meloni targets EU 2035 fossil-fuel ban
It had to happen sooner or later, but Italy’s Prime Minister Giorgia Meloni became the first leader of a European Union country to trash the bloc’s plan to ban fossil-fuel vehicle sales as of 2035.
That 2035 ban, Meloni said at an event in Rome, is "one of the most obvious examples of a self-destructive approach," to industry.
Not wasting any time, Italy’s industry minister followed by saying the country will seek to bring forward a planned EU review of the ban to 2025 instead of 2026.
It has been clear since EV demand waned and centrist parties lost ground in European parliamentary elections to far-right parties infinitely more skeptical of electric cars that a fight was looming over 2035.
That it is Italy that has kicked it off comes as no surprise, as the country is home to many auto suppliers that are still reliant on combustion-engine technology.
This is just the opening gambit. Just how far the EU can be pushed on 2035 without losing valuable credibility for setting the rules of the road remains to be seen.
Recommended reading:
Siemens weighs EV charging carve out
U.S. to award $3 billion for battery projects
Oil rig evacuations as another hurricane looms
Biden takes fresh aim at Chinese EVs
If you are a Chinese EV maker, you could be forgiven for thinking the Biden administration doesn’t really want you around.
The U.S government has proposed preventing key Chinese software and hardware in connected vehicles being used on American roads, effectively barring Chinese cars and trucks from the country. The move was first reported by my Reuters colleague David Shepardson, as you can read here.
Just about all new vehicles produced today are “connected,” above all EVs which are essentially computers on wheels that can be upgraded wirelessly.
The move also means U.S. and other automakers using Chinese software and hardware would have to remove it from their vehicles.
After targeting Chinese components in EVs as part of the Inflation Reduction Act and then imposing 100% tariffs on Chinese EVs, the latest move would go much further in preventing Chinese access to the U.S. market.
The proposal also applies to testing self-driving cars on U.S. roads by Chinese automakers.
White House Security Adviser Jake Sullivan told reporters the U.S. government has plenty of evidence China has been targeting American infrastructure, adding that with millions of connected cars on the roads for many years “the risk of disruption and sabotage increases dramatically," Sullivan said.
New Carlos wanted: must like cars
Stellantis has begun the search for a successor to Carlos Tavares, whose contract runs out in early 2026.
Just a few months ago, such a search would have been inconceivable.
To put it mildly, Tavares is regarded as an auto industry heavyweight. After first improving profitability and performance at PSA, under his leadership Stellantis – born out of a merger with FCA – has boasted profit margins that other mainstream legacy automakers could only dream of.
But the shine has come off Tavares’ record since the world’s No. 4 automaker posted a first-half profit that showed bloated inventories and falling sales in North America, which had hitherto been Stellantis’s reliable cash cow.
Stellantis emphasized that it was entirely normal to start the search for a new CEO now and that it’s still possible that Tavares might extend his contract beyond January 2026.
No pressure, Carlos.
Leapmotor EVs ready for sale in Europe
Chinese EV maker Leapmotor will soon open European orders for a city car and an SUV, as the automaker and its partner Stellantis offer more budget electric models in the hope of luring more buyers.
Stellantis holds a 51% stake in a joint venture with Leapmotor that gives it exclusive rights to build, export and sell Leapmotor EVs outside China.
Legacy automakers are under pressure from Chinese rivals like BYD who are bringing in more affordable models to Europe and are able to develop new electric cars much faster. Stellantis’ efforts to harness the technology and economies of scale that a Chinese EV maker can offer for markets outside China is a first for the industry and will be watched closely.
The T03 compact car will go on sale at the end of the month starting from 18,900 euros ($20,990) and the C10 SUV will be available in October and start at 36,400 euros.
Fast Laps
Volkswagen's CEO says he expects labour unions to make concessions in talks to help the German automaker cut costs and prevent plant closures in its home market.
The U.S. House of Representatives voted to repeal clean-vehicle rules adopted in March to cut tailpipe emissions by 50% from 2026 levels by 2032. President Biden has promised to veto the measure if it is approved by the U.S. Senate.
Mercedes-Benzsays cars equipped with its automated driving system will be upgraded to drive autonomously at up to 95 kilometres, or 60 miles, per hour on German motorways in certain conditions.
The United Auto Workers union plans to hold strike authorization votes at one or more Stellantis local chapters in the coming days, after accusing the automaker of failing to honour product and investment commitments.
The head of French auto supplier association Fiev warned the sector is at risk of losing half of its jobs in the coming years because of falling car sales volumes, a slowdown in EV sales and rising competition from China.
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Editing by Alexandra Hudson
الأصول ذات الصلة
آخر الأخبار
إخلاء المسؤولية: تتيح كيانات XM Group خدمة تنفيذية فقط والدخول إلى منصة تداولنا عبر الإنترنت، مما يسمح للشخص بمشاهدة و/أو استخدام المحتوى المتاح على موقع الويب أو عن طريقه، وهذا المحتوى لا يراد به التغيير أو التوسع عن ذلك. يخضع هذا الدخول والاستخدام دائماً لما يلي: (1) الشروط والأحكام؛ (2) تحذيرات المخاطر؛ (3) إخلاء المسؤولية الكامل. لذلك يُقدم هذا المحتوى على أنه ليس أكثر من معلومات عامة. تحديداً، يرجى الانتباه إلى أن المحتوى المتاح على منصة تداولنا عبر الإنترنت ليس طلباً أو عرضاً لدخول أي معاملات في الأسواق المالية. التداول في أي سوق مالي به مخاطرة عالية برأس مالك.
جميع المواد المنشورة على منصة تداولنا مخصصة للأغراض التعليمية/المعلوماتية فقط ولا تحتوي - ولا ينبغي اعتبار أنها تحتوي - على نصائح أو توصيات مالية أو ضريبية أو تجارية، أو سجلاً لأسعار تداولنا، أو عرضاً أو طلباً لأي معاملة في أي صكوك مالية أو عروض ترويجية مالية لا داعي لها.
أي محتوى تابع للغير بالإضافة إلى المحتوى الذي أعدته XM، مثل الآراء، والأخبار، والأبحاث، والتحليلات والأسعار وغيرها من المعلومات أو روابط مواقع تابعة للغير وواردة في هذا الموقع تُقدم لك "كما هي"، كتعليق عام على السوق ولا تعتبر نصيحة استثمارية. يجب ألا يُفسر أي محتوى على أنه بحث استثماري، وأن تلاحظ وتقبل أن المحتوى غير مُعدٍ وفقاً للمتطلبات القانونية المصممة لتعزيز استقلالية البحث الاستثماري، وبالتالي، فهو بمثابة تواصل تسويقي بموجب القوانين واللوائح ذات الصلة. فضلاً تأكد من أنك قد قرأت وفهمت الإخطار بالبحوث الاستثمارية غير المستقلة والتحذير من مخاطر المعلومات السابقة، والذي يمكنك الاطلاع عليه هنا.
