Category: Government

By on August 3, 2015

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Fiat Chrysler Automobile dealers won’t be able to sell cars without recall repair work or they risk losing their incentive money under a new agreement with the federal government, Automotive News is reporting.

The agreement was part of the sweeping package penalties imposed by the National Highway Traffic Safety Administration, including up to $105 million in fines. According to the consent agreement by the federal bureau and FCA, the company already asks dealers to complete recall work, but the new mandate would reinforce that existing policy.

In the United States, it’s illegal for a dealer to sell a new car without recall repair work, but no such law exists for used cars. A recent proposal in Congress to force used car dealers to complete open recall repair work was met with opposition.

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By on August 3, 2015

Prison Jail

Over the weekend, the New York Times detailed the story of a black woman in Baltimore who, 18 months after being arrested for driving with a blood-alcohol level of .09, has endured more than a year of unusually stiff penalties and harsh treatment.

The story highlights the tale of 40-year-old Donyelle Hall who had a clean criminal record before her arrest on Christmas Day 2013 for drunken driving. After her arrest, the woman was forced to pay tens of thousands of dollars in attorney and court costs, spend more than a month in jail and lost her job. Monthly probation costs for the woman were $385 a month alone.

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By on July 31, 2015

2013 Toyota RAV4

Federal and provincial governments in Canada have offered more than $100 million (USD $77 million) for improvements to the Cambridge and Woodstock plants, CTV news is reporting.

The incentives are part of a $421 million (USD $323 million) investment that will be used for light metal stamping in Woodstock, which makes the RAV4, and plant improvements in Cambridge, which produces the soon-to-be-gone Toyota Corolla and Lexus RX vehicles. Toyota has said it will move the Corolla to Mexico, but hasn’t announced what would replace it at the Cambridge plant.

The Canadian government tipped in $34 million in 2013 for improvements to the Cambridge plant to produce the RX 450h.

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By on July 30, 2015

Chevrolet_Tahoe_Hybrid_O'Malley_--_01-12-2010

A U.S. Senate committee for transportation passed along a bill Thursday that included provisions to help domestic automakers develop and build cleaner vehicles, the Detroit News is reporting.

The proposal, dubbed the Vehicle Innovation Act, was included in a larger clean energy bill taken up by the committee. The Vehicle Innovation Act would set aside $313.6 million next year for research and development of hybrid technology, battery development and alternative fuels such as natural gas. Funding would increase by 4 percent every year up to 2020.

Nearly all major U.S. automotive lobbies representing manufacturers supported the proposal. Read More >

By on July 29, 2015

Van Nuys Nissan

Nissan scolded one of its dealers Tuesday for releasing an ad showing the battering of a piñata resembling Republican presidential candidate Donald Trump, Automotive News is reporting.

The ad depicts salesmen repeatedly hitting a Trump-looking piñata and declaring, “At Van Nuys Nissan, Latinos rule.” The ad was made after Trump denounced some undocumented Mexican immigrants as “rapists” in a June political speech.

“We find these advertisements to be neither responsible or respectful, and we do not condone what they represent,” Nissan said in a statement. “We expect our dealers to establish advertising that is responsible and respectful and represents the best interest of the Nissan brand.”

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By on July 27, 2015

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After this morning’s announcement that Fiat Chrysler Automobiles would be subject to one of the largest civil penalties for an automaker, reports that the automaker could be on the hook for $2.5 billion in cars aren’t true, the automaker said today.

“While such amounts may exceed the $20 million, contrary to certain reports, FCA US does not expect that the net cost of providing these additional alternatives will be material to its financial position, liquidity or results of operations,” the automaker said in a statement.

In other words, expect to find some screaming deals on Ram trucks in the next few months.

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By on July 27, 2015

Chrysler Brampton Assembly Plant

Ontario’s debt is swelling and as home to eight manufacturing plants — the largest complex in North America — automakers may have a tough time keeping plants open in Canada’s most-populous province.

According to a story by the Financial Post, Ontario is moving forward with an ambitious plan to revamp roads and mass transit systems despite its debt being downgraded by Standard & Poor’s bond index. The broad public spending plan also extends to other sectors, despite high unemployment numbers and slumping manufacturing jobs.

Automakers such as Fiat Chrysler Automobiles have called on the provincial government to cut back on public programs and reduce costs on utilities in an effort to keep car building in the province profitable. This year, Chevrolet will shift production of its Camaro to Michigan. On the whole, Oshawa GM production has a dark cloud lingering overhead until the company decides what to do with the facility in 2016.

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By on July 27, 2015

ICE-ing Parking

An Illinois bill that would make it illegal to park a gasoline-powered car in an electric car charging spot is awaiting the governor’s signature, Green Car Reports writes.

The practice, also called ICE-ing, would net a $75-$100 ticket for the offending car owner in Illinois.

The electric vehicle charging spot would need to be clearly marked, the bill states. The bill would also make it legal to tow a car from an electric vehicle parking spot, whether in a public place or private garage.

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By on July 27, 2015

FCA US LLC HQ WTFBBQ

In an order detailing the largest civil penalty for an automaker so far, the National Highway Traffic Safety Administration said Monday that Fiat Chrysler Automobiles could have to buy back 500,000 defective trucks and accept trade-in above market value for 1 million defective Jeeps .

The automaker’s record $105 million fine includes a $70 million penalty, $20 million set aside for meeting safety standards dictated by the federal bureau and an additional $15 million in penalties if an independent monitor discovers further safety violations.

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By on July 26, 2015

Qoros-3-Sedan-Safety-structure

Automakers are pressing U.S. and European governments to find common ground on safety regulations to save them hundreds of millions of dollars in development costs, Automotive News is reporting.

Automakers have to change dozens of components on their cars at a huge cost to comply with different safety standards. The article said to make a popular U.S. car in 2013 comply with European safety standards cost $42 million for the automaker.

Trade talks have been been ongoing for 10 months and lobbyists are hoping one government will adopt the standards of the other, instead of creating a separate system.

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