#IndustryNews

Ramifications from the UAW's strike against Detroit automakers was always going to reverberate throughout the industry and suppliers are asking for some concessions. But the reason isn’t wholly down to some of the obstacles created by the recent work stoppages and the long term implications are beginning to mount.

America’s automotive union has committed itself to expanding strikes if leadership feels meaningful progress has not been made by the end of this week. UAW President Shawn Fain has said more factories would be called up to picket if the state of contract negotiations are still deemed lacking on Friday.

While the union hasn’t indicated which (or how many) facilities would be joining the strike, messaging from the UAW has tried to convey to the public that it’s serious about having its demands met and will do whatever it takes to reach its contract goals.

Whenever the issue of vehicular privacy comes up, the discussion almost immediately pivots to individuals either defending or condemning the status quo. But this often happens without either side of the argument having a firm understanding of how much information is actually being obtained inside today’s automobiles.

While we’ve covered the topic frequently, articles have typically focused on specific issues rather than overall scope. But things are different this time, with the Mozilla Foundation recently issuing a study trying to assess just how far-reaching the automotive industry’s quest for data has become.

Last week, Stellantis slid the United Auto Workers (UAW) a contract proposal that would raise hourly workers' pay by 14.5 percent over the next four years. The deal is roughly on par with the 15 percent initially offered by Ford and 16 percent from General Motors. It likewise said it would provide workers $10,500 in inflation-related bonuses while GM offered $11,000 at GM and Ford said it could swing $12,000. Though Stellantis doesn’t appear to be offering any contract ratification bonuses, whereas others manufacturers said they’d be happy to throw in another $5,500.

The United Auto Workers (UAW) is commencing contract negotiations with General Motors, Stellantis, and the Ford Motor Company this week. Members of the union’s executive board, along with UAW President Shawn Fain, appeared outside Stellantis' Sterling Heights Assembly Plant early Wednesday morning to draw attention to the talks.

The plan is to see each manufacturer as a preamble to the formal negotiations, which technically begin on Friday. But the union is also desperate to show itself in a better light after expansive corruption scandals implicated some of its now-ousted top brass. For most people living in North America, wages haven’t kept pace with the cost of living and inflationary pressures are exacerbating the issue. If there was ever a time to get the American public back on the side of unions, it’s now.

On Tuesday, Lordstown Motors Corp. (LMC) officially filed for bankruptcy and sued Foxconn. Though the writing was already on the wall for the Ohio-based electric vehicle manufacturer. Lordstown’s share price collapsed in 2021 and the company has suffered numerous production delays. This seems to have encouraged the Hon Hai Technology Group/Foxconn to back out of its strategic partnership.

But it’s not bad news for everybody. Former chief executive of Lordstown Motors, Steve Burns, managed to sell off every share of his stock before the company filed for Chapter 11. You might remember him as the executive who abruptly quit the company without explanation shortly after LMC's stock valuation slammed into the pavement.

On Tuesday, Toyota Motor Corp. confirmed plans to merge its truck-making subsidiary Hino Motors with the rival Mitsubishi Fuso that’s owned by Daimler AG.

If you’re confused by the news, Mitsubishi only has a minority stake in the Fuso brand with Germany’s Daimler having owned 89 percent of the whole since the early 2000s. Meanwhile, Hino Motors has been wholly owned by Toyota Motor Corp. since 2001 and enjoyed a working partnership with Japan’s largest automaker since the 1960s.

Despite Alpine and Lotus having previously indicated plans to jointly develop a successor to the A110 sports coupe, reports have emerged stating that all work on the project has stopped. With both companies vowing to go electric, the partnership was supposed to help both companies benefit from their performance expertise.

Honda, Suzuki, Kawasaki, and Yamaha have just collectively promised to develop a slew of hydrogen-reliant engines designed to power small vehicles. While this is supposed to encompass construction equipment, small boats, airborne drones, and even motorcycles, the scheme doesn’t seem to focus on automobiles. However, Japanese automakers have already been working on hydrogen fuel cell vehicles for years and Toyota Chairman Akio Toyoda has even been championing the development of hydrogen-burning motors for some of the brand's racing applications.

It’s largely counter to what the rest of the world is doing and begs the question of why Japan seems so intent on making hydrogen power work. What exactly makes the scheme so appealing to the island nation?

On Tuesday, General Motors confirmed Apple’s Mike Abbott as the executive vice president of its Software division — an important role considering that the automaker is betting large on shifting revenue toward connectivity. The company has been stressing the importance of integrated mobile services for years and recently announced it would be dumping Apple CarPlay so that drivers would be required to interface with its proprietary operating system.

Lucid Group’s report for the first quarter of 2023 was off the mark, with the automaker suffering a $780-million net loss. While any burgeoning carmaker should expect to burn through cash for a while, electric-vehicle firms seem broadly dedicated to the practice. Many EV startups have floundered and some have even bordered on shell games, promising things they shouldn’t in the hopes to draw in more investment capital. However, Lucid has seemed committed to delivering enviable products — making the financial report genuinely disappointing. 

Ford Motor Company is tweaking plans in China and seeking to turn around financial losses after five years of lackluster sales within the region. The new strategy will be focused on exporting to other countries, commercial product, and reinforcing the necessary supply chain for all-electric vehicles.

Mercedes-Benz CEO Ola Kallenius has told the German media that the brand has no intention of cutting ties with China, saying such a move would be unwise for the whole of Germany industry. 

"The major players in the global economy, Europe, the U.S. and China, are so closely intertwined that decoupling from China makes no sense," he was quoted as saying in Bild am Sonntag.

On Monday, Rivian announced a plan to sell $1.3 billion in bonds as a way to cope with rising production costs.

The news comes just days after the company addressed rumors that it might build as many as 62,000 vehicles through 2023. Despite credible reporting, Rivian said its official production forecast remains set at the original 50,000 electric vehicles by year’s end.

France’s Renault has already announced that it has been considering how best to sell Alpine sports cars in North America and the latest plan appears to involve getting cozy with AutoNation. With no dealer base of its own on our market – and Alpine being an incredibly small brand – leveraging one of the largest used dealer networks in the United States could be an ideal way to get a foot in the door.