This is Autoline Daily reporting on all aspects of the global automotive industry.
UAW STRIKE HITS CANADA
General Motors workers in Canada are now feeling the effects of the UAW strike. The company is facing a parts shortage because of the strike and as a result, is temporarily laying off 1,200 workers at its Oshawa plant in Ontario. Production of the Chevy Silverado and GMC Sierra, are being halted. The UAW and GM are still holding talks but so far no progress has been made.
MUNICIPAL WASTE USED FOR BIOFUEL
Spanish automaker SEAT is gearing up to test biofuel created from municipal waste in its vehicles. It’s part of the Life Landfill Biofuel project which will run 4 years and has a budget of 4.6 million euros, of which, the European Commission will fund 55%. By 2035, the amount of municipal waste that can be dumped in landfills in Europe will be limited to 10%. So this new project is one way to put that excess waste to good use. Not only will it help reduce emissions but converting waste to biofuel represents a big business opportunity since there are close to half a million landfills in Europe.
GERMANY TO CHARGE FOR CARBON EMISSIONS
And speaking of improving emissions in Europe, Germany is planning to impose a cap and trade system on carbon emissions from the heating and transport sectors. Bloomberg reports that oil companies will be required to buy allowances that cost between 30 and 50 euros for each ton of carbon dioxide their fuels emit and that cost will be passed on to drivers. The goal is to reduce greenhouse gas emissions and the hope is consumers will adopt more fuel efficient cars or even electric vehicles. Germany is on track to miss emission targets set under the 2015 Paris Agreement on climate change and the country is woefully short of its goal of having 6 million electric cars on its roads by 2030, currently there are around 480,000 electrified vehicles in Germany.
HONDA UNVEILS CR-V HYBRID
Honda is going to amp up its electrification efforts. It wants hybrids to account for 50% of its U.S. sales by 2030, and for BEVs to account for 15%. Yesterday it unveiled the hybrid version of the CR-V, which will be made in Indiana. Unfortunately it did not announce fuel economy numbers or prices, but the two motor hybrid will produce 212 horsepower and 232 pound feet of torque. That’s 22 more horses and 53 more pound feet than the gasoline-only version. And while it did not provide figures, Honda says it will offer more EV range than other hybrids. When most hybrids launch from a stop, the engine usually kicks in around 5 miles an hour or so. Honda’s head of automotive operations, Art St. Cyr, hints that with the CR-V hybrid, the engine may not kick in until around 20 or 30 miles an hour.
MODEL 3 EARNS TOP SAFETY PICK
Tesla has been praised for how solid the structures of its vehicles are and now it can put another feather in its safety cap. The IIHS tested the Model 3 and it earned the highest Top Safety Pick+ from the institute. The electric sedan earned ‘good’ ratings across the board for crashworthiness, a ‘superior’ rating for its standard front crash prevention system and a ‘good’ rating for its headlights. It joins the Audi e-tron and Hyundai Nexo as another alternatively powered vehicle to earn the award based on its standard equipment.
FORD OFFERS OFF-ROAD KIT FOR ITS TRUCKS
Pickup buyers love to customize their trucks and now Ford is offering a suspension lift kit for the Ranger and F-150. It includes new FOX shocks with coilover springs in the front and new upper spring mounts. The kit lifts the front of the trucks about 2-inches and levels them from front to rear. Ford calls it an off-road leveling kit that improves capabilities with better approach and breakover angles, but we bet there will be plenty of Ranger and F-150 owners that are willing to shell out the $1,500 the kits costs before installation to give their truck a more rugged look.
FORD ESCAPE HYBRID IMPRESSIONS
Earlier this week, we shared our impressions of the gasoline-powered versions of the new Ford Escape, which you can see in Tuesday’s show, but now we can finally tell you about the hybrid. First, some details about the powertrain. It features a 2.5L engine and an electronic CVT combined with a liquid-cooled lithium-ion battery, which is one-third the size of the battery in the old Escape Hybrid. It felt a bit more sluggish than 1.5L 3-cylinder gas engine, even though it has more power, but it does have enough oomph to pass slower vehicles out on the road. Ford hasn’t revealed fuel economy numbers but we we’re averaging in the mid-40s according to its display and that was with us not trying to eke out the best number. Front-wheel-drive models have an EPA estimated range of more than 550 miles. The Escape Hybrid has a base price of $28,255 and is available now. There’s a plug-in version too but that won’t be available until next spring.
Are robots really going to take over all manufacturing jobs? That will be one of the topics on today’s Autoline After Hours when Mike Cicco, the CEO of FANUC America comes on the show. Drew Winter from Wards and Mike Austin from Hemmings Motor News will also join us. So be sure to tune in this afternoon at 3PM eastern time.
But that’s it for today’s show, thanks for watching and we’ll see you again tomorrow.
September 19th, 2019 at 11:55 am
So, do laid-off workers get more money per week than the strikers do? Don’t know, just asking.
At 1500 dollars it seems that off-roaders would embrace such an option (from the factory).
September 19th, 2019 at 11:57 am
No coverage of Toyota investing $390 million into the Tundra/Tacoma factory?!?!?
September 19th, 2019 at 12:29 pm
It will be interesting to hear what your panel has to say about robots taking over all manufacturing jobs. The answer is NO! Robots can be used for plenty of jobs but there are still many things robots cannot do, or at least are not cost effective to do. Some assembly work requires manipulation of the parts and the addition of fasteners. Especially in the area dealing with interiors when you have products like fabric and cloth. Robots work great when the parts are stable and the process is consistent. When you throw variation into the mix it becomes a lot more complicated for robots.
A good example is the Roomba vacumn. Can it sweep your floor? Simple answer yes. Will it get into all the corners? Will it know if the dog has pooped on the living room carpet or will it just try and sweep it up and smear it all around the house? Robots have their limits.
September 19th, 2019 at 12:47 pm
Cap and trade is just plain stupid as is anybody buying in to this stuff, go ahead and throw away your industries and jobs while the ruling elite fully around the world on private jets and get their cronies in government to tax the little people
September 19th, 2019 at 12:50 pm
Is getting alternative energy from landfills something new in Europe, Sean? Seems like it has been done for decades. And how can municipal waste be limited to 10% in the coming years? Waste just doesn’t disappear, so what happens to the remaining 90%? just asking.
September 19th, 2019 at 12:59 pm
Today’s pickup trucks need lowering kits, not lift kits. The one thing a friend likes worse about his new F-150, than the ~20 year old Silverado it replaced, is that the new one is 2-3 inches higher, for no apparent reason. Both are/were basic, extended (not “crew” cab) 2WD. The main thing he uses it for is transporting motorcycles, and the extra height makes it more difficult to load and unload them.
September 19th, 2019 at 1:14 pm
5 As always Economics provides very simple, common sense, and efficient solutions.
In my old country in Europe, plastic bags at supermarkets were free, as are still in the US, until a year ago or two, and the picnic grounds and beaches were full of discarded plastic bags.
Then they started charging 5 or 10 cents (of a euro, ie 6-12 US cents) per plastic bag you need from them, and the number of plastic bags used PLUMMETED astronomically. Really Remarkable results.
In the US, I know of only ALDI (a German owned supermarket chain) gives you no free plastic or paper bags, but if you need one they sell it to you. In Germany, this has been ALWAYS the case, since my first visit to Hamburg and Berlin 31 years ago, and probably was in effect long before that.
In addition, Germans do not just “recycle” (which at times can be very wasteful, such as you unnecessarily print a 100 page report instead of viewing it in your damn PC screen), but, much better, “REUSE” used mailing envelopes etc.
September 19th, 2019 at 1:14 pm
If Honda and Ford did a good job with the powertrains of their CR-V and Escape hybrids, they should get good mileage. The RAV4 hybrid gets about 3/4 the mileage of a Camry hybrid with similar powertrain in both CR’s tests and EPA ratings, and the RAV is 4WD, sort of. I think the rear drive is a small electric motor that probably just goes along for the ride most of the time, but helps out on slick or muddy stuff at low speed.
September 19th, 2019 at 1:17 pm
7 I forgot to add at the end, you print a 100 page report unnecessarily, and then you recycle it, after just taking a look at it, instead of looking at it in your PC screen.
I remember my department a few years ago had a big increase in recycling and got all kinds of pats in the back and ‘employee of the month’ recognition, but i am almost sure this was due to a dumb and spoiled colleague who printed every file for his convenience, and then soon recycled it.
September 19th, 2019 at 1:18 pm
6) I agree P/U’s are too tall.
I think the Colorado 2wd is kind of low. The Ridgeline (new) may be lower @ 7.25 inches.
September 19th, 2019 at 1:20 pm
In Top Gear they have a Merc ML midsize (it’s quite large, but only 2 rows seats) SUV plug-in version, got some astronomical 247 or so MPGEs (wonder if this is in Imperial, not US gallons) and 50-60 miles Electric range IF you are light footed, and only 29 CO2s (here we could care less but over in Europe they mention the CO2s before they mention the MPGs), but no price given.
September 19th, 2019 at 1:28 pm
1 Canadian auto workers will continue to receive full pay while laid off. (global news canada)
2 If your serious about meeting global warming targets, and many are, just about all solutions involve money; a tax or a law with $$ penalties to clean up industries.
But in today’s world, wishing the best just doesn’t work.
All taxes and penalties are eventually paid by the consumer. I like the idea of the Canadian government giving directly to people the money collected from the carbon tax, keeping nothing for government.
September 19th, 2019 at 1:40 pm
11 To Be fair then in Europe they should probably include the CO2s of each KW of electricity for the hybrid and EVs.
6 There are lowering spindles available for trucks just as there are lift kits? Guess which one sells better? Which is why they are taller. Your friend should have stuck with GM if he wanted something lower, as Fords sit higher.
September 19th, 2019 at 1:59 pm
6, 10 I agree. My ’15 ext cab 2wd Silverado is lowered 2″ in front and 4″ in back. Much easier to load, get into and handles better. It does scrape the front air dam a lot.
September 19th, 2019 at 2:09 pm
13 The companies should offer lower suspension as a no-cost option.
Yeah, the new GMs are a little lower than the Fords, but considerably higher than the ones of the late 90s. I think my friend got the Ford mainly because he wanted something “different.”
Until he had the truck, he didn’t know how much of an inconvenience the extra height would be. Also, he found that he needed aftermarket step things to make it easier to get in and out, especially for his wife who has a bad leg.
September 19th, 2019 at 2:21 pm
15 Again its market driven and that’s what the majority want. I agree that for many folks they probably would like at least an option for a lower stance and typically the 2wd models used to be lower. The thought was they were bought without the intention of doing much off-road driving since they were 2WD.
September 19th, 2019 at 3:17 pm
Listening to AAH right now, the robot guy.
Recently there are many who are afraid that the NEW generation of AI will threaten jobs much more than ever before, because ‘robots’ have become much smarter recently and can do a lot of jobs that previously only humans could do. These people are not thoughtless conspiracy theorists, I even saw the above detailed in a seminar by a friend who used to be Dean of Engineering and later President of UM.
I disagree with this pessimistic attitude, which is typical more of journalists (who have a vested interest in bad news since they get higher ratings) than thinking persons, scientists and engineers.
Pessimists historically have been proven wrong at every turn, it seems. Still, this more advanced type of AI is quite interesting as to what it will come up with.
First of all, I see Robots as fancy tools, and they are still 100% tools, that help make our lives easier, more efficient, etc. TOOLS. Not some fairy tale “persons”.
Second, the work week has been 5 days, 40 hours a week for many decades now, while it has been sliding down from huge numbers to that 40 for a century or more before it reached 40. There is NOTHING Divine about working 8 hours a day and not less, or 5 days a week and not less. IF there is no need for all these workers, and much of the dumb, tedious or precision work they do can be done, and much better, by those ‘robots’,. here is an opportunity to make our lives easier, AND have more leisure time and less work time. After all, most people who work do it for the $, they sell their valuable time and know-how in exchange for the $. Once they have more $ than they know what they can do with, it would be STUPID to keep working and not retire healthy and start enjoying what you amassed!
September 19th, 2019 at 3:20 pm
16 I suppose the manufacturers are mainly concerned that dealers would feel compelled to have both the currently standard lifted, and lower versions in stock. Unlike offering additional powertrain choices, it wouldn’t cost much to make both lifted and non-lifted trucks. I’m sure the aftermarket likes it this way, so they can sell lowering hardware, even if the sell only a few thousand sets a year.
September 19th, 2019 at 3:22 pm
17 Didn’t Tesla replace some robots with people for building the Model 3, after finding that getting the automation going wasn’t that easy?
September 19th, 2019 at 3:25 pm
Many poorly paying jobs today can be done by Robots, and this has both pluses (saving $) and minuses (fewer opportunities for teens for some pocket $ from their first part-time job, also fewer jobs for grownup workers with lesser abilities).
BTW Whenever I visit overseas IKEA stores, it feels they have way more employees than they would need, if the merchandise was better organized and displayed, instead of all the silly tricks they use to make customers see (and buy) more things they don’t always need. Maybe it’s because they pay them so little, they are cheap. Whenever I ask them to help me find something, however, most of them are little or no help.
September 19th, 2019 at 3:28 pm
19 yes, I remember that. But what does it prove, and can you draw a general conclusion from that?
Once they debug their assembly lines, I see little reason to have any workers there except very, very few.
I also remember GM in the 80s when it introduced robots and stories circulated (maybe those UAW bosses circulated them?) that instead of smoothly and rapidly assembling the cars, they instead beat each other over their ‘heads’.
September 19th, 2019 at 3:32 pm
20 BTW Ingvar Kamprad, the founder of IKEA, a multi-billionaire who passed away recently at 92, was notoriously cheap, and also used to drive, despite his billions, a beat up old Volvo.
Don’t know if this was some PR BS ‘image’ thing and the guy had a garage with 1,000 more cars, like Jay Leno, but his cheapskate stories were believable.
September 19th, 2019 at 3:43 pm
21
“But what does it prove, and can you draw a general conclusion from that?”
Why do you always have to be argumentative about everything? Jeez
In trying to fix a rattle in the dash of my Camry, I see some jobs that I’d think it would be hard to automate, like installing some of the odd shaped trim pieces. Maybe those jobs are automated, but I’d think it would be hard to hold the pieces, line up the clips, etc. If Toyota has plant tours of their Georgetown, KY plant, maybe I could find out.
With GM, I think there were horror stories about robots, maybe true and maybe not, with the Lordstown plant, maybe with Vegas, or maybe something more recent.
September 19th, 2019 at 3:52 pm
20 It still comes down to cost effective manufacturing and if you can pay an operator in China to do an assembly job for 20K a year it becomes vary difficult to justify a 150K robot plus tooling and fixtures to hold the part and all said and done you’ve automated a job that would cost 80K in labor over the 4 year program and spent closer to 200K. Not a very sound decision when you talk about replacing say 50 operators at a 120K loss. You just wasted 6 Million dollars.
September 19th, 2019 at 4:12 pm
23 Yep, Toyotas aren’t perfect. While the important stuff, like powertrain, steering, and suspension have been flawless, there have been two rather annoying rattles, one in the driver’s side B pillar that I fixed, and the one that I’m working on. I haven’t taken it to the dealer for either, because from past experience, dealer shops aren’t very good with that sort of thing.
September 19th, 2019 at 8:06 pm
For many years I have installed, adjusted, repaired and over-hauled robots of many kinds. They have their place, but require considerable and constant attention. They do repetitive tasks, but lack in areas where precision is required. Robots are nothing more than a tool replacing human repetitive function, yet require considerable human over site to keep them operational. I am most familiar with Fanuc products and can honestly claim the use of them does increase output but has no impact on the number of labors needed to keep that production line running. Cross training has been a must, but no one other than the tradesman has made them really understand how they work.
September 19th, 2019 at 8:33 pm
Larry
You really are informative, knowledgeable in many areas and are challenging, to say the least. But it is very clear you lack the understanding of the workings of the auto industry’s factory operations.
Allow me to only suggest you listen to others who have been employed in various factories and suppliers before you draw a conclusion based solely upon your own perceptions.
September 20th, 2019 at 6:41 am
27 well nobody is perfect. And I never claimed I have the things you mentioned.
September 20th, 2019 at 8:12 am
Amazon orders 100,000 Pure Electric Delivery Vans for $440,000,000
How about them apples, “Joe”?
September 20th, 2019 at 8:13 am
https://www.thetruthaboutcars.com/2019/09/following-big-cash-dump-amazon-taps-rivian-for-100000-evs/#more-1689412
Biggest Auto News of the Year.
If you remember anything bigger than this, tell me.
September 20th, 2019 at 8:34 am
26 Totally agree, as I have dealt with more than a few processes where robots looked like a good idea on paper only to realize they were not the best option. I used to deal with ABB but where I am now its mostly Fanuc and a few motorman’s. While the robots can be pretty precise they do not adapt to variation in a part or process. So in the case like how we use them (welding) they do a very good job of doing a very consistent weld. However get some variation in your components, and something as little as a couple millimeters will cause welding defects. Plus we still need operators to load the weld fixtures. If someone wanted to automate that, the packaging and presentation of parts to the line would need to be completely redesigned into packaging that would present a part the same way for a robot to pick up. Small stampings that are often shipped in wire baskets would now require blow molded trays and be placed in an organized manner. The density would probably triple and require more trucks to ship product. There just becomes a lot of cost involved in automating a process that its just not as simple as some might think. You cannot just throw a robot on the floor and replace workers. Its not that simple.
September 20th, 2019 at 8:47 am
30 That is some pretty encouraging news for EVs and what I suspect will be the start of a trend we will see in the coming year. EVs being produced for fleets like police, mail, garbage, delivery and company vehicles makes sense. Companies can get the good PR from going green and use the tax write off. What I didn’t like about the article is they still promote the vehicle like its a zero carbon footprint.
The government should start requiring the electric companies to start including the emissions and carbon footprint per KW in your bill. So depending on where you live and where your electric comes from which I understand is not always as strait forward as it may sound but maybe an average by zip code or even state. But all these EVs are not zero emissions or zero carbon footprint.
If the consumer at least knows the amount of pollution is generated per KW and they know how much their EV will use per year they could at least get a reasonably fair idea of the actual savings to the environment.
September 20th, 2019 at 9:13 am
30 Does Amazon now have delivery vans? If so, are they only in big urban areas, or are they unmarked? I never see them. Anyway, those vans should be ideal for delivery from a central location, where they can be charged overnight. To me, the van looks much better than the Rivian pickup pictures we keep seeing.
September 20th, 2019 at 9:22 am
33 Yes, looks efficient and aerodynamic and does not have the Pickup’s weird headlights.
The order explains why Amazon bothered to sink $700 mill or so in Rivian. It was sure not for the pickup.
September 20th, 2019 at 9:24 am
33 You did not see them because they did not exist, a year ago
https://money.cnn.com/2018/09/06/technology/amazon-van-mercedes/index.html
September 20th, 2019 at 9:26 am
What I don’t get is why all these vans have a “Prime” logo instead of “Amazon”. Prime is too generic, i had no idea it was an Amazon thing.
September 20th, 2019 at 9:27 am
We have Amazon delivery vans in our area. They are Sprinter vans and we are in suburban Charleston, SC. I’ve seen plain white and also Amazon graphiced examples.
September 20th, 2019 at 10:21 am
I see an occasional white Sprinter van, which may be an unmarked Amazon van. I’m now in the Cocoa Beach/Cape Canaveral area, and I think the postal service does all of the “last mile” delivery.
September 20th, 2019 at 11:23 am
I believe the last time I got a parcel from Amazon, a few years ago, it was delivered by one of these brown vans (Fedex or whatever)