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Runtime: 8:35
0:07 USMCA One Step Closer to Passing
0:43 Ford Employees Preparing for Layoffs
1:11 Alonso Fails to Qualify for Indy 500
2:13 Technical Details of Ford Police Interceptor Hybrid
3:36 Value of Content Comparison
4:25 Mercedes Packs New Tech into Single Prototype
5:54 Steel Will Play a Role with Cars in The Future
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This is Autoline Daily reporting on the global automotive industry.
USMCA ONE STEP CLOSER TO PASSING
Looks like the U.S., Canada and Mexico just took a step closer to getting a new free trade agreement. Last Friday, the Trump Administration announced it will lift tariffs on steel and aluminum imported from Canada and Mexico. GM and Ford say that the tariffs cost them around a billion dollars and FCA reported it cost $500 million. Suppliers also say that they hurt their business. These tariffs were a real sticking point on finalizing the US-Mexico-Canada trade pact, the USMCA, which is replacing NAFTA.
FORD EMPLOYEES PREPARING FOR LAYOFFS
Today is a black day for a lot of employees at Ford. The Detroit Free Press reports that quite a few salaried workers packed up their belongings on Friday, because they anticipate they’re going to be laid off tomorrow. Ford is in the midst of an $11 billion overhaul, which could include as many 25,000 jobs getting eliminated globally. The biggest brunt is expected to be borne by Ford’s operations in Europe.
ALONSO FAILS TO QUALIFY FOR INDY 500
Wow, what a shock at qualifying for the Indy 500 over the weekend. Simon Pagenaud powered his Penske-Chevrolet to the pole position with a speed of 229.992 miles an hour. But the big buzz was the failure of Formula One star Fernando Alonso and team McLaren to qualify for the race. One of the criticisms of Indy Car racing is that it’s just a spec series. But when a Formula One champion and a leading Formula One team can’t even go fast enough to quality, it shows that this spec series is a lot more technically challenging than the critics seem to believe.
TECHNICAL DETAILS OF FORD POLICE INTERCEPTOR HYBRID
We have more technical details of the hybrid version of the Police Interceptor of the Ford Explorer. Ford calls it the MHT, for modular hybrid technology. It’s a P2 hybrid, that is, the electric motor is sandwiched between the engine and a 10-speed transmission. It adds 45 kilograms and 135 millimeters in length to the powertrain. It also has a clutch so the vehicle can run in pure EV mode. The electric motor provides 35 kilowatts of power. That’s about 44 horsepower. Combined with the vehicles naturally aspirated 3.3 liter V6, total output is 318 horsepower and 322 pound feet of torque. That allows the Police Interceptor to tow 3,500 pounds at sustained highway speeds based on the SAE J2807 test. Ford says it will get 24 miles to the gallon combined, and that it will save 1,200 gallons of gasoline a year assuming the vehicle is driven 20,000 miles a year and spends 60% of its time idling. At $2.75 a gallon, that would save $3,500 a year. And guess what Ford is charging for the MHT? $3,500. So the whole package should pay for itself in a year.
VALUE OF CONTENT COMPARISON
Merrill Lynch came out with an interesting study comparing the value of all the parts and components in an ICE car, a battery electric car and a Level 4 and 5 autonomous car. It says the average U.S. car with an internal combustion engine has about $14,500 worth of content, but this does not include the cost of final assembly or profits. By the same measure, a BEV has $33,600 worth of content. And a Level 4 and 5 AV has $150,000 to $200,000 worth, of which three-quarters is hardware and one-quarter software. It also includes R&D costs, which is a key reason why the cost is so high.
| MERRILL LYNCH CONTENT COMPARISON | |
|---|---|
| ICE Car | $14,500 |
| BEV | $33,600 |
| L4-5 AV | $150-200,000 |
MERCEDES PACKS NEW TECH INTO SINGLE PROTOTYPE
To demonstrate how Mercedes is taking on future vehicle safety, it jam packed all its latest technology into a single vehicle, called ESF 2019. Some of it we’ve seen, like projector headlights and turquoise lighting to communicate autonomous vehicle intent, but other technologies are new. A warning hazard symbol can be displayed on the grille or projected onto the rear window to indicate there’s an issue in traffic or the vehicle has a problem. If the problem is with the vehicle, a warning triangle also pops out from the roof and robot sets up a roadside warning as well. To keep the smallest riders safe, Mercedes developed a child seat that communicates with the vehicle via radio frequency, which allows it take preventative measures before an accident, like pre-tensioning the safety belt. There’s also an airbag system that completely envelops the seat and even the child’s vital signs are monitored. And Mercedes is trying to incentivize rear seat passengers to buckle up. A belt feeder extends the seat belt when the door is closed to make it easier to grab, the belt buckle lights up, the seat belt is heated and a USB port incorporated into the buckle doesn’t connect until the belt is buckled.
STEEL WILL PLAY A ROLE WITH CARS IN THE FUTURE
For decades, analysts predicted that cars in the future won’t be made from steel but so far steel remains dominant. On last week’s Autoline After Hours, we were joined by Dr. Jody Hall from the Steel Market Development Institute, and she explained why steel will play a role with electric and autonomous cars in the future.
(The AAH preview is only available in the video version of today’s show.)
For a deeper dive into the steel industry, you can watch that entire episode right now on our website, Autoline.tv or you can find it on our YouTube channel.
But that brings us to the end of today’s show, thanks for watching and we’ll see you again tomorrow.
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John McElroy is an influential thought leader in the automotive industry. He is a journalist, lecturer, commentator and entrepreneur. He created “Autoline Daily,” the first industry webcast of industry news and analysis.
