AD #2793 – Volkswagen Atlas Impressions; Bollinger Motors Unveils E-Chassis; FCA Keeps Plants Open

This is Autoline Daily, the show dedicated to enthusiasts of the global automotive industry.

CHINA SLOWLY RECOVERING
When it comes to the coronavirus, we’re starting to get a glimmer of good news coming out of China. Honda resumed production yesterday, including at its plant in Wuhan, which was the epicenter of the outbreak. Volkswagen’s CEO Hebert Diess says VW could still have a decent year in China, predicting sales will largely recover, with the drop for the year coming in somewhere from 3% to 15%. 

FCA KEEPS PLANTS OPEN
But in Europe it’s a different story. Lamborghini closed its plant in Italy, while FCA is keeping its factories in Italy open, including one where a worker tested positive for the virus. It’s telling its salaried employees to work from home, including those in the U.S. FCA is keeping its U.S. plants open even though a line worker at the transmission plant in Kokomo, Indiana tested positive. Workers who were located near him and other people who may have been in contact with him have been placed in quarantine. 

FORD CUTS DIVIDEND
Meanwhile Bloomberg reports that Ford will probably be forced to cut its dividend to preserve cash due to the downturn caused by the virus. And that would really hurt the company’s stock which has already taken a beating. It closed at only $5.35 yesterday. Up to now Ford’s stock was an attractive investment because of its strong dividend yield of about 6%. Investors were confident the company would maintain its dividend, because the belief is the Ford family relies on that dividend income, and would not let the company cut it. Ford pays out $2.4 billion in dividends every year, and analysts were predicting it would have to reduce it, even before the coronavirus hit.

INDYCAR & NASCAR WILL RACE WITHOUT FANS
While most of the sports world has postponed or cancelled games due to the coronavirus in the U.S., there will be a few events for fans to watch. IndyCar will race at St. Petersburg this weekend but with no spectators in the stands. However, the race at Long Beach in April has been cancelled. NASCAR will also hold races for the next two weeks without fans, this weekend in Atlanta and Homestead next week. But not all series will continue to race. Formula 1 has cancelled this weekend’s Australian Grand Prix after a McLaren team member tested positive for the virus and IMSA has postponed next week’s 12 Hours of Sebring until November.

*UPDATE: IndyCar and NASCAR cancelled the races after we recorded the show.*

BOLLINGER MOTORS UNVEILS E-CHASSIS
EV startup Bollinger Motors unveiled its customizable E-Chassis, which is the same platform used in its B1 SUV and B2 pickup. The company claims it’s the world’s first and only Class 3 electric platform, and was developed for commercial use. The E-Chassis is available in front-, rear- or all-wheel-drive configurations and with or without portal gear hubs. It features a 120-kWh battery pack and has the option for a 180-kWh pack for longer range. Payload is 5,000 pounds. The company will begin manufacturing the patent pending chassis, along with its B1 and B2 models, in 2021. It will also be used in future models developed by Bollinger.

VW TESTING AR GOGGLES AT U.S. FACTORY
Volkswagen has a practical application for augmented reality technology. It’s using AR goggles at its U.S. factory in Tennessee to help design future production lines. The plant is currently ramping up production of the Atlas Cross Sport and preparing for electric vehicles in 2022. VW says designers can look at individual parts, spot potential issues and see how existing and future equipment interact together. It also allows them to see how things will fit together in a real environment, which can be done with current methods of virtual planning and software design. 

ROLLS-ROYCE DAWN SILVER BULLET COLLECTION
Rolls-Royce is coming out with a limited-edition model based on the Dawn. Called the Dawn Silver Bullet Collection, it’s inspired by roadsters from the 1920’s. Rolls says the vehicle is “an ode to decadence, to frivolity, to heady heydays and irreverent past times.” The company didn’t share too many details about the two-seater but it will only make 50 of them, which means it likely won’t be cheap. Pricing wasn’t announced but the standard Dawn starts at around $350,000, so this version will likely be well north of that.

POLLUTION FROM TIRE WEAR WORSE THAN EXHAUST EMISSIONS
Tailpipe emissions are a big focus for improvement, but one emission and fuel-economy testing company says we should also be worried about brake and tire wear. Emission Analytics performed initial tire wear testing on a popular European family hatchback, it didn’t say which one, with new and properly inflated tires. It found the vehicle emitted 5.8 grams of non-exhaust emissions (NEE) per kilometer. By comparison, the exhaust limit for particulates is 4.5 milligrams per kilometer. And while there’s rules and regulations for exhaust emissions, there’s none for tire and brake wear. Researchers say the NEE would be even higher if the vehicle didn’t have properly inflated tires, had cheap tires or drove over uneven roads. Emission Analytics also notes that the growing popularity of heavy SUVs and BEVs will have an impact as well.

VOLKSWAGEN ATLAS IMPRESSIONS
I spent the last week test driving the Volkswagen Atlas and while it is a solid vehicle that performs well, there’s nothing about this large CUV that really stood out in my mind. It’s styling, both inside and out is conservative and non-descript. The interior features fake wood trim made of plastic that seems to be VWs interpretation of what American buyers wanted back in the 1970s. One feature I truly appreciated was the backup camera, which is large and has great resolution. Under the hood, the 3.6 liter V6 provides plenty of get up and go, but it only delivers 19 miles to the gallon. By comparison an Acura MDX with a 3.5 liter V6 and all-wheel drive delivers 22 MPGs. A Hyundai Palisade delivers 21. I was surprised by the sticker price on the Atlas SEL Premium I drove: $50,320. Volkswagen brags that the Atlas offers 3-point safety belts at all seating positions. Honest, it’s on the Monroney. And yet despite everything I’ve said, VW connected with consumers. Last year it sold over 81,000 Atlas’s in the U.S. market, which is a pretty good number for VW. And sales are the best measure of how the market perceives any vehicle.

But that wraps up today’s show, thanks for watching, have a great weekend and we’ll see you again on Monday.