Motoring News
First Ford took a stake in startup electric truck maker Rivian. Now General Motors has agreed to take an 11 percent stake in another startup electric truck maker, Nikola. The deal is expected to be finalized later this month.
Under its terms, General Motors will build Nikola’s Badger pickup truck, which is designed to be a battery- or fuel-cellpowered vehicle. Production, using a GM plant, is expected to start in two years. The Badger, which is slated to be unveiled this December at a Nikola event in Arizona, will use GM’s new Ultium batteries and Hydrotec fuel cell system. For its efforts, GM will be granted shares in Nikola worth $2 billion and will be given one seat on Nikola’s board of directors. In a joint statement, GM’s CEO, Mary
Barra said, “We are growing our presence in multiple high-volume EV segments while building scale to lower battery and fuel cell costs and increase profitability. In addition, applying General Motors’ electrified technology solutions to the heavy-duty class of commercial vehicles is another important step in fulfilling our vision of a zero-emissions future.”
The use of GM’s manufacturing facilities will save Nikola billions of dollars, according to Nikola founder and Executive Chairman Trevor Milton. It will also speed the arrival of the truck. Investors seemed to have liked the deal. After the announcement GM shares rose 7.9 percent while Nikola shares went up 41 percent on a day when the stock market was down.
Honda sets prices for Passport
Honda has upgraded the technology in the base Sport trim level of the Passport SUV for 2021. These models are arriving now at Honda dealerships.
Gone in the 2021 Passport Sport is the infotainment system with few connectivity features and a 5.0-inch screen with no touch functions. In its place is the infotainment system that is used in the upper trim levels of the Passport. It features an 8.0-inch touchscreen, Apple CarPlay and Android Auto. The price of the base Sport goes up by $625, to $33,710.
Upper trim levels, the EX-L, Touring and Elite models, see no major changes for 2021. Prices here go up by $225 to $285. Adding all-wheel drive adds $2,000 to the price of all but the Elite models. Here, all-wheel drive is standard. All versions feature a 280-horsepower 3.5-liter V6 engine.
Uber’s electrification plans
Uber, the ride hailing company, has announced that by 2040 every Uber ride will take place in an electric vehicle. To help this transition from fossil fuels to electric power, Uber has pledged
$800 million to help its drivers, who numbered 5 million before the pandemic struck, make the switch. Included in the plans are discounts that the drivers will receive when they choose to buy or lease a vehicle from one of Uber’s partner automakers. For now, Uber has partnerships with General Motors and the Renault-Nissan-Mitsubishi alliance. Eligible Uber drivers who choose a 2020 Chevrolet Bolt EV from General Motors will be entitled to the GM employee price and be able to take advantage of the current $8,500 national rebate that is offered on the vehicle. These drivers will also be able to take advantage of a 20 percent discount on Bolt EV accessories, including home charging equipment, and special financing may also be available through GM Financial.
Nissan gets new North American leader
Following a series of management departures at its North American operations, Nissan has named a chairman of its new five-member regional board. He will be Ashwani Gupta, Nissan’s 49-yearold COO who is overseeing Nissan’s global revival plans. Gupta is an Indian national who has never held a North American post. He pledges, however, to work on strengthening Nissan’s ties with its dealers and suppliers in the
North American market. Saying Nissan in North America must switch from a mindset focused on volume to one that emphasizes value, Gupta will be working on moving Nissan’s efforts from promoting sales for the sake of boosting volume and market share to strategies that will increase profits. In the past, Nissan pursued an 8-percent global market share. Last year it garnered 5.8 percent of the market. Its new target under Gupta is a 6 percent market share. In the United States, Nissan sales for the first half of 2020 were down 40 percent in the face of the Covid-19 pandemic. To help reverse that slide, Nissan has reintroduced dealer bonus programs that set sales goals for individual stores with incentive targets. However, Automotive News reports that many Nissan dealers dislike these programs.
GM salaried workers to remain home longer
While some General Motors salaried workers have returned to their offices, the majority of GM’s salaried employees continue to work from home as the
United States struggles to contain the Covid-19 virus. Earlier, their return to the office was planned for the end of this year. Now, The Detroit News reports that this return has been put off until June 30, 2021. For many employees, this means that they will end up working from home for 15 months.
Volkswagen has started to drop hints of what its new compact utility vehicle, due next month, will be like. The first of these teasers shows the front of the vehicle with the sun low in the background and the headlights on, effectively eliminating the ability to discern details of the design with the exception of a horizontal light line that goes from headlight to headlight with a break in the middle, presumably for a VW emblem. The vehicle is intended to fill the gap in the VW sport utility vehicle lineup that exists beneath the Tiguan. The current SUV lineup has proven to be popular with American consumers. Fifty-three percent of all Volkswagens sold in the United States are now a sport utility vehicle.
Genesis G70 updates
Genesis has revealed styling and engine updates for its G70 sedan. Slated to arrive as a 2022 model, the refreshed G70 takes styling cues from the G80 sedan and the GV80 SUV. Among the highlights are a quad-headlamp treatment and grille inspired by the G80. At the front and rear Hyundai has used a horizontal twin-line-of-light motif to set the car apart from others on the road. Under the hood, the new G70 will adopt the G80’s base engine, a 2.5-liter fourcylinder turbocharged motor rated at 290 horsepower. It replaces the current model’s 2.0-liter turbocharged four. Among other changes, Genesis is dropping the six-speed manual transmission option for four-cylinder buyers. The current version also offers a V6 upgrade. This is expected to continue for the 2022 model, but details are not available.
Inside, a 10.3-inch screen for the infotainment system is to be standard. The car is expected to arrive in the United States by early next year and start at about $37,000.
FCA stretching Pacifica’s price range
In an effort to fill the price gap created by discontinuing the Dodge Grand Caravan, a minivan that appealed to frugal families and fleet buyers, Fiat Chrysler Automobiles has relabeled the last Pacifica minivan a Chrysler Voyager, removed some features and lowered the suggested retail price to less than $29,000.
At the other end of the pricing spectrum, FCA has announced a new top version of the Pacifica minivan, the Pinnacle. Slated above the Limited trim level, the Pinnacle comes with standard all-wheel drive, which is newly optional across the Pacifica range, and such luxury features as quilted Caramel Nappa leather upholstery, lumbar pillows for the captain’s chairs in the second row and upgraded instrumentation and switchgear. Also included are a 360-degree camera, parking assist systems, and a Uconnect Theater rear entertainment system with a 19-speaker Harman-Kardon audio system. The starting price is $54,855. There will also be a front-wheel drive plug-in hybrid version for $52,340.
As for the return of all-wheel drive for the 2021 models, this was made possible by some clever engineering that made the system compatible with Chrysler’s Stow ‘N Go second row seats. These seats are not offered in the Voyager, nor are they available in plug-in hybrid versions of the Pacifica since the battery packs occupy the space needed to store the folded Stow ‘N Go seats. All-wheel drive is also unavailable for Voyager buyers.
Hyundai-Kia recalls
Last week, a possible brake fluid leak prompted Hyundai and Kia to recall 591,000 vehicles. Affected are 2013 to 2015 Kia Optima sedans and Hyundai Santa Fe SUVs. Also included in the recall are 2014 to 2015 Kia Sorento SUVs. A faulty antilock braking electronic hydraulic control unit could leak brake fluid, which might result in an engine compartment fire. A fire could result even if the car is not in use at the time. Letters will start going out to affected owners in mid-October. Now, in an unrelated action, the two companies are recalling 180,000 Hyundai Tucsons and 9,000 Kia Stingers. Models from 2019 to 2021 are affected by a possible short circuit that can occur in the antilock brake module that can start a fire. Kia recommends parking the vehicles outdoors and away from other vehicles. If the ABS warning light comes on, the vehicle should not be driven and the vehicle’s battery should be disconnected, the automaker says.