+++ Despite the surge in new energy vehicle sales, gasoline models are still more popular in CHINA , the world’s largest vehicle market, according to a ByteDance report. Dcar, the company’s automotive information and service platform, said the absolute majority of its users searched online for information about internal combustion engine vehicles in 2021. It did not offer specific statistics but said Dcar users’ interest as reflected in their searches is “basically in line with the status quo in the market”. New Energy Vehicles sales are expected to reach 3.4 million this year in China, roughly 13 percent of total vehicle sales, according to the China Association of Automobile Manufacturers. But their cumulative deliveries accounted for 2.28 percent of 297 million vehicles in China by the end of September 2021, said the Ministry of Public Security. Dcar said the top 10 automotive brands that its users showed most interest in 2021 were all conventional brands, with German carmaker Volkswagen ranking first. The German brand was followed by Japan’s Honda and Toyota. In terms of premium brands, Mercedes was the most popular. Local Chinese brands saw their popularity grow in 2021. Changan, BYD and Geely were among the top 10 brands Dcar users searched for. Startups, despite their high valuations in the stock market, garnered less attention compared with established brands, said Dcar. Of the new players, Xpeng ranked No 1, followed by Li Auto, Great Wall Motors’ new marque Ora and Geely’s electric arm Zeekr. +++
+++ Automakers are coming up with survival plans to endure persistent CHIP SHORTAGES . They are taking the manufacturing of auto chips in house or pushing for partnerships with chipmakers to minimize disruptions. Korean carmakers have been advised to change the way they order semiconductors. According to a Korea Automotive Technology Institute report, orders for auto chips next year have already exceeded manufacturing capacity by 20 to 30 percent, and some of the orders have been pushed to 2023. Lead time for semiconductors is now 23.3 weeks. Lead time indicates to the time gap between when the order is placed and when it is delivered. “Automakers, acknowledging the importance of semiconductors, are shifting how they source their chips by collaborating and internalizing the manufacturing capacity”, the report said. “Ford, for example, is vertically integrating the auto chip supply chain by strategically partnering with GlobalFoundries”. GlobalFoundries is a multinational chip contract manufacturer based in Santa Clara, California. General Motors is also opting for partnerships with chipmakers. Last month, it announced it will co-develop chips with several producers, including NXP and Qualcomm. Other strategies include manufacturing auto chips on their own. Hyundai, Toyota, Tesla and Volkswagen have hinted at plans to develop auto chips themselves to reduce their reliance on chipmakers. The report recommended carmakers and parts makers in Korea change the way they order chips. “Korean companies have maintained their way of making short-term orders, for example on a 3-month basis, while other major global companies place long-term orders on a 1-year basis”, the report said. “Unlike other auto parts, semiconductor companies prioritize those who make orders first. As a result, Korean companies also need to make changes in their way of placing by making long-term orders based on demand forecasts and manufacturing plans”. The automotive semiconductors supply crunch, which started in 2020, hit the global auto industry this year, leading many carmakers to temporarily shut their factories. It disrupted production of some 1.4 million vehicles in the first quarter, followed by another 2.6 million in the second quarter, according to market tracker IHS Markit. IHS believes the supply crunch will continue until the latter half of 2023. +++
+++ FAW Group’s premium arm HONGQI said on Friday it sold a record number of 39.100 vehicles in December 2021. Deliveries in the month have pushed its sales this year to exceed 300.000 units, up 50 percent from 2020. Its flagship models, the H9 and the E-HS9, saw their deliveries hit 40.000 units and 5.400 units respectively. Hongqi said its cumulative deliveries have reached over 600.000 units. The brand now has built a sales network of 477 dealerships across the country, covering 86.9 percent of Chinese cities. Hongqi has recently partnered with China’s Wanda Group to reach more potential buyers. The first group of its showrooms in downtown plazas are expected to open in the first half of 2022, said Hongqi. Hongqi, meaning ‘red flag’, is China’s iconic sedan brand. Established in 1958, the brand has been used in parades for national celebrations. +++
+++ A man standing beside a robot, gazing into what seems to be an otherworldly dimension, or perhaps the metaverse, is how the HYUNDAI MOTOR GROUP visually teased their stage at the upcoming Consumer Electronics Show to take place in Las Vegas on January 5-8. The Korean auto giant said it will be presenting the group’s blueprint for future mobility where robotics and metaverse technologies are expected to take center stage. Chairman Chung Euisun is expected to lay out the blueprint at Hyundai Motor’s press conference on Tuesday. Hyundai will debut several new technologies ranging from the carmaker’s idea of Mobility of Things, which refers to a new concept that mobility is part of everything, to two new robots, called Spot and Atlas, developed by Boston Dynamics, the US robotics specialist that the carmaker acquired in June. Its core robotics technology-based Plug & Drive robotics module platform also will be unveiled for the first time at the world’s largest tech trade show. The automaker will exhibit examples of how robotics technology can work as a medium to connect the virtual world with reality in the concept of the metaverse. Hyundai Mobis, an auto parts making unit of the Hyundai Motor Group, will present 2 future mobility concept cars, M.Vision POP and M. Vision 2GO, that are equipped with wheels that can turn 90 degrees, allowing parallel parking. +++
+++ MITSUBISHI will reveal a kei EV concept and a Ralliart concept car at Tokyo Auto Salon 2022, which will be held from January 14 to 16 next year. The kei EV concept is a new generation all-electric kei-car with Mitsubishi-ness, founded on safety, security and comfort, as well as environmental-friendliness. It combines easy handling and practical size of a kei-car with smooth yet powerful road performance of an EV, while offering advanced driver assistance systems and connectivity. The Ralliart concept car brings together Mitsubishi Motors’ engineering and passion for Monozukuri challenges (craftsmanship). With a premium-feel and a strong sense of presence, the styling expresses the company’s vision for the new Ralliart. +++
+++ It seems the public has an insatiable need for crossovers and OPEL is more than happy to meet its demands. So much so, that the company’s next-generation Insignia will ditch its low-slung liftback styling in favour of a tall-riding SUV stance, which the company hopes will reignite interest in the model following a slump in sales. Given the new design brief, we expect the next Insignia will be based on the same eVMP underpinnings as the Peugeot’s upcoming replacements for the 3008 and 5008. That also means the crossover will be available with a choice of electric powertrains, offering between 400 and 640 km of range, depending on the battery pack and motors. The eVMP architecture is compatible with batteries ranging between 60 kWh and 100 kWh in capacity, and there’ll likely be a broad range of electric motor configurations, starting with the 136 hp front-wheel drive powertrain from the Corsa-e and topping-out with a 340 hp dual-motor, 4-wheel drive system in the flagship. Those unwilling to make the shift to EV power will also be pleased to hear that Stellantis’s eVMP chassis is basically a heavily reworked version of the company’s existing EMP2 platform, meaning Opel will be able to offer plug-in hybrid power on the Insignia, alongside these new electric models. Opel (and stablemates Citroen and Peugeot) hasn’t released any details about the PHEV system destined for its next-generation vehicles. Currently, the firm uses a 1.6-litre unit with a 13.2kWh battery pack, which offers 300 hp and a maximum range of around 60 km. However, that could easily be updated for the brand’s next-generation models. Like Peugeot with the 3008 and 5008, Opel will also shun pure-combustion power on the new Insignia crossover. In place of the current car’s petrol and diesel engines, there’ll be a line-up of mild-hybrid units, designed in tandem with the Belgian engineering firm Punch Powertrain. Details on the units are still yet to be confirmed. We first heard about the new Opel Insignia crossover back in 2019, after sitting down for a chat with the company’s spokesman. He told me: “The industry is asking what happens after the SUV. And we think the new Insignia will be it. It’s the biggest metamorphosis of what we’ve seen so far from Opel”. Norman wouldn’t be drawn on any more details, but Autointernationaal has since learned that the current low-slung Insignia Grand Sport will eventually be replaced by a crossover that’s somewhere between an SUV and an MPV. That doesn’t necessarily mean it’ll have 7 seats, but it’s almost certain to be a more premium and spacious high-riding model which follows a similar design brief to the recently launched Citroen C5 X. We probably won’t see the new Insignia until 2024, though. The current car was facelifted this year, which means it has at least another 3 years of life left in it. That timeline would also give Peugeot enough time to launch the new 3008 and 5008 before the Insignia. which is important as the brand takes priority over Opel in the Stellantis pecking order. +++
+++ In SOUTH KOREA , 2 out of 10 imported vehicles sold this year were luxury cars costing over 100 million won ($84.300). A total of 252.242 new imported cars were registered this year through November in Korea, up 3.6 percent on-year, according to the Korea Automobile Importers and Distributors Association. Of them, 59.435 were luxury cars priced at over 100 million won. That’s up 37 percent on year and was 23 percent of imports sold during the period. A total of 43.020 cars were priced between 100 million won and 150 million won, a 33 percent increase on year, 16.415 cost over 150 million won, up 51 percent on year, and 82.935 cost between 50 million won and 70 million won, the most popular range. Imported cars priced between 70 million won and 100 million won were the second most popular choice, with around 50.890 units sold. Only 5.289 imports selling for under 30 million won were sold. The most popular brand in the 100-million-won-to-150-million-won range was Mercedes-Benz. A total of 15.408 of them were sold. BMW was No. 2, at 14.914, followed by Porsche, at 5.856. For cars costing more than 150 million won, Mercedes-Benz was No. 1 followed by BMW at No. 2 and Porsche in the third spot. A total of 484 Bentleys were sold this year, up 91.3 percent on year. The number of Porsches sold rose 15.3 percent, while Automobili Lamborghini sales increased 14.9 percent on year. “Luxury imported cars have become especially popular this year as more people tend to splurge on cars after the pandemic”, said Kim Pil-soo, an automotive engineering professor at Daelim University. “The imported car market is likely to grow further next year”, Kim added. “More consumers will seek imported cars as Hyundai and Kia are heavily affected by the shortage of auto semiconductors, while Renault Samsung Motors, SsangYong Motors and Chevrolet are facing problems with their manufacturing systems”. Mercedes-Benz Korea, in fact, is expected to maintain sales at more than 70.000 units this year for the 4th year in-a-row. BMW Korea had record-breaking sales, with 61.436 units being sold from January to November this year, their highest sales ever. Audi Korea sold 21.242 during the same period. Meanwhile, domestic carmakers Renault Samsung, GM Korea and SsangYong saw sales drop. From January to November this year, 5 Korean carmakers sold more than 1.3 million vehicles, among which only 11.98 percent belonged to sales of Renault Samsung, GM Korea and SsangYong. Renault Samsung sold 53.934 units this year, a 38.7 percent drop on-year. GM Korea sold 51.773 units, a 29.7 percent drop from last year. SsangYong’s sales also dropped 36.4 percent on-year, selling only 50,553 units this year. They could not boost their sales due to business management difficulties, labor and management conflicts, and lack of new car models. But they‘re seeking a resurgence with new model launches next year. GM Korea is expected to resume selling the Bolt EV and Bolt Utility EV, models that were delayed in distribution due to a recall over battery fire risks. Renault Samsung plans to launch its XM3 (Arkana) Hybrid model, in line with a global sales increase of eco-friendly cars. SsangYong Motors will introduce its first electric model, the Korando e-Motion, within the coming year. +++
+++ TESLA is recalling almost 200.000 vehicles in China over problems with the trunk and front hood that raise the risk of collisions, a state regulator said Friday, hours after a similar recall was announced in the United States. The order is the latest blow to the American self-driving car pioneer, which is hugely popular in China although the firm’s reputation has taken a hit this year following a spate of crashes, scandals and data security concerns. China’s State Administration for Market Regulation said the defects could affect the vehicles’ backup cameras or cause the hoods to open suddenly while driving. The move covers 3 batches of cars produced between 2015 and 2020. Elon Musk’s electric vehicle company will inspect the cars for free and fix the issues, the regulator said in a statement. The recall includes around 19.700 Model S cars that could have latch problems with the front hood and about 180.000 Model 3 vehicles. In the Model 3 cars, repeated opening and closing of the trunk may damage a cable for the rearview camera. “This will affect the driver’s vision when reversing, and in extreme cases will increase the risk of collision”, the regulator said. The Chinese notice came hours after U.S. authorities said Tesla was recalling almost 500.000 vehicles in the country due to similar problems. Tesla estimated that just one percent of the recalled Model 3 vehicles contain the problem, and the company knew of no related crash or injury, according to the U.S. safety regulator. In June, the electric car giant recalled more than 285.000 cars in China over issues with its assisted driving software that could cause accidents. +++
+++ TESLA is recalling more than 475.000 Model 3 and Model S sedans to address a defect that can cause the rearview camera to stop functioning, the National Highway Traffic Safety Administration announced. The campaign covers 2017-2020 Model 3s (representing nearly 360.000 units) with an unspecified range of Model S production (NHTSA documentation appears to be incomplete as of the time of publication) making up the remaining 115.000 units. Over time, use of the trunk lid can wear the wiring harness which includes the cable that carries signal from the rearview camera to Tesla’s main control and infotainment screen. Users may notice intermittent issues with the camera display before it fails entirely. “The Model 3 trunk harness is equipped with a solid core coaxial cable that provides the rearview camera feed for visibility on the center display”. Tesla said in its recall report to NHTSA. “The coaxial cable is affixed to a harness on the trunk lid and extends or folds as the trunk opens and closes. When the trunk is in a closed state, the harness folds and may experience a tight bend radius, stressing the core of the cable. Over time, repeated opening and closing of the trunk lid may cause excessive wear to the coaxial cable. If the wear causes the core of the coaxial cable to separate, the rearview camera feed is not visible on the center display”, it said. Tesla says it mail notices to owners to address the recall by mid-February. +++