+++ Buyers of ALFA ROMEO ’s outlandish 33 Stradale supercar will choose its successor this December, the company’s boss has revealed. Jean-Philippe Imparato said that strong demand for the €2 million 33 Stradale, and a focus on 5-door models through the rest of the range, means a successor to the 650 hp supercar is more likely to arrive before we see a reborn GTV or Spider. “The Club 33, the customers of the 33 Stradale, will choose it”, Imparato said. “I want these guys, who trusted me, to be with us in December when we will choose the next chapter. We will deliver the first 33 Stradale on or around the 17th December, and I would then like to come to you and say what we will do next, how many cars we will build, and so forth. But I don’t have the intention to go back to 500 or 1.000 cars. I want to stay below 100 cars, and I want to put all of the quality and performance features in that I need”. Imparato provided a few hints at some of the options that could be put before the 33 Stradale owners. “There are tons of things we can look at”, he said. “Disco Volante, 6C, Montreal … but only the Club 33 will choose with us the next step”. There’s no word yet on how the next ‘Club 33’ model will be powered. The 33 Stradale is said to be available with a choice of combustion or electric power, and Alfa sources have suggested it could be a spectacular sign-off for petrol propulsion. Given the time frames involved, any combustion version of the 33 Stradale’s successor would likely break’s Alfa’s promise to be EV only by 2027, although the project’s rarity value may allow it to exist outside of that plan. +++
+++ The DBX has become a problem child for ASTON MARTIN , facing this week not 1, not 2, but 3 recalls. In total, these campaigns impact 3.632 vehicles in the U.S., though Aston Martin has not yet received any reports of injuries or accidents resulting from these issues. The largest of these recalls affects 2.902 units of the DBX due to loose electrical cables in the battery fuse box. This problem could lead to an engine stall or a loss of headlights and possibly power steering. According to the NHSTA, some lucky customers got to enjoy the thrill of a battery warning message flashing on their instrument cluster, adding a dash of excitement to their driving experience. Aston even hinted at the possibility of your car emitting smoke in the boot or treating you to an unpleasant odor, just to keep things interesting. Dealers will address the problem by removing the three affected cables from the threaded studs and conducting a thorough inspection of the fuses and cables for any signs of damage. If any damage is detected, the affected parts will be replaced accordingly. Furthermore, serrated nuts will be substituted with a flat nut, flat washer, and a spring washer, with torque settings increased to 12Nm. The second recall concerns a hose for the oil cooler that may burst, leading to a sudden loss of oil pressure and potential engine damage. It was first noticed due to a failure in the field, and it sounds like it was a pretty scary scenario. On July 4, 2023, an owner noticed oil level, and oil pressure warning lights on their dash, as well smoke coming from the engine bay. That’s never a good sign, and prompted Aston Martin to investigate. It determined that the vehicle in question’s oil cooler hose split while it was in motion, leading to the dramatic scene. It reached out to its supplier, Imperial Auto Industries, to get to the bottom of the problem. Ultimately, it determined that the supplier changed the process for wrapping oil cooler hoses. That could result in pit and pin marks forming on the inner wall of the component, which could ultimately lead them to fail at a lower pressure ratings than specified. That could lead to a sudden loss of oil and, with it, oil pressure. In turn, that could cause the engine to seize, which could lead to a crash or a fire, if the oil drops onto a hot enough surface. Unfortunately, the bad hoses were installed in every single DBX 707 built between October 11, 2022 and June 30, 2023; or 720 vehicles in the U.S. To ensure that no failures occur in affected units of the DBX 707, Aston Martin will start reaching out to owners on April 22, and will replace all hoses for the oil cooler on affected vehicles, at no cost to the owner. Meanwhile, it must also work to reach out to the 10 American owners of 2021 model year units of the DBX whose front prop shaft and front differential fasteners may not have been tightened to specification. This problem was also discovered by a customer in Switzerland, whose SUV came to a halt on the side of the road after the front prop shaft came loose. Aston Martin investigated, and discovered that pandemic parts shortages were to blame. In the 10 U.S. vehicles (as well as seven vehicles in other markets) parts shortages meant that the front drive unit and differential weren’t available as the vehicles were on the assembly line. They were moved to a rework area, where the parts were installed once they became available. However, unlike on the line, there was no way to record how tightly fasteners were affixed as the differential and drive unit were being installed, so Aston Martin can’t guarantee that they are torqued correctly in these vehicles. If these fasteners loosen, it could lead to noise, vibrations, and an eventual loss of front-wheel drive. If the prop shaft is loose, the crank position sensor could unplug causing the engine to stall, and other damage could follow. As a result, Aston Martin will start reaching out to affected owners on April 22, asking them to return their vehicle to a nearby dealer where the fasteners will be inspected, and tightened where necessary. +++
+++ CHERY AUTO is looking to begin assembling models in Europe for the first time and might use a plant in Barcelona, Spain that was shut down by Nissan in 2021. Since Nissan shut down the plant, local electric motorcycle manufacturer Silence has been operating there, as have engineering groups QEV and EV Motors. As it stands, EV Motors has full corporate control of the hub and has been engaged in talks with Chery. If a deal is reached, EV Motors would continue to operate out of the factory and may ink production and commercial deals with Chery to produce its Ebro-branded pickups and electric vans. The regional government of Catalonia is sending business officials to China this week to speak with Chery executives. It remains unclear if the Spanish government will offer any public aid to Chery, but it’s opening 2 tenders this year, inviting companies to request a total of €1.7 billion in loans and grants for electric vehicle production. It is not yet clear which models Chery intends to begin manufacturing in Europe nor how many units it expects to produce annually. The Chinese carmaker was known to be in talks with the Italian government and had considered setting up its European base there. An industry source recently told Auto News that while Chery remains in contact with authorities in Italy, it has received little feedback and appears to now favor Spain. Italy is eager to boost its car-building output to roughly 1.3 million units from less than 800,000. Stellantis will play an important role in increasing car production in the country through the Fiat and Alfa Romeo brands but the government is also looking to attract newcomers to its shores. Italian authorities have already spoken with Tesla, Great Wall, and BYD. +++
+++ The new series of crash tests fielded by EURO NCAP , the European car safety body, features 2 Japanese and 1 Chinese newcomers, all of which were able to achieve five stars, the highest rating. The 3 cars whose results have just been published by Euro NCAP are the Honda CR-V, the Nio EL6 and the Toyota C-HR, all of which have demonstrated their ability to meet the requirements to avoid or mitigate impact damage, including to vulnerable road users such as pedestrians and cyclists. Specifically, the Honda CR-V scored 4 stars in its basic version, but reached 5 stars when equipped with the optional Honda Sensing 360 package. But let’s look at the individual ratings. The new Honda CR-V is the fifth-generation SUV that debuted in Europe in 2023 with full hybrid and plug-in hybrid engine gets 4 stars in the standard trim. The safety rate for adult occupants is good at 85 percent, a level very close to the 86 percent child protection recorded in crash tests. For vulnerable road users, the safety score is 76 percent, with some uncertainty in automatic emergency braking when facing pedestrians, while safety systems score 67 percent. Equipped with the optional Honda Sensing 360 package, the Honda CR-V itself gets 5 stars, scoring 80 percent and 79 percent respectively in the 2 latest tests. The Nio EL6 is the second-generation electric SUV from the Chinese manufacturer also famous for its ‘battery swap’; the ability to quickly and automatically replace a discharged battery with a charged one. The EL6’s 5 stars start with the excellent 93% safety rating in adult protection, but also 85% in child protection. In pedestrian and cyclist protection the recorded percentage is 78 percent. The safety system rating of the new Nio comes in at 76 percent. The second series of the Toyota C-HR, also available in both full-hybrid and plug-in hybrid versions, manages to achieve 5 Euro NCAP stars, just like the first generation of the Japanese compact SUV. In adult occupant protection it receives a rating of 85 percent, rising to 86 percent in child protection. The 86 percent achieved in pedestrian and adult protection is the best result according to the new parameters in force from 2023, tied with the BMW 5 Series. For safety systems the Toyota comes in at 79 percent. Commenting on the latest test results, Euro NCAP General Secretary Michiel van Ratingen says: “It is not surprising that these 3 sophisticated cars are hitting the target, albeit with an optional safety package in the case of the CR-V. It is gratifying to see the use of advanced sensing solutions, such as lidar, which make it possible to avoid accidents better and better, but we need to focus more on the safety of other road users. Unfortunately, accidents cannot always be avoided and high crashworthiness remains a key pillar. Our post-crash inspection, which has been an essential part of our accident protection assessment since 1997, uncovered weaknesses in all 3 vehicles, including poor airbag deployment and ‘submarining’ of occupants. Manufacturers must be careful not to overlook these key points in their search for sophisticated solutions”. +++
+++ MAZDA ’s Chinese joint venture with Changan has teased a new electric sedan, offering a glimpse of its silhouette ahead of its debut at the Beijing Auto Show later this month. Seen as a potential successor to the discontinued Mazda6, the mid-size model might be limited to the Chinese market. The Japanese carmaker has also confirmed it will come in both fully electric and plug-in hybrid variants, built on a platform developed by Changan. The teaser provide a glimpse of the sedan’s aerodynamic profile and distinct character line, evocative of designs seen in other Changan-owned brands. Should this be a case of rebadging, Mazda is likely to incorporate its signature grille flanked by a pair of aggressively styled headlights. Changan Mazda has previously announced 2 debuts for 2024, internally codenamed J90A (fully electric) and J90A-REEV (range-extender plug-in hybrid). These will be followed by the J90K and J90K-REEV in 2025, further expanding the local lineup. Mazda has trademarked the EZ-6 and EZ-60 nameplates in China, with the former being a strong contender for the upcoming electric sedan and the latter likely reserved for an electric SUV. Chinese media reports that the new Mazda will ride on Changan’s EPA1 architecture which already underpins the Deepal / Shenlan SL03 sedan and the closely-related S7 SUV. The platform is compatible with fully electric and plug-in hybrid powertrains, with the latter using a 1.5-liter four-cylinder gasoline engine as a range-extender. In Europe, the automaker recently trademarked the Mazda 6e moniker, fueling rumors about a new generation of the midsize sedan. It’s unclear whether this model will be related to the Changan-based sedan or if it will be a separate offering tailored for western markets. Changan Mazda hasn’t provided a specific date for the debut of the new sedan, only stating that it is “coming soon”. However, during the Changan Automobile Global Partner Conference last January, chairman Zhu Huarong confirmed that the EV would be unveiled at the 2024 Beijing Auto Show, which opens its doors on April 25th. The current lineup of Changan Mazda in China consists of the Mazda3, CX-30, CX-50 and CX-5. This implies that the new addition to the range will be the sole sedan with a three-box design and a fully electric powertrain option. +++
+++ MERCEDES-BENZ has pulled the plug on tests exploring range-extender drivetrains as a potential way to bolster the utility and appeal of its electric cars. The technology that had been trialled uses a specially adapted combustion engine as a generator to charge the battery when it runs low. However, despite beginning an advanced engineering programme, the firm has decided to focus on simpler and more cost-effective battery-electric drivetrains, a source familiar with Mercedes’ car development activities confirmed. “We have created range-extender prototypes based on existing models, both for packaging and road testing. In the end, though, we concluded that the range-extender drivetrain is a transitional technology with a relatively short-term benefit in terms of sales and comparatively high production costs”, said the high-level insider. Among the range-extender Mercedes prototypes is an EQS-based mule. It is claimed to feature a front-mounted turbocharged 1.0-litre 2-cylinder engine (essentially half of the turbocharged ‘M254’ 2.0-litre 4-cylinder engine used through its line-up) to act purely as a generator without direct drive to the wheels. The compact petrol engine is modified with Miller-cycle thermodynamic prototypes aimed at improving constant-rev efficiency. It also features a front-mounted exhaust system, waiving the requirement for lengthy pipework through to the rear. Power for the prototype is delivered by a rear-mounted electric motor developing 272 hp and operating in combination with a floor-mounted lithium ion battery. Electric energy for the battery, described as having a capacity roughly half of that used by the production EQS, is provided by traditional AC and DC plug-in charging. The 2-cylinder engine is used to create back-up electricity in situations where plug-in charging is not available or possible. In the Mercedes prototype, the petrol engine is combined with a fuel tank of unspecified capacity, giving it a theoretical range beyond the 778 km of the rear-driven EQS 450+. Attention has turned to range-extender electric vehicles following their increasing popularity in China. Aware of the lack of EV charging infrastructure in second- and third-tier cities, many car makers there have begun to offer range-extender options alongside pure-electric drivetrains in selected models. Among those offering range-extender models in the world’s largest EV market is Li Auto. Founded in 2015, the Beijing-based company sold 376.030 vehicles in 2023, all featuring a range-extender drivetrain to alleviate range anxiety and provide an alternative to plug-in charging in regions where a suitable charging infrastructure does not yet exist. +++
+++ Pricing disputes between STELLANTIS and its U.S. suppliers have turned ugly, as the automaker finds itself embroiled in a pair of lawsuits, and facing production shutdowns. The automaker has taken a hard line with the companies that provide it with the parts it needs to make vehicles, as they seek more money following years of inflationary pressure. The fight stems from 2 factors. First, since Stellantis was formed in 2020 after the merger of the FCA and PSA groups, less decision-making has been done in the United States. Second, inflation and supply chain disruptions caused by the pandemic were felt particularly powerfully by automotive suppliers. While carmakers raked in record profits, the companies making parts for them bore much of the economic hit. Although tensions are also affecting General Motors and Ford, Stellantis leadership has been playing hardball with suppliers, causing some fights to spill into the courts. The Franco-Italian automaker is facing off against both Kamax, a German producer of fasteners, and McLean-Fogg Components Solutions, which makes pinions and gears for transmissions on Jeeps, Rams and other vehicles. Unable to get the money they feel they need out of Stellantis, both companies stopped shipping parts. In the case of Kamax, that briefly stopped production in Toledo, but a judge has since issued a temporary injunction requiring it to start delivering parts again. Stellantis’ first attempt to force MacLean-Fogg to resume shipments has been denied by a different judge, though. That means that is Kokomo transmission plant will not be receiving important parts until at least April 17 (when the next hearing is scheduled) unless both parties can hash out a deal on their own. Stellantis maintains that it has contracts with both companies, and that it must keep costs down in order to “overcome the challenges of vehicle affordability”. In its lawsuits, it described the impact to withhold parts as “immeasurable” and says that if it gave the company what it wanted, it could cause a “domino effect” as its other suppliers sought more money. However, according to Kamax, MacLean-Fogg and others, pricing relief (negotiating costs to reflect wider economic realities) is common in the industry. While these negotiations are often difficult, experts like Dan Sharkey, who has represented suppliers in disputes with automakers for nearly 30 years, told that things rarely get this heated and that lawsuits like these are very uncommon. “They’re not negotiating and they’re really being brutal”, Sharkey said. “They’ve taken this really hard-line policy and everybody in the Auburn Hills purchasing team has no authority anymore. It’s just all driven by Paris”, which is where Stellantis’ headquarters are located. Suppliers complain that they used to be able to drive to Michigan to meet with buyers in person. But that’s no longer the case with Stellantis. Although Ford and GM are also facing difficulties with their suppliers, experts say the automakers are at least showing up to the negotiating table. +++
+++ TESLA told staff it is laying off more than 10 percent of its global workforce as it grapples with falling sales and an intensifying price war for electric vehicles (EVs). In response to commentary on the news on X, Tesla CEO Elon Musk posted: “About every 5 years we need to reorganise and streamline the company for the next phase of growth”. Shares of Tesla fell 5.3 per cent on Monday on Wall Street, hours after news of the layoffs and departures broke. Shares of Tesla have lost about one-third of their value so far this year as sales of electric vehicles soften. Musk last announced a round of job cuts in 2022, after telling executives he had a “super bad feeling” about the economy. Tesla never outlined how many jobs it cut in 2022, but its employee headcount has risen from around 100.000 in late 2021 to over 140.000 in late 2023, according to SEC filings. Monday’s dismissals were effective immediately. Also on Monday, Tesla’s senior vice president Drew Baglino, in charge of battery development, and Rohan Patel, vice-president for public policy and business development, both announced their exits from the company on X. Baglino was 1 of 4 members in Tesla’s leadership team listed on the company’s investor relations website that includes CEO Elon Musk. Musk thanked both executives for their work in a response to their respective notes on X. Scott Acheychek, CEO of Rex Shares (who manage ETFs with high exposure to Tesla stock) described the headcount reductions as strategic, pointing to Tesla’s overall year-on-year headcount increase as a sign that the carmaker was still in a phase of growth. Still, Michael Ashley Schulman, chief investment officer at Running Point Capital Advisors, deemed the departures of the senior executives as “the larger negative signal today” that Tesla’s growth was in trouble. “As we prepare the company for our next phase of growth, it is extremely important to look at every aspect of the company for cost reductions and increasing productivity”, Musk said in the memo. “As part of this effort, we have done a thorough review of the organisation and made the difficult decision to reduce our headcount by more than 10 per cent globally”, it said. The layoffs follow a report that Tesla had cancelled a long-promised inexpensive car, expected to cost $25.000 (€33.000 in the Netherlands), that investors have been counting on to drive mass-market growth. Musk had said the car, known as the Model 2, would start production in late 2025. Tesla reported this month that its global vehicle deliveries in the first quarter fell for the first time in nearly four years, as price cuts failed to stir demand. +++
