Tag Archives: Industry

Volvo To Open Battery R&D Center In Gothenburg With Partner Northvolt

Volvo and Northvolt will open a joint research and development center in Gothenburg, Sweden. The center will be tasked with developing new batteries for EVs that deliver on range and charging time expectations while reducing the carbon footprint of the batteries themselves.

The R&D center will become operational in 2022 and the location has been chosen to keep it close to Volvo’s own R&D center as well as Northvolt‘s existing innovation campus in Västerås, Sweden, to ease cooperation.

“Our partnership with Northvolt secures the supply of high-quality, sustainably-produced batteries for the next generation of pure electric Volvos,” said Håkan Samuelsson, chief executive for Volvo Cars. “It will strengthen our core competencies and our position in the transformation to a fully electric car company.”

Read Also: BMW Signs A $2.3 Billion Battery Deal With Sweden’s Northvolt

Volvo says that the partnership will focus on developing “tailor-made” batteries that give buyers long ranges and quick charging times. The automaker wants to collaborate with Northvolt to create an end-to-end system for battery manufacturing to allow it to develop its own batteries. Since batteries are the single largest component of an electric vehicle and the single biggest contributor to their carbon footprint, the development of new technology will be an important area of focus.

The center is being created as part of a SEK30 billion ($3.3 billion) investment in battery development. Batteries developed there will also power Polestar vehicles, which announced this year that it intends to build climate-neutral cars by 2030.

Following the completion of the R&D center, Volvo and Northvolt will build a battery manufacturing plant in Europe. Although the exact location of the site is not yet known, Volvo says it will be announced in early 2022.

The plant will have a potential annual capacity of 50 GWh, enough to supply about 500,000 vehicles, the automaker says. Construction is expected to commence in 2023 and large-scale production should kick off in 2026. Part of Volvo’s commitment to sell only electric vehicles by 2030, the plant and the R&D center are quite important when it comes to the automaker’s plans for the future.

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Bugatti Rimac Is Officially In Business, With An HQ In Croatia And Mate Rimac As The CEO

Four months after the official announcement of the marriage between Bugatti and Rimac, the “Bugatti Rimac” joint company is officially in business, with its headquarters in Sveta Nedelja, Croatia, and Mate Rimac undertaking the CEO role.

Despite the new joint venture, both Bugatti and Rimac will continue “to act as independent brands” retaining their production sites and sales channels. They will keep offering different vehicles, although jointly developed models are planned for the future. Mate Rimac said: “I am very excited to see what impact Bugatti Rimac will have on the industry and how we will develop innovative new hyper sports cars and technologies. It’s hard to find a better combination for new and exciting projects”.

See Also: First Bugatti EV Coming By The End Of The Decade

The complex shareholder structure of Bugatti Rimac involves Porsche, Hyundai, Rimac, and other investors.

The Rimac Group holds the majority stake in the new venture with 55 percent of the shares, and Porsche AG is holding the remaining 45 percent. Thus, Mate Rimac, founder and CEO of Rimac Automobili became the CEO of Bugatti Rimac, while the supervisory board includes high-ranked officials from Porsche AG – Oliver Blume (chairman), and CFO Lutz Meschke (deputy chairman, CFO).

Stephan Winkelmann who has been Bugatti’s president since January 2018 and Lamborghini’s president since December 2020, will now focus on the latter role as Chairman and CEO of Automobili Lamborghini. After his term in Bugatti leading to the automaker’s most successful year, Winkelmann said: “I would like to thank the entire Bugatti team and our customers for three and a half unbelievable, exciting, intense and successful years. Together, we have developed fantastic hyper sports cars and led Bugatti into a new dimension”.

Read Also: Rimac Won’t Play It Safe Following Tie-Up With Porsche And Bugatti

Christophe Piochon who was the Managing Director of Production and Logistics at Bugatti, is now the new President and the Chief Operating Officer (COO) in Bugatti Rimac. In his first statement under the new role, he said that Bugatti will keep their independence and continue making handmade vehicles at the Molsheim Atelier in France, securing all jobs in the historic location.

Other changes in the high-ranking positions include Hendrik Malinowski who is the Managing Director responsible for Sales and Marketing in Bugatti, Larissa Fleischer who is leaving Porsche AG to become Chief Financial Officer of Bugatti Rimac, and Emilio Scervo who is Chief Technology Officer of Bugatti Rimac after undertaking similar roles in McLaren and Rimac Automobili.

A total of 435 employees will work for Bugatti Rimac, with 300 located in Zagreb, Croatia, and 135 in Molsheim, France. An additional 180 employees will be working for the joint company from the Wolfsburg development site in Germany.

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For First Time Since 1923, No Driver On Earth Can Legally Buy Leaded Fuel

The United Nations Environmental Programme (UNEP) announced that the toxic legacy of leaded fuel has officially come to an end. Algeria, the last country on earth to use leaded gas, has finally phased the fuel out.

“The successful enforcement of the ban on leaded petrol is a huge milestone for global health and our environment,” said UNEP Executive Director Inger Andersen.

Developed by GM in 1921, the addition of tetraethyl lead into fuel was initially heralded as a breakthrough that would power a new generation of cars, planes, and motorcycles thanks to its ability to tame engine-destroying “knock.”

Read Also: U.S. May Reinstate Pre-Trump Economy Fuel Penalties

The exhaust from engines that ran leaded fuel was highly toxic, though. Wherever leaded fuel spread, epidemics of heart disease, cancer, stroke, and developmental delay in children followed.

“Leaded petrol was a huge mistake from the start, even if people may not have known it at the time,” said Rob De Jong, the head of sustainable mobility at UNEP. “The world would be dealing with the consequences for a century.”

That the fuel has finally been phased out everywhere on earth is, UNEP says, the result of a 20-year-long campaign that used a mix of science, public education, and policy work. Per the program, the ban on leaded fuel saves 1.2 million lives while sparing the world $2.4 trillion in healthcare expenses and other costs.

“I think this may be the single biggest success story in the environmental field,” said Michael Walsh, the former head of motor vehicle pollution control programs with the United State’s Environmental Protection Agency.

Although unleaded fuel was made universally available in the U.S. in 1975 and banned in 1996, poorer countries struggled to make the switch.

“They were getting the dirtiest fuel. It was very frustrating,” said Walsh. “The people that were most vulnerable were getting poisoned.”

As recently as 2002, leaded fuel was still being used in 117 countries, which included every country in Africa, where people in fast-growing cities were suffering. UNEP quickly published studies debunking the myths that unleaded fuel hurt engines and encouraged governments to update their air pollution standards, among other measures.

By 2006, sub-Saharan Africa was lead-free. For the next 15 years, the UNEP would fight to get tetraethyl lead out of the remaining countries, facing stiff resistance from Innospec, a U.S. and U.K.-based company that was the last remaining maker of the substance.

As countries pulled out, though, the market was cratering and Innospec was found guilty of bribing officials in Indonesia and Iraq. Over the last decade, more and more countries have stopped using leaded fuel, and finally, in September 2020, Algeria announced that its state-owned oil company would stop making leaded fuel, and now it has been phased out completely.

“I’m certainly not a Pollyanna about climate change,” said Walsh. “But at least we can say ‘We solved (the leaded fuel) problem. Let’s do something similar.’ It gives me hope.”

Smartphone Giant Xiaomi Wants To Build Electric Cars With The Help Of Great Wall

Chinese tech giant Xiaomi is the latest company that’s looking into building its own electric cars.

Xiaomi is reportedly in talks with Great Wall to use one of its factories in China to build electric vehicles under its own brand for the mass market, which would be in line with its products in the electronics industry.

Citing sources with direct knowledge of the matter, Reuters reports that Xiaomi and Great Wall could announce their partnership as soon as next week.

Read Also: Toyota Boss Warns Apple That The Car Business Isn’t Easy

Great Wall is China’s biggest pickup truck maker

If the deal goes through, this would be Great Wall’s first manufacturing service to another company, with the Chinese carmaker offering engineering consultancy to Xiaomi in order to speed up the project.

Lei Jun, Xiaomi’s founder and chief executive, reportedly believes that his company’s expertise in hardware manufacturing will help accelerate the design and production of their electric vehicles.

“Xiaomi wants to find a mature automobile manufacturer to provide model infrastructure, enabling its own advantages in mobile internet technology,” said Alan Kang, a senior analyst at LMC Automotive. “Xiaomi’s advantages in operating systems and home furnishing also bring a lot of imagination for such cooperation in the future.”

Xiaomi, which according to the report is planning to launch its first electric vehicle around 2023, wants its cars to be connected with other devices in its product eco-system. Alongside smartphones, the Chinese tech company also offers a very wide range of internet-connected devices that includes everything from fitness trackers to scooters and rice cookers.

Great Wall’s retro-styled electric sedan concept from the 2020 Beijing Auto Show

VW Temporarily Stops Taking New Orders For Polo GTI Due To “High Demand”

Volkswagen has temporarily stopped taking new orders for the Polo GTI hot hatch, the automaker told CarScoops.

While researching for another Polo-related story, we discovered that the Polo GTI can no longer be configured on VW’s German customer website. Prospective buyers wishing to virtually build their Polo GTI are accompanied by the following message.

“The Polo GTI can no longer be ordered with individual equipment. However, finished, already produced vehicles are available for you. Simply contact your Volkswagen partner or find your dream vehicle online in the car search.”

See Also: Does The VW Polo Look Better With A Golf Mk8-Inspired Face?

Upon further digging, we’ve discovered that the same situation applies to other major European markets, including the UK, France, Italy and Spain. When something like this usually happens, it means that production has stopped for one reason or another.

We reached out to Volkswagen to find out if the Polo GTI has indeed been discontinued after just three years on the European market. Fortunately for fans of small hot hatches, the Polo GTI has not been axed.

“The Polo GTI cannot be ordered for the time being due to the high demand. The volume planned for this year has already been sold. We have therefore decided to take the Polo GTI out of the sales range for the time being,” VW spokesman Christoph Peine explained the situation to CarScoops.

So what happens if you want to buy a VW Polo GTI but don’t like being limited to choosing one from stock? Well, you just need to have a little patience. “The Polo GTI will be available to order again at the end of the year,” the representative said.

That’s all Volkswagen was willing to share with us, but don’t be surprised if this temporary interruption is also related to a mid-cycle refresh planned for the entire Polo range – and, subsequently, the Polo GTI.

Hertz Faces Off With $11 Billion Bond Creditors Over 494,000 Used Vehicles

Hertz and its bondholders are looking for ways to shrink the company’s near half-a-million vehicle fleet in what is turning into a tense standoff.

It is understood that the 494,000 used vehicles in Hertz’s fleet are linked to its asset-backed securities and leased to it. Ordinarily, when a company files for bankruptcy, like Hertz has done, it needs to confirm or reject the master lease tied to the debt. In the event of it keeping the lease, it has to continue making payments on the vehicles but if it chooses to ditch the master lease, the collateral is liquidated to pay back bondholders.

Read Also: Is Buying A Used Rental Car A Good Idea? It Can Be If You’re Looking For Savings

Bloomberg reports that Hertz wants a judge to permit it to alter the master lease into 494,000 separate agreements for each of the used cars, allowing it to reject the terms of 144,000 vehicles. Doing so would allow Hertz to save approximately $80 million a month, savings that could prove pivotal on whether or not the company can continue to operate in the long term.

Hertz wants to avoid liquidation and strengthen its balance sheet through the restructuring. Meanwhile, its creditors, who hold $11 billion in bonds, are facing the prospect of losses.

“It’s going to be a real showdown,” Bloomberg Intelligence Philip Brendel said. “Hertz is taking an aggressive posture, but if it rejects the master lease, it doesn’t have a fleet and this bankruptcy looks more like a liquidation.”

For creditors, the best bet is that Hertz will make lease payments on the vehicles in its fleet as it sells them gradually.