Fire at Giant Auto-Chip Plant Fuels Supply Concerns

First Up 03/23/21

Kia Motors America Names Michael McHale to Oversee Brand Experience

Kia Motors America has tapped automotive industry veteran Michael McHale to lead its U.S. brand experience endeavors, the automaker said Monday. According to Automotive News, the role is new, according to the company. McHale will take the title of director of brand experience and lead "all aspects" of Kia Motors America public relations and external communications, which includes events, auto shows and strategic partnerships. He started in the job effective Monday, Kia said. McHale's 25 years in the industry made him ideal for the position, Kia said in a statement. From 2007 to 2018, he was director of corporate communications for Subaru of America. He also has held roles in the communications divisions of the BMW, Land Rover and Mini brands. McHale presided over corporate communications for Rivian Automotive, an EV startup based in Irvine, Calif., from 2018 to 2019. Read more here (Source: Automotive News). 

Toyota Launches Its First Vehicle Subscription Product

Purdy Mobility, which operates Texas dealerships and offers mobility services such as subscription-based programs, has teamed with Toyota on the automaker’s first and only vehicle subscription product, reports Auto Remarketing. The product, called Subscribe + Drive Powered by Toyota, is an app-based service that introduces an option for customers seeking alternatives from owning or leasing a vehicle. The companies say that as they continue growing in the mobility industry, the new product serves a new customer base. Purdy Mobility has launched and is currently operating Subscribe + Drive out of its three Texas locations: South Toyota in Dallas, Huntsville Toyota, and Bryan College Station Toyota. Users can select a vehicle and schedule a delivery through the mobile app. The membership includes the cost of a vehicle, registration, insurance coverage and routine maintenance. This program has no long-term contracts and a one-time activation fee. Users can cancel at any time. Members can switch between vehicles every 60-day period. Or, they can stay in a vehicle for as long as they choose. Read more here (Source: Auto Remarketing). 

Fire at Giant Auto-Chip Plant Fuels Supply Concerns

A fire at a factory of one of the world’s leading auto chip makers has added to the troubles of car makers that already have slashed production because of a semiconductor shortage, reports The Wall Street Journal. The fire Friday left a swath of charred equipment in the factory owned by a subsidiary of Renesas Electronics Corp. in Hitachinaka, northeast of Tokyo. The company said it would take at least a month to restart the damaged operations. Shares of Japan’s three leading car makers— Toyota Motor Corp., Nissan Motor Co., and Honda Motor Co. —all fell by more than 3% on Monday, worse than the overall market, while Renesas shares were down 4.9%. Renesas said heat from an electrical problem inside a single piece of equipment caused the fire and contaminated clean rooms needed to make semiconductors. It said two-thirds of the chips made at the fire-affected factory were automotive chips. Read more here (Source: The Wall Street Journal). 

These Automakers Now Plan an All-Electric Future

The age of the internal combustion engine is coming to a close — or so you might think considering the latest headlines. The Detroit Bureau reports that a growing number of countries and regions have laid out plans to ban gas and diesel engines, Great Britain recently moving its ban up to 2030. California wants to ban internal combustion engine sales by 2035. While automakers have traditionally resisted regulatory requirements, the industry is actually taking the lead, in many cases. At least 10 have laid out plans to fully electrify their product lines. Some, including General Motors, intend to switch to 100% zero-emission vehicles — which can include battery-electric, as well as hydrogen fuel-cell vehicles. Others plan a mix of BEVs and hybrids. Here’s a look at where things stand today — though you can expect to see even more news in the next year or two, other manufacturers hinting they may follow. Read more here (Source: The Detroit Bureau). 

Tesla Makes Big Strides in U.S. Registrations

Tesla Inc. continues to gain speed in the U.S., according to data from Experian. Automotive News reports that new-vehicle registrations for the automaker grew 18 percent in January compared with the same month a year earlier. They also increased 45 percent on a rolling three-month basis, measured from November 2020 through January 2021. Registrations of used Teslas also surged, according to Experian, increasing 70 percent year over year and 62 percent on a rolling three-month basis. The figures are significant because the electric vehicle maker releases sales numbers on a quarterly basis only, and it doesn't break down figures by country. Registration data for 2020 show the company topped Audi to rank fourth among luxury brands in the U.S. Tesla's used-vehicle registrations totaled 4,505 for the month, up sharply from 2,656 a year earlier, a reflection of the brand's growing market footprint. Read more here (Source: Automotive News).  

Around the Web

Lexus to Preview Design Direction for EVs with Concept Set for March 30 Reveal [MotorAuthority]

10 Things to Keep in Your Car to Stay Safe on the Road [MarketWatch]

BMW's Most Beloved Car of the 21st Century Was a One-Hit Wonder [Robb Report

Nissan 400Z Leaked Images Reveal the Production Sports Car [Autoblog]

Menu
Close