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Runtime: 11:53
0:07 UAW Shows Support for Restart of Production
0:40 GM Reports Q1 Earnings
1:13 BMW Reports Q1 Earnings
1:58 BMW Warns It Will Be a Tough Year
2:26 U.K. EV Sales Weathering the Storm
3:09 BYD Announces EV Lineup for Europe
3:55 5G Project Will Help Pave Way to Production
4:44 BMW Ends Delivery Program for N.A. Customers
5:55 Audi to Livestream Design Insights
6:34 Lamborghini Using AR for Virtual Vehicle Launches
7:31 Sonata Hybrid MPG Readout Difference Explained
8:37 Toyota Camry TRD Impressions
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UAW SHOWS SUPPORT FOR RESTART OF PRODUCTION
Automakers are really getting focused on restarting their manufacturing operations in Europe and North America, borrowing a lot of lessons learned from re-opening their plants in China. In fact, the UAW approved safety protocols at Ford and FCA to reopen plants in the U.S. on May 18. General Motors sent notice to its suppliers that it’s going to resume V6 engine production at its plant in St. Catherines in Canada on May 1, which means that suppliers have to start production this week.
GM REPORTS Q1 EARNINGS
GM and BMW seem to be weathering the crisis much better than other major manufacturers. GM sold 770,000 vehicles worldwide in the first quarter, down less than 10%. It posted nearly $33 billion in revenue, down only 6%. It made an operating profit of $700 million and a net profit of $300 million. Amazingly, GM made an EBIT profit of $2.2 billion in North America.
BMW REPORTS Q1 EARNINGS
BMW reported that its sales fell 20% to 477,000 vehicles. Even so, it’s revenue went up 3.5% to just over €23 billion. But that was mainly due to an improvement in its financial services and an accounting tool that reduced what they call eliminations, or sales between business units within the group. Car and motorcycle revenue was down. But BMW was able to post a €574 million net profit, down only 2.4% from the year before, which is three and a half times more profit than Daimler made.
BMW WARNS IT WILL BE A TOUGH YEAR
Don’t get too excited by these numbers. Remember, their operations were still open for part of the first quarter, so Q2 numbers will likely be worse. BMW warns that it’s going to be a tough year, with no quick recovery. It’s especially worried about a second wave of Covid-19 and a global recession that there will be “no swift recovery.”
U.K. EV SALES WEATHER THE STORM
But there is one bright spot in the European market, and that’s with electric cars. Yesterday we reported the U.K. saw a 97% drop in new vehicle registrations last month, but BEVs were down only 10% and accounted for an amazing 32% of all registrations. The Tesla Model 3 and Jaguar I-PACE were the top selling models last month. But the solid performance had more to do with fulfilling orders from previous months, so we’ll have to wait and see how demand was impacted by the coronavirus. Even so, U.K. EV sales are expected to double this year because of a number of new models being introduced.
BYD ANNOUNCES ELECTRIC LINEUP FOR EUROPE
And one of those new models will come from Chinese automaker BYD. It plans to bring a full range of BEVs to Europe this year, starting with the Tang SUV in Norway. That vehicle has a 420 kilometer or roughly 260 mile range, but pricing will be announced later this year. BYD will also offer a range of electric trucks and vans, including a small panel van, a yard tractor and a semi.
5G PROJECT WILL HELP PAVE THE WAY TO PRODUCTION
Connected vehicles will make roads and cars a lot safer and more efficient. That’s why a group of European companies and research institutions launched the 5G NetMobil project three years ago, to test 5G vehicle-to-vehicle and vehicle-to-infrastructure communication. Some of the companies involved include Bosch, BMW, VW and Nokia. In addition to testing passenger vehicles, the project demonstrated how the technology can be used to protect pedestrians at crosswalks, commercial vehicle platooning and even side-by-side platooning of grain harvesters. The results of the project will be used to standardize specifications, develop new business models and help pave the way for mass production.
BMW ENDS EUROPEAN DELIVERY PROGRAM FOR N.A. CUSTOMERS
BMW is ending a program that allowed North American customers to pick their car in Germany. Even though it was a great deal, not enough people were choosing its European Delivery Program. Here’s how it worked. You took delivery of your car right next to BMW’s headquarters, they knocked 5% off the base price, you got a tour of the plant, free admission to the BMW museum, free pick up and delivery from the airport and all shipping costs back to North America were taken care of. A lot of people who took advantage of the program doubled it up with a vacation in Europe. BMW will officially end the program to North American customers in September, but you can still get in on it if you fill out a pre-reservation form by May 18th. Fewer people were choosing the service because BMW launched a similar program, called the Ultimate Delivery Experience, at its U.S. plant in South Carolina. It offers many of the same amenities as the European program, but is available for any production BMW vehicle, not just the ones made in that plant.
GET INSIGHT INTO AUDI’S DESIGN PROCESS
If you’ve ever wondered how Audi designs a vehicle, now’s your chance. The company is launching an interactive livestream called “Insight Audi Design” that shares insights into its design process. You can customize what you want to learn about and a tour guide will explain the company’s design philosophy and answer any questions you may have. The virtual tours are about 20 minutes long and best of all, are free. It’s currently only in German but an English version is coming soon. If you want to check it out, just head to www.audi.stream.
LAMBORGHINI USING AR FOR VIRTUAL CAR LAUNCHES
Lamborghini is bringing its newest model right to you. The performance vehicle manufacturer is using augmented reality for the virtual launch of the convertible version of the Huracan EVO. That car is powered by a V10 engine that makes 640 horsepower and is able to do 0 to 100 km/h in 3.1 seconds. To experience the augmented reality feature, go to the Lamborghini website and tap the icon that says “See in AR.” With an approved iPhone or iPad anyone can check out the interior or exterior on a 1-to-1 scale and take pictures of the car in your driveway. Lambo says it will soon have all its vehicles available in AR.
SONATA HYRID MPG READOUT DIFFERENCE EXPLAINED
Last week in my test drive of a Hyundai Sonata hybrid, I pointed out that there are two different fuel economy gauges, one in the instrument cluster, and another on the center stack. And I also pointed out that each gauge had a slightly different mpg readout, with the one in the cluster always a bit more optimistic by a few tenths. So Mike Evanoff, the product strategy manager at Hyundai Motor America, contacted us to explain the discrepancy. Here’s what he had to say: “Cluster MPG average is based on current “drive”, this will reset after key-cycle that allows the ECU to reset (i.e. turn the vehicle off at night and return in the morning). The navigation MPG average display is calculated based on last refueling, regardless of any key cycle. I think depending on which menu is selected on the cluster display, you can see MPG average from last refueling as well as current “drive” mpg.” Well, now we know.
TOYOTA CAMRY TRD IMPRESSIONS
So let’s get to this week’s test drive, the TRD performance version of the Toyota Camry. You heard me right, a performance version of what’s always been a nondescript, plain vanilla midsize family sedan. But even Toyota came to realize that with sales of sedans dropping in the U.S. market, it had to sprinkle some excitement on its franchise nameplate. Any why not the Camry? After all, it won 3 of the last 5 NASCAR Cup Championships. And the TRD Camry certainly looks the part of a performance car, with a splitter that juts out at the bottom of the front fascia, aero spats that attach to the rocker panels, and of course, that big black wing on the back. All that plus, a contrasting two-tone paint job and black alloy wheels. But under the hood, you don’t get anything special. It’s the same 3.5 liter V6 and 8-speed automatic that’s available in other trim lines of the Camry. Not that the engine is a slouch. It puts out 301 horsepower and 267 pound feet of torque, but in my book a proper performance car really requires more get up and go than its stable mates if it’s going to have any street cred. Where the TRD does leave the rest of the Camry line behind is in the chassis tuning. It gets special TRD shocks, stiffer springs, bigger sway bars, and larger front brakes with dual piston calipers. It also gets 235/40R19 summer tires. But while Toyota’s literature says they are Bridgestone Potenzas, the one I test drove came with Michelins. You can feel the chassis tuning of this car as soon as you get out on the street. It turns in faster, corners with a lot less body roll and comes to a stop more quickly with much better pedal modulation than other Camry’s. There’s also a Sport mode setting which seems to crack the throttle open faster and downshift quicker. But it’s a rough riding car, and you feel every imperfection in the pavement. Inside the cabin, you get some somewhat sporty design cues, like a leather wrapped steering wheel, red stitching on the seats and door trim, red seat belts, and TRD logos on the shift knob and floor and trunk mats. OK. here’s my bottom line. It’s not a bad car to drive, and actually encourages you to pick up your pace and get going. But I’m kind of hoping that this is just Toyota sticking it’s toe in the water to see what it can do with a TRD Camry. If it’s serious, the next step is to put more ponies in the engine compartment, add some MR shocks at the corners, and give the seats bigger bolstering. If the TRD badge is truly going to stand for something, there’s still more to go.
And with that we wrap up today’s report. Thanks for watching Autoline Daily.
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John McElroy is an influential thought leader in the automotive industry. He is a journalist, lecturer, commentator and entrepreneur. He created “Autoline Daily,” the first industry webcast of industry news and analysis.