Trade News

Richard Haas, CEO of Indian automaker Mahindra and Mahindra Ltd.'s North American unit, is set to retire at the end of March, according to the company.

Viren Popli will take over as interim CEO at Mahindra Automotive North America. Popli currently is CEO of Mahindra Ag North America, the company's tractor and farming equipment retail division in the U.S.

"I've truly enjoyed working with Mahindra both in India and here in Detroit, and I cherish the experiences and relationships that defined this journey," Haas said in a statement.

Haas, 61, has been with Mahindra since 2011 and has been CEO of the North American unit since 2013. He was involved with growing the conglomerate's presence in the Detroit region in 2013, when it opened the Mahindra North American Technical Center in Troy, Mich.

The group's North American division was formed in 2017. It manufactures, sells and distributes the Roxor, an off-road utility vehicle.

Mahindra's presence …

Hisense Home Appliances Group Co. plans to acquire troubled Japanese auto air conditioner supplier Sanden Holdings Corp. as the major Chinese home appliances maker expands into the global auto industry. 

The deal, priced at 21.4 billion Japanese yen ($200 million), will allow Hisense to control 75 percent of the voting rights in Sanden, Hisense said this week. 

Hisense, listed in Shenzhen and Hong Kong, posted a net profit of 499 million yuan ($77 million) on operating revenue of 13.8 billion yuan for the first three quarters of 2020. 

Sanden produces air conditioning compressors, heat exchangers and air conditioning systems for vehicles. 

The Tokyo-listed company, battered by the coronavirus pandemic, began racking up losses in April 2020. 

Sanden incurred a net loss of 17.3 billion Japanese yen on operating revenue of 94.5 billion Japanese yen between April and December last year, according to Hisense. 

SHANGHAI – Zhejiang Geely Holding Group in January signed an agreement with Foxconn Technology Group, the Taiwanese contract manufacturer for Apple’s iPhones, to offer production services for other automakers. 

Why does the largest private Chinese carmaker want to dabble as a contract manufacturer? 

Geely has declined to comment on the primary motivation to secure the joint venture pact: It needs to make good use of the huge factory capacity it has built in China.

Geely has executed an aggressive expansion in recent years. It used to be hard to determine just how much capacity it had built. Yet new details surfaced in September when the company sought to issue shares on the Shanghai Stock Exchange’s NASDAQ-like Star market. 

According to the application, Geely had 11 assembly plants across China, as of June 2020, with total annual capacity of 2.1 million. 

But the company’s capacity utilization rate declined consistently…

ROME -- If vehicle maker CNH Industrial decides to sell its Iveco truck unit to China's FAW the move would have to be approved first by the Italian government, the industry minister said on Thursday.

CNH Industrial said recently that it could consider alternatives to a planned spin-off and separate listing of its truck and bus business and that it was in talks with FAW over the future of Iveco.

In case of takeovers in key industries involving assets deemed of national interest, Rome can use its so-called "golden powers", allowing it to veto or impose strict conditions on such deals.

Asked whether Rome could exercise such powers over a potential Iveco sale, Industry Minister Giancarlo Giorgetti said the government would start an inquiry into the matter should the transaction materialise.

"It's safe to say that this matter objectively falls into the golden power regulation, so it means we'll use it," he said during a press conference.

CNH Ind…

Whether you live in Michigan and potholes frequently wreak havoc on your wheels or you live elsewhere and your tires get a more standard amount of wear and tear, it would be helpful to know when one of the most important parts of your vehicle is giving out.

This week, Tactile Mobility launched a measurement technology that can derive insights about a vehicle's tire tread deterioration from data collected using vehicle sensors.

The Israeli company said its technology uses vehicles' existing sensors to collect metrics about wheel speed, wheel angle, RPM and other variables.

Using this information, the company can generate real-time insights about the vehicle's tire-tread depth and, ultimately, tire health for automakers, suppliers, fleet managers, auto repair shops, insurance companies and even the drivers.

Tactile Mobility…

After the unprecedented winter storm in Texas and other states last month, automakers and suppliers could be slammed by yet another devastating parts shortage that could idle seating plants as early as next week.

The blizzard halted the region's critical petrochemical plants, which could lead to a shortage in automotive seating foam, industry sources say.

The storm that left millions without heat or power amid subfreezing temperatures has impacted production of oil refinery byproducts used to make propylene oxide needed for the polyurethane foam found in auto seats.

The potential shortage comes as the supply-constrained industry navigates an unexpected rebound in consumer demand and an alarming microchip shortage that has halted production lines for a number of automakers.

An auto-industry executive who spoke with Crain's Detroit Business on the condition of anonymity said some seating supplier assembly lines were expected to run out of foam by M…

Cadillac rolled out XT5 and XT6 crossovers equipped with a 48-volt system that will give the luxury brand two core models with enhanced fuel efficiency and driving dynamics. 

The system, comprised of a 48-volt motor, power battery, power management module and control unit, will improve fuel economy and driving performance for the two vehicles, GM’s China unit said.

The system, combined with GM’s 2.0-liter turbocharged gasoline engine, can reduce fuel consumption of the XT5 and XT6 by 5 percent and 6 percent to 7.0 liters and 7.2 liters per 100 kilometers, respectively, according to GM China.

The system also provides a quieter, smoother and nimbler driving experience: In stop-and-go traffic, the 48-volt motor starts the vehicle with the instant release of torque; when the vehicle accelerates, the motor assists the engine to power the vehicle; when the vehicle is at cruising speed, the system recycles energy from the engine and stores it for future ac…

The Jeep Wagoneer and Grand Wagoneer will be integrated with Amazon Fire TV for Auto, which will give users access to shows, movies, apps, vehicle features and the Alexa personal assistant.

The utility vehicles, tasked with pushing Jeep upstream, will be technological showcases for the adventure brand and function as rolling entrainment hubs with the inclusion of Fire TV for Auto, the Stellantis brand said Thursday.

The upcoming Grand Wagoneer will be the first SUV with a front-passenger infotainment screen. The 10.25-inch screen, which is shielded from the driver by a privacy film on the glass, allows a passenger to watch movies in addition to sending destinations to the driver. It's unclear whether the Wagoneer will offer a screen for the front passenger.

Stellantis says Fire TV for Auto will communicate directly with the new Uconnect 5 infotainment system. The automaker says the content will sync with an existing Amazon account like other Fire TV dev…

The U.S. government's tax fraud case against former Reynolds and Reynolds Co. CEO Bob Brockman has links to a lawsuit brought by some former salesmen more than two decades ago, according to a media report.

The salesmen claimed in a lawsuit that Brockman had not paid commissions and instead diverted some amount of customers' payments to an entity in the Cayman Islands, The Wall Street Journal reported Wednesday. That case was settled in 2001, according to the newspaper.

But the lawsuit may have been the start of IRS attention on Brockman, the newspaper reported.

Brockman, 79, was indicted in October and charged with federal tax evasion and wire fraud in what prosecutors say was a scheme lasting two decades to avoid paying taxes on $2 billion in income. He has pleaded not guilty.

The case is pending in federal court in Houston after being transferred there in January from San Francisco, where the charges initially were filed.

A competency hea…

Online used-vehicle retailer Vroom Inc.'s e-commerce unit sales and gross profit set records in the fourth quarter, though the company reported a wider net loss on swelling expenses.

Vroom late Wednesday reported a fourth-quarter net loss of $60.7 million, compared with a net loss of $42.7 million in the year-earlier period. E-commerce revenue surged 43 percent to $284.95 million, as online units sold jumped 74 percent to 11,022. Total unit sales, including wholesale and other units, jumped 41 percent to 19,797. Total revenue increased 14 percent to $405.8 million.

But Vroom’s total gross profit per unit fell in the quarter, dropping $145 to $1,016. Selling, general and administrative expenses increased 45 percent to $78.1 million.

"Vroom had a strong fourth quarter, with significant year-over-year growth in our e-commerce business," Vroom CEO Paul Hennessy said in a statement. "Inventory and marketing are scaling as planned, which is increasing the velo…