Toyota, FCA Issue Warnings About Coronavirus Impacts

First Up 02/26/20

Beltway Talk: A Conversation with Volkswagen's Only Registered Lobbyist

Anna Schneider, Senior Vice President, Industry-Government Relations at Volkswagen Group of America, Inc., has a lot to say in this episode of Beltway Talk. Along with host Hannah Oliver, Anna covers everything from what it’s like to work for a German company, how dealers can push back against a tariff threat, and what her goals are for VW in the New Year. With more than 25 years of auto industry experience, Anna knows the ins and outs of D.C.’s lobbying scene and has a wealth of experience to share. Click here to listen in and subscribe to all the Beltway Talk podcasts. 

Toyota, FCA Issue Warnings About Coronavirus Impacts

Toyota Motor Corp. on Wednesday said that operations at its plants in Japan may be affected by supply chain issues linked to the new coronavirus outbreak in the coming weeks, as the global outbreak gathers pace. Automotive News reports that the automaker, which operates 16 vehicle and components sites in Japan, said that it would decide on how to continue operations at its domestic plants from the week of March 9, after keeping output normal through the week of March 2. Plants may be affected by potential supply disruptions in China as some plants in the epicenter of the virus outbreak remain are unable to produce and transport goods, while some plants remain closed under orders by regional authorities. "We are receiving parts from China as normal for the moment, but we will assess the situation after the week of March 2," a Toyota spokeswoman told Reuters. Japan is a major site of production for the company, accounting for nearly half of the 10.7 million cars its sold globally in 2019. Read more here. 

Tesla to Face Fresh Autopilot Scrutiny After Company Snubs NTSB

The National Transportation Safety Board on Tuesday will convene its second hearing on a fatal crash involving Tesla Inc.’s automated driver-assist technology even though the pioneering automaker hasn’t filed formal responses to recommendations stemming from the first one more than two years ago. According to The Detroit News, the NTSB in 2017 recommended that automakers including Tesla make their driver-assist systems more resilient to misuse by inattentive drivers, and limit the operation of those systems to only the driving for which they were designed. Automakers – including Volkswagen AG, Nissan Motor Corp., BMW AG – have told NTSB how their systems ensured driver engagement, which the agency deemed acceptable responses. Tesla has had no formal correspondence with NTSB officials responsible for monitoring how safety recommendations are implemented, NTSB spokesman Chris O’Neil said. Read more here. 

Coronavirus Could Scuttle Geneva Motor Show

This year’s Geneva Motor Show will be significantly downsized, as many as 13 top-tier automakers already announcing they won’t participate. But now, there’s a question of whether the first big European car show of the year will take place at all, reports The Detroit Bureau. A number of global trade and travel shows have been cancelled or delayed due to the growing concerns about a coronavirus pandemic, including the Mobile World Congress in Barcelona, Frankfurt’s Light + Building fair and the Beijing Auto Show, Reuters reports. Now, it seems, organizers of the Geneva Motor Show are trying to decide what to do. For the moment, they want to move ahead with the annual event which begins on March 3, with a media preview. But managers of the convention center where the show will be held said in a new statement, “In the context of the coronavirus epidemic afflicting China, Palexpo SA is carefully observing the situation and its possible implications.” Read more here.

Toyota Invests $400 Million in Pony.ai to Deepen Driverless Pact 

Toyota Motor Corp. invested $400 million in Pony.ai to strengthen its ties with the Chinese provider of driverless-car systems, reports Bloomberg. The investment extends the companies’ partnership formed last year and pushes Pony.ai’s valuation to more than $3 billion, the startup said in a statement. The pact enables a “deeper integration” of Pony.ai’s technology with Toyota’s vehicles. “It will enable us to make the commercialization of autonomous-driving vehicles faster,” Pony.ai Chief Executive Officer James Peng said in an interview with Bloomberg TV. “We will put more money into building up the fleet.” Automakers are striking pacts with driverless-system providers to gain expertise and fend off competition from technology companies seeking to enter the transport business. For Pony.ai, a relationship with Toyota is a vote of confidence as it seeks to take on U.S. rivals such as Alphabet Inc.’s Waymo. Read more here. 

KAR Global Auction Raises $97,487 for NADA Foundation

At NADA Show 2020, KAR Global auctioned a VIP, all-access package to attend the 104th running of the Indianapolis 500, raising more than $10,000 for the NADA Foundation’s initiative to benefit Canine Companions for Independence (CCI). Additional auction proceeds and donations raised more than $97,000 in one day. Read more here.

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