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France tries to dodge blame for blowing up FCA-Renault merger deal

PARIS — France sought to fend off a hail of criticism on Thursday after it was blamed for scuppering a $35 billion-plus merger between carmakers Fiat-Chrysler and Renault only 10 days after it was officially announced. Shares in Italian-American FCA and France's Renault fell sharply in early trading after FCA pulled out of talks, saying "the political conditions in France do not currently exist for such a combination to proceed successfully." French finance minister Bruno Le Maire said the government, which has a 15% stake in Renault, had engaged constructively, but had not been prepared to back a deal without the endorsement of Renault's current alliance partner Nissan. Nissan had said it would abstain at a Renault board meeting to vote on the merger proposal. However, a source close to FCA played down the significance of Nissan's stance in the discussions, believing French President Emmanuel Macron was looking for a way out of the deal after coming under pressure at home. Context The FCA-Renault talks were conducted against the backdrop of a French public outcry over 1,044 layoffs at a General Electric factory. The U.S. company had promised to safeguard jobs there when it acquired France's Alstom in 2015. The collapse of the deal, which would have created the world's third-biggest carmaker behind Japan's Toyota and Germany's Volkswagen, revives questions about how both FCA and Renault will meet the challenges of costly investments in electric and self-driving cars on their own. The merger had aimed to achieve 5 billion euros ($5.6 billion) in annual synergies, with FCA gaining access to Renault's and Nissan's superior electric drive technology and the French firm getting a share of FCA's lucrative Jeep and Ram brands. FCA has long been looking for a merger partner, and some analysts say its search for a deal is becoming more urgent as it is ill-prepared for tougher new regulations on emissions. It previously held unsuccessful talks with Peugeot maker PSA Group, in which the French state also owns a stake. French budget minister Gerald Darmanin said the door should not be closed on the possibility of a deal with Renault, adding Paris would be happy to re-examine any new proposal from FCA. "Talks could resume at some time in the future," he told FranceInfo radio.

Some NY cabs could avoid hybrid ban

The Nissan NV200 is having a rough go of it as New York City's Taxi of Tomorrow. The Greater New York Taxi Association wants the van banned on the grounds that it isn't a hybrid, and has gone so far as to sue the city to keep the NV200 out of taxi fleets. According to The New York Times, the city has responded by proposing to allow taxi drivers to use certain hybrid vehicles. The Taxi and Limousine Commission's proposal would allow any vehicle with an interior volume of 138 cubic feet or more. Unfortunately, that excludes nearly every machine that isn't the size of the NV200.
Technically, Nissan is working on a hybrid version of the Taxi of Tomorrow, but it may be years before that model hits the streets, and the Greater New York Taxi Association isn't satisfied with the city's offer. In a statement, the Association said, "These rules look like they have been created to short-circuit the litigation. We do not consider this to be a serious proposal."

Nissan GT Academy: Living the dream

When I first met Nicolas Hammann, he was beaming, as though he still could hardly believe this was his life now. He's a young guy, almost 22 years old. He grew up in Elkhart Lake, WI, doing some karting and road racing when he could. Just last year, he was at UNC Charlotte working toward a degree in mechanical engineering as a way to stay around cars in the future. Then he qualified for GT Academy. Jump ahead to January 2015, and Nic is in his first pro race, the 24 Hours of Dubai, representing Nissan behind the wheel of a GT-R GT3. And now he's here at the 2015 GT Academy Finals in Nashville, TN, acting as a sort of ambassador from the other side of the challenge – an example of what each of these guys hopes to achieve. After this, he's off to race at Lime Rock in the Continental Tire Sports Car Challenge. After that, back to his home turf at Road America. Nicolas Hammann's dream of becoming a pro racer has come true. The GT Academy National Finals are made up of four parts, equally weighted. Within each program, though, there is room for interpretation - a gray area where those in charge can make judgment calls about character and whatnot. On the first day, the competitors take part in a Gran Turismo 6 tournament, as well as a PR test. Day two is made up of a grueling physical challenge and a driving test behind the wheel of an actual car. The virtual racing takes place in a single room with multiple "sleds" — console setups with a built-in screen, Thrustmaster T500 force feedback steering wheel, and a pedal set. It is particularly balmy in Nashville during the first day of Finals, and all of the equipment — including a setup to livestream the competition on Twitch TV — makes the room uncomfortably hot. In this first part of the competition, drivers score points based on their finishing positions over a series of four rounds per group. Scrutineers look on to make sure everyone is playing above board. Between rounds, the individual competitors go before a panel of Nissan reps for the PR test, and they are asked a series of predetermined questions (with room for improvisation, of course). While the answers themselves provide some useful information about the competitor, it's the way they compose themselves that's really under inspection during this segment. After all, whoever goes on to race will be representing Nissan, Sony, and the country on a global stage. The longer a competitor is in the room the better, I'm told by the Nissan folks.