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Coronavirus prompts VW to stop production throughout Europe

FRANKFURT — Volkswagen Group, the world's biggest carmaker, is suspending production at factories across Europe as the coronavirus pandemic hits sales and disrupts supply chains, the company said on Tuesday. The German carmaker, which owns the Audi, Bentley, Bugatti, Ducati, Lamborghini, Porsche, Seat and Skoda brands, also said that uncertainty about the fallout from coronavirus meant it was impossible to give forecasts for its performance this year. "Given the present significant deterioration in the sales situation and the heightened uncertainty regarding parts supplies to our plants, production is to be suspended in the near future at factories operated by group brands," Chief Executive Herbert Diess said on Tuesday. Volkswagen's powerful works council concluded it was not possible for workers to maintain a safe distance from each other to prevent contagion and recommended a suspension of production at its factories from Friday. Production will be halted at VW's Spanish plants, in Setubal in Portugal, Bratislava in Slovakia and at the Lamborghini and Ducati plants in Italy before the end of this week, Diess said. Most of its other German and European factories will prepare to suspend production, probably for two to three weeks, while Audi said separately it would halt output at its plants in Belgium, Germany, Hungary and Mexico. Volkswagen's vast factories in Chattanooga, Tennessee, in Puebla, Mexico, and plants in Brazil were not affected, but that would depend on how the coronavirus spreads, VW said. Volkswagen has 124 production sites worldwide of which 72 are in Europe, with 28 in Germany alone. "2020 will be a very difficult year. The coronavirus pandemic presents us with unknown operational and financial challenges. At the same time, there are concerns about sustained economic impacts," Diess said.   Production in China resumes Volkswagen Group sold 10.96 million vehicles last year, putting it ahead of Toyota based on the latest figures from the Japanese carmaker. Globally, VW employs 671,000 people and it delivered 4.86 million vehicles to European customers in 2019. Only last month the car and truck maker based in Wolfsburg, Germany, predicted that vehicle deliveries this year would match 2019 sales and forecast an operating return on sales in the range of 6.5% to 7.5%. "The spread of coronavirus is currently impacting the global economy. It is uncertain how severely or for how long this will also affect the Volkswagen Group.

Recharge Wrap-up: Tesla seeks Gigafactory architect, Uber hails carpools

Tesla is looking for an architect to help design its proposed Gigafactory battery manufacturing facility. According to the Palo Alto-based job listing, which is titled "Architect - Gigafactory," the applicant must have, among other qualifications, over five years of experience with "high-tech infrastructure and operational facilities (semiconductor, solar, battery, waste water treatment plants, etc.)." The job also includes being away from home quite a bit, as it the listing states, "This full time role requires the flexibility of traveling when needed (up to 70 percent) and doing whatever it takes to achieve project objectives." Think you've got what it takes? See the listing for yourself, here, or read more at Silicon Valley Business Journal. Tesla has appointed Robyn Denholm of Juniper Networks to its board of directors. Denholm is Executive Vice President, Chief Financial and Operations Officer at Juniper Networks. Denholm replaces Brad Buss as chair of Tesla's Audit Committee and a member of the company's Compensation and Nominating and Corporate Governance committees. Buss will remain a member of Tesla's board as he joins SolarCity as CFO. Denholm is Tesla's first female director. Read more at Bloomberg, or in the press release below. Uber, the company behind the now famous ride-hailing app, is introducing its carpooling service, UberPool. The service matches drivers with (hopefully multiple) passengers going to similar destinations, with users paying just a fraction of the cost of a normal taxi, or even an Uber ride. If a rider can't get matched with a driver, they can enjoy a discounted Uber ride. As the company points out in its blog, "At these price points, Uber really is cost-competitive with owning a car, which is a game-changer for consumers." UberPool is currently running a private beta program, which it plans to expand on August 15. Read more in-depth about the UberPool at Forbes, or learn more at Uber's blog. For a few reasons why this new expansion might run afoul of archaic laws (put there to keep entrenched interests in play), check out Engadget. Plug-in hybrids are encouraging an evolution of transmission technology. Companies like Schaeffler and ZF Friedrichshafen are adapting their transmissions to include electric motors within them for use in plug-in hybrids. For example, the electric motor in ZF's eight-speed powers the transmission when the internal combustion engine is shut off.

NHTSA expands new Takata probe to 4 more automakers

DETROIT — The U.S. government's highway safety agency has launched an investigation into four additional automakers that have a potentially deadly type of Takata air bag inflator in their vehicles but have yet to recall them. The National Highway Traffic Safety Administration said in documents posted Thursday that it is investigating Audi, Toyota, Honda and Mitsubishi in connection with a Takata recall involving 1.4 million inflators. This brings the total number of manufacturers potentially impacted to five, as BMW was connected to the issue when it was brought to light earlier in December. The inflators made by the now-bankrupt Takata have a distinct and separate problem that can cause them to blow apart a metal canister and spew shrapnel into people's faces and bodies. The problem killed a driver in Australia who was in an older 3-Series BMW, which has already recalled more than 116,000 vehicles. The problem is so dangerous that in some cases BMW has told drivers to park their vehicles until repairs can be made. The safety agency says in documents that Takata didn't provide details on the affected makes, models or model years of vehicles with the defective inflators. So it is telling the companies to recall them promptly. The agency says that based on when the faulty inflators were produced, it's likely that the vehicles to be recalled came from the 1995 through 2000 model years. In letters to all four automakers, NHTSA says they have five business days to notify the agency after finding out about a safety defect. “If your company has not yet gathered enough evidence to make a determination that the subject air bag inflators present an unreasonable risk to motor vehicle safety, reply with a detailed work plan including the benchmark dates required to make the determination,” the agency wrote in letters to all four automakers dated Wednesday. A Honda spokesman said Thursday it hasn't determined yet whether its vehicles are affected, but a decision should be made soon. Audi, Mitsubishi and Toyota said they are still investigating. NHTSA has told the companies to respond by Jan. 17. On Dec. 4, NHTSA posted documents from Takata and BMW detailing the problems. The documents said the Australian driver was killed, while another Australian driver and a driver in Cyprus were injured. Unlike previous recalls, the Takata non-azide inflators do not use volatile ammonium nitrate to fill the air bags in a crash.