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Infiniti to move forward with 'Nissan-plus' strategy for its future cars

Sales at Infiniti in 2019 were down in the dumps. While the market as a whole fell 1.2%, Infiniti brand sales were down 21%. Nissan wasn’t too far behind, with its sales sliding 9.9% year-to-year. None of those numbers look great, but Nissan COO Ashwani Gupta still sees a path forward for NissanÂ’s luxury brand, Infiniti. “We will bring back Infiniti as Nissan-plus, in terms of product and technology," Gupta told Automotive News. “Infiniti will be great again.” Historically-speaking, Infiniti has been “Nissan-plus” for a long time over the years. Many vehicles in its lineup have been re-skinned versions of Nissans with some luxury thrown into the mix, and thatÂ’s not necessarily a bad thing. There have been some standouts, namely the original Q45 with its pioneering active suspension and shockingly sporty dynamics. And then there are the G coupes and sedans, vehicles that are still desirable to enthusiasts today. View 31 Photos InfinitiÂ’s current enthusiast offerings revolve around the Q50 sedan and Q60 coupe, both of which are rear-wheel-drive (or all-wheel-drive) cars with sporting intentions. ThereÂ’s no equivalent Nissan sold in America, but the Q50 is the Nissan Skyline in Japan. ItÂ’s impossible to know what the fate of these rear-drive-based cars will be, but a few possibilities lie ahead. Infiniti could really lean in to the “Nissan-plus” nomenclature and repurpose the new Altima as an Infiniti sedan. More likely, however, is a move to electrification. The Nissan IMs Concept and Infiniti Q Inspiration Concept both suggest that the company is interested in creating electric sedans. A “Nissan-plus” electric sedan sure sounds a whole lot better than a front-drive-based rebadged Nissan. InfinitiÂ’s biggest problem at this second is the lack of new product on the market. Its QX50 crossover is the most recent big redesign weÂ’ve been witness to, but it needed replacements yesterday for the QX60, Q50 and Q60 to be competitive with others in those segments. Both Lexus and Acura are outpacing Infiniti by a wide margin. The path forward as “Nissan-plus” also suggests Infiniti aims to be a premium brand, rather than a full-fledged luxury brand competing toe-to-toe with Audi, BMW and Mercedes-Benz. ThatÂ’s consistent with how the brandÂ’s cars have stacked up in recent years, even as it collaborated with Mercedes to put an Infiniti badge on the GLA crossover.

Renault gets a 'wake-up call' — a record $8.6 billion loss

PARIS — French carmaker Renault said it had been given a wake-up call on Thursday with a record net loss of 7.29 billion euros ($8.6 billion) in the first half of the year, inflicted by the COVID-19 crisis and troubles at its alliance partner Nissan. Global automakers have been hit hard by the coronavirus pandemic, which has shuttered factories and kept many customers away from car dealerships. But the Renault-Nissan alliance has been hit especially hard as it was already weakened by low margins and boardroom turmoil surrounding Carlos Ghosn, the architect of the alliance who was ousted in 2018. Renault shares were down 3.3% when trading opened in Paris. "Today's results will be a disturbing wake-up call," CEO Luca de Meo, the former Volkswagen executive who started at Renault this month, said on a call with analysts. "We are currently touching the bottom of a negative curve that started several years ago, and probably even earlier," de Meo added. "We are in a complex, difficult situation. We all are. But ... we were already, I would say, feverish. So for sure it is even harder for us." De Meo said the company would now double down on a previously announced turnaround plan, laying off thousands of workers, reducing the range of models, and improving cooperation between alliance partners on vehicle production. He said a team of 40 senior executives from across Renault was cloistered on the top floor of the company's headquarters in Boulogne-Billancourt near Paris, working on details of a strategic plan which will be presented in January at the latest. He said his focus would be pushing the Renault brands that can deliver profits — especially compact cars, SUV crossovers, and electric and hybrid vehicles — and shifting emphasis from volume to value. "We know what we need to do," de Meo said. "Better times are waiting at the end of this twisty road." Renault said group operating losses, factoring out the effect of Nissan's losses, reached 2 billion euros in the first half, compared with operating income of 1.5 billion last year. Sales slumped 34.9%, a result the company attributed mainly to the global COVID crisis and Renault burned through $6.38 billion in cash over the first half. Nissan Motor Co this week warned of a record $4.5 billion operating loss this year and its lowest sales in a decade. Its negative contribution accounted for 4.82 billion of Renault's net losses, the French firm said on Thursday.

Suppliers love Toyota and Honda: Why that matters to you

You might think that a survey of automotive suppliers and their relationship with OEMs is the automotive equivalent of nerd prom. In some ways that's what the North American Automotive OEM-Supplier Working Relations Index (WRI) is. The study, the 17th annual conducted by Planning Perspectives Inc., is based on input from 652 salespeople from 108 Tier One suppliers, or, PPI points out, 40 of the top 50 automotive suppliers in North America. Suppliers to General Motors, Ford, FCA, Toyota, Honda, and Nissan. But the results have consequences in terms of tens of millions of dollars for OEMs - and in the quality, technology, and cost of the next vehicle you buy. There are a couple of ways to look at the results of the WRI. One is, "So what else is new?" And the other is, "Damn! How did that happen?" The study looks at five relationship areas — OEM Supplier Relationship; OEM Communication; OEM Help; OEM Hindrance; Supplier Profit Opportunity — within six purchasing areas — Body-in-White; Chassis; Electrical/Electronics; Exterior; Interior; Powertrain. In the overall rankings, Toyota is on top for the 15 th time in 17 years, with a score of 328. Honda, the only company to best Toyota (in 2009 and 2010), comes in second, at 319. Those two companies, explains John Henke, president of PPI, have collaborative working arrangements with colleagues and suppliers alike built into the very fabric of their cultures. This, however, is not a situation where one can readily conclude it is about "Japanese companies," because the third company with headquarters on the island of Honshu, Nissan, came in dead last. This is the "How did that happen?" portion. The Nissan score of 203 puts it 125 points behind Toyota. There hasn't been a number that low since the then-Chrysler Corp. scored 187 in 2010, when the company was clawing its way out of the recession. Clearly, the suppliers don't feel particularly engaged by the buyers at Nissan. Henke explains that whether a company does well or not on the WRI is rather simple. All people do things based on what they're measured on. "If you're measured on taking 10% out of your annual buy, you immediately know how to do it. But if you're also measured on improving relations, suddenly there is a new dynamic as to what you can do to achieve both.