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Feds fretting over remote hack of Jeep Cherokee

A cyber-security gap that allowed for the remote hacking of a Jeep Cherokee has federal officials concerned. An associate administrator with the National Highway Traffic Safety Administration said Thursday that news of the breach conducted by researchers Chris Valasek and Charlie Miller had "floated around the entire federal government." "The Homeland Security folks sent out broadcasts that, 'Here's an issue that needs to be addressed,'" said Nathaniel Beuse, an associate administrator with the National Highway Traffic Safety Administration. Valasek and Miller commandeered remote control of the Cherokee through a security flaw in the cellular connection to the car's Uconnect infotainment system. From his Pittsburgh home, Valasek manipulated critical safety inputs, such as transmission function, on Miller's Jeep as he drove along a highway near St. Louis, MO. The scope of the remote breach is believed to be the first of its kind. The prominent cyber-security researchers needed no prior access to the vehicle to perform the hack, and the scope of the remote breach is believed to be the first of its kind. A NHTSA spokesperson said the agency's cyber-security staff members are "putting their expertise to work assessing this threat and the response, and we will take action if we determine it's necessary to protect safety." A Homeland Security spokesperson referred questions about the hack to Chrysler. Fiat Chrysler Automobiles has already been the subject of a federal hearing this month, in which officials scrutinized whether the company had adequately fixed recalled vehicles and repeatedly failed to notify the government about defects. But cyber-security concerns are a new and different species for the regulatory agency. Only hours before the Jeep hack was announced by Wired magazine earlier this week, NHTSA administrator Dr. Mark Rosekind said hacking vulnerabilities were a threat to privacy, safety, and the public's trust with new connected and autonomous technologies that allow vehicles to communicate. NHTSA outlined its response to the cyber-security challenges facing the industry in a report issued Tuesday. In it, the agency summarized its best practices for thwarting attacks and said it will analyze possible real-time infiltration responses. But the agency's ability to handle hackers may only go so far.

Automakers, dealers are rushing cars to Houston after Harvey

DETROIT — Houston-area car retailers and automakers are rushing to reopen dealerships and beef up inventory to replace many hundreds of thousands of vehicles damaged in flooding from Hurricane Harvey. Pete DeLongchamps, vice president for manufacturer relations at Group 1 Automotive, the third-largest U.S. auto dealer group, said the company prepared for the storm with a plan designed after Hurricane Katrina in 2005. This included moving moved inventory to higher ground and cleaning roof drains to avoid cave-ins. Group 1 thus lost a "relatively small percentage" of inventory and reopened its roughly 25 dealerships in the Houston and Beaumont area by Thursday. "Things have been moving fast and furious with a large number of tow-ins already," DeLongchamps said. "Our customers have lost a lot of vehicles, we need to help them replace." Harvey brought record flooding to Houston and killed at least 35 people. The storm is expected to briefly depress already slowing U.S. auto sales but could eventually help boost demand as damaged cars are replaced. Automakers report U.S. August sales on Friday. Estimates for the number of Harvey-damaged vehicles needing replacement range up to 500,000. By Thursday, AutoNation, the largest U.S. auto retail chain, had reopened its 17 Houston stores and is moving cars and trucks from other regions, company spokesman Marc Cannon said. The company plans to move 500 to 1,000 used cars to an AutoNation USA used car store and stage a sale Sept. 21-23, when many would-be buyers should have insurance checks to replace destroyed vehicles, Cannon said. AutoNation is still assessing how many vehicles it lost, but it too moved vehicles to higher ground ahead of the storm. General Motors spokesman Jim Cain said the number of damaged vehicles at dealerships "is relatively modest." "But there are still several dealerships that are inaccessible, so the number will increase," he said. GM will move new and used vehicles to Houston, "but it won't be done until the infrastructure and our dealers are ready." Ford is still assessing damage and inventory needs, a spokeswoman said. CarMax, the biggest U.S. used car dealer, will reopen its six Houston area stores on Labor Day, spokeswoman Claire Hunter said. "We are mobilizing additional inventory to the region as we speak," Hunter said. Paul Lips, chief operating officer at ADESA, a unit of KAR Auction Services Inc., which with Manheim dominates the U.S.

Fiat Chrysler recalls 1.6M vehicles to fix Takata airbags

DETROIT — Fiat Chrysler is recalling more than 1.6 million vehicles worldwide to replace Takata front passenger airbag inflators that can be dangerous. Takata inflators can explode with too much force, hurling shrapnel into drivers and passengers. At least 23 people have died from the problem worldwide and hundreds injured. The recall covers the 2010 through 2016 Jeep Wrangler SUV, the 2010 Ram 3500 pickup and 4500/5500 Chassis Cab trucks, the 2010 and 2011 Dodge Dakota pickup, the 2010 through 2014 Dodge Challenger muscle car, the 2011 through 2015 Dodge Charger sedan, and the 2010 through 2015 Chrysler 300 sedan. It's part of the largest series of automotive recalls in U.S. history. About 10 million inflators are being recalled this year. Already Ford, Honda and Toyota have issued recalls in the latest round. Fiat Chrysler owners will be notified by letter and dealers will replace the inflators with safe ones. The company says it's not aware of any injuries in vehicles involved in this recall, but says it has plenty of replacement parts and is urging people to get the repairs done. "Recall service is free, we have replacement parts and dealers are ready to help," Mark Chernoby, FCA's head of safety for North America, said in a statement. The recall includes 1.4 million vehicles in the United States. Takata used the chemical ammonium nitrate to create a small explosion to inflate the airbags. But the chemical can deteriorate over time due to high humidity and cycles from hot temperatures to cold. The most dangerous inflators are in areas of the South along the Gulf of Mexico that have high humidity. The Fiat-Chrysler recall is part of a phased-in replacement of Takata inflators being managed by the National Highway Traffic Safety Administration. Owners can check to see if their vehicles have been recalled by going to airbagrecall.com and keying in license plate or vehicle identification numbers. More than three years after the U.S. National Highway Traffic Safety Administration took over management of recalls involving Takata inflators, one third of the recalled inflators have not been replaced, according to an annual report last year from the government and a court-appointed monitor. The report said 16.7 million faulty inflators out of 50 million under recall have yet to be fixed. Safety advocates say the completion rate should be far higher given the danger associated with the inflators.