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Nissan, Renault reveal how they'll reshape alliance to cut costs, regain profit

TOKYO — The auto alliance of Nissan and Renault said Wednesday it will be sharing more vehicle parts, technology and models to save costs as the industry struggles to survive the coronavirus pandemic. Alliance Operating Board Chairman Jean-Dominique Senard said the group, which also includes smaller Japanese automaker Mitsubishi, will have each company focusing on geographic regions. “There is no plan for a merger of our companies,” the chairman said. “Our model today is a very distinctive model ... we donÂ’t need a merger to be efficient.” He stressed the alliance needs to adjust to the “unprecedented economic crisis,” to pursue efficiency and competitiveness, not sheer sales volumes. “Now is the time to rebuild,” Senard said, making clear he believed the alliance remained strong. All automakers are suffering from the pandemic, and scaling back or suspending production, but Nissan was reeling before the crisis struck from a scandal involving its former chairman, Carlos Ghosn. Yokohama-based Nissan is due to report its annual results on Thursday and has forecast it will slip into its first yearly loss in 11 years. Under the latest so-called leader-follower initiative, Nissan will focus on China, North America and Japan; Renault on Europe, Russia and South America and North Africa, and Mitsubishi on Southeast Asia and Oceania, for the benefit of the entire alliance. Nissan Chief Executive Makoto Uchida said the alliance planned to pursue fiscal strength together. “The synergy is huge,” he said. The number of vehicles sharing the same platform will double by 2024, saving 2 billion euros ($2.2 billion), according to Senard. The shared technology will also include electric cars and autonomous driving, platforms and car bodies, the executives said. Nissan is a leader in electric cars with its Leaf, but such technology will be available to the other alliance members, they said. The companies gave few details of how the revamp would deliver in the short term, as the car industry grapples with the fallout from the coronavirus pandemic and pressure to develop less polluting vehicles. They said in a joint statement that they aimed to produce nearly half of their vehicles under the new leader-follower approach by 2025 and hoped to cut investment per model in the scheme by up to 40%. The range of vehicles they produce is expected to fall by 20% by 2025 though the firms did not say how many jobs would go as they shift production.

IIHS gives good ratings to 4 of 8 midsize pickups in crash test

Versions of the Toyota Tacoma, Chevrolet Colorado and GMC Canyon Crew Cab earned top ratings in a new crash test of midsize pickup trucks from the Insurance Institute for Highway Safety, while two versions of the Nissan Frontier earned marginal ratings. But the organization gave poor marks to all eight pickups tested for their dim headlights. Overall, four of the eight pickups evaluated earned good ratings for protecting occupants in all five crash test categories — the Tacoma double cab along with crew cab versions of the Colorado, Canyon and Tacoma. But the poor headlights and lack of an automatic emergency braking system blocked any of the pickups from qualifying for the IIHS's Top Safety Pick awards. The study looked at two pickup body styles using 2017 models: crew cabs, which have four full doors and two full rows of seating, and extended cabs, which have two full front doors, two smaller rear doors and compact second-row seats. It subjected each to five tests, and it evaluated the performance of front crash prevention systems and headlights. The Toyota Tacoma crew cab was the only pickup in that class that earned a good rating for structure in the small overlap test, which replicates what happens when a vehicle clips a tree, pole or another vehicle that has crossed the center line. The model's Access Cab extended-cab version was rated similarly, though its structure was rated acceptable. "This group of small pickups performed better in the small overlap front test than many of their larger pickup cousins," says David Zuby, the Institute's executive vice president and chief research officer. "The exception was the Nissan Frontier, which hasn't had a structural redesign since the 2005 model year." The extended-cab versions of the Chevy Colorado and GMC Canyon earned acceptable ratings, while both the Nissan Frontier king-cab and crew-cab models were rated marginal. Toyota says its 2018 Tacoma will feature upgraded headlights and a standard autobraking system that can detect pedestrians. "Headlights are basic but vital safety equipment. Drivers shouldn't have to give up the ability to see the road at night when they choose a small pickup," Zuby said. Related Video: Auto News Chevrolet GMC Nissan Toyota Safety Truck Videos gmc canyon nissan frontier chevrolet colorado

Tesla exec calls rival EVs 'little more than appliances'

Tesla's Vice President of Business Development Diarmuid O'Connell called the company's competition "little more than appliances" at the Center for Automotive Research's Management Briefing Seminars in Traverse City, MI yesterday. "In essence, [mainstream automakers] delivered little more than appliances," O' Connell said. "Now, appliances are useful. But they tend to be white. They tend to be unemotional." According to Automotive News, O'Connell's main critique is that vehicles like the Nissan Leaf and BMW i3 don't deliver enough performance or range to draw the attention of consumers outside of a small group. The solution, in O'Connell's mind, is more power, more range, more excitement and a lower price – that last point is particularly rich coming from an automaker whose cheapest current offering, the Model S 60, costs $66,000 – although the cheaper Model 3 is on the horizon, way out there, somewhere. But some EVs are better than none, O'Connell added. "On balance, I'm happier that [traditional automakers are] doing these cars than not," O'Connell said. "I just wish they would do them better and faster." O'Connell also used his appearance at the Management Briefing Seminars to launch a volley at the Michigan legislature, blaming its opposition to Tesla's direct-sales model for the lack of available EVs in the Wolverine State. "I think if the Michigan Legislature would allow Tesla to sell cars in Michigan, we could probably address [the lack of available electric cars]," O'Connell said. Related Video: