Ford says not planning China price hikes despite new tariffs

Ford Motor Co (F.N) said on Thursday that for now, it will not hike prices of imported Ford and higher-margin luxury Lincoln models in China, thus absorbing the additional cost of tariffs on U.S.-made vehicles due to be applied starting on Friday.

The U.S. carmaker, which has faced sluggish sales in the world’s largest auto market, said in a statement that “it has no current plans to increase the manufacturer’s suggested retail price (MSRP) on its import line-up in China.”

Ford’s move, which would reduce the profit margins on its cars imported to China, makes it the first foreign automaker to address pricing issues ahead of the new tariffs that will affect around $34 billion of U.S. imports, from soybeans and cars to lobsters.

German automaker Daimler AG (DAIGn.DE) said last month that its 2018 pre-tax profits would fall versus last year because new import tariffs on cars exported from the United States to China would hurt sales of high-margin Mercedes-Benz sports utility vehicles.

Ford has much to lose if rising trade tensions between China and Republican U.S. President Donald Trump escalate into a full-blown tariff war. Last year, it shipped about 80,000 vehicles to China from North America, more than half of them its upper-end Lincolns – including the Lincoln Continental sedan and the Lincoln MKX crossover SUV.

China, which just days ago cut tariffs on all imported automobiles, plans to slap an additional 25 percent levy on 545 American products, including U.S.-made cars, should Trump’s administration proceed with plans to implement tariffs on $34 billion of Chinese imports beginning on Friday.

Ford encouraged the United States and China to resolve their dispute, and said it would “monitor the situation as it evolves.”

Most of the vehicles Ford sells in China are made locally with its joint venture partners.

All Lincoln vehicles that Ford sells in China are imported from North America. The brand last year sold 54,124 vehicles in China, up 66 percent from 2016. It is unclear how long it will take for any impact on profit margins at Ford, as the automaker will likely have a couple of months’ supply of imported vehicles already on the ground in China.

Ford and Lincoln both cut prices on imported models in May after China announced steep tariff cuts for automobiles and car parts that took effect on July 1.

Trade-related issues are cropping up for Ford at a time when it is suffering from a big sales slump in China caused by a lack of new models in its line-up. Last year, its sales fell 6 percent even as overall vehicle sales in China rose 3 percent.

Other firms that export U.S.-made cars to China include BMW (BMWG.DE), Daimler’s Mercedes and Tesla (TSLA.O). Those automakers did not immediately respond to requests for comment.

China is General Motors Co’s (GM.N) largest market. A GM spokesman said that aside from a very small number of Chevrolet Camaro cars, virtually all of its vehicles and parts sold in China are made there. The automaker is still assessing what to do about that small number of imported vehicles, the spokesman said.

Fiat Chrysler Automobiles NV produces the bulk of the vehicles it sells in China locally, but exports the Jeep Wrangler, Jeep Grand Cherokee and Chrysler Pacifica minivan to China.

Posted in Uncategorized | Comments Off

Electra Meccanica Completes First Production SOLO

Electra Meccanica Vehicles Corp., a cutting-edge designer and manufacturer of electric vehicles, today announced that its single-passenger, all-electric SOLO rolled off the assembly line and has arrived in Vancouver, British Columbia. The new vehicle will now undergo rigorous consumer testing and verification in anticipation of commencing commercial manufacturing in September 2018 with the goal of delivering 5,000 SOLOs by September 2019.

“This is a hugely significant day for Electra Meccanica and our talented design, engineer and production teams,” said CEO Jerry Kroll. “This first SOLO will be extensively tested and delivered to its first customer, kicking off our efforts to begin delivering thousands of these cars to our patient reservation holders in September.”

The SOLO is priced at $15,500 USD, and interested consumers can place a fully-refundable $250 deposit by visiting EMVauto.com. A publicly held company, Electra Meccanica began trading on the OTCQB exchange and announced its application filing for NASDAQ Capital Markets listing last October.

About Electra Meccanica Vehicles Corp.:

Electra Meccanica is a designer and manufacturer of electric vehicles. The Company builds the innovative, all-electric SOLO, a single passenger vehicle developed to revolutionize the way people commute, as well as the Tofino, an elegant high-performance two seater electric roadster sports car. Both vehicles are tuned for the ultimate driving experience while making your commute more efficient, cost-effective and environmentally friendly.

Intermeccanica, a subsidiary of Electra Meccanica, has successfully been building high-end specialty cars for 59 years. The Electra Meccanica family is delivering next generation affordable electric vehicles to the masses.

Posted in Uncategorized | Comments Off

Software Updates for Car – For a Better Driving Experience

From being more mechanical to surprisingly intellectual is what defines now-a-days cars that are all ready to embrace the trending software updates. Cars that get software updates not only shrink gap between your car and dealer but stands on the front line to provide improved safety, fortified performance and reduced driver’s distraction while driving. While these many benefits are amazing each and every car lover, an evident advantage of getting those benefits without gearing up wheels is what buzzing in the automotive industry – Yeah, there is no need to travel under the roof of a dealership every time a new update got pop out – It is easy to get updates released from the manufacturer straight away on car with the help of a Wi-Fi connection.

Despite every car tends to hurl off the point being old with the help of sophisticated software updates, only cars from some leading manufacturers like Tesla, Ford, Toyota are simplifying the customer needs and grabbing newness through innovative software updates.

Tesla Motors, one of the world’s popular car brands renowned for producing electric cars is committed to offer a series of software updates for its acclaimed Model S in 2015. In its first set of updates, the software can analyze road conditions and driver’s route, controls driver from driving at high speeds and stops the attendant access of using personal data through valet mode, performs automatic braking and blind-spot detection alongside providing topography that alarms driver if the car is moving out of a charging location. Once the car automatically downloads and installs the code issued by the company, it gets updates.

This U.S. based car brand is also planning to provide another set of updates after few months from first set of updates release, that consists of an option that allows car to drive itself, and guides towards the destination.

Not just these, but Tesla already wowed its Model S owners with a remote software update that increased car speed more to the existing in the year beginning. Model S P85D can now accelerate from 0 to 60mph within just 0.1 to 3.1 seconds with the help of a new software update – which made a difference in its previous version that takes 3.2 seconds in the insane mode to accelerate the same speed range.

Ford, an American Automaker with a global presence is set to offer software updates for its latest infotainment system Sync 3 – the all new 2015 model, after partnering with software market giant Microsoft to keep the infotainment system updated and also to give its customers more freedom to get updates. Software updates received by Sync 3 from Microsoft with the enabled WiFi allows the system to stay updated with the current.

Sync 3 infotainment system equipped Ford cars can stay update to the latest with the Microsoft’s reliable and easier software downloads, which is an unrivaled smart process compared to its previous way of downloading Sync updates to USB thumb drive and then again updating it manually through dashboard.

Posted in Uncategorized | Comments Off