Category: Zero Emission News (Page 12 of 12)

Fiat Chrysler, Peugeot Owner PSA Once Again in Talks to Combine

October 29, 2019 / WIL BALDWIN

(Reuters) – Fiat Chrysler and Peugeot owner PSA are in talks to combine in a deal that could create a $50 billion (£38.88 billion) automaker, a source familiar with the matter said on Tuesday.

Fiat Chrysler shares rose sharply after news of the talks and ended up more than 7.5% in U.S. trading. The companies and the French government had no comment.

The Wall Street Journal first reported the discussions. PSA’s supervisory board was due to meet on Wednesday to discuss the potential merger, another source close to the matter said.

If a combination of Peugeot and Fiat Chrysler succeeded in overcoming political, financial and governance hurdles, the new enterprise would still face substantial challenges. Global automakers face the prospect of a slowdown in global demand coinciding with the most dramatic technology changes in a century.

Peugeot Chief Executive Carlos Tavares has predicted “ten years of chaos” for global automakers as regulators demand a switch to electric vehicles to reduce emissions linked to climate change.

Investors have speculated for several years that Fiat Chrysler was hunting for a merger partner, encouraged by the rhetoric of the company’s late chief executive, Sergio Marchionne.

In 2015, Marchionne outlined the case for consolidation of the auto industry and tried unsuccessfully to interest General Motors Co in a deal. Fiat Chrysler earlier this year broached a merger with French automaker Renault SA that ultimately collapsed.

Created when Fiat, under Marchionne’s leadership, bought control of Chrysler out of a U.S. government-backed bankruptcy in 2009, Fiat Chrysler has one of the global auto industry’s most profitable franchises in the Jeep sport utility vehicle brand and a money-spinning North American pickup and commercial van operation in Ram. Both would boost Peugeot, which does not sell vehicles in the U.S. market.

Peugeot and Fiat Chrysler could over time share engines and vehicle architectures, reducing capital spending and freeing up cash to invest in electric vehicles and emissions reduction technology required in Europe, China and other global markets.

Fiat Chrysler is under increasing pressure to invest in clean car technology. The company disclosed earlier this month that it faces a $79 million fine for falling short of U.S. fuel efficiency standards. Fiat Chrysler agreed to pay U.S. electric car maker Tesla Inc for credits to help it comply with European emissions standards until 2022.

Evercore analyst Arndt Ellinghorst in a note on Tuesday said a combination of Fiat Chrysler and Peugeot “should ignite more rational industry behavior around allocation of capital and this particular merger makes materially more sense than a potential FCA-Renault merger.”

Peugeot and Fiat Chrysler had discussed a combination earlier this year, before Fiat Chrysler proposed a $35 billion merger with Renault. At that time, Fiat Chrysler said a deal with Renault offered more advantages than a combination with Peugeot.

Fiat Chrysler Chairman John Elkann broke off talks with Renault in June after French government officials intervened and pushed for Renault first to resolve tensions with its Japanese alliance partner, Nissan Motor Co.

Following the collapse of the Renault merger plan, Fiat Chrysler CEO Mike Manley left the door open for talks with would-be partners. But he said the Italian-American automaker could go it alone despite mounting costs to develop electric vehicles and comply with tougher emissions rules in Europe, the United States and China.

Along with Jeep and Ram would come Fiat’s Italian operations, which have struggled in recent years. Fiat’s Mirafiori assembly complex in its home city of Turin has run below 50% capacity, with thousands of workers on temporary layoffs.

Overall, Fiat has 58,000 workers in Italy, where the government has long resisted mass lay-offs by large employers.

Peugeot’s Tavares dismissed the idea of a combination with Fiat Chrysler during a discussion with reporters at the Frankfurt auto show last month. “We don’t need it,” he said when asked whether he was still interested in a deal with Fiat Chrysler.

Tavares has moved aggressively to expand Peugeot, acquiring German auto brand Opel from General Motors Co for $2.6 billion in 2017. Since then, he has overseen a turnaround at Opel.

Fiat Chrysler already has a commercial vehicle partnership with Peugeot.

(Reporting by Dominic Roshan K.L. in Bengaluru; Editing by Maju Samuel, Richard Chang and Dan Grebler)

Porsche Debuts The Taycan 4S, Its ‘Entry Level’ Electric Car

October 14, 2019 / WIL BALDWIN

Porsche announced on Monday the expansion of its electric-vehicle lineup. A month after revealing its Taycan Turbo and Turbo S, Porsche debuted its “entry-level model,” the Taycan 4S.

Taycan 4S pricing starts at $103,800 — a steal compared to the $150,900 Taycan Turbo or $185,000 Turbo S, but far less accessible than other EVs on the market.

Porsche is owned by Volkswagen AG.

How The 4S Compares In The Series

The Taycan 4S comes in a Performance Battery version (79.2 kiloWatts per hour) and a Performance Battery Plus version (93.4 kiloWatts per hour), each of which is less powerful than the original models. The 4S delivers up to 420 kiloWatts (630 horsepower) compared to the Turbo’s 500 kiloWatts and the Turbo S’s 560.

Click the link to view the full story! https://finance.yahoo.com/news/porsche-debuts-taycan-4s-entry-151539607.html

British Airways to Become First UK Airline to Offset Carbon Emissions on Flights

October 11, 2019 / WIL BALDWIN

Airline announces plan to offset carbon emissions for all UK domestic flights from 2020
British Airways to invest in verified carbon reduction projects around the world
From 2020, British Airways’ carbon emissions on international flights will be capped through the United Nations’ carbon offsetting scheme
Announcement comes as parent company International Airlines Group (IAG) announces commitment to achieving net zero carbon emissions by 2050

From January 2020, British Airways will become the first UK airline to offset carbon emissions on all its flights within the UK.

All customers flying within the UK next year on flights operated by British Airways will have the carbon emissions from their flights offset by the airline and invested in carbon reduction projects around the world*. These quality assured projects will include renewable energy, protection of rainforests and reforestation programmes.

The airline operates up to 75 flights a day between London and 10 UK cities, including Manchester, Leeds, Newcastle, Isle of Man, Edinburgh, Glasgow, Aberdeen, Belfast City, Inverness and Jersey. British Airways’ domestic emissions total around 400,000 tonnes of C02 a year.

Today’s announcement comes as British Airways’ parent company, International Airlines Group (IAG), became the first airline group worldwide to commit to achieving net zero carbon emissions by 2050, contributing to both the UK Government’s commitment to a net zero carbon economy by 2050 and the United Nations’ objective to limit global warming to 1.5 degrees. IAG’s emissions’ goal will be achieved through numerous environmental initiatives, including investing more than US$400m in the development of sustainable aviation fuels over the next 20 years.

Alex Cruz, British Airways’ Chairman and Chief Executive, said: “British Airways is determined to play its part in reducing aviation’s CO2 emissions. To solve such a multi-faceted issue requires a multi-faceted response and this initiative further demonstrates our commitment to a sustainable future. It also follows our announcement to partner with renewable fuels company, Velocys, to build a facility which converts household and commercial waste into renewable sustainable jet fuel to power our fleet.”

While customers on UK domestic flights will not need to offset their emissions, those travelling further afield can also reduce their impact on the environment by using British Airways’ carbon offsetting tool. The carbon tool enables customers to calculate their emissions and then invest in carbon reduction projects including high quality forestry and renewable energy projects in Peru, Sudan and Cambodia**.

Using the tool, which can be accessed on https://www.pureleapfrog.org/ba/carbon_zero, a customer will pay around £1 to offset a return flight from London to Madrid, travelling in economy, while from London to New York in business class will cost around £15.***

Notes to Editors

* British Airways is investing in Verified Carbon Standard projects.

**British Airways’ offset scheme is operated through the airline’s partnership with not-for-profit organisation Pure Leapfrog. For more information on the carbon reduction projects, visit: https://www.pureleapfrog.org/ba

***While customers travelling on domestic flights’ carbon emissions are offset for them, customers flying outside of the UK can choose to pay to offset their emissions. Examples of pricing are shown below:

Journey	Cost to offset
London to Madrid (economy)	£ 1
London to New York (economy)	£ 5
London to New York (business)	£ 15
London to Los Angeles (economy)	£ 8
London to Los Angeles (business)	£ 24
London to Hong Kong (business)	£ 26

Customers can find a link to the carbon calculator at https://www.pureleapfrog.org/ba/carbon_zero

Alstom to supply 42 Metropolis trains for Barcelona Metro

October 9, 2019 / WIL BALDWIN

(from left to right): Sergio Boya, Alstom Spain, Miguel Angel Martin, Director, BCN trains Manufacturing Site, Maria Rosa Alarcón Montañés, Chair TMB, Gerardo Lertxundi Albéniz, Chief Executive Officer TMB

A contract worth over €260 million in Spain

7 October 2019 – Alstom has signed a contract with Barcelona Metro operator TMB (Transports Metropolitans de Barcelona) to supply 42 Metropolis trains to replace those currently running on lines 1 and 3 of the network. The contract[1], valued at over €260 million, includes the design, manufacturing and commissioning of the trains. The five-car trains will be manufactured in Alstom’s Barcelona site and delivered to TMB within two and a half years.

“Alstom is honoured by this sign of confidence from TMB. The expertise and innovation capabilities of our teams are fully mobilised to support the plan to modernise Barcelona Metro for the benefit of passengers. Carrying over 400 million passengers per year, the Barcelona network is one of the most efficient and modern in Europe. With our trains, we aim to help TMB in the development of efficient and sustainable mobility that responds to the current and future needs of all passengers,” said Gian Luca Erbacci, Senior Vice President of Alstom in Europe.

“With the withdrawal of the oldest fleet, we accelerate a process of renovation that will increase service reliability, sustainability and passenger comfort in two of our most frequented Metro lines, in a context of maximum demand for the collective transport of Barcelona, upon the entry into force of the low-emission zone. This is the most important rolling stock acquisition in the history of TMB,” said Rosa Alarcón, President of TMB, during the signature of the contract.

According to the specifications, the new Metropolis trains will meet strict sustainability criteria; light structure, low energy consumption, high levels of recoverability and recyclability, technical reliability and ease of maintenance. The trains will also be equipped with remote sensors for optimal maintenance.

Alstom also puts the passenger at the heart of its design process. The trains for Barcelona will be built with the comfort of passengers in mind, offering accessibility, wide doors and spaces to facilitate passenger flow, acoustic comfort, vibration mitigation and passenger information in real time. Both external an internal design features will remain faithful to the TMB brand but will also add new visual elements that reflect the identity of Barcelona, such as graphics on the doors that represent Barcelona’s urban landscape.

The new trains for Barcelona will benefit from the experience and reliability of Alstom’s Metropolis range, currently in circulation on lines 9 and 10 of the Barcelona Metro, incorporating innovative technological solutions and meeting TMB’s requirements in terms of reliability, availability, safety and comfort. Alstom has more than 65 years’ experience in the production of metros, having sold over 17,000 metro cars operating in 55 cities worldwide and carrying 30 million passengers every day.

[1] Booked in Q2 of current fiscal year

Electric Vehicle Startup Rivian Gets Big Van Order From Amazon.com

September 20, 2019 / WIL BALDWIN

DETROIT, Sept 19 (Reuters) – Electric vehicle startup Rivian Automotive LLC got a big boost from one of its investors on Thursday when Amazon.com announced it was ordering 100,000 electric delivery vans.

Before Rivian has even begun commercial production at its factory in Normal, Illinois, the Amazon order rocketed it to the forefront of electric vehicle makers.

Amazon Chief Executive Jeff Bezos said in Washington that as part of the online retailer’s plan to be carbon neutral by 2040 it would order the electric vans from Rivian, with deliveries starting in 2021. The goal is to deploy all the vehicles by 2024.

Rivian, a potential rival to Silicon Valley’s Tesla Inc, unveiled its electric R1T pickup and R1S SUV last November, but had piqued Amazon’s interest earlier. Bezos personally reached out to Rivian CEO R.J. Scaringe last summer to express interest in an investment, sources previously said.

Plymouth, Michigan-based Rivian, founded in 2009, has raised close to $1.9 billion from investors, including a $700 million February round led by Amazon.

The deal solidifies Rivian’s place among EV builders, said Sam Fiorani, a vice president with Auto Forecast Solutions. “It helps boost the image of the (Rivian) brand,” he said.

Rivian aspires to be the first to produce a mass market electric pickup. It intends to begin selling its R1T by the end of 2020, a target that has not changed with the Amazon deal in place, said Rivian spokeswoman Amy Mast said.

Traditional U.S. automakers Ford Motor Co, a Rivian investor, and General Motors Co, as well as Tesla, are pushing to develop their own electric pickups.

The Amazon vans, under the exclusive deal, will be built at Rivian’s plant, a former Mitsubishi factory in Normal, Illinois, Mast said. The first vehicles will be delivered in 2021 and 10,000 should be on the road by late 2022, she said. The vehicles will be serviced by Rivian.

Scaringe has described the Rivian vehicle’s platform as a skateboard that packages the drive units, battery pack, suspension system, brakes and cooling system all below wheel height to allow for more storage space and greater stability due to a lower center of gravity.

Amazon is looking to speed packages to shoppers’ doorsteps regardless of spikes in consumer demand or shortages of delivery personnel. Last year, Daimler AG’s Mercedes-Benz said Amazon had become the biggest customer of its Sprinter vans, securing 20,000 vehicles for delivery contractors.

Ford invested $500 million in Rivian in April with plans to use the Rivian EV platform to build a new vehicle in North America. Details of that vehicle were not disclosed. Ford is not involved in the Rivian deal, Mast said.

Cox Automotive Inc, the owner of the Autotrader online automobile market and the Kelley Blue Book car valuation service, invested $350 million in Rivian this month. The companies will explore partnerships in digital retailing, service operations and logistics.

Other backers include Saudi auto distributor Abdul Latif Jameel Co, Sumitomo Corp of Americas and Standard Chartered Bank.

Amazon’s reputation and the contract size would raise Rivian’s status with potential customers and investors, Fiorani said. It also offers the advantage of not having to chase buyers or ship vehicles all over the country.

(Reporting by Ben Klayman in Detroit; Editing by David Gregorio)

Tesla Scouting Sites for Possible Factory in Germany

August 25, 2019 / WIL BALDWIN

FRANKFURT (Reuters) – Electric carmaker Tesla <TSLA> is scouting out locations for a possible factory in the German state of North Rhine-Westphalia (NRW), Germany’s most populous state, daily Rheinische Post reported on Sunday, citing people familiar with the matter.

First inspections have taken place, the paper said.

Tesla spokespeople in Europe were not immediately available for comment.

Tesla Chief Executive Elon Musk said in a tweet in April that the company was “considering” building a factory in Germany.

Last year, Musk said Germany was a leading choice in Europe to build a Gigafactory, adding “the German-French border makes sense, near the Benelux countries”.

NRW, Germany’s most populous state, shares borders with the Netherlands and Belgium.

Tesla is also looking at the German state of Lower Saxony, which shares a border with the Netherlands, its Economy Minister Bernd Althusmann said earlier this week.

(Reporting by Christoph Steitz; Editing by Frances Kerry)

Alstom’s New-Generation Citadis Tram for Caen la Mer

July 29, 2019 / WIL BALDWIN

Alstom has commissioned its new-generation Citadis X05 tram on the three new lines of Caen la Mer. Presided over by Joël Bruneau, President of the Urban Community of Caen la Mer, and Rodolphe Thomas, First Vice-President of Caen la Mer, in charge of transport, travel and infrastructure, the inauguration took place in the presence of Jean-Léonce Dupont, President of Calvados region, Hervé Morin, President of Normandy region, Agnès Monfret, EU delegate, Stéphane Guyon, general Secretary of Calvados Prefecture and Emmanuel Bois, Sales Director for Alstom in France.

“Just one year after the first tram was presented at the La Rochelle site, it is with great pride that Alstom and its teams take part in this inauguration. Thanks to their reliability, availability and ease of maintenance, we have total confidence in the ability of the 26 Citadis trams to meet the growing mobility requirements of the inhabitants of the Urban Community of Caen la Mer,” says Jean-Baptiste Eyméoud, Senior Vice President France at Alstom.

33 metres long and featuring 6 double doors on each side, the Citadis X05 for Caen la Mer can carry more than 210 passengers. It has 6 extra-wide passenger information screens, large windows covering 45% of the vehicle and will offer USB charging sockets, a first in France. In addition, the Citadis X05 for the Urban Community of Caen la Mer can climb slopes with gradients of up to 8% and has standardised, proven and more accessible components. Last but not least, the tram demonstrates a particularly high level of performance in terms of environmental sustainability, thanks in particular to its 100% LED lighting and optimised air conditioning. It is particularly energy efficient and 95% recyclable.

Eight of Alstom’s 13 sites in France designed and manufactured the Citadis trams for the Urban Community of Caen la Mer: La Rochelle (design, assembly, validation, commercial entry into service and warranty), Ornans (engines), Le Creusot (bogies), Tarbes (traction modules), Valenciennes (interior layout), Villeurbanne (on-board computerised systems), Aix en Provence (tachymetry, for measuring travel speed) and Saint-Ouen (design).In total, more than 2,600 Citadis trams have been sold to more than 50 cities in 20 countries.

Tesla Shares Under Pressure as Musk Changes Tune on Profit

July 26, 2019 / WIL BALDWIN

(Reuters) – Shares of Tesla Inc <TSLA> sank 14% on Thursday and its bonds traded lower, a day after the electric carmaker said it needed more time to turn a profit, reported lower margins and announced the departure of a key executive.

Investors knocked more than $6 billion off Tesla’s market value in response to the company’s second-quarter results.

Only two Wall Street brokerages reduced their existing share price target for the company, but a batch of downbeat research notes from analysts focused on shrinking margins, a key challenge in delivering profit going forward.

Tesla’s automotive gross margins dropped in the quarter to 19% from 20%.

Elon Musk on Wednesday said Tesla now aims to be profitable in the fourth quarter, with the current quarter to be break-even. The company said it was focusing less on profit and more on volume growth, capacity expansion and cash generation.

That contrasted with the billionaire CEO’s promise this time last year that the company would be profitable and cash flow positive “henceforth”.

“Another example of the goal posts being moved,” JP Morgan analyst Ryan Brinkman wrote.

The stock was down 14% at $227 in mid-day trading on Nasdaq.

BONDS UNDER PRESSURE

The eurobond portion of Tesla’s $1.8 billion junk bond was down 2 points in price in brisk trading, pushing its yield back above 8% for the first time since July 1. Its yield spread over Treasuries, a measure of the added risk investors take for owning Tesla’s speculative-grade rated bond rather than safer U.S. government securities, widened by more than 40 basis points.

In all, it was the bond’s biggest loss since early last September when its chief accounting officer quit after just a month on the job and Musk was filmed smoking marijuana and wielding a sword on a webcast.

“I would have guessed that (the bonds) would have moved a little more than they have,” said Tom Graff, portfolio manager, head of fixed income, Brown Advisory. “I think any kind of core thesis about how this company has a sustainable path forward is pretty challenged now. My read on what’s left over for bond holders is not 90 cents on the dollar – it is less than that. I don’t think it should price like a bankruptcy is imminent, it just feels like more than a (two-point move).”

Newer debt securities from Tesla were also under severe pressure. The $1.84 billion convertible note it issued in early May fell 8 points, the most since it hit the market just over two months ago. It had closed at a record high on Wednesday.

Several analysts were also concerned by the resignation of chief technology officer and pioneer of the company’s electric batteries, J.B. Straubel, the last of the company’s old guard left in its top echelons outside Musk himself.

“Straubel has been at the forefront of the company’s technology leadership, which we believe will increasingly be called into question as competitors catch up,” Cowen analysts said.

(Reporting by Munsif Vengattil and Sayanti Chakraborty in Bengaluru; Kate Duguid in New York; Editing by Maju Samuel, Bernard Orr)

Jaguar Land Rover to Build Electric Cars at UK Plant

July 16, 2019 / WIL BALDWIN

LONDON (Reuters) – Jaguar Land Rover (TAMO.NS) is making a multi-million pound investment to build electric vehicles in Britain, in a major boost for the UK government and a sector hit by the slump in diesel sales and Brexit uncertainty.

Britain’s biggest car company, which built 30 percent of the UK’s 1.5 million cars last year, will make a range of electrified vehicles at its Castle Bromwich plant in central England, beginning with its luxury sedan, the XJ.

“The future of mobility is electric and, as a visionary British company, we are committed to making our next generation of zero-emission vehicles in the UK,” Chief Executive Ralf Speth said on Friday.

The announcement gives a boost to Britain’s automotive sector hit this year by Honda and Ford’s (F.N) plans to close factories.

Jaguar Land Rover (JLR) has highlighted the dangers of a no-deal Brexit and the need to maintain frictionless trade with the European Union, echoing warnings from the industry that just-in-time production could be hit by customs delays and additional bureaucracy.

But it has signed a deal with workers at the Castle Bromwich factory to go from a five-day to a four-day working week with the same amount of hours which should allow the plant to operate more efficiently.

Three of JLR’s four European car plants are in Britain, giving it limited capacity elsewhere on the continent.

The other, in Slovakia, only opened last year and is still being ramped up with other models allocated there.

“We are making this investment because the ongoing Brexit uncertainty has left us with no choice, we had to act, for our employees and our business,” JLR said.

“We are committed to the UK as our home and will fight to stay here but we need the right deal.”

Both candidates to replace Prime Minister Theresa May, Boris Johnson and Jeremy Hunt, have both said they are prepared to take Britain out of the EU on Oct. 31 without a deal, although it is not their preferred option.

Brexiteers have argued that the EU’s biggest economy Germany, which exports hundreds of thousands of cars to Britain ever year, would do its utmost to protect that trade

Friday’s announcement comes after a turbulent few months for Jaguar which announced around 4,500 job cuts earlier in January and posted a 3.66 billion pound ($4.5 billion) loss in 2018/19.

The carmaker is undergoing a turnaround designed to offer an electrified option to all of its new models from 2020 as it seeks to move away from its reliance on diesel vehicles which are being increasingly shunned by buyers.

Jaguar also called on the government to bring giga-scale battery production to the country so that Britain is not left behind in the rush to produce low and zero-emissions vehicles and technology.

Britain’s business minister Greg Clark said the government was doing all it can to meet that goal.

“We are determined to realize that ambition,” he said.

($1 = 0.7952 pounds)

Reporting by Costas Pitas; editing by Michael Holden and Jane Merriman

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