Tag: production (Page 13 of 17)

Lincoln Electric SUV to use Ford-backed Rivian ‘Skateboard’ Chassis

November 28, 2019 / WIL BALDWIN

DETROIT — A battery-powered Lincoln SUV, due in mid-2022, will be the first Ford Motor Co. vehicle built on a custom electrified chassis that resembles a skateboard, which was developed by Ford-backed startup Rivian, according to several people familiar with the program.

The all-wheel-drive Lincoln SUV could compete against Rivian’s R1S, an electric sport utility vehicle slated to go into production in early 2021 that will be priced from $72,500. Both models will use Rivian’s so-called skateboard, a flexible platform that combines electric motors, batteries, controls and suspension.

On Tuesday, Ford declined to comment. Rivian did not respond to a request for comment.

The new Lincoln, which carries the internal program code U787, also could compete with premium offerings from others, including General Motors Co, which plans to introduce at least two new electric SUVs by 2023, one for Cadillac and one that could revive the Hummer name, sources have said.

Ford invested $500 million in Rivian this year and plans to help it begin production next year at a former Mitsubishi plant in Normal, Illinois.

When Ford made the investment, it said it would use Rivian’s skateboard to develop its own electric vehicle, but did not disclose details.

It is not clear where Ford intends to build the Lincoln SUV, which will be among the first of several battery-powered utility vehicles planned for Ford’s premium brand in North America and China, according to supplier sources familiar with those programs who asked not to be identified.

Ford expects to introduce a compact Lincoln electric crossover in late 2021 or early 2022 and a mid-size companion in 2023, the sources said.

The U.S. auto industry plans to invest billions of dollars over the next few years to build all-electric pickups and SUVs, sectors of the market that have been among the most profitable, especially for Detroit-based automakers.

But analysts have questioned whether demand from consumers and commercial customers will come close to matching production.

Founded in 2009, Rivian has raised $1.9 billion from investors, including e-commerce giant Amazon, which has ordered 100,000 electric delivery vehicles from Rivian. The first Amazon vans will be built in Normal and are to be delivered in 2021.

Ford aims to sell an electric F-series pickup in late 2021, sources have said. It also will offer the electric Mustang Mach E SUV next year as part of plans to invest $11.5 billion by 2022 electrifying its vehicles.

Boeing 737 MAX 10 Makes its Debut

November 23, 2019 / WIL BALDWIN

RENTON, Wash., Nov. 22, 2019 – Boeing [BA] marked a key milestone as thousands of employees gathered for the debut of the first 737 MAX 10 at the company’s Renton, Washington factory. During a ceremony, Boeing leaders highlighted the team’s accomplishments and recognized their efforts in completing production of the newest member of the 737 MAX family.

“Today is not just about a new airplane. It’s about the people who design, build and support it,” said Mark Jenks, vice president and general manager of the 737 program. “This team’s relentless focus on safety and quality shows the commitment we have to our airline customers and every person who flies on a Boeing airplane.”

The 737 MAX 10, the largest variant of the MAX family, can seat up to 230 passengers and offers the lowest seat-mile cost of any single-aisle airplane ever produced. The airplane will now undergo system checks and engine runs prior to first flight next year.

“I’m honored to take this airplane on its first flight and show the world what you’ve put your heart and soul into,” 737 Chief Pilot Jennifer Henderson told the employee crowd.

The 737 MAX 10 currently has more than 550 orders and commitments from more than 20 customers around the globe.

Tesla Unveils Electric Pickup Truck with Futuristic Design

November 22, 2019 / WIL BALDWIN

Click to make your fully refundable $100 Tesla deposit

Starting price of $39,900
Most expensive version offers a range of more than 500 miles
Production expected to begin in late 2021 (Recasts and writes through)

Nov 21 (Reuters) – Tesla Inc on Thursday unveiled its first electric pickup truck that looked like a futuristic angular armored vehicle in gunmetal gray, as the California company took aim at the heart of Detroit automakers’ profits.

At a launch event in Los Angeles, Tesla Chief Executive Elon Musk said the Cybertruck will have a starting price of $39,900 and production is expected to begin in late 2021.

Other versions will be priced at $49,900 and $69,900 with the most expensive offering a range of more than 500 miles.

“We need sustainable energy now. If we don’t have a pickup truck, we can’t solve it. The top 3 selling vehicles in America are pickup trucks. To solve sustainable energy, we have to have a pickup truck,” he said.

The truck, which Musk claimed “won’t scratch and dent”, was described as having windows made from armored glass. But the glass cracked like a spider web when hit with a metal ball during a demonstration. Musk appeared surprised but noted that the glass had not completely broken.

Reactions on Twitter ranged from love to hate of the sharply angled vehicle. “I just watched tesla release the #cybertruck and honestly? My life feels complete,” wrote @aidan_tenud, while @nateallensnyde wrote “Its nice to see Elon Musk make a cardboard box car he drew in kindergarten,”.

Musk earlier tweeted the design was partly influenced by the Lotus Esprit sportscar that doubled as a submarine in the 1970s 007 film “The Spy Who Loved Me”.

The truck marks the first foray by Tesla, whose Model 3 sedan is the world’s top-selling battery electric car, into pickup trucks, a market dominated by Ford Motor Co’s F-150, along with models by General Motors Co, and Fiat Chrysler Automobiles NV .

The pickup shifts Tesla more toward trucks and SUVs. The automaker has so far sold mostly Model S and Model 3 sedans, but also offers the Model X SUV and starting next year the Model Y compact SUV.

A focus on the high-performance end of the market is only natural given the success of Ford’s 450-horsepower F-150 Raptor truck, which launched in 2009 and whose sales have since risen annually, according to Ford spokesman Mike Levine.

While Ford does not disclose Raptor sales, Levine said annual demand is well above 19,000 vehicles and the No. 2 U.S. automaker has never had to offer incentives on the model, which costs in the high $60,000 range. Ford also offers the more expensive F-150 Limited, its most powerful and luxurious pickup.

Ford and GM are also gearing up to challenge Tesla more directly with new offerings like the Ford Mustang Mach E electric SUV as well as electric pickups.

Electric pickups and SUVs could help Ford and GM generate the significant EV sales they will need to meet tougher emission standards and EV mandates in California and other states.

The Trump administration is moving to roll back those standards, but electric trucks are a hedge if California prevails.

Demand for full-size electric pickup trucks in the near term may not be huge, however.

Industry tracking firm IHS Markit estimates the electric truck segment – both full- and mid-sized models – will account for about 75,000 sales in 2026, compared with an expected 3 million light trucks overall. The Tesla truck is not part of that estimate.

Ford aims to sell an electric F-series in late 2021, sources familiar with the plans said. It also will offer the Mach E next year as part of its plan to invest $11.5 billion by 2022 to electrify its vehicles.

In April, Ford invested $500 million in startup Rivian, which plans to build its own electric pickup beginning in fall 2020.

GM plans to build a family of premium electric pickup trucks and SUVs, with the first pickup due to go on sale in the fall of 2021. It plans to invest $8 billion by 2023 to develop electric and self-driving vehicles.

(Reporting by Naomi Tajitsu in Tokyo and Peter Henderson in San Francisco; Additional reporting by Miyoung Kim in Singapore and Joseph White in Detroit; Editing by Edwina Gibbs)

Mitsubishi Heavy Industries has Skills to Build Airbus Wings

November 20, 2019 / WIL BALDWIN

NEW YORK (Reuters) – Mitsubishi Heavy Industries Ltd <MHVYF> is confident that it has the technical and production know-how to build high-tech wings for Airbus SE <EADSY> jetliners, the chief executive of the Japanese conglomerate said on Wednesday.

MHI developed sophisticated production processes at its facility in Nagoya in the process of building wings for the Boeing Co <BA> 787 Dreamliner, Chief Executive Seiji Izumisawa said in an interview.

“We have accumulated expertise in producing aerostructures as a tier 1 supplier, so if the opportunity does present itself we will certainly be willing to consider it,” he said.

It is not yet clear whether Airbus plans to outsource wings on future jets, such as its next-generation single-aisle aircraft, which could come out in about a decade.

Such future work would be important to MHI in part because of Boeing’s decision to bring wing production back in-house on its latest jet, the 777X.

“We do have the capability to produce some pretty complicated components,” said Izumisawa, who said he was involved in developing the 787 wings.

(Reporting by Alwyn Scott; Editing by Sonya Hepinstall)

FILE PHOTO: The logo of Mitsubishi Heavy Industries is seen at the company’s Sagamihara plant in Sagamihara, Japan

Tesla Sedans Regain Consumer Reports Recommended Status

November 14, 2019 / WIL BALDWIN

DETROIT (Reuters) – Tesla Inc’s <TSLA> Model 3 and S sedans both regained “recommended” status in Consumer Reports magazine’s annual reliability survey, allowing the electric carmaker’s overall standing to rise slightly.

Tesla’s ranking improved four spots to No. 23 out of 30 brands in the U.S. market as it worked to resolve production problems with the Model 3, said Jake Fisher, senior director of auto testing at Consumer Reports. Both the Model 3 and S raised their reliability ratings to “average.”

“People really like their cars,” he said of Tesla owners. “Hopefully, if that frantic rate of change can slow down a bit, they can maintain reliability.”

Tesla has touted the popularity of the Model S, listed in the top ranks of a different Consumer Reports survey, on owner satisfaction, every year since 2013 when the carmaker was first included.

Fisher cautioned he expected Tesla’s reliability to remain fluid given its inconsistent track record.

Tesla’s Model X SUV still ranks among the least reliable models, according to the annual survey released on Thursday.

The poll predicts which new cars will give owners fewer or more problems, based on data collected for more than 400,000 vehicles. Its scorecard is influential among consumers and industry executives.

Reliability rankings tend to suffer when automakers offer new or redesigned models, which dragged down Volkswagen AG’s <VWAGY> namesake and Audi brands. The VW brand slid nine spots to No. 27, while Audi fell seven spots to No. 14.

Brands with no major changes to their lineups, such as Fiat Chrysler Automobiles’ <FCAU> Dodge and Chrysler, made significant gains. Dodge was the highest ranked U.S. brand at No. 8, making the biggest gain of 13 spots. Chrysler rose seven spots to No. 19, while Jeep finished at No. 26.

Ford Motor Co’s <F> Lincoln and Ford brands were No. 15 and 16, while General Motors Co’s <GM> Buick, GMC, Chevrolet and Cadillac brands ranked No. 18, 22, 25 and last at 30, respectively.

The reliability of full-sized pickups, the most popular vehicles in the U.S. market, was weak. Ford’s F-150 and FCA’s Ram trucks were rated “well below average,” while GM’s pickups – the Chevrolet Silverado and GMC Sierra – both had “below average” reliability.

Toyota Motor Corp’s <TM> Lexus luxury brand finished atop the survey, followed by Mazda Motor Corp <MZDAY> and the Toyota brand.

(Reporting by Ben Klayman in Detroit; Editing by Richard Chang)

Airbus Says Could Stretch A220 Airliner

November 12, 2019 / WIL BALDWIN

FILE PHOTO: A model of the Airbus A220-300 aircraft is seen at a media event at Indira Gandhi International Airport in New Delhi

OTTAWA (Reuters) – Airbus SE’s <EADSY> Canadian-designed A220 narrowbody jet has the potential to be stretched to carry more passengers but the company has no current plans to do so, a top executive said on Tuesday.

Air France KLM SA <AFLYY>, which has a firm order for 60 A220 jets, has expressed interest in a larger variant of the plane. The A220-100 model can carry from 100-120 passengers while the larger A220-300 takes from 120-150.

In a presentation to investors, Air France KLM last week posted a slide referring to a larger A220-500 plane.

“It’s no secret that the aircraft has potential to be stretched, potential to grow,” said Philippe Balducchi, head of an Airbus-led venture which took over production of the airliner in July 2018.

Airbus’ first responsibility was to make sure the two existing planes become established in the marketplace, he told Reuters on the sidelines of an aviation conference. After that the firm would decide how to develop its planes.

“Will (there) be an A220-500 or not? I cannot tell you that today. It’s definitely not my priority but there is the potential – we will see,” said Balducchi.

Montreal-based Bombardier <BDRBF> originally drew up designs for the airliner some 15 years ago but sold Airbus a 50.01 percent stake for a token fee of one Canadian dollar in 2018 after sluggish sales and low production rates pushed the program well over budget.

Balducchi sidestepped questions as to whether Airbus would buy Bombardier’s 33.58% minority stake, saying that was a decision for shareholders.

“I think Airbus is comfortable with the situation today,” said Balducchi.

Under the terms of the 2018 deal, Bombardier could oblige Airbus to acquire its stake in the program in 2026 for market value. Airbus could also oblige Bombardier to sell the stake.

Bombardier Chief Executive Alain Bellemare recently said the company is “looking at all options” regarding its stake, while specifying that such a decision “is not for today.”

The Canadian province of Quebec continues to hold a 16.41% stake in the program.

(Additional reporting by Allison Lampert in Montreal; Editing by Sonya Hepinstall)

Germany to Hike Electric Car Subsidies as VW Launches Car

November 4, 2019 / WIL BALDWIN

– Germany to expand electric car infrastructure

– German Chancellor asks industry to help with charging

– Volkswagen unveils start of production of its ID.3 electric car

BERLIN, Nov 4 (Reuters) – Germany plans to increase by half the grants available to buyers of electric cars over the five years from 2020, according to a government document seen by Reuters, the latest in a series of measures to speed the adoption of low-emissions vehicles.

According to the document, due to be discussed at a meeting of high-level government and car-company officials on Monday evening, grants for plug-in hybrids will rise from 3,000 to 4,500 euros. For vehicles priced over 40,000 euros the grants will rise to 5,000 euros.

The government wants to have 10 million electric vehicles on the roads by 2030, part of an offensive designed to turn round the German car industry’s perceived laggard status in e-mobility compared to its rivals in the United States and China.

The paper came to light on the day that Chancellor Angela Merkel gave a speech at Volkswagen’s Zwickau factory, where the German watched the carmaker start mass production of its ID.3 electric car, a vehicle costing around 30,000 euros.

“We can now say that Zwickau is a pillar of today’s German auto industry and of its future,” Merkel said at the launch. “Our task as politicians is to create a framework where new technological innovations can take hold.”

Merkel said the government would invest 3.5 billion euros ($3.90 billion) to 2035 in building charging stations for electric cars.

On Sunday she had said Germany needed 1 million charging stations by 2030 and urged carmakers and utility companies to play their part in helping to build the necessary infrastructure.

As part of an auto industry push, BMW plans to build 4,000 electric car charging stations, a source familiar with the discussions said on Monday.

In September, at the Frankfurt auto show, Europe’s carmakers warned governments that the EU rules could be disastrous for profits and jobs because mainstream customers were not buying electric vehicles.

German carmakers are accelerating plans to launch electric vehicles, under pressure from a European Union mandate to deliver a 37.5% cut in carbon dioxide emissions between 2021 and 2030, on top of a 40% cut in emissions between 2007 and 2021.

($1 = 0.8970 euros)

(Reporting by Markus Wacket in Berlin and Joern Poltz in Munich, writing by Thomas Escritt and Edward Taylor; editing by Paul Carrel)

Pentagon And Lockheed Martin Reach Agreement Reducing F-35A Cost By 12.8 Percent

November 2, 2019 / WIL BALDWIN

U.S. Air Force F-35A Lightning II Joint Strike Fighters from the 58th Fighter Squadron, 33rd Fighter Wing, Eglin AFB, Fla. perform an aerial refueling mission with a KC-135 Stratotanker from the 336th Air Refueling Squadron from March ARB, Calif., May 14, 2013 off the coast of Northwest Florida. The 33rd Fighter Wing is a joint graduate flying and maintenance training wing that trains Air Force, Marine, Navy and international partner operators and maintainers of the F-35 Lightning II. (U.S. Air Force photo by Master Sgt. Donald R. Allen/Released)

FORT WORTH, Texas, Oct. 29, 2019 /PRNewswire/ — The F-35 Joint Program Office and Lockheed Martin (NYSE: LMT) finalized a $34 billion agreement for the production and delivery of 478 F-35s at the lowest aircraft price during the history of the Program. This contract includes all U.S., International Partners and Foreign Military Sales aircraft in Lots 12, 13 and 14.

In the agreement, the F-35 Enterprise meets and exceeds its long-stated cost reduction targets for each variant – and the F-35A unit price, including aircraft and engine, is now below $80 million in both Lot 13 and Lot 14, the F-35A unit cost represents an estimated overall 12.8 percent reduction from Lot 11 costs for the conventional landing variant, and an average of 12.7 percent savings across all three variants from Lot 11 to 14.

“Driving down cost is critical to the success of this program. I am excited that the F-35 Joint Program Office and Lockheed Martin have agreed on this landmark three-lot deal. This agreement achieves an average 12.7 percent cost reduction across all three variants and gets us below $80 million for a USAF F-35A by Lot 13 – one lot earlier than planned,” said Air Force Lt. Gen. Eric Fick, F-35 Program Executive Officer. “This $34 billion agreement is a truly historic milestone for the F-35 Enterprise.”

The agreement includes 291 aircraft for the U.S. Services, 127 for F-35 International Partners, and 60 for F-35 Foreign Military Sales customers. Price details include:

“With smart acquisition strategies, strong government-industry partnership and a relentless focus on quality and cost reduction, the F-35 Enterprise has successfully reduced procurement costs of the 5th Generation F-35 to equal or less than 4th Generation legacy aircraft,” said Greg Ulmer, Lockheed Martin, F-35 Program vice president and general manager. “With the F-35A unit cost now below $80 millionin Lot 13, we were able to exceed our long-standing cost reduction commitment one year earlier than planned.”

The sub $80 million unit recurring flyaway cost for an F-35 represents an integrated acquisition price for the 5^th Generation Weapon System. With embedded sensors and targeting pods, this F-35 unit price includes items that add additional procurement and sustainment costs to legacy 4^th Generation aircraft.

Program Progress

With more than 450 aircraft operating from 19 bases around the globe, the F-35 is playing a critical role in today’s global security environment. More than 910 pilots and 8,350 maintainers have been trained, and the F-35 fleet has surpassed more than 220,000 cumulative flight hours. Eight nations have F-35s operating from a base on their home soil and seven Services have declared Initial Operating Capability.

In addition to strengthening global security and partnerships, the F-35 provides economic stability to the U.S. and International Partners by creating jobs, commerce and security, and contributing to the global trade balance. The F-35 is built by thousands of men and women in America and around the world. With more than 1,400 suppliers in 46 states and Puerto Rico, the F-35 Program supports more than 220,000 direct and indirect jobs in the U.S. alone. The Program also includes more than 100 international suppliers, creating or sustaining thousands of jobs.

Honeywell Forecasts 7,600 New Business Jet Deliveries Over Next Decade

October 20, 2019 / WIL BALDWIN

– 28th annual Global Business Aviation Outlook projects 2020 deliveries to be higher than 2019 as new models enter service

– Five-year purchase plans for new business jets down slightly, but plans to buy used jets grow significantly

– Long-range forecast predicts healthy market with steady annual growth

LAS VEGAS, Oct. 20, 2019 /PRNewswire/ — The business jet industry is expected to see strong growth in the short to medium term, supported by several new airplane models coming to the market, according to Honeywell’s (HON) 28th annual Global Business Aviation Outlook. Released today, the Global Business Aviation Outlook forecasts up to 7,600 new business jet deliveries worth $248 billion from 2020 to 2029, down 1 to 2 percentage points from the 2018 10-year forecast.

Honeywell Logo. (PRNewsFoto/Honeywell) (PRNewsfoto/Honeywell)

“Production ramp up on many new business jet platforms are expected to lead to a 7% increase in deliveries in 2020, following a strong projected growth in 2019 over 2018 aircraft deliveries,” said Heath Patrick, president, Americas Aftermarket, Honeywell Aerospace. “We are confident that these new and innovative aircraft models will support solid growth in the short term and have a continuing impact on new business jet purchases in the midterm and long term.”

Key findings in the 2019 Honeywell global outlook include:

Operators plan to make new jet purchases equivalent to about 17% of their fleets over the next five years as replacements or additions to their current fleet, a decrease of 3 percentage points compared with 2018 survey results.
Of the total purchase plans for new business jets over the next 5 years, 35% are expected to occur in the first two years of the survey, with 57% of purchase plans realized by year three. This is 5 percentage points higher than last year’s survey.
Operators continue to focus on larger-cabin aircraft classes, from large cabin through ultralong-range aircraft, which are expected to account for more than 71% of all expenditures of new business jets in the next five years.

Click the link to view the full story from PRNewswire! https://www.prnewswire.com/news-releases/honeywell-forecasts-7-600-new-business-jet-deliveries-over-next-decade-valued-at-248-billion-300941512.html

Sikorsky Showcases New Combat Rescue Helicopter

October 11, 2019 / WIL BALDWIN

WEst Palm beach, Fla., Oct. 11, 2019 – Sikorsky, a Lockheed Martin company (NYSE: LMT), showcased the next generation Combat Rescue Helicopter (CRH) during a ceremony at its Development Flight Center in West Palm Beach, Florida, this week.

View the video from the event. View the CRH b-roll.

During the event, United States Air Force General James M. Holmes, Commander, Air Combat Command, Joint Base Langley-Eustis, Virginia (91) described the HH-60W helicopter as critical took for the warfighter.

“I want to say thanks to everyone from Sikorsky for your dedication to your craft, for consistently living up to your mission statement of pioneering flight solutions that bring people home everywhere every time. And that partnership is incredibly valuable to us and the guys on the ground,” Gen. Holmes said. “We’re proud to work with you to deliver the most intuitive, precise, technologically advanced systems to our airmen.”

Other dignitaries attending the event included Dr. Will Roper, Assistant Secretary of the Air Force for Acquisition, Technology and Logistics and Rep. Brian Mast (R-FL) from Florida’s 18^th District.

Prepared for Production

The achievement of the Milestone C production decision on Sept. 24 launched the contract award known as Low Rate Initial Production for Sikorsky to build 10 CRH helicopters.

The U.S. Air Force program of record calls for 113 helicopters to replace the HH-60G PAVE HAWK™, which perform critical combat search and rescue and personnel recovery operations for all U.S. military services.

“The Combat Rescue Helicopter is the new era in Air Force aviation and a pivotal milestone that ties to our company’s legacy of bringing people home,” said Sikorsky President Dan Schultz. “Sikorsky employees and our nationwide supply chain are ready to begin producing, delivering and supporting this all-new aircraft for the warfighter.”

The HH-60W Combat Rescue Helicopter is significantly more capable and reliable than its predecessor, the HH-60G.The aircraft hosts a new fuel system that nearly doubles the capacity of the internal tank on a UH-60M BLACK HAWK®, giving the Air Force crew extended range and more capability to rescue those injured in the battle space. The HH-60W specification drives more capable defensive systems, vulnerability reduction, hover performance, electrical capacity, avionics, cooling, weapons, cyber-security, environmental and net-centric requirements than currently held by the HH-60G.

“We send in brave men and women who are going to find a way to get the job done,” Dr. Roper said. “But they’ll tell you about flying in and not being certain that they could land safely or putting the broad side of their vehicle between a downed pilot and gunfire. When you hear those stories, you realize that we put heroes on these vehicles. We pick up heroes in these vehicles and they deserve every technology advantage we can give them.”

Training Systems

On Sept. 19, four pilots and four special mission aviators from the U.S. Air Force graduated from the Sikorsky Training Academy’s S-70i Transition Course. As previously qualified HH-60G Pave Hawk crews, the students learned about the unique systems and operating capabilities of the Sikorsky S-70i. During the four-week course, they each spent seven hours using a procedural trainer, 10 hours in a full-motion flight simulator and 10 hours of flight time in the S-70i aircraft.

To ensure mission readiness, Lockheed Martin will deliver a custom-tailored training system consisting of flight simulators, procedural and maintenance trainers and accompanying courseware.

In 2020, Lockheed Martin will train 200 U.S. Air Force and maintenance aircrew students at our Sikorsky Training Academy in Stuart, Fla. utilizing training systems and three newly built HH-60W aircraft. This will provide flight and maintenance training to initial cadre and units allowing the U.S. Air Force to remain vigilant while simultaneously fielding and employing the added capabilities of the HH-60W aircraft.

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