World Auto News 2/7/2023, From The Editor's Of The Auto Channel

Confidential, Not for reproduction, format and concept are sole property of The Auto Channel LLC. A Hybrid newsletter created by and for sole benefit of The Auto Channel LLC

2/7/2023 Car News Clues By Country (First Edition First Volume)

Global:
On February 7, 2023, there were a number of news stories related to the global car industry. According to Automotive News, auto sales in Asia and the Middle East were strong in January, with robust growth in Japan, China, South Korea, and India. Meanwhile, in the US, sales of electric vehicles were up 28.6 percent year-over-year in January, as automakers continue to invest heavily in the technology to meet increased consumer demand. Additionally, Reuters reported that the global automotive industry is facing a semiconductor chip shortage due to increased demand, with the shortage expected to continue throughout 2021. Finally, Automotive News also reported on a new survey released by the National Automobile Dealers Association that showed car dealers are expecting a strong year in 2021, with sales projected to reach pre-pandemic levels by the end of the year.

United States:
According to World News on February 7, 2023, the car maker industry in the USA is facing a number of challenges. Reports indicate that US auto sales fell by almost 8% in 2020, due to the impact of the COVID-19 pandemic. Additionally, the industry is being hit by the rising costs of raw materials, as well as the shift to electric and self-driving vehicles. As a result, many car makers are cutting jobs and closing factories. Despite this, the industry is still expected to grow over the coming years, largely due to the increasing demand for electric vehicles.

Canada:
On February 7, 2023, Canada's car makers announced new investments in their automotive production and research facilities, with a focus on developing new electric and autonomous vehicle technology. This includes a $1 billion investment from General Motors to build a new electric vehicle production facility in Oshawa, Ontario. Ford also announced it is investing $1.8 billion to expand its production facilities in Oakville, Ontario, with a focus on developing electric and hybrid vehicles. Lastly, Fiat Chrysler Automobiles announced it is investing $1.5 billion to build a new electric vehicle plant in Windsor, Ontario. These investments are part of Canada's efforts to reduce emissions by 30% below 2005 levels by 2030 and move towards a zero-emission future.

Mexico:
On February 7, 2023, news outlets reported that the US-Mexico-Canada Agreement (USMCA) has been revised to make Mexico's labor laws more favorable to the auto industry. The agreement also encourages more auto production in North America [1]. Several automakers, such as Ford Motor Company and General Motors, have already announced plans to expand their production in Mexico, citing the new USMCA as the reason. Additionally, the USMCA has resulted in a surge in investment into Mexico, as many automakers are looking to build new factories and upgrade existing ones.

Japan:
On February 7, 2023, the Japan Automobile Manufacturers Association (JAMA) released its annual production report, showing that the domestic market produced an estimated 8.6 million vehicles in 2020, down 8.2% from 2019. This marks the third consecutive year of decline in domestic production. The decline was mainly due to the effects of the COVID-19 pandemic, with production dropping in all major product categories. Passenger cars, trucks, and buses all saw decreases from 2019. In addition, the Japan Automobile Dealers Association (JADA) reported that new vehicle sales in Japan in 2020 fell by 10.4% from the previous year to 4.4 million units. This is the third consecutive year of decline in the Japanese market. The Japan Automotive Industry Association (JAIA) reported that exports of Japanese vehicles in 2020 dropped by 10.9% from 2019 to 5.2 million units. This is the fourth consecutive year of decline in exports.

Germany:
There have been a number of recent developments in the car industry in Germany on 2/7/2023. For instance, German car parts supplier Schaeffler announced plans to cut up to 10,000 jobs, while Volkswagen announced it would invest €10 billion in electric vehicles over the next five years. Additionally, BMW announced it will close its plant in the city of Munich, and Daimler said it will cut administrative jobs in Germany. Furthermore, the German government announced plans to make electric cars more affordable with incentives and subsidies, as well as an electric car quota for car manufacturers.

South Korea:
On February 7, 2023, South Korea's Hyundai Motor Company announced the launch of its new IONIQ 5-based robotaxi service Continued...