Sun, Jul. 19, 9:43 AM
- Major automakers face pressure from a drop in demand in China amid economic weakness. Deliveries turned negative in June for the first time since February of 2013 and the China Association of Automobile Manufacturers now expects industry sales growth of 3% vs. a prior forecast of 7%. Vehicle sales were up 1.4% to 11.85M units during 1H.
- Volkswagen (OTCQX:VLKAY) relies on China for half of its net profit and 71% of free cash flow. Credit Suisse notes the China factor gives the German automaker the punch to make a dividend possible.
- General Motors (NYSE:GM) churned up 40% of its new income and 20% to 30% of its operating cash flow from China, according to an estimate from Barclay tied to its downgrade of GM earlier in the week. Goldman Sachs and Buckingham Research have also recently cut profit estimates on GM.
- Ford (NYSE:F) cut its sales outlook for the China auto market to 24M-26M vehicles after Q1. The company could revise the broad forecast lower again with its Q2 report on July 28 and reset its own sales expectations.
- There's been some pricing cuts by the Japanese automakers (OTCPK:NSANY, TM, HMC, OTCPK:MZDAY, OTCPK:SZKMY, OTCPK:FUJHY, OTCPK:MMTOF) and German high-end sellers (OTCPK:BAMXY, OTCPK:DDAIF) as they adjust to the "new normal" in China.
- Tesla Motors (NASDAQ:TSLA) is still trying to get out of first gear in China. The reception to the Model X debut next year and the impact of EV subsidies are key factors.
- Domestic automakers (OTC:CQCAF, OTCPK:GWLLF, OTCPK:GWLLY, OTCPK:GELYF, OTCPK:GELYY, OTCPK:BYDDY, OTCPK:BYDDF, OTCPK:DNFGY, OTCPK:DNFGF) have increased market share in China this year in key segments, but are feeling the same pinch from the drop in expected overall demand.
Thu, Jul. 16, 7:32 AM
- BMW (OTCPK:BAMXY) car registrations +15.2% to 91,962 units in June, according to the European Automobile Manufacturers Association.
- Overall EU registrations +14.8% Y/Y to 1,413,911 units in June to mark the strongest month-over-month increase since December of 2009.
- BMW market share: 6.5% vs. 6.5% a year ago.
- BMW YTD registrations +11.9%.
- Results include the BMW and Mini brands.
- EAMA release (.pdf)
Mon, Jul. 13, 12:35 PM
- BMW (OTCPK:BAMXY) issues a confident outlook on China despite a jarring profit warning out today from joint venture partner Brilliance China Automotive (OTCPK:BCAUF, OTCPK:BCAUY).
- The JV makes the X1 compact SUV and 3-series model for sale in the nation.
- Brilliance cited higher production costs as a negative factor for its profit expectations in a statement to the Hong Kong Stock Exchange.
Thu, Jul. 9, 11:49 AM
- BMW (OTCPK:BAMXY) reports global deliveries rose 8% in June to 208,813 units.
- Sales by brand: BMW +5.05 to 172,437 units; Mini +25.4% to 36,025 units; Rolls-Royce -10% to 351; BMW Motorrad +31% to 15,490.
- Strong demand in South Korea and Japan is helping to offset a slower-than-anticipated track for BMW in China.
- YTD deliveries +7.8% to 1,099,748 units.
Thu, Jul. 9, 11:04 AM
- Automobile deliveries fell 3.2% to 1.43M units in June, according to figures released by the China Passenger Car Association.
- It's the first time since February of 2013 that monthly sales have fallen in the nation.
- Chinese automakers and OTC:CQCAF, OTCPK:GWLLF, OTCPK:GWLLY, OTCPK:GELYF, OTCPK:GELYY, OTCPK:BYDDY, OTCPK:BYDDF, OTCPK:DNFGY, OTCPK:DNFGF and foreign sellers including BMW (OTCPK:BAMXY), Volkswagen (OTCQX:VLKAY), Tata Motors (NYSE:TTM), and Peugeot (OTCPK:PEUGF) were aiming higher than the current pace of sales.
Thu, Jul. 9, 4:10 AM
- With rival offers unraveling, Germany's big car makers have reached a stand-off with Nokia (NYSE:NOK) in their joint bid to buy the latter's maps business HERE, Reuters reports.
- BMW (OTCPK:BAMXY), Daimler (OTCPK:DDAIY) and Volkswagen (OTCQX:VLKAY) are feeling less pressure to pay a high price for HERE, amid signs that rival bidders such as Uber (Pending:UBER) have dropped out of the race.
- Analysts estimate the value of the mapping unit at €2B-€4B.
- Previously: Bloomberg: Nokia wants to sell HERE to German automakers for ~$4B (Jun. 18 2015)
Mon, Jun. 29, 9:18 AM
- BMW (OTCPK:BAMXY) and Toyota (NYSE:TM) have shifted up a gear on their project to develop a midsize sports car together.
- The alliance between the two automakers dates back to 2013 and includes a separate initiative to share research on fuel cell technology.
- An increase in shared platforms between major automakers has been a major theme this year of Fiat Chrysler CEO Sergio Marchionne.
Thu, Jun. 25, 1:55 AM
- Ford (NYSE:F) is not the only one jumping into the car-sharing space. General Motors (NYSE:GM) and BMW (OTCPK:BAMXY) have now announced Airbnb-style schemes, which will allow car owners to earn money by renting out their new vehicles to other drivers.
- "Society and the automotive industry are undergoing radical change," said Peter Schwarzenbauer, member of the BMW board for the British brands Mini and Rolls-Royce.
- Previously: Ford joins car-sharing business (Jun. 24 2015)
Tue, Jun. 16, 7:55 AM
- BMW (OTCPK:BAMXY) car registrations +7.9% to 72,493 units in May, according to the European Automobile Manufacturers Association.
- Overall EU registrations +1.3% Y/Y to 1,109,893 units in May with demand strong in Poland, Czech Republic, Italy, and Spain.
- BMW market share: 6.3% vs. 5.9% a year ago.
- BMW YTD registrations +11.0%.
- Results include the BMW and Mini brands.
- EAMA release (.pdf)
Tue, Jun. 16, 7:19 AM
- Germany is expected to make a decision by the end of the year if it will provide major incentives for the electric vehicle industry to reach a goal of one million EVs on German roads by the end of the decade.
- The nation faces some pressure from an European Union mandate to help automakers cut vehicle fleet emissions to 95 grams/km by 2021.
- "Germany will have no choice but to offer further support (for EVs) although we've already done some things," noted Chancellor Angela Merkel at an EV conference.
- Related stocks: OTCPK:BAMXY, OTCPK:DDAIF, TSLA, OTCQX:VLKAY.
Fri, Jun. 12, 7:39 AM
Thu, Jun. 11, 3:15 PM
- BMW (OTCPK:BAMXY) and Baidu (NASDAQ:BIDU) plan to start road testing a self-driving car the two companies are developing together later this year.
- The partners aim to create a prototype that can be taken out on highways in Beijing and Shanghai.
- Some automobile industry watchers think self-driving cars will be used for commercial purposes (delivery, shuttles, taxis) before being produced for the mass-market segment.
- Google is now building its own self-driving protoypes after relying on Lexus and Toyota models previously.
Sat, Jun. 6, 11:50 AM
- Funding for electric vehicle incentive programs is in jeopardy in some states, according to a breakdown by Automotive News.
- Illinois recently suspended its Alternate Fuels Rebate Program due to fiscal reasons, while several other states appear likely to let EV funds run out with no plans to reload.
- Industry groups such as the Electrification Coalition are pushing legislators to continue the programs until consumer awareness on EVs is elevated and infrastructure is built out.
- Related stocks: OTCPK:NSANY, OTCPK:BAMXY, TSLA, GM, TM.
- Previously: Electric vehicle demand steady as long-term forecasts debated (June 5)
Fri, Jun. 5, 10:34 AM
- Electric vehicles sales in the U.S. are tracking almost even with last year's pace after five months.
- An increase in advertising and key price cuts on some models contributed to a M/M boost in demand in May, according to analysts.
- There's also the ZEV factor as automakers balance EV production levels against government mandates.
- Despite the sluggish pace of EV sales over the last year, a fresh report from Navigant Research estimates 1.1M plug-in electric vehicle sales by 2024 as more models are introduced with extended ranges and mass-market pricing.
- TrueCar estimates several models will sell over 100K per year after the 200-mile range threshold is crossed.
- Though the Tesla Motors (NASDAQ:TSLA) Model 3 and General Motors (NYSE:GM) Bolt are the models given the best chance by some analysts to put out large volume numbers, Nissan (OTCPK:NSANY) is also waiting in the wings with a second-gen Leaf and Infiniti EV.
- Early demand for the BMW (OTCPK:BAMXY) i3 has surprised on the upside which may reinforce the German automaker's ambition in the segment.
- Ford (NYSE:F) and Toyota (NYSE:TM) are adopting a nimble strategy with EV production which may pay off in the long term.
Wed, Jun. 3, 7:38 AM
- BMW (OTCPK:BAMXY) unveils the BMW X1 SUV which will be sold in the U.S. this fall.
- The automaker switched to a front-wheel drive architecture for the second version of the SUV model.
- Significant advances in the connected car features are also a significant selling point for the new X1.
- Cadillac, Audi, and Mercedes-Benz are all introducing new models in the red-hot luxury crossover/SUV segment.
- Car and Driver review
Tue, Jun. 2, 1:51 PM
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