The Czech Republic is on course to produce 250,000 less cars this year according to Reuters. Driven by continuing chip shortages, production is on track to be lower than during the height of the Covid-19 pandemic, fueled by the market’s largest producer, VW, who have previously said they would limit production and shut down plants until the end of the year. Automotive manufacturing makes up 35% of the Czech economy, employing 120,000 people, producing 1.3million units per year and drives most major leasing and contract hire markets in Western Europe. Read more about the store here.
Rivian aims to raise as much as $8 billion with an IPO listing
Rivian, the electric vehicle manufacturer, who is backed by Amazon, is aiming to raise between $5bn and $8bn through their IPO according to Reuters. Proceeds from their IPO look set to fuel expansion away from their plant in Illinois. If Rivian, dubbed the ‘Tesla Killer’ by some, hit their targets, it would make it the fourth largest offering in the past decade in the US. Read more here.
Toyota to cut global production by 40%
The global semiconductor shortage that has impacted products from iPhones to Playstations has further impacted vehicle production. According to the BBC, Toyota, the world’s biggest car marker, has forecast 40% less vehicles to be produced in September, reducing output from 900,000 to 540,000. Last week, Volkswagen also warned that the supply of chips in Q3 may be “volatile and tight” leading to a follow on from their production cuts earlier in the year. Read more here.
Ford Announces Their All-Electric F150 Lightning
The Ford F150 has been the top selling vehicle in any category in the US for decades. Commentators are calling this the most significant EV launch since the Tesla Model S and it is firmly targeted at US consumers while demonstrating Ford’s intention to electrify its whole range. The OEM is promising is promising a driving range of up to 230 miles on the standard battery and 300 miles for the extended model. Click here for more details.
From 2025, Mercedes-Benz Will Be “Emission-Free & Software Driven”
Over the weekend, Mercedes-Benz announced their plans to move to an “emission-free and software driven” future. By 2022, the OEM will have battery electric vehicles (BEV) in all segments and from 2025 onwards, all newly launched vehicle architectures will be electric-only and customers will be able to choose an all-electric alternative for every model the company makes. Click here to read their press release.
White House Officials Brokering Deals To Increase Automotive Chip Production
Autonews.com are reporting that U.S. Commerce Secretary Gina Raimondo is holding a series of meetings with chip manufacturers to increase transparency on production. This in turn looks to promote a gradual increase in the supply of semiconductors to automotive players. The semiconductor crisis has been well publicized in the automotive world and according to Goldman Sachs, has had a $110 billion impact on the sector. Click here to read more.
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