First for an update on how the Russian invasion of Ukraine is affecting the auto industry. VW, BMW, Toyota, Nissan, and many more companies have idle their plants and suspended vehicles going into and out of Russia. Many huge companies in multiple different industries have pulled out of Russia as a part of the retreat and reaction to their unjustified invasion of another country. French automaker Renault has not said anything recently as their second biggest market is Russia and since the beginning of the aggression Renault has lost around 25% of their market value and can expect failing even further the longer that this continues. This conflict is weighing heavy on my mind lately as I am sure it has for most people. I am still dealing with the shock that something like this is happening in my lifetime and that it is basically being live streamed to the entire world. I am hoping for a resolution to this conflict that harms as few innocent people as possible.
Toyota’s supplier was recently hit by a cyber attack in Japan that led Toyota to halt production in the country. This attack came shortly after Japan announced they would join Western allies in putting the squeeze to the Russian economy. No reports yet as to if the two events are linked but it is hard to think otherwise at this point. Toyota is now back up and running at the Japanese facilities.
Honda and Sony will be combining forces to produce new battery electric vehicles. This joint venture is aiming for having these vehicles available for purchase by 2025. The CEO’s of the two companies did say they were open to bringing other partners into their partnership. Honda is currently in a process of complete corporate makeover and bringing another huge Japanese company into the fold with EV seems like a strong move to me. Honda has their eyes set on being 100% electric by 2040 and I see this as a much more reasonable goal than the goal of 2030 set by the US auto manufacturers. Sony’s CEO said that he thinks new mobility technology will be the megatrend over the next decade similar to how phone technology has been in the previous decade. I am excited to see what innovations these two giants can bring to market.
Tesla’s new gigafactory near Berlin Germany got approval to start production of EVs with a few conditions. This factory is expected to produce 500,000 new EVs each year and the combined battery plant will generate over 50 gigawatt hours of battery capacity as well. This will be the largest EV and battery plant in Europe. Most of the conditions of the approval have to do with controlling the water and air pollution generated by the facility. This factory will make the Tesla model Y, the midsize SUV that Europe is currently importing from Shanghai China.
Detroit drops their mask mandate right in line with the federal government and Washington DC suspiciously right before midterm elections kick off. I’m sure it is a total coincidence that these companies adjust their policies right in line with the government, and right before they would like you to vote a certain way. If this doesn’t prove that big business and government are basically one and the same and they are more worried about getting what they want than they are about your health, I don’t know what will.
