8 Jan, 2021
Hyundai surges 19.42% on Apple car talks; Tesla's market cap surpasses Facebook
By Isa Martinez
TOP NEWS IN AUTOMOTIVE
* Hyundai Motor Co. shares surged 19.42% after it issued a statement confirming talks with Apple on developing autonomous electric cars, before revising the statement to remove Apple's reference, Bloomberg News reported Jan. 8. Korea Economic Daily's cable TV unit first reported the news of a potential partnership with the iPhone-maker and said Hyundai has completed internal talks on the project and is awaiting approval from the chairman, Bloomberg said.
* Tesla Inc.'s market capitalization overtook Facebook on Jan. 7 after the company's shares closed up 7.9% at a record high of $816.04. The share price of the electric-car company gave it a market value of $773.53 billion, compared to Facebook's market cap of $765.45 billion. The share surge enabled Tesla CEO Elon Musk to surpass Amazon.com founder and CEO Jeff Bezos as the richest person in the world.
➤ Newcomer Tesla among S&P 500's top performers in December
The electric-car maker was the third-best performer of the overall S&P 500 index for the month with a total return of 24.3%.
➤ General Motors retraces some steps in captive auto finance rebuild
The addition of a Utah industrial bank would provide additional funding flexibility to the captive auto finance subsidiary of General Motors, much as the former GMAC Automotive Bank had been conceived to do upon its 2004 launch.
➤ Next CEO to find Ferrari in near-showroom condition
Departed CEO Louis Camilleri's increased emphasis on high-end, limited volume cars has helped build the brand's exclusivity as it ventures into the unfamiliar territory of electrified powertrains and SUVs.
* Volkswagen AG-owned luxury-car maker Audi AG will have an all-electric lineup within 10 to 15 years, with the carmaker developing a timeline to phase out all combustion-engine models, Reuters reported, citing German weekly WirtschaftsWoche.
* Japanese automaker Honda Motor Co. Ltd. will cut domestic production by about 4,000 vehicles in January, citing a semiconductor shortage brought on by the COVID-19 pandemic, Jiji Press reported. Nissan Motor Co. Ltd. will also reduce production due to a lack of semiconductors, Nikkei Asia reported.
ELECTRIC VEHICLES
* Daimler AG CEO Ola Kallenius said a "tremendous ramp-up" of its electric vehicle sales allowed it to reach the EU's stricter CO2 emissions target, saving it millions of euros in fines, the Financial Times (London) reported. The automaker sold 160,000 electrified Mercedes-Benz vehicles in 2020, up 228.8% year over year, and 30,000 electric smart cars. Mercedes-Benz sold 2,164,187 vehicles during the year, down 7.5% year over year.
AUTONOMOUS AND CONNECTED VEHICLES
* Chinese search engine Baidu plans to form a venture with Zhejiang Geely Automobile Co. Ltd. to build electric vehicles, Reuters reported, citing sources close to the matter. Baidu, which plans to equip its connected car software in the vehicles, will hold majority stake and full voting power in the venture.
* Daimler unveiled a 56-inch display for its vehicles, dubbed Hyperscreen, which it will equip on its Mercedes-Benz EQS range. The Hyperscreen will be equipped with artificial intelligence and its own specialized operating system, the company said.
* Samsung's Harman unit unveiled three digital car cockpits, which can offer customized gaming, music and studio interfaces for drivers, The Korea Herald reported.
POLICY, REGULATION AND SAFETY
* South Korea will invest 1.4 trillion won, or about $1.3 billion, to subsidize the purchase of electric and hydrogen-powered cars, broadcaster Arirang reported, citing Finance Minister Hong Nam-ki. The subsidies will apply to vehicles retailing for under 90 million won and are part of the government's attempt to boost sales of alternatively powered vehicles by 32% in 2021.
* U.S. Transportation Secretary Elaine Chao said she will step down from the position, citing the riot at the Capitol. Chao's resignation is effective Jan. 11, with former South Bend, Ind., Mayor Pete Buttigieg set to take on the role.
AUTO PARTS AND EQUIPMENT
* South Korean battery-maker Samsung SDI Co. Ltd. has reshuffled its senior executive team, including the CFO and head of electric-vehicle battery division, following reports of fires in vehicles with the company's batteries, The Korea Herald reported. Kim Jong-sung was appointed as the new CFO, while Park Zin will lead the medium- to large-battery division, which manufactures electric vehicle batteries.
MARKETS
