CHANGE IN MANAGEMENT

EV maker Mullen Automotive has named former GM executive John Schwegman its chief commercial officer. Schwegman's primary focus will be growing the electric Class 1 through Class 6 light- and medium-duty truck segment.

DISASTER

A forklift operator was killed at Metalsa's Sterling Heights, Michigan plant.

EARNING DIP

Ford reported an $827M loss in Q3 due to the planned shutdown of self-driving development company Argo AI, in which Ford invested heavily.

EXPANDING

BMW will spend over $1B to expand its Spartanburg, South Carolina plant to produce EVs. It also announced it would build an EV battery factory nearby in partnership with Envision AESC.

Magna will invest $530M into expanding its operations in Highland Park, Shelby Township, and St. Clair, Michigan. The expansion projects will create around 1.5k new jobs.

HUMAN CAPITAL

GM is setting January 30, 2023, as the deadline for office workers to start working from the office again for at least three days a week. The automaker added that there would be flexibility depending on the job and the department.

INDUSTRY DIRECTIONS

Research suggests that automakers will spend nearly $1.2T through 2030 to develop and produce EVs, batteries, and raw materials. The number is more than twice the amount that Reuters calculated last year.

MERGERS, VENTURES, ACQUISITIONS

Intel has spun out Mobileye in an IPO valuing the company at $16.7B (much lower than the $50B it hoped for).

Toyota has announced that it will build and sell a new EV in China as part of a JV with battery maker BYD.

OPENING

This week, Hyundai broke ground on its new $5.5B EV plant in Ellabell, Georgia. The 11-building, 16M sf plant will open in 2025.

Hyundai Mobis is planning to build a $205M EV battery plant in Montgomery, Alabama. The 450k sf plant will only supply battery modules to Hyundai and Kia.

VW confirmed it would build a new paint plant and expand production at its Puebla, Mexico facility.

Continental will open a new electronics facility and increase capacity at its brake components plant in Guanajuato, Mexico.

Sources report Tesla is considering "investing" in Santa Catarina, Mexico, which borders Texas.

Lear is planning a new $80M plant in an undisclosed location in Michigan. The plant will supply battery disconnect units for all SUVs and trucks built on GM's Ultium EV platform through 2030.

PRODUCTION INCREASE

GM reported $3.3B in profit in Q3 2022, citing strong demand.

RECALLS

Kia recalled 71k 2008-09 Kia Sportage SUVs in the US due to a faulty ECU that could start a fire. The company previously recalled the exact vehicles in 2016 due to fire risks.

REGULATION

The EU has reached an agreement to ban ICE vehicles after 2035.

RISK ANALYTICS

Analysts project China will continue to dominate battery production globally:

As of this past week, 28 cities in China are doubling down on COVID-19 lockdowns. The 207M people affected are responsible for $3.5T of China's GDP, nearly a quarter of its 2021 economic output.

SUPPLY CHAIN

Automotive News Europe: Global supply chain: from collapse to a new beginning

Supply Chain Dive: How the US plans to transform its lithium supply chain

Hyundai is reportedly planning to "sever relations" with two Alabama suppliers accused of utilizing child labor. SMART Alabama and SL Alabama were first accused of using child labor in July and August, respectively.