USA - Ford Motor Company to invest nealry £2 billion in plant upgrades and new models.

• $850 million Michigan Assembly Plant upgrade supports return of Ford Ranger, Bronco
• $150 million investment and 130 jobs at Romeo Engine expands capacity for engine components for several vehicles, including Ranger and Bronco
• $200 million investment for advanced data center in Michigan supports Ford’s expansion to an auto and mobility company and expected dramatic increase in data storage needs
• Investments are in addition to $700 million and 700 new jobs at Ford’s Flat Rock, Michigan facility, announced in January, for high-tech electrified and autonomous vehicles; Ford has announced $1.9 billion in new investments in Michigan this year

Ford Motor Company is investing $1.2 billion in three Michigan manufacturing facilities to strengthen its leadership in trucks and SUVs and support the company’s expansion to an auto and mobility company.

Ford is investing $850 million in Michigan Assembly Plant to retool the plant to build the all-new Ford Ranger and Ford Bronco. Employees at Michigan Assembly Plant will begin building Ranger at the end of 2018 and Bronco in 2020.

The company also plans to create or retain 130 jobs and invest $150 million to expand capacity for engine components for several vehicles, including Ranger and Bronco, at Romeo Engine Plant in Michigan.

In addition, Ford is investing $200 million for an advanced data center to support the company’s expansion to an auto and a mobility company. 

It is the second of two new data centers Ford is building in Michigan, as the company expects its data usage to increase 1,000 percent – driven by manufacturing and business needs and new mobility services, such as more connected, autonomous and electrified vehicles.

The second new data center will be located at Ford’s Flat Rock Assembly Plant, where the company is investing $700 million and adding 700 direct new jobs – announced in January – to create a factory capable of producing high-tech electrified and autonomous vehicles.

“At Ford, we are investing aggressively in building on our strengths today – including trucks, vans, commercial vehicles, performance vehicles and SUVs – while at the same time growing our leadership in electrification, autonomy and mobility services,” said Joe Hinrichs, Ford president, The Americas. “As America’s top producer of automobiles, we are proud to be going even further in our commitment to invest in manufacturing here at home.”

The company’s investments are supported by Ford’s strong partnership with the UAW, as well as with federal, state, county and local governments.

“UAW-Ford is proud of the total investments in three of our Southeast Michigan assembly and engine plants, which will lead to stronger job security for our members and continued support for the surrounding communities,” said UAW-Ford Vice President Jimmy Settles. “Thanks to collective bargaining, the hard-working men and women at each of these locations will now reap the full fruits of their labor. We look forward to celebrating more product investment and job growth at each of our UAW represented facilities in the months and years to come.”

In the past three months alone, Ford has announced $1.9 billion in new investments in Michigan. During the past five years, Ford has invested $12 billion in its U.S. plants and created a total of nearly 28,000 U.S. jobs.

Ford builds more vehicles in the United States and employs more hourly U.S. workers than any other automaker.

New Ranger and Bronco at Michigan Assembly

The work to transform Michigan Assembly Plant begins next May. Following the same pattern used during vehicle changeover at Dearborn Truck Plant in 2014, Michigan Assembly will take just four weeks to remove and reinstall the tooling necessary to build the all-new Ford Ranger and Ford Bronco.

The iconic Ranger and Bronco will further expand Ford’s truck and SUV leadership in North America – two of the company’s profit pillars.

During the last five years, sales of midsize pickups have grown nearly 50 percent. Many truck buyers want an affordable, functional, rugged and maneuverable pickup that’s Built Ford Tough. Ranger is built to meet their needs.

Rugged utilities have been the second fastest-growing SUV segment during the last five years, making it the time right for Bronco’s return – especially with its legendary 4x4 off-road capability.

Expanded capacity at Romeo Engine

Romeo Engine Plant produces engines for Ford Super Duty, E-Series, Ford Shelby GT 350 Mustang and Shelby GT350R Mustang, along with components for F-Series, Mustang, Explorer and Edge. This investment adds capacity and tooling for components for an additional engine when the plant begins its transformation in early 2018.

In North America alone, Ford has invested more than $3.8 billion to develop more than 30 engines since 2009, when the company introduced its first EcoBoost^® engine. Since then, Ford has produced more than 8 million engines globally with the fuel-saving technology.

Data center supports auto and mobility company expansion

As Ford expands to be both an automotive and mobility company, the company’s data storage requirements are expected to increase from 13 petabytes today to more than 200 petabytes in 2021. This is especially true as Ford grows its leadership in connectivity, autonomous vehicles, electrification and mobility services.

The new data centers are helping Ford create a world-class infrastructure for storage, processing and integration of this data.

The centers also will increase the ability of Ford’s global data insights and analytics team to transform the customer experience, enable new mobility products and services, and help Ford operate more efficiently. 

USA RECALL - Ford/Lincoln recalls nearly 900,000 units to replace side door latches.

Ford Motor Company is issuing a regional safety recall in North America for approximately 830,000 2013-15 Ford C-MAX, 2013-15 Ford Escape, 2012-15 Ford Focus, 2015 Ford Mustang and Lincoln MKC, and 2014-16 Ford Transit Connect vehicles sold or ever registered in certain states to replace side door latches.

In the affected vehicles, the pawl spring tab in the side door latch could break. This condition typically will prevent the door from latching. In certain situations where the door is able to be closed, the door may unlatch while driving, increasing the risk of injury.

Because the rate of reports is higher for vehicles in states with higher ambient temperatures and solar loading, this recall is focused primarily in Alabama, Arkansas, Arizona, California, Florida, Georgia, Hawaii, Louisiana, Mississippi, New Mexico, Nevada, Oklahoma, Texas, Utah, Oregon and Washington.

Ford has identified one reported accident and one reported injury that may be related to this issue.

Affected vehicles include those built:

• 2013-15 C-MAX – Michigan Assembly Plant, April 19, 2012 to Jan. 31, 2015
• 2013-15 Escape – Louisville Assembly Plant, Oct. 19, 2011 to Jan. 31, 2015
• 2012-15 Focus – Michigan Assembly Plant, Aug. 1, 2010 to Jan. 31, 2015
• 2015 Lincoln MKC – Louisville Assembly Plant, Dec. 4, 2013 to Jan. 31, 2015
• 2015 Mustang – Flat Rock Assembly Plant, May 28, 2014 to April 30, 2015
• 2014-16 Transit Connect – Valencia Assembly Plant, Aug. 9, 2013 to Feb. 1, 2016

The approximately 828,053 vehicles affected include 766,682 in the United States and federalized territories and 61,371 in Mexico.

Dealers will replace side door latches at no cost to the customer. In addition, Ford will launch a corresponding customer satisfaction program for vehicles outside the scope of this recall. If a vehicle exhibits a broken door latch, Ford will provide a one-time replacement at no charge for the life of the vehicle.

Acura to produce the new NSX Super-car in the USA at the Marysville Ohio plant.

 The next-generation Acura NSX is produced at the new, dedicated Performance Manufacturing Center (PMC) in Marysville, Ohio, using domestic and globally sourced parts. With trial production already underway and production start-up scheduled for spring 2016. 

This world-class manufacturing facility employs groundbreaking techniques in weld, body construction, body painting, final assembly and quality confirmation to ensure the highest levels of precision and craftsmanship.

More details on the unique and innovative manufacturing processes at the PMC will be rolled out over the months leading up to the start of production, but the following highlights of the new facility were shared during the 2015  Monterey Automotive Week:

• Innovative blend of people and technology: throughout the PMC, NSX production is centered around the skills of approximately 100 experienced engineers and technicians building the NSX to precise levels of quality and craftsmanship.
• All-glass quality confirmation center: A total quality approach to production is evident not only in the mindset of every PMC technician, but in the very design of the facility, with an all-glass quality confirmation center located in the middle of the manufacturing floor.  This allows for technicians from every department to monitor all aspects of a vehicle as it moves through the entire production process.
• World's first weld technology: the world's first use of all robotic MIG welding employs eight robots to apply approximately 900 MIG welds. This surgical welding process results in a space frame that is incredibly precise, in addition to being ultra rigid and lightweight.
• Craftsmanship: hand craftsmanship complements high tech robotic processes throughout the assembly of the NSX:
  • Every bolt on the NSX is hand started by a PMC technician
  • Exterior body panels are installed manually at the end of assembly and from the inside out to ensure 100 percent symmetrical side-to-side fitment
  • Lasers are used to find door hem edges, fenders and door gaps in order to install all exterior panels without requiring adjustments
• Master engine builders: the NSX's 3.5-liter twin-turbocharged V-6 engine with dry sump is hand assembled by master builders at the nearby Anna, Ohio engine plant. Each engine takes over six hours to complete and is machine balanced
  • Each NSX power unit — engine, 9-speed dual clutch transmission with direct-drive electric motor, and front Twin Motor Unit – is bench-tested and broken-in (the engine to the equivalent of 150 driving miles) to ensure that every NSX is track-ready upon customer delivery
  • The engine build process was benchmarked against some of the company's race engine programs to ensure the highest possible quality and performance standards were achieved.

USA - GM's Lansing Delta Township plant builds its 2,000,000th vehicle.

White Frost Tricoat Buick Enclave is milestone large crossover

A 2016 Buick Enclave, painted in White Frost Tricoat, rolled off the production line at General Motors’ Lansing Delta Township Assembly Plant today, the 2 millionth vehicle produced at the automaker’s newest assembly plant in North America.

"This milestone directly reflects the dedication and hard work that our employees put into these crossovers every day,” said Mike Trevorrow, Lansing regional plant manager. “This team has established a strong foundation since opening to enable us to produce our 2 millionth vehicle in nine years, which is quite an accomplishment.”

Opened in 2006, Lansing Delta Township Assembly blends best practices and the newest technology in one facility. It was the first automotive manufacturing facility in the world to be a Gold Certified Leader in Energy and Environmental Design (LEED).

Since starting production, Lansing Delta Township has manufactured the Saturn Outlook, Chevrolet Traverse, GMC Acadia, Acadia Denali and Buick Enclave. A white Outlook was the first vehicle produced on May 24, 2006.

The plant currently employs approximately 3,200 employees on three shifts.

GM has announced more than $580 million in investments for Lansing Delta Township facility over the last two years, including $63 million in 2014 to expand the plant by nearly 263,000 square feet and $520 million earlier this year for tooling and equipment associated with future new vehicle programs. 

“Producing the 2 millionth vehicle would not be possible without the great people we have here,” said UAW Local 602 President Bill Reed.

While most vehicles follow somewhat of a bell curve for sales during their lifecycle, the Enclave has continued an upward trajectory after more than seven years. 

Minor dips in 2009 and 2012 reflected overall trends in the recovering auto industry, but record-setting 2014 sales represented a 39-percent increase over the Enclave’s first full year of production. As of June 2015, more than 500,000 Enclave models had been sold worldwide.   

“The Enclave led Buick’s product renaissance, redefining what consumers should expect from a full-size luxury crossover,” said Duncan Aldred, vice president of Buick. “It is fitting that an Enclave is the 2 millionth vehicle to roll off the line in Lansing, demonstrating continued consumer demand.”

This milestone for Lansing Delta Township is part of GM’s celebration of 500 million vehicles built globally, more than any other automaker.

RUSSIA - Chinese brand Lifan to construct new plant to build cars in the state of Lipetsk Oblast

Chongqing Lifan Industry has started work on an assembly plant in Russia's western state of Lipetsk Oblast. Initially it will assemble up to 60,000 Lifan cars a year from complete knockdown kits imported from China, the company said in a statement. Production is scheduled to begin late 2017 or early 2018.

Products via CKD and full production are yet to be announced, so the pictures below are for illustrative purposes only and not to be confused with any products that may or may not be assembled in Russia.

Picture via CarNewsChina.com - Thank you.

Total investment is estimated at $300 million (1.9 billion yuan). "Over time," Lifan said, it will produce vehicle parts locally and increase capacity to up to 200,000 vehicles a year. Lifan said the factory will produce electric cars as well as conventional gasoline-powered vehicles but did not give details of the models to be produced there.

At present Lifan vehicles are assembled in Russia from semi-knockdown kits by Derways Automobile Co., a small local automaker based in Cherkessk. Lifan has not said whether this will continue when Lipetsk Oblast begins production.

Lifan is a private maker of cars and motorcycles headquartered in the southwest China municipality of Chongqing. It also assembles cars from kits in Iran, Iraq, Ethiopia, Uruguay and Vietnam. Its global sales in the first six months of this year were 64,561 cars and 315,135 motorcycles.

Russia is a major export market for Chinese automakers. Great Wall, Zhejiang Geely and Chery all sell vehicles there and last year Great Wall said it plans to build a 3.2 billion yuan ($513 million) assembly plant in the Tula Oblast region of central Russia.

USA - General Motors announces a further near $900 million investment at its Flint Pick Up assembly Plant.

• New body facility links assembly plant with Flint Metal Center

General Motors’ oldest assembly plant in North America, a popular destination for pickup truck customers who want to watch their vehicles being built, will undergo transformation in the coming years.

GM officials today announced plans to invest $877 million to build a new body shop for the assembly plant, locating it closer to the Flint Metal Center, which supplies sheet metal and other parts used in the Chevrolet and GMC full-size pickups produced in the assembly plant.

The investment will also cover improvements to the general assembly area inside Flint Assembly, as well as retooling and the installation of new equipment at the plant.

“This investment will allow us to use a more innovative approach to deliver material between two critical facilities, reducing handling and the time it takes to ship parts,” said Cathy Clegg, GM North America Manufacturing and Labor Relations vice president.

Since 2011, GM has announced investments topping $1.8 billion for Flint Assembly. This includes $600 million for plant upgrades and a new standalone paint shop that is under construction and slated to open in 2016. 

Work on the 883,000-square-foot body shop is expected to begin in the first half of 2016, with completion slated for 2018.

“In the last several years, GM’s investments in the city of Flint have topped $2.5 billion, creating hundreds of construction jobs and an economic boost for the community,” said Flint Mayor Dayne Walling. 

“This investment not only strengthens the ties between GM and the city, it demonstrates that Flint continues to play an important role in the resurgence of manufacturing in Michigan and the rest of the United States.”

Opened in 1947 as part of a post-World War II building boom by GM’s Flint Assembly has produced more than 13 million vehicles. The plant’s “View Builds,” as they are called, allow customers to see their heavy-duty Silverados or heavy-duty Sierra trucks being assembled and roll off the line after a series of quality checks by members of UAW Local 598.

“While the plant has received numerous awards for initial quality and long-term durability and reliability, our latest investments in the plant will raise the bar in vehicle quality and customer satisfaction,” Clegg said.

For starters, when the new paint shop opens in 2016, trucks will be painted using a wet-coat process that results in a smoother, more durable finish. The new body shop will be constructed north of the Flint Metal Center, reducing transportation time and handling between facilities.

“This announcement is due to the hard work and dedication of our UAW members in Flint,” said UAW Vice President Cindy Estrada, who leads the UAW GM Department. 

“This proves once again that when we work together in a collaborative approach, UAW members continue to come up with innovative ways to grow the business, which provides jobs and improves the quality of the products we produce. This is both good for the Company and good for our members.”

Today’s announcement completes the $5.4 billion in investments GM and the UAW announced at the end of April. Since June 2009, GM has announced U.S. facility investments of approximately $17.8 billion, including $12.4 billion since the end of the 2011 UAW-GM National Agreement. 

These investments have created approximately 6,250 new jobs and secured 20,700 other positions.

Ford to recall 390,000 Fiesta's and Fusion's and Lincoln MKX models for a possible Door Latch issue.

Ford Motor Company is issuing a safety recall for approximately 390,000 2012-2014 Ford Fiesta and 2013-2014 Ford Fusion and Lincoln MKZ vehicles for a door latch issue. The door latch in these vehicles may experience a broken pawl spring tab, which typically results in a condition where the door will not latch. If a customer is then able to latch the door, there is potential the door may unlatch while driving, increasing the risk of injury.

Ford is aware of two allegations of soreness resulting from an unlatched door bouncing back when the customer attempted to close it, and one accident allegation when an unlatched door swung open and struck an adjacent vehicle as the driver was pulling into a parking space.

Affected vehicles include certain 2012-2014 Ford Fiesta vehicles built at Cuautitlán Assembly Plant, Feb. 1, 2012 to May 31, 2013; certain 2013-2014 Ford Fusion vehicles built at Hermosillo Assembly Plant, July 1, 2012 to May 31, 2013; and certain 2013-2014 Lincoln MKZ vehicles built at Hermosillo Assembly Plant, July 1, 2012 to May 31, 2013.

There are approximately 390,000 vehicles in North America (actual 389,585), including 336,873 in the United States and federalized territories, 30,198 in Canada and 22,514 in Mexico.

Dealers will replace all four door latches at no cost to the customer.

USA - Cadillac to offer ultimate luxury, halo model, from the end of next year.

General Motors said today that it will build a new "top-end, high-technology" Cadillac at its Detroit-Hamtramck assembly plant starting in the fourth quarter of next year.

GM declined to name the car, saying only that it would be slotted above the CTS midsize sedan and XTS large sedan. Sources have told Automotive News that GM plans to build a large, rear-wheel-drive sedan, codenamed LTS, at the plant starting in late 2015.

“The objective for this upcoming model is to lift the Cadillac range by entering the elite class of top-level luxury cars,” Cadillac President Johan de Nysschen said in a statement. “Currently in development, this new rear wheel drive-oriented sedan uses completely new, custom-designed materials on a unique vehicle architecture."

GM said the car will be unveiled sometime during the first half of 2015. The company said it will soon announce the car's name.

Over the last several weeks, GM has installed tools and equipment for the new car over, part of a $384 million investment. The plant employs about 1,600 workers on one shift, a GM spokesman said. Market demand will dictate whether more workers are added, he said.

GM said that over the last five years it has invested more than $1 billion in the Detroit-Hamtramck plant, which makes the Chevy Impala, Malibu and Volt and the Cadillac ELR. GM calls the factory its "most complex plant in North America" because it builds several different models and platforms on one line.

The new sedan will be the first to use GM’s new, rear-wheel-drive platform, code-named Omega. It's expected to get the same 3.6-liter twin-turbo V-6 and Aisin-supplied eight-speed that run the CTS Vsport. All-wheel drive will be optional.

Mike Colias

REPORT HERE

Kia announces a $1 billion deal to build a new plant in Mexico.

• Plant to be located in Monterrey, Nuevo Leon region
• Construction to begin in September
• 300,000 vehicles a year capacity for new plant
• Kia’s global capacity will rise to 3.37 million vehicles a year

Kia Motors Corporation has announced it has signed an investment agreement with the government of Mexico to build a state-of-the-art manufacturing plant in Monterrey which is located the north-eastern state of Nuevo León.

The official investment agreement was signed at the Technological Museum of the Electricity Federal Commission (MUTEC) in Mexico City, and was attended by a delegation of key executives from Kia Motors, led by Hyoung-Keun Lee, Vice Chairman of Kia Motors Corp., and a host of Mexican government dignitaries including Enrique Peña Nieto, President of Mexico, and Rodrigo Medina de la Cruz, Governor of the State of Nuevo León.

Construction on the Kia Motors Mexico plant is scheduled to commence in late September, and when completed in the first half of 2016 it will boast an annual production capacity of 300,000 vehicles. The plant will boost Kia’s total global manufacturing capacity to 3.37 million vehicles, including 1.69 million vehicles at domestic Korean plants and 1.68 million at overseas plants. Kia plans to produce a range of yet-to-be confirmed compact models at the new plant.

Representing an investment of approximately US$1 billion by Kia Motors, the new, highly automated manufacturing plant will be situated on a 500 hectare (53.8 million square foot) site that will also be home to numerous supplier companies’ facilities.

As one of the world’s fastest growing automakers in recent years, Kia Motors Corporation has been evaluating various options for entering new overseas markets to secure future growth for the brand. With its strong growth forecasts for new vehicle demand, Mexico was chosen as the site for Kia’s next overseas plant given that it is one of the few remaining major markets of the world in which Kia does not have a sales presence.

For Korean automakers to competitively enter the Mexico market, the establishment of local production facilities is pivotal as Mexico imposes high tariffs on imported cars from Korea. Mexico is well-known for its skilled labour force and numerous free trade agreements (such as NAFTA) with about 40 countries.

Kia expects the Mexico plant to play a major role in alleviating current global supply issues thanks to its strategic geographic location. Its proximity to the USA will enable the company to better address the ongoing supply shortage situation that has arisen due to the dramatic growth of the Kia brand in the US market. Kia also plans to utilize the plant as a foundation for strengthening the brand’s sales presence throughout the entire Central and South America region while freeing up supply from Kia’s domestic plants to address supply shortage issues in other regions of the world.

Hyoung-Keun (Hank) Lee, Vice Chairman of Kia Motors Corp., said, “All of us at Kia Motors are proud to signal in a new era for the brand with the announcement of our first manufacturing plant in Mexico. We are committed to producing world-class quality vehicles here in Mexico that feature industry-leading styling and high-tech convenience and safety features that customers have come to expect from Kia, while making significant contributions to both the economic growth of the State of Nuevo León and the future development of the Mexican automotive industry.”