in In The News


This week in the news, Germany’s BWM announced its plan to invest $1 billion in a new plant in Mexico, the taxi smartphone app Uber got the green light to continue operations legally in London and Japan’s most export-dependent car maker, Mazda, is hopeful to beat its European sales target this year. Read on and get the latest automotive news from around the world.

BMW to invest $1B in Mexico

German car maker BMW has announced it will invest $1 billion to build a new luxury car factory in northern Mexico that will start production in 2019 to expand its presence in the United States. BMW board member Harald Kruger said the plant will be located in the northern state of San Luis Potosi and will have the capacity to make 150,000 cars per year while employing 1,500 people. Kruger said BMW’s only other North American factory—in Spartanburg, South Carolina—will also receive more investment to increase its production capacity to 450,000 cars by the end of 2016. (USA Today)

Uber Gains Approval in London

Transport for London (TfL) has ruled in favor of Uber, which allows the taxi-booking app company to continue operations legally in London. TfL rejected claims from traditional taxi drivers in the city that the Uber smartphone app violates local regulations, deciding smartphones that run the Uber app are not taximeters within the definition of the legislation. “Smartphones that transmit location information between vehicles and operators have no operational or physical connection with the vehicles,” said the regulator in a statement. TfL stressed that Uber’s stay is temporary until a British civil court decides on the taximeter issue. This case will likely be heard in the fall. (Forbes)

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Mazda on course to outdo Europe sales target in 2014

Japan’s automaker Mazda expects to beat its European sales target this year as a new sedan attracts customers amid a regional car-market revival. Jeff Guyton, head of Mazda’s operations in the region, said deliveries in Europe jumped 24 percent in the first five months of 2014. That’s more than triple the 6.9 percent full-year growth rate that Hiroshima-based Mazda plans in the region, where it’s targeting sales of 170,000 vehicles. Europe’s car market is expanding from a six-year contraction sparked by the global recession that culminated in a two-decade low in sales in 2013. (Automotive News Europe)

GM Recalls 7.6 Million More US Cars after Crashes

General Motors on Monday announced another massive auto recall, calling back 8.4 million vehicles—7.6 million of them in the US—following seven crashes and three fatalities. GM, reeling over an ignition-switch recall scandal linked to at least 13 deaths, said that while there were three fatalities related to fatal crashes of older cars being recalled for ignition issues, there is “no conclusive evidence” the defect caused the incidents. The group of vehicles affected includes the 1997-2005 Chevrolet Malibu, the 1999-2004 Oldsmobile Alero and the 2000-2005 Chevrolet Impala. (Channel NewsAsia)


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