For Today: Electrified vehicle sales stronger than auto market, VW settlement funds directed to California disadvantaged communities

Game changing role in auto market:  Electrified vehicles are in a good position to play a more important role for automakers and dealers as the U.S. new vehicle market continues to slip. Yesterday, the Federal Reserve reported that U.S. factory output slipped by 0.4% last month, a big drop from the 1.1% increase in April. The dip in manufacturing ties into increasing production cuts in the auto industry. Analysts warn that more job cuts are in the works if car sales don’t continue declining. General Motors has announced it will extend its usual two-week shutdown this summer to five weeks at some plants in the Midwest. During May auto sales, the auto industry saw a streak of declining sales for five straight months. HybridCars.com reported that as of the end of May, all three electrified vehicle segments were up substantially over the previous year. Year-to-date sales for hybrids were up 10.5%, plug-in hybrids were up 48%, and battery electric vehicles increased by a third over the first five months of 2016. That presents big opportunities for the auto industry to increase electrified vehicle sales and see more profits, and to up the small share that electrified vehicles make of total U.S. new vehicle sales.

Lyft goes renewable:  Ride-hailing firm Lyft has set a big target over the next eight years – to provide one billion rides per year using electric, autonomous vehicles. Lyft want to see all of the electric rides to eventually be powered by renewable energy. The company will be purchasing renewable energy certificates to offset emissions from the fueling of its electric autonomous vehicles with gasoline. It will take several years for its fleet to be electrified and for renewable energy to make up a large part of energy in the U.S. But as battery-powered technology matures, Lyft expects “the vast majority of the vehicles on our platform will be electric,” the company said.

VW settlement:  California Governor Jerry Brown will likely sign a bill that directs Volkswagen to spend a portion of its Electrify America in disadvantaged communities in the state. It’s part of a larger budget package that Brown had already agreed to sign. Critics of VW’s recent plan said that the first $200 million, of the $800 million to be spent in California from the settlement, could give the German automaker a competitive advantage over other automakers and charging station makers; and it would ignore low-income communities in a state that has become committed to improving air quality in disadvantaged communities that are hardest hit by polluting vehicles such as heavy-duty trucks coming from ports.

For Today: New study on competitive EVs, SF Motors comes to America

EV adoption:  University of Michigan’s Transportation Research Institute just published a study finding that recent advancements and improvements have positioned battery electric and plug-in hybrid electric vehicles to become more competitive with conventional gasoline powered vehicles. A new report written by Brandon Schoettle and Michael Sivak of University of Michigan, finds a few market forces driving change. With prices of the vehicles coming down and the cost of the electricity used in charging remaining low and stable, coupled with rising interest among car shoppers and an increasing number of charging locations, plug-in electrified vehicles are becoming more competitive for replacing convention vehicles for most U.S. drivers in the relatively near future.

Tips on ride and drives:  Clean Cities just published an article examining how constructive ride and drive events can be for communities. They offer an opportunity for participants to experience the latest plug-in electrified vehicles (PEVs), and can benefit organizations and event attendees. With more PEV models now available, many organizations are highlighting the technology by hosting a local ride and drive. One reason of the four states that outdoor events are highly visible and give you the opportunity to showcase your organization. You can also gain access to Ride and Drive Kit, a step-by-step guide for hosting a PEV experience.

SF Motors comes to America:  A new electric car startup has come to America, this one backed by a Chinese vehicle manufacturer. Chinese company Sokon is in the process of launching SF Motors, with its headquarters office in Santa Clara, Calif., and a development facility in Ann Arbor, Mich. Tesla co-founder Martin Eberhard will be part of launching the new SF Motors brand, which will be manufacturing and selling its own electric passenger vehicles. The parent company, Chongqing Sokon Industry Group Co., offers Sokon vehicles with internal combustion engines and fleet applications – small utility trucks, vans, and buses. More will be revealed in the next few months on SF Motors and its vehicle lineup.

For Today: Electrified Hyundai Kona, Uber facing more upheaval

Hyundai Kona:  Hyundai will be offering electrified versions of its new Kona crossover SUV. While the 2018 Hyundai Kona is scheduled to come to the U.S. later this year, it’s not clear which electrified options will be available and if any of those variations will come to the U.S. The all-electric model is supposed to come out in 2018 and will have range of about 240 miles; though that will likely be fewer miles in the U.S. under the Environmental Protection Agency rating. “Clean mobility is a core strategy of the Hyundai Motor Company in the future,” the company said during unveiling of the Kona in Seoul. It could join the Ionic as part of the Korean automaker’s ambitious global strategy for green vehicle introductions. All three electrified versions of the Ioniq were displayed on the freeway side of the Hyundai’s U.S. headquarters office recently.

Electric Transit postal vans:  Deutsche Post, Germany’s postal carrier, has entered an agreement with Ford’s German subsidiary, Ford-Werke GmbH, to manufacture battery-electric vans. The chassis of the Ford Transit will be used by Deutsche Post and fitted to a battery-electric drive train. The German postal carrier had previously designed and produced the all-electric smaller van StreetScooter. The new van will be larger and offer more shipping capacity. Production with Ford will start next month. The target is to build and deliver at least 2,500 vehicles before the end of 2018, which would make Deutsche Post DHL Group the largest manufacturer of battery-electric medium-duty delivery vehicles in Europe, the company said.

Uber upheaval:  Uber board member David Bonderman is leaving the company after making a disparaging comment to another board member, Arianna Huffington. After Huffington talked about how having one woman on the board often leads to more women joining, Bonderman said, “Actually, what it shows is that it’s much more likely to be more talking.” This followed news of CEO Travis Kalanick taking a leave of absence from the company, and a plan released by the company Tuesday that more accountability will be brought to executives for their actions. Huffington has been part of a panel investigating allegations made by a female ex-employee back in February over sexual harassment by an Uber executive. Earlier this month, Uber fired 20 employees over harassment, discrimination, and inappropriate behavior stemming from the February blog post by the female ex-employee. This has been a stormy year for Uber that includes an intensive court room battle with Alphabet’s Waymo subsidiary in its claims against Uber stealing its intellectual property for self-driving cars. Uber’s main U.S. competitor, Lyft, seems to be benefiting from the storm Uber is under, and continues to add partner companies to its future.

For Today: Will Apple build its own autonomous electric cars? GM builds first self-driving Bolts

Apple Project Titan:  During an interview with Bloomberg Television last week, Apple CEO Tim Cook said the company is making autonomous vehicle technology a top priority. There’s been a lot of speculation over whether Apple will one day take its secret Project Titan electric autonomous car to its own factories. Cook wouldn’t speak to that topic, but did admit that autonomous vehicles is one of three technologies directing artificial intelligence in Silicon Valley – up there with electric vehicles and ride-hailing services. “We sort of see it as the mother of all AI projects,” Cook said. “It’s probably one of the most difficult AI projects actually to work on.”

Proterra funding:  Electric busmaker Proterra just closed another funding round with $55 million coming through BMW i Ventures and Al Gore’s sustainability focused investment firm Generation Investment Management LLP. “More than ever before, cities are looking for sustainable transportation solutions that can reduce pollution efficiently and effectively. Proterra is incredibly well positioned to help accelerate the growth of sustainable cities and continue our transition to a clean energy economy,” said Gore, the former vice president and climate change activist who serves as chairman at Generation Investment Management.

Autonomous Bolts:  General Motors just announced that it has finished building 130 autonomous Chevy Bolt test vehicles at its plant in Lake Orion, Mich. That means the company is now capable of mass producing autonomous Bolts and other self-driving models. CEO Mary Barra has said GM is the only automaker capable of building high-volume autonomous vehicles in its assembly plant. GM will also working with ride-hailing firm Lyft on testing these vehicles with Lyft drivers.

For Today: California and China ZEV alliance, Roush CleanTech sees breakthrough in low NOx

California and China ZEV alliance:  California is forging an alliance with China to move forward on zero emission vehicle technology development, batteries, and sales increases as the U.S. pulls away from the Paris climate change accord. Governor Jerry Brown and California Air Resources Board chair Mary Nichols met with officials from China’s leading automakers and battery manufacturers this week in an effort to expand cooperation and accelerate deployment of zero-emission cars, trucks, and buses. A new working group was formed through the China-US ZEV Policy Lab at UC Davis to expand cooperation with Chinese vehicle and batter makers. The lab comes from a partnership established in 2014 between UC Davis Institute of Transportation Studies and the China Automotive Technology and Research Center. Brown and Nichols have been touring China this week as the nation prepares to adopt the state’s ZEV policy with credits for automakers to purchase and trade for meeting emissions rules.

Three events to consider attending:  Advanced Automotive Battery Conference, June 19-22 in San Francisco. For 17 years, the conference has attracted international thought leaders and battery technologists from major automobile makers and their suppliers to discuss key issues impacting the technology and market of advanced vehicles and the batteries that will power them……… EV Roadmap 10, June 20-21 in Portland, Ore. Founded by Portland General Electric and Portland State University, and now produced by Drive Oregon, the conference has established itself as one of the leading electric vehicle conferences in the United States………… Smart Cities Connect Conference & Expo, June 25-28 in Austin, Texas. Co-located with the US Ignite Application Summit, the conference brings together over 200 cities and their respective leadership to prospect and partner with innovative technology and service providers, linking progressive cities with state-of-the-art solutions and best practices.

Breakthrough in propane technology:  Roush CleanTech announced yesterday that it has developed the first propane autogas engine available in class 4-7 vehicles and Blue Bird Type C buses certified to the optional low nitrogen oxide (NOx) level .05 g/bhp-hr. These new U.S. Environmental Protection Agency- and California Air Resources Board-certified propane engines are 75% cleaner than the current emissions standard. “Roush CleanTech’s low NOx engine is a great step forward for the propane industry,” said Tucker Perkins, president of the Propane Education & Research Council. “Propane autogas is well established as an economical, clean-burning and domestically produced alternative fuel ideal for fleets. Now propane gets the biggest return on NOx reductions, too.”

For Today: Honda 2030 Vision electrified and automated, More on the Fisker EMotion

Honda EV and automated vehicle goals:  Honda will be putting more emphasis on battery electric vehicles to reach its goals for zero emission vehicles. While still committed to fuel cell vehicles, the company will release a China-specific electric vehicle in 2018. Another EV made for global markets will be launched this fall at an auto show, said President & CEO Takahiro Hachigo at a press briefing in Tokyo. A new R&D department, Electric Vehicle Development Division, was started up last fall to speed up the process, he said. The company is also committed to serving mobility needs of its customers through a Level 3 highway-driving capability by 2013; and a Level 4 automated driving system that will allow the driver to take over if needed for safety. All of the announcements were part of a presentation on 2030 Vision, the company’s global mission statement.

Ricardo and CaFCP alliance:  Ricardo Strategic Consulting just announced its collaboration with the California Fuel Cell Partnership to provide economic modelling tools. It will enable the assessment of total cost of ownership of future fuel cell trucks, and the hydrogen stations needed to support commercial operation. Ricardo’s proprietary Total Cost of Ownership (TCO) modelling capability, provides insights on the economics of fuel efficient technologies, both today and in future. This model enables vehicle manufacturers, regulators, transport authorities, urban planners, and other stakeholders in making informed decisions about new technology implementation. The collaboration with Ricardo supports CaFCP’s efforts to enable adoption of hydrogen fuel cell technology in commercial trucks.

Fisker EMotion:  Fisker Inc. released more information and some teaser photos on the EMotion all-electric sports car. One of the tricks to getting up to the 400-miles per range will be lightening up the car, and it will be safer through patented crash design. The company now has a patent on the Emotion’s frontal crash structure that it says exceeds current minimum standards for occupant protection. The starting price has been set at $129,900 and it will be launched soon, with more details coming out this month.

For Today: Lots more Tesla factories coming, 2 million EVs worldwide

Several more Tesla factories: Tesla has some very big plans in store, according to CEO Elon Musk during yesterday’s annual shareholder meeting. The company may need to build at least three and possibly as many as 10 or 20 new factories to keep up with expected demand. That will include the current models, the upcoming Model 3, and the Model Y crossover, which Musk says is the next new vehicle in development for a 2019 launch. It will be the company’s most popular vehicle ever, he said, so a lot more new factories will be needed; and to support more Gigafactory battery production. Other hot topics included whether to change board member seats to annual instead of staggered three year (which failed), and safety concerns for Fremont, Calif., plant workers (Tesla is dealing with it, Musk said).

Latest in automated tech: Bosch and TomTom have brought a first-ever to automated driving – high-resolution maps. Video data is being used from radar signals with billions of individual reflection points. Automated vehicles can use the map to determine their exact location in a lane down to a few centimeters, Bosch said. It will enable these vehicles to reliably determine their location at all times. Reflection points are formed everywhere that radar signals hit – for example, on crash barriers or road signs – and reproduce the course a road takes. It speaks to safety during a time when industry leaders like Bill Ford are asking questions about how autonomous vehicle technology will really work; and how it will respond to emergencies and unexpected occurrences that happen while driving.

2 million EVs: There were about two million plug-in electrified passenger vehicles on roads around the world by the end of 2016, according to an International Energy Agency report. That number was next to zero just five years earlier; however it’s still just 0.2% of light-duty vehicles, according to the report. Last year saw a surge in sales – 60% more than in 2015, with much of that taking place in China. “China was by far the largest electric car market, accounting for more than 40% of the electric cars sold in the world and more than double the amount sold in the United States,” the IEA wrote in the report. “It is undeniable that the current electric car market uptake is largely influenced by the policy environment.”

For Today: Lyft part of self-driving Renault Zoe test project, Natural gas vehicle Road Rally Across America kicks off

Lyft part of self-driving Zoe test project:  Ride-hailing company Lyft will be testing out self-driving Renault Zoe electric cars in Boston with autonomous vehicle tech company NuTonomy. The two companies are waiting for approval from Boston city officials, but they do expect the pilot demonstration to begin in the next few months. The study will examine the passenger experience during self-driving rides as the electric cars travel through certain neighborhoods in Boston. Lyft has been forging other alliances in the autonomous vehicle front – including an upcoming project with shareholder General Motors and another one with Waymo. Ride-hailing giant Uber had taken the lead on that front starting last year with a Pittsburgh pilot project that included passengers getting rides; but Uber has distanced itself from Pittsburgh and is focusing on test rides in Arizona.

Automakers back Paris accord:  Automakers look like they’ll be ignoring President Donald Trump’s decision to pull out of the Paris climate change agreement. Both General Motors and Ford issued statements in opposition to Trump’s decision. Both companies acknowledged that climate change is real, and that the U.S. decision will not affect their clean car strategies and manufacturing improvements. Tesla CEO Elon Musk had been clear he’d be leaving Trump’s economic advisory panel if he pulled the U.S. out of the Paris accord. Even oil giants Exxon and Shell have been backing the Paris agreement and would like to see Trump change course. It would seem that other automakers’ strategic plans on climate change and clean air would be in line with GM and Ford, including Toyota, Honda, BMW, Volkswagen, Daimler, Nissan, Renault, Volvo Trucks, BYD, and others.

Natural-gas truck road trip:  “Road Rally Across America” started yesterday in Long Beach, Calif., as several heavy-duty trucks and other vehicles powered by natural gas began a coast-to-coast road trip from California to Washington, D.C. The trip was kicked off by representatives from the California Natural Gas Vehicle Coalition (CNGVC), which is calling for the adoption of low nitrous oxide emissions heavy-duty truck technology powered by renewable natural gas in the Clean Air Action Plan of the San Pedro Bay Ports. That, called ACT Now, was announced last month in Long Beach during ACT Expo 2017. The 4,825-mile road trip is being sponsored by NGVAmerica. “NGVAmerica and its membership, including companies like Clean Energy and SoCalGas, believe that natural gas-fueled vehicles are the best and most immediate solution for eliminating the negative impacts of diesel and combatting climate change,” said Chad Lindholm, vice president of sales for Clean Energy and representative of NGVAmerica.

For Today: Plug-in vehicle sales in May, Pope Francis receives Ampera-e

How plug-in sales performed:  The Toyota Prius Prime led U.S. plug-in vehicle sales for the second month in a row, beating the Chevy Volt 1,908 units sold over 1,817, respectively. The Volt barely nudged out the Tesla Model X, which came in at an estimated 1,800 units sold last month, according to HybridCars. The Model X beat the Model S, with the Model S coming in at about 1,700 units sold. All of the top selling vehicles were up from the previous month with the Model X leading the pack by doubling sales over April. Both Tesla models and the Chevy Volt and Bolt were up over April and over May 2016. Plug-in hybrids did very well overall compared to last month and one year ago. Hybrid vehicles also saw a good month with May sales up 9% over April and 10.4% over May 2016. The Toyota Prius beat the Ford Fusion Hybrid in sales during May.

Waymo self-driving trucks:  Alphabet’s Waymo autonomous vehicle division is testing out its self-driving technology on a Class 8 heavy-duty Peterbilt truck. Testing has been taking place on a private test track in California. Highway testing is to be conducted later this year in Arizona, the company said. This is taking place as Waymo continues its legal battle with Uber over alleged intellectual property theft used in the Otto autonomous truck startup that Uber had acquired. Now Waymo is getting into trucking its own way. “We’re taking our eight years of experience in building self-driving hardware and software and conducting a technical exploration into how our technology can integrate into a truck,” said the company in a statement.

Opel Ampera-e in Vatican City:  Pope Francis, who does believe climate change is real, has accepted the keys to a new Opel Ampera-e (aka Chevy Bolt). Opel CEO Karl-Thomas Neumann delivered the all-electric sedan, which is contributing to Vatican City’s goal to become the first carbon free country in the world through the use of electric mobility and renewable energy. “We are proud that we as Opel can contribute to the ambitious goals of the Vatican City. Our new Ampera-e will make electric mobility feasible for everyday use without any compromises,” said Neumann.

For Today: Reactions to Trump on Paris accord, DOE funding increase

Reactions to Trump on Paris climate accord:  Cities, states, and major corporations are staying committed to backing the Paris climate change agreement after President Donald Trump said yesterday that the U.S. will be leaving it. Tesla CEO Elon Musk is stepping down from Trump’s economic advisory panel over it, while Apple, Google, Twitter, Amazon, Facebook, Microsoft, IBM, and other companies have issued statements that climate change is an urgent threat that requires a global effort to combat. As of yesterday, an unnamed group that includes 30 mayors, three governors, more than 80 university presidents, and more than 100 businesses, has gone directly to the U.N. to back the Paris climate accord. California Governor Jerry Brown, representing one of the three states, is traveling to China today and will be in discussions encouraging the world’s largest auto market to cut back on air pollution and emissions regardless of what the U.S. government has chosen to do. The Climate Mayors group, representing 83 cities in the U.S., issued a letter backing the Paris climate agreement. Cities, states, universities, and companies would like to see the U.S. meet a previous commitment made under the Obama administration to reduce greenhouse gas emissions 80% below 2005 levels by the year 2050.

DOE funding increase:  The U.S. Department of Energy announced yesterday that it’s it is honoring additional commitments to 10 previously selected Advanced Research Projects Agency-Energy (ARPA-E) awardees for a total of $20 million. It includes completion of approval for projects in ARPA-E’s Next-Generation Energy Technologies for Connected and Autonomous On-Road Vehicles (NEXTCAR) and Renewable Energy to Fuels Through Utilization of Energy-Dense Liquids (REFUEL) programs. NEXTCAR projects support improving vehicle energy efficiency, with a goal of reducing individual vehicle energy usage by 20%. REFUEL projects will use water, molecules from the air, and electricity from renewable sources to produce high-energy liquid fuels for transportation and other uses.

China backing off mandate:  China has lightened up on its target for automakers selling all-electric and plug-in hybrid vehicles in that country. Last September, the government proposed mandating that 8% of all new vehicles sold be these “new energy vehicles” by 2018, which received protests from domestic and international automakers. After meeting with German Chancellor Angela Merkel in Berlin on Thursday, Chinese Premier Li Keqiang said a “solution” for implementing the quotas had been found, but he didn’t lay out a specific Chinese government program to be implemented.