Posts belonging to Category automobile



Saudi Arabia bought 5% stake in Tesla

The Saudi Public Investment Fund bought the shares in secondary markets

Saudi Arabia’s sovereign wealth fund has acquired a significant position in Tesla shares, according to the Financial Times. The media outlet said the Saudi’s Public Investment Fund bought a 3 percent to 5 percent stake in the electric car maker, according to people with direct knowledge of the matter.

The stake is worth $1.9 billion to $3.2 billion at the company’s current share price. The Saudi fund approached CEO Elon Musk about buying newly issued shares, the report said, but Tesla declined. Instead the Public Investment Fund bought the shares in secondary markets.

Reuters later confirmed the Saudi fund bought a stake “at just below 5 percent” of the company, according to a source familiar with the matter.

https://www.cnbc.com/

Wage floor for Uber’s ride-hail drivers

The goal is to pay drivers $17.22 an hour, or $15 an hour after expenses like gas.

The New York City council passed first-of-its-kind legislation this afternoon setting a wage floor for ride-hail drivers and capping the number of ride-hail vehicles in the city. Below, our story from before the historic vote.

Uber drivers make about as much money as minimum wage workers.

In some cases they can even make less. That’s because Uber drivers are considered independent contractors, rather than employees, and aren’t protected under federal, state, and local minimum wage laws.

Uber drivers aren’t being recognized as employees (that legal battle is ongoing). But in New York City, the city council is poised to pass a package of bills that, for the first time ever, would set a wage floor for Uber drivers and their peers in the ride-hail industry.

https://qz.com/

Tesla to go private

Stocks soar

Elon Musk has become one of the world’s most prominent chief executives, and a billionaire several times over, by boldly making big bets on ideas that few others thought possible.

He started a private rocket company that sends materials into space, andplans to send astronauts soon. He is creating machines to bore giant tunnels through the earth. And Tesla Inc., where he serves as chief executive, has succeeded in creating an Apple-like brand of electric cars.

Through it all, he has shown a maverick — some would say arrogant — management style. On Tuesday, he may have outdone himself.

In a terse and cryptic Twitter post, he declared that he was ready to take Tesla private. The stock market that made his company worth over $60 billion wasn’t worth the hassle.

http/www.nytimes.com

Tesla could make it through 2018 without running out of money

Tesla Q2 earnings

Tesla reported second-quarter earnings on Wednesday after the close of market. The company lost more than expected but also brought in more revenue: more than $4 billion. Importantly, although Tesla yet again spent a lot of money in the quarter, it retained $2.2 billion in cash on its balance sheet and slowed its cash burn — remarkable, given the problems it encountered with its Model 3 roll-out.

That’s about $1 billion less that it had at the end of 2017 — but just $500 million less than what it had at the end of the first quarter. The company now expects to hold total capital expenditure under $2.5 billion for the full year while adding to its overall cash position.

http://www.businessinsider.com

Strong U.S. retail sales

Tightening labor market

U.S. retail sales rose solidly in June as households boosted purchases of automobiles and a range of other goods, cementing expectations for robust economic growth in the second quarter. Signs of a strengthening economy, together with a tightening labor market and firming inflation, likely will keep the Federal Reserve on track to continue raising interest rates this year.

Fed Chairman Jerome Powell offered an upbeat assessment of the economy last Friday, telling lawmakers that “over the first half of this year, overall economic activity appears to have expanded at a solid pace.” The U.S. central bank raised interest rates in June for the second time this year and has forecast two more rate hikes by the end of 2018.

Morgan Stanley hikes oil price forecast to $85

Trump targets Iranian barrels

Oil prices will rise more than previously expected in the second half of 2018, as the Trump administration aims to wipe out Iranian crude exports by November, Morgan Stanley forecasts.

The tougher-than-anticipated U.S. policy means Iran’s production could fall by 1.1 million barrels per day (bpd) at a time of high oil demand. The bank also sees output declining more than it previously forecast in Libya and Angola, leaving the oil market undersupplied by about 600,000 bpd in the second half.

As a result, Morgan Stanley said it now believes international benchmark Brent crude will average $85 a barrel over the next six months. That’s $7.50 higher than its previous estimate.

https://www.cnbc.com/

EU warns Trump’s car tariffs threaten $300 billion of US exports

20% of US exports at risk

Nearly $300 billion of US exports could be hit by retaliatory tariffs if the Trump administration decides to penalize automobile imports from around the world, the European Union says.

The Commission said global retaliation against US tariffs on auto imports would have a much bigger impact on the American economy than the backlash provoked by the Trump administration’s steel and aluminum tariffs this year. It estimated that $294 billion, or around 19% of total US exports last year, could be affected.

President Donald Trump has threatened to place a 20% tariff on all European cars coming to the United States if the European Union doesn’t remove its own trade barriers. In May, the US government launched an investigationinto imports of automobiles, including SUVs, light trucks and auto parts.

The type of investigation, known as Section 232, is meant to determine whether the imports are hurting US national security. It’s the same approach the Trump administration used before it slapped tariffs on steel and aluminum imports earlier this year.

https://www.cnn.com/

Uber wins licence to work in London

15-month probationary licence

Uber will be able to continue operating in London, after a court decided the ride-hailing firm should be awarded a new 15-month probationary licence, after being told of sweeping changes to its practices.

The ride-hailing firm’s future in one of its biggest global markets had been in jeopardy after Transport for London ruled last September that it was not “fit and proper” to hold a private hire vehicles operator licence.

At the start of a two-day hearing, Uber admitted that London’s original decision not to renew its five-year licence had been correct. TfL cited concerns about public safety and security, including a failure to report crimes or alleged crimes to the police, and to conduct proper background checks on drivers.

But Uber’s lawyers convinced Westminster magistrates court that it had since cleaned up its act, while continuing to operate in the capital pending its appeal.

https://www.theguardian.com/

Trade war: Harley-Davidson shifts some production out of the U.S.

Trump last year thanked the company for “building things in America.”

On Monday, Harley-Davidson Inc. said it would shift some production out of the U.S. in order to mitigate the impact of European Union tariffs targeting its motorcycles. Those penalties — which Harley-Davidson estimates may cost it as much as $100 million annually — were in response to U.S. levies on steel and aluminum imported from the EU. Meanwhile, the Treasury Department is reportedly planning to aim a bazooka at a Chinese takeover problem that doesn’t really exist anymore by declaring a national economic emergency. What’s more troubling is a reported plan to crack down on exports of key U.S. technologies.

https://www.bloomberg.com/

Driverless cars similar to antibiotics says Carlos Ghosn

We’re Five Years From Safe, Driverless Cars For All

Carlos Ghosn, CEO of the Renault-Nissan-Mitsubishi Alliance,  has detailed the impact of the driverless car on human daily lives (Interview at BFMTV). There are between 1,3 million and 1,4 million death on roads every year in the world. The driverless car will eliminate 90% of the fatal accidents.

https://www.forbes.com/