Proton launches eMAS 7 assembly from CKDs in Malaysia Malaysian vehicle maker Proton has launched its first electric vehicle assembly plant in Tanjong Malim. Marcus Williams
US reaches trade deal with Japan, puts 93% tariff on Chinese graphite The US has struck a trade deal with Japan, reducing the threatened tariff rate of 25% on goods imported to the US to 15%, providing Japan invests $550 billion in the US. Megan Kelly
EU car production to rise to 16m annually if EV incentives remain Maintaining zero-emission targets could boost car and battery production, but delays or policy rollbacks risk economic and employment losses. Charlie Blackie-Kelly
Elektrobit and Foxconn partner to develop software-defined EV platform The joint development agreement (JDA) will see the companies collaborate on hardware and software development with the goal of creating a smart EV platform. Charlie Blackie-Kelly
Catch up on the highlights of ALSC Digital Strategies North America 2025 Last week, Automotive Logistics and Supply Chain Digital Strategies North America returned to Nashville. Watch the highlight reel to see what delegates experienced at event.
Automotive Logistics and Supply Chain Digital Strategies North America 2025 – Day two Watch the wrap up of day two from the second annual Automotive Logistics and Supply Chain Digital Strategies North America 2025
Automotive Logistics and Supply Chain Digital Strategies North America 2025 - Day one wrap up As our guests gathered to continue the conversations and catch up with peers last night at our evening drinks reception, hosted by Cognosos, Inc., our Chief Content Officer Christopher Ludwig managed to take a few moments away from the bustle to catch you all up on the discussions being had and what to expect from day two.
Rivian exec confirms its software will form the basis of Volkswagen EVs, following joint venture The EV company’s chief software officer, Wassym Bensaid, has revealed that Volkswagen will leverage Rivian’s software across all its upcoming vehicles. The announcement follows a $5 billion joint venture between the two companies. Charlie Blackie-Kelly
Volvo Cars announces 3,000 redundancies as part of new lean plan As part of its recently launched cost and cash action plan, the OEM announces it will reduce its global office-based workforce by 15%, mostly based in Sweden. Charlie Blackie-Kelly
Nissan looking at ways to secure UK vehicle production including through Chinese joint venture Nissan is looking at ways to secure production at its Sunderland plant amidst global cuts and that could include joint production with a Chinese EV partner. Marcus Williams
CATL to raise $4bn in Hong Kong listing to fund Debrecen EV battery gigafactory in Europe Chinese EV battery maker CATL has said it is set to raise at least $4bn in its secondary listing on the Hong Kong stock exchange, to fund its giigafactory in Debrecen, Hungary. Megan Kelly
Nissan Motor is scrapping plans to build a $1.1bn EV battery plant in Kyushu, Japan Despite only announcing the new plant in January, Nissan has cancelled its proposed lithium iron phosphate (LFP) battery plant, planned to be built in Kitakyushi, Japan. The plant would have created around 500 internal jobs and helped the company reinforce its domestic EV production. Charlie Blackie-Kelly
Rivian commits to building a $120m supplier park attached to its EV manufacturing plant in Illinois The construction of a supplier park is expected to be completed by the end of 2026 in addition to the already underway expansion of the manufacturing plant in Normal, Illinois. Rivian claims that the supplier park will be a “key enabler” to its operations as it begins manufacture of the R2 van. Charlie Blackie-Kelly
Nissan is to cease Wuhan production by March 2026 amid fierce competition and financial strain in China Nissan Motor Co. will shutter its Wuhan plant by March 2026, grappling with low output, fierce competition from Chinese EV makers, and a projected ¥750 billion ($5bn) loss. This retreat underscores the challenges facing foreign automakers in China. Ilkhan Ozsevim
Audi announces production of its second-generation Q7 SUV has begun at the DRB-Hicom manufacturing plant in Malaysia In a move to strengthen regional supply chain resilience, Audi has begun local production of its Q7 SUV at Malaysia’s DRB-Hicom facility, the brand’s first fully localised assembly project in South-East Asia. The current output for the Pekan plant is at three vehicles per day, but with the expectation of this rising to 5,000 units per annum. Charlie Blackie-Kelly
How Trump’s changing tariffs are disrupting automotive supply chains across China, Mexico, Canada and the EU Following a week of negotiations and trade wars, Automotive Logistics looks at what has changed for the automotive supply chain globally, and what effects are already being seen in regional supply networks. Megan Kelly
BMW’s Debrecen plant accelerates EV production with just-in-sequence delivery and virtual assembly planning BMW’s Debrecen plant is using digitalisation and just-in-sequence delivery to speed towards series production of the iX3. Megan Kelly
Toyota plans to produce next-generation lithium batteries in Japan on hold Toyota is revising its plans for battery production in Kyushu, Japan in the light of electric vehicle demand and rising material prices. Marcus Williams
Hyundai Motor commits $21 billion to US vehicle manufacturing, supply chain and logistics Hyundai has announced an investment in US vehicle production, supply chain and logistics of $21 billion and in the same week has officially opened its metaplant in Georgia at which it now plans to make 500,000 electric vehicles a year. Marcus Williams
The US tariff timeline of trade tensions and tariff changes The US election outcome triggers uncertainty for automotive logistics, with tariffs, trade wars, and supply chain risks ahead. Megan Kelly Emily Uwemedimo James McLoughlin
Mazda invests $148m in Thailand to expand EV exports across ASEAN and Japan Mazda plans to strengthen Auto Alliance Thailand, its joint venture manufacturing base with Ford in Thailand, with an investment of 5 billion Thai baht ($148m), aiming to develop its facilities and become a regional manufacturing hub. Megan Kelly
Flexis optimises electric van production with shared platform and localised supply chain in Europe Flexis, a joint venture between Renault Group, Volvo Group and CMA CGM, has unveiled its new range of electric light commercial vehicles; three models all sharing a skateboard platform. Scheduled to begin production this year, the company is making use of its logistics expertise through a dedicated localisation strategy in Europe. Automotive Logistics reports from the Flexis headquarters in Paris. Megan Kelly
Automotive Logistics livestream on trends to watch in 2025: How trade shifts, tariffs and tech are reshaping networks The first in this year’s series of Automotive Logistics livestreams focused on key trends to watch out for in 2025, including changing trade compliance, regulations and tariffs. Megan Kelly
Toyota is making its own batteries at a plant in North Carolina and will be begin local supply in April Toyota will be begin shipping lithium batteries from its own plant in North Carolina from April this year, beginning with deliveries by truck to its Kentucky assembly plant in Georgetown Marcus Williams
The “great divergence” reshapes vehicle production and logistics in Europe amid market forces, Chinese OEMs and tariff shifts The European automotive market is at an inflection point. Lower vehicle volumes post-pandemic, a shift from net exports to net imports and the growing influence of Chinese manufacturers are fundamentally changing the region’s logistics dynamics. Meanwhile, tariffs and localisation efforts are altering trade flows. As automakers and logistics providers adapt, the success of their strategies will determine who thrives in this new era of European automotive supply chains. Emily Uwemedimo
Ford’s president, CEO and director James Farley warns of serious financial impact on auto sector if Trump tariffs persist [Updated February 11] Ford’s president, CEO and director James Farley used its Q4 earnings call last week to warn that any extended use of tariffs on automotive products from Canada and Mexico would have a huge adverse impact on the entire value system of the US automotive industry. He drove home the warnings at this week’s Wolfe Research Auto, Auto Tech and Semiconductor Conference in New York. Marcus Williams
BYD and other Chinese OEMs accelerate vertical integration with dedicated ro-ro fleets for global vehicle exports Chinese OEM BYD has added a new vessel to its fleet, with the BYD Shenzhen ro-ro car carrier having undocked earlier this month. Megan Kelly
Trump’s tariff pose on imports from Canada and Mexico tests resiliency of supply chain planners Even with a month’s grace period, the threat of US tariffs on imports from Canada and Mexico made by Donald Trump over the weekend is creating supply chain uncertainty across the North American automotive industry. Carmakers are calling for attention to USMCA rules and warning of the impact on jobs, investment and consumers. Marcus Williams
Indonesia waives tariffs on BYD imports ahead of local production The Chinese carmaker is building a plant in Subang, West Java, which is due to open by the end of 2025 and is importing vehicles tariff free until then. Marcus Williams
Polestar widens global production locations to include Europe for electric SUV from 2027 Polestar is looking at Europe to build its next premium compact SUV and will expand sales to France this summer using agency model distribution. Marcus Williams
North American supply chain under Trump: How the IRA pause affects the EV supply chain As Trump halts EV incentives, North America’s EV supply chain faces uncertainty. Automotive Logistics explores the logistics and market implications. Megan Kelly
Global automotive industry shifts intensify challenges for logistics providers The automotive supply chain is facing many hurdles this year, as set out in our key automotive logistics trends for 2025. Here, we look deeper at the fragmented nature of the industry, structural changes in flows and demand, and the effects of job losses in the second part of our series. Daniel Harrison
What day one under the Trump administration signals for the North American automotive supply chain Donald Trump, who was sworn in as president of the US yesterday, said that his administration is planning to impose 25% tariffs on imports from Mexico and Canada from 1 February, threatening the North American automotive supply chain. Megan Kelly
Volkswagen is investing in digital architecture for competitive and localised battery EV production in China Volkswagen is focusing on a strong localisation drive in China and the development of a digital architecture for faster EV development and production as the market competes aggressively on price. Marcus Williams
Volkswagen to cut production in Germany and reduce staff across factories, with Golf production moved to Mexico Following some intense negotiations through December, Volkswagen reached an agreement with its Works Council and the IG Metall union just before the Christmas break that will see it cut 35,000 jobs by 2030 and reduce production capacity by 734,000 units Marcus Williams
Honda and Nissan in talks to form joint holding company; Mitsubishi also looking at involvement The carmakers are also in discussions with Mitsubishi over potential collaboration on standardised products and processes. Marcus Williams
Volkswagen benefits from green logistics services provided by Duvenbeck and MAN Truck and Bus Duvenbeck’s use of MAN eTGX trucks will contribute to VW Group’s goTOzero impact logistics programme which aims to reduce CO2 emissions on road transport Marcus Williams
Continental to make Automotive a separate European company and sell OESL business Continental is spinning off its Automotive business unit and selling the Original Equipment Solutions (OESL) business of ContiTech as it looks for greater flexibility in responding to automotive market trends Marcus Williams
Kjell Gruner takes over as head of VW Group of America; Henning Habicht to lead operations at Chattanooga Kjell Gruner is now president and CEO of Volkswagen Group of America (VWGoA), while Henning Habicht has been promoted to lead operations at the carmaker’s Chattanooga plant. Marcus Williams
Seismic shifts in the global trade of electric vehicles: 2024 in review The car industry is going through a volatile adaptation as it seeks to decarbonise mobility and clean up the logistics supporting production. This year it has also been dealing with trade and labour disruption but the focus is adamantly on a more resilient supply chain and the adoption of digital technology. Marcus Williams
Audi and FAW start production of Q6L e-tron in Changchun supported by sustainable automated logistics and production Audi FAW NEV will manufacture mid-sized and full-sized PPE vehicles at the new factory, which has annual capacity for 150,000 vehicles and the batteries to power them Marcus Williams
German Association of the Automotive Industry has published a new auditing standard for logistics – VDA 6.8 Process Audit Supply Chain The VDA’s Logistics Committee chairman, Simon Motter, who is head of Volkswagen Group Logistics, said the new VDA auditing standard addresses the importance of smooth supply chain processes for the entire automotive industry Marcus Williams
GM’s strategy to tackle EV logistics challenges: Digitalisation, nearshoring, and improving supplier relations Strengthening supplier relationships, nearshoring strategies and digitalisation are enabling GM to enhance supply chain resilience across North America. From securing critical EV components to optimising cross-border logistics, the carmaker is fostering innovation and operational efficiency amid growing challenges. Megan Kelly
Mercedes-Benz Trucks delivers first eActros 600 units to transport customers and announces upgrades to Wörth plant charging infrastructure Mercedes-Benz Trucks will provide eActros 600 trucks to its own logistics providers from Q2 next year and is supporting emission-free inbound logistics with upgraded charging infrastructure at the Wörth plant in Germany Marcus Williams
Hyundai working with Glovis America on Xcient hydrogen fuel cell truck rollout at Hyundai Motor Group Metaplant America Hyundai Motor Group is working with Glovis America on the use of Xcient hydrogen fuel cell trucks for inbound logistics operations at its EV metaplant in the US Marcus Williams
Stellantis invests in €4.1 billion Spanish gigafactory with CATL to boost localised battery supply chain and reduce cost Stellantis has partnered with Chinese battery manufacturer CATL to invest up to €4.1 billion ($4.3 bn) for a large-scale lithium iron phosphate (LFP) battery plant in Spain. Megan Kelly
LG Energy Solution to buyout GM share in Ultium Cells plant but partners extend agreement for prismatic cell development GM is selling its stake in one of the three Ultium Cells battery cell plants it set up with LG Energy Solutions Marcus Williams
The UK government is set to review its ZEV mandate, while Stellantis looks to close its plant in Vauxhall The UK government is fast-tracking a consultation on ending the sales of new ICE vehicles by 2030, due to the UK automotive industry’s grievances about the Zero Emissions Vehicle (ZEV) mandate. Megan Kelly Christopher Ludwig
Daimler Truck is making the Mercedes-Benz eActros 600 at Wörth assembly plant in Germany with inbound parts from Gaggenau, Kassel and Mannheim Daimler Truck is using flexible assembly, inbound electric trucks and clean manufacturing to make the long-haul Mercedes-Benz eActros 600 at its Wörth plant in Germany. Marcus Williams
CATL and digital collaboration: Transforming battery logistics and EV supply chains CATL’s Aleksej Kruekov discusses with Megan Kelly the challenges in digitalising automotive logistics, including lack of truck interoperability, geopolitical restrictions, and operational silos that reduce efficiency, and how CATL is addressing these issues through transparency and investments in new technologies Megan Kelly
Northvolt puts the brakes on battery cell plans in Sweden Lithium battery maker Northvolt has halted the expansion of its gigafactory in Skellefteå, Sweden, which aimed to add 30 GWh of annual cell manufacturing capacity. Instead, it said it will focus on the ramp-up of the first 16 GWh phase of the Northvolt Ett facility and prioritise commitments to its current automotive customers. Marcus Williams
BMW localising North American battery supply chain despite EV slowdown BMW’s drive toward a regionalised battery supply chain in North America may have lost some momentum in the face of lower EV demand but the carmaker is still loyal to its electric strategy Simon Warburton
Toyota says battery EV outlook remains secure and flexible Toyota said it is assessing customer demand for electric vehicles and responding flexibly with a range of model options, despite reports it was cutting its EV output. The carmaker was responding to a report in the Nikkei financial news source which said it has revised targets for pure battery electric vehicle (BEV) production and will cut its forecast for 2026 to 1m cars, around 30% lower than its previous forecast. Marcus Williams
Global EV sales hit record highs in 2024 despite supply chain and automotive logistics industry fears, continuing their upward momentum How will slowing growth in EVs impact auto industry investment strategies? As the industry navigates challenges from rising costs and charging infrastructure gaps, to consumer range anxiety and rising competition, Daniel Harrison explodes some EV myths. Daniel Harrison
Amplify Cell Technologies starts work on LFP battery cell plant Amplify Cell Technologies has broken ground on a manufacturing plant in Mississippi that will make lithium-iron-phosphate (LFP) battery cells for the commercial vehicle sector. The announcement follows the formation of the joint venture by Cummins’ zero-emission unit Accelera, Daimler Trucks and Buses US, and Paccar. Marcus Williams
ACC halts construction of two European gigafactories Automotive Cells Company (ACC), with its shareholders Stellantis, Mercedes-Benz and TotalEnergies’ subsidiary Saft, has halted the construction of two of its three planned European gigafactories. Megan Kelly
Revamping supply chains: Carmakers’ shift to local sourcing for EV efficiency Carmakers in Europe, including Mercedes-Benz and Stellantis, are reshaping their logistics by localising supply chains. This strategic move aims to enhance efficiency, cut costs, and reduce emissions, marking a significant step towards sustainable electric vehicle production. Megan Kelly
Speed to market is critical for affordable electric vehicles With more Chinese electric vehicle (EV) makers planning to launch products in the UK in 2024, the race is on for UK and European OEMs to make their mass-market ranges available as quickly as possible. The question is, can they catch up and how should they go about it, ask Vendigital’s Dom Tribe and Sheena Patel Sheena Patel Dom Tribe
ACC raises €4.4 billion for three gigafactories in Europe Automotive Cells Company (ACC), with its shareholders Stellantis, Mercedes-Benz and Saft, a subsidiary of TotalEnergies, has raised €4.4 billion ($4.7 billion) in debt funding for the construction of three gigafactories in Europe. Megan Kelly
Red Sofa Interview: VW Truck & Bus Mexico’s plans to increase localisation Halley Vieira, plant manager in Production and Logistics, VW Truck & Bus Mexico discusses the decision to localise in Mexico rather than import parts from Brazil, and how synergies with VW Group and Traton Group are playing an increasingly important role in the plant’s logistics.
Red Sofa Interview: VW Chattanooga is sharing EV logistics learnings with the VW Group Watch Paulo Monteiro, head of Logistics, VW Group of America Chattanooga Operations discuss how the Chattanooga plant is leading the way in terms of EV logistics, and why it is sharing its findings with the wider Volkswagen Group and its resurrected Scout brand.
Red Sofa Interview: How Volkswagen is readying for electrification in México Peter Koltai, senior director of logistics at Volkswagen de México discusses how the division is getting ready for electrification across the country and how to find synergies between the plants and the wider VW Group.
Red Sofa Interview: VW’s global logistics experts on synergy in the supply chain Watch Volkswagen Group’s top global logistics experts weigh in on why synergy and collaboration between business units is critical to improving operations, sustainability and advancements within the supply chain.
Red Sofa Interview: BMW’s creativity is helping solve its supply chain problems in Mexico Raúl Gamboa, director of material and transport control, BMW Group Plant San Luis Potosi talks to Richard Logan, senior content producer, Automotive Logistics about BMW’s creative innovations to mitigate supply chain problems in Mexico.
‘Performing while transforming’ BMW's logistics in Spartanburg: Special series In the first of our special focus on the logistics for the carmaker’s largest vehicle plant, VP of logistics Oliver Bilstein explains how BMW is investing in digitalisation, space and people to manage complexity, prepare for electrification and mitigate capacity shortages in the US. Christopher Ludwig
Aston Martin partners with EV specialist Lucid for battery systems Aston Martin Lagonda is set to use luxury electric vehicle (EV) specialist Lucid Group’s battery and electrical supply systems as part of its new EV platform. Megan Kelly
ACC opens gigafactory in France, first of a “colossal project” Automotive Cells Company (ACC) has officially opened the first of three planned European battery gigafactories in Billy-Berclau, Douvrin, France. Megan Kelly
Freyr Battery to launch test production in Norway Freyr Battery is inaugurating lithium-ion battery production on its demonstration line in Mo i Rana, Norway in March this year. Marcus Williams
Building a blueprint for battery logistics at PowerCo As PowerCo sets up battery cell production for VW Group, its logistics organisation, led by Matthias Braun, has set out a vision and framework that will take the best from automotive and chemical sectors, and forge a new benchmark in supply chain transparency and connectivity Christopher Ludwig
An electric shock for VW Group’s supply chain in Europe Volkswagen Group is investing €10 billion ($10.6 billion) to build a lithium battery gigafactory in Sagunto, Spain as it accelerates the localisation of battery production for its electric vehicles (EVs) in Europe. At this year’s Automotive Logistics and Supply Chain (ALSC) Europe conference, Matthias Braun, head of battery cell logistics at the VW brand, explained why the carmaker is investing more in European battery production and what that means for its logistics and supplier base. Marcus Williams
Renault to partner with Geely on hybrid vehicles in China and South Korea Renault has agreed a framework with Geely to share production and supply chains for hybrid vehicles in Asia, including using Geely plants in China and localising Lynk & Co platforms in South Korea. Christopher Ludwig
Carmakers ramp up plans for North American BEV manufacturing As Europe develops an appetite for battery electric vehicles (BEVs), with Volkswagen’s ID.3 even becoming the second-best selling car overall in December, North America continues to lag behind. Although it is unlikely to catch up to Europe any time soon, things are beginning to move when it comes to local manufacturing, with some major OEMs and some credible start-ups announcing big investments for new models. Illya Verpraet
Carmakers focus on China for electric vehicle exports to Europe A growing number of carmakers are looking to China for the production of electric vehicles (EVs) destined for sale in Europe, including Tesla, BMW and Renault. Marcus Williams
Battery consortiums and regional supply lie ahead for EV production Battery production and supply have come a long way since Henrik Fisker founded his first EV company back in 2007, and he believes that building a price-competitive product now depends on establishing local production and less risky purchasing consortiums, write Daniel Harrison and Marcus Williams Daniel Harrison Marcus Williams