Navigation, Heated & Cooled Seats, Backup Camera, Bowers & Wilkins Audio, Xf on 2040-cars

Auto blog

Rising aluminum costs cut into Ford's profit

When Ford reports fourth-quarter results on Wednesday afternoon, it is expected to fret that rising metals costs have cut into profits, even as rivals say they have the problem under control. Aluminum prices have risen 20 percent in the last year and nearly 11 percent since Dec. 11. Steel prices have risen just over 9 percent in the last year. Ford uses more aluminum in its vehicles than its rivals. Aluminum is lighter but far more expensive than steel, closing at $2,229 per tonne on Tuesday. U.S. steel futures closed at $677 per ton (0.91 metric tonnes). Republican U.S. President Donald Trump's administration is weighing whether to impose tariffs on imported steel and aluminum, which could push prices even higher. Ford gave a disappointing earnings estimate for 2017 and 2018 last week, saying the higher costs for steel, aluminum and other metals, as well as currency volatility, could cost the company $1.6 billion in 2018. Ford shares took a dive after the announcement. Ford Chief Financial Officer Bob Shanks told analysts at a conference in Detroit last week that while the company benefited from low commodity prices in 2016, rising steel prices were now the main cause of higher costs, followed by aluminum. Shanks said the automaker at times relies on foreign currencies as a "natural hedge" for some commodities but those are now going in the opposite direction, so they are not working. A Ford spokesman added that the automaker also uses a mix of contracts, hedges and indexed buying. Industry analysts point to the spike in aluminum versus steel prices as a plausible reason for Ford's problems, especially since it uses far more of the expensive metal than other major automakers. "When you look at Ford in the context of the other automakers, aluminum drives a lot of their volume and I think that is the cause" of their rising costs, said Jeff Schuster, senior vice president of forecasting at auto consultancy LMC Automotive. Other major automakers say rising commodity costs are not much of a problem. At last week's Detroit auto show, Fiat Chrysler Automobiles NV's Chief Executive Officer Sergio Marchionne reiterated its earnings guidance for 2018 and held forth on a number of topics, but did not mention metals prices. General Motors Co gave a well-received profit outlook last week and did not mention the subject. "We view changes in raw material costs as something that is manageable," a GM spokesman said in an email.

All Jaguars and Land Rovers to get diesel engines... almost

Virtually all Jaguar and Land Rover vehicles – except the F-Type sports car – will get a diesel engine option in the next three years, the company confirmed Sunday night at an event before the Detroit Auto Show. The aggressive blitz begins this fall, when the 2016 Range Rover and Range Rover Sport will launch with available turbocharged 3.0-liter V6 diesel engines. They will push out 254 horsepower and 440 pound-feet of torque, while returning fuel economy of up to 28 miles per gallon on the highway. The combined rating in city and highway driving will be 25 mpg. The Rovers will be followed in 2016 by the XE sedan and F-Pace crossover, which will offer the 2.0-liter turbodiesel four-cylinder engines, in addition to gasoline units. The diesel-powered XE is expected to get at least 40 mpg on the highway, Jaguar Land Rover North America CEO Joe Eberhardt said. The oil-burners are expected to offer 20-to-30 percent improvements in fuel economy compared with gasoline engines, depending on the vehicle. JLR's announcement comes as gasoline prices have plummeted in the United States, and regular fuel costs about $1 less than a gallon of diesel, according to AAA research. Still, the company is taking the long view, and Eberhardt said diesel engines offer greater performance and range than other options. JLR expects about 20 percent of its customers will opt for diesel engines. "We strongly believe this is what our customers will want, regardless of the fluctuations in gas prices," he said. JAGUAR LAND ROVER DEBUTS DIESEL POWER OFFERINGS, JAGUAR XE AND ANNOUNCES PLANS FOR PRODUCTION OF AN ALL-NEW JAGUAR PERFORMANCE CROSSOVER AT 2015 NORTH AMERICAN INTERNATIONAL AUTO SHOW • Jaguar Land Rover to introduceadvanced, highly fuel-efficient, clean-diesel powertrain options on virtually every Jaguar and Land Rover model sold in North America • The Jaguar F-PACE performance crossover to join Jaguar lineup in 2016 • Land Rover Range Rover HSE Td6 and Range Rover Sport HSE Td6 debut in U.S.; on sale in 2015 • North American debut of the Jaguar XE at NAIAS 2015 • Jaguar Land Rover announces global sales up 9% in 2014 (MAHWAH, N.J.) – January 11, 2015 – Jaguar Land Rover confirms several new vehicle announcements today including an all-new model to the Jaguar lineup, the Jaguar F-PACE, and diesel power options for most of its luxury line up, beginning with the 2016 MY Range Rover and Range Rover Sport luxury SUVs.

2017 Jaguar F-Pace First Drive

We know what you're thinking, and we tend to agree: The world probably doesn't need another crossover. But premium European automakers keep building them because people keep buying them. Before we even got behind the wheel of the 2017 F-Pace, we knew that it would be Jaguar's best-selling model by year's end. Now that we've driven the brand's first crossover, it's apparent that there is more to the F-Pace than future sales success. This is a real Jaguar. It would have been easy for Jaguar to borrow a platform from corporate sibling Land Rover. Instead, Jaguar's engineers decided to chart their own course, starting with the aluminum underpinnings of the XE sedan. As it turns out, that was a brilliant decision. The F-Pace looks and drives like a proper Jaguar, but it has some surprises hiding under its shapely sheetmetal that make it the most practical vehicle the brand has ever offered. The F-Pace sports a familiar face, with a voluminous chrome-ringed grille flanked by twin air intakes that are almost as large. Long horizontal headlamps flow into the fenders, and just behind the front wheels sit additional vents that are the only extraneous bit of styling flair on the entire vehicle. The overall look is smooth and taut, with lots of surface tension along the car's bodysides. Not that Jaguar would have done it, but we're glad this is not an overwrought Lexus RX clone. The F-Pace's proportions emphasize the chassis' rear-drive roots, although Jaguar will only sell the crossover with all-wheel drive in the US. By default, 90 percent of engine torque is routed to the rear wheels, and that can drop to as little as 10 percent as dictated by available traction. While the good old KISS acronym applies to the car's styling, it applies equally well to the driving dynamics with one slight modification: keep it sporty, stupid. A rigid aluminum chassis – it would be all-aluminum if the rear floor weren't steel to ensure proper 50/50 weight distribution – is derived from the same architecture as the XE sedan, rejiggered to sit higher off the ground and allow for greater suspension travel. As you'd expect, the F-Pace drives a heck of a lot like a sport sedan, only giving up the illusion if you notice how high you're sitting from the road. Jaguar has nailed the driving dynamics of the F-Pace. Steering is linear and, in Dynamic mode, perfectly damped. The ride on models equipped with adaptive suspension is firm and controlled, even with massive 22-inch wheels fitted.