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Environmental group accuses BMW, JLR of link to deforestation in Paraguay

ASUNCION, Paraguay — Environmental group Earthsight said on Wednesday it has linked some of Europe's largest carmakers to the deforestation of the Chaco, a dry forest region of Paraguay home to jaguars and one of the last uncontacted indigenous groups in the world. The group said in a report that livestock companies have illegally logged lands of the Ayoreo Totobiegosode indigenous ethnic group, some of whose members live in voluntary isolation. The livestock skin is used in leather upholstery of luxury vehicles sold by high-end European auto brands including BMW, Jaguar and Land Rover, the group said. UK-based Earthsight said it had made covert visits to tanneries that bragged about supplying the raw material to the luxury car brands. "BMW is using hides sourced from two slaughterhouses processing cows from ranches responsible for illegal [logging] in the Ayoreo Totobiegosode's forests. Jaguar Land Rover didn't dispute sourcing from a Paraguayan tannery that processes hides from another slaughterhouse doing the same," the report said. Jaguar Land Rover said in a statement to Reuters it had found no evidence to verify Earthsight's claims. It said its European suppliers assured sustainability. "We continue  our drive for further transparency and, in this case, the leather supplier in Europe verifies with each raw material supplier that no rural property that directly supplies it is involved in illegal deforestation," the automaker said. BMW did not respond to a request for comment on the Earthsight investigation. Paraguay exports about 50,000 tons of wet-blue leather (tanned, but not dried, dyed or finished) a year, and almost two-thirds of those shipments are bound for Europe, according to the report. Automakers say that leather is a byproduct of the far larger meat industry and high-end cars constitute a comparatively small market niche. But indigenous leaders say deforestation driven by growth in beef and leather exports is encroaching on their territory and destroying their way of life. "As deforestation advances with extensive cattle ranching, they are being imprisoned, they are disappearing," Taguide Picanerai, a spokesman for the Ayoreo community in the Alto Paraguay department, northwest of Asuncion, told Reuters. The region is home to some of the world's highest rates of deforestation, Earthsight said.   Green BMW Jaguar Land Rover

Jaguar Land Rover develops 'transparent' A-pillar and ghost car [w/video]

Jaguar and Land Rover are known for making highly covetable luxury, performance and off-road vehicles, but the British automakers are on a bit of a technology bent lately. Keen to show that it can not only keep up but lead the way when it comes to safety and convenience features, JLR has come out with two more systems to show the way forward. JLR's new 360 Virtual Urban Windscreen system, showcased on an XJ sedan, adopts two novel approaches to getting around town. First up is the Transparent Pillar system, which uses a combination of cameras and display screens embedded in the A, B and C-pillars to make them virtually disappear. Instead of acting as blind spots limiting the driver's visibility, the system uses the roof pillars to display what's going on around the car. If there's an obstacle hidden by the A-pillars, the system shows you the potential hazard as if the pillars weren't there, and brings the obstacle to the driver's attention. If the driver turns his or her head to see a vehicle passing alongside, it projects the vehicle on the inside of the B- or C-pillar. The second technology integrated in the next-generation head-up display is the Follow-Me Ghost Car Navigation system, which takes a page out of the video-game playbook by projecting a "ghost car" on the windscreen that the driver can then "follow" instead of listening to turn-by-turn directions or looking at a map in the dashboard display. The system is similar to what Jaguar recently showcased on an F-Type for track use, but applied for more practical use on city streets and highways. The release of these systems also follows the integrated smart navigation and infotainment system displayed on the Range Rover Sport and the Transparent Bonnet showcased on the Discovery Vision concept. Though these new technologies might not be quite ready for production applications, their impressive sum total goes to show that Jaguar Land Rover is ahead of the curve when it comes to reducing driver distraction and increasing the driver's visibility. Scope out the latest systems in the press release and video below for a closer look of what the future holds for British-style luxury motoring. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings.

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.