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France tries to dodge blame for blowing up FCA-Renault merger deal

PARIS — France sought to fend off a hail of criticism on Thursday after it was blamed for scuppering a $35 billion-plus merger between carmakers Fiat-Chrysler and Renault only 10 days after it was officially announced. Shares in Italian-American FCA and France's Renault fell sharply in early trading after FCA pulled out of talks, saying "the political conditions in France do not currently exist for such a combination to proceed successfully." French finance minister Bruno Le Maire said the government, which has a 15% stake in Renault, had engaged constructively, but had not been prepared to back a deal without the endorsement of Renault's current alliance partner Nissan. Nissan had said it would abstain at a Renault board meeting to vote on the merger proposal. However, a source close to FCA played down the significance of Nissan's stance in the discussions, believing French President Emmanuel Macron was looking for a way out of the deal after coming under pressure at home. Context The FCA-Renault talks were conducted against the backdrop of a French public outcry over 1,044 layoffs at a General Electric factory. The U.S. company had promised to safeguard jobs there when it acquired France's Alstom in 2015. The collapse of the deal, which would have created the world's third-biggest carmaker behind Japan's Toyota and Germany's Volkswagen, revives questions about how both FCA and Renault will meet the challenges of costly investments in electric and self-driving cars on their own. The merger had aimed to achieve 5 billion euros ($5.6 billion) in annual synergies, with FCA gaining access to Renault's and Nissan's superior electric drive technology and the French firm getting a share of FCA's lucrative Jeep and Ram brands. FCA has long been looking for a merger partner, and some analysts say its search for a deal is becoming more urgent as it is ill-prepared for tougher new regulations on emissions. It previously held unsuccessful talks with Peugeot maker PSA Group, in which the French state also owns a stake. French budget minister Gerald Darmanin said the door should not be closed on the possibility of a deal with Renault, adding Paris would be happy to re-examine any new proposal from FCA. "Talks could resume at some time in the future," he told FranceInfo radio.

Nissan, Kia under investigation over occupant detection systems

Kia and Nissan are facing separate investigations by the National Highway Traffic Safety Administration because of alleged problems with the occupant detection systems in their vehicles' airbags. The larger investigation is NHTSA's new engineering analysis into 986,826 Nissan and Infiniti vehicles. They include the 2013 Nissan NV200 and 2013-2014 Altima, Leaf, Pathfinder, and Sentra. Among the Infinitis, there are the 2013 JX35 and 2014 Q50 and QX60. Owners allege the occupant classification system can misidentify passengers and turn off the airbag if they don't weigh enough. Nissan recalled over a million vehicles worldwide last year to fix the same problem with a software update, but NHTSA kept getting complaints about the issue after the repair. The agency opened a preliminary evaluation in March, and after 1,271 complaints it has now been updated to an engineering analysis. The Feds intend to evaluate the effectiveness of Nissan's solution. NHTSA is also opening a preliminary evaluation into the 2007-2009 Kia Spectra for the occupant classification not working properly, and it could affect an estimated 186,000 of these vehicles. The government agency has 43 complaints from people allegedly reporting the failures. According to NHTSA, the issue could result in the airbag not deploying with enough force or not activating at all in an accident. This investigation is meant to assess the scope of the potential flaw, and there's no recall yet. INVESTIGATION Subject : Occupant Classification System Fault Date Investigation Opened: SEP 01, 2015 Date Investigation Closed: Open NHTSA Action Number: PE15031 Component(s): AIR BAGS All Products Associated with this Investigation Vehicle Make Model Model Year(s) KIA SPECTRA 2007-2009 Details Manufacturer: Kia Motors America SUMMARY: The Office of Defects Investigation (ODI) has received 43 complaints alleging a malfunction of the front passenger seat occupant classification system (OCS) in 2007-2009 Kia Spectra vehicles. The complaints report illumination of the SRS (air bag) warning light. All of the complaints allege the cause of the light illumination to be a malfunction of the OCS sensor mat imbedded in the passenger seat cushion, and/or report the presence of diagnostic trouble code B1448 which relates to the OCS sensor mat also. Many of the complaints note the malfunction occurred after the warranty period expired and mention high repair costs as a major deterrent to repairing the vehicle.

Nissan Juke Nismo RS sets world record for driving on two wheels

Motorcycle enthusiasts live by the epithet "two wheels good, four wheels bad." But what about when the two good wheels happen to be on a four-wheeled vehicle? And what, we might add, happens when said four-wheeled vehicle is trying to breaka a Guiness World Record? Well, you get the latest stunt from the Goodwood Festival of Speed. In between the vintage, occasionally crashy racers and modern metal, the British division of Nissan sent stunt driver Terry Grant out onto the famous Goodwood circuit in a Juke Nismo RS, where he ran the entire course while driving on two wheels. Really, you need to see it to believe it. But while the feat itself is truly impressive, what's most entertaining is the typically droll commentating of the British announcers. They're basically talking about this car in much the same manor as you or I might discuss the weather. Never mind that this is a small crossover driving 1.16 miles, along a twisty course, on just two wheels. While the distance is impressive, Grant also made the journey at a pretty reasonable speed. He completed the run in just two minutes and ten seconds. That means he had to average over 30 miles per hour across the entire course... while driving on just two wheels. You'll want to take a look at the video at the top of the page, just to experience and enjoy a truly impressive piece of driving.