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U.S. asks Mexico to probe whether Stellantis parts plant abused labor rights

MEXICO CITY and WASHINGTON — The United States has asked Mexico to probe alleged worker rights violations at an auto-parts plant owned by Italian-French carmaker Stellantis, the fourth such complaint under a revised trade deal, U.S. officials said on Monday. The U.S. request for Mexico to examine possible abuses at Teksid Hierro de Mexico in the northern border state of Coahuila comes under the 2020 United States-Mexico-Canada Agreement (USMCA). Teksid, which employs nearly 1,500 people and makes iron castings for heavy vehicles, has been embroiled in a union dispute since 2014. Workers say the company has blocked them from being represented by the group of their choice, the Miners Union, and that it dismissed workers who backed the group. The U.S. Trade Representative's (USTR) office said in the request it was concerned workers had been denied collective bargaining rights in connection with an "invalid" contract with the Confederation of Mexican Workers (CTM), one of Mexico's most powerful unions, that had been registered with state authorities. The office asked Mexico to investigate if efforts had been made, including threats and incentives, to encourage backing for CTM or to dissuade support for the Miners Union. Labor disputes in Mexico have long featured intimidation tactics by powerful unions cozier with employers and governments than workers. Under the USMCA, the trade pact that replaced NAFTA, factories that violate worker rights could lose their tariff-free status. Companies have been watching how the tougher labor rules will play out. Stellantis, the world's fourth-largest auto group which formed from the merger of Peugeot maker PSA and Fiat Chrysler, said it "respects and supports the collective bargaining rights of its employees around the world and will comply with all local laws in that regard." The United Auto Workers union, which represents U.S. Stellantis workers, along with the AFL-CIO labor federation and the Miners Union, flagged the potential violations, the USTR's office said. Teksid, CTM and the local Conciliation and Arbitration Board should be included in the review, it added. CTM did not immediately respond to a request for comment. The union's leader in Coahuila, Tereso Medina, recently told Mexican newspaper El Economista the union would abide by the USMCA and that the conflict should be resolved with a workers' vote. Mexico's federal labor center in May said the Miners Union held the only valid contract.

'84 MotorWeek Cherokee, Bronco and Blazer comparison indulges your SUV nostalgia

These days, truck-based, full-frame SUVs are somewhat of a rarity on the auto landscape due to the rapid rise in popularity of easier-driving, car-based crossovers. Although, without the gradually building popularity of these chunky, high-riding vehicles decades ago, it's unlikely that America's roads would be filled with so many CUVs today. In its latest dig into the archives, MotorWeek has found a 1984 comparison test of a trio of these early Sport Utility Wagons, as long-time host John Davis called them, that helped get acceptance of this segment going. This is a red, white and blue test of the SUVs from American automakers at the time and pits the Chevrolet Blazer, Ford Bronco and Jeep Cherokee (specifically in Wagoneer guise) against each other. Driving manners and interior usability are considered in the evaluation, but Motorweek actually takes these vehicles off road, too. Among the bigger revelations is the improvement in on-road ability in the past 30 years. While specific 0-60 times aren't given, all three models take around 10 seconds just to get to around 50 miles per hour in the 500-feet on-ramp acceleration test. Check out this clip to see just how far this segment has progressed in the past three decades or just get a blast of nostalgia from these now vintage models. News Source: MotorWeek via YouTube Chevrolet Ford Jeep SUV Off-Road Vehicles Classics Videos Ford Bronco chevy blazer

FCA and Peugeot reportedly agree on merger

Citing a Wall Street Journal report, the Detroit Free Press says "Fiat Chrysler and PSA Groupe have agreed to merge." The Journal reported on talks between the two car companies only yesterday. It's said that Peugeot's board met yesterday to approve the deal, FCA's board met today, and an announcement could come as soon as tomorrow, Thursday. Both automakers have released statements, but neither company has released any information beyond admitting to ongoing talks. If the merger happens, the combined entity would become the world's fourth-largest carmaker with a $50 billion valuation, slotting in behind Toyota, the Volkswagen Group, and the Renault Nissan Mitsubishi alliance. Among the merger options possible, "an all-stock merger of equals" is the one analysts and Moody's seem to give the best grade. The reported merger would come about four months after FCA walked away from merger talks with Renault. FCA said the French government scuppered those talks over the role of Nissan in a reformed entity, but there were also brewing issues with French unions, and ongoing turmoil among Renault and Nissan leadership thanks to continuing fallout from ex-CEO Carlos Ghosn's arrest last year. FCA makes most of its revenue in the U.S. and rules Italy, while Peugeot is the second-best-selling automaker in Europe with its own brand in France and Opel in Germany. The two companies already have a partnership in Europe making vans, one that FCA CEO Mike Manley has spoken highly of. Among the list of obvious benefits in a potential merger, FCA would get access to Peugeot's small, modern platforms, $10.2 billion in cash, and electrified and hybrid architecture developments, the latter especially important to FCA as those are fields where it lags. Peugeot would get much easier access to the U.S. market, and the money-printing brands Jeep and Ram. A merged carmaker would have combined sales of nearly 9 million a year, based on 2018 results. By comparison, both Volkswagen and Toyota sell over 10 million cars a year, while the Renault-Nissan-Mitsubishi alliance almost 11 million. Peugeot CEO Carlos Tavares has proved he knows how to do turnarounds and mergers. After leaving a position as Carlos Ghosn's right-hand man in 2012, Tavares took over Peugeot in 2014, navigated a bailout from the French government and China's Dongfeng Motors in 2015, and turned PSA into a regional powerhouse.