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Coronavirus prompts VW to stop production throughout Europe

FRANKFURT — Volkswagen Group, the world's biggest carmaker, is suspending production at factories across Europe as the coronavirus pandemic hits sales and disrupts supply chains, the company said on Tuesday. The German carmaker, which owns the Audi, Bentley, Bugatti, Ducati, Lamborghini, Porsche, Seat and Skoda brands, also said that uncertainty about the fallout from coronavirus meant it was impossible to give forecasts for its performance this year. "Given the present significant deterioration in the sales situation and the heightened uncertainty regarding parts supplies to our plants, production is to be suspended in the near future at factories operated by group brands," Chief Executive Herbert Diess said on Tuesday. Volkswagen's powerful works council concluded it was not possible for workers to maintain a safe distance from each other to prevent contagion and recommended a suspension of production at its factories from Friday. Production will be halted at VW's Spanish plants, in Setubal in Portugal, Bratislava in Slovakia and at the Lamborghini and Ducati plants in Italy before the end of this week, Diess said. Most of its other German and European factories will prepare to suspend production, probably for two to three weeks, while Audi said separately it would halt output at its plants in Belgium, Germany, Hungary and Mexico. Volkswagen's vast factories in Chattanooga, Tennessee, in Puebla, Mexico, and plants in Brazil were not affected, but that would depend on how the coronavirus spreads, VW said. Volkswagen has 124 production sites worldwide of which 72 are in Europe, with 28 in Germany alone. "2020 will be a very difficult year. The coronavirus pandemic presents us with unknown operational and financial challenges. At the same time, there are concerns about sustained economic impacts," Diess said.   Production in China resumes Volkswagen Group sold 10.96 million vehicles last year, putting it ahead of Toyota based on the latest figures from the Japanese carmaker. Globally, VW employs 671,000 people and it delivered 4.86 million vehicles to European customers in 2019. Only last month the car and truck maker based in Wolfsburg, Germany, predicted that vehicle deliveries this year would match 2019 sales and forecast an operating return on sales in the range of 6.5% to 7.5%. "The spread of coronavirus is currently impacting the global economy. It is uncertain how severely or for how long this will also affect the Volkswagen Group.

The mood at this year’s Paris Motor Show: Quiet

The Paris Motor Show, held every other year in the early fall, typically kicks off the annual cavalcade of automotive conclaves, one that traverses the globe between autumn and spring, introducing projective, conceptual and production-ready vehicle models to the international automotive press, automotive aficionados and a public hungry for news of our increasingly futuristic mobility enterprise. But this year, at the press preview days for the show, the grounds of the Porte de Versailles convention center felt a bit more sparsely populated than usual. This was not simply a subjective sensation, or one influenced by the center's atypically dispersed assemblage of seven discrete buildings, which tends to spread out the cars and the crowds. There were not only fewer new vehicles being premiered in Paris this year, there were fewer manufacturers there to display them. Major mainstream European OEM stalwarts such as Alfa Romeo, Fiat, Nissan and Volkswagen chose to sit out Paris this year, as did boutique manufacturers like Bentley, Aston Martin and Lamborghini. This is not simply based in some antipathy on the part of the German, British and Italian manufacturers toward the French market — though for a variety of historical and societal reasons that market may be more dominated by vehicles produced domestically than others. Rather, it is part of a larger trend in the industry. Last year, Mercedes-Benz announced that it would not be participating in the flagship North American International Auto Show in 2019 — and that it might not return. Other brands including Jaguar/Land Rover, Audi, Porsche, Mazda and nearly every exotic carmaker have also departed the Detroit show. Some of these brands will still appear in the city in which the show is taking place, and host an event offsite, to capitalize on the presence of a large number of reporters in attendance. And even brands that do have a presence at the show have shifted their vehicle introductions to the days before the official press opening in an attempt to stand out from the crowd. In many ways, this makes sense. With an expanding number of automakers, with diversification and niche-ification of models and with wholesale shifts that necessitate the introduction of EV or autonomous sub-brands, there is a growing sense that, with everyone shouting at the same time, no one can be heard.

Valentino Balboni launches Lamborghini parts company

After 40 years of helping Lamborghini develop some of the greatest supercars on the road, former test driver Valentino Balboni is going back to work. Balboni recently unveiled his own company, aptly named VB, which will specialize in aftermarket components for Lamborghinis. VB's first matter of business is to give Lamborghini's most hardcore supercar a better sound. Set to launch at the Concorso Italiano during this year's Pebble Beach Concours d'Elegance week, VB's first aftermarket part is a titanium exhaust system for the Lamborghini Aventador LP-750 SV. The titanium exhaust system weighs in at 13.8 pounds and is a bolt-on part that uses OEM mounts. Each exhaust system takes over 350 hours to make and will be limited to a production run of 30 units. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Pricing for the exhaust system hasn't been announced, but drivers with the means to pay hundreds of thousands of dollars for an Aventador SV should be able to afford some aftermarket goodies. Balboni has an extensive history with Lamborghini. After starting as a mechanic's apprentice, Balboni went on to become a test driver at Ferruccio Lamborghini's request. Before retiring in 2009, Balboni was said to have driven roughly 80 percent of the automaker's entire production. Lamborghini even named a supercar after him, the 2010 Lamborghini Gallardo LP550-2 Valentino Balboni, as a way of saying thank you. It looks like Balboni isn't done with Lamborghini, yet, and VB's titanium exhaust system for the Aventador SV should be an aural delight. Related Video: Featured Gallery VB Lamborghini Aventador SV Exhaust System Related Gallery Lamborghini Aventador LP 750-4 Superveloce: Geneva 2015 View 21 Photos News Source: Facebook, Valentino BalboniImage Credit: Valentino Balboni Auto News Aftermarket Lamborghini Performance exhaust system valentino balboni lamborghini aventador sv lamborghini aventador lp 750-4 superveloce