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Recharge Wrap-up: Nissan Leaf in Puerto Rico, BMW i3 REx tax-free in NJ, BC2BC cancelled [UPDATE]

*UPDATE: Nissan has released a video of the Leaf in Puerto Rico, so we've embedded it below. Envia Systems will develop battery technology for United States Advanced Battery Consortium (USABC), a subsidiary of the United States Council for Automotive Research (USCAR). The $7.7 million contract, co-funded by the US Department of Energy (DOE), involves a 36-month development program focusing on high-energy cathode and anode material for lithium-ion batteries and pouch cells for electric vehicles. The goal, of course, is to create better energy storage for less money in an effort to make commercial EVs more efficient and affordable. For the DOE, this also equates to energy security, energy independence and national security. Read more in the press release at the bottom of the page. The US and China have agreed to work together more closely on EVs, energy and climate issues. US Secretary of Energy Ernest Moniz went to Beijing for the sixth US-China Strategic and Economic Dialogue to meet with leaders. While there, Moniz and Wu Xinxiong of China's National Energy Administration (NEA) signed a memorandum of understanding allowing the DOE and NEA to share information regarding oil reserves. The groups will meet yearly to learn more about how each other manages petroleum stockpiles and policy. Moniz also met with Minister Miao Wei of the Chinese Ministry of Industry and Information Technology and signed an MOU to cooperate on electric vehicles and "related technologies," including the "inter-operability of electric vehicles." Read more at the Energy Department website. August's BC2BC all-electric vehicle rally, billed as the largest gathering of electric vehicles, has been cancelled. The event, which was to include a drive up the entire coast from Mexico to British Columbia with smaller events along the route, failed to bring in the needed sponsorship to hold the rally for its third year. A Facebook post from organizer Tony Williams also cited loss of venue and lack of support from automakers - "particularly Nissan and Tesla" - as hardships. The event was scheduled to take place August 9 through 17, with only battery electric vehicles invited to take part - no plug-in hybrids or range-extended vehicles. Williams said he'd only try a similar event in the future if sponsorship were provided up front. Read more at Green Car Reports. The Nissan Leaf will finally go on sale in Puerto Rico.

Is your new-car warranty good at the race track?

We've all heard the horror stories. Your buddy knows a girl that was dating a guy whose best friend's brother once broke his brand-new, recently purchased performance car while making runs at a drag strip or laps at a track day, and the manufacturer wouldn't cover the repair under warranty. True story? Urban legend? Complete crap? Yes, no, maybe. One thing's for sure: Automotive warranties have always come with caveats. In 1908, an ad in the Trenton Evening Times clearly stated: "All Ford Cars Guaranteed for One Year." Although it changed over time, by 1925 the Ford New Car Guarantee only covered 90 days on material and 30 days on labor, and it clearly stated that that there was "No guarantee whatever on Fan Belts, Glass, Bulbs, Wiring, Transmission, Bands, Hose Connections, Commutator Shells, Rollers, Spark Plugs or Gaskets." Whether or not Ol' Henry would pay to fix your Model T if you broke it shaving a tenth off your lap time at the local board track seems to be lost to history. We're guessing no. But what about today? Do new-car warranties in 2017 cover cars when they are driven on race tracks? We researched the warranties of 14 auto brands to find out, and the answer is yes, no, maybe, depending on the brand, in some cases the model, and whether or not your car is modified from stock. Acura has been out of the high-performance car game for a number of years, but jumps back into the party in 2017 with its hybrid-powered $173,000 NSX supercar. And Acura's warranty, as well as Honda's, clearly states that it does not cover "the use of the vehicle in competition or racing events." View 33 Photos So we asked Sage Marie, Senior Manager of Public Relations for Honda and Acura. "If the car is stock, the warranty covers it on a track just as it does on the street. No question," he told us. "However, if the car is modified, say with slick tires or other components that would put higher stresses on the vehicle's parts and systems, then we would have to investigate the circumstances further." Marie went on to say the same would be true for any Acura model or Honda vehicle, including the new 2017 Honda Civic Si. This became a common theme. Chevrolet actually started this practice with the fifth-generation Camaro on the high-performance ZL1 and Z/28 models.

Foreign automakers pay from $38 to $65 per hour to non-union workers

As leaders for the United Auto Workers gather in Detroit for their Special Convention on Collective Bargaining to work out the negotiating stance for this year's new labor agreements with the Detroit 3 automakers, what they most want to do is figure out how to eliminate the two-tier wage scale. However, the lower Tier 2 wage has allowed the domestic automakers to reduce their labor costs, hire more workers, and compete better with their import competition. As it stands, per-hour labor rates including benefits are $58 at General Motors, $57 at Ford, and $48 at Fiat-Chrysler – a reflection of FCA's much greater number of Tier 2 workers. The Center for Automotive Research released a study of labor rates (including benefits) that put numbers to what the imports pay: Mercedes-Benz pays the most, at an average of $65 per hour, Volkswagen pays the least, at $38 per hour, and BMW is just a hair above that at $39 per hour. Among the Detroit competitors, Honda workers earn an average of $49 per hour, at Toyota it's $48 per hour, Nissan is $42 per hour, and Hyundai-Kia pays $41 per hour. The lower import wages are aided by their greater use of temporary workers compared to the domestics. Automotive News says the ten-dollar gap between those foreign camakers and the domestics turns out to about an extra $250 per car in labor, which adds up quickly when you're pumping out many millions of cars. That $250-per-car number is one that, come negotiating time, the Detroit 3 will want to reduce, as the UAW is trying to raise both Tier 1 and Tier 2 wages. Another wrinkle is that the domestic carmakers are considering the wide adoption of a third wage level lower than Tier 2. Some workers who do minor tasks like assembling parts trays kits and battery packs already make less than Tier 2, but the UAW will be quite wary about cementing yet another wage scale at the bottom of the system while it's trying to fight a bigger battle at the top. News Source: Automotive News - sub. req., BloombergImage Credit: AP Photo/Erik Schelzig Earnings/Financials UAW/Unions BMW Chevrolet Fiat Ford GM Honda Hyundai Kia Mercedes-Benz Nissan Toyota Volkswagen labor wages collective bargaining labor costs