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West Coast labor dispute hampers Japanese automakers' US plants

The ongoing labor dispute between the International Longshore and Warehouse Union and port owners along the West Coast is starting to affect more Japanese automakers building vehicles in the US. The issue already forced Honda and Subaru to take the expensive option of airlifting some parts into the US weeks ago, and according to USA Today, Toyota and Nissan have begun doing so, as well. The choice hasn't been cheap, though, and Subaru's chief financial officer estimated that the decision cost around $60 million more per month than sending components by cargo ship. The effects continue to radiate, according to USA Today, and shortages of some models are possible. Honda is slowing production at its factories in Ohio, Indiana and Canada because the automaker doesn't have enough transmissions and electronics for some vehicles. Toyota already cut back on overtime at some factories. Nissan has only seen a small effect from the issue, though, because of its local suppliers. Dock workers and port owners have been negotiating on a new contract since last year, and the union has organized work slowdowns in response. According to USA Today, the automakers could move shipments to Canada or Mexico, but it would take longer for parts to arrive. News Source: USA TodayImage Credit: Mark Ralston / AFP / Getty Images Earnings/Financials Plants/Manufacturing UAW/Unions Honda Nissan Subaru Toyota shipping port labor dispute

US expands probe into ZF-TRW airbag failure-to-deploy to 12.3 million vehicles

DETROIT — U.S. auto safety regulators have expanded an investigation into malfunctioning airbag controls to include 12.3 million vehicles because the bags may not inflate in a crash. The problem could be responsible for as many as eight deaths. Vehicles made by Toyota, Honda, Kia, Hyundai, Mitsubishi and Fiat Chrysler from the 2010 through 2019 model years are included in the probe, which was revealed Tuesday in documents posted by the National Highway Traffic Safety Administration. It involves airbag control units made by ZF-TRW that were installed in the vehicles. The control units can fail in a crash, possibly because of unwanted electrical signals produced by the crash itself that can disable an air bag control circuit housed in the passenger compartment, according to NHTSA documents. The electrical signals can damage the control circuit, the documents say. ZF, a German auto parts maker which acquired TRW Automotive in 2015, said in a statement that it's committed to safety and is cooperating with NHTSA and automakers in the investigation. The case is another in a long list of problems with auto industry airbags, including faulty and potentially deadly Takata airbag inflators. At least 24 people have been killed worldwide and more than 200 injured by the inflators, which can explode with too much force and hurl dangerous shrapnel into the passenger cabin. The inflators touched off the largest series of automotive recalls in U.S. history involving with as many as 70 million inflators to be recalled by the end of next year. About 100 million inflators are to be recalled worldwide. On April 19, NHTSA upgraded the ZF-TRW probe from a preliminary evaluation to an engineering analysis, which is a step closer toward seeking recalls. So far, only Hyundai and Kia and Fiat Chrysler have issued recalls in the case. Four deaths that may have been caused by the problem were reported in Hyundai-Kia vehicles and three in Fiat Chrysler automobiles. NHTSA opened an investigation in March of 2017 involving the TRW parts in Hyundais and Kias. The upgrade came after investigators found two recent serious crashes involving 2018 and 2019 Toyota Corollas in which the airbags did not inflate. One person was killed. Jason Levine, executive director of the Center for Auto Safety, a nonprofit consumer group, said the ZF-TRW case shows the auto industry thus far has learned very little from Takata.

Lower gas prices mean there are excellent deals on green cars right now

The phenomenon was big enough to make news in 2006, then in 2008, in 2011, in 2012, in 2013, and again last year: a big move in gas prices means a big move in alternative-fuel-vehicle sales. True Car's TrueSavings report, which averages transaction prices across the country to figure out what people are paying compared to MSRP, shows that electric cars and hybrids are ripe for excellent savings right now. The Ford Focus Electric presents the greatest disparity, with the average transaction price of $25,168 representing a 16.1-percent saving off its $29,995 MSRP. The Kia Optima Hybrid and Toyota Prius also snagged spots in the top five, with the Kia offering a 10.7-percent discount and the Toyota a 10.1-percent discount. One hybrid managed to show up among the top five lease offers, too: the Lincoln MKZ Hybrid is just $315 a month for 36 months after $3,875 down in some markets. Alt-energy vehicles got bumped out of the top five finance deals, however. That was dominated by light trucks and, oddly, two subcompacts. The press release below has more details. TrueCar finds hybrids, EVs top list of best savings in January Gasoline price plunge = savings for consumers on alternative fuel vehicles SANTA MONICA, Calif., Jan. 15, 2015 /PRNewswire/ -- Ford's Focus Electric hatchback, which sells at an average of 16 percent off MSRP, tops January's list of best savings on new vehicles, according to TrueCar, Inc. (NASDAQ: TRUE), the negotiation-free car buying and selling platform. The "TrueSavings" monthly report analyzes current transaction prices and identifies opportunities for consumer savings. "Fuel savings are not top of mind to many consumers right now, and that makes this a great time to buy a hybrid or electric vehicle," said John Krafcik, president of TrueCar. "With gasoline prices now averaging just $2.10 per gallon, and vehicle preferences tied so closely to short-term gasoline prices, automakers are heavily discounting their most fuel-efficient cars to clear inventories." Toyota's Prius, the world's best-selling alternative fuel vehicle for more than a decade, also makes January's list of best savings. Customers who purchase a Prius Two model this month can save 10 percent off the hybrid car's $25,025 MSRP. "Gasoline prices and vehicle type preferences are strongly related, and this relationship is cyclical in nature," said Krafcik.