Auto blog

Audi rumored to buy Alfa Romeo, officials deny it

For more than two years, Volkswagen has been making public statements about its willingness to buy Alfa Romeo and quadruple the Italian brand's sales, and for just as long, Fiat CEO Sergio Marchionne has replied with some version of "Mr. Piëch, drop it." According to a report in Ward's Auto, all that jousting might be over: it claims that sources close to both Marchionne and Audi CEO Rupert Stadler admit that the two are in talks for Audi to buy not just Alfa Romeo, but a production plant in Italy. In fact, a final deal could possibly include partsmaker Magnetti Marelli.
Against that backdrop, a report by German news weekly Stern quotes a Fiat spokesmen as saying it doesn't comment on rumors and an Audi rep has said flatly that "There is no substance in the news." If a sale is being arranged, the timing would seem to point to how eager Fiat is to raise cash to complete its major initiatives. Even though Alfa Romeo continues to delay its return to the US, it just showed off the production version of the 4C at the Geneva Motor Show (shown above) and said that preferred Fiat dealerships here would get them. Then there's Alfa's recently concluded deal with Mazda to develop a roadster based on the next generation MX-5 Miata - a deal that would seem to help both the Italian and Japanese brands.
The monetary issues are troublesome, though. Fiat is taking a beating in the European market and its weak-kneed balance sheet is delaying gotta-have-it products like the Jeep Cherokee. Fiat has been talking to banks about getting money to buy the rest of Chrysler and those financial institutions have also raised issues about debt and cash reserves, and the nasty game of chess Fiat is playing with the United Auto Workers (and now the court system about the portion of Chrysler it doesn't own) could end up blowing another hole in Marchionne's plans. It is possible that this could finally have convinced Fiat to at least see how serious Audi's parent company, Volkswagen, is about buying Alfa Romeo. Or it could be just another rumor.

VW, Rivian, Nissan, BMW, Genesis, Audi and Volvo lose EV tax credits starting tomorrow

The U.S. Treasury said Monday that Volkswagen, BMW, Nissan, Rivian, Hyundai and Volvo electric vehicles will lose access to a $7,500 tax credit under new battery sourcing rules. The Treasury said the new requirements effective Tuesday will also cut by half credits for the Tesla Model 3 Standard Range Rear Wheel Drive to $3,750 but other Tesla models will retain the full $7,500 credit. Vehicles losing credits Tuesday are the BMW 330e, BMW X5 xDrive45e, Genesis Electrified GV70, Nissan Leaf , Rivian R1S and R1T, Volkswagen ID.4 as well as the plug-in hybrid electric Audi Q5 TFSI e Quattro and plug-in hybrid (PHEV) electric Volvo S60. The Swedish carmaker is 82%-owned by China’s Zhejiang Geely Holding Group. The rules are aimed at weaning the United States off dependence on China for EV battery supply chains and are part of President Joe Biden's effort to make 50% of U.S. new vehicle sales by 2030 EVs or PHEVs. Hyundai said in a statement it was committed to its long-range EV plans and that it "will utilize key provisions in the Inflation Reduction Act to accelerate the transition to electrification." Rivian declined to comment and the other automakers could not immediately be reached for comment. Treasury also disclosed General Motors electric Chevrolet Bolt and Bolt EUV will qualify for the full $7,500 tax credit. GM said earlier it expected at least some of its EVS would qualify for the $7,500 tax credit under the new rules, including the 2023 Cadillac Lyriq and forthcoming Chevrolet Equinox EV SUV and Blazer EV SUV. Treasury said all GM EVs will qualify. Earlier, Ford Motor and Chrysler-parent Stellantis said most of their electric and PHEV models would see tax credits halved to $3,750 on April 18. Treasury confirmed the automakers' calculations. The rules were announced last month and mandated by Congress in August as part of the $430 billion Inflation Reduction Act (IRA). The IRA requires 50% of the value of battery components be produced or assembled in North America to qualify for $3,750, and 40% of the value of critical minerals sourced from the United States or a free trade partner for a $3,750 credit. The law required vehicles to be assembled in North America to qualify for any tax credits, which in August eliminated nearly 70% of eligible models and on Jan. 1 new price caps and limits on buyers income took effect.

New Audi design chief Massimo Frascella shaped cars for Jaguar Land Rover

At the Audi brand, style and design have long been a high priority; think the super sleek and sexy A7 sedan, the Bauhaus-inspired TT coupe, the single-frame grille that instantly identified the marque with its down-the-road graphics. So when the Bavarians install a new head of design, that’s also worth a look. Massimo Frascella is that person, a 52-year-old Italian designer who this summer will succeed Marc Lichte. Lichte ran Audi design since 2014 and will take up a new role within the Volkswagen Group. Frascella, a student at the Istituto d`Arte Applicata & Design in Turin, ignited his career at Stile Bertone, and his resume after that evolves impressively. He subsequently held positions at Ford Motor Company and Kia, and since 2011, Frascella has held senior positions at Jaguar Land Rover. He was responsible for the creation of several models: Discovery Vision Concept (2014), Discovery Sport (2014), Discovery (2016), Velar (2017), Evoque (2019) and Defender. In 2019 he became creative director of Land Rover and in 2020 design director. He was also instrumental in the development of the range of new electric Jaguars that are in the works. “Joining Audi is a very special moment for me,” Frascella said. “I am deeply honored to assume the role of chief creative officer and to guide such a talented team in shaping the future of the brand to new heights of innovation and distinction. I believe in the emotional power of design to inspire, connect, and drive change, and I am here to nurture and promote creativity as the beating heart of our brand.” Looking back a couple of decades, it was one of FrascellaÂ’s predecessors who helped to cement AudiÂ’s reputation in automobile design: Walter de Silva. De Silva was appointed head of Audi design in 2002. From 2007 to 2015, he supervised the design strategy for the entire Volkswagen group, including the TT, the Scirocco, the Passat and the Golf. Not a bad list of achievements, but in a interview several years ago, de Silva said that he considered the 2007 Audi A5 coupe the pinnacle of his automotive design art, citing its “sex appeal, the shape of the lights, the architecture.” Design/Style Audi Jaguar Land Rover Volkswagen Automotive History