The SDAC-Ford National Dealer Convention held annually by Sime Darby Auto ConneXion (SDAC), the sole distributor for Ford in Malaysia, aims to recognise top-performing Ford dealerships in the country across key business categories including sales, aftersales, service operation excellence and business performance.
For 2021, the SDAC-Ford Ara Damansara dealership outlet was recognised as Best Overall Ford Dealership Outlet, and won this top distinction based on overall performance in sales and aftersales services. The dealership outlet also won the greatest number of awards amongst all Ford dealership outlets nationwide.
Commitment to deliver
SDAC-Ford Ara Damansara’s performance was attributed to its commitment to delivering on overall sales and aftersales performance despite the challenges brought on by the ongoing pandemic. It was also recognised for Overall Sales Target Achievement, Best Overall Sales Outlet (Champion), Best Overall Aftersales Outlet (2nd Runner-Up), Aftersales CVP (Customer View Point) Excellence (Central region), and Parts Sales Target Achievement (Central region).
“We are truly honoured to be named the 2021 Best Overall Outlet despite being in operation for only 2 years. This recognition is a testament to our strong commitment in delivering outstanding business performance while ensuring service excellence throughout the entire ownership journey. We remain steadfast in pursuing excellence and in providing world-class service to all our Ford customers,” said Steven Kong, Dealer Principal of Sime Darby Auto Connexion-Ford which is located at the Sime Darby Motors City complex in Ara Damansara, Selangor.
Full range of services
The outlet offers a complete range of services and has a showroom displaying the latest Ford models available in the Malaysian market, as well a fully-equipped service centre on the upper levels of the building. For customers waiting for their vehicles being serviced, there is a comfortable and spacious area with refreshments and light snacks available, as well as complimentary wifi service.
To know more about the services offered at SDAC-Ford Damansara and other Ford outlets in Malaysia, visit www.sdacford.com.my.
After disruptions to its activities over the past two years, the TOYOTA GAZOO Racing Festival (TGR Festival) is expected to be able to proceed smoothly and with a full calendar for Season 5 this year. As before, the highlight will be the Vios Challenge one-make series which has been extremely popular, as well as the GR Velocity Esports Championship.
In the 4 seasons so far, the TGR Festival and Vios Challenge has successfully attracted more than 8 million spectators and online viewers, with social media reach exceeding 19 million, to make it one of the most watched domestic motor-racing events.
“Racing has opened up a multitude of opportunities for Toyota domestically and we will continue to build on this strong momentum to drive both the Toyota and GAZOO Racing brands ahead with exciting activities as well as products,” said UMW Toyota Motor President, Ravindran K.
Season 5 will have 3 rounds and a total of 6 races with Round 1 being run on March 18 – 20), followed by Round 2 in June (24-26) and the third and final round in September (23-25). Two of the rounds will be held at the Sepang International Circuit and one will be a purpose-built street circuit (venue not mentioned yet).
Over the years, the Vios Challenge circuits have been specially designed at venues in Penang, Johor, Terengganu and the Klang Valley. Spectators have liked such circuits as they can be closer to the action – but safely behind protective barriers.
The street circuits (specially built for the races) allow the spectators to be closer to the cars as they race by, adding to the excitement.
4 race classes
The races will again be divided into 4 classes – Promotional Class for local celebrities; Super Sporting Class for top-level and professional drivers; Sporting Class for amateur and gentlemen drivers; and the Rookie Class for young drivers new to racing.
In total, there will be more than a half a million ringgit in prize monies, with RM70,000 and RM50,000 going the overall champion of the Super Sporting and Sporting Class champions, respectively, at the end of the season. This makes the Vios Challenge the most lucrative motorsports event in the country, which has been the case for the last 5 years.
The cars are all similar in performance, so it’s mainly driver skill that makes the difference. The tight purpose-designed street circuits have made for close racing which spectators enjoy seeing.
Affordable series for all
The format of a one-make series in the Vios Challenge has made it attractive and affordable for not only amateur racers, but also the professionals, many of whom are in teams supported by Toyota dealers. Affordability and the level playing field it created also began attracting young drivers to participate and in Season 3, a 16-year-old was remarkably crowned the overall champion in the Sporting Class.
Today, the series has grown to include even talented rookies competing under the GAZOO Racing Young Talent Development Program which is envisaged to provide more young drivers between the ages of 16 and 20 with an impactful and affordable platform to transition into saloon car racing in Malaysia.
Naquib Azlan, one of the talented rookies of the GAZOO Racing Young Talent Development Program who performed impressively in his first season.
Additionally, from the very first season, the Vios Challenge has been the only event of its kind to have a class for local celebrities to race against each other. The races have been crowd-pullers, with fans of the celebrities following them to each venue and cheering for them. Special sessions have been organised at each round so they can also get close to their favourite celebrities.
The celebrities who race have many fans who follow them to each race and in between races, there are opportunities for the fans to meet them.
Additional events
Also included in this year’s GAZOO Racing calendar will be the Vios Sprint Cup, which is run independently from the Vios Challenge. Two rounds are scheduled for April and July in tandem with the Malaysia Championship Series (MCS). Each round will have 2 races with a total of more than RM200,000 in prize monies. The event will provide even more racing and rewards for participating drivers, teams and dealers already signed up to compete in the Vios Challenge.
Last year’s season also saw a night race being run for the first time in the Vios Challenge.
GAZOO Racing will also continue to make its presence felt in the national series by once again entering a team to participate in the Sepang 1000KM Endurance Race (S1K) in November. The race will also see the second running of the Vios Enduro Cup which will have a RM30,000 prize purse.
“Overall, the objective of our racing activities is to contribute to growth of Malaysian motorsports from all aspects – to not only provide an affordable platform for competition; to grow awareness and appreciation for motorsports amongst the masses; and to uncover, develop and provide a conducive platform for the nation’s next generation of young and talented drivers to step up in motor-racing,” said Mr. Ravindran.
Finals of the GR Velocity E-sports Championship in 2020.
E-Sports series in fifth season
Besides the real racing on the tracks, racing will also continue online with the fifth season of the GR Velocity Esports Championship. Billed as one of the most lucrative local online racing series in the country, the championship (first held in 2018) today attracts close to 1,000 participants with more than 1 million online spectators. UMW Toyota Motor continues to have the distinction of becoming the first and the only Malaysian car company to be directly involved with E-sports activities related to motor racing.
New GR products
Expect to see new GR and GR-Sport models during the year, along with enhancement of the GR Garage network and activities nationwide. Besides new models, Toyota and GAZOO will be organizing of GR driving clinics, experiences and activities for the owners to enable them to fully enjoy the high performance of their cars safely. They will be able to fully immerse themselves and get the most from owning a GR vehicle.
The current models available in Malaysia are the GR Supra, GR Yaris and GR Sport Vios. The GR-Sport Vios, assembled at UMW Toyota Motor’s own plant in Bukit Raja, Selangor, is a tribute to the Vios Challenge racing cars. It is also the very first ASEAN-manufactured vehicle to wear the GR badge.
Toyota GR-Sport Vios – first ASEAN-manufactured vehicle to wear the GR badge.
Efforts are already underway to enhance and expand on UMW Toyota Motor’s network of dedicated GR Garages nationwide which are the only outlets that offer GR models. This will include offering a comprehensive aftermarket parts list as well as merchandise for GR and Toyota owners.
GAZOO Racing has also announced the continuation of 3-time Vios Challenge Super Sporting Class champion Tengku Djan Ley as its Malaysian Ambassador. Tengku Djan was instrumental in assisting to develop the GR-Sport Vios.
Special mention should be made of Akio Takeyama who, besides his role as Deputy Chairman of UMW Toyota Motor, was also the Chief Motorsports Officer. Besides being a driving force for the racing series, he personally took part in the Vios Challenge for all four seasons, racing together with the celebrities. Mr. Takeyama’s tenure in Malaysia ended recently and he will be taking on a new position in Toyota Motor Corporation in Japan. His successor as Deputy Chairman is Takashi Obata.
“I would like to record my excitement and commitment to chart the way forward for GAZOO Racing to continue to make an impactful and valuable contribution to Malaysia – via our involvement in motorsports and the development of young talent, through more GR experiences and touchpoints through our GR vehicles, the assembly of GR-Sport vehicles in Malaysia, the expansion of the GR Garage network and the offering of performance parts and merchandises for Toyota and GR customers,” said Mr. Obata.
With the explosive growth in SUVs for many years now, demand for replacement tyres for such vehicles has obviously been growing. So besides offering passenger car tyres, companies have now to also offer SUV tyres which have to be a bit more robust and handle heavier loads, and be off-road capable.
There are many brands on the market nowadays which offer SUV tyres but it’s always better to buy tyres from a reputable and known brand. BFGoodrich is a brand in the Michelin group, so it is obviously a trusted brand and Michelin Malaysia has brought in a new tyre from the brand for SUVs.
The new tyre is the Trail-Terrain T/A, a premium ‘on-road plus’ tyre which can perform well on highways and also handle light off-road motoring (which is what most SUV owners do). Its performance is due to having an optimized footprint design, and resistance to chipping and tearing, and a serrated shoulder design optimized for soft-soil traction without increased road noise.
The tread has Full-Depth 3D Locking Sipes that provide good tread block stability for even wear so tread life can be longer. The tyre also provides a quiet and comfortable ride on all surfaces.
The Trail-Terrain T/A is available in 41 sizes so it covers a wide range of SUV models and can also be used for pick-up trucks. However, availability of sizes will be dependent on dealer’s stock, but they should be able to order from Michelin Malaysia anyway. The tyre covered by a 6-year manufacturer’s warranty.
The new BFGoodrich tyre is suitable for many SUVs and pick-up trucks, including the Nissan X-Trail (above) and Isuzu D-MAX (below).
“The BFGoodrich Trail-Terrain T/A responds to the post-covid adventure mindset and the growing DIY trends that target drivers of All-Wheel-Drive crossover utility vehicles, sports utility vehicles and light trucks. These are adventure-ready vehicles offering versatility for hobbies, carrying gear, and outdoor recreational activities – perfect for the next exploration ahead,” said Michelin Malaysia’s Managing Director, Oliver Biggart.
Electric vehicles and the technologies associated with them are still developing and evolving. And just like the early years of the auto industry over 100 years ago, there’s fragmentation as different approaches are taken and different technologies are explored. That’s part of the reason why EV technologies are still costly – because they cannot reach a point where they are stable and economies of scale can start to kick in to lower costs.
Even with recharging the battery packs, there are different systems and connectors. In China, swapping entire battery packs in one approach. While the ideal is to enable owners to recharge their vehicles at home, it is not entirely practical and outdoor charging stations are needed. The common approach has been to provide a station and a cable connects to the charging point on the vehicle.
So far, we haven’t heard of cables being stolen but there is a possibility of that happening in future as more EVs are in use, and cables (which are not cheap) become valuable items. In most cases, the cable system will likely be the common method for charging but some companies are also looking at wireless charging which will not require cables. The technology is already available for smartphones so applying it to EVs is also possible.
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BMW was the first car market to offer wireless charging and ran a pilot program in America three years ago. Its system used a wireless charging from a pad on the ground and planned to introduce it more widely. However, it may have been the pandemic that has delayed the plans as nothing else has been heard about it.
In the meantime, Volvo Cars has begun testing wireless charging technology and has a 3-year program with a taxi company. The company will have a small fleet of fully electric Volvo XC40 Recharge cars which will be run in Volvo’s home city of Gothenburg in Sweden. They will be charged wirelessly at special stations around the city of about 600,000 people.
In total, the cars will be used for more than 12 hours a day and each will cover 100,000 kms per year, which also makes this the first durability test of fully electric Volvo cars in a commercial usage scenario.
The charging starts automatically when a compatible vehicle parks over a charging pad embedded in the street. The drivers can remain in their car while charging takes place. Electric energy is sent through the charging pad, which is picked up by a receiver unit under in the car. To easily align the car with the charging pad, there is a 360-degree camera system.
For the fully electric XC40 Recharge, the wireless charging power will be more than 40 kW, making the charging speeds around 4 times faster than a wired 11 kW AC charger, and almost as fast as a wired 50 kW DC fast-charger.
The wireless charging test is one of many projects outlined within the strategic initiative Gothenburg Green City Zone, under which designated areas within the city are used as live testbeds for the development of sustainable technologies.
“Gothenburg Green City Zone lets us try exciting new technologies in a real environment and evaluate them over time for a potential future broader introduction,” said Mats Moberg, Head of Research & Development at Volvo Cars. “Testing new charging technologies together with selected partners is a good way to evaluate alternative charging options for our future cars.”
Polestar, the Swedish car brand in the Geely Group, began its existence as a racing team before its expertise was used to start developing high-performance Volvos. It must have done pretty good work that Volvo decided to acquire it in 2015 and designate it as a high-performance division. After Geely acquired Volvo, Polestar was made a company on its own specialising in electric vehicles. And as its background was in high-performance products, it is focussed on high performance.
So far, the company has come out with two production models with others on the way. It has shown a concept car called Precept which will become a production model eventually. And more recently, it surprised the automotive world with a second concept car, this time a roadster. Called the Polestar O2, this is a hardtop convertible which shows that even with in the electric age, there will still be sportscars that can offer driving pleasure.
‘Hero car’ for the brand
“Polestar O2 is the hero car for our brand,” said Thomas Ingenlath, Polestar’s CEO. “It opens the door to our ‘secret chamber’ of future potential. This is a taste of what we can design and engineer with the talent and technology we have in-house. It looks incredible, and being able to lower the roof and not hear an engine promises a superb sensation.”
The driving experience with the O2 is designed to be lively, light and full of confidence. Predictability and playfulness are core to exciting, spirited driving. Tight body control, high rigidity and intuitive dynamics are inherent benefits of the bespoke bonded aluminium platform, which is adapted from the upcoming Polestar 5, developed in-house by the R&D team in the UK.
The high quality and rigidity of the bonded aluminium platform are geared towards heightened dynamic response. Handling dynamics are taut thanks also to small roll angles and high roll damping, and the agile, direct steering feel is linear, with great steering torque build-up.
Related to Precept concept
Clearly related to the Precept concept car but with its own distinct character, the look of O2 shows how Polestar’s evolving design language can be adapted to different bodystyles with a strong family resemblance. The low and wide body with an assertive stance, compact 2+2 cabin design, minimal overhangs and a long wheelbase, embody classic sportscar proportions but with a clearly modern, electric feel.
Aerodynamics are manipulated to maximise range, thanks to disguised design features like integrated ducts that improve laminar airflow over the wheels and body sides, and the rear lights that function as air blades to reduce turbulence behind the car.
Sustainability and technology
The O2 also showcases advances in sustainability and technology. A new thermoplastic mono-material features extensively in the interior. The term ‘mono-material’ describes the use of a single base material to manufacture different components. In the O2, recycled polyester is the sole material used for all the soft components of the interior: foam, adhesive, 3D knit fibres and non-woven lamination. This simplifies recycling and is a significant step towards greater circularity, while also reducing weight and waste.
Polestar’s sustainability teams believe that materials should be recycled, not downcycled. In the O2, they have integrated a new method of controlling recycled content and improving circularity of metal components. Different grades of aluminium are used throughout the chassis to help deliver a thrilling driving experience.
These different grades are labelled, allowing them to be recycled more effectively and for their properties to be retained. High grade aluminium remains high grade, while other grades maintain their varied characteristics, allowing for greater material efficiency and a lower requirement for virgin aluminium.
Integrated autonomous drone
As a special feature, the O2 features an autonomous cinematic drone integrated behind the rear seats. Developed in collaboration with Aerofugia’s consumer electronics brand Hoco Flow, the concept drone can be deployed while the car is moving. An integrated aerofoil can be raised to prevent turbulence behind the seats where the drone launches from.
Once in the air, it can follow the car at speeds up to 90 km/h and be set to autonomously record video from above. A control panel on the dashboard allows the driver to choose between an atmospheric sequence – great for a coastline cruise – or a more action-filled sequence with a sportier expression. After filming, the drone can autonomously return to the car. Video clips can be edited and shared directly from the 15-inch centre display when the car is parked.
“We wanted to emphasise the experience you can have with a car like the Polestar O2 in new and unusual ways,” said Maximilian Missoni, Polestar’s Head of Design. “Integrating an autonomous cinematic drone was something that allowed us to push the boundaries on the innovation front. Not needing to stop and off-load the drone before filming, but rather deploying it at speed, is a key benefit to this innovative design.”
Polestar has not said it will make the O2 for sale but given the enthusiastic response to it, perhaps they may consider. In any case, there are three cars confirmed over the next 3 years and each ‘has potential to gradually realise some of the ideas presented by these concept cars’, the company said.
For the auto industry, this decade is one which will require a major decision to be made on the type of vehicles to produce in future. It is clear that, besides going back to horse carriages, electrification of motorcars is the quickest solution to addressing one of the contributors to climate change. While there are ongoing debates about the actual benefits of electric vehicles (EVs) from a total perspective (including generating the lectricity), it cannot be denied that EVs generate no emissions and that can make a difference to air quality.
The industry has already begun its path to electrification and many have announced targets that will see 100% or almost 100% of the vehicles they produce and sell being fully electric by the end of this decade. But can this full-scale transformation take place globally? Can every country on the planet do away with combustion-engined vehicles and use only electrically-powered ones?
This is something the carmakers are grappling with and as Toyota has said, they do not want to leave any customer behind [by offering only EVs). Other carmakers have also said that they will introduce EVs in markets where conditions are acceptable and offer other solutions for those which cannot afford EVs in the immediate future. This can mean offering hybrid electric vehicles (HEVs) which are a bit less costly or try to cleanse the emissions of the combustion engine as much as possible.
Ford’s approach
Ford has announced its approach which will be to cover both the EV segment and the ‘old’ segment where combustion-engined vehicles will still be in demand. It will have two business units in its company as part of the Ford+ plan introduced last May. There will be two distinct, but strategically interdependent, businesses – Ford Blue and Ford Model e – the former focussing on products with combustion engines and the latter to be fully focussed on EVs and have the agility of a start-up.
Driving the change was recognition that different approaches, talents and, ultimately, organizations are required to develop and deliver of electric and digitally connected vehicles and services, while also fully capitalize on the company’s iconic family of internal combustion engine (ICE) vehicles.
Ford has over 100 years of experience in manufacturing motor vehicles and it will draw on this vast experience to continue making conventional combustion engine vehicles as well as the new generation of EVs.
“This isn’t the first time Ford has reimagined the future and taken our own path,” said Ford Executive Chairman, Bill Ford. “We have an extraordinary opportunity to lead this thrilling new era of connected and electric vehicles, give our customers the very best of Ford, and help make a real difference for the health of the planet.”
Dedicated EV division in China
The creation of Ford Model e was encouraged by the success of small, mission-driven Ford teams that developed the Ford GT, Mustang Mach-E SUV and F-150 Lightning pickup as well as Ford’s dedicated EV division in China.
“Ford Model e will be Ford’s centre of innovation and growth, a team of the world’s best software, electrical and automotive talent turned loose to create truly incredible electric vehicles and digital experiences for new generations of Ford customers,” explained Ford President & CEO, Jim Farley.
Continuing with iconic models
“Ford Blue’s mission is to deliver a more profitable and vibrant ICE business, strengthen our successful and iconic vehicle families and earn greater loyalty by delivering incredible service and experiences. It’s about harnessing a century of hardware mastery to help build the future. This team will be hellbent on delivering leading quality, attacking waste in every corner of the business, maximizing cashflow and optimizing our industrial footprint,” he said, adding that the company will continue to invest in combustion engines.
Ford’s President stressed that company will continue to invest in internal combustion engines and offer them in some models under the Ford Blue brand.
Ford Model e and Ford Blue will be run as distinct businesses, but also support each other – as well as Ford Pro, which is dedicated to delivering a one-stop shop for commercial and government customers with a range of conventional and electric vehicles and a full suite of software, charging, financing, services and support.
Making ownership experiences better
Back in the ‘dotcom era’ over 20 years ago, Ford was an early promoter of online media for its business. In this decade, Ford Model e also will lead on creating a new shopping, buying and ownership experience for its future EV customers that includes simple, intuitive e-commerce platforms, transparent pricing and personalized customer support from Ford ambassadors. Ford Blue will adapt these best practices to enhance the experience of its ICE customers and deliver new levels of customer connectivity and satisfaction.
The carmaker expects to spend US$5 billion on EVs this year, a two-fold increase over 2021. By 2026, Ford aims to produce more than 2 million EVs annually, which will represent about one-third of the company’s global volume. This is expected to rise to half by 2030, capturing with EVs the same, or even greater, market shares in vehicle segments where Ford already leads.
“This new structure will enhance our capacity to generate industry-leading growth, profitability and liquidity in this new era of transportation,” said John Lawler, Ford’s Chief Financial Officer. “It will sharpen our effectiveness in allocating capital to both the ICE and EV businesses and the returns we expect from them – by making the most of existing capabilities, adding new skills wherever they’re needed, simplifying processes and lowering costs. Most importantly, we believe it will deliver growth and significant value for our stakeholders.”
Alfa Romeo is one of the older names in Formula 1, having been in Grand Prix races even before the championship began in 1950. Unlike Ferrari, its presence has not been constant although whenever it has been present, it has been enthusiastically supported by fans. Its longest presence as a team was in the 1980s when it participated for 6 years and ceased after the 1950 season. Then in 2019, the name returned when Sauber was rebranded as Alfa Romeo marking the factory’s return to the sport as a constructor. They contracted Kimi Raikkonen and Antonio Giovinazzi as drivers until 2021.
In 2022, they will have 10-times race winner, Valtteri Bottas, coming from the successful Mercedes-AMG PETRONAS team as well as GuanYu Zhou, the first F1 driver from China and the only rookie on the grid this year. Robert Kubica will be the reserve driver for the team.
The drivers for 2022 will be Valtteri Bottas (centre) and newcomer Zhou Guanyu (left), with Robert Kubica as reserve driver (right).
The team has maintained the Sauber convention for its racing car designations, starting with C38 in 2019 car so for 2022, three years later, the new car is designated the C42. The official team name will be the same as before – Alfa Romeo F1 Team ORLEN – with the title sponsor again being the Polish petroleum company.
The C42 has eye-catching livery, a stunning yet subtle nod to the past, recalling historical designs of years past and the heritage of Alfa Romeo and Sauber Motorsport. It is the 30th year of F1 for the Sauber Motorsport team which is based in Hinwil, Switzerland.
Created by the Centro Stile Alfa Romeo, the new livery gives the car a powerful, recognisable identity. The paintwork is a perfect blend of the two dominant colours, red and white. The engine area is painted red, with a diagonal cross-section that conveys the dynamism of the car’s body. The historic Alfa Romeo lettering fits into the diagonal as a reference to the early 20th century, having made its debut on the brand’s racing cars in the 1920s.
‘Tonale’ can be seen below, the name of a new SUV model that has recently been unveiled. The Quadrifoglio symbol of sportiness can be found in the upper section, alongside the diagonal dividing line between red and white. The Italian flag is included on the back of the spoiler, proudly featuring the wording ‘Alfa Romeo’.
As with all the other F1 cars for 2022, the C42 has been developed and built under the budget cap regulations and for the new era of F1 which sees significantly new technical regulations. These regulations, which cover aerodynamic aspects, have required the design to be a radical departure from the past.
It embraces the possibilities dictated by the new ground-effect floor, updated aerodynamic package and larger 18-inch, low profile tyres. The C42 is powered by a new and improved Ferrari engine, and has been designed for the closer racing and competitive fighting which the new regulations are expected to create.
“The 2022 championship promises to be the most compelling one in recent years. The new regulations, the new driver line-up and a brand-new car represent a veritable revolution for F1 and especially for the team. At Alfa Romeo, we are intent on grasping all the opportunities that will arise. Also for Alfa Romeo, 2022 represents a year of ‘metamorfosi’. With Tonale, the brand looks ahead into the era of electrification and connectivity, remaining true to its DNA of noble Italian sportsmanship dating back to 1910. That’s why we were clear about putting the ‘Tonale’ name on the single-seater. We can’t wait to see the red light go out to kick off an exciting F1 championship,” said Jean Philippe Imparato, CEO of Alfa Romeo.
Like all carmakers, Kia Corporation has formulated strategic plans for the rest of this decade, not just with respect to electrification but also for the bigger picture of mobility. The company aims to be more than just a car manufacturer and be a Sustainable Mobility Solutions Provider. To achieve this vision, its roadmap builds on the successful ‘Plan S’ strategy first announced in 2020. This corporate vision is supported by three key pillars – people, planet and profit.
The company has set 4 key business targets to reach by 2030. These core business aims are: accelerating electrification and achieving annual sales of 1.2 million battery electric vehicles (BEVs) by the end of the decade; reaching 4 million annual vehicle sales by 2030s; expanding the application of connected car features and autonomous driving technologies to all new vehicles; and of course, become the No. 1 brand in the global purpose-built vehicle (PBV) market.
During a recent CEO Investor Day event, Ho Sung Song, President & CEO of Kia Corporation, said: “Kia has been undergoing a full-scale transformation which has included changes in corporate vision, logo, product and design, and strategy. To achieve the company’s vision of becoming a Sustainable Mobility Solutions Provider, we will focus on accelerating the transition to future business models. We will become even more customer-centric in our approach and pursue a dynamic transformation while maintaining sound business operations.”
During the 2 years since first revealing its Plan S strategy, Kia has recorded its highest ever gross revenue and operating profit (in 2021). It aims to continue this positive momentum to create further value in both qualitative and quantitative aspects from 2022 onwards.
How to reach 4 million units?
Starting with an annual global sales goal of 3.15 million units in 2022, Kia will progressively increase annual volumes to 4 million units, which will be a 27% increase from its target for 2022. As part of this quantitative growth, the company will also expand sales of eco-friendly vehicles such as BEVs, plug-in hybrid electric vehicles (PHEVs) and hybrid electric vehicles (HEVs). In coming years, the proportion of eco-friendly cars will go from 17% of global sales in 2022 to 52 per cent in 2030.
The EV6, launched last year and voted 2022 European Car of the Year, is just the beginning of Kia’s EV offensive.
The increase in proportion will be more evident in major markets with strong environmental regulations and a growing demand for EVs. These are markets such as Korea, North America, Europe and China, and the proportion will go up to 78% by 2030.
14 BEV models by 2027
Kia aims to solidify its position as the world’s leading EV maker and to achieve this, it will expand its BEV product line-up. The present line-up is limited but from next year, there will be at least 2 BEVs per year, with a full line-up of 14 BEVs by 2027. Compared to its previous plan to release 11 models by 2026, Kia will also add 2 electric pick-up trucks – a dedicated electric pickup truck and a strategic model for emerging markets – and an entry-level BEV model.
Its EV range will be topped by a flagship model, the EV9, set for launch in 2023. Although the EV9 will be a large SUV with a total length of around 5 metres, it will have a claimed acceleration of 0 – 100 km/h of 5 seconds, and range of approximately 540 kms. Advanced technologies will allow for 100 kms of driving range on just a 6-minute charge.
A first for Kia, the EV9 will also feature OTA (Over the Air) and FoD (Feature on Demand) services that will allow customers to selectively purchase software functions. In addition, it will be the first model to be equipped with Kia’s advanced AutoMode autonomous driving technology.
Prototype of the EV9 which will be the flagship of Kia’s EV range when it is launched next year.
1.2 million BEV sales in 2030
New models like the EV9 will help Kia increase sales of its BEVs from the 160,000 units planned for this year to 807,000 units in 2026, and 1.2 million in 2030. That’s a 36% increase from the 2030 EV target announced during last year’s CEO Investor Day, indicating that the company is going to take a more aggressive approach. Kia projects that over 80% of its BEV sales in 2030 will come from Korea, North America, Europe and China, and a 45 per cent share of total Kia sales will come from these major markets.
A Kia factory in Slovakia.
To meet the demands of the expanding volume of EVs each year, the roles of individual production sites will evolve. Korea will serve as a global hub for R&D, production and supply of EVs, while other global production sites will produce strategic EVs for each market.
In Europe, for example, small and medium-sized EVs will be produced starting from 2025. In the USA, where mid-sized SUVs and pick-ups are popular, electric versions of these models will be produced locally from 2024. In China, Kia plans to introduce mid-size EV models from next year, and for India, there will be entry and mid-size EV models from 2025 produced there.
Kia EVs will use the Hyundai Group E-GMP specially developed for Battery Electric Vehicles.
Batteries are a crucial item for BEVs as they supply energy to power the motors so Kia is planning to upgrade its battery technology, and establish a battery supply and demand strategy. While establishing a stable battery supply and demand system by outsourcing to global battery companies, Kia also plans to get batteries from the Indonesian battery cell joint venture. As crucial a factor as supply will also be cost, and Kia is working towards reducing system costs by 40%t, thereby enhancing price competitiveness.
Autonomous driving technology
Autonomous vehicles will come in future and Kia is actively developing the technologies which will be branded ‘AutoMode’. This will include a Highway Driving Pilot feature which would enable driving without driver intervention on highway sections. It will make its first appearance in the EV9 next year, and by 2026, all new models launched in major markets will be available with AutoMode. The adoption rate is expected to surpass 80% and in the long term, the company plans to further upgrade AutoMode technology and implement fully autonomous driving technology.
Since being established 73 years ago, Honda Motor has been able to remain independent instead of becoming part of a bigger group. On its own, it has been able to successfully manage its business and endure even the most challenging periods without having to surrender its independence. However, the 21st century sees the auto industry changing and with the move towards electric vehicles (EVs), the cost of developing entirely new technologies is very high. In April, Honda became the first Japanese automaker to declare its intention will stop selling combustion-engines vehicles by 2040.
So even though Honda has preferred to be a ‘lone ranger’, it has been forming strategic alliances with some companies in the area of EVs because it is crucial to remain competitive in the new field, and sharing resources is more realistic. Honda has already agreed with General Motors to jointly develop two all-new EVs for Honda’s range, based on GM’s global EV platform. The EVs will be manufactured at GM plants in North America with sales expected to begin in 2024 for that market.
New joint-venture company
On another front, Honda will be working with Sony Group Corporation to develop EVs as well. The two companies have signed a Memorandum of Understanding (MoU) that outlines their intent to form a joint venture company through which they plan to engage in the joint development and sales of high value-added battery electric vehicles (BEVs) and commercialize them in conjunction with providing mobility services. The new company is expected to be established before the end of this year.
The Honda e, a fully electric EV model, is already on sale in Europe.
This alliance aims to bring together Honda’s mobility development capabilities, vehicle body manufacturing technology and aftersales service management experience, while Sony has expertise in the development and application of imaging, sensing, telecommunication, network, and entertainment technologies.
Sony has already developed EVs
Honda has already developed a few EV models for sale, with the Honda e having received a good response in Europe. Sony has also been developing its own EVs, with two prototypes displayed earlier this year at CES 2022 in Las Vegas. The prototypes appear to have reached quite an advanced stage and have been shown in real-world road-testing.
Sony’s two EVs which were shown at CES 2022 earlier this year.
While Sony announced in January that it would start a new unit called Sony Mobility which would handle commercialization of EVs, this move may well have been too challenging for the company which does not have experience in making cars. Honda, on the other hand, has been producing many fine cars with its decades of experience. As Sony would have vast experience in electronics, which are dominant in EVs, its expertise will be very useful.
So it remains to be seen whether Honda will adopt Sony’s concepts – called VISION-S – or come out with a new design. If they want to do a new design, they have less than 3 years to do so as the plan is to start sales of the first model from the new company in 2025.
A new brand name?
There is also a possibility that the new EVs will have separate branding rather than be sold as Honda or Sony products. This is because the agreement is for the new company ‘to plan, design, develop, and sell the EVs’. It is agreed that Honda will be responsible for manufacturing the first EV model at its own factory.
Honda has had many decades of experience manufacturing cars. not only in Japan but also in other countries.
“The New Company will aim to stand at the forefront of innovation, evolution, and expansion of mobility around the world, by taking a broad and ambitious approach to creating value that exceeds the expectations and imagination of customers. We will do so by leveraging Honda’s cutting-edge technology and know-how in relation to the environment and safety, while aligning the technological assets of both companies. Although Sony and Honda are companies that share many historical and cultural similarities, our areas of technological expertise are very different. Therefore, I believe this alliance which brings together the strengths of our two companies offers great possibilities for the future of mobility,” said Toshihiro Mibe, Director, President, Representative Executive Officer & CEO of Honda Motor.
The actions of Russia in the conflict in Ukraine have been condemned by much of the world community and where, in the past, military actions by other countries would have been initiated – making the conflict even worse – the approach today is to use other non-military means to ‘persuade’ Russia to stop. Economic sanctions are one powerful approach which has had an effect on Russia and various organisations have also taken actions to alienate the country.
The motorsports community has also taken a stand, which started with many of the drivers in Formula 1 expressing an unwillingness to take part in the Russian Grand Prix scheduled as Round 17 in September. The Formula 1 organisation has gone further and terminated the contract with the organisers of the Russian Grand Prix – and not just for this year. The official position is that there will no longer be a F1 event held in Russia although that can well change in future.
The Russian Grand Prix was first run in 2014 and held for 8 years until 2021. The races have been run on a street circuit in Sochi, the host city of the 2014 Winter Olympics. The Mercedes-AMG team has won every year, with Lewis Hamilton winning 5 times, Valtteri Bottas twice and Nico Rosberg once.
Will there be a replacement?
The slot for the cancelled Russian Grand Prix could either be left empty, which means a 2-week gap betwee the Italian GP in Monza and the Singapore Grand Prix. If the organisers must have their 23 rounds, then they would either look for another venue in Europe or even consider one in Asia. Vietnam was preparing for its first-ever F1 race but the COVID-19 pandemic prevented it and it may well try again to be a host. And don’t forget Malaysia also has a F1-ready track…
FIA’s decisions
The FIA – the governing body of international motorsport – has also announced a number of decisions made in relation to the Ukraine conflict. In accordance with the International Olympic Committee recommendations, motorsport events will not be allowed (until further notice) to take place in Russia and Belarus, and no flag/symbol or anthem of Russia/Belarus is to be used in international/zone competitions.
Drivers, competitors and officials are also affected by the same decisions as no Russian/Belarusian national teams can participate in international/zone competitions (eg FIA Motorsport Games). However, Russian/Belarusian drivers, individual competitors and officials are still allowed to participate in international/zone competitions only in their neutral capacity and under the ‘FIA flag’, subject to specific commitment and adherence to the FIA’s principles of peace and political neutrality. The FIA also forbids any display of Russian/Belarusian national symbols, colours, flags (uniform, equipment and car) or the playing of associated anthems at events.
Additionally, representatives from Russian/Belarusian FIA Members are to step aside temporarily from their roles and responsibilities of elected officers/commissions’ members. No FIA grant will be awarded to the Russian/Belarusian FIA Members, and no existing FIA grant funding will be paid to them as well.
“I want to thank the Council members for their prompt action in deciding these measures in the interests of sport and peace. We stand in solidarity with Leonid Kostyuchenko, the President of the Federation Automobile d’Ukraine (FAU) and the wider FIA family in the country. The measures taken today recognise the authority of the FAU in Ukraine and are also aligned with the recommendations recently made by the International Olympic Committee. We are in active discussions with our members as we continue to extend our compassion and support in their time of need. We sincerely hope for a peaceful resolution to their intolerable hardship,” said the new FIA President, Mohammed Ben Sulayem, after chairing an extraordinary meeting of the World Motor Sport Council.
URAKALI and Nikita Mazepin
Among the current teams taking part in Formula 1, there is one Russian driver and one major sponsor – Nikita Mazepin and Urakali, which is a major sponsor of his American-owned team, Haas F1. Understanding the sensitivity of association with anything Russian, Haas removed Urakali’s name from its racing cars before the final day of testing in Spain. Incidentally, Urakali, a fertilizer company in Russia, is owned by Mazepin’s father.
The URAKALI name disappeared (below) from the Haas F1 racing car on the final day of testing in Spain. URAKALI is a Russian fertilizer company owned by Nikita Mazepin’s father.
Nikita Mazein, 23, may not get a chance to continue racing in F1 after having started last year.
Mazepin’s future with the team has also been uncertain. There are rumours that the 23-year old driver who began driving in F1 last year will likely be dropped by the team although the FIA has stated that it is possible for him to race as a ‘neutral’ party. If he is removed, his place alongside Mick Schumacher could be taken by Pietro Fittipaldi, the team’s reserve driver.
