TOP NEWS
* The Trump administration plans to greenlight the "One National Program," which would prevent California and other states from setting their own gas mileage per gallon rules, The Detroit News reported, citing sources. Another source added that the U.S. Environmental Protection Agency is also planning to revoke part of the Clean Air Act that California uses to set its own emissions standards, a move that would end the state's Advanced Clean Car Rule. Major carmakers and a group of states led by California have objected to Trump's proposals to relax fuel economy standards.
* In an exclusive interview with S&P Global Market Intelligence, Peugeot SA CEO Carlos Tavares said a no-deal Brexit would "destroy the lives of the next generation of people in the U.K." and urged politicians to strike an agreement. Tavares also called on regulators to take a more holistic approach in the push toward electrification and warned that current rules could render smaller cars economically unviable.
CARMAKERS
* Nissan Motor Co. Ltd. is considering exiting the South Korean market after sales plunged 88% year over year in August to 58 vehicles due to Tokyo-Seoul trade tensions and consumer boycotts, the Financial Times reported, citing sources.
* Nissan is not yet planning to replace CEO Hiroto Saikawa despite the revelation that he was overpaid, Reuters reported, citing sources. Though Saikawa admitted to receiving an extra ¥47 million through a bonus scheme, the carmaker is unlikely to remove him as the scheme was not technically illegal and was a product of Saikawa's predecessor Carlos Ghosn.
* General Motors Co. CEO and Chairman Mary Barra said her meeting with U.S. President Donald Trump was "productive and valuable" but did not disclose more details, CNBC reported.
* Renault SA's South Korean arm, Renault Samsung, introduced a voluntary resignation program that would be available to all workers except those with the lowest pay-grade, The Korea Times reported, citing industry officials. The "New Start Program" marks the company's first mass layoff scheme since 2012 and provides recipients with 36 months of pay along with other severance benefits. The Busan plant's labor union reportedly said it would employ "every possible measure" to defy the move.
ELECTRIC VEHICLES
* Volkswagen AG said that Porsche and its own-name brand will produce their flagship electric vehicles in Germany as scheduled, with the Porsche Taycan kicking off production on Sept. 9 in Zuffenhausen and the Volkswagen ID.3 production starting in November in Zwickau.
* Volkswagen unveiled a new e-up! model, an electrified version of its Beetle car that has a 260-kilometer range and a 32.3-kWh battery. Customers will be able to purchase the zero-emission vehicle for €21,975 or lease it at €159 per month.
* The German economy ministry said it is planning to form a second battery cell consortium and that preliminary agreements could be announced by autumn, but it did not specify which companies or countries would be participating, Reuters reported.
* Tesla Inc. CEO Elon Musk said it will take a Model S vehicle to the Nürburgring race track, sparking rumors that it plans to beat the time set by Porsche's new Taycan model, Electrek reported. The Taycan, which was reportedly built to rival the Model S, completed the circuit in 7 minutes and 42 seconds.
* German engineering company Voith Turbo GmbH & Co. KG said it agreed to develop electrical drive systems with Chinese locomotive parts company CRRC Corp. Ltd.
AUTONOMOUS AND CONNECTED VEHICLES
* General Motors will integrate Google apps, navigation and voice assistant technologies into the infotainment systems of its Chevrolet, Buick, GMC and Cadillac models from 2021.
* Navigation services company TomTom NV launched its latest self-driving test vehicle equipped with a specialized map and road-sensing functions. Separately, the company said the amount of level 1 and 2 self-driving vehicles equipped with its services had doubled. TomTom will also team up with HELLA GmbH & Co. KGaA's computer vision subsidiary Aglaia to improve its high-definition map using crowdsourced camera data.
MOBILITY SERVICES
* Deutsche Bank initiated coverage of ride-hailing company Lyft Inc. at "buy" with a price target of $70, according to a research note. Lyft's stock could be bottoming despite better-than-expected second-quarter earnings, research analyst Lloyd Walmsley wrote in the note.
* GrabTaxi Holdings Pte Ltd. plans to invest $150 million in artificial intelligence to build a "do-it-all" super app in Southeast Asia, Bloomberg News reported, citing Grab co-founder Tan Hooi Ling.
POLICY, REGULATIONS AND SAFETY
* United Auto Workers vice president Terry Dittes said the union's wage deal negotiations with General Motors are "progressing slowly," The Detroit News reported. The UAW plans to secure an agreement with General Motors to use as a model deal in talks with Ford Motor Co. and Fiat Chrysler Automobiles NV.
* The European Automobile Manufacturers' Association named Eric-Mark Huitema its new director-general, effective Oct. 1. Huitema joins from IBM where he was global smarter transportation leader and replaces Erik Jonnaert, who will step down after six years at the post.
* A spokesman for China's Ministry of Commerce said policies to boost the country's automotive sector will be issued "in a proper timing," Gasgoo reported. The statement comes amid reports that China plans to encourage growth in the industry by relaxing or eliminating purchase restrictions on automobiles following 13 months of consecutive sales declines.
* Brazil's Economy Ministry said it will sign an auto agreement with Argentina but did not provide further details, Reuters reported.
* Carlos Ghosn's first trial is expected to start in March or April 2020, with his legal defense slated to outline their arguments in October 2019, the Nikkei Asian Review reported, citing sources. Nissan's ousted CEO faces charges of financial misconduct and underreporting his income by ¥9.1 billion yen.
* Volkswagen formed a 50/50 joint venture with Swedish battery producer Northvolt AB to build a battery plant for lithium-ion batteries in Salzgitter, Germany, as previously planned. Construction is set for 2020, with production slated for late 2023 or early 2024.
* Schaeffler AG unveiled a new set of electric motors scheduled to go into production in 2021.
AUTOMOTIVE RETAIL
* Nissan and Honda Motor Co. Ltd. saw sales in China grow 2% and 5.9% year over year in August to 129,659 and 124,155 vehicles, respectively, Gasgoo reported. Toyota Motor Corp. sold 129,200 vehicles in China during the month, down 3.8% year over year.
* Daimler AG's Mercedes-Benz brand sold 177,819 vehicles worldwide in August, up 14% year over year.
* Volkswagen's Audi brand sold 150,100 vehicles worldwide in August, down 2.5% year over year as Europe sales fell 4.7% to 57,400 vehicles.
* Chinese carmaker Geely Automobile Holdings Ltd. sold 101,223 vehicles worldwide in August, down 19% year over year as local sales dropped 20% to 98,015 vehicles.
COMMERCIAL VEHICLES
* Mercedes-Benz said it agreed to supply 130 of its Citaro hybrid buses to Bucharest, Romania.
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The day ahead
Early morning futures indicators pointed to a higher opening for the U.S. market.
In Asia, the Hang Seng rose 0.66% to 26,690.76, and the Nikkei 225 rose 0.54% to 21,199.57.
In Europe, around midday, the FTSE 100 was down 0.8% to 7,265.62, and the Euronext 100 was down 0.18% to 1,080.49.
On the macro front
The employment situation report, the quarterly services survey and the Baker-Hughes Rig Count report are due out today.
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