FORD FUELS RESEARCH: Ford is to spend £1bn over the next six years on British research and development projects designed to improve the fuel efficiency of its vehicles, as the European arm of the US carmaker realigns investment priorities.
The investment is a noticeable chunk of the company's $8bn a year global R&D budget and is mostly reallocated from other projects. Executives said some planned investments - including new models based on existing vehicles - had been delayed or scrapped to free up this cash.
The investment follows a rethink of Ford's approach to the environment, which led earlier this month to the dumping of a commitment by Bill Ford, chairman and chief executive, to have the capacity to make 250,000 hybrid petrol-electric cars a year by 2010. Ford has the worst US fuel efficiency of any carmaker and is frequently targeted by environmental protesters.
RICK WAGONER TO STAY ON BOARD AT GM: General Motors CEO Rick Wagoner insisted yesterday he planned to keep his job even if the automaker strikes an alliance with rivals Renault and Nissan. "I have no intention of leaving my position at GM. We are in the middle of a huge turnaround that's getting a lot of momentum, and we really need to stay focused on that," he said when asked if he would step down should Carlos Ghosn, chief executive of both Renault and Nissan, get a seat on GM's board.
FIAT ACCELERATES GROWTH: Europe's new car registrations fell 4.1 per cent in June, partly due to fewer working days, but Fiat managed to buck the trend to post the highest growth among its peers, according to industry figures. Registrations totalled 1.49 million units for the month against 1.55 million for June last year. "This drop seems to confirm that market conditions remain uncertain," said ACEA, the European car manufacturers association.