VEHICLES/ TECH / TRANSPORTATION/LOGISTICS
O83/FEBRUARY 2O21
MIDDLE EAST
LI CENSED BY D U BAI D EVELO PM ENT AU TH O RIT Y
G N I E B F O Y R U T HE LUX
E N O R E B NUM
and n o i t a t u p e its r n o d l i u b s xu Can AFM Le E’s A U e h t n i stay ahead e nt ? m g e s r a c premium
L A T I G I D G G OI NS THE VIRTUAL MASSES
T&FME JOIN EGA-EVENT M H C E T S E AT THE C
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Al-Futtaim Auto & Machinery Co. LLC, Dubai: +971 4 213 5100 Dubai Investments Park: +971 4 815 4800 Abu Dhabi: +971 2 502 9100 Ras Al-Khaimah: +971 7221 6120 e-mail: famco@alfuttaim.ae, https://www.famcouae.com/
CONTENTS
CONTENTS FEATURE
20 / A NEW ERA FOR GM T&FME reports back from the US giant’s breathtaking CES 2021 showcase.
ALSO THIS ISSUE … NETWORK
06 / NEWS FROM THE MONTH
06
10
12
26
30
32
ENOC opts for United Diesel and Renault Trucks for its fleet renewal. LAUNCHES
10 / HINO-AUTO-EURO-3 Hino to unleash automatic MDT for Euro 3 buyers in the GCC. INTERVIEW
12 / PREMIUM POST-COVID T&FME talks to Carlos Montenegro to learn why Al Futtaim Lexus is focused on the premium fleet market. INDUSTRY
16 / SO THIS IS STELLANTIS Special coverage on one of the biggest ever mergers in the automotive industry. TECHNOLOGY
26 / CES 2021 OVERVIEW T&FME looks at the wild range of tech on show at this year’s (Covid-disrupted) CES event in Las Vegas. MARKET ANALYSIS
30 / DRIVER SURVEY Ford talks to the drivers in the UAE and Saudi Arabia in a ground-breaking survey. PARTING SHOT
32 / DHL DL ON OIL AND GAS DHL takes a look at why digitalisation could unlock up to $2.6tn in the oil and gas sector.
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FEBRUARY 2021 01
NETWORK
GROUP MANAGING DIRECTOR RAZ ISLAM raz.islam@cpitrademedia.com +971 4 375 5483 MANAGING PARTNER VIJAYA CHERIAN vijaya.cherian@cpitrademedia.com +971 4 375 5472 EDITORIAL EDITOR STEPHEN WHITE stephen.white@cpitrademedia.com +44 7541 244 377
TIME FOR CAUTIOUS OPTIMISM Could we see a return to pre-COVID growth before the year is out? One of the GCC’s keenest eyes on the market belong to Vishal Pandey of Glasgow Consulting Group and as T&FME went to press this month he released his latest thoughts on the market. Too late to get into this issue as a fully fledged article but nonetheless it’s a timely positive outlook at a time where we remain cautiously optimistic about the months ahead. Pandey says in his report that, and I quote: “In Q3 2020, containment measures had been relaxed in most parts of the GCC, leading to the resumption of activities to some extent. This translated into a rapid quarter-over-quarter GDP expansion in Q3 2020. However, GDP growth, when measured against the same quarter of last year, remained in the negative territory in Q3 and Q4, given prolonged restrictions and their impact especially across sectors such as travel and tourism, hotels and restaurants, entertainment, and education. “Demand is likely to improve with the lifting of lockdowns, but remain muted, on account of job losses and a dampened consumed sentiment. From Q1 2021, we expect a positive rebound in GCC GDP, with GDP returning to full recovery by Q4 2021. The GCC car market experienced a dip of 70 to 80%
drop in footfalls during the peak of the pandemic; however, there are signs of recovery happening from Q3 2020 and the market is expected to reach its pre-covid growth trajectory by last quarter of 2021.” Pandey is naturally cautious over the potential for further waves of the pandemic hitting the market even as vaccines continue to be rolled out and predicts we could soon see a recovery in truck sales, with light duty sales likely to accelerate fastest. As Pandey alludes to, the COVID-19 crisis has pushed consumers and customers even further into the digital space and many fleets have followed them. Changing their own business models at break neck speed to catch the boom in e-commerce and last mile connectivity. My concern is, as ever, that some fleets simply don’t have the resources, knowledge and knowhow to make this transition quickly. Even the sharpest operation doesn’t guarantee the best online presence. In fact, some fleets have concentrated their efforts on the service element to existing clients while neglecting a wider market they could reach – if only they had a proper digital strategy. I can’t see this being anything but at the top of the agenda at the forthcoming Truck and Fleet Conference on 22 March, 2021 – the Coronavirus notwithstanding. See you there.
DEPUTY EDITOR PAUL GODFREY paul.godfrey@cpitrademedia.com ADVERTISING SALES MANAGER BRIAN FERNANDES brian.fernandes@cpitrademedia.com +971 4 375 5479 DESIGN ART DIRECTOR SIMON COBON simon.cobon@cpitrademedia.com DESIGNER PERCIVAL MANALAYSAY percival.manalaysay@cpitrademedia.com PHOTOGRAPHY MAKSYM PORIECHKIN maksym.poriechkin@cpitrademedia.com CIRCULATION & PRODUCTION PRODUCTION MANAGER VIPIN V. VIJAY vipin.vijay@cpitrademedia.com +971 4 375 5713 DISTRIBUTION MANAGER PHINSON MATHEW GEORGE phinson.george@cpitrademedia.com +971 4 375 5476 WEB DEVELOPMENT SADIQ SIDDIQUI ABDUL BAEIS FINANCE ACCOUNTS SHIYAS KAREEM shiyas.kareem@cpitrademedia.com +971 4 375 5474 CREDIT CONTROL EXECUTIVE CAMERON CARDOZO cameron.cardozo@cpitrademedia.com +971 4 375 5499 FOUNDER DOMINIC DE SOUSA (1959-2015)
The publisher of this magazine has made every effort to ensure the content is accurate on the date of publication. The opinions and views expressed in the articles do not necessarily reflect the publisher and editor. The published material, adverts, editorials and all other content are published in good faith. No part of this publication or any part of the contents thereof may be reproduced, stored or transmitted in any form without the permission of the publisher in writing. Publication licensed by Dubai Development Authority to CPI Trade Publishing FZ LLC. Printed by Printwell Printing Press LLC.
STEPHEN WHITE EDITOR, TRUCK&FLEET ME STEPHEN.WHITE@CPITRADEMEDIA.COM 02 FEBRUARY 2021
CPI Trade Media. PO Box 13700, Dubai, UAE. +971 4 375 5470 cpitrademedia.com © Copyright 2021. All rights reserved.
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NETWORK
MOST POPULAR
READERS’ COMMENTS
FEATURED
CONSULTANT
SAUDI ARABIA TO END QATAR BLOCKADE
Revealed: Middle East Consultant 2020 award winners
I think we can all warmly welcome this news (Saudi
Arabia to end Qatar blockade) but there is a long way to go until Qatar can prove it can be a fully fledged partner in the GCC. PROPERTY
It’s been a number of years
Samana Developers increases salesforce in anticipation of positive 2021
since I made the hop from Sharjah to Doha on the early morning Fly Dubai flight. Many of our visits then were part of a strategy
ANALYSIS: How Dubai is topping the GCC’s LEED rankings
to break into the FIFA World Cup 2022 construction market and it proved a frustrating process
CONSTRUCTION
wrapped in streams of red
Emaar EC sets up $479mn fund for Rixos Emerald Shores in KSA
tape and a long search for a local partner that was more interested in good business than excessive profiteering. Having said that, there was a time when Qatar was taking the initiative on things like safety and sustainability – hopefully
CONSULTANT
those virtues remain
UAE becomes world’s first country to produce aluminium using solar power
relevant. Our return to the market will be a tentative one but we are optimistic that the past three years have taught everyone that you must arrive on the Corniche with a solid understanding of what is required, proper legal
CONSTRUCTION
Qatar seeks fresh bids for Facility E IWPP water and power project
04 FEBRUARY 2021
MARKET REVIEW: Development in Bahrain where next for the kingdom?
backing and an open mind. Name withheld by request
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NETWORK
ENOC OPTS FOR RENAULT RENEWAL / MICROMOBILITY COMES TO FUJAIRAH PRO DRIVERS MUST FOLLOW BELT RULES / QATAR RE-OPENS TO GCC
NETWORK United Diesel fuels ENOC operation’s growth ENOC SNAPS UP EIGHT NEW RENAULT TRUCKS C 380 TRACTOR HEADS FROM UNITED DIESEL FLEET Eight new C 380 Renault Trucks tractor heads will be used to deliver fuel to ENOC service stations across the UAE. Renault Trucks’ exclusive authorised distributor for Dubai and Northern Emirates United Diesel handled the sale of the new trucks, with ENOC noting that the units will enhance its existing fleet, “in line with ENOC’s plans to partner with leading global brands that offer customerfriendly, cost-effective solutions”. The Renault Trucks C 380 Tractor Head 6x2 with rear liftable axle offers superior driver comfort,
exceptional reliability and optimal fuel efficiency, making it ideal for regional and long-haul applications. It is equipped with a range of features ensuring a high level of safety, for the driver as well as for other road users. According to Renault Trucks: “The cab of the C 380 is built around the driver. All controls are at the driver’s fingertips, while there is also a 7’’ HD LCD information display and seats with fitted red seat belts designed by Recaro. The design of the windshield and side mirrors guarantee clear visibility around the cab with minimum
blind spots, essential for helping keep other road users safe.” The C 380 units ordered by ENOC also arrive with a complete suite of safety features including: an automatic parking brake; EBS (Electronic Braking System); ESC (Electronic Stability Control) to help maintain route stability control in difficult conditions; and AEBS (Advanced Emergency Braking System), which uses a radar unit and a camera to detect an imminent risk of collision. The LDWS (Lane Departure Warning System) alerts the driver when it detects the
vehicle is unintentionally deviating beyond the lane markings, so they can react in time to avoid an accident, said Renault Trucks. The C 380 is also equipped with a fuel-efficient DXI 11 Euro 5 engine and OPTIDRIVER gearbox and the CALS (Centralized Automatic Lubrication System), “to ensure maximum uptime and lower service and repair costs.” Renault Trucks and United Diesel added they will be delivering specialist after-sales 24/7 support, including driver and technician training, and a comprehensive repairs and maintenance contract.
STREAMLINING IMPROVEMENTS TO THE RTA’S MANAGEMENT OF THE DUBAI TRANSPORT NETWORK HELPED IT TO SAVE 30 MN LITRES OF FUEL
06 FEBRUARY 2021
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NETWORK
ABU DHABI URGES COMMERCIAL DRIVERS TO BELT UP FLEET
FENIX LAUNCHES FUJAIRAH’S FIRST E-SCOOTER SERVICE MICROMOBILITY
Micromobility operator FENIX is partnering with Fujairah Holding and Fujairah Municipality to provide on demand e-scooters to residents and visitors of Fujairah. According to the firm, the unique collaboration will deploy Fenix’s purpose-built light electric vehicles across Fujairah. The first vehicles to be rolled-out at the Fujairah Corniche and then into other communities in the coming weeks. All FENIX e-scooters are equipped with integrated hand sanitization packs, enabling residents and visitors to commute across the coastal Emirate with safety and ease, said FENIX. “Commuters around the world are seeking affordable and convenient transportation options and we see a universal demand for micromobility in cities of all sizes,” said Jaideep Dhanoa, Co-Founder and CEO, FENIX. “ Smaller cities are often underappreciated but they are where most of the world resides. “FENIX is committed to unleashing urban potential in all cities, and are thrilled to enter this partnership with Fujairah Holding and Fujairah Municipality, providing the first shared electric scooter service in the emirate, in line with our commitment to invest in all seven UAE emirates in 2021.” Fujairah will be the micromobility service provider’s fifth operating city in the region and fourth in the UAE, following its launches in Abu Dhabi, RAK and Dubai. FENIX has the largest fleet of purpose built electric scooters in the MENAT region. meconstructionnews.com
Most drivers, commercial and private, will be aware of Abu Dhabi’s new DARB system: from 2 January, it’s been activated during peak times on the four bridges leading into Abu Dhabi, with AED4 charged for each crossing, up to a maximum daily fee of AED16 per vehicle. A second system has seen the Emirate activate radars all across the city to spot and caution motorists who are not putting on seat belts and using mobile phones while driving. The system is called VAST (Vehicular Attention and Safety Tracker). The ‘VAST’ technology aims to preserve the safety of drivers, passengers and all road users, as well as raising awareness and educating
the community on the importance of following safe driving habits. The radar, developed by Abu Dhabi Police, captures high-resolution images under a variety of conditions via artificial intelligence cameras, which provide ‘smart’ analysis of images and rapidly detect seat belt and mobile phone violations. Offending drivers
will receive an SMS notification of the violation, insisting they rectify their behaviour immediately. The ‘VAST’ system was implemented in five phases and is a virtually error-free mechanism providing comprehensive coverage of the Abu Dhabi highways, claim authorities.
SAUDI ARABIA TO END QATAR BLOCKADE LOGISTICS An agreement to end almost four years of isolation for Qatar has been reached, with Saudi Arabia set to re-open its land and air border. The two GCC countries will once again share a border crossing for the first time since June 2017, it added that the move is, “the first step toward ending a years-long diplomatic crisis.” While welcoming the news, Anwar Gargash, the UAE’s Minister of State for Foreign Affairs, urged caution in a tweet, suggesting, “We have more work to do and we
are in the right direction.” UAE newspaper, The National, reported that the process was instigated following a phone call between Kuwait’s Emir Sheikh Nawaf, Qatari Emir Sheikh Tamim and Saudi Crown Prince Mohammed bin Salman. “Based on a proposal by Sheikh Nawaf, it was agreed that the borders between Saudi Arabia and Qatar would be reopened,” said the National. Speaking ahead of the 41st GCC Summit taking place this week - where the Qatar’s ruling emir, Sheikh Tamim bin Hamad Al Thani is now expected
to attend - Nayef Al Hajraf, Secretary General of the GCC, issued a statement noting that the move was “a reflection of sincere efforts being made to ensure the success of tomorrow’s summit across all areas despite the exceptional circumstances created by the pandemic. Today’s announcement once again proves that the GCC embodies a deep-rooted partnership that consistently overcomes challenges while advancing the interests of the GCC people thanks to the leadership and wisdom of its leaders.”
FEBRUARY 2021 07
NETWORK
AL MASAOOD WINS UD IMPORTER AWARD
TRUCKS
Al Masaood Commercial Vehicles & Equipment (CV&E) Division has won the coveted ‘UD Trucks MEENA Importer of the Year 2020’ award at the ‘Annual UD MEENA Partner’s Conference 2020.’ The award is annually passed to the
winner at the event which rounds up UD Trucks importers from across the Middle East and the East and North African countries. This year, the honour was passed to Al Masaood CV&E during a virtual conference for its “contributions and efforts to
overcome obstacles in a highly challenging market environment”. The award was given after the division demonstrated a strong performance in 2020 despite unprecedented difficult market circumstances. The event also took note of the division’s new strategies for 2021 to help it thrive under the prevailing global situation. In an impressive showing, the division also made the top three of numerous award categories, namely the ‘Parts Salesman of the Year;’ the ‘Service Salesman of the Year;’ the ‘Best Sales Team of the Year;’ the ‘Best Marketing Team;’ and the ‘Best Marketing Initiative of the Year.’
ETIHAD RAIL BEGINS AL DHAFRAH TRACKLAYING LOGISTICS Etihad Rail has announced that it has started tracklaying works across the Al Dhafrah Region, under Package A of Stage Two of the railway network project. The firm said it started works early in 2020 on Package A and has made steady progress, with half of the soil preparation works completed, and 79% of sand and rock cutting finished. Overall, 59% of Package A construction work stands completed, Etihad Rail explained. Sheikh Hamdan bin Zayed Al Nahyan, the Ruler’s
Representative in the Al Dhafra Region announced the launch of tracklaying works. He said the project has achieved key milestones, with construction progress of Stage Two accelerated, while Etihad Rail’s Stage One continues to “overachieve”, with 2020 operations outperforming 2019’s results. He was speaking to media during his visit to Etihad Rail’s railhead in Al Ruwais. Suhail bin Mohammed Faraj Faris Al Mazrouei, minister of Energy and Infrastructure, Dr. Sultan bin Ahmed Al Jaber, minister
of Industry and Advanced Technology and CEO of Abu Dhabi National Oil Company, took part in the ceremony along with Falah Mohammad Al Ahbabi, chairman of the Department of Municipalities and Transport and Etihad Rail board member and other senior executives. Sheikh Hamdan was briefed by Etihad Rail CEO Shadi Malak on the ongoing construction progress of Package A, which will connect the UAE rail network to Al Ghuwaifat on the Saudi border and the wider GCC region.
USING AI HELPS RTA REACH AN OPERATIONAL SURPLUS OF 61% TRANSPORT
Dubai’s Roads and Transport Authority (RTA) says a series of initiatives and the use of artificial intelligence (AI) has helped it to reach an operational surplus of 61%. The authority has also revealed that it has achieved record savings in the use of energy through 46 projects and initiatives that resulted in saving 45 million gallons of water and 39 million kilowatts/hour of electricity. According to the recently published RTA Sustainability Report 2019, the RTA led the region by recording the least road traffic fatalities of 2.3 cases per 100,000 of the population compared to 21.9 cases per 100,000 of the population in 2006. It has reached a customer satisfaction rating as much as 92. percent. The report was prepared according to the Global Reporting Initiative (GRI) Standards, and the Assurance Standards AA1000 2008 (AA1000AS) and the CEO of RTA’s Strategy and Corporate Governance Sector, Nasser Abu Shehab, said the progress outlined in the report reflects the RTA’s efforts to “improve the performance in social, environmental and economic standards. “The key areas of the sustainability framework had been categorised into three pillars, nine focus area and 30 elements that emphasised the RTA’s values, and balanced its business goals to ensure Dubai’s Sustainable future and estimated sustainable impacts of actions,” Bu Shehab said.
INSIDE THIS ISSUE: LEXUS PRESENTS DIGITAL PREMIUM IN THE UAE, CAN STELLANTIS SAVE PEUGEOT AND FIAT, GM AT CES 2021 AND MORE!
08 FEBRUARY 2021
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NETWORK
PAUL GODFREY JOINS T&FME TEAM APPOINTMENT
With immediate effect, Paul Godfrey returns to CPI Trade Media to work as Deputy Editor across the titles Truck & Fleet Middle East and Construction Machinery Middle East. Many of you may remember Paul from his roles as MC at previous editions of the Truck & Fleet & Conference UAE and the Access & Handling Summit - and now, as well as further developing the events’ agendas and profile, he’ll be playing a new role in enriching the content and editorial voice of their anchor publications. Paul is also a well-known media personality in the region, having pioneered magazines and events in the SME/ enterprise sector, and hosting groundbreaking conferences such as Bold Talks, Insurex and SME Beyond Borders. “Publishing is my natural home and I couldn’t be more delighted to return to CPI, which continues to build a pristine range of industry-leading titles with editorial integrity, featuring primary research and expert analysis that has great value for the growth and profitability of the sectors they represent,” Paul commented. One of Paul’s first tasks will be to complete the programme for the upcoming Truck & Fleet Conference which returns for its second event on 22 March, 2021 at the Radisson Red in Dubai, explained editor Stephen White. “I am delighted to reveal a new member of the team of Paul’s calibre,” he added. “Like any business, we are looking forwards at the start of 2021 and Paul’s background in SMEs will be vital in representing two exciting industry’s with bags of potential. “Having previously stood in front of the industry at our last event, I am sure he will help make the Truck & Fleet Conference a success.”
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ADNOC DISTRIBUTION PRIMED FOR $10MN SAUDI SPENDING SPREE FLEET ADNOC Distribution has reached a ‘definitive agreement’ to acquire 15 service stations in Saudi Arabia. The move reaffirms its commitment to grow its business in the Kingdom; the largest fuel retail market in the GCC, it said in a statement. The value of the purchase is expected to reach US$10 million with the new stations seen as central to a long term smart growth strategy to become the leading fuel
operator in Saudi Arabia. Adnoc said it also “sees value creation potential coming from uplift in fuel margins and the company’s integrated approach to managing fuel and non-fuel retail offerings.” The stations are located in the eastern region of Saudi Arabia and will be re-fitted and re-branded in line with ADNOC Distribution brand standards. “Expanding our presence in Saudi Arabia is an important milestone for our company and part of our profitable
growth strategy,” said Ahmed Al Shamsi, acting CEO, ADNOC Distribution. “We see this expansion as a natural progression since opening our first station in 2018 and look forward to significantly increasing our presence in the coming years. The deal will be a major boost to Adnoc’s current fuel operation in the region which currently includes a station close to Riyadh and a second in the city of Hofuf within Al Ahsa Governate.
2021 LEXUS IS MAKES ITS UAE DEBUT FLEET
The 2021 Lexus IS has been launched in the UAE at an exclusive preview hosted by the brand’s local distributor – Al-Futtaim Automotive. Three distinct versions – Lexus IS 300 Premier, Lexus IS 350 F Sport Prestige and Lexus IS 350 F Sport Platinum were revealed at a special event held last week at Al-Futtaim Lexus’ state-of-theart center at Green Community, Dubai Investment Park (DIP).
The latest version of the popular vehicle returns as a front-engine, rear-wheel-drive sports sedan, “while expanding on the qualities that have built its loyal following across the UAE”, said Al-Futtaim Lexus. The firm said it will also offer new IS customers with free insurance for the first year and a complimentary services package for up to three years or 60,000 KM whichever comes first. “We are delighted to launch the iconic 2021 Lexus IS in the UAE – a
market of automotive connoisseurs,” said Saad Abdullah, head of marketing & brand operations. “Now in its fourth generation, the Lexus IS is the culmination of over two decades of innovation and high performance in the segment. “With a stunning new design, impeccable refinement and athletic powertrain, every journey in the new IS is a true experience of exceptional luxury and exhilarating performance.” The preview event also showcased the world’s first Lexus RC F Pro Drift spec car. Custom-built in the UAE, the 844hp Lexus RC F Carbon Kevlar was accompanied by Lexus F Brand Ambassador, Ahmad Daham – the five-time Middle East Drift Champion. Daham has helped the vehicle meet the FIA standards and make it the first Lexus RC F Drift in the world to compete in multiple events across the region. FEBRUARY 2021 09
LAUNCHES
POPULAR HINO 500 GETS EURO 3 MDT FOR THE MIDDLE EAST / AMCO VEBA EXPANDS ‘NEW GENERATION‘ LINE
LAUNCHES INDY 500 EURO 3 FOR URBAN SMES
Hino meets demand from automatic system addicts NEW AUTOMATIC HINO 500 MDT ARRIVES IN THE MIDDLE EAST, BUT ONLY IN EURO 3 Hino Motors has launched an automatic transmission update to the increasingly popular lineup of its Hino 500 Series Medium Duty Truck (MDT) range in the Middle East. The latest version of its versatile vehicle is only available in its Euro 3 engine variants – so does not include the UAE – and includes multiple features to enhance safety and comfort for drivers and passengers, said the Japanese marque in a statement. It continued: “Every aspect of the Hino 500 Series MDT’s cabin has been engineered to bring greater convenience, from the two-level steps and large inside door handle grips that give easy access to the driving seat to the brightly
10 FEBRUARY 2021
illuminated combination meter and LCD screen that offer a clear view of the vehicle’s instrument readings. The semi-floating cabin structure is mounted using a special bush that greatly reduces the amount of vibration experienced during driving, leading to increased passenger comfort and lessening the need for maintenance.” The 500 comes with a number of robust safety features suitable for the region including a collapsible steering column, shockabsorbing steering, a steel-plate door impact beam and robust mainframe reinforcement. According to Hino, the chassis incorporates a web frame structure that ensures greater durability levels, while a metal bumper
reinforcement is installed behind fiber bumper frame for enhanced collision protection: “The full airbrake system provides a high level of initial braking force and features a dual-circuit brake line for improved safety, as well as easier maintenance due to the fluidless nature of the system. Under-run protectors have been adopted at the front and rear of some models, and the vehicle is also fitted with large multi-reflected headlights to provide a clear view at night.” “We are delighted to introduce the all-new automatic transmission variant of the Euro 3 Hino 500 Series MDT to the Middle East market. This versatile vehicle further builds on the success of the 500 Series to bring greater
performance, safety and value to our customers in the region,” added Satoshi Matsumoto, managing director, Hino Motors Middle East. “Owners will also benefit from the best sales, spare parts, and service solutions thanks to Hino’s ‘total support’ philosophy, which aims to ensure their needs are met throughout the lifecycle of their vehicle.” The 500 Series MDT range is available in three variants that are tailored to a diverse range of applications. The FG model can be configured as a road sweeper, municipality vehicle, cargo box, or cargo vehicle with crane; the GH can be used as a garbage compactor or waste management truck; and the FM version can be
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LAUNCHES SAFETY TO THE SITE A speed limiter is also fitted as standard, with maximum speeds of 100 kph (FG and GH) and 90 kph (FM) promoting responsible driving and increased fuel efficiency.
AMCO VEBA ADDS TO ‘NEW GEN’ LINE
19-21TM CAPACITY FAMILY OFFERS ACCURATE AND SAFE OPERATION WITH REDUCED RISK OF TRUCK CAPSIZE
POWER ON THE ROAD The Euro 3 engine version of the Hino 500 Series MDT is powered by a J08E-WH engine that, when coupled with automatic transmission, is capable of generating 260 PS and 794 Nm of torque.
fitted with a water tanker or 10-ton cargo crane. The GH and FM models benefit from a reduced turning circle radius for improved maneuverability, while the FG and GH models offer increased ground clearance and better off-road performance. All three variants feature an automatic transmission
system that ensures smooth and easy acceleration and start-ability, as well as greater agility and speed when traveling in congested zones and narrow roads. The automatic transmission also improves fuel efficiency over its manual counterparts, as well as increased vehicle up-time due to reduced engine load.
Truck-mounted crane brand Amco Veba has expanded its ‘New Generation’ line of cranes with the addition of the 19-21tm family, which joins the other models in the line that offer 9tm and 13-16tm lift capacities. With the introduction of the new family of truck-mounted cranes, the Amco Veba range now spans from 1-165tm and offers solutions for industries and applications ranging from mining to maintenance, construction to car recovery, said the manufacturer. Giuseppe Bevacqua, the company’s product manager, Cranes, said: “Our ‘New Generation’ crane line offers excellent lifting capacities and a wide variety of configurations. The eyecatching design together with new hydraulics and electronics, offer choice, improved performance, safety and ease of use throughout the range.” Amco Veba added that the new family of cranes offer enhanced stability, ergonomic working positions and user-friendly interfaces, which combine to deliver accurate and safe operation with reduced risk of truck capsize. A
variety of radio remote controls and stabiliser configurations are available. The models offer features such as Dynamic Load Diagram (DLD) and Magic Touch (MT), which improve driver attention and can save time and increase productivity. DLD, totally new in the truck-mounted crane industry, allows verification in advance of the crane lifting capacity based on the actual truck stability; and MT allows the driver to open the crane automatically from transport position to working position and back to transport position when required. The new 19-21 tm class comprises 12 models and five different boom configurations, comprising the 821NGT and 824NGT Series T telescopic boom cranes; the 821NG & 824NG Series 800 articulated boom cranes; the 921NG, 922NG, 924NG and 925NG Series 900 high-performance articulated cranes with double linkage boom systems; the 921NGC and 924NGC Series 900 short boom articulated cranes with double linkage boom systems; and the VR23NG and VR26NG Series VR endless slewing cranes with double linkage boom systems.
MULTIPLE CHOICE 60 BOOM COMBOS
SPECIFICATIONS Engine
5.0l, V8 Supercharged
Power
260PS
Torque
794Nm
0-60mph
3.8 seconds
Fuel economy
12.2l/100km
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FEBRUARY 2021 11
INTERVIEW
STYLING IT OUT
AFM Lexus’ Carlos Montenegro talks to T&FME on guiding the premium brand through a pandemic
L
exus is the go-to choice for limousine fleets in the UAE wanting an alternative to other premium tier brands in the market. Featuring all the trappings you would expect for a blue ribbon brand, plus the Middle East conditions reliability you would expect from a marque associated with Toyota, Lexus’ exclusive UAE partner Al Futtaim Motors (AFM) holds an enviable position in the market, managing director Carlos Montenegro explains to T&FME. 12 FEBRUARY 2021
“Obviously, the Al Futtaim family has almost forever been the sole distributor of Toyota!” He jokes. “30 years ago, they also agreed to take the Lexus brand and since then, there’s been a terrific job done in the market. Lexus is the number one premium brand in this market and in 2019 it was recognised as the second most recognised brand in the country.” Montengro is sitting with T&FME minutes after chairing a meeting where the brands burgeoning 2021 line-up was presented to the AFM team.
Lexus is the number one premium brand in this market”
The end of 2020, saw a flurry of new car announcements, including refreshes for the LX luxury SUV and the all-important LS, its flagship sedan. After a challenging year for the automotive trade in the UAE, he says the company is excited about the opportunities that lie ahead for the brand. Its storied reliability will be a major strength in the postCOVID climate. He predicts the brand can continue to serve its trusting UAE national drivers which make up the majority of its customers while penetrating further into an expat market looking for premium models. meconstructionnews.com
INTERVIEW
“Our customer portfolio is 80% Emiratibased. Lexus has built its whole reputation in this market thanks to the strong reliability of the cars, plus the features and performance – that’s also brought a tremendous residual value in the car especially in the aftermarket,” he remarks. “Overall, Lexus has managed to get a very strong brand with prestigious cars that are reliable.” Beyond the cars themselves, he says the UAE remains a benchmark for the Lexus globally in terms of how to treat its customers: “We are known for our hospitality. The UAE is the model worldwide”. The fleet market in the UAE is focused on leasing and rental options for customers as well as limousine services. Montenegro says that reliability is once again the brand’s strength in the sector, particularly with fleets operating in the latter segment. “When Careem and Uber merged they decided the most reliable car for the limousine service was the Lexus ES (executive saloon),” he enthuses. “We actually have a 100% of that segment because of the reliability of the car – those cars easily make a million kilometres before they are
BUILDING ON FROM A POSITION OF STRENGTH Carlos Montenegro says Lexus enjoys a leading position with UAE nationals. Much of the focus will be to retain their loyalty while tapping into the expat market.
Littleby-little we see a trend for alternative powertrains”
renewed - and also the TCO (total cost of ownership). We are also adding to the fleet the hybrid version. These have been key factors for us to be leaders in the segment.” Montenegro says that Lexus is consequently present in all the fleets of leading companies in the market and in many rental fleets in the market. As you would expect, many of those are in the hospitality and hotels sectors – many of whom are almost literally at the high end of the market: “We are present in many high-end services like private jet firms
where do you know those limo services up to the super high-end customers,” he adds. Talking of customers at the high-end, Al-Futtaim Lexus launched a limitededition gold version of its LX 570 2021 at the start of the year which will be available to an exclusive pool of UAE drivers to own. The LX 570 is described as a powerful and aggressive model, “handling the most extreme driving conditions effortlessly taking customers from tackling off road trails during the day to become the showstopper when pulling up outside a red-carpet event at night”. It is the sort of vehicle people associate with desert glamour escapism of the UAE. “The Lexus LX 570 is especially very much used also by the leaders of the government, such as Sheikh Mohammed’s office and all of the Sheikh offices in the rest of the Emirates. It’s a very prestigious car within the government sector.” For fleet buyers in the UAE, Montenegro argues that the cost of fuel is an important consideration despite its still relatively cheap pricing to other markets. When your vehicle does a million kilometres the dirhams and fils count for Lexus customers.
RELIABILITY AND REPUTATION Carloe Montenegro says that reliability is the brand’s strength in the premium sector, particularly with fleets.
2021 LINE-UP: A NEW LEXUS IS The latest version of the popular vehicle remains true to its foundation as a frontengine, rear-wheel-drive sports sedan, while expanding on the qualities that have built its loyal following across the UAE.
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FEBRUARY 2021 13
INTERVIEW
“When you go in to people that make a lot of kilometres, they own sedans: the Lexus ES, EX and the hybrids,” he says. “For them TCO makes a difference. Even though the petrol here is not expensive compared to, say, Europe you do easily get a reduction in the cost of your fuel because of the high kilometres these people do.” Stressing that this help creates a compelling case for fleets when considering Lexus, he says that the vehicles are holding onto competitive residual values helping boost the overall TCO for fleets which must factor in selling the vehicle down the line. “Residual value makes a tremendous difference,” Montenegro adds. “After three or four years, the cars are valued higher than all of our competitors. Plus, as you may know, Dubai and UAE is a big hub to export to other markets: The Lexus brand is also very much appreciated in the Gulf market and Africa.” The leasing market is becoming an increasingly influential part of the UAE market. For years, it represented 5% of the total sales in the vehicle but, Montenegro says this is changing and heading upwards; although currently
LINE-UP 2021: THE EXCLUSIVE LX570 Al-Futtaim Lexus is introducing a limited-edition gold version of its flagship segment-leading LX570 2021 which will be available for an “exclusive pool of UAE customers to own”.
Careem and Uber decided the most reliable limo was the Lexus ES”
well-short of the 40% you would expect in a European car market, for instance. “It’s been underutilised here but now it’s booming,” says Montenegro, adding that fleets are moving away from a simple strategy of purchasing before then dumping vehicles into the market when they need to de-fleet. New strategies are evolving to ensure that they are sold earlier, while still holding a high value and turn an ageing fleet into a useful source of income. With leasing much more attractive to customers, a new market is emerging;
some fleets are also tapping into demand for longer term arrangements that makes attaining premium vehicles much easier for drivers without having to be committed to purchasing them out-right. “There are several big operators now. AFM handles Hertz and they have the rental arm but they now also have a leasing arm. It is almost becoming the same to what you might find in Europe: where the cars are held for two or three years then defleeted and resold either locally or through traders. I think many of them go into private ownership with many of them going into auctions.” While he sees change in the fleet leasing and rental market, he argues that beyond the UAE it remains underdeveloped. This can open up re-sale opportunities for AFM and Lexus, he argues. “When you have a car, or a brand, which has strong residual values, you have the best strategy you can have, right?” It is perhaps surprising when you talk to Montenegro that he considers the hybrid offerings from Lexus a core part of the strategy going forwards. “Little-by-little we see a trend, very much supported by the government,
A GAME-CHANGER A “game-changing partnership” with Facebook enabled customers in the UAE to explore the entire Lexus range, customise from body to engine, book a test drive, reserve it and pay a deposit, all through their phones without leaving the Facebook newsfeed.
LINE-UP 2021: LEXUS LS – A FLEET FLAGSHIP Montenegro describes the Lexus LS as its flagship model for limousine fleets in the UAE market.
14 FEBRUARY 2021
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INTERVIEW
for alternative powertrains; more fuelefficient vehicles. In this part of the world, Lexus is the luxury brand with the most hybrid powertrains. We have now four models currently in the market and our cousins at Toyota also dominate the mainstream brands with hybrids.” He continues: “What we see are the heavy fleet users really embracing hybrid technology. They are happy to pay extra at the beginning because they know in three or four years times they will see the benefit.” With hybrid vehicles coming to the fore in only the last couple of years, it is arguably too early to tell whether premium vehicles can retain the residual value and be easy to sell on like their traditional engine peers. For now, Montenegro is happy to draw on the experience of Toyota in the UAE for an indication of where they may head. “We can look at the Toyota Camry and we have seen that the batteries were lasting and the residual values were up,” he explains, adding: “I guess (resale) will probably be a little bit of what happened in Europe when people could see they were durable and the batteries were not fading away. What we are seeing - while it is true that hybrids are not being exported that tremendously - there are some markets like Jordan where they are in high demand.” Also expected to be in high demand are tickets for the delayed Expo 2020 Dubai which is anticipated to be one of the first major global events to take place in the wake of the COVID-19 pandemic. Prior to the virus hitting the UAE, AFM Lexus had enjoyed a strong 2019 and he hopes the Expo will be a stepping stone to eat into the market share of its competitors. “We were expecting 2020 to be a very good year and it was not the case and I think the limousines was one of the most affected segments,” he explains. “People actually stopped renewing cars. We have some ideas and concepts ready for 2021 and we expect that those limousine companies will return with the traffic from tourists and businessmen for the Expo and other events. And, of course, all the time, the cars are getting older even if they’re not being utilised in the same way. There is still that need for fleet renewal.” Looking back on the events of the last year, Montenegro is proud of the way his staff at Al Futtaim and how Lexus adapted quickly. “The good thing is that our factories meconstructionnews.com
A GAMECHANGER FOR 2021 Al-Futtaim Lexus, the exclusive distributor of Lexus in the UAE, is ramping up its customer approach in order to cater to new behavioural norms and higher expectations from automotive customers in 2021. The global pandemic and lockdown in 2020 catalysed an evolution in consumer behaviour as consumers adjusted to a new contactless way of living and working, including automobile purchases. This resulted in lasting changes in automotive consumers’ priorities and demands, the most pertinent of these being a heightened focus on safety, and demand for more value. Al-Futtaim Lexus has built safety into the customer experience, offering an online
journey that not only allows customers to stay home, but also elevates the customers’ experience pre, during and post purchase. Online services such as vehicle purchase, a vehicle visualiser with 360 views for a fully interactive experience, at-home test drives, and a carefully re-designed website, bring the showroom experience to the customer. A game-changing partnership with Facebook enabled customers in the UAE to explore the entire Lexus range, customise from body to engine, book a test drive, reserve it and pay a deposit, all through their phones without leaving the Facebook newsfeed. Digital innovation and expansion of
are extremely flexible. Japan stopped were not flooded with need vehicles, we wouldn’t be able to sell later. Our stock was actually quite lean through the whole thing.” He adds that the company was able to accelerate plans for online that may have been on the sidelines in a typical year. A partnership with Facebook that offers a range of customising, servicing and purchasing options through their phones is typical of the new approach. “We were able to do what we do in three years, in just 15 days – things like developing
Heavy fleet users are really embracing hybrid tech”
home delivery options are a cornerstone of the company’s 2021 strategy. The heightened focus on safety also impacted the ‘car sharing’ trend that had gained momentum in 2019, with an increasing number of hourly or minute rentals and ride-sharing options. The danger of the pandemic and social distancing norms shifted the emphasis back to personal vehicle ownership, which is likely to stay throughout 2021 or until the threat of the pandemic has passed. The second major consumer behavioural trend that Lexus predicts is customers’ demand for the best value. Continuing its passion for brave design, imaginative technology and exhilarating performance, Lexus’ retail offering is expected to look very different in 2021. Customers have a lot to look forward to, including new models, brand partnerships and showroom activations that will create memorable experiences for customers and deliver the incremental value that they are looking for in a postCOVID era.
the customer journey online,” he says. “You need to have a proper online presence but at the same time, people in this part of the world still want to come to the showroom and negotiate. Getting those two things right is a big part of what we are focusing on. “For 2021, we expect a recovery because there are very good things happening in the market with the Expo on. The recovery might not take us to the level of 2019, but the UAE is expected to be the market that recovers faster than anywhere in the world. We expect a decent year for 2021.” FEBRUARY 2021 15
FEATURE
Carlos Tavares, CEO, Stellantis on why the $52 billion merger of PSA and Fiat was born out of necessity
16 FEBRUARY 2021
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ringing together two groups of the size of Peugeot owner PSA and Fiat Chrysler Automobiles is no easy task. From the 16 January 2021, the pair formally combined under the corporate umbrella of Stellantis and it will be the job of CEO Carlos Tavares to oversee a transition that hopes to follow the example set by other super-groups such as the VW-led Traton to forge a new profitable path for the 14 brands now inside the new brief. “This has been a very intense journey since we signed the binding agreement back in December 2019,” he begins, adding that the intensive process brought together cross-company teams to deliver over 12,500 pages of documents for the different filings that needed to make the trans-Atlantic corporation a legal entity. Tavares says this was managed in “very good timing” and with no delays even as the Covid-19 crisis raged on. He says that the pandemic is only one challenge of many facing the new group. “This merger is not a defensive move. Of course, there is a defensive dimension based on the challenges that we see ahead of us and certainly this merged company will help us to overcome those challenges, but there will be also an offensive move to make sure that we start this new company with a new mindset with open eyes looking at what is stimulating us in the marketplace.” During a formal media briefing explaining the move, Tavares is at pains to stress that the core problem shared by the US and European brands of Stellantis is the search for profitability at a time of global uncertainty as well as vulnerability to the threats of rising competition in its core markets of North America, Europe and the Middle East. Digging into the numbers from each of those markets, he says the Americas represent 44% of the group’s turnover and its even stronger across the Atlantic with 46% of turnover coming from Europe, the Middle East and Africa. While brands like Chrysler, Peugeot and Fiat hold onto their status as well-known car and van names with consumers, the reality is they are in a desperate fight for survival. Cost pressures on each means they can be stronger together than apart, the Stellantis CEO says, adding that the group is squeezing out an extra 5 billion Euros by using common engineering assets, as well as smarter procurement focusing on the cost competitiveness of everything meconstructionnews.com
AN INTENSE JOURNEY Carlos Tavares describes bringing together PSA and FCA as a “very intense journey” but the merger will provide protection for brands like Peugeot, Fiat and Chrysler at the start of a new era for the automotive industry.
the group buys. He explains that both strands represent 80% of variable costs in the busines before proudly stating that much of the savings are coming from suggestions and ideas of teams throughout the organisation. “This unique company is going to have a different sense of competition and will be able to develop more efficiency and effectiveness. It will be able to grasp opportunities and will become at the end of the day,” says Tavares. “We believe that standard is needs to be great rather than big. We want to gain scale, and of course make sure that we use this scale to develop innovation. We will use this scale as a lever to be more disruptive and do things that some other companies could not do.”
The stateof-the-art is that electrification is not a cheap technology”
To create this ‘disruptive’ culture, Tavares is clearly taking inspiration from big technology companies that want to bottle the fire that powers smaller entrepreneurial firms. He says Stellantis is creating a great place to work to attract the best talents. Expanding the point, he says this should mean the company can provide “great products and great services” while making a contribution to the communities its brands serve. “(We will) find great ways to innovate and great ways to be creative and innovative using the power of scale. We want to be a great rather than big company but, of course, if things are properly done, wil eventually become an even bigger company.” In some ways, it is difficult to see how. The combination of PSA and FCA represents a footprint that sells cars in more than 130 countries and an R&D and industrial operation spread across more than 30 countries. It also boasts a leading market position in at least three regions, including some parts of the Middle East. Tavares says this is a strong foundation but there is a long way to go if the group is going achieve his ambition of making Stellantis a leader in mobility. He adds: “The combined entity as a consequence based on the 2019 numbers had an adjusted operating profit of around 12 billion euros and adjusted operating profit margin of around seven percent. And then automotive operational free cash flow of above 5 billion euros. So it’s very, very strong. And our purpose is to use this power this scale to do great things and to be offensive. We will bring innovative solutions to the
GREAT RATHER THAN BIG Stellantis wants to gain scale but also focus on being a disruptive and positive for in the industry.
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THE RIGHT TIMING Stellantis wants to be in the right place with the right timing while focusing on digital-led services.
new mobility era in which we are going to be hopefully one of the major players.” The COVID-19 pandemic has been a wake-up call to bloated large corporations that have been unable to instigate the sort of nimble side-stepping decisions needed to get procurement, production and delivery to adjust to volatile demand and supply shortages. It is too early to judge whether the creation of what Tavares describes as nine major committees within the group will give the organisation the agility to be the upwardly mobile disrupter he wants, but he is convinced it can enable Stellantis to react far more quickly to changes in the market from now on. “We can make all the relevant decisions of the company like ours in a professional way and in a focused, fast way,” he explains; sharing that vitally the top management on the board recognised that more power needs to be shared across the group. “I think everybody feels that this is the right way for a company like ours and we will make sure that we are going to use this in our large family for a significant and intensive internal benchmarking. He adds: “We need to understand that the covid-19 crisis has clearly shown us that we need to be more disruptive and this is exactly what we have in mind. We are going to 18 FEBRUARY 2021
Covid-19 has shown that we need to be more disruptive”
leverage the diversity of our people. They are coming from very different horizons and each of them needs to stay where he or she is right now because we love them. It is going to be our job – my job – to leverage this fantastic diversity of the company to create exciting proposals to the universe in which we operate. By the way, we can compare our diversity with the lack of diversity of some of our competitors, and I believe that having a highly diverse company is a strength in today’s world.” Turning to the challenges of the market, Tavares again suggests that the merger needs to be as offensive as it is defensive. “This is not only about being excellent in a zero-emission mobility, autonomous vehicles and connected vehicles. It is also about being provocative with our business models; doing different things; understanding that we need to move more onto the tech company side.” Progress from now on will be judged on how well Stellantis is able to pull its enviable list of commercial vehicles and vans; its pickups; passenger vehicles; SUV crossovers into the orbit of consumers in the digital space. Any new car or van buyer – or even current owner needing servicing or parts – is now more likely to be using an app or PC to get what they need, including the services of fleets. With one eye on growing in the Chinese market, Tavares still wants to build into this space; recognising this will mean a raft of new services while selling more vehicles in more territories. “We can be in the right place with the right timing to harvest what we need to ensure the sustainability of the company. We are in key markets. We still have an opportunity to do something good in China. We are making money in the Americas. We’re making money in Europe. We have the Technologies. We have the products. We have the people and the execution capability: “If we look at the long-term goals that we are
STELLANTIS IS SET ON ‘BRIGHTENING’ UP THE MARKET The name Stellantis is rooted in the Latin verb “stello” meaning “to brighten with stars”. It draws inspiration from this new and ambitious alignment of storied automotive brands and strong company cultures that in coming together are creating one of the new leaders in the next era of mobility while at the same time preserving all the exceptional value and the values of its constituent parts. Stellantis combines the scale of a truly global business with an exceptional breadth and depth of talent, knowhow and resource capable of providing the sustainable mobility solutions for the coming decades. The name’s Latin origins pay tribute to the rich history of its founding companies while the evocation of astronomy captures the true spirit of optimism, energy and renewal driving this industry-changing merger. The process of identifying the new name began soon after the Combination Agreement was announced and the senior management of both companies have been closely involved throughout, supported by Publicis Group. The Stellantis name will be used exclusively at the Group level, as a Corporate brand. The next step in the process will be the unveiling of a logo that with the name will become the corporate brand identity. The names and the logos of the Stellantis Group’s constituent brands will remain unchanged.
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FEATURE
going to be working on. We recognise that we need to exceed our customers expectations. Many things can be done to enhance our performance. Our company will have to be carbon neutral as the condition to operate in the markets and the communities where we want to make business. This is going to be at the core of our long-term strategic plan. “Those are some of the long-term goals that we want to achieve and understanding what are the business models for freedom of mobility in the future.” According to Tavares, electric vehicle sales are going to represent more than one-third of the total sales for the group and possibly more Europe. “We understand that the share of mobility will be increasing and we are happy that we have now understood how to make money on the car sharing activities and mobility service activities we do. 5G enable vehicles are expected to reach 16 million in the US, Europe and China by 2030 and that there will be a new comers and disruptors that represent a strong stimulation for us teams,” he remarks, adding that regulation and the need to create new dedicated mobility technology could raise the cost of a vehicle by as much as 20-40%. “This is, of course, is what is going to drive the offensive part of the long-term planning of Stellantis. We also understand that the cost of those new technologies like electrification will be significant. This cost is going to increase significantly and we see the merit of the scale here to dilute those costs – being a variable cost in terms of volume – scale effect for the competitiveness of the procurements or R&D and cap-ex which will be diluted on the wider basis in terms of sales. All of this is going to give us the ability to face the challenges that we have ahead and all of this is demonstrating the merger of PSA into FCA is the right move and the right timing.” To make the transition into mobility, Stellantis has developed two separate leasing brands Free2Move and Leasys. It has also partnered with Google-owned high tech company Waymo to create autonomous vehicle technology. The greatest progress has arguably been made in the area of emission reductions with all the major components of its electric powertrains now manufactured and engineered in house, “which of course puts us in control of our destiny for those components being that electric motors, automatic electrified transmissions, battery packs, battery cells. are going to be developed meconstructionnews.com
RAMPING UP EV PRODUCTION The creation of Stellantis means that the group now has 29 EV models currently on sale. The number is expected to ramp up significantly this year with 39 electrified models, including vans from Peugeot and Fiat, ready for showrooms by 2022.
and manufactured either in-house or with JVs.” He adds: “The scale is going to help us significantly to dilute the R&D and capex costs and to have a better procurement position to deliver on what we believe is the challenge for the next five years: delivering safe, clean and affordable mobility.” The creation of Stellantis means that the group now has 29 EV models currently on sale. The number is expected to ramp up significantly this year with 39 electrified models, including vans from Peugeot and Fiat, ready for showrooms by 2022: “For each model, there will be an electrified version
We want to be a great rather than big company”
STELLANTIS AS A SHIELD The creation of Stellantis protects the jobs of thousands of workers that would’ve been lost if the brands had continued to operate separately, says Tavares.
of that model. The real challenge is to make those models affordable so that we can keep the customer base that we have today,” says Tavares before suggesting that governments must avoid penalising car makers for the pre-baked carbon footprint of production while not doing enough to ensure the affordability of low emission vehicles. “The state-of-the-art is that electrification is not a cheap technology. It’s complex. It’s costly. The costs will go down as the volume scan effects will appear but, so far, I don’t think it is a technology that you can deploy all over the world. Many of those communities don’t have the purchasing power power to afford the cost increase in the price increase that goes along with it.” Returning to the scale of the company – Stellantis employs over 400,000 people – he argues that it is the size of group that will ensure the company can invest in R&D and streamlining its procurement to keep its vehicles price competitive. Likewise, he further suggests that the creation of Stellantis can protect the livelihoods of thousands of workers that would’ve been lost if the brands had continued to operate separately: “Stellantis is a shield. We are bringing the scale to dilute the R&D and capex over a wider volume base. Better cost competitiveness in procurement, helps affordability and helps to keep the customer base which then prevents bad things from happening.” He concludes: “We are blessed with a 14-brand iconic portfolio. Those brands will absorb our passion for freedom of mobility as we understand that freedom of mobility is becoming an even stronger expectation. After the lockdown situations, everybody understands the extent to which it is important and why the freedom of mobility can be delivered by a mobility device called an automobile. FEBRUARY 2021 19
FEATURE
FROM THE FIRST TO THE LAST
General Motors chairman Mary Barra lays out why BrightDrop re-writes the firstto-last-mile delivery rule book
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t’s been three years since General Motors took the stage of CES in Las Vegas to share its vision of a future with zero crashes zero emissions and zero congestion. At the time, the ground-breaking Chevrolet Bolt, its first affordable long-range EV, had been launched but the US giant felt the car was only one step in a journey towards developing a broader range of vehicles. Fastforward to 2021 and its chairman Mary Barra stepped up again to open up on how the company will now move into the burgeoning B2B EV space with BrightDrop, an entirely new business which will offer an ecosystem of electric first-to-last-mile products, software and services to empower delivery and logistics companies to move goods more efficiently. 20 FEBRUARY 2021
The BrightDrop solutions are designed to help businesses lower costs, maximise productivity, improve employee safety and freight security, and support overall sustainability efforts, she says. “BrightDrop offers a smarter way to deliver goods and services,” adds the GM chairman and CEO. “We are building on our significant expertise in electrification, mobility applications, telematics and fleet management, with a new one-stop-shop solution for commercial customers to move goods in a better, more sustainable way.” BrightDrop signals GM’s current confidence in its strategy to use the brainboxes of its Global Innovation organisation which has recently overseen the launch of several vertical startups, such as OnStar Insurance,
Our vision for the future is a world with zero crashes, zero emissions and zero congestion”
OnStar Guardian and GM Defense. Last year, GM revealed an all-new modular platform powered by its Ultium batteries system intended to power electric vehicles in every segment “to meet the needs of every person”. From a growth strategy standpoint, this new business will unlock areas of B2B, expansion of its Ultium platform and software and service opportunities, says Barra. “For every face you see here at CES, there are thousands more quietly getting the job done in Detroit, Shanghai and around the world including 20,000 software electrical engineers on the front lines of technological change. She continues: “And we’re hiring more three thousand new positions in our electric vehicle and autonomous vehicle programmes. meconstructionnews.com
FEATURE
Working on the cutting edge technology that is redefining mobility,” she explains. “Our vision for the future is a world with zero crashes, zero emissions and zero congestion. The key to unlock that vision is electrification: starting with the advances in technology that are helping accelerate our vision and the GM ultim platform is the world’s first hyper skill electrical vehicle platform with the power to make almost any vehicle an electrical vehicle. Barra adds: “This will be the best large format cells in the industry optimised to provide sufficient power for multiple vehicle designs.” GM is manufacturing the cells in-house as part of a joint venture with LG and Barra explains that the cells will produce 60% more energy capacity than its existing electrical battery cells. She attributes the boost to the use if a flat rectangular pouch design that reduces the space between cells and can be stacked more efficiently into modules for higher energy density in a smaller space. This will be the best large format cells in the industry optimised to provide sufficient power for multiple vehicle designs GM is manufacturing the cells in-house as part of a joint venture with LG and Barra explains that the cells will produce 60% more energy capacity than its existing electrical battery cells. She attributes the boost to the use if a flat rectangular pouch design that reduces the space between cells and can be stacked more efficiently into modules for higher energy density in a smaller space. “We can use 6, 8, 10 or double stack up to 24 modules in a single pad, depending on the power requirements of the vehicle. The end result of all these innovations is a battery that will produce up to 450 miles of range on a single charge.” She adds that GM is combining the array with an incredibly flexible propulsion system called Autumn Drive which uses five interchangeable drive units to deliver front rear or all-wheel drive from a single system. “We want to re-imagine the whole concept of vehicle ownership and driving and we’re calling that reimagined experience Ultifi,” she remarks. “Ultifi is a promise of a more personal EV experience, putting you in control the vehicle intelligence platform gives us the ability to deliver over-the-air updates to your vehicle. You should expect both ongoing free updates as well as opportunities to purchase premium content and feature upgrades.” meconstructionnews.com
BEYOND DELIVERIES In an addition to deliveries and logistics services, BrightDrop will also assist with maintenance needs, including securing parts and scheduling repairs.
At the centre of it all, says Barra, will be the all-new mobile app experiences: my Cadillac and my Chevrolet, mygmc, mybuick which are all coming in this Spring. “These apps provide a remote control for your vehicle that will continually evolve and advance over time.” Ultimately, Barra and GM strongly believe that as a new business BrightDrop can reimagine commercial delivery and logistics for an “all-electric future”. The intention is for Brightdrop to provide fleets with an
This will be the best large format cells in the industry”
ecosystem of smart connected products including electric vehicles and software enabled services; offering commercial delivery companies a platform for sustainable growth. Surprisingly, at CES, GM led with the Brightdrop EP-1 (not EV1 as incorrectly reported elsewhere) an electric-propelled pallet that helps reduce the time and physical effort required for couriers to get goods from the delivery van to the front door. The EP-1’s electric motor makes it easier for couriers to move around alongside, T&FME’s personal headline act, the all-new bright drop EV600 electric van. As Barra describes, the Brightrop EV600 will be built on the Altium platform using the same high energy modular architecture and is targeted to provide up to 250 miles of range. The first EV600s will be delivered towards the end of this year. She adds: “A number of bright drop concepts are being explored such as a medium distance solution that transports multiple EP-1s and a rapid load delivery concept designed to load and unload ep-1s on and off the vehicle with ease we’re also planning to add to our existing electric vehicle fleet by partnering with brightdrop to introduce the EV600s to our line-up.” GM estimates that by 2025, the combined market opportunity for parcel,
INTRODUCING BRIGHTDROP EP1 BrightDrop’s first product to market, the EP1, will be a propulsion-assisted, electric pallet developed to easily move goods over short distances – for example, from the delivery vehicle to the customer’s front door. Available in early 2021, the EP1 can help reduce package
touch points, costs and physical strain on delivery drivers. EP1 features and benefits include: • Built-in electric hub motors with adjustable speed up to 3 mph depending on operator’s walking pace. • Maneuverable in tight spaces. • Carries and secures
approximately 23 total cubic feet of cargo. • Payload capacity of 200 pounds. • Adjustable shelving organizes contents. • Lockable cabinet doors allow for secure, remote access to contents.
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food delivery and reverse logistics in the U.S. will be over $850 billion. According to the World Economic Forum, demand for urban last-mile delivery, fueled by e-commerce, is expected to grow by 78% by 2030, leading to a 36 percent increase in delivery vehicles in the world’s top 100 cities. At the same time, this increase in demand is expected to cause delivery-related carbon emissions to rise by nearly one-third. To help meet this surge in demand, while reducing the impact on the planet, BrightDrop is developing an integrated set of solutions to help improve almost every aspect of first-tolast-mile delivery. The BrightDrop ecosystem also includes an integrated, cloud-based software platform, which provides customers visibility and access to their BrightDrop
60% The Ultim cells produce 60% more energy capacity than its existing electrical battery cells
products through both web and mobile interfaces. Built-in connectivity provides businesses with detailed data and insights that can help improve overall operations, including route efficiency, asset utilization and product upgrades. Drivers and couriers can utilise the mobile application for a variety of tasks. Furthermore, BrightDrop’s mobile asset management ensures EP1 connectivity and provides customers real-time features, including location monitoring, battery status, remote commands to lock and unlock, and over-the-air updates of connected features. In terms of fleet management, EV600 connectivity provides fleet operators remote access, real-time location, battery and charging management, driver safety coaching and incident recording, remote diagnostics,
THE FIRST TO THE LAST MILER: BRIGHTDROP EV600 BrightDrop’s second product to market will be the EV600 — an electric light commercial vehicle purpose-built for the delivery of goods and services over long ranges. It will combine zero-emissions driving with a range of advanced safety and convenience features more common in consumer electric vehicles. EV600 features and benefits include: • Powered by the Ultium battery system, the EV600 is targeted to have an estimated range of up to 250 miles on a full charge1. • Peak charge rate of up to 170
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miles of EV range per hour via 120kW DC fast charging. • Over 600 cubic feet of cargo area. • Available at a GVWR of less than 10,000 pounds. • Standard safety features include: Front and Rear Park Assist, Automatic Emergency Braking, Forward Collision Alert, Following Distance Indicator, Front Pedestrian Braking, Lane Keep Assist with Lane Departure Warning, IntelliBeam automatic high beams and HD Rear Vision Camera. • Additional opitional safety
and driver assistance features: Rear Cross Traffic Braking, Blind Zone Steering Assist, Reverse Automatic Braking, HD Surround Vision, Rear Pedestrian Alert, Enhanced Automatic Emergency Braking, among others. • Cargo area security system with motion sensors to help keep cargo secure. • A 13.4-inch-diagonal, fullcolor infotainment screen. • Front sliding pocket doors, wide cabin walkways and a large auto-open cargo bulkhead door all contribute to optimise driver efficiency.
safety alerts and predictive maintenance insights, and over-the-air updates. It was clear during CES that the EP1 and EV600 are only the beginning in terms of GM’s plans for the B2B sector and BrightDrop is set to continue to grow its product offerings over time to include a portfolio of integrated, zero-emissions products to help drive further efficiencies and address emerging customer needs. A number of concepts are being explored, such as a medium-distance solution that transports multiple EP1s, and a rapid load delivery vehicle concept. BrightDrop is also being prepped for a full scale launch into the industry with ex-venture capital firm Redpoint Ventures executive Travis Katz joining as BrightDrop as president and CEO. In his previous role, Katz held the enviable role of entrepreneur-in-residence and has an extensive background as a technology leader, entrepreneur and investor. This, combined with his track record of scaling global businesses, will help BrightDrop further GM’s vision of zero crashes, zero emissions and zero congestion, says the company. BrightDrop will initially serve customers in the US and Canada. It will have a customer support team to assist with every aspect of operating and servicing BrightDrop products, including supporting charging and infrastructure installation, advising on upfitting services, and retrofitting a current fleet vehicle to integrate with BrightDrop products. BrightDrop support services will also assist with maintenance needs, including securing parts and scheduling repairs. Customers will connect with BrightDrop through an independent sales and service network, leveraging a newly established BrightDrop dealer network to support vehicle sales and service. In the immediate future, BrightDrop and FedEx are partnering to build on their initial EP1 pilot programme which proved FedEx Express couriers were able to effectively and safely handle 25 percent more packages per day with the pallets. The two firms said during CES that a second pilot has been scheduled to take place in one of the biggest urban centres of the U.S. in Q1 2021. FedEx Express is also slated to be the first customer of the EV600, receiving their vehicles later this year. “Our need for reliable, sustainable transportation has never been more important,” says Richard Smith, FedEx meconstructionnews.com
FEATURE
THE ULTIMATE BATTERY? Barra says the range and capacity of General Motors’ Ultim batteries places it at the forefront of EV technology.
READY TO ROLL OFF PRODUCTION Early customer interest in the EV600 has been strong, with the first vehicles to be delivered by the end of this year, confirmed Barra (pictured).
SCALING UP DEVELOPMENT GM has committed to investing $27 billion through to 2025 so that it can bring 30 EVs to market.
Express regional president of the Americas and executive vice president of global support. “BrightDrop is a perfect example of the innovations we are adopting to transform our company as time-definite express transportation continues to grow. With this new suite of products, we will help improve the safety, security and timeliness of FedEx Express deliveries, while reducing our environmental impact and protecting the well-being of our couriers.” Early customer interest in the EV600 has been strong, with the first vehicles to be delivered by the end of this year. BrightDrop expects to make the EV600s available to more customers to order starting in early 2022. Opening GM Exhibit Zero at CES 2021 GM Chief Marketing Officer meconstructionnews.com
There are thousands getting the job done in Detroit and around the world”
Deborah Wahl was almost breathless as she set-out the company’s take on the challenges and opportunities of EVs. “We’ve built not only an Ultim battery platform that can deliver more range more affordability and at scale we also talked about the vehicle intelligence platform which is the software platform now which all the vehicles will use and my message to everyone is that means that driving an EV will give you a completely different driving and ownership experience. She added: “It allows us to be much more engaged with your with you as you’re driving the vehicle can be much more responsive to your needs. It allows for much more advancements. We have a really committed group of people inside the company incredible
talent across the board that’s what’s allowed us to actually transform battery technology and get to the state now that we’re confident that we can offer EVs for everyone in in across the board so it’s the right moment and i think those things that we have from the legacy part of our company are actually going to enable us to be very fast and move very quickly forward “I think what we want to do is see the impact on people’s perceptions about owning and driving EVs – that’s certainly number one. We’re also looking to make sure that people really understand our commitment to it as I said we’re committed to investing $27 billion through 2025 so that we can bring 30 EVs to market by 2025 and the point of this campaign is really communicating that and making sure and creating enthusiasm for that future.” FEBRUARY 2021 23
WORKSHOP
AXALTA SHINES AN ‘ELECTROLIGHT’ ON MOBILITY / DUBAI BOOST FOR RB AUCTIONS / CURSOR X ENGINE SCOOPS 2020 AWARD / SCHEUERLE MODERNISES SPMT POWER
WORKSHOP
Axalta’s ElectroLight is 2021 colour of the year
NEW SHADE ‘LIGHTS UP THE FUTURE OF MOBILITY’ WITH HIGH VISIBILITY FOR LIDAR AND RADAR SYSTEMS COATINGS Global paints and coatings major Axalta has announced its 2021 Global Automotive Color of the Year – “ElectroLight”, which is formulated with reflective properties that make it highly visible to light detection and ranging (LiDAR) systems, while its layer structure and pigment content are easily transmissible by radio detection and ranging (radar) systems. Axalts said that with fully autonomous vehicles close to
becoming a reality, which will increasingly rely on LiDAR and radar technology to see and interact with the world around them, ElectroLight meets industry safety standards and improves the performance of both types of systems, making it a stand-out color option in both trend and technology. A statement from the company described the new colour as an “expressively refreshing greenyellow hue with inspired bold, contemporary flavors that echo
COLOURS BECOMING CUSTOMISABLE Interest in automotive colours with a more customised and personalised look are becoming increasingly desirable. Green has influenced both blue and yellow colour palettes within today’s vehicle market trends, driving colours into a more eco-centric theme, says Axalta.
style, energy and flair. The unique personality of ElectroLight evokes a blend of sporty design elements with functional performance and offers great versatility when combined with two-tone charcoal color accents or matte finishes on a variety of mobility solutions,” said the statement from Axalta. Hadi Awada, senior vice president at Axalta, added: “Offering innovative products that are ahead of the curve is what we live and breathe every day at Axalta. ElectroLight is another step toward illuminating a path for a green future for all type of vehicles, including autonomous vehicles. Formulated with mobility-sensing technology, ElectroLight combines a passion for individualisation with coating science into a functional, expressive and dynamic colour.” Nancy Lockhart, global product manager of colour at Axalta, said: “Our 2021 colour evokes sustainability, happiness and safety. ElectroLight is at the forefront of today’s colour trends, while anticipating emerging technology advances.”
MAGNA TYRES LAUNCHES NEW RS TYRES TYRES
Magna Tyres has announced the launch of the 18.00-25 Magna M-Stacker (IND-4), the latest addition to its material handling tyre line-up. A statement from the Magna Tyres Group said the new tyre is a more advanced model for use on reach stackers, empty container handlers and heavy-duty forklifts designed to improve the efficiency and productivity of cargo operations. The new Magna port tyre is available in two versions: M-Stacker and M-Stacker+, where the difference is in the tread depth of 55mm in the former and 70mm in the latter. “The Magna M-Stacker has been developed starting from the already proven MB01 tread design. Through years of experience, technical analysis by the R&D department and cooperation with leading ports and terminals, we have managed to design a tyre that meets the ever-increasing demands of pick-and-stack equipment,” added Magna in its launch statement.
INSIDE THIS MONTH’S WORKSHOP: ROUNDING UP THE BEST AND MOST PRACTICAL TECH FROM CES 2021, DRIVER SURVEY AND DHL INSIGHT
24 FEBRUARY 2021
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WORKSHOP
SCHEUERLE MODERNISES POWER PACK UNITS ENGINES
CURSOR X ENGINE TOPS DESIGN AWARDS ENGINES
Engine maker FPT Industrial’s Cursor X modular, multi-power multi-application power source concept has been awarded the prestigious 2020 Good Design Award. The CNH Industrial Group’s engine arm said the Cursor X “represents a symbol of how FPT Industrial conceives innovation: an engine concept ‘designed for Planet Earth’”. Jointly developed by FPT together with the CNH Industrial Design Centre, Cursor X is strongly identified by its main features that shape the architecture, logic and operational mode of the power unit of the future, said the manufacturer. David Wilkie, head of the CNH Industrial Design Centre, said: “We take enormous pride in receiving the 2020 Good Design Award. Designing a concept engine is really something special. It is completely reimagining the engine as we know it. The award is a testament to the conceptual work done and to our commitment to realising innovative ideas to illuminate our future. With Cursor X we can tune the powertrain solution to achieve a unique set-up for each mission, each vehicle, each machine. Thanks to its modular approach, the Cursor X is ready to become the protagonist in every mission, inspiring the next era.” Egle Panzella, manager, Brand Equity, Sustainability and Heritage at FPT Industrial, added: “We are all more than happy that the 2020 Good Design Award jury recognised our unique engine concept ‘designed for Planet Earth’. In the future we can imagine engines to be part of the external body of the vehicle and it should be beautiful, not only performing. Cursor X is a new powertrain unit, capable of using any available and above all sustainable energy source. Cursor X can run on full battery electric.
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Scheuerle has upgraded its Power Pack Units (PPU) Z180 and Z390 used to drive Self Propelled Modular Transporter (SPMT) modules, increasing the levels of user-friendliness of the new 12inch touch display and extensively optimising diagnostic possibilities. PPUs of the Z180 and Z390 series serve as drive units for vehicles of Scheuerle’s SPMT series. According to the manufacturer, they are suitable for use even under the most difficult of conditions such as extreme temperatures in deserts. The Z180 drives 16 through to a maximum of 40 pendulum axles while the Z390 propels 26 up to a maximum of 80 pendulum axles, each with a 48t axle load. The PPUs provide 180kW (Z180) or 390kW (Z390) of power respectively. The new colour display on the
Z180 and Z390 PPU at the head end of the drive unit is designed for better visibility. It now measures 12-inches and Scheuerle adds that the information is displayed according to the latest design standards, with the high information content of the display screen neatly arranged. In addition, all graphic elements are shown in such a way that they are self-explanatory. Thanks to the clear, modern design, the operator can see the most important information on hydraulics, engine
functions and fill levels at a glance via the start page of the main menu, the manufacturer adds. Important performance data, control data and filling levels are graphically displayed in a clear and easily understandable manner. Control icons indicate special operating conditions as well as other essential information such as Adblue and fuel levels. The touch-screen control also provides the user with quick access to the various sub-menus and thus to all essential vehicle data.
RB CLOSES 2020 WITH STRONG DUBAI TURNOUT AUCTIONS
Ritchie Bros. has reported sales of over 1,450 pieces of equipment, trucks and other items for more than 210 of its consigning customers in its last online machinery and heavy equipment auction of 2020 in Dubai held in December. According to the global machinery and heavy equipment
auctioneers, over 1,200 online bidders from 83 countries registered for the Dubai event, which concluded on December 16. More than 40% of the equipment in the auction was purchased by bidders from countries outside the UAE, including Egypt, Ghana, Nigeria and South Africa. The auction was conducted entirely online using Ritchie Bros.’ easy-to-
UNDER A VIRTUAL HAMMER Timed Auctions have no physical auctioneer, with bidding open for several days, with auction lots closing at staggered times during the final days.
use Online Timed Auction system. The Dubai auction inventory ranged from excavators, wheel loaders, crawler tractors and backhoes through to articulated dump trucks, mobile cranes and more. This edition of the auction also saw increased numbers of buses, pickup trucks and passenger vehicles being consigned, further broadening the auction inventory and range of options for buyers. “We saw an impressive number of registered bidders participate in our December online auction,” said Eduard Faig, regional sales manager at Ritchie Bros., Middle East. “We received a lot of positive feedback from online bidders who told us how easy it was to use our Online Timed Auction system.” Bidders could research sale items on the Ritchie Bros. website and app, or in person during viewing days, following the strict health, safety and physical distancing precautions in place at the Dubai auction site. FEBRUARY 2021 25
FEATURE
TECH FOR THE NEXT NORMAL
CES 2021 went online this year but the tech on show largely ignored the effects of the COVID-19 pandemic
V
ehicle technology has become a hugely important slice of the action at the world’s biggest consumer electronics event CES over the past decade. The US may be facing far more competition for car and vehicle manufacturers than ever, but it is also home to some of the world’s biggest and most exciting technology companies; making the annual showcase an essential window on how the next generation of vehicles will plug into our digital lives. Arguably the main announcement at the event for fleets was General Motors EV600 annoucement which we have covered extensively in this issue but the auto-giant also detailed a raft of cutting 26 FEBRUARY 2021
edge tech at CES 2021, including a flying Cadillac – that some observers have likened to a COVID-19 facemask. Perhaps reflecting the long lead time of the state-of-the-art development for the automotive industry references and solutions to the problems caused by the pandemic were noticeably thin on the ground. With its heavy slant on looking at what is imminent in the market and technology that is emerging on the horizon, CES continued in its role as a chance to highlight technology that is paving the way for the electrified and autonomous vehicles that have begun to make the transition from the drawing board to the road. Of course, EVs, in particular, are no longer exclusively in the hands of early adopters but – despite considerable progress – they are still hindered
What’s coming is a lot of information that is very specifically made for EV drivers”
by price, charging infrastructure and range. “Range is particularly still a big topic,” said Carolin Reichert, VP Connected Mobility Solutions, E-Mobility at Bosch during the Transform anxiety to delight for EV drivers session. “Depending on the vehicle model and the configuration, range can be a lot more than 200 miles. But depending on the traffic weather conditions and driving style, it can easily go down to 50% - and this occurs often unexpectedly - and then, of course, range anxiety is still there. She continued: “After range anxiety, charging anxiety is the second important hurdle for drivers to buy an electric vehicle. So the density of the charging infrastructure is still far lower than what we know from gas stations. Often charging stations are meconstructionnews.com
FEATURE
THE WORLD’S MOST SUSTAINABLE EV Fisker Inc. – designer and manufacturer of the world’s most eco-friendly electric vehicles and advanced mobility solutions – revealed new dimension figures and images on the heels of the all-electric luxury SUV’s grand global debut at last year’s CES. “As the world’s first alldigital car company – aimed at shifting the paradigm on how a customer selects, test drives, services and experiences a vehicle – we’re humbled and delighted at the overwhelmingly positive response to the Fisker Ocean, our disruptive mobile app-based brand experience, our smarter business model approach and the emotionallycompelling design of the vehicle itself. The Ocean’s debut at CES created real excitement in every corner of the globe, reflected by some of the top show honors presented to Fisker – including those from TIME Magazine, Business Insider, Mashable and many more prominent entities.” “We are now excited to reveal some of the vehicle’s dimensions and additional features. In addition, we look forward to sharing more developments on the Fisker Ocean with the world soon, including the first public
footage of the full productionintent prototype’s road tests – showcasing the durability and readiness of the vehicle’s fully-engineered platform.” The Fisker Ocean experience is characterized by a sense of freedom, fun and luxury – complemented by off-road capability and superior utility. At 4,640 millimeters (182.7 inches) in length, 1,930 millimeters (76 inches) in width and 1,615 millimeters (63.6 inches) in height, the all-electric luxury SUV offers a spacious environment for both front and rear passengers. With thoughtful design touches, new spaces are created for five adults to sit comfortably – even during the longest of rides. With 566 liters (20 cubic feet) of trunk space, the vehicle presents practicality and utility. The space increases to 708 liters (25 cubic feet) with the parcel shelf removed, expanding to 1,274 liters (45 cubic feet) with the rear seats folded. The Fisker Ocean will come with roof rails and towing hook options. Towing capacity will be released in 2021. The Fisker Ocean will be offered in a four-wheel drive configuration on all trims except
blocked or they are malfunctioning and this is of course a very important problem. And finally, it will still a significant longer time than just taking some gas into your tank.” Knuth Sexauer, vice president of sales at HERE Technologies suggested that owners need to be considering the type of navigation solution they have on-board to better plan their journeys and ‘fuel’ stops. His company and others are working on a solution. “What’s coming is a lot of information that is very specifically made for EV drivers. We are gathering information from 80,000 different sources into one database logging all charger types and the exact precise position of the charging point themselves. A second element is that when you are calculating a route you obviously need to consider meconstructionnews.com
for the base model – reflecting the vehicle’s off-road capabilities. The standard four-wheel drive configuration will deliver an output of more than 225 kilowatts (more than 300 horsepower), with an ultra-high performance version targeting zero-to-60 mph in less than three seconds (total power output to be announced later this year). A state-of-the-art headsup display integrated into the windshield will be complemented by a large 16-inch center touch screen and a 9.8-inch cluster screen. From augmented reality features to haptic touch buttons and immersive digital experiences, the vehicle offers impressive visuals all around. A patented feature, inspired by the Fisker brand’s roots and passion for the Southern California coastline, lowers/slides nine glass windows/panels to open the entire cabin with one touch – creating an open-air feeling, while still maintaining a full ‘roll cage’ safety structure around the passengers. The feature allows the rear hatch glass to drop – enabling long items to be placed through the opening without having to drive with an open tailgate.
something completely different than with a nice internal combustion engine. You have a reduced range, you potentially need to have more stops and a different route than someone who’s driving another vehicle. Here we are adding topology because depending on the topology, the consumption is different plus we are adding weather and traffic to be as precise as we can in the range calculation.” Bosch is in an almost unique position of providing both technology for brand EVs as well as the charging infrastructure they will use in partnership with commercial operators and local government agencies. As part of the process of developing a deeper route management system for EVs with Here, Bosch is using the data from vehicles out on the road to optimise
After range anxiety, charging anxiety is the second important hurdle”
planning, including where it should be recommending locations for vehicle chargers. “There are some EV drivers who want to charge as cheap as possible. Others prefer to charge as fast as possible and that of course also has an impact on the route they choose. The most important point is of course to provide very good coverage. “Currently, together with our partners we provide around information to about 600,000 charging stations. For many of them, we have unified information and can see whether the charging stations are occupied or not.” Reichert adds that the company is also looking at ways to ensure drivers can use the charging time to their advantage. “We all know that charging takes some time. So it’s important to know can I go to a restaurant close by; can I do some shopping here? We can support by offering personalised recommendation (based on their preferences).” In terms of electric vehicles solutions on show (virtually) at CES, many addressed real life issues facing both fleets and consumers alike. Thunderzee, for instance, has invented a revolutionary Zinc air battery that not only eliminates the risk of fire that is commonly seen in lithium-ion batteries but also provides more energy, weighs less, costs less and is environmentally friendly. With 3 patents on file and more to follow, the Zinc air battery is ideal for a vast variety of consumer applications. “Generally, zinc-air batteries are designed for low-power discharge and small-scale appliances, such as hearing aids. It is not suitable for high power applications. Thunderzee’s zinc-air fuel cell is a selfdeveloped high-performance component that can simultaneously provide higher energy and power than traditional zinc-air fuel cells,” said Thunderzee founder and CEO Andy Lin. “We have made a major breakthrough in electrochemistry of metal air batteries. We developed high power metal air fuel cell components: air cathode, ion membrane, and metal fuel formulation,” Lin said, noting that fuel cells can be widely used in military and commercial applications. Panasonic Automotive Systems Company of America (Panasonic Automotive) meanwhile announced two variants of invehicle wireless charging technology (moving coil and static coil.) Both of these variants will provide efficient in-vehicle charging that meet or exceed most current in-vehicle charging systems. The average American, for instance, owns ten connected devices per household FEBRUARY 2021 27
FEATURE
and many of those devices travel with us in the vehicle on short or long trips. As a result, the need for fast, efficient charging must also be readily accessible in a vehicle. With customers utilising apps, navigation and music that require constant power, the demand is high for having reliable in-vehicle sources for efficient charging of devices. However, the majority of vehicle charging systems remain wired or tethered. Panasonic Automotive’s wireless charging system aims to be a more accurate and more efficient way to charge – to be accessible in any vehicle without the hassle of first plugging in. While drivers remain in control of their vehicles, there were plenty of examples at this year’s CES of safety technology that can be deployed to keep them safe behind the wheel. DAR manufacturer Blickfeld unveiled its automotive LiDAR products for the first time at digital CES 2021. After commercially launching the industrial LiDAR “Cube 1” in 2020, the Munich-based company is presented its automotive LiDAR suite consisting of a mid-range as well as a longrange sensor. Blickfeld is also introducing its MEMS scanning module 118 as a product. The mid-range sensor, called Blickfeld Vision Mini, has very small dimensions that can be customised according to customer requirements. Example dimensions of 5 cm x 5 cm x 5 cm illustrate the 3D LiDAR sensor’s compactness, enabling it to be smartly and efficiently integrated into vehicles. By incorporating it into side mirrors, headlights, rear-view lamps, and the A, B, and C pillars, for example, a 360° surround-view is achieved. With a field of view of up to 107° and a range of up to 150 meters on vehicles, the sensor provides reliable data for automated and autonomous driving in urban traffic. Complementing the Vision Mini, Blickfeld is also introducing a long-range LiDAR sensor for automotive applications, the Blickfeld Vision Plus. This sensor is designed for use at the front and rear of the vehicle and covers the detection of small objects at distances of up to 200 meters. Together Vision Mini and Vision Plus enable automation for level 2+ and upward autonomous vehicles. Both sensors are based on the patented Blickfeld technology. Consequently, they include the proven features such as a customizable field-of-view, configurable scan pattern, and good signal-to-noise ratio thanks to the coaxial design. The sensors’ low power consumption also contributes to their automotive suitability, as does their robustness and production scalability. 28 FEBRUARY 2021
LET THE TAXI TAKE THE STRAIN Slowly but surely autonomous transport technology is being explored within the automotive industry – again CES proved an event ready to hear even the craziest of ideas.
FIVE WAYS SELF-DRIVING VEHICLES WILL CHANGE CITY LIVING Consumer adoption of autonomous cars will change the way cities are built and the way we live, work and play. It may also accelerate the move toward smart cities such as Toyota’s Woven City, which was announced at CES 2020. Selfdriving vehicles offer contactless options for ridesharing and delivery — which has seen an increase in demand since the onset of the coronavirus pandemic — decrease traffic accidents and mitigate vehicles’ environmental effect.
shipping and logistics. More efficient supply chains that are not hindered by wait times can potentially lower the cost of shipping and accelerate production timelines. According to PwC’s Global Truck Study 2018, the automation of processes and delivery vehicles will reduce logistics costs for trandard transport by 47% by 2030. E-commerce businesses and more may experience an increase in business productivity and savings on operational costs.
Traditional structures make way Decreasing private car ownership will in turn reduce the need for traditional parking structures. The land freed up by the removal of parking structures and private car dealerships can be reallocated to housing and other retail or business buildings, meeting the needs of increasing urbanization.cc This can change the pricing of real estate and better distribute urban populations. Areas farther from city centers could grow in popularity as commuting time becomes less of a concern.
Building the roads of the future Results from a consumer market survey conducted by an urban mobility consulting firm highlighted that many consumers believe lanes dedicated to self-driving vehicles are a good idea. The same study also showed that a majority believe that current infrastructures are not ready for autonomous cars. Changes in public transportation use, highways and roads due to mass adoption of self-driving vehicles would mean rapid changes to the way roads and other smart cities infrastructures are built and maintained.
Around-the-clock mobility Self-driving vehicles are able to operate around the clock, reducing the strain on
Autonomous facilities Self-driving technologies may also extend beyond
transportation. Businesses can move to mobile versions, offering new opportunities for engaging with consumers. Gyms, stores and consulting businesses, for example, could go from customer to customer, expanding their customer base and improving the customer experience. The Consumer Technology Association (CTA)® Autonomous Delivery Systems: Consumer Awareness and Favorability report highlighted 48% of consumers are favorable toward selfdriving vehicles being used for delivery. In the hospitality industry, mobile hotel rooms could change the landscape of conferences and events. Expanding independent living arrangements Self-driving cars and their use cases could make life easier for people who have mobility problems because of illness, age or disabilities. People who currently have to rely on family members, taxi services, public transportation or their care facilities can more conveniently go to desired locations at their convenience in a safe manner. This encourages more independent living and increases the choices of living arrangements for those who experience mobility difficulties.
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FEATURE
Panasonic Automotive, again, introduced its new Augmented Reality (AR) HUD. The leader in projection generation innovation, Panasonic is utilising its latest advances in optics, volume optimisation and imaging technology, combined with AI technology from its SPYDR cockpit domain controller to render near-field and far-field content for vehicle information (like speed), object and pedestrian detection, and mapping/ route guidance, for a seamless, more engaged and informed driver experience. “The HUD market is one of the fastest growing categories in mobility, but traditional HUDs only cover a small section of the road,” said Scott Kirchner, president Panasonic Automotive and executive director, Panasonic Smart Mobility. “Panasonic’s AR HUD solutions cover more of the roadway, with traditional cluster content like speed and fuel in the near field as well as 3D overlays in the far field, showing navigation and other critical driver data mapping spatially to the road ahead. And in a future with more self-driving vehicles, our AR HUD could provide an important added level of comfort and assurance for AV passengers as well.” With the number of traffic accidents rising each year, enhanced vehicle safety features are more important than ever. Studies have linked a large percentage of traffic accidents to reduced driver attention due to smartphone use. Opticser is incorporating advanced optics solutions to improve driver safety on the road. As an emerging company focused on the development of advanced optics technology, Opticser is confident that its products will not only impact vehicle drivers but also help increase general productivity and quality of life through other applications. The promising tech startup that drives innovative solutions through the development of advanced optics technology. Its research development team is composed of talented individuals from multiple disciplines, including optics, computer science, industrial design, and marketing. All work closely together to help create new systems that improve productivity and user experiences. To minimise driver’s loss of attention on the road, Opticser realised that the most direct and effective solution is to develop an automotive head-up display (HUD) for vehicles. The automotive HUD market is expected to top $4.3 billion by 2025, highlighting the explosive growth and opportunities in this sector over the coming few years. Even before this trend began, Opticser had built a solid track record of success in this area. It holds a large number meconstructionnews.com
The HUD market is one of the fastest growing categories in mobility”
of related patents and is set to grow quickly into a leadership position in the sector. Driving-assistance information such as navigation, speed, speed limits, and turnby-turn directions is all projected onto the windshield in the form of a floating virtual image on the road. The success of the Dartrays HUD lies in Opticser’s patented optical path design, consisting of an LCD that projects real-time images onto a fold mirror, which then reflects the image onto a curved mirror and optical lens for aberration correction and image enlargement. The virtual image is then projected onto the windshield. With a full suite of driving information displayed in
easy view, drivers can concentrate on what’s coming on the road ahead, thus reducing distractions and the risk of accidents. NNG LLC, a market leader in locationbased mobility, in-vehicle user experience, and automotive cyber-security solutions, today announced the development of a first-ofits-kind situational analysis, lane-guidance module for navigation, enabling ADAS (advanced driver assistance system) features and future automated driving applications. The proof of concept, built upon NNG’s modular navigation SDK (software development kit), utilises vehicle sensor data, HD maps, and environmental models to enable advanced lane-level guidance. The solution revolutionizes how environmental model and HD map data is visualised on infotainment HMIs. It also provides cuttingedge voice and visual guidance that considers not only the nuances of road geometry from the HD map data, but also objects in the vehicle’s environment. NNG’s solution can, by algorithmically calculating lane occupancy, predict other vehicles’ positions in surrounding lanes, enabling NNG to suggest tactical maneuvers to the driver or autonomous driving module. The solution also features optimized guidance timing helping to dramatically reduce driver cognitive load, increasing road safety. “The recent ground-breaking improvements in vehicle-sensors, AI technologies, and HD mapping not only enable automated driving but can also be used to make manual driving safer by warning the driver, via modern human-machine interfaces such as augmented reality headup displays,” said Martin Pfeifle, CTO of NNG LLC. “NNG is excited to be at the forefront of this wave of innovation.”
SKY HIGH IDEAS General Motors unveiled its flying Cadillac concept at the show joining several other firms with ideas for airborne transport suitable for densely populated urban sprawls.
FEBRUARY 2021 29
SURVEY
HOPE IN 2021
Drivers in the Middle East entered 2021 feeling anxious but optimistic, Ford finds
T
he inclusion of drivers from UAE and Saudi in the annual Looking Further with Ford Trends Report has revealed that almost half of them use their car to find privacy. Across the board, the recently published ninth edition highlights how the Coronavirus pandemic also reveals just “how resilient people can be in finding ways to cope and adapt despite dealing with the disruption it has caused”, said Ford. In a global survey of 14 countries including, for the first time ever, Saudi Arabia and the United Arab Emirates, 69% of respondents say they are overwhelmed by the changes they see taking place in the world. When asked how well they 30 FEBRUARY 2021
have adapted to the changes during the pandemic, 53% say adapting has been “harder than I imagined,” while 47% say it has been “easier than I imagined.” Younger generations have taken it harder than their older peers: 63% of Gen Zers say adapting has been harder than they imagined, versus 42% of Boomers who say the same. Respondents from Saudi Arabia and United Arab Emirates were required to be nationals of their respective countries and data from these two countries was combined and analysed in aggregate. “As we barrel into 2021 and look forward to a post-pandemic world, it’s clear that the changes brought about by COVID-19 have changed us – but to what degree?” said Sheryl Connelly, global consumer trends and
To beat back the monotony of the pandemic and the confines of home, many are seeking refuge in their vehicles”
futuring manager for Ford Motor Company. “Ford and other companies are keenly interested to know what changes will stick long after COVID is in our rearview mirror. And while no one can predict the future, that doesn’t mean we can’t prepare for it,” said Connelly. The 2021 Ford Trends Report examines these changing patterns in consumer behaviour and attitudes around the globe to help decision makers understand how these shifts may influence our world in 2021 and beyond. Worldwide, anxiety is high – fuelled by fears of contracting COVID-19 and concerns about the pandemic’s impact on communities, employment, education and more. 63% of adults globally (Middle East: 65%) say they feel more stressed than they did a year ago, meconstructionnews.com
SURVEY
FORD PROVES BLOCKCHAIN, DYNAMIC GEOFENCING AND PLUG-IN HYBRID VANS CAN IMPROVE URBAN AIR QUALITY Pioneering research by Ford has shown how emerging technologies such as blockchain and dynamic geofencing can complement plug-in hybrid-electric vehicles (PHEVs) to help contribute to cleaner air in urban centres, offering benefits for cities, citizens and operators. The findings follow an extensive three-year study into the potential for commercial PHEVs to help cities solve air quality challenges. More than 400,000 kilometres of data was collected during the programme with dozens of Ford Transit and Tourneo PHEVs deployed to a variety of municipal and commercial fleets in London; Cologne, Germany; and Valencia, Spain. Among the learnings was how geofencing and blockchain technology can complement PHEVs to further improve urban air quality by triggering zeroemission running based upon local air quality. The trial also featured an innovative PHEV van fitted with an electric refrigeration unit powered independently of the vehicle’s batteries, showcasing the operational flexibility and range of use cases supported by the platform. “Our research has shown how plug-in hybrid vehicles, and emerging connected technologies such as dynamic geofencing and blockchain, can play a major role in transforming cities,” said Mark Harvey, director, enterprise connectivity, Ford of Europe.
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and 4 in 5 (Middle East: 86%) say they should take better care of their emotional well-being. Acutely aware of the implications of the pandemic on mental health, people are finding innovative ways to cope and connect. “What day is it?” has become a common refrain as the demarcations between work and life disappear. To beat back the monotony of the pandemic and the confines of home, consumers are looking for new ways to escape – and many are seeking refuge in their vehicles. More than 1 in 4 adults globally (30% in the Middle East) say they use their vehicle to relax. Interestingly, 39% of Middle East drivers say they use their vehicle to find privacy, 40% say they use their vehicles to have fun and 28% say they use it as a place to work. The pandemic has put a spotlight on consumer’s need for companionship and reshaped their sense of family. Loneliness is pervasive across the globe – one in two people say they feel lonely on a regular basis. That figure is much higher (66%) in the Middle East. Older generations feel this most acutely: more Boomers say they feel lonely on a regular basis than Gen Zers (74% vs 59%). As a result, many are reconsidering where they live, moving closer to family, and finding companionship in new ways – online and off. Worldwide, gaps in inequality and inequity loom large – particularly as the pandemic has had a disproportionate impact on low-income communities, ethnic minorities and women. As consumers become more aware of the divide, brands are stepping up as activists and entrepreneurs. 76% of adults globally (Middle East: 72%) say they expect brands to take a stand on social issues – and 75% (Middle East: 72%) say they think
A NEED TO ESCAPE To beat back the monotony of the pandemic and the confines of home, consumers are looking for new ways to escape, Ford has found.
69% In a global survey, 69% of respondents say they are overwhelmed by the changes they see taking place in the world
PANDEMIC BLUES Almost two-thirds of adults in the region say they feel more stressed than they did in 2019.
brands today are trying to do the right thing. Amid the pandemic, how we buy – and what we seek to buy – has transformed. Companies big and small are adapting at blazing speed – and many consumers are embracing and enjoying the new normal. 75% of adults globally (Middle East: 80%) say they appreciate the ways in which companies have improved the shopping experience since the pandemic began – and 41% (Middle East: 51%) say they don’t want to go back to the way they shopped before the pandemic. The pandemic may have you feeling stuck, but we are not at a standstill – personal transportation is flourishing. Bike sales have soared and cities have shut down streets to make space for cyclists. Car sales have boomed as people seek security in knowing they can control their environment. And smart city planning is accelerating the way for fully implemented autonomous driving. 67% of adults globally (Middle East: 81%) say they are “hopeful about the future of autonomous vehicles,” and 68% of parents (Middle East: 80%) say they’d rather their children ride in a self-driving car than with a stranger. In the early days of the pandemic, air quality emerged as a possible silver lining to the worldwide lockdown, but that optimism quickly diminished as the world retreated to plastics and other disposables – making it clear that being sustainable and staying sustainable are not always in lockstep. Younger generations are particularly concerned: 46% of Gen-Z-ers globally (Middle East: 53%) say the pandemic has made us more wasteful – and 47% (Middle East: 45%) say that long-term, the pandemic will have a negative impact on the environment. FEBRUARY 2021 31
PARTING SHOT
FUELLING THE FUTURE
Digitalisation could unlock up to $2.6tn in oil and gas sector, says DHL
A
fter crunching the numbers, DHL Global Forwarding has calculated that digitalisation of oil and gas (O&G) in the Middle East and Africa should continue to play a significant role in transforming the industry, “potentially unlocking $1.6 trillion to $2.6 trillion by 2025”. The air, ocean and road freight specialist’s latest whitepaper analyses current trends in the region and predicts that companies will leverage “digitalisation to improve margins, safety standards, as well as reduce emissions and water consumption”. On the downside, the whitepaper also suggests that global oil demand will not reach pre-COVID-19 levels before the end of 2021. “O&G companies in the Middle East and Africa region (MEA) need to take bold decisions to quickly reposition themselves, including
redefining partnerships across the supply value chain, building resilience and going digital. For example, drones and autonomous robots can potentially reduce drilling and completion costs by 20% in deep-water areas and 25% in inspection and maintenance of assets,” says DHL. DHL notes that increased investment in downstream projects will generate more value per barrel of oil through production of value-added specialty chemicals and plastics. Over half of the global oil demand growth by 2025 is expected to come from the petrochemical industry – “and this is evident in the region where national oil companies are already partnering with key players across key demand markets; for instance Saudi Aramco’s non-binding deal for 20% stake in Reliance’s crude oil-to-chemical (COTC) operations”. “The energy sector is grappling with multiple challenges due to the pandemic but it is not all
doom and gloom however,” said Amadou Diallo, CEO, DHL Global Forwarding Middle East and Africa. “Whilst it is more critical than ever to ensure the smooth completion of projects, it is equally pertinent that energy companies leverage technology to offer smarter, simplified and greener solutions. To that end, DHL has implemented best-in-class logistics solutions for leading energy companies, such as TOTAL, to collectively tackle technological, digital and climate challenges.” Diallo added: “To stay relevant in a dynamic market, energy companies have to adapt and embrace new business models, which will allow them not only to participate but also to lead the global transition towards green energy. At DHL, we continue to work closely with our customers to optimise their complex supply chains and manage logistics costs better, so energy companies can focus on their core activities.”
NEXT ISSUE: TRUCK AND FLEET CONFERENCE PREVIEW, CLEANING UP THE REGION’S ACT, UD TRUCKS INTERVIEW, AND MUCH MORE!
32 FEBRUARY 2021
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