Oct 19, 2020

Daimler posts growth as sales of luxury cars increase

Daimler
Automotive
EVs
covid-19
Sean Galea-Pace
2 min
Daimler posts growth as sales of luxury cars increase
Daimler’s shares increased 4.5% after it posted forecast-beating third-quarter results following a rebound in the sale of luxury cars in September...

European car registrations slightly increased in September, which was the first rise of the year, which suggests a recovery in the auto sector in some European markets where coronavirus infections were lower. 

Daimler’s third-quarter earnings before interest and tax reached US$3.5bn, which beat the US$2.5bn Refinitiv consensus. Analysts had anticipated premium automakers to benefit from a rebound in demand and welcomed Daimler’s strong cashflow during the quarter. 

“The third quarter shows a very strong performance and provides further proof that we are on the right path to reducing the break-even of our company,” commented Harald Wilhelm, Member of the Board of Management of Daimler AG responsible for Finance & Controlling and Daimler Mobility. “At the same time, we continued to seize opportunities from improving markets with the great products of Mercedes-Benz Cars & Vans and Daimler Trucks & Buses. This gives us confidence to push ahead with our work both on the strategic and operational side of the business. We expect positive momentum to continue in the fourth quarter, however with the regular year-end seasonality.”

Daimler anticipated the positive momentum to continue into the fourth quarter, with the assumption that there aren’t any further COVID-19 lockdowns. The coronavirus pandemic meant there was a substantial decrease in sales and meant Daimler experienced operating losses during the first and second quarters. In a bid to make up for lost revenue, Daimler’s Mercedes-Benz stopped manufacturing sedans in the United States to focus on more profitable SUVs, combined its fuel cell development with Volvo Trucks and stopped an automated development alliance with BMW.

Daimler confirmed it would cut fixed costs, capex and research and development at Mercedes-Benz by over 20% by 2025 as part of a strategy overhaul to take the brand further upmarket.

The move is expected to see Mercedes-Benz turn its back on a decades-old strategy of chasing sales volume to focus on the industry’s most profitable segments - limousines and sport-utility vehicles. 

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May 12, 2021

Ultium Cells LLC/Li-Cycle: Sustainable Battery Manufacturing

SustainableManufacturing
BatteryCell
EVs
Automotive
2 min
Ultium Cells LLC and Li-Cycle join forces to expand recycling in North America, recycling up to 100% of the scrap materials in battery cell manufacturing

Ultium Cells LLC - a joint venture between General Motors and LG Energy Solutions - has announced its latest collaboration with Li-Cycle. Joining forces the two have set ambitions to expand recycling in North America, recycling up to 100% of the scrap materials in battery cell manufacturing

 

What is Ultium Cells LLC?

Announcing their partnership in December 2019, General Motors (GM) and LG Energy Solutions established Ultium Cells LLC with a mission to “ensure excellence of Battery Cell Manufacturing through implementation of best practices from each company to contribute [to the] expansion of a Zero Emission propulsion on a global scale.”

Who is Li-Cycle?

Founded in 2016, Li-Cycle leverages innovative solutions to address emerging and urgent challenges around the world.

As the use of Lithium-ion rechargeable batteries in automotive, industrial energy storage, and consumer electronic applications rises, Li-Cycle believes that “the world needs improved technology and supply chain innovations to better recycle these batteries, while also meeting the rapidly growing demand for critical and scarce battery-grade materials.”

Why are Ultium Cells LLC and Li-Cycle join forces?

By joining forces to expand the recycling of scrap materials in battery cell manufacturing in North America, the new recycling process will allow Ultium Cells LLC to recycle cobalt, nickel, lithium, graphite, copper, manganese and aluminum.

“95% of these materials can be used in the production of new batteries or for adjacent industries,” says GM, who explains that the new hydrometallurgical process emits 30% less greenhouse gases (GHGs) than traditional processes, minimising the environmental impact. Use of this process will begin later in the year (2021).

"Our combined efforts with Ultium Cells will be instrumental in redirecting battery manufacturing scrap from landfills and returning a substantial amount of valuable battery-grade materials back into the battery supply chain. This partnership is a critical step forward in advancing our proven lithium-ion resource recovery technology as a more sustainable alternative to mining, " said Ajay Kochhar, President, CEO and co-founder of Li-Cycle.

"GM's zero-waste initiative aims to divert more than 90% of its manufacturing waste from landfills and incineration globally by 2025. Now, we're going to work closely with Ultium Cells and Li-Cycle to help the industry get even better use out of the materials,” added Ken Morris, Vice President of Electric and Autonomous Vehicles, GM.

Since 2013, GM has recycled or reused 100% of the battery packs it has received from customers, with most current GM EVs repaired with refurbished packs.

"We strive to make more with less waste and energy expended. This is a crucial step in improving the sustainability of our components and manufacturing processes,” concluded Thomas Gallagher, Chief Operating Officer, Ultium Cells LLC.

Image source: 1, 2, 3, 4, & 5

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