1) One part of the U.S. infrastructure that America can invest in now is the recycling infrastructure. The recycling infrastructure and related new technologies hasn’t been updated for roughly 20 years, in particular the massive growing plastics waste problem. Several years ago, China’s National Sword policy ended its role as a recipient of western waste, leaving the west with a seriously growing waste problem. Some consider the up coming bill on infrastructure upgrade will present an opportunity to leap ahead of the plastic problem with money for developing new technologies.
2) As if the American economy hasn’t suffered enough with the pandemic and record snow storms across the land, one more massive snow and ice storm system is sweeping across the nation again. Not only is there heavy snow, torrential rain and severe weather, but also there were 14 reported tornadoes, and additionally, wind gusts reaching as high as 87 mph in the Texas Panhandle with the region experiencing baseball-sized hail. Over 6 inches of rain has been reported in southern Missouri and over 4 inches of rain reported in Kansas and Nebraska, with all three states seeing flooding due to the storm. Snowfall rates of 1 to 2 inches per hour in Colorado and Wyoming, with up to 4 inches per hour locally in the foothills and mountains, closing highways and freeways. Totals of 1 to 4 feet of snow is expected in parts of the Rockies from this storm with 6 to 12 inches from Denver to Rapid City.
3) The microchip shortage continues with GM forced to shut down its Chevy Camaro Production. The global microchip shortage will force some automakers to prioritize the production of only their most important models. For GM, this means that Chevrolet Camaro and Cadillac CT4 and CT5 production must be temporarily paused. Whatever microchips GM has access to, will be diverted to those factories remaining in production, leaving other lines to fight for what’s left. This problem comes just when automakers are trying to climb out of the financial disaster from the pandemic, when makers are needing to make every auto sale they can get, to bring in much needed revenues. Many automakers are now delaying or pausing their development programs, the debut and on-sale dates receding, thereby further aggravating long range revenues. The microchip shortage was caused by semiconductor production stoppages early in the COVID-19 pandemic. Automakers underestimated the rate at which sales would recover, and so, it left them behind all the other companies that rely on microchips. It’s unclear when the shortage will end. Many major automakers, from Honda to Mercedes-Benz have had to either pause or cut production over these shortages, so GM isn’t unique here.
4) Stock market closings for – 16 MAR 21:
Dow 32,825.95 down by 127.51 Nasdaq 13,471.57 up by 11.86 S&P 500 3,962.71 down by 6.23
1) Ford Motor Company reports quarterly loss of $2.8 billion dollars, amid increases in investment in electric vehicles. This is a larger than expected quarterly loss, but Ford’s stock traded higher as Wall Street focused on the auto maker’s renewed push toward autonomous and electric vehicles. Their sales fell to $36 billion from $39.7 billion a year ago. Ford increased its commitment to invest in growth, with plans to spend more than $22 billion dollars in electric vehicles and $7 billion in autonomous vehicles. This investment in EVs is nearly double an earlier allocation. In the fourth quarter, Ford began U.S. sales of its all-electric Mustang, the Bronco Sport and 2021 F-150 pickup. These vehicles, alongside the return of the Ford Bronco this summer, are expected to be significant contributors to 2021.
2) Another looming uncertainty for the world automotive industry is the global shortage of automotive microprocessors. Subaru has already suspended operations for two days because of shortages. The company expects to lose 48,000 units of production in this fiscal year to March 31 because of the electronic shortages. The semiconductor shortage is bad! Subaru said that they don’t know how long this impact will last. Also Fiat Chrysler and Jeep are also limiting production because of the chip shortage and weak demand. German car makers (Mercedes-Benz maker Daimler and Volkswagen’s Porsche) are considering building up semiconductor stockpiles, to prevent a repeat of the crippling chip shortages that brought assembly lines to a standstill and stalled the production of hundreds of thousands of vehicles worldwide. A few weeks after a German official sent the Taiwanese government a letter asking for help on the semiconductor issues, Taiwan claims to have not received it.
3) China’s unconventional weapons are reportedly winning the Middle East. China has mastered the art of slowly and meticulously shaping the conditions for its interactions with the United States, gaining an advantage. From a military perspective, the Chinese have diagnosed America’s strategic reliance on conventional overmatch in order to deter major conflict. Instead, they have sought to achieve their objectives through unorthodox approaches that limit the effectiveness of our preferred conventional toolkit.
4) Stock market closings for – 5 FEB 21:
Dow 31,148.24 up by 92.38 Nasdaq 13,856.30 up by 78.55 S&P 500 3,886.83 up by 15.09
Luxury car maker Daimler AG (Mercedes Benz) is relocating down to Atlanta. The US headquarters in New Jersey will no more be in existence.
Executives and management indicated that the shift was provided because of lower costs, the tax breaks they would receive and the close proximity to their southern car plants which is located in the state of Alabama.
The shifting of personnel is expected to occur in July 2015, which will include 1,000 personnel movint to the suburbs of Atlanta. Executives @ Daimler AG also indicated that the relocation made sense because of the dynamic presence of the south currently and the infrastructure renovation that Atlanta has be going through in the last few years, made the decision much easier to relocate US operations down south