A Turbulent Week in the Auto Industry: Radical Shifts from Japan and Scandals Shadow Tesla
This past week witnessed a wave of major developments in the automotive world. Japanese companies dominated global headlines with bold strategic moves, while American giant Tesla continued to stir controversy with a series of failures and formal investigations. As some automakers work to expand their global footprint, others are facing serious challenges in a rapidly evolving market.
Nissan Shakes Things Up with Global Restructuring
In what's being described as its biggest shake-up in years, Nissan has announced a sweeping global restructuring plan. The company will close two plants in Japan and several others in Mexico, South Africa, India, and Argentina — reducing its total production sites from 17 to 10. It also plans to cut 15% of its workforce, following a 42% drop in sales since 2017. The decisions signal painful but necessary steps to exit its ongoing crisis.
Toyota Strengthens Its EV Push with the bZ 2026
Meanwhile, Toyota used the week to unveil a major update to its electric bZ4X, now rebranded as the bZ 2026. The new version boasts a 25% longer range — up to 505 km — along with a more powerful 338 hp all-wheel-drive system and support for Tesla's NACS charging port, making it clear Toyota is stepping up its game in the EV arena.
Tesla Faces Sluggish Demand and Robotaxi Scrutiny
Tesla, on the other hand, finds itself in a tough spot. Despite launching an updated Model Y, field reports show weak consumer interest, prompting the company to offer 0% financing and instant deliveries — an unusual move pointing to a real demand crisis.
The pressure intensified as the U.S. National Highway Traffic Safety Administration (NHTSA) opened a formal investigation into Tesla's upcoming paid Robotaxi service, set to launch in Austin next month. Regulators are demanding detailed explanations on how the technology works and its safety protocols, placing the future of the project under intense scrutiny at a pivotal time for the company.
BYD Expands Its European Footprint
On the other side of the globe, China's BYD continued its expansion by announcing a major new regional hub in Hungary, which will create over 2,000 jobs. The center will support sales, development, and testing operations, and forms part of BYD's broader strategic push into the increasingly competitive European market.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Arab News
15 hours ago
- Arab News
Musk vows to stay Trump's ‘friend' in bizarre black-eyed farewell
WASHINGTON: Billionaire Elon Musk bade farewell to Donald Trump in an extraordinary Oval Office appearance Friday, sporting a black eye, brushing aside drug abuse claims and vowing to stay a 'friend and adviser' to the US president. As the world's richest person bowed out of his role as Trump's cost-cutter-in-chief, the Republican hailed Musk's 'incredible service' and handed him a golden key to the White House. But Trump insisted that Musk was 'really not leaving' after a turbulent four months in which his Department of Government Efficiency (DOGE) cut tens of thousands of jobs, shuttered whole agencies and slashed foreign aid. 'He's going to be back and forth,' said Trump, showering praise on the tech tycoon for what he called the 'most sweeping and consequential government reform program in generations.' South-African born Musk, wearing a black T-shirt with the word 'Dogefather' in white lettering and a black DOGE baseball cap, said many of the $1 trillion savings he promised would take time to bear fruit. 'I look forward to continuing to be a friend and adviser to the president,' he said. But many people were more interested in the livid black bruise around Musk's right eye. Speculation about the cause was further fueled by accusations in the New York Times Friday that Musk used so much of the drug ketamine on the 2024 campaign trail that he developed bladder problems. 'Go ahead punch me in the face' The SpaceX and Tesla magnate said that his son was to blame for the injury. 'I was just horsing around with lil' X, and I said, 'go ahead punch me in the face,'' 53-year-old Musk said. 'And he did. Turns out even a five-year-old punching you in the face actually is...' he added, before tailing off. Musk, however, dodged a question about the drug allegations. The New York Times said Musk, the biggest donor to Trump's 2024 election campaign, also took ecstasy and psychoactive mushrooms and traveled with a pill box last year. Musk, who has long railed against the news media and championed his X social media platform as an alternative, took aim at the paper instead. 'Is that the same publication that got a Pulitzer Prize for false reporting on the Russiagate?' said Musk, referring to claims that Trump's 2016 election campaign colluded with Moscow. 'Let's move on. Okay. Next question.' Later in the day, when a reporter asked Trump if he was 'aware of Elon Musk's regular drug use,' Trump simply responded: 'I wasn't.' 'I think Elon is a fantastic guy,' he added. The White House had earlier played down the report. 'The drugs that we're concerned about are the drugs running across the southern border' from Mexico, said Trump's Deputy Chief of Staff Stephen Miller, whose wife works for Musk. Musk has previously admitted to taking ketamine, saying he was prescribed it to treat a 'negative frame of mind' and suggesting his use of drugs benefited his work. Leaving under a cloud The latest in a series of made-for-TV Oval Office events was aimed at putting a positive spin on Musk's departure. Musk is leaving Trump's administration under a cloud, after admitting disillusionment with his role and criticizing the Republican president's spending plans. It was a far cry from his first few weeks as Trump's chainsaw-brandishing sidekick. At one time Musk was almost inseparable from Trump, glued to his side on Air Force One, Marine One, in the White House and at Trump's Mar-a-Lago resort in Florida. The right-wing magnate's DOGE led an ideologically-driven rampage through the federal government, with its young 'tech bros' slashing tens of thousands of jobs. But DOGE's achievements fell far short of Musk's original goal of saving $2 trillion dollars. The White House says DOGE has made $170 billion in savings so far. The independent 'Doge Tracker' site has counted just $12 billion while the Atlantic magazine put it far lower, at $2 billion. Musk's 'move fast and break things' mantra was also at odds with some of his cabinet colleagues, and he said earlier this week that he was 'disappointed' in Trump's planned mega tax and spending bill as it undermined DOGE's cuts. Musk's companies, meanwhile, have suffered. Tesla shareholders called for him to return to work as sales slumped and protests targeted the electric vehicle maker, while SpaceX had a series of fiery rocket failures.
Asharq Al-Awsat
15 hours ago
- Asharq Al-Awsat
Trump, Musk Offer Show of Unity as Tesla CEO Departs Government
US President Donald Trump said on Friday that billionaire Elon Musk will remain a close adviser, after the Tesla CEO ended a chaotic four-month stint leading the administration's sweeping cost-cutting campaign. During a farewell event in the Oval Office, Trump lauded Musk's work as the head of the Department of Government Efficiency, which has eliminated thousands of jobs and canceled billions of dollars in spending - including the majority of US foreign aid - but has so far fallen short of Musk's lofty initial promises. "Elon is really not leaving. He's going to be back and forth," Trump said from behind the Resolute Desk, as Musk stood to his right, wearing a black DOGE hat and a T-shirt that read "The Dogefather" in the style of the movie "The Godfather." Musk announced this week he would be departing the administration at the end of his 130-day mandate as a special government employee, which was set to expire around May 30. The world's richest man - who spent nearly $300 million in 2024 to help Trump and other Republicans get elected - exerted enormous power during the first few weeks of Trump's term. DOGE upended the federal bureaucracy, dismantling agencies, shutting down long-standing programs and issuing sweeping mandates with little warning, resulting in tens of thousands of layoffs. But his influence at the White House appeared to wane amid complaints from cabinet members about his approach. At the same time, he faced mounting pressure from shareholders worried that his expanding political role was becoming a liability for his companies. Widespread anti-Musk protests at Tesla outlets across the US and Europe contributed to declining sales and a drop in the company's stock price. Other ventures in his sprawling empire, including SpaceX and Starlink, were expected to benefit but also came under scrutiny from his close ties to Trump. Friday's White House event was intended as a show of unity after Musk prompted frustration among White House officials this week by criticizing Trump's sweeping tax and spending bill as too expensive. Some senior aides, including Deputy Chief of Staff Stephen Miller and Chief of Staff Susie Wiles, saw Musk's remarks on the tax bill as an open break from the administration, with Miller particularly irked by the comments, a source familiar with the matter said. According to Reuters, Trump presented Musk with a large golden key inside a wooden box bearing his signature, a gift he said he reserved only for "very special people." "He had to go through the slings and arrows, which is a shame because he's an incredible patriot," Trump said. Musk, in turn, admired the gold finishings that Trump has installed around the Oval Office and explained away a bruised eye by saying his 5-year-old son had punched him in the face while the two were playing around. In addition to saying he would direct more of his energy toward his businesses, Musk has also said he plans to ratchet back his political donations. On Friday, he told reporters he would remain part of Trump's circle of advisers. "I expect to remain a friend and an adviser, and certainly, if there's anything the president wants me to do, I'm at the president's service," he said. CUTS FALL SHORT Musk initially claimed DOGE would slash at least $2 trillion in federal spending. DOGE now estimates it has saved $175 billion, but the details posted on its website, where it gives the only public accounting of those changes, add up to less than half of that figure. US Treasury summaries reviewed by Reuters show that the agencies targeted by DOGE have cut about $19 billion in combined spending compared to the same period last year, far below Musk's original target and amounting to just about 0.5% of total federal expenditures. Trump and DOGE have managed to cut nearly 12%, or 260,000, of the 2.3 million-strong federal civilian workforce largely through threats of firings, buyouts and early retirement offers, a Reuters review of agency departures found. Musk said on Friday that downsizing the government had proven more difficult than he expected, blaming what he called the "banal evil of bureaucracy." Even so, he expressed confidence that DOGE would eventually achieve much deeper savings. "This is not the end of DOGE but really the beginning," he said.
Al Arabiya
16 hours ago
- Al Arabiya
Musk vows to stay Trump's ‘friend' in bizarre black-eyed farewell
Billionaire Elon Musk bade farewell to Donald Trump in an extraordinary Oval Office appearance Friday, sporting a black eye, brushing aside drug abuse claims, and vowing to stay a 'friend and advisor' to the US president. As the world's richest person bowed out of his role as Trump's cost-cutter-in-chief, the Republican hailed Musk's 'incredible service' and handed him a golden key to the White House. But Trump insisted that Musk was 'really not leaving' after a turbulent four months in which his Department of Government Efficiency (DOGE) cut tens of thousands of jobs, shuttered whole agencies, and slashed foreign aid. 'He's going to be back and forth,' said Trump, showering praise on the tech tycoon for what he called the 'most sweeping and consequential government reform program in generations.' South African–born Musk, wearing a black T-shirt with the word 'Dogefather' in white lettering and a black DOGE baseball cap, said many of the one trillion dollars in savings he promised would take time to bear fruit. 'I look forward to continuing to be a friend and advisor to the president,' he said. But many people were more interested in the livid black bruise around Musk's right eye. Speculation about the cause was further fueled by accusations in The New York Times Friday that Musk used so much of the drug ketamine on the 2024 campaign trail that he developed bladder problems. The SpaceX and Tesla magnate said that his son was to blame for the injury. 'I was just horsing around with lil' X, and I said, 'Go ahead, punch me in the face,'' 53-year-old Musk said. 'And he did. Turns out even a five-year-old punching you in the face actually is...' he added, before tailing off. Musk, however, dodged a question about the drug allegations. The New York Times said Musk, the biggest donor to Trump's 2024 election campaign, also took ecstasy and psychoactive mushrooms and traveled with a pill box last year. Musk, who has long railed against the news media and championed his X social media platform as an alternative, took aim at the paper instead. 'Is that the same publication that got a Pulitzer Prize for false reporting on the Russiagate?' said Musk, referring to claims that Trump's 2016 election campaign colluded with Moscow. 'Let's move on. Okay. Next question.' Later in the day, when a reporter asked Trump if he was 'aware of Elon Musk's regular drug use,' Trump simply responded: 'I wasn't.' 'I think Elon is a fantastic guy,' he added. The White House had earlier played down the report. 'The drugs that we're concerned about are the drugs running across the southern border' from Mexico, said Trump's Deputy Chief of Staff Stephen Miller, whose wife works for Musk. Musk has previously admitted to taking ketamine, saying he was prescribed it to treat a 'negative frame of mind' and suggesting his use of drugs benefited his work. The latest in a series of made-for-TV Oval Office events was aimed at putting a positive spin on Musk's departure. Musk is leaving Trump's administration under a cloud, after admitting disillusionment with his role and criticizing the Republican president's spending plans. It was a far cry from his first few weeks as Trump's chainsaw-brandishing sidekick. At one time Musk was almost inseparable from Trump, glued to his side on Air Force One, Marine One, in the White House, and at Trump's Mar-a-Lago resort in Florida. The right-wing magnate's DOGE led an ideologically driven rampage through the federal government, with its young 'tech bros' slashing tens of thousands of jobs. But DOGE's achievements fell far short of Musk's original goal of saving two trillion dollars. The White House says DOGE has made 170 billion dollars in savings so far. The independent 'Doge Tracker' site has counted just 12 billion, while The Atlantic magazine put it far lower, at two billion. Musk's 'move fast and break things' mantra was also at odds with some of his cabinet colleagues, and he said earlier this week that he was 'disappointed' in Trump's planned mega tax and spending bill as it undermined DOGE's cuts. Musk's companies, meanwhile, have suffered. Tesla shareholders called for him to return to work as sales slumped and protests targeted the electric vehicle maker, while SpaceX had a series of fiery rocket failures.
