Production | Power Systems Research

2025-04-20

Magnesium Battery Offers Alternative To Lithium

Researchers at the University of Waterloo, Ontario, Canada, have developed a new electrolyte system for magnesium anodes, which they claim demonstrates a potential alternative to lithium-ion electric vehicle batteries through superior performance.

The team suggests halide-free Mg batteries surpass previous batteries in terms of safety, efficiency and stability. The aging effects of energy storage are also apparently mitigated with magnesium, which the team claimed would lead to a longer lifespan of the battery.

Categories: Alternative Power, Batteries, Electrification, eMobility, Passenger Cars, Minivans, and SUVs, Production

Office: United States Offices

2025 NA Snowmobile Production

Carol Turner

60,300 units is the estimate by Power Systems Research of the number of Snowmobiles expected to be produced in the United States in 2025. Snowmobiles are motor vehicles that have a revolving tread in the rear and steerable runners in the front, for traveling over snow off-road, often at speeds exceeding 100 mph.

This product information comes from industry interviews and from two proprietary databases maintained by Power Systems Research: EnginLink™ , which provides information on engines, and OE Link™, a database of equipment manufacturers. PSR

Carol Turner is Senior Analyst, Global Operations at Power Systems Research

Categories: Datapoint Reports, North America, Production, Recreational Products

Office: United States Offices

Interest Rates Hurt Brazil Heavy Truck Production

Fabio Ferraresi

Heavy truck production in Brazil fell 3.7% in Q1 2025 versus the same period in 2024, totaling 16,700 units, according to Anfavea. The decline is attributed to high interest rates (Selic), which have limited fleet renewal despite a record grain harvest.

Heavy truck sales also dropped 7% in the quarter, with 13,000 units registered.

OEM Performance – Heavy Trucks: Volvo: 3,900 units sold (+4% YoY); Scania: 3,500 units (−17%), and Mercedes-Benz: 2,100 units (−13.5%)

Despite the contraction in the heavy segment, total truck production grew 8.2%, reaching 31,700 units. The Medium-duty truck segment production was 8,900 units (+28.5%) and the Light-duty truck production was 4,500 units (+10%)

Categories: Central/South America, Commercial Vehicles, PowerTALK, Production, South America/Brazil

Office: Brazil Office

Brazil Light Vehicle Exports Grow 41%

Fabio Ferraresi

Vehicle exports from Brazil grew by nearly 41% in the first quarter of 2025. Brazil automotive industry shipped 115,600 units abroad, compared to 82,200 vehicles during the same period in 2024. Only in March, 38,900 vehicles were exported, up 19% year-over-year.

The increase was boosted by higher export volumes to Argentina, which accounted for 58% of Brazil’s vehicle exports in Q1 2025. A total of 67,630 vehicles were sent to Argentina— up 120% from the same period last year.

Categories: Central/South America, Commercial Vehicles, Passenger Cars, Minivans, and SUVs, Production, South America/Brazil

Office: Brazil Office

KG Motors To Mass-Produce Ultra-Compact EVs

Akihiro Komuro

KG Motors, which manufactures and sells the ultra-compact “mibot” EV, is moving toward mass production of the units. It will start mass production in October 2025 at an assembly plant it has built near its headquarters. The company plans to produce 300 units in FY2025, 3,000 units in FY2026, and 10,000 units in FY2027.

The mibot is a one-person vehicle designed for short-distance travel, with a range of 100 kilometers per charge. The planned price at the time of mass production is 1.1 million yen ($7,700 USD), including consumption tax.

The assembly plant in Higashi Hiroshima City consists of a single production line with a main line of seven processes and a subline of four processes. Since there are only a few parts, the number of processes is less than that of a normal automobile production line.

Categories: Electrification, eMobility, Japan, Passenger Cars, Minivans, and SUVs, Production

Office: Japan Office

Hyundai Motor Plans To Invest $21 Billion in US

Akihiro Komuro

Last month, South Korea’s Hyundai Motor Group announced that it will invest $21 billion in the U.S. over the next four years. In addition to investing $6 billion to build a steel mill in Louisiana, the company will increase its U.S. auto production capacity by 70% to 1.2 million vehicles per year at a cost of $9 billion

The $21 billion investment in the U.S. will be the largest ever made by the Hyundai Motor Group. The investment will be made between 2025 and 2028 and will cover a wide range of fields, including automobiles, steel, parts and energy.

Categories: North America, Passenger Cars, Minivans, and SUVs, PowerTALK, Production, South Korea

Office: Japan Office

Honda To Launch Electric Motorcycles in Vietnam

Akihiro Komuro

Honda plans to launch an electric motorcycle in Vietnam this month. The suggested retail price is less than 29 million VND (about $1183) without battery. The company is targeting the younger generation, who often use motorcycles to commute to school.

The name of the motorcycle to be sold is “ICON e:”. It will be manufactured at the company’s Binh Phuoc plant in northern Vietnam and will initially be sold through authorized dealers in seven provinces and cities. The maximum speed is 48 km/h, and it takes about 8 hours to charge the battery from zero to full. The maximum distance that can be traveled on a full charge is 71 kilometers. Because it does not require a driver’s license, which can be obtained at age 18, it is expected to be used by high school students on their way to school.

Categories: Electrification, Japan, Motorcycles, Production, Recreational Products, Vietnam

Office: Japan Office

Three China-Owned Auto Companies Plan Merger

Jack Hao

The State-owned Assets Supervision and Administration Commission of the State Council (SASAC) officially announced that it would implement a strategic reorganization of the three state-owned automotive enterprises—FAW Group, Dongfeng Motor, and Changan Automobile. The goal is to “build a world-class automotive group with global competitiveness, independent core technologies, and the ability to lead the transformation of intelligent and connected vehicles.”

The combined annual production capacity of the three central state-owned enterprises exceeds 8 million vehicles, yet the market share of their owned brands is less than 15%. The fragmented R&D investment has led to low efficiency in technological advances. After the reorganization, technological synergy will become a core focus. For example, a joint innovation consortium will be established in 28 “chokepoint” areas, such as automotive-grade chips and domain controllers, to concentrate resources on overcoming technological barriers.

Categories: Autonomous, Batteries, Greater China, Mergers & Acquisitions, Partnerships, Passenger Cars, Minivans, and SUVs, PowerTALK, Production

Office: China Office

Farm Mechanization Unlocks Productivity

Aditya Kondejkar

Farm mechanization in India is steadily evolving from being tractor-centric to encompassing a broader range of machines and technologies aimed at improving agricultural productivity and efficiency. Traditionally, mechanization was equated with the use of tractors, which replaced bullocks in tillage, sowing, and transport operations. The tractor gave Indian farmers a reliable source of power, allowing them to perform heavier and faster field tasks.

A typical pair of bullocks generates just about 1 horsepower (hp), while most tractors sold in India today are in the 41–50 hp range. With nearly 9 lakh units sold annually, tractors form the backbone of India’s farm power economy, contributing over ₹60,000 crore in value terms. Yet, the real shift lies in the rising demand for tractor-mounted and self-propelled farm machinery, driven by the need to overcome agricultural labor shortages and improve overall farm economics.

Categories: Agricultural, Autonomous, Indian Subcontinent, PowerTALK, Production

Office: India Office

2025-03-24

FPT Industrial Supplies Agrale Engine

Fabio Ferraresi

FPT Industrial has partnered with Agrale to supply the N60 CNG engine, powered by natural gas and biomethane, for the MA 11.0 GNV chassis. In Latin America, FPT increases it presence in the gas-powered bus market, supplying urban transport systems with low-emission engines that support decarbonization and air quality improvements while reducing CO₂ emissions.

Categories: Alternative Power, Central/South America, Commercial Vehicles, Emissions, Production, South America/Brazil

Office: Brazil Office

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Hyundai Motor Plans To Invest $21 Billion in US

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