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BUSINESS Saturday 16 September 2017
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Harvey sends US industrial production down most in 8 years

By CHRIS RUGABER eral Reserve said Friday. last month, though the ed signs of weakness, even in the fourth quarter as re-
AP Economics Writer That suggests production Fed said that without the excluding the impact of building from Harvey and
WASHINGTON (AP) — U.S. would have slipped with- hurricane, it would have Harvey. Irma gets underway.
industrial output plunged out the hurricane.The Gulf increased roughly 0.5 per- “The August decline was Industrial production in-
0.9 percent in August, the Coast is home to many of cent. widespread, with only the cludes mining and utilities
most in eight years, mostly the nation’s oil refiners, and And a survey of manufac- auto industry surprisingly as well as manufacturing.
because of Hurricane Har- petroleum is a key compo- turing firms that preceded gaining in the month,” she Utility output tumbled 5.5
vey’s damage to the oil re- nent in the manufacturing Harvey found that factory said. percent as milder tempera-
fining, plastics and chemi- of plastics and chemicals. activity rose to a six-year Lee cut her estimate for tures on the East Coast re-
cals industries. Manufacturing has picked high in August. third-quarter growth to 2 duced air conditioning use.
The storm, which slammed up since last summer as the Still, the report illustrates percent at an annual rate, And mining production fell
into the Gulf Coast in Tex- dollar has fallen in value, how Harvey has disrupted from an earlier forecast of 0.8 percent last month as
as and Louisiana late last which makes U.S. goods the wider U.S. economy. 2.4 percent. A drop in retail Harvey temporarily shut
month, lowered industrial cheaper overseas, boost- Jennifer Lee, senior econo- spending last month was down the drilling of oil and
production by about 0.75 ing exports. Manufacturing mist at BMO Capital Mar- also a factor. But she also natural gas and refining
percentage point, the Fed- production fell 0.3 percent kets, said the data includ- expects growth to rebound operations.q
Renault-Nissan-Mitsubishi bets on spike in electric cars

By ANGELA CHARLTON bit further in to the future,
MASHA MACPHERSON saying, ‘I’m going to go
Associated Press electric because I don’t
PARIS (AP) — The Renault- want to have the problem
Nissan-Mitsubishi alliance with the car I have today
is gambling that mass- three, four years down the
market drivers are going to road,’” he said.
pivot soon to electric cars, All major car companies
announcing plans Friday are trying to position them-
to produce 12 new elec- selves to profit from the
tric models by 2022 and to expected but unpredict-
make electric cars 30 per- able and chaotic changes
cent of its overall output. overtaking the industry: au-
The carmakers — who col- tonomous cars, connected
lectively sold more vehicles cars that share data, car-
than any other company in sharing where you don’t
the world in the first half of own a vehicle but order
this year — also announced one by app, and low-emis-
plans to make “robo-taxis,” sions vehicles demanded
driverless public transport by the European Union to
vehicles and autonomous fight climate change and
cars aimed at middle-class by China, where many cit-
consumers. ies are fighting rampant
The announcements are Carlos Ghosn, Chairman and CEO of Renault-Nissan Alliance, speaks at a press conference held pollution.
in Paris, France, Friday, Sept. 15, 2017. The Renault-Nissan alliance is ramping up electric car
part of an overall strate- production, vowing 12 new models by 2022 and to make electric cars 30 percent of its overall At the Frankfurt auto show
gic plan released Friday, production. this week, several car man-
aimed at taking advan- (AP Photo/Thibault Camus) ufacturers vaunted electric
tage of the alliance’s and other low-emissions
growing reach after taking technology strategies.
over Mitsubishi last year to liance and renamed it Re- push drivers to go electric Britain and France have Volkswagen AG notably
consolidate its position and nault-Nissan-Mitsubishi. instead.“We don’t’ know decided to ban new diesel announced a long-term
make electric and driver- CEO Carlos Ghosn is bet- how much time it’s going and gasoline car sales from electrification campaign,
less cars more affordable. ting that upcoming gov- to take ... but this is com- 2040 and China is consider- saying its brands would in-
They also unveiled a new ernment restrictions on die- ing,” Ghosn told The Asso- ing a similar move. troduce 80 new electric
logo for the three-way al- sel and gasoline cars will ciated Press in an interview. “People are looking a little vehicles by 2025.q

Hyundai Motor to launch Genesis midsize sedan in US in 2018

By YOUKYUNG LEE an luxury brand however Head of Genesis Division, With Genesis, Hyundai fol- with Kia Motor Corp., dealt
AP Business Writer has no immediate plan to told reporters Friday. “We lowed other Japanese car with a series of other head-
HWASEONG, South Korea launch the Genesis brand have to be well prepared brands’ footsteps, such as aches in recent years in ad-
(AP) — Hyundai Motor will in Europe or China. China as a brand. You have to be Toyota’s Lexus and Nissan’s dition to lower demand for
launch its first midsize sports has been particularly a present there before going Infiniti.Hyundai’s profitabil- its cars.The diplomatic ten-
sedan under the Genesis tough market for Hyundai there.”In late 2015, Hyun- ity has deteriorated for sev- sions between Beijing and
brand in South Korea next Motor this year with nose- dai Motor launched Gen- eral years because of its Seoul over South Korea’s
week and in the U.S. early diving sales and supply dis- esis as a separate premium focus on passenger sedans deployment of the U.S. anti-
next year, the latest at- ruptions amid diplomatic brand in a bid to improve and its belated response missile system against North
tempt by the emerging Ko- tensions between the two the reputation of a brand to the growing global de- Korean aggressions, which
rean luxury brand to chal- countries.“We will definitely long associated with ve- mand for sports utility ve- angered China, hurt Hyun-
lenge BMW’s 3 series and go to China but we can- hicles that are cheap but hicles.The company, South dai’s China sales, which
other European premium not give you exact date durable enough to be a Korea’s largest and the were nearly halved during
cars.The emerging Kore- yet,” Manfred Fitzgerald, good value for the money. world’s fifth-largest along the first half of this year. q