American efforts to secure material, manufacturing, and semiconductor chip security could be on the outnumbered side of the table soon. With Europe and China working to collaborate over their efforts in Africa and other mineral-rich regions, it could soon be impossible to get non-Chinese material if you don’t dig it out of your backyard.
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America is working to break ties and dependencies on China, favoring North American neighbors and long-standing European connections. Europe, on the other hand, is thinking about getting closer to China.
Possible automotive and raw material cooperation between the regions would benefit the automotive and technology sectors, possibly making up for the setbacks resulting from US.
China's BYD released a more affordable version of its Dolphin hatchback. The new version is 14.6% cheaper than previous models. In USD the price starts at just $13,865.35. The model is not available in the US, but if it were to come over it is hard to imagine it not connecting with many people whose dream car is "one without a car note."
Tesla cuts prices all the time lately, so much so that EV values across the market are in flux. Leasing firms are actually receiving compensation from EV makers to counter the decline in EV prices.
Some leasing companies demand concessions like buyback agreements to protect their investments from further erosion in the pre-owned market. The pricing shifts have even impacted the 2035 ICE phase-out plans for Europe.
Cybertrucks aren't getting discounts, but they are getting pumped out at an increased pace. A large fleet of kitchen knife-looking "trucks" was seen at the Texas Gigafactory as the company worked toward its 250K per year goal in mid-2025.
One more thing about Tesla: did you see this story about the bakery? A baker in San Jose got an order for 4,000 pies from the EV maker. Since the order was for this week, the baker's team worked overtime, and extra supplies were brought in to meet the need, but two days after the order came in, a text message canceled the order. Now the baker is out thousands and will almost definitely be getting non-refundable deposits on massive orders in the future.
GM is canceling its compact EV pickup plan and contemplating a Plug-in Hybrid full-size pickup. With the whole world deciding they found the boundary of EV adoption for now, many are looking to plunge into the depths of hybrids and find how deep that market share goes.
Meanwhile, GM's Cruise robo-taxis will resume testing on public roads. They will have safety drivers and hopefully repair lost trust with the people of San Francisco and beyond.
Hyundai accelerates its Georgia-based EV plant to open by October 2024, aiming for the EV tax credit. The $7.6 billion Metaplant America can produce up to 300,000 EVs yearly.
Kia pushes ahead with the U.S.-made EV9, a three-row electric SUV, aiming for spring production. Uncertainty lingers over full tax credit qualification due to stringent battery component rules.
Both Hyundai and Kia exemplify aggressive expansion in the competitive EV market, showcasing a commitment to electrification and navigating regulatory hurdles for innovative electric solutions.
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What did we learn today? Well. We learned automakers are going to go where they think the money is: China, robo-taxis, three-row EVs, etc.
Lucky for dealers, we don’t have to guess, hope, or force anything; just listen to our customers and do what they like more than what they don’t like.
It all seems so simple without the pesky details, huh?