Electric or not, Mercedes-AMG’s latest concept makes a strong first impression. The AMG Concept GT XX doesn’t just aim to keep up with combustion-powered predecessors; it wants to make sure you hear and feel every bit of its presence.

Strongly hinting at a production car that may launch in 2026, it boasts 1,341 horsepower (1,000 kW), four doors, and a top speed of 223 mph (359 km/h). That’s not all, though, because we know it’ll also come with fake sounds. Now, in a new interview, we’re learning more about that and new insights on how AMG will evoke emotion from its drivers.

More: AMG Is Ditching Its Hated Four-Cylinder C63 For Something Much Better

From the outset, Mercedes-AMG confirmed that the production car, likely the next AMG GT 4-Door, will have speakers to make engine noises. Sure, placing them at the front of the car in the headlights does seem a bit odd, but we digress. We’ve actually heard the fake engine noises already, too. They’re the main feature in a new Instagram post from Mercedes.

Engineering Emotion

That said, tech chief of Mercedes AMG, Markus Schäfer, is still dropping new information in an interview with Autocar. There, he says that evoking emotion is a paramount concern for AMG.

“How does the car feel in terms of noise, in terms of sound level, in terms of the vibration, in terms of the gearshift?,” he asked. “It has to touch the emotional side of you. And if it doesn’t, it doesn’t do the job. This is what AMG cars do, and that’s exactly what we transferred piece by piece into this AMG GT XX.”

Apparently, Mercedes is taking this lightly. “It has to be authentic when it comes to power and drivability and track performance,” Schäfer remarked, “but the AMG is also an emotional experience from an acoustic standpoint, from noise and vibration harshness, and that’s exactly what you should expect in this car as well.”

At this point, it’s fair to expect the first all-AMG EV to rumble, shake during simulated gear shifts, and deliver a soundtrack that mimics the drama of a combustion engine. That actually sounds pretty promising. Interestingly, it’s also not far off from what Hyundai has already achieved with the well-received Ioniq 5 N.

Ultimately, this shouldn’t be all that shocking. Whether electric vehicles end up taking over or not (ed’s note: they likely will, since automakers have already invested too much and will want to recoup it), they’re a part of the auto industry for the foreseeable future. It’s also pretty clear that they have enormous performance potential. Still, a brand like AMG would be putting itself at great risk by not at least planning for what EV models would look like. By extension, that same logic applies to how an AMG EV would sound and feel.

Thankfully, the Hyundai Ioniq 5 N proves that an EV can indeed be genuinely fun. If a Korean automaker, mostly known for everyday people carriers, can manage it, surely AMG can too. We can’t wait to see and, more importantly, experience whatever it dreams up. 

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As Rivian prepares to kick off production of its more affordable R2 series next year, it is making some tough staffing decisions . More than 100 salaried employees at its Normal, Illinois, facility are being let go, with most of the cuts affecting the manufacturing team.

While the layoffs are part of the company’s broader effort to streamline operations, the news has opened the door for another electric vehicle startup to step in. Scout Motors, a new EV brand launched by Volkswagen in the US market, is taking advantage of the opportunity. Rather than sitting on the sidelines, it is actively courting the newly displaced talent.

As Autoblog noticed, shortly after the layoffs were announced, Scout Motors’ head of logistics, Jacopo Marzetti, took to LinkedIn to express support for the affected Rivian workers, encouraging them to consider applying for positions at Scout. While Rivian hasn’t disclosed the exact number of job cuts, TechCrunch reports that around 140 positions are being eliminated and can, therefore, apply for a job at Scout.

Read: These Are The New Scout Terra Truck And Traveler SUV

According to Rivian, the layoffs are being made “as part of an ongoing effort to improve operational efficiency for R2.” Crain’s Chicago Business adds that “affected employees are eligible for rehire and encouraged to apply to other open positions within Rivian.”

A look at Scout Motors’ career page reveals it has 133 current vacancies. Some of these positions are crucial in engineering, focusing on body systems, drive systems, and energy systems. It’s also seeking vehicle software and electrical engineering staff, as well as specialists in logistics.

Most of the positions are in Columbia, South Carolina, the location of Scout’s forthcoming factory. There are also several positions available in Fremont, California, as well as at the brand’s innovation center in Novi, Michigan.

Shared DNA, but Key Differences

Former Rivian employees will bring valuable expertise to the Scout brand. Just like Rivian did, Scout is launching with an electric pickup and an electric SUV. However, the VW-owned brand is also readying range-extended models, something that Rivian doesn’t do. Even so, like Rivian, Scout’s models promise to be rugged and perfect for those with an adventurous spirit.

A key differentiator will be price. The Scout models will be priced from as low as $50,000 after incentives. By comparison, the Rivian R1T and R1S start at $69,900 and $75,900, respectively.

As demand patterns shift in the auto industry, the tension between future-focused electric vehicles and proven combustion models continues to shape manufacturing plans.

Toyota has always been a strong believer in that a multi-energy approach is best, which is why you’ll find EVs, hydrogen fuel-cell cars and combustion models in its showrooms. But the brand is experiencing such a massive demand for one particular ICE SUV it was forced to press pause on a planned new EV to make room.

Related: Akio Toyoda Says EVs Are Dirtier Than You Think

An electric SUV that was to be built at the automaker’s Princeton, Indiana, plant from 2027 now won’t start rolling off the line until 2028, according to a Bloomberg report. And that line has been switched to Toyota’s Georgetown site, where another EV will start production in the back end of 2026, around six months later than planned.

This is bad news for EV fans, but could be good news for anyone looking to buy a Grand Highlander in the next couple of years.

There are a couple of reasons for the delay and switcheroo, one of which is that EV sales haven’t taken off in the way Toyota – and every other automaker – thought they might. Although the brand’s own bZ4X had a great first quarter, and the facelifted model, now called simply bZ, is a much stronger proposition, the overall US EV market is growing at a slower rate than in previous years.

Hybrids and Gas Models Are Still Pulling Ahead

And going hand-in-hand with that is the much faster growth being experienced by the hybrid segment and the continued appeal of simple gas cars, trucks and SUVs. Toyota’s Grand Highlander – which is available in gas and hybrid forms – has proved such a hit with buyers that the automaker desperately needs to make more of them.

The Grand Highlander was Toyota’s second-best-selling non-truck model in June, deliveries jumping 92 percent when, at the same time, even the number one spot RAV4 was down 4.5 percent.

The rush to pick up one of the midsize SUVs left dealers with just a three-day supply at the end of that month, Bloomberg reports, and switching production of the delayed-to-’28 EV will ensure Toyota has plenty of spare Grand Highlander capacity at Georgetown going forward.

Toyota

Porsche may be getting ready to reverse course on one of its biggest bets. A new report suggests the automaker is reconsidering its decision to retire the internal combustion version of the Macan, its best-selling crossover. Not long ago, the company was confidently signaling the end of the gas-powered Macan. Now, that stance appears to be shifting.

We’ve heard rumors that this could happen already this year. Lutz Meschke, Porsche’s Chief Financial Officer stated in January that, “We are exploring the possibility of equipping some of the originally planned electric models with hybrid drives or internal combustion engines in the future.” Now, his words have sparked further investigation and one publication says an announcement could come soon.

More: Porsche Testing 2026 Cayenne EV In Two Different Chilli Strengths

Here’s what Car Magazine says about the situation. “A combustion version – presumably sharing underpinnings with the new Audi Q5 – would most likely take three years to develop, meaning a long absence from the market of one of Porsche’s biggest sellers. An announcement is expected in March.” Sure, that’s months away, but these things take time.

If true, it would mean Porsche working hard between now and then to revamp its plans. Announcing a new Macan ICE in March of 2026 could also have the benefit of making its launch feel closer. No doubt, if Porsche does decide to go this route, and all indications are that it’s at least considering it, we could see test mules before the end of the year.

With the latest Audi Q5 already on the road, Porsche wouldn’t be starting from scratch. Sharing a platform could accelerate development and help control costs. The real challenge will be figuring out how to keep Macan customers engaged in the meantime.

Macan EV Holds Its Own, for Now

That’ll be the toughest hurdle but the Macan EV isn’t exactly a flop. Porsche sold 18,278 of them in the final quarter of 2024. While regulation in Europe spelled the demise of the Macan ICE, it’s encouraging for Porsche that the EV version made up 66 percent of the model’s sales for the year.

That’s an encouraging sign, though the company is clearly watching what happens next. Models like the Taycan have shown how EV sales can soften over time. The task now is to maintain momentum while preparing for a possible return to combustion.

Any investors praying Tesla’s awful sales performance in the first quarter of 2025 was merely a blip have just had their hopes dashed. The troubled automaker announced its Q2 numbers and they show an even bigger year-over-year decline than the ones covering January to March.

Also: A Model Y Drove 30 Minutes To Deliver Itself To Its New Owner

Global deliveries declined 14 percent in Q2, falling from 410,244 to 384,122, making the most recent quarter’s performance marginally worse than Q1’s. For that period Tesla recorded a 13 percent drop after sales sunk by 50,000 to 336,681 units.

Sales Still Centered on Model 3 and Model Y

Tesla didn’t offer a complete breakdown of its Q2 numbers by model or region, but it did reveal that the Model 3 and Model Y accounted for practically all of its sales. The automaker delivered 373,728 Model 3 and Y EVs, and only 10,394 of its other cars, which include the Model S, Model X and Cybertruck, combined. The electric automaker also said it produced over 410,000 vehicles of all types.

Although delivery figures aren’t exactly the same as sales numbers, they’re close enough to give us a solid idea of the problems faced by Tesla, and the buying public’s apathy for its cars. Those problems include widespread dislike of Tesla CEO Elon Musk due to his vocal right-wing opinions and association with DOGE and the Trump administration, which is one of the reasons sales have cratered in Europe in recent months.

TESLA Q2 SALES

Intensifying Competition in China and Beyond

And in China, a key market for Tesla, the American brand is battling against a slew of hi-tech rivals that seem intent on pushing prices downwards to the detriment of profitability. Some of those same Chinese rivals are also now causing Tesla problems in other markets. In April BYD sold more EVs than Tesla in Europe, where the Model Y and 3 are struggling to regain their sales form despite recent facelifts.

Although Tesla’s Q2 performance looks dire, the figures aren’t as bad as some analysts had feared. And Deepwater Asset Management’s Gene Munster predicted the quarter represented a bottoming out for Tesla, which could bounce back in future periods, CNBC reports. Tesla will announced its complete Q2 financial results on July 23.

The EV race isn’t just heating up, it’s turning existential for legacy automakers. At the Aspen Ideas Festival last Friday, Ford CEO Jim Farley made that reality clear. If American car companies can’t keep up with China’s EV momentum, he warned, Ford’s future may be in jeopardy.

“We’re in a global competition with China, and it’s not just EVs,” he said before dropping the hammer. “If we lose this, we do not have a future Ford,” he said. This man isn’t speaking from hearsay either. He’s speaking from experience.

More: Thousands Of Chinese Cars Sank With This Ship And The Bill Keeps Climbing

His warning comes after a string of trips to China, six or seven in the past year, he says. There, he saw firsthand how fast Chinese automakers are outpacing the West. It’s the most humbling thing I have ever seen,” he explained.” Why be so blown away by a nation that can’t sell cars in the USA? It comes down to production.

Chinese EVs: High Volume, High Quality

According to Farley, not only is China making more EVs than anybody else, but their quality isn’t lacking either. “Seventy percent of all EVs in the world, electric vehicles, are made in China,” Farley said. That statement comes not long after Xiaomi launched the YU7, a $35,000 luxury SUV that allegedly has 200,000 orders already.

“They have far superior in-vehicle technology. Huawei and Xiaomi are in every car. You get in, you don’t have to pair your phone. Automatically, your whole digital life is mirrored in the car. Beyond that, their cost, the quality of their vehicles is far superior to what I see in the West,” Farley says.

So the message is clear. Farley wants to see the U.S. catch up with China as quickly as possible. Despite that, Ford is adapting its strategy to produce fewer EVs, not more. That’s because the markets Ford caters to seem more interested in hybrids right now. Business Insider points out that Ford’s shares are up by more than 9 percent so far this year.

Still, the larger question lingers: will adjusting course be enough to compete long-term in a global EV market increasingly defined by China’s dominance? Farley isn’t waiting for the answer; he’s already sounding the alarm.

Immigration officials questioned and detained contractors working on apartment buildings in Tallahassee, Fla., on May 29. Construction employs more immigrant laborers, many likely living here illegally, than any other industry, and the industry is starting to draw more attention — even in conservative states — as the Trump administration pushes for more deportations. (Photo by Jay Waagmeester/Florida Phoenix)

As President Donald Trump sends mixed messages about immigration enforcement, ordering new raids on farms and hotels just days after saying he wouldn’t target those industries, he has hardly mentioned the industry that employs the most immigrant laborers: construction.

Nevertheless, the Trump administration is going after construction workers without legal status to meet its mass deportation goals — even as the country has a housing shortage and needs new homes built. A shortage of workers has delayed or prevented construction, causing billions of dollars in economic damage, according to a June report from the Home Builders Institute.

Almost a quarter of all immigrants without a college degree work in construction, a total of 2.2 million workers as of last month, before work site raids began in earnest. That’s more than the next three industries combined: restaurants (1.1 million), janitorial and other cleaning services (526,000) and landscaping (454,000), according to a Stateline analysis of federal Current Population Survey data provided by ipums.org at the University of Minnesota.

Within the construction industry, immigrant workers are now a majority of painters and roofers (both 53%) and comprise more than two-thirds of plasterers and stucco masons. U.S. citizens in construction are more likely to work as managers and as skilled workers, such as carpenters.

Many immigrant workers are likely living here illegally, although there are some working legally as refugees or parolees, and others are asylum-seekers waiting for court dates. There’s also a small number of legal visas for temporary farmworkers, construction workers and others.

The pool of immigrant workers Stateline analyzed were employed noncitizens ages 18-65 without a college degree, screening out temporary workers with high-skill visas.

About half of the immigrant laborers in construction are working in Southern states, including conservative-leaning Florida, North Carolina and Texas, where there is more building going on, according to the Stateline analysis. Another 584,000, or one-quarter, are in Western states, including Arizona, California and Nevada.

In recent months, U.S. Immigration and Customs Enforcement, better known as ICE, has conducted construction worksite raids in Florida in Tallahassee and near Ocala, and in South Texas and New Orleans, as well as more immigrant-friendly California and Pennsylvania.

Roofers may have been the first targeted by new workplace raids because of their visibility, said Sergio Barajas, executive director of the National Hispanic Construction Alliance, a California-based advocacy group with chapters in five other states.

“That’s the first place we heard about it. Roofers are right out there where you can see them,” Barajas said. He added that all segments of construction work have been targeted for ICE raids, and that even some legal workers are not showing up for work out of fear.

“Six or eight weeks ago, I would have said we weren’t affected at all. Now we are. There’s a substantial reduction in the number of workers who are showing up, so crews are 30%, 40% smaller than they used to be,” Barajas said.

In residential construction, a system of contractors and subcontractors opens the door to abuses, said Enrique Lopezlira, director of the Low-Wage Work Program at the University of California, Berkeley Labor Center. Lopezlira said contractors hire workers, often immigrant laborers, for low-wage jobs and pay them in cash, to save money on benefits and make the lowest possible bid for projects.

“It becomes a blame game. The developers can say, ‘I hired this contractor and I thought he was above board and paying people a decent wage.’ And the contractors can say, ‘I rely on subcontractors,’” said Lopezlira. “It becomes a race to the bottom.”

In many places, residential construction draws more immigrant labor because of looser state and local regulations and lower pay. But in some states with weaker unions and rules that are less strict, such as Texas, the commercial construction industry also employs many immigrants who are here illegally.

Commercial construction labor costs are 40% lower in Texas than they are in large Northeastern cities where unions are more powerful, said David Kelly, a lecturer in civil and environmental engineering at the University of Michigan.

“The large difference [in cost] suggests workers and their employers in some regions are not paying for income taxes, overtime, Social Security or unemployment insurance,” Kelly said in an email. “Since undocumented workers have limited employment options they may be more willing than others to accept these conditions.”

Despite political claims that Democratic policies result in immigrants taking jobs others need, noncitizen immigrant laborers were about 7% of jobholders nationally as of May — about the same as 2015, according to the Stateline analysis.

That share has hardly budged over the past 10 years, including in 2019 under the first Trump administration, dipping to 6% only in 2020 and 2021.

In construction, however, the share of jobs held by immigrant laborers has increased from 19% in 2015 to 22% in 2024, according to the analysis. Immigrant laborers have gotten more than a third of the 1.5 million jobs added between 2015 and 2024, as home construction reached historic levels.

Editor’s note: This story has been updated with the full name of  the University of California, Berkeley Labor Center and to clarify David Kelly’s remarks on regional labor costs. Stateline reporter Tim Henderson can be reached at thenderson@stateline.org.

Stateline is part of States Newsroom, a nonprofit news network supported by grants and a coalition of donors as a 501c(3) public charity. Stateline maintains editorial independence. Contact Editor Scott S. Greenberger for questions: info@stateline.org.

Everyone shopping for a new car wants a good deal, and right now, there are plenty to be found in the electric vehicle space. That’s partly because new EVs aren’t flying off the shelves as they once were in the States. While sales saw a slight increase from April to May, they’re still down 10.7 percent year over year. As a result, the deals are getting sweeter.

According to data gathered from Cox Automotive, new EV prices are dropping. In May, the average price fell by 2.3 percent to $57,734. On top of that, incentives for these cars jumped 19.4 percent to an average of $8,226. That works out to roughly 14.2 percent of the average transaction price (ATP), which is the highest it’s been since 2019.

Read: 80% Of Car Tariffs Could Be Passed Directly To You

Several notable models, including the Ford Mustang Mach-E, Kia EV6, Nissan Ariya, and Acura ZDX are available for what effectively ends up being less than $40,000, which the study calculated by subtracting the average model-specific incentives from their ATPs.

New and Used EV Sales May 2025

Interestingly, the used electric vehicle market is going in the opposite direction. The average price rose 0.9 percent from April to May and 2.6 percent year over year. In cold, hard numbers that represents an average transaction price of $36,053. Despite that, sales increased 1.1 percent month over month and a substantial 32.1 percent year over year. Of those, Cox estimates that almost half (49.6%) were Teslas.

The price gap between used EVs and traditional ICE+ vehicles is also shrinking, staying under $2,000. Unsurprisingly, The Tesla Model 3 was the top-selling used electric car in May, with an average selling price of $23,160, which represents a 1.6 percent decrease from April.

New and Used EV Prices May 2025

Supply Shortages for Used EVs

Used EVs up for sale are far less than new ones. Data suggests 40 days of supply available in May, 11 percent less than a year previous and the lowest since June of 2022. That figure is the number of days of inventory a company has before it runs out of product.

“As EV adoption accelerates, ensuring a growing supply of affordable models is essential,” said Cox. “For many consumers, price remains one of the most significant barriers to making the switch to electric.”

In contrast, new EV dealers had an average of 111 days of supply in May. That’s 8 percent more than April, but still 11.6 percent less than May 2024.

The EV market is clearly in a bit of a balancing act right now, with more incentives, lower prices on new EVs, and rising costs in the used market. For shoppers, this creates a window of opportunity to grab some solid deals, but the clock might be ticking, especially with the $7,500 tax credit for new EVs and $4,000 for used ones on the chopping block soon.

New and Used EV Days’ Supply May 2025

Nissan might be facing some financial hurdles, but that hasn’t stopped them from doubling down on solid-state batteries. In fact, the company’s first production EV featuring this next-gen technology is schedule for 2028, promising to deliver significant upgrades in range, charging speed, cost, and packaging, improvements that will have all EV makers, including Tesla, taking note.

More: This BMW Prototype Hides A Solid Secret

The Japanese automaker has been working on solid-state battery tech for years and is now reaffirming its commitment, with Christophe Amblard, Nissan’s Director of Product Planning in Europe, telling Auto Express, “Yes, we will be ready for solid-state batteries in 2028.”

Amblard was quick to point out, though, that Nissan won’t be rushing this new technology to market. According to him, “We can’t rush the process. We have to be sure that this technology is reliable, and ready to meet our customers’ expectations.” In other words, they’d rather take their time and get it right than risk another situation.

The Advantages of Solid-State Batteries

Solid-state batteries are expected to boost energy density by up to 30% compared to current lithium-ion packs, all while being cheaper to produce and compatible with ultra-fast charging. The magic happens by removing the liquid elements from the battery cells, which not only enhances temperature management but also enables more efficient packaging.

Nissan’s solid-state batteries could also find their way into the next-generation GT-R, which is rumored to launch later in the decade. In 2023, Nissan teased the Hyper Force Concept, which boasted a fully electric powertrain with an absurd 1,341 horsepower. Recent reports, however, suggest the car might be a hybrid instead. Either way, Nissan’s electrification plans seem to be moving full speed ahead.

More: Stellantis Takes Solid-State Batteries From Lab To Road In A Charger

Amblard also hinted that solid-state batteries could find a place in plug-in hybrid vehicles as well. “We are not sure where the technology could lead, but we are actively exploring all potential applications.” So, while Nissan isn’t entirely sure what the future holds, they’re definitely testing all the possibilities, which is about as non-committal as it gets.

Nissan Is Not Alone In The Race

Nissan’s goal of putting solid-state batteries into production aligns with rival automakers like Toyota, Stellantis, VW Group, BYD, and SAIC. Even the world’s largest battery maker, CATL, is set to begin small-series production of solid-state batteries by 2027.

It’s not just the legacy car manufacturers jumping on the solid-state bandwagon either. Tech giants Xiaomi and Huawei have both recently filed patents hinting at their own explorations into the technology.

Since internal combustion engines were adopted as the de facto mode of propulsion for automobiles, they became one of their most defining characteristics. Sonorous Italians, ultra-high revving Japanese, or “no replacement for displacement” Americans: those stereotypes exist simply because said engines became synonymous not just with certain models, but brands (and even countries) as a whole.

Today, we live in a world that has experienced a rapid technological advancement in a relatively short time, and cars are no exception. In fact, they have become just another commodity to the new generation of buyers who, if at least one exec is to be believed, simply don’t care what’s under the hood of their ride.

More: Ferrari Just Delayed Its Second EV Because Rich People Can’t Kick Their Combustion Habit

That executive is none other than Ford Vice Chair John Lawler, so his opinion has a certain gravity. “I don’t think that consumers really think about powertrains the way they did 30 years ago”, he said on May 28 during Bernstein’s strategic decisions conference, according to Autonews.

He is probably right. The shift to electrification has transformed the way new car buyers view their purchases, and it’s not just electric vehicles, but hybrids that have contributed to that. Blame the effort to reduce CO2 emissions if you have to, but there’s no hiding from the truth; nowadays, cars fall under the “white goods” category, and romantics be damned.

“Where [combustion engines] defined what a vehicle was – the horsepower, the displacement, the torque and everything about the vehicle – I think a lot of that is gone,” Lawler explained.

Music To Automakers’ Ears

Sure, in certain niches combustion is still king, but the vast majority of customers don’t give a damn whether their car comes with an ICE, hybrid or all-electric powertrain as long as it’s priced withing their reach and has the features and range they desire. And while petrolheads may bemoan that reality, automakers welcome it with open arms.

That’s because it opens up hitherto unavailable possibilities. Since engines are no longer a defining trait, each brand is free to choose from a much wider array of units. What’s more, it doesn’t even have to make them itself which, much to shareholders’ joy, will lower costs and increase profit – plus it can benefit the end user, who won’t have to pay the premium needed to cover the R&D each maker’s department spent in creating each engine.

Parts sharing is nothing new, and neither is engine sharing, even if carmakers don’t exactly advertise the fact that an Audi’s V10, for instance, is basically the same as a Lamborghini‘s despite the latter having a significantly higher price tag.

Some have already formed partnerships to develop and built new powertrains that will be used in a multitude of models with different badges and even sold to third parties who want to cut down on costs (ed’s note: who doesn’t?). Horse, Renault’s and Geely’s joint venture, is a good example.

“It’s a win-win business model for everybody,” Horse Powertrain CEO Matias Giannini said during the Shanghai auto show two months ago. Of course it is: everyone gets what they want, so everyone’s happy. And there’s nothing wrong with that, is there?

The China Syndrome

Another factor that plays a huge role is China. Its automakers are making inroads left, right, and center and buyers are lapping up what they have to offer. According to Lawler, the costs they incur are 30 percent lower than anyone else in the world. How can you compete with that?

More: Automakers Found A Sneaky Way To Charge You More Without Touching The Sticker

The answer is simple: you don’t. And since you can’t beat them, your best course of action is to join them. The Blue Oval’s Vice Chair claims that the Chinese have 10-11 million units of excess capacity and they’d love for foreigners to come in and fill that void.

And come they will, because they won’t say no to a 30 percent cost reduction. Especially since the well that used to be the Chinese market has now dried up and locals increasingly flock to domestic brands, much to legacy automakers’ dismay and loss of serious income.

No need to fret, fellow petrolheads. We can always hold on to our rides for as long as it’s legal to drive them on public roads; then, there’s always the track. The one thing we can’t do is hold back progress. Besides, even Henry Ford famously said “If I asked people what they wanted, they’d tell me ‘a faster horse'”, and that shows, yet again, that customers don’t create the future; visionaries do.

Whether it’ll be a better future or a dystopia is up for debate. Sadly, we probably won’t be around to find out, so it’s a moot point anyway as far as we’re concerned. Let’s burn some rubber while we still can, shall we?

The US government might soon deliver a blow to electric vehicle buyers, as President Donald Trump’s One Big Beautiful Bill Act aims to cut the $7,500 EV tax credit. While the Senate still has a few months to weigh in, Republicans have already drafted a separate tax and budget proposal that could bring the curtain down on the credit much sooner, affecting both new and used EVs.

Read: Car Prices Are Rising Again But Not How Experts Predicted

If passed, the new bill would eliminate the $7,500 credit for new EV purchases within 180 days. The plan also targets leased electric cars, particularly those made outside North America, by removing any tax incentives for them immediately. Used EV buyers wouldn’t be off the hook either, as the proposed bill would end the $4,000 credit for used EVs just 90 days after it’s approved.

Phasing Out the EV Tax Credit Faster

Under the One Big Beautiful Bill Act passed by the House in late May, the EV tax credit would be phased out after 2026, six years earlier than the Biden administration had planned. However, for most car manufacturers, the credit would become unavailable at the end of this year, as in 2026, it would only be offered to companies that have sold fewer than 200,000 EVs in the United States.

Trump’s bill also calls for the axing of the used EV tax credit by the end of 2025. Crucially, as the bill moves through the Senate, revisions will likely have to be made before it’s approved.

The EV Credit Cuts Keep Coming

This new proposed bill from the Republican Senate Finance Committee also proposes to end the $7,500 for leased vehicles, which is currently available without restrictions on the origin of vehicle content or where an EV is built. However, EVs that are leased and meet North American content rules would remain eligible for the credit, but only for 180 days after the bill is approved, Reuters reports.

Regardless of when the bill is approved, it’s clear Republicans are coming after EV subsidies, so if you want to buy or lease a new or used EV with a generous tax credit, you probably only have a few more months at most to do so.

On May 6, MIT AgeLab’s Advanced Vehicle Technology (AVT) Consortium, part of the MIT Center for Transportation and Logistics, celebrated 10 years of its global academic-industry collaboration. AVT was founded with the aim of developing new data that contribute to automotive manufacturers, suppliers, and insurers’ real-world understanding of how drivers use and respond to increasingly sophisticated vehicle technologies, such as assistive and automated driving, while accelerating the applied insight needed to advance design and development. The celebration event brought together stakeholders from across the industry for a set of keynote addresses and panel discussions on critical topics significant to the industry and its future, including artificial intelligence, automotive technology, collision repair, consumer behavior, sustainability, vehicle safety policy, and global competitiveness.

Bryan Reimer, founder and co-director of the AVT Consortium, opened the event by remarking that over the decade AVT has collected hundreds of terabytes of data, presented and discussed research with its over 25 member organizations, supported members’ strategic and policy initiatives, published select outcomes, and built AVT into a global influencer with tremendous impact in the automotive industry. He noted that current opportunities and challenges for the industry include distracted driving, a lack of consumer trust and concerns around transparency in assistive and automated driving features, and high consumer expectations for vehicle technology, safety, and affordability. How will industry respond? Major players in attendance weighed in.

In a powerful exchange on vehicle safety regulation, John Bozzella, president and CEO of the Alliance for Automotive Innovation, and Mark Rosekind, former chief safety innovation officer of Zoox, former administrator of the National Highway Traffic Safety Administration, and former member of the National Transportation Safety Board, challenged industry and government to adopt a more strategic, data-driven, and collaborative approach to safety. They asserted that regulation must evolve alongside innovation, not lag behind it by decades. Appealing to the automakers in attendance, Bozzella cited the success of voluntary commitments on automatic emergency braking as a model for future progress. “That’s a way to do something important and impactful ahead of regulation.” They advocated for shared data platforms, anonymous reporting, and a common regulatory vision that sets safety baselines while allowing room for experimentation. The 40,000 annual road fatalities demand urgency — what’s needed is a move away from tactical fixes and toward a systemic safety strategy. “Safety delayed is safety denied,” Rosekind stated. “Tell me how you’re going to improve safety. Let’s be explicit.”

Drawing inspiration from aviation’s exemplary safety record, Kathy Abbott, chief scientific and technical advisor for the Federal Aviation Administration, pointed to a culture of rigorous regulation, continuous improvement, and cross-sectoral data sharing. Aviation’s model, built on highly trained personnel and strict predictability standards, contrasts sharply with the fragmented approach in the automotive industry. The keynote emphasized that a foundation of safety culture — one that recognizes that technological ability alone isn’t justification for deployment — must guide the auto industry forward. Just as aviation doesn’t equate absence of failure with success, vehicle safety must be measured holistically and proactively.

With assistive and automated driving top of mind in the industry, Pete Bigelow of Automotive News offered a pragmatic diagnosis. With companies like Ford and Volkswagen stepping back from full autonomy projects like Argo AI, the industry is now focused on Level 2 and 3 technologies, which refer to assisted and automated driving, respectively. Tesla, GM, and Mercedes are experimenting with subscription models for driver assistance systems, yet consumer confusion remains high. JD Power reports that many drivers do not grasp the differences between L2 and L2+, or whether these technologies offer safety or convenience features. Safety benefits have yet to manifest in reduced traffic deaths, which have risen by 20 percent since 2020. The recurring challenge: L3 systems demand that human drivers take over during technical difficulties, despite driver disengagement being their primary benefit, potentially worsening outcomes. Bigelow cited a quote from Bryan Reimer as one of the best he’s received in his career: “Level 3 systems are an engineer’s dream and a plaintiff attorney’s next yacht,” highlighting the legal and design complexity of systems that demand handoffs between machine and human.

In terms of the impact of AI on the automotive industry, Mauricio Muñoz, senior research engineer at AI Sweden, underscored that despite AI’s transformative potential, the automotive industry cannot rely on general AI megatrends to solve domain-specific challenges. While landmark achievements like AlphaFold demonstrate AI’s prowess, automotive applications require domain expertise, data sovereignty, and targeted collaboration. Energy constraints, data firewalls, and the high costs of AI infrastructure all pose limitations, making it critical that companies fund purpose-driven research that can reduce costs and improve implementation fidelity. Muñoz warned that while excitement abounds — with some predicting artificial superintelligence by 2028 — real progress demands organizational alignment and a deep understanding of the automotive context, not just computational power.

Turning the focus to consumers, a collision repair panel drawing Richard Billyeald from Thatcham Research, Hami Ebrahimi from Caliber Collision, and Mike Nelson from Nelson Law explored the unintended consequences of vehicle technology advances: spiraling repair costs, labor shortages, and a lack of repairability standards. Panelists warned that even minor repairs for advanced vehicles now require costly and complex sensor recalibrations — compounded by inconsistent manufacturer guidance and no clear consumer alerts when systems are out of calibration. The panel called for greater standardization, consumer education, and repair-friendly design. As insurance premiums climb and more people forgo insurance claims, the lack of coordination between automakers, regulators, and service providers threatens consumer safety and undermines trust. The group warned that until Level 2 systems function reliably and affordably, moving toward Level 3 autonomy is premature and risky.

While the repair panel emphasized today’s urgent challenges, other speakers looked to the future. Honda’s Ryan Harty, for example, highlighted the company’s aggressive push toward sustainability and safety. Honda aims for zero environmental impact and zero traffic fatalities, with plans to be 100 percent electric by 2040 and to lead in energy storage and clean power integration. The company has developed tools to coach young drivers and is investing in charging infrastructure, grid-aware battery usage, and green hydrogen storage. “What consumers buy in the market dictates what the manufacturers make,” Harty noted, underscoring the importance of aligning product strategy with user demand and environmental responsibility. He stressed that manufacturers can only decarbonize as fast as the industry allows, and emphasized the need to shift from cost-based to life-cycle-based product strategies.

Finally, a panel involving Laura Chace of ITS America, Jon Demerly of Qualcomm, Brad Stertz of Audi/VW Group, and Anant Thaker of Aptiv covered the near-, mid-, and long-term future of vehicle technology. Panelists emphasized that consumer expectations, infrastructure investment, and regulatory modernization must evolve together. Despite record bicycle fatality rates and persistent distracted driving, features like school bus detection and stop sign alerts remain underutilized due to skepticism and cost. Panelists stressed that we must design systems for proactive safety rather than reactive response. The slow integration of digital infrastructure — sensors, edge computing, data analytics — stems not only from technical hurdles, but procurement and policy challenges as well. 

Reimer concluded the event by urging industry leaders to re-center the consumer in all conversations — from affordability to maintenance and repair. With the rising costs of ownership, growing gaps in trust in technology, and misalignment between innovation and consumer value, the future of mobility depends on rebuilding trust and reshaping industry economics. He called for global collaboration, greater standardization, and transparent innovation that consumers can understand and afford. He highlighted that global competitiveness and public safety both hang in the balance. As Reimer noted, “success will come through partnerships” — between industry, academia, and government — that work toward shared investment, cultural change, and a collective willingness to prioritize the public good.

© Photo: Kelly Davidson Studio

In a political tug-of-war that’s been playing out for a long time, the battle between Donald Trump and California over vehicle emissions has landed back in the spotlight. The US president has now taken formal action to reverse California’s aggressive push toward electric vehicles and clean air regulations, signing a trio of resolutions that target the state’s authority on the matter.

With these resolutions, the President is effectively blocking California’s plan to phase out gas-powered cars by 2035. The move also eliminates federal support for the state’s plans to retire medium and heavy-duty diesel trucks, and strips California’s ability to enforce its own tailpipe emissions and nitrogen oxide pollution limits.

Read: Trump’s Big Beautiful Tesla Just Got Fired

Trump has pushed back on California’s environmental authority since his first term, and with these latest actions, the battle is now heading to court.

“We officially rescued the U.S. auto industry from destruction by terminating the California electric vehicle mandate once and for all,” he said during a White House news conference.

Unsurprisingly, the move has both supporters and detractors. In a statement, the president and CEO of the Alliance for Automotive Innovation, an important representative of major car manufacturers, applauded Trump’s move. “Everyone agreed these EV sales mandates were never achievable and wildly unrealistic,” he said.

California Hits Back

Almost immediately after Trump signed the bills, California Governor Gavin Newsom and Attorney General Rob Bonta filed a lawsuit, the New York Times reports, describing them as “illegal resolutions.”

“Trump’s all-out assault on California continues – and this time he’s destroying our clean air and America’s global competitiveness in the process,” Newsom said. “We are suing to stop this latest illegal action by a President who is a wholly-owned subsidiary of big polluters.”

California’s ability to set its own emissions standards dates back to the Nixon administration. The state is home to five of the ten cities with the worst air pollution in the United States. According to the governor’s office, clean air efforts over the past 50 years have saved $250 billion in health costs through reduced illness.

Attorney General Bonta echoed the urgency, calling the resolutions a reckless rollback. “The President is busy playing partisan games with lives on the line and yanking away good jobs that would bolster the economy – ignoring that these actions have life or death consequences for California communities breathing dirty, toxic air,” he said. “I’ve said it before, and I’ll say it again: California will not back down. We will continue to fiercely defend ourselves from this lawless federal overreach.”

General Motors is having a great year when it comes to electric vehicles. Sure, some reports indicate sales might be cooling off in some corners of the market, but for GM, things are hot. The company says its EV sales have jumped 94 percent year over year, and one of its brands, Chevrolet, now ranks second only to Tesla in U.S. EV sales.

That’s not a small gap, though. Tesla still held nearly 44 percent of the U.S. EV market in the first quarter of the year, with 128,100 vehicles sold, or roughly as much as everyone else combined. However, Tesla’s May figures aren’t available yet, making a direct comparison with GM impossible.

Also: US EV Sales Jump In Q1, But The Biggest Losers Might Surprise You

Still, GM managed to sell 62,830 electric cars, trucks, and SUVs between January and the end of May. The first quarter alone saw a 94 percent year-over-year jump, and that momentum hasn’t let up. May turned out to be the company’s second-best month ever for EV sales, pushing GM to a 15.5 percent share of the current EV market.

Chevrolet carried much of that weight, accounting for over half of those numbers with roughly 37,000 deliveries during the same period. Leading the charge was the electric Equinox, which became GM’s best-selling EV with 21,804 units delivered.

Strong Numbers and Stronger Momentum

“Customers are responding in record numbers to our world-class portfolio of electric and gas-powered vehicles,” said Rory Harvey, executive VP and president of global markets. “In the first two months of the second quarter, we more than doubled our EV sales compared to the same period last year.” Lots of those sales are coming from the top EV seller, Tesla.

In fact, according to Scott Bell, vice president of global Chevrolet, over half of the sales GM has this year are conquest sales, meaning customers are switching over from other brands. He told the Detroit Free Press that the Equinox is a major player here.

“It’s certainly the most affordable EV out there with that kind of range. It is by far the leader in the clubhouse; it doubles our Blazer volume easily on a monthly basis,” said Bell. “Once you convert to an EV, you’re not leaving. Especially once you’ve invested in the infrastructure, a home charger, 86% of them will stay.”

Interestingly, General Motors’ figures are even more impressive when compared to Ford’s. The Blue Oval brand delivered 34,132 cars during the first five months of the year, marking an 8.3 percent drop from the same period in 2024. That’s right, Chevrolet outsold Ford, and that doesn’t take into account any of the sales from Cadillac and GMC. No doubt, some of that success comes from GM’s wider range of available EVs.

More: Dealer Fees In California Could Jump A Staggering 488 To 614%

At the same time, both GM and Ford are doing just fine when it comes to their combustion-engine businesses. Hybrids are selling great, too. We’ll get a clearer picture of the EV sales landscape soon. GM will announce its second-quarter sales numbers on July 1. Other automakers will no doubt do the same around the same time. 

Update 2: A massive cargo ship still smoldering off the coast of Alaska is proving just how complicated, and stubborn, at-sea fires can be. It’s been just over a week since the cargo vessel Morning Midas caught fire near Alaska. According to the latest photos released by the Coast Guard, the blaze, which appears to have started near the stern, has now ripped through multiple decks and engulfed the entire ship.

Salvage operations are slowly taking shape. The tug Gretchen Dunlap has arrived with salvage crews and begun assessing the damage, with two more vessels expected to join the operation in the next two weeks. Zodiac Maritime, the ship’s manager, has appointed Resolve Marine to lead the recovery. Meanwhile, the 600-foot car carrier continues drifting northeast at approximately 1.8 miles per hour, according to the US Coast Guard.

Aside from the total vehicle count and a general breakdown between gas-powered, electric, and hybrid models, there’s still no confirmation of which automakers had cars aboard. The vessel left China and was headed to Mexico when the fire broke out.

Photos US Coast Guard

“The safety of the public, responders, and vessel crews operating in the area remains our top priority,” said Rear Adm. Megan Dean, commander of the Coast Guard’s Seventeenth District. “We are working closely with Zodiac Maritime to ensure a safe and effective plan to address the fire and mitigate any potential impacts to the environment.”

Update 1: The U.S. Coast Guard has provided additional details about the incident that occurred approximately 300 miles south of Adak, Alaska, on Wednesday. The exact number of vehicles aboard the 600-foot, Liberian-flagged cargo vessel, which is managed by a UK company, has been confirmed at 3,048 total vehicles. Of those, 70 are fully electric vehicles, and 681 are hybrid-electric vehicles.

The Coast Guard also reported that the status of the fire remains uncertain, though smoke is still visibly emanating from the vessel. “As the search and rescue portion of our response concludes, our crews are working closely with the vessel’s manager, Zodiac Maritime, to determine the disposition of the vessel,” said Rear Admiral Megan Dean, commander of the Coast Guard’s Seventeenth District. “We are grateful for the selfless actions of the three nearby vessels who assisted in the response and the crew of motor vessel Cosco Hellas, who helped save 22 lives.”

John Halas contributed to this story. Original article follows below.

EV sales might not have caught alight in the way automakers hoped, but news of another shipping fire reminds us that electric cars sure are combustible. The cargo ship was on its way from Asia to North America when a fire broke out forcing the crew to abandon the vessel in the middle of the Pacific ocean, leaving thousands of brand new cars onboard.

Also: The Shipping World Isn’t Ready For The Risk EVs Pose, Here’s Why

The Morning Midas departed China for Mexico on May 26, carrying roughly 3,000 vehicles, including around 800 electric cars. But eight days into its 19-day voyage, just after midnight UTC (7:00 p.m. EST) on June 3, smoke was spotted billowing from one of the decks. UK-based shipowner Zodiac Maritime, which manages the vessel, has since confirmed that the fire originated in the section of the ship carrying electric vehicles.

Firefighting Efforts Failed to Contain the Blaze

“The crew immediately initiated emergency firefighting procedures using the vessel’s onboard fire-suppression systems,” said Zodiac Maritime, the car-carrier’s manager, per Lloyd’s List. “However, despite their efforts, the situation could not be brought under control.”

After contacting the US coast guard the 22-man crew decided to abandon ship, jumping into the lifeboat, after which they were picked up by a nearby merchant ship. With the fire still burning at the time of writing the condition of the thousands of cars still onboard is unknown.

This is far from the first time a boat carrying EVs has caught fire at sea. Three years ago another ship, this one loaded with 4,000 cars, including Porsche, Bentley and Lamborghini models went up in flames in the Atlantic. Attempts were made to tow the Felicity Ace to safety but after burning for two weeks the boat capsized and sank near the Azores.

All 22 crew were also saved on that occasion, but VW Group said the Insurance company was looking at a $155 million bill to replace the lost cars. Lamborghini even restarted production of the discontinued Aventador to replace a customer’s car lost in the accident.

Some shipping companies, such as Norway’s Havila Kystruten, now refuse to carry electric vehicles, judging the risk factor too high. But with EVs set to eventually take over the car market those vehicles are going to have to get from one side of the world somehow, and shipping them is the only realistic method.

We’ll update this story as soon as more details emerge.

Photos: U.S. Coast Guard courtesy of Air Station Kodiak

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Building an underground tunnel for an aging Enbridge oil pipeline that stretches across a Great Lakes channel could destroy wetlands and harm bat habitats but would eliminate the chances of a boat anchor rupturing the line and causing a catastrophic spill, the U.S. Army Corps of Engineers said Friday in a long-awaited draft analysis of the proposed project’s environmental impacts.

The analysis moves the corps a step closer to approving the tunnel for Line 5 in the Straits of Mackinac. The tunnel was proposed in 2018 at a cost of $500 million but has been bogged down by legal challenges. The corps fast-tracked the project in April after President Donald Trump ordered federal agencies in January to identify energy projects for expedited emergency permitting.

A final environmental assessment is expected by autumn, with a permitting decision to follow later this year. The agency initially planned to issue a permitting decision in early 2026.

With that permit in hand, Enbridge would only need permission from the Michigan Department of Environment, Great Lakes and Energy before it could begin constructing the tunnel. That’s far from a given, though.

Environmentalists have been pressuring the state to deny the permit. Meanwhile, Michigan Attorney General Dana Nessel and Gov. Gretchen Whitmer are trying to win court rulings that would force Enbridge to remove the existing pipeline from the straits for good.

Construction could have major short-term, long-term impacts

The analysis notes that the tunnel would eliminate the risk of a boat anchor rupturing the pipeline and causing a spill in the straits, a key concern for environmentalists. But the construction would have sweeping effects on everything from recreation to wildlife.

Many of the impacts, such as noise, vistas marred by 400-foot (121-meter) cranes, construction lights degrading stargazing opportunities at Headlands International Dark Sky Park and vibrations that would disturb aquatic wildlife would end when the work is completed, the report found.

Other impacts would last longer, including the loss of wetlands and vegetation on both sides of the strait that connects Lake Huron and Lake Michigan, and the loss of nearly 300 trees that the northern long-eared bat and tricolored bat use to roost. Grading and excavation also could disturb or destroy archaeological sites.

The tunnel-boring machine could cause vibrations that could shift the area’s geology. Soil in the construction area could become contaminated and nearly 200 truck trips daily during the six-year construction period would degrade area roads, the analysis found. Gas mixing with water seeping into the tunnel could result in an explosion, but the analysis notes that Enbridge plans to install fans to properly ventilate the tunnel during excavation.

Enbridge has pledged to comply with all safety standards, replant vegetation where possible and contain erosion, the analysis noted. The company also has said it would try to limit the loudest work to daytime hours as much as possible, and offset harm to wetlands and protected species by buying credits through mitigation banks. That money can then be used to fund restoration in other areas.

“Our goal is to have the smallest possible environmental footprint,” Enbridge officials said in a statement.

The Sierra Club issued a statement Friday saying the tunnel remains “an existential threat.”

“Chances of an oil spill in the Great Lakes — our most valuable freshwater resource — skyrockets if this tunnel is built in the Straits,” the group said. “We can’t drink oil. We can’t fish or swim in oil.”

Julie Goodwin, a senior attorney with Earthjustice, an environmental law group that opposes the project, said the corps failed to consider the impacts of a spill that could still happen on either side of the straits or stopping the flow of oil through the Great Lakes.

“My key takeaways are the Army corps has put blinders are in service to Enbridge and President Trump’s fossil fuel agenda,” she said.

Tunnel would protect portion of Line 5 running through straits

Enbridge has been using the Line 5 pipeline to transport crude oil and natural gas liquids between Superior, Wisconsin, and Sarnia, Ontario, since 1953. Roughly 4 miles of the pipeline runs along the bottom of the Straits of Mackinac.

Concerns about the aging pipeline rupturing and causing a potentially disastrous spill in the straits have been building over the last decade. Those fears intensified in 2018 when an anchor damaged the line.

Enbridge contends that the line remains structurally sound, but it struck a deal with then-Michigan Gov. Rick Snyder’s administration in 2018 that calls for the company to replace the straits portion of the line with a new section that would be encased in a protective underground tunnel.

Enbridge and environmentalists spar in court battles

Environmentalists, Native American tribes and Democrats have been fighting in court for years to stop the tunnel and force Enbridge to remove the existing pipeline from the straits. They’ve had little success so far.

A Michigan appellate court in February validated the state Public Service Commission’s permits for the tunnel. Nessel sued in 2019 seeking to void the easement that allows Line 5 to run through the straits. That case is still pending. Whitmer revoked the easement in 2020, but Enbridge challenged that decision and a federal appellate court in April ruled that the case can proceed.

Another legal fight over Line 5 in Wisconsin

About 12 miles (19 kilometers) of Line 5 runs across the Bad River Band of Lake Superior Chippewa’s reservation in northern Wisconsin. That tribe sued in 2019 to force Enbridge to remove the line from the reservation, arguing it’s prone to spilling and that easements allowing it to operate on the reservation expired in 2013.

Enbridge has proposed a 41-mile (66-kilometer) reroute around the reservation. The tribe has filed a lawsuit seeking to void state construction permits for the project and has joined several other groups in challenging the permits through the state’s contested case process.

Army Corps analysis: Great Lakes pipeline tunnel would have sweeping environmental impacts is a post from Wisconsin Watch, a non-profit investigative news site covering Wisconsin since 2009. Please consider making a contribution to support our journalism.

Tariffs aren’t the only thing on automakers’ minds these days. Ford is now raising alarm bells, warning that if tax credits for local battery producers are axed, its EV battery plant in Michigan could be at risk. The facility, known as BlueOval Battery Park Michigan, is currently employing 1,700 workers, with plans to add another 800 by March 2027. The plant is a crucial piece of Ford’s strategy to ramp up electric vehicle production, but it’s all dependent on those tax credits staying in place.

At the recent Mackinac Policy Conference in Michigan, Ford executive chair Bill Ford voiced his concerns, noting that “it’s not fair to change policy after all the expenditures have been made.” He added that because “the production tax credits seems to be up for grabs,” the site could be “imperiled,” as reported by TTNews.

Read: Ford’s EV Sales Just Fell Off A Cliff And Discounts Didn’t Make A Dent

Recently passed by the House, the Trump administration’s ‘One Big Beautiful Bill Act’ aims to eliminate most of the clean energy tax credits introduced under Biden’s Inflation Reduction Act. Many of these credits were designed to build a domestic EV supply chain and encourage consumers to purchase electric vehicles.

Under the Inflation Reduction Act, billions of dollars in private investments were funneled into EV manufacturing in the U.S. The Electrification Coalition reports major investments in states like North Carolina ($25.4 billion), Georgia ($24.5 billion), and Tennessee ($12.4 billion), all designed to jumpstart the transition to electric mobility.

The New Bill’s Impact on EV and Battery Manufacturing

If the new bill passes, it will not only phase out the $7,500 federal EV tax credit, but it will also cut off the manufacturer credit for battery producers after 2031. The bill also comes with stricter rules that limit the use of Chinese components and materials in U.S. manufacturing.

“Politicians can agree or disagree about whether those things are desirable,” Ford said. “But don’t change the rules once you’ve already made the investment, because that to me is just a question of fairness. And that’s unfair.”

Ford’s Michigan battery plant is also tied to a licensing agreement with CATL, a Chinese battery maker. While Ford holds full control over the manufacturing process, production, and workforce, it’s tapping into CATL’s expertise to help with factory equipment installation and to provide critical battery technology know-how.

America waited what felt like an eternity to get its hands on the electric Volvo EX30 while European reviewers raved about it, but no sooner has it arrived than the EX30 is already at risk of disappearing. Volvo’s CEO has warned that he might be forced to pull the company’s smallest EV from the market because it’s simply not economically viable to import it under current US tariffs.

Hakan Samuelsson, who has returned to head the company after a three-year hiatus, made the revelation as Trump’s 90-day tariff pause nears its end. European carmakers are preparing for the possibility of a June 1 introduction of a 50 percent levy on cars imported to the US from the region.

Also: President Trump Just Dropped A Bomb On European Car Imports

Speaking to Reuters, Samuelsson said a 50 percent tariff would “limit the ability” of Volvo to sell the EX30 in America. Although Volvo builds the bigger EX90 in the US, American-spec EX30s are built in Belgium, with the company having moved export production there from China, which led to a delay in its US arrival. The automaker is believed to be considering moving production of the EX30, and potentially the XC60, to the US.

Buyers Will Feel the Price Hike

Samuelsson was also adamant that customers and not the carmaker itself would have to soak up most of the tariff-related price increases. Unlike high-end brands like Aston Martin or Ferrari, which cater to buyers with deeper pockets and much more tolerance for sticker shock, Volvo plays in a different league. Its buyers are much more sensitive to price increases, which makes tacking on a tariff-induced markup a risky proposition.

Volvo’s expectation that car buyers will have to shoulder the burden disproves Trump’s belief that tariffs will be “eaten up” by the exporting companies and their nations.

Hoping for a Diplomatic Detour

Even so, Samuelsson seems confident that some kind of resolution will be reached between Europe and the US. Under the terms of a deal secured between the UK and the US earlier this month, Land Rover, Mini and other British brands get away with a more manageable 10 percent tariff.

Related: Volvo’s EV Crash Hits Harder Than Expected As Buyers Walk Away From Batteries

“I believe there will be a deal soon,” Samuelsson told Reuters. “It could not be in the interest of Europe or the U.S. to shut down trade between them.”

Time is running out, but the industry is watching closely. If nothing changes by next month, the EX30’s American road trip could be cut painfully short.

The path to mainstream electrification is all but inevitable. Despite that, many lawmakers are trying to slow it down. Add to that one of the automakers building thousands of EVs every year, General Motors. A newly uncovered email exposes the company as it urges employees to get political. It hopes that with enough support, the government will stop California from setting its own emission standards.

More: New Bill To Kill EV Tax Credits Will Only Benefit One Brand

The Golden State has long done exactly that. In 2022, it went as far as to tell automakers that they had a little over a decade. By 2035, it won’t allow the sale of new gas-powered cars and trucks. While that would seemingly be good for EV sales, the plan has several critics aside from General Motors.

The Golden State vs. Detroit

“We need your help!” GM said in an email to white-collar employees obtained by The Wall Street Journal. “Emissions standards that are not aligned with market realities pose a serious threat to our business by undermining consumer choice and vehicle affordability.” It’s worth noting that California isn’t alone in its thinking. 11 other states have signed up to follow the same plan. Now, GM and several lawmakers want to remove California’s ability to set its own standards and thus, cancel the ability for the other states involved.

In a statement, GM’s spokeswoman made the company’s stance clear: “GM believes in customer choice, and we continue to focus on offering the best and broadest portfolio of vehicles on the market”. That’s consistent with the automaker’s view, even when it supported California’s proposal in the past. Clearly, a national standard is in the best interest of automakers since they wouldn’t have to manage different regulations in different states.

Government officials say the standards set in California are simply out of touch with reality. Data seems to back that up, too. It set a target to have 35 percent of all vehicle sales be electric in 2026. Right now, EVs only make up 20 percent of new car sales, and that’s in a place where EVs are wildly popular when compared to other states.

EV sales in North America are slower than in most places across the globe. The transition to electrification appears like a sure thing, but probably further down the road than initially expected. 

Elon Musk seems to have no plans of stepping down from Tesla anytime soon, despite the growing grumbles from shareholders who aren’t thrilled about his other ventures, especially when meddling in global politics. To solidify his grip on the company, he’s also eyeing a bigger slice of Tesla’s pie, aiming to raise his stake to around 25%, just to make sure no investors can force him out.

While speaking over video during the Qatar Economic Forum in Doha this week, Musk said he has “no doubt” he will remain CEO for at least the next five years, unless he dies in that time. A little grim, but we get the point.

Read: Elon Musk’s Latest Investor Power Play Just Made Suing Tesla Nearly Impossible

This news may upset some who were concerned Musk was getting distracted and was no longer fully committed to Tesla, but there’s no denying the fact Musk has led Tesla through a rapid expansion that transformed them from a fringe player into one of the world’s largest car manufacturers by volume, and the single most valuable by market cap.

It was recently reported that Tesla board members started to reach out to executive search firms to see if they could find a new CEO. It’s understood that board members had grown concerned Musk was spending too much time in Washington alongside President Trump. However, both Tesla and Musk later denied these assertions.

As reported by the Wall Street Journal, Musk isn’t going anywhere. He currently owns a 12.77% stake in Tesla that currently is worth more than $140 billion, but during a separate interview this week, he said he’d like to increase this to around 25%. He believes this will give him enough control to ensure he cannot be ousted by activist investors.

“It’s not a money thing,” Musk said. “It’s a reasonable control thing over the future of the company. That’s the number I’d feel comfortable at, because that’s where I have some control, but not so much control that I can’t be thrown out, [unless] I’m destroying the value of the company or if I’ve just gone flat-out crazy.”

It seems as though some of the blowback for his involvement in US politics has also gotten to Musk. He spent almost $300 million last year to help President Trump return to the Oval Office, but has confirmed he will “do a lot less” political spending in the future. “If I see a reason to do political spending in the future, I will do it,” he added, but said, “I do not currently see a reason.”