Slate Auto is becoming an example of what a small startup can do with vast amounts of cash. It’s navigated several trials and tribulations and market shifts that other, less well-funded EV startups simply couldn’t survive. Now, it’s handling another as it appoints a new CEO just months before launching its first product, a heavily promoted $25,000-$30,000 electric truck.

The company announced that Peter Faricy, a former Amazon executive, has taken over as Chief Executive Officer, Newsweek reported. He replaces longtime Chrysler veteran Chris Barman, who will remain at the company as President of Vehicles with a focus on engineering, manufacturing, and product development. Keep in mind that Amazon founder Jeff Bezos is an investor in Slate Auto.

Read: Slate Teases EV Truck Price As $20K Dream Collapses

The leadership shift comes as Slate prepares to switch from development mode to real-world sales. The startup says customers will soon be able to configure and order their vehicles, with reservations expected to convert into orders by the end of the year.

The Slate Auto pickup is stripped down and simplified to what some would call an extreme degree. For example, it doesn’t have an infotainment screen, it features crank windows, and customers are offered several options to add after initial purchase. The company said it has around 160,000 reservations and believes it can build 150,000 trucks annually at its Indiana manufacturing plant.

The CEO Shift

Slate is going to sell cars direct-to-consumer the same way Rivian, Tesla, and Lucid do. To that end, the shift to Faricy begins to make more sense. He previously worked at Ford before moving through roles at Borders and eventually Amazon, where he spent more than a decade helping build the company’s Marketplace platform into a global ecosystem for third-party sellers.

He later served as CEO of solar company SunPower from 2021 to 2024 and most recently worked with venture capital firm Bessemer Venture Partners.

According to Newsweek, Faricy will oversee the company’s commercial operations, digital strategy, finance, HR, legal, and IT divisions, while Barman focuses on building and delivering the vehicles. One thing is certain: an undertaking of this magnitude can only benefit from more hands on deck.

Porsche has outlined a recovery plan after a bruising year, aiming to streamline operations and cut costs as it works to regain its financial footing. Under new CEO Michael Leiters, the former McLaren and Ferrari executive, the company hopes to restore its reputation as a profit powerhouse while reshaping itself into what Leiters calls a “leaner, faster, and even more desirable” brand. He took over at the start of the year, replacing Oliver Blume.

A Year Of Tough Numbers

The reset follows a difficult set of results. Porsche’s operating profit plunged 92.7% from €5.64 billion ($6.55 billion) in 2024 to just €413 million ($479 million) in 2025. Revenue also slipped, falling 9.5% to €36.27 billion ($42.10 billion). Operating return on sales shrank to a narrow 1.1%, while global deliveries dropped to 279,449 units, down 10.1%.

More: Porsche Posts Its Biggest Drop In Sixteen Years

Several factors combined to produce that outcome. Porsche booked €3.1 billion ($3.6 billion) in one-time restructuring charges, absorbed €700 million ($813 million) related to US tariffs, and faced a steep 26% drop in sales in China.

Porsche CFO Dr. Jochen Breckner said: “The global challenges and the company’s realignment impacted earnings in 2025. In 2026, our recalibrations measures will continue to have one-off effects on earnings in the high three-digit million euros range. In order to secure adequate margins by Porsche standards in the medium term and strengthen our resilience in the long term, we accept these burdens.”

The Solution

During Porsche’s annual press conference in Stuttgart, Leiters acknowledged that the turnaround plan is still taking shape. With the new leadership only just past its first 100 days, he admitted the company does not yet have “an answer to every question or a solution for every problem.” Even so, he used the event to outline the direction Porsche intends to take.

“We will streamline our management structure, reduce hierarchies and cut back on bureaucracy. We have also already begun to focus more strongly on our core business. We are using the current challenges as an opportunity to act even more decisively. We will comprehensively reposition Porsche, make the company leaner, faster and the products even more desirable.”

More: Porsche’s US Sales Rose Thanks To Cars It’s About To Kill

Porsche is also planning significant changes in China, where the company intends to shrink its dealer network from 150 outlets to just 80 by the end of 2026 in an effort to protect pricing power.

Expanding The Lineup

To stop the bleeding, Leiters is looking upmarket. One of the first moves will be to simplify Porsche’s product portfolio by cutting complexity and reducing the number of variants. According to the CEO, the changes will focus on models with weaker demand, which likely points to the Taycan. Even so, Porsche says it plans to introduce “emotive new derivatives” of certain models later this year, though it has not revealed exactly which ones.

More: Porsche’s Mega SUV Drops EV Plan For V8 Power And An Audi Link

At the same time, Porsche’s boss confirmed the company is developing new models aimed squarely at higher-margin segments. “We stand for uncompromisingly good sports cars that you want to drive yourself, that are fun, that convey performance and passion. And all this regardless of the type of powertrain,” said Leiters.

“We are considering the expansion of our product portfolio in order to grow in higher-margin segments. In doing so, we are looking at models and derivatives both above our current two-door sports cars and above the Cayenne,” he added

Porsche’s Next Halo Car?

The reference to two-door sports cars clearly points to the 911. What might sit above it is less clear. Leiters did not elaborate, but the possibilities range from a modern interpretation of the 928 to something far more exotic, such as a supercar or even a flagship hypercar.

Read: Porsche 928 Conceptualized As A Modern Electric Coupe For 2030

Porsche has been exploring that territory for years, with potential successors to the 918 Spyder. The Mission X concept hinted at one possible direction before enthusiasm for electric hypercars cooled.

The other confirmed project is a long-rumored three-row SUV flagship positioned above the Cayenne. Codenamed K1, it is expected to target markets such as the United States and the Middle East and could offer V6 or V8 powertrains.

The new offerings will benefit from the expansion of “high-margin customization programs” that will “further strengthen the exclusivity of the brand” helping it move into a new territory closer to the likes of Ferrari and Lamborghini.

ICE Life Support And EV Reality Check

Leiters acknowledged that Porsche needs to rethink what he called “the right drive technology.” Early momentum behind the fully electric Taycan has run into a tougher reality as regulations, demand patterns, and customer expectations have shifted in recent years. Slower-than-expected demand has forced the company to “adjust the ramp-up and portfolio of fully electric vehicles while extending the life of combustion and hybrid offerings.”

More: Porsche’s Next Sedan Could Replace Both The Panamera And Taycan

The ultimate goal is to reduce upfront and direct costs by “fundamentally rethinking the development of our sports cars.” In the process, Leiters effectively confirmed earlier reports that the next generation of the 718 series will follow a multi-energy path. Porsche also plans to “leverage further synergies between our models,” using platforms and industry solutions more flexibly.

Renault has decided the best way to prepare for the future is to literally name its strategy after it. The company’s new futuREady plan promises dozens of new models, cheaper EVs, and dramatically faster development cycles as the French automaker tries to China-proof its business and become Europe’s “benchmark” carmaker.

The strategy builds on the Renaulution turnaround plan launched in 2021, which helped stabilize the company after several turbulent years. Now Renault wants to turn that recovery into long term growth with a roadmap that stretches through the end of the decade.

Related: Renault’s Making A Jimny, But Even The French Can’t Have It

The headline figure is simple enough. Renault Group plans to launch 36 new models in the next five years, including 22 in Europe and 14 for international markets. Electrification will be a lynchpin, with 16 of those European launches set to be fully electric.

Hybrids will still have a role, though. Renault says hybrid technology will remain in its European lineup beyond 2030 while continuing to expand globally where charging infrastructure isn’t yet ready for a full EV takeover.

Dacia Expansion

Each brand has its own role in the plan. Renault aims to strengthen its European position while expanding internationally, targeting more than 2 million annual sales by 2030 with half delivered outside Europe, including a production version of the chunky Bridger combustion SUV set to do battle with the Suzuki Jimny in India (see gallery below).

Dacia will stick with its familiar value formula but add more electrification. By the end of the decade, about two thirds of its sales are expected to be electrified and the brand will expand further into the larger C segment.

Alpine will carry the performance torch and a new generation of the A110, this time as an EV, is coming alongside newer models like the electric A290 and A390. And the brand’s boss Philippe Krief confirmed that the electric A110’s platform will also be able to handle combustion power. But if you were hoping to buy one in the United States, Renault’s latest strategy rules out a North American adventure for any of its brands.

Compact Upgrade

One of the most important pieces of the plan is Renault’s upcoming RGEV medium 2.0 electric platform destined for its next generation of compact, C-segment vehicles. This architecture brings 800 volt charging technology to the company for the first time and promises some impressive numbers, including a 40 percent reduction in build costs. Renault teased its possibilities, and also the look of the next Espace, with the the R-Space Lab, a slippery EV concept (shown below).

Renault says EVs built on the platform could deliver up to 466 miles (750 km) of range, while a range extender version could stretch that figure to around 879 miles (1400 km). Power won’t be lacking either. The next-generation electric motor is expected to deliver up to 271 hp (275 PS).

Keeping Up With China

Software is another big piece of the puzzle. Future Renault models will move toward software defined vehicle architecture that allows most functions to be updated over the air and eventually managed by artificial intelligence systems. The company also wants to speed things up dramatically. Renault aims to reduce development cycles for new vehicles to just two years, something that will be crucial to keeping pace with Chinese automakers.

Renault’s platform strategy

Volkswagen has just handed over its 2 millionth fully electric vehicle, and the pace is what really grabs you. It took 12 years to reach the first million. The 2 millionth car showed up just 10 months later.

The anniversary car is an ID. 3 hatch, built in Zwickau, Germany, and delivered to a customer at the Transparent Factory in Dresden. The ID. 3 kicked off VW’s large-scale MEB era back in 2020, though the modern electric journey really began with the e-up in 2013 and the company experimented with a small number of electric Golfs as far back as the 1980s.

More: VW’s ID. Polo Interior Brings Back Something You Thought Was Gone For Good

Volkswagen only celebrated its 1 millionth EV, an ID.3 GTX, last April. That means the brand effectively doubled its lifetime electric output in less time than it takes some automakers to add a new paint color to mark a model-year changeover.

ID. 4 Led The Charge

The heavy lifter in that sales charge is the ID. 4 SUV, which together with its ID. 5 fastback brother clocked up roughly 901,000 deliveries worldwide, proving SUVs still rule even in the electric age. The ID. 3, whose sales potential is restricted by the fact that it’s not available in North America, follows with around 628,000 units, while the larger and more premium ID. 7 has added another 132,000 to the tally.

Europe is the engine behind much of that growth. Roughly one in five cars sold there is now electric, and Volkswagen has carved out a leading role in the region. The US market has definitely cooled, but globally, the trajectory is still pointing upward.

More EVs On The Way

And VW isn’t slowing down. A refreshed ID. 4 badged as the ID. Tiguan is on the way this year, and the new ID. Polo (seen below) and first ever electric GTI, the ID. Polo GTI, will take the fight into the affordable small car segment.

An ID. Cross SUV spinoff follows soon after and an electric ID. Golf is also looming on the horizon. At this pace, don’t be surprised if we’re talking about 3 million before your summer tan has faded.

VW

Pressured by businesses on the importance of immigrant labor, some Republican states are backing off plans to require all employers to check for legal employment status before hiring workers.

State and federal legislation to require that employers use E-Verify, a federal system to check legal status, has been limited this year as a push grows from business interests that say checking status could hurt state economies. Business groups have cited the cost of complying with the laws and the potential loss of crucial immigrant workers who don’t have legal work authorization.

Millions of worksites around the country use E-Verify to ensure new hires are legal to work in the United States, but it isn’t required in all states or for every industry. Going after employers has not been as popular with Republicans as immigration enforcement aimed at detaining and deporting people living here illegally.

In Idaho, for instance, legislation that would require all employers to use E-Verify, crafted with help from the conservative Heritage Foundation, is awaiting state House consideration — while a more limited mandate for large state and local government contractors passed the state Senate Feb. 19.

“I think we should tread lightly, and private businesses should not be enforcement agencies,” said state Sen. Mark Harris, a Republican and rancher who sponsored the less-stringent bill, on the Senate floor before the vote.

Idaho Republican state Sen. Brian Lenney, who voted for the bill, spoke resentfully of business leaders who came to the state Capitol to lobby against the broader mandate for all employers to use E-Verify.

“There were men in suits holding a press conference downstairs to let the world know and tell Idaho which industries cannot survive without illegal labor,” Lenney said before the vote. “They’re trying to protect a system that keeps human beings cheap, compliant and silent. … Is this bill making a dent, like it should? Not really.”

An industry-funded report said a sharp drop in unauthorized labor from deportations could cost the state economy billions of dollars and reduce state tax revenue by almost $400 million. The report, funded by the Idaho Alliance for a Legal Workforce and prepared by regional economists, emphasized the importance of immigrants to certain industries: As much as 90% of the workforce in dairy production is foreign-born, for example, and half of those individuals might not be authorized to work in the U.S.

There were 21 states with E-Verify requirements for contracts or business licenses as of 2024, federal data showed. Seventeen states had pending legislation to begin or expand E-Verify mandates as of Feb. 5, said Mick Bullock, a spokesperson for the National Conference of State Legislatures.

Some bills have not progressed after business opposition, such as an E-Verify mandate in Kansas opposed by the Kansas Chamber and the League of Kansas Municipalities. The chamber said the bill “would create an aggressive, invasive, and costly system of employment verification on all Kansas businesses” in 2025 testimony.

“The goal of this bill is to prevent illegal immigration, however with the bill’s broad definitions and severe penalties this legislation would suppress business operations,” the chamber wrote in submitted testimony.

Another example of a limited E-Verify mandate is a recent Ohio law. It applies only to nonresidential construction, despite testimony about illegal labor in residential construction. After Republican Gov. Mike DeWine signed the measure in December, it takes effect March 20.

An earlier version of the same Ohio bill passed the state House in 2024 but did not pass the state Senate. In a hearing at the time, Richard Ochocki, an organizer for the state plumbers and pipefitters union, said he spent three hours at an apartment and condo construction site in Columbus without finding even one person with the legal work status required to join the union.

“The flow of undocumented workers to Ohio has been steadily increasing over my five and a half years as an organizer. I have personally encountered undocumented workers in Cleveland, Canton, Ashland, Lima, Cincinnati, Dayton, and Columbus,” said Ochocki, speaking in favor of E-Verify, in prepared remarks.

Madeline Zavodny, a professor at the University of North Florida who has researched the effects of E-Verify on the labor market, said exemptions for short-term work such as agriculture or small business is common, but limiting it to part of one industry such as nonresidential construction is unusual.

“The more limited the law is, the less impact it would have,” Zavodny said. “And nonresidential construction may be heavily unionized in Ohio such that there’s not a lot of unauthorized workers anyway. Unauthorized workers are often day laborers who work primarily in residential construction, not nonresidential.”

Meg Rietschlin, majority owner of a construction firm that bids on schools, roads, culverts and other nonresidential construction projects in rural Crawford County, Ohio, said she requires her workers to have a valid driver’s license, which should be enough to show they have legal status. An E-Verify mandate would drive her out of business because of the additional paperwork, she wrote in 2024 testimony.

“If you inundate me with the requirement to collect so much information, I will cease to be,” Rietschlin wrote. “This proposed law is meant to drive the small contractor out of public works opportunities.”

A report Zavodny co-authored in 2015 found E-Verify mandates appeared to help some workers who compete with unauthorized workers, such as Mexican immigrants who became citizens and U.S.-born Hispanic people, but did not measurably help U.S.-born non-Hispanic white people.

A 2020 working paper published by the National Bureau of Economic Research found no evidence that E-Verify mandates improve the native-born labor market in general, and no evidence that people without work authorization moved away because of the mandates. Unauthorized workers may move from large businesses to small businesses that are less likely to comply with the mandates, the paper concluded.

As the Trump administration’s immigration crackdown ramped up last year, restaurants and construction lost the largest number of immigrant laborers compared with 2024, according to a Stateline analysis of federal data. Landscaping, building services and warehousing industries also lost tens of thousands of laborers.

Rick Naerebout, who represents about 350 Idaho dairy farmers as CEO of the Idaho Dairymen’s Association, said his members depend on unauthorized labor to run their farms that together produce more than 18 billion pounds of milk in 2025, behind only California and Wisconsin.

Idaho farms have not seen large-scale raids by Immigration and Customs Enforcement officers, Naerebout said, though there was one last year in South Dakota and one in New Mexico in June, among others. Naerebout said he believes President Donald Trump has paused most ICE raids on agriculture and tourism, as has been reported by The New York Times and Stateline.

Idaho should limit E-Verify mandates to government as the state Senate bill would do, and shouldn’t pass more stringent mandates as the other bills would do, Naerebout added.

“The president couldn’t be more clear that he wants there to be space for critical industries like agriculture to try and get to where we find the solution,” Naerebout said. “The irony is Idaho voted overwhelmingly for President Trump, and you’ve got Idaho Republicans now saying what the president’s doing isn’t good enough.”

Among other states, Tennessee has a broad E-Verify mandate for all businesses with at least 35 employees, though the exact number of employees has shifted over the years. Republican Gov. Bill Lee signed a law effective in 2023 that lowered the threshold from 50 to 35, and one proposed bill this year could shift it back to 50 employees.

The mandate has faced business opposition but “other than a brief period of adjustment implementation has gone very smoothly,” Republican Lt. Gov. Randy McNally said in a statement to Stateline. McNally and other state officials have collaborated with the Trump administration on a package of proposed state legislation this year, including making E-Verify mandatory for state and local government hires.

Florida also has an E-Verify mandate for employers with 25 or more employees, with a bill under consideration to expand it to all employers. It passed the state House in January and is now in a state Senate committee.

In Democratic-led California, employers starting this month must notify employees about their rights under state law, including a prohibition on using E-Verify in a discriminatory way to screen only some employees. A bill in Democratic-led New York, with 12 Democratic sponsors, would prohibit use of E-Verify to screen job applicants or check on existing employees, which is  already prohibited by federal law. E-Verify can only be used legally after a job offer and before an employee has started work.

Meanwhile, some conservative-leaning states are moving to tighten rules. An Indiana bill would hold public works subcontractors accountable as part of an E-Verify mandate for public agency contracts and a West Virginia bill would require all employers to use E-Verify.

Federal legislation to mandate E-Verify for all employers has bogged down in recent years. A Senate bill last year did not progress beyond a committee, and a similar House bill bogged down in 2018.

Last year, Pennsylvania Republican U.S. Rep. Ryan Mackenzie introduced a bill that would require E-Verify for federal contractors only, saying it was “an area where mandatory E-Verify makes clear sense” in prepared testimony.

Mackenzie said he had sponsored an E-Verify law as a state lawmaker in 2019, and that it “has ensured there is a lawful workforce in the construction industry in my home state of Pennsylvania, protecting American workers from unfair competition, providing a level playing field for businesses, and helping to confirm all appropriate taxes are paid.”

Mackenzie’s bill on federal contractors had a committee hearing in January, during which California Democratic U.S. Rep. Zoe Lofgren said the bill would need an exemption for agriculture, since the government buys food and milk produced by undocumented workers for the military and schools on military bases.

“If we don’t exempt ag, we will have a very serious problem throughout the federal government, especially in our military that relies on ag products in feeding our soldiers,” Lofgren said. Her request to amend the bill was voted down.

Stateline reporter Tim Henderson can be reached at thenderson@stateline.org.

Stellantis has published its 2025 financial results, and they make for sobering reading. The headline figure is a €22.3 billion deficit, equal to $26.3 billion at current rates, marking the group’s first-ever annual loss. That swing looks even worse when set against 2024’s €5.5 billion ($5.8 billion) profit, which was already down 70% compared to 2023. In the span of two years, the company has gone from profitable to deep in the red.

The group, which owns 14 brands including Abarth, Alfa Romeo, Chrysler, Citroen, Dodge, DS Automobiles, Fiat, Jeep, Lancia, Maserati, Opel, Peugeot, Ram, and Vauxhall, attributes the damage to €25.4 billion ($30 billion) in “unusual charges,” largely tied to what it calls a “profound strategic shift to meet customer preferences.” In plain terms, Stellantis overestimated how quickly the market would pivot toward electric mobility and is now paying to recalibrate.

More: Stellantis Bet Big On EVs, Now It’s Betting On The Engine Europe Wrote Off

That is only part of the story. It wasn’t just a matter of customers being slow to embrace EVs. Several of Stellantis’ electric efforts, particularly in the US, struggled on their own terms. Models such as the Dodge Charger Daytona EV and the Jeep Wagoneer S were priced at the upper end of their segments yet struggled to justify that positioning against established rivals.

Rethinking Its EV Strategy

Regardless, that recalibration means canceling several electric models that were in development, mainly for the US market, and putting new emphasis on high-margin combustion engines. The return of the HEMI V8 in North America is the obvious attention grabber.

In Europe, diesel and mild-hybrid gasoline options are being folded back into the lineup across several current and upcoming models, including the now-delayed Alfa Romeo Stelvio and Giulia replacements.

“Our 2025 full year results reflect the cost of over-estimating the pace of the energy transition and of the need to reset our business around our customers’ freedom to choose from the full range of electric, hybrid and internal combustion technologies,” said Stellantis CEO Antonio Filosa.

“In the second half of the year we began to see initial, positive signs of progress with the early results of our drive to improve quality, strong execution of the launches of our new product wave and a return to top line growth. In 2026 our focus will be on continuing to close the execution gaps of the past, adding further momentum to our return to profitable growth.”

How Does Stellantis Plug The Gap?

The financial strain has prompted the board to suspend the 2026 dividend and authorize up to €5 billion ($5.9 billion) in hybrid bonds to shore up liquidity. Industrial free cash flow remained firmly negative at €4.5 billion ($5.3 billion), although that represents a 25% improvement on the previous year.

Net revenue totaled €153.5 billion ($181.1 billion), down 2% year-on-year. The decline is attributed to exchange rate headwinds and net pricing drops in the first quarter of 2025, neither of which tends to flatter the bottom line.

More: Stellantis Adds A Third Shift Where You Least Expect It

The group posted an adjusted operating loss of €842 million ($993.5 million). Still, the second half of the year showed signs of stabilization. Revenues rose 10% and shipments climbed 11% as inventories normalized. Stellantis also highlighted that H2 2025 marked the first six months under its renewed leadership team, a detail clearly intended to signal that the worst may already be in the rearview mirror.

Shipments Went Up But Shares Go Down

Combined shipments for 2025 reached 5.573 million vehicles, up 1% year-on-year. That keeps Stellantis in fifth place globally by volume, behind Toyota (11.3 million), Volkswagen Group (8.98 million), Hyundai Motor Group (7.27 million), and General Motors (6.11 million).

Momentum was stronger in the second half, with 2.883 million shipments, up 11% over H2 2024. North America did most of the heavy lifting, posting a 39% H2 increase as inventories returned to more normal levels and demand improved.

Investors, however, appear less convinced. Reuters reports that Stellantis shares have fallen by more than 30% this year, sliding to their lowest level since the PSA-FCA merger in 2021.

Stellantis

Dacia is Romania’s largest and most important car manufacturer, and this year it is preparing to expand its lineup in a meaningful way. Two all-new models are on the way, yet neither will actually be built in the company’s home market.

The first arrival will be a new wagon with crossover elements, currently known as the C-Neo. Positioned above the Jogger in Dacia’s range, it is intended to tap into the ever-growing compact segment.

Read: India’s New Renault Duster Looks Like A Rich Man’s Dacia Duster

Initially, Dacia planned to build the C-Neo in Romania. However, Romania-Insider reports that production will instead take place in Turkey. That decision leaves Dacia’s Mioveni plant in Romania focused exclusively on the Duster and Bigster.

SHproshots

The C-Neo will be underpinned by the existing CMF-B platform and should be offered with a slew of different powertrains, including gas, LPG, mild-hybrid, and full-hybrid options that use a 1.2-liter turbocharged three-cylinder.

Visually, Dacia says the new wagon will follow in the footsteps of the Sandero Stepway with rugged design elements, likely including muscular fenders and roof rails.

A New Electric City Car

Just as significant is Dacia’s upcoming electric vehicle, which will be based on the Renault Twingo. It will not undercut the China-built Dacia Spring on price, but it is expected to start at around €18,000 or just over $20,000. That still positions it as one of the more accessible EV options in Europe. Production of this new addition will take place at Dacia’s Novo Mesto plant in Slovenia.

Dacia has identified the A-segment as an important growth driver in the broader EV market, hence why it’s launching a new model to compete. A single teaser image of the car has been released, revealing that while the proportions may be similar to the Twingo, it will look nothing like its French sibling.

Beyond these new models, Dacia already produces the Sandero and Jogger in Morocco to take advantage of the lower manufacturing costs. The approach reflects how the brand now operates as an international manufacturer, not one anchored solely to its Romanian base.

The automotive industry never slows down, and EV brands feel that pressure more than most. Lucid is responding to the market and to its own position by cutting 12 percent of its workforce. The move comes as it attempts to tighten spending and move closer to profitability as it ramps up Gravity production.

The layoffs were confirmed to Bloomberg in an emailed statement, following the leak of an internal memo from interim CEO Marc Winterhoff that circulated within the company and was seen by Techcrunch.

In the memo, Lucid addresses the cuts head on. “Saying goodbye to colleagues is never easy,” Winterhoff wrote. “We are grateful for the contributions of those impacted by today’s actions, and we are providing severance, bonus, continued health benefits, and transition support to help them through this period.”

More: Lucid Built Its First $50K Midsize EV Prototypes, But Still Hasn’t Shown A Single One

Bloomberg reports that the majority of workers affected are salaried and corporate roles. Hourly workers tied directly to manufacturing, logistics, and quality operations at Lucid’s Arizona facility are not expected to be part of this reduction. That’s not all that shocking, given the brand’s need to ramp up production of the Gravity SUV and continue development of its Midsize platform.

“Importantly, today’s actions do not affect our strategy,” Winterhoff wrote. “Our core priorities remain unchanged, and we continue to focus on the start of production of our Midsize platform. With disciplined execution, we are also focused on further expansion into the robotaxi market, continued ADAS and software development, and growth in sales of Lucid Gravity and Air across existing and new geographies.”

A Murky Future

Right now, Lucid’s momentum is almost entirely pinned on the Gravity SUV. It undoubtedly broadens appeal beyond the ultra-luxury Air sedan expanding its reach to a more popular segment. That said, it’s not exactly what most buyers would consider mainstream or affordable.

That’s why the Midsize platform is so key to Lucid’s future. Tesla’s Model 3 and Model Y turned a niche player into a volume powerhouse, and Lucid is hoping for a similar inflection point.

Rivian is following a similar playbook with the R2. By the end of the year, we should have a clearer picture of who is getting closer to that goal. In a cooling US EV market, profitability is no longer a nice to have. It is the whole game.

Ford’s sudden decision to cancel its multi-billion-dollar partnership with South Korean battery manufacturer SK On in December, just four months after the first batteries rolled off the line, left 1,600 people without jobs at the joint battery plant in Kentucky.

Read: Ford Got The Loan And Built The EV Battery Plant. Now Everything’s Falling Apart

The move caught workers and locals off guard, and many are placing the blame squarely on Ford. That’s not surprising. Still, the political backdrop, including Trump-era EV policies that limited Ford’s options, played a larger role in how this ultimately unfolded.

The Ripple Effect Of A $7,500 Credit

All brands selling EVs in the US were hurt by the government’s decision to kill the federal tax credit, valued at up to $7,500 for new EVs. While some understandably criticized the program as artificially propping up the industry, there’s no denying that it played a hugely important role in convincing many Americans.

With fewer people buying EVs and other government policies relaxing CAFE fuel-economy standards, Ford acknowledged that “the operating reality has changed,” which is why it’s scrapped a slew of its more ambitious and important EV projects. “We are listening to customers and evaluating the market as it is today, not as everyone predicted it would be five years ago,” Ford recently said.

As reported by The New York Times, Kentucky’s Democratic governor, Andy Beshear, said: “1,600 Kentuckians lost their jobs solely because of Donald Trump pushing that big, ugly bill, eliminating the credits that had people interested and excited to buy EVs. I bet many, if not most, of those 1,600 people voted for him, and he basically fired them.”

Unexpected Closure

The site had only been manufacturing EV batteries for four months before it was shut down. Speaking with the NYT, Joe Morgan says he left a job of 24 years to start working at the plant, confident that EVs would grow in popularity.

Morgan, a registered Republican, acknowledges that “taking away the tax credits did play a little bit of a role in not selling EVs,” but he thinks it’s Ford that should take most of the blame. “I just think Ford made a bad decision when they came out with an F-150 that they wanted to make all electric.”

Derek Doughtery shares a similar view. Landing a job at the battery plant was a turning point for him after previously experiencing homelessness, especially with a second child on the way. He, like others, believes Ford may have misread the market and bears more responsibility than the government.

“At the end of the day, whatever the government policy would be, the company made the decision,” he said.

A Scaled-Back Future

Fortunately, the facility will not close entirely. Now under full Ford control, it will be retooled for battery storage production and is expected to employ roughly 2,100 people. That figure is well below the 5,000 jobs originally projected when the plant was dedicated to building EV batteries, but it offers at least some continuity for a site that only recently promised much more.

The Chinese government is stepping up efforts to end the price war among local car manufacturers following a sales decline in the first month of the year. In what is the government’s most drastic step yet, there will be a cap on how low automakers can price their vehicles.

Newly-released guidelines from the State Administration for Market Regulation explicitly ban companies from setting prices below the cost of production as part of their efforts to monopolize the market and squeeze out competition.

Read: China’s EV Boom Is Cooling, And The Big Names Are Feeling It

According to the China Automobile Dealers Association, the price war has caused up to 471 billion yuan ($68 billion) in lost output over the past three years. Market sales dipped by their fastest pace in almost two years in January, declining 19.5 percent year-on-year.

Sales fell by an even more considerable 36 percent from December 2025 to January, plummeting from 2.2 million units to 1.4 million, CTV News reports.

Some analysts predict that domestic demand for new cars in China will fall this year, with sales potentially dropping by up to 3 percent. However, Chinese car companies may offset this by exporting more vehicles to overseas markets. BYD, for example, aims to export 1.3 million battery-electric and plug-in hybrid vehicles this year, up from 1.05 million last year.

The Chinese market regulator has warned that companies that don’t comply with the new rules may face “significant legal risks,” although it didn’t reveal what actions could be taken.

Supplier Payment Cycles Slashed

This new ban on setting prices below the cost of production isn’t the only measure being taken to quell the price war. Tighter government oversight has led many major automakers to reduce their supplier payment cycles from an average of 300 days to under 60 days.

As reported by the South China Morning Post, many Chinese car brands have frequently extended payment cycles to keep cash reserves, enabling them to ramp up research and development. The new government oversight appears to be helping.

“The results showed government intervention worked, as the automotive groups feared they could face severe punishment if they failed to operate in compliance with the authorities’ requirements,” chief executive of the Shanghai Mingling Auto Service consultancy Chen Jinzhu said. “Without delayed payments to suppliers, they will not have sufficient cash on hand to sustain discount wars.”

Ford has never been shy about making big, attention-grabbing bets. Sometimes they pay off, sometimes they don’t. In early 2022, the company announced it was splitting its automaking operations into two distinct branches: Ford Blue, handling traditional combustion vehicles, and Ford Model e, dedicated to EVs. At the time, it sounded like a smart move, especially with EV demand climbing fast.

That optimism, however, hasn’t quite paid off. Fast forward four years, and Ford’s huge investments in EVs have come back to bite it. In its latest financial results, the automaker disclosed that the Model e division posted a staggering $4.48 billion loss in 2025. Worse, those losses are expected to continue mounting, even after canceling several planned EV projects.

Read: Ford Got The Loan And Built The EV Battery Plant. Now Everything’s Falling Apart

Earlier this week, Ford revealed its electric car business will likely lose between $4 billion and $4.5 billion this year, and will continue to lose money through at least 2027 and 2028.

Speaking on a conference call following the earnings report, Ford CFO Sherry House stated the company is not aiming for a breakeven point for the Model e brand until “around 2029.”

Tallying The Fallout

In the four years since the Model e division was established, Ford lost more than $16 billion. That’s an extraordinary amount of money, particularly when you consider that the only electric cars it currently sells in its home market are the Mustang Mach-E and E-Transit, following the early demise of the F-150 Lightning.

Combustion Still Carries The Load

According to The New York Times, Ford’s losses in electric vehicles were offset last year by stronger performance from its combustion-powered lineup and commercial vehicle sales. Those segments generated enough revenue to support an adjusted earnings total of $6.8 billion before interest and taxes. Ford expects those numbers to climb in 2026, projecting earnings between $8 billion and $10 billion.

Read: Farley Just Realized $55K EV Trucks Don’t Sell, After Ford Made Sure That’s All It Sold

One of the earliest signs of Ford backtracking on EVs came last year when it confirmed production of the F-150 Lightning had been halted indefinitely.

Still, there’s a sliver of hope for those holding out for an electrified truck. The next-generation F-150 Lightning is in the works and will feature a range-extending powertrain that combines electric drive with a combustion engine backup, offering over 700 miles of combined range.

You might have set a New Year’s resolution to slim down, but new-car prices made no such commitment. According to fresh industry data, prices just set another record for January, proving that handing over $50k for a virgin vehicle is basically normal now. But the number of people who think buying an EV is the normal thing to do has dropped dramatically.

More: A Third of Americans Are Priced Out Of New Cars, And It’s Getting Worse

The average transaction price in January reached $49,191, up nearly 2 percent from a year earlier and the highest ever recorded for the month, according to KBB. Although prices dipped slightly from December, Cox Automotive called the drop “seasonally normal,” explaining that the market usually “takes a breather” after year-end, when luxury vehicles make up a larger share of sales.

The average new-vehicle manufacturer’s suggested retail price (MSRP), commonly called “the asking price,” also kept climbing, now sitting at $51,288 and staying north of fifty grand for 10 straight months.

New-Vehicle Average Transaction Price

Last month’s pricing uptick came even as sales mix shifted away from year-end luxury volumes. “We hit a new January high even as prices naturally pulled back from December’s luxury-heavy finish,” said Erin Keating, executive analyst at Cox Automotive.

“Consumers are still finding plenty of options below the industry average, especially in core segments like best-selling compact SUVs, but the disappearance of true entry-level vehicles continues to lift the floor higher.”

Incentives Pull Back Hard

Incentives fell to about 6.5 percent of transaction prices, down from higher levels late last year, meaning buyers are shouldering the burden of those higher prices. Automakers are clearly in margin-protection mode, offering just enough in the way of deals to keep metal moving but not enough to feel generous.

Luxury models and big pickups got the juiciest offers, while compact and midsize cars were left mostly to fend for themselves.

Few Bargains Remain

Compact SUVs remain the value choice. With average prices around $36,000 and down 0.6 percent, they sit well below the industry average and continue to dominate sales. Meanwhile, true bargain basement cars are basically extinct. With the Mitsubishi Mirage gone and the recently axed Nissan Versa reduced to whatever stock is still hanging around, the US market has waved goodbye to the sub $20,000 new car.

At the other end of the spectrum, full-size pickups are still living large. Average prices in that segment remain comfortably above $70,000, and buyers are still lining up, with more than 150,000 big trucks finding homes last month.

January marked the fifth consecutive month where full-size pickups averaged over $70K, reinforcing their outsized role in propping up the market average. Subcompact cars, by contrast, struggle to attract more than a few thousand takers a month. Fewer than 4,000 were sold industry-wide last month.

EVs Shunned

Electric vehicle prices actually slipped to around $55,700, down 0.6 percent lower than a year ago, although Tesla’s fell 2.2 percent in the same period. Incentives for EVs also cooled sharply, dropping to 12.4 percent of ATP, down from 18.3 percent in December. Even at those reduced levels, they remain well above the industry average.

However, we wouldn’t be surprised if they are kicked back in to shore up demand, which has dropped alarmingly, according to the data.

KBB says only 66,000 EVs were sold in January, being down a fifth from January 2025, and you can bet the loss of tax credits from October played a big role. In fact, that total reflects a nearly 30 percent year-over-year drop and a 20 percent decline from December. Tesla accounted for about 60 percent of total EV sales.

Average transaction price by automaker

Average transaction price by brand

Average transaction price by segment

Data Cox Automotive/Kelley Blue Book

The Volkswagen Group has been doing some careful footwork lately, trying to stay ahead as Europe tightens the rules on electric cars coming in from China. Cupra boss Wayne Griffiths warned just over a year ago that the brand could be “wiped out” by new European Union tariffs on electric vehicles imported from China.

But now, the VW Group might get a special lane through Europe’s new tariffs on Chinese-built EVs, and that possibility isn’t going unnoticed in Beijing.

More: Ford May Fill Its Factory With Chinese EVs So They Can Dodge Tariffs

Here’s the deal in simple terms. The EU slapped tariffs on electric cars made in China, arguing they benefit from heavy state support. But there is a loophole. Instead of paying those extra duties, a carmaker can agree to sell a model at a minimum price.

Volkswagen looks set to use that option for the Cupra Tavascan, which is built in China, Germany’s Handelsblatt reports. If Brussels signs off, VW can ship it into Europe without being stung by punitive 20.7 percent tariffs, as long as it sticks to the agreed pricing rules. Officially, this is all perfectly above board and part of existing procedures.

Not A U-Turn

The European Commission’s diplomats in Beijing say these kinds of allowances do not constitute a U-turn on its Chinese vehicle policy, a complaint leveled by some critics. Beijing, meanwhile, is being outwardly positive about the rumored EU concessions.

But behind closed doors, the Chinese worry that Volkswagen might be getting friendlier treatment than other manufacturers because it’s a European brand. China had pushed for an industry-wide solution, but now seems to be accepting smaller, case-by-case deals, realizing that letting individual brands cut their own deals may be better than endless stalemate.

Long Process

Each application for a minimum pricing deal can take well over a year and must be reportedly handled on a car-by-car basis, the report says. Industry watchers doubt every Chinese brand will rush in, especially those already making healthy margins even with tariffs in place, but VW evidently believes it’s worth the admin in the Tavascan’s case.

The Tavascan is Cupra’s sportier take on the VW ID.5, a 182.8-inch (4,644 mm) electric crossover built around the MEB platform and offering a mix of single and dual-motor powertrains with up to 353 miles (568 km) of electric range.

Cupra

A new trade agreement has cracked the door open for electric vehicles from China to officially re-enter the Canadian market. In exchange, the People’s Republic is easing up on tariffs for Canadian agricultural exports, especially canola. Yes, your future EV might be indirectly powered by salad oil diplomacy.

Cheap, tech-packed, and improving at a scary pace, Chinese EVs are terrifying North American automakers and fascinating savvy car buyers, and they haven’t even landed yet, kept out by tariffs and political caution.

Related: China Is Ready To Start Building Cars In Canada

This new agreement changes the vibe. Canada gets more affordable EV options because the tariff rate is being cut from 100 percent to 6.1 percent.

The initial annual import cap is set at 49,000 vehicles, or one third of the car market, but could grow to 70,000 annually five years from now. And crucially, around half of the volume is expected to cost less than $35k CAD ($25k).

Compact Contenders and Budget Picks

But what would you buy? If price is king, the tiny BYD Seagull, sold in some markets as the Dolphin Surf, could be the ultimate city runabout. Sure, it looks about the size of a carry on suitcase with headlights, and Canadian winters are not exactly minicar friendly.

QOTD: What Car Repair Made You Wonder If Engineers Ever Touch The Cars They Design?

However, if the goal is getting more people into affordable EVs, this little hatch and its bigger Dolphin brother could be game changers for urban commuters.

Sedan fans looking for some style, will be hoping Xpeng’s P7+ (seen above) gets an invite, but if you’re determined to blow past that $35k budget you’ve surely got to be rooting for the Xiaomi SU7 sedan and YU7 SUV.

These are the cars that make traditional brands nervous and car nerds very curious. Ford CEO Jim Farley daily-drove an SU7 specially imported for him and his team in 2024 and described it as “fantastic,” telling an interviewer “I don’t want to give it up.”

Another possibility? Western brands already building China-only models, like Mazda’s EZ-6 sedan that’s priced from around $20,000 in China, the Toyota bZ7 sedan, or Nissan’s NX8 crossover. If the import gate opens wide enough, these could sneak through too.

Answers Needed

Of course, there will be questions about service networks, long term reliability, and how these brands fit into Canada’s market. But purely from a car geek perspective, the idea of suddenly having access to this whole new wave of EVs is kind of exciting.

So Canadians, if these cars start showing up in showrooms, which one are you signing for? And if you are reading from elsewhere, play along. If you did live in Canada, what Chinese EV would be on your driveway?

It’s a new year, and for Porsche, it begins with a leadership shakeup that might reshape more than just boardroom priorities. The brand has a new CEO, Michael Leiters, and within days of stepping in, he’s reportedly reconsidering the future of the all-electric 718 Boxster and Cayman.

That would be a huge reversal of course for the automaker, but here’s the real kicker: new reports suggest the unceremonious end of Audi’s new Concept C sports car before it ever reaches production.

Read: Porsche’s New CEO Might Kill The Cayman, Boxster EVs Before They Even Launch

Leiters has reportedly begun a sweeping review of Porsche’s operations as sales slump in China and profit margins took a big hit. One of the biggest question marks is the electric 718 program, which has been plagued by delays, ballooning costs, and battery supply issues following the bankruptcy of Swedish cell supplier Northvolt.

Electric Sports Cars in Limbo

Insiders told German publication Handelsblatt that the battery issue has become particularly thorny, and finding a viable replacement would come with significant cost increases. Some within Porsche lay blame at the feet of former CEO Oliver Blume, saying he let the program’s problems drag on for too long.

More: Porsche Posts Its Biggest Drop In Sixteen Years

According to sources cited by Bloomberg, Porsche is now actively debating whether continuing development of the electric Cayman and Boxster even makes financial sense.

Audi CEO Gernot Döllner has tied much of his turnaround strategy to a new halo model known internally as Concept C and rumored to revive the TT nameplate and centering much of its future design around it. And the trouble is that it’s engineered around the same Porsche-developed EV platform intended for the electric 718.

Can Audi Go It Alone?

The shared architecture was supposed to deliver cost savings and accelerate development. Without it, Audi may be forced to either shelve the Concept C entirely or buy and finish the platform independently.

Insiders told the German publication indicate that such a move could cost Audi a nine-figure sum. There’s no telling how long it would take Audi to sort out the development and get a production car ready to roll. Help isn’t coming from any other direction, either.

Volkswagen Group’s next-generation SSP platform, which will underpin most future EVs across its brands, isn’t expected to be ready before mid-2028. All of this is going on as Porsche is struggling to manage shifting industry sands. Sales of the Taycan have fallen off a cliff in China, and tariffs are making things a lot harder in the U.S. as well.

Projections for China, once Porsche’s biggest growth engine, have been cut from 100,000 units to just 30,000 to 40,000 in 2026, with the brand recently deciding to shut down more than a third of its dealerships in the country.

More: The Concept C Is So Close To Production Audi Got It Street Legal

Audi, for its part, publicly showcased the Concept C in Milan last September during a high-profile launch event complete with celebrity appearances. At that event, Döllner described it as “the first visible evidence of Audi’s transformation as a company.” He emphasized that the model marks a break from the brand’s past design language and lays the groundwork for what comes next.

Concept C is Key to Audi’s Lineup

That foundation isn’t limited to design either. The Concept C’s tech platform is intended to underpin Audi’s future lineup. Originally, the sports car was scheduled to launch in 2027.

The big question now is whether Döllner will stick with Leiters’ cost-cutting approach or push ahead with Concept C, even if it means spending hundreds of millions to take over and finish the platform on Audi’s own terms by 2027.

For now, both companies are staying quiet. Porsche says no final decisions have been made, while Audi declined to comment on the Concept C’s future.

After months of spy shots and speculation, BMW’s all-new electric i3 is officially leaving the theoretical stage. The brand has begun pre-series production at its Munich plant, which means the future 3-Series EV is no longer just a prototype trying to evade Nürburgring photographers.

BMW released official images of camouflaged near-series cars to mark the milestone, confirming that production-spec hardware is now running through the factory. According to BMW, these early cars are built using full production processes, from the press shop to final assembly, to stress-test logistics, equipment, and workflows before series production begins in the second half of 2026.

Related: New i3 And 3-Series Reveal BMW’s Most Striking Split Yet

This is a bigger deal than it sounds. Until now, early i3s were assembled partly at BMW’s pilot plant near its Research and Innovation Centre. With Munich’s new body shop, paint shop, and assembly areas now complete, the i3 finally goes through every production step under one roof, just like a real car should.

The timing fits perfectly with what we’ve seen on the road. Spy shots have shown the electric i3 and the next combustion 3-Series testing side by side, wearing similar Neue Klasse styling but hiding very different bones underneath.

The i3 rides on BMW’s dedicated Neue Klasse EV platform first seen on the 2026 iX3 SUV, while the gas-powered 3-Series sticks with an updated version of today’s CLAR architecture.

Spot the EV

But you won’t need to get them on a ramp to tell them apart, you’ll just have to look closely. The electric i3 has a flatter roofline, different door and window shapes, and even a relocated charging port compared to the fuel door on the ICE model. Inside, though, both will share a futuristic cabin, including a freestanding display and BMW’s pillar-to-pillar Panoramic iDrive screen.

iX3 Powertrain

Powertrain details remain unofficial, but based on what we already know about the iX3, expectations are sky high. The i3 50 xDrive is rumored to deliver around 463 hp (469 PS / 345 kW) and an EPA range that should exceed 400 miles (644 km), backed by a massive battery and ultra-fast DC charging.

An entry-level rear-wheel drive version will follow, with a hotter, heavier, M3 EV also confirmed.

BMW says employee training is now shifting from virtual reality to hands-on work with real machinery, which tells us the launch clock is ticking. The camouflage may still be on, but the electric i3 has clearly entered its final dress rehearsal and the full disguise-free show starts later this year with first deliveries coming in early 2027.

BMW

Just two weeks after announcing a major trade deal with China that sharply reduced tariffs on EV imports, Canada is exploring another pivotal agreement, this time with South Korea, that could open the door to more car production on Canadian soil.

Although the two countries have had a free trade agreement since 2015, removing tariffs on most goods, this new Memorandum of Understanding (MoU) points to a growing interest in deeper cooperation.

Both countries are responding to the unpredictability of U.S. trade policy under the Trump administration by diversifying their economic alliances. Still, for all the optics, neither has the capacity to replace the United States as a primary economic pillar.

More: Trump Hits Korea With New Tariffs, Hyundai And Kia Are About To Pay The Price

The current priority is to strengthen South Korea’s automotive presence in Canada. That could include domestic manufacturing of Korean-branded vehicles as well as increased production of electric vehicle components and battery technologies.

“This agreement will grow our auto sector, create good jobs and reinforce Canada’s position as a global leader in future-ready vehicle manufacturing,” said Industry Minister Mélanie Joly in a statement on Thursday.

Ties Between Auto and Defence

Canada appears to be courting major Korean automakers such as Hyundai, especially in light of South Korea’s bid to replace Canada’s current submarine fleet.

According to CTV News, both Hyundai and defence contractor Hanwha are involved in a proposal to build and maintain 12 submarines for the Royal Canadian Navy. If selected, the deal could be worth up to $100 billion over the next 30 to 40 years.

More: 1,200 Canadians To Lose Their Jobs After GM Moves Trucks Back To The US

Hanwha, a sprawling South Korean industrial group, has already laid groundwork by signing five separate MoUs with Canadian companies to incorporate their technologies and products into its submarine offerings. Among those agreements is a $275 million commitment toward a new structural steel beam mill in Ontario.

South Korea’s Growing Footprint in Canada’s Auto Market

In 2024, South Korean vehicles made up 12 percent of all cars sold in Canada, amounting to 228,257 units. In a statement, the Canadian government emphasized its aim to strengthen the domestic battery supply chain by encouraging investment and collaboration in battery manufacturing, materials processing, and the refinement, processing, and recycling of Canadian critical minerals.

Read: China Is Ready To Start Building Cars In Canada

Flavio Volpe, president of the Automotive Parts Manufacturers’ Association, believes the timing aligns well for Canada to boost its domestic auto sector by leveraging upcoming defence investments.

“Today the business case is there to build a plant here in Canada, perhaps making electric vehicles… and to build where they sell,” he said. “Canada is interested in buying submarines and there are two healthy bidders. And both of those healthy bidders have automakers that sell a lot of cars here and sell batteries here.”

Uncertainty with transportation funding, policies and federal changes can make the future seem foreboding for the student transportation industry. Security consultant Bret Brooks plans to outline ways to manage stress without being overwhelmed by today’s challenges.

The opening general session “How to Care Less Without Being Careless: Modern Stress Management,” is scheduled for Friday, March 27 at STN EXPO East. Brooks will explain the “Law of Reversed Effort” that reveals the impact of lowering anxiety to increase openness, creativity and problem-solving abilities.

Through a combination of real-life examples and interactive exercises, attendees will learn how to evaluate their triggers and stressors, and manage stress by realigning priorities. Brooks plans to show attendees how to see through the noise and identify “What’s Important Now,” through contemporary methods such as the Care-O-Meter, the 30,000-foot perspective and the recommendations of Stephen Covey, author of “The 7 Habits of Highly Effective People.”

This dynamic session will not only provide educational instruction but equip attendees with the steps to remove avoidable stress and focus their energies in a targeted and efficient way. Attendees will not only be able to reflect on their personal and professional challenges but discover the secrets to reducing stress and living a healthy, balanced life.

Brooks’ military and law enforcement background — he is a major in the U.S. Army and a retired member of the Missouri State Highway Patrol — provides a unique take on stress management as someone with decades of experience in high-stress situations. He is the chief operating officer for Gray Ram Tactical, LLC, a Missouri-based international training and consulting firm specializing in transportation safety and security issues, as well as an author of books and articles.

STN EXPO East will be held March 26- 31, 2026 at Embassy Suites by Hilton Charlotte Concord Golf Resort & Spa. The Early Bird Savings Deadline is Feb. 13, register today at stnexpo.com/east.

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Related: STN EXPO East Agenda Addresses Industry Challenges, Outlines Innovative Solutions
Related: STN EXPO East Keynote Speaker to Outline Strategies for Creating Impactful Culture
Related: STN EXPO East Opens Online Registration for March 2026

The post STN EXPO East to Feature Timely Discussion on Managing Stress appeared first on School Transportation News.

The health of the school bus industry was strong and stable in 2025. I predict more of the same in 2026. There is renewed EPA funding optimism, as more funds are set to be dispersed, yet the exact dollar figure remains unknown.The remaining $2 billion in the Clean School Bus program could soon be released to support propane and electric school bus acquisition.

States like New York and California continue to push for more stringent regulations while other states follow the federal mandate of more relaxed emission standards. Keep in mind, a proposed rule to amend the 2027 Greenhouse Gas Emissions (GHG) Phase 3 regulations for heavy-duty vehicles looms.

Regardless of government regulations, engine OEMs have already done the work to get heavy-duty low NOx and CO2 emissions baked into future powertrain solutions. This will likely drive engine prices higher in 2026 and beyond.

As we ended 2025, inflation appeared to have leveled off but still remained too high as are interest rates, despite the Fed’s latest cut. There are hopes of more rate cuts in the future. I see the increased costs being reflected on labor, manufacturing and raw materials
from industry suppliers. Tariff discussions will continue to take center stage as costs on components and goods can change quickly. Those sudden increases are already being passed on to the end user.

School busing should be deemed an essential service, like during COVID, and receive a tariff waiver. It will take a lot of loud and convincing voices to influence policy makers in Washington, D.C. No easy task but worth it.

A benchmark for industry health is new OEM school bus manufacturing data. As reported starting on page 13, the numbers reported are up about 7 percent to 40,345 school buses produced. Clean diesel school bus volumes spiked as the top buying choice for fleets with an overall increase of 3,699 units to 26,677 units. Alternative fuel school bus purchasing was modest relative to the previous year. The green bus market share leader remained electric school buses with 2,906 units manufactured, which was slightly down from the previous year. School bus OEMs have continued to expand school bus electrification offerings across all model types.

Propane-powered school bus volume was down slightly at 1,617 units, and CNG school buses saw a 91-unit decrease compared to last year with a scant 6 units produced. Gasoline school buses were down 515 units to 10,326 units over the previous year’s data. I see the potential for more gasoline adoption in 2026 as school bus OEMs offer the Cummins B6.7 Octane engine. Type A school bus chassis demand and predictability is good. Chassis allocations for school transportation OEMs have remained steady from GM and Ford in 2025.

According to industry insiders, that trend should remain similar for 2026, but tariffs are causing some hesitation in the marketplace.

I am seeing a significant increase in van conversions and van dealers o”ering multi-passenger vehicle (MPV) options to end users. More companies are exhibiting at STN EXPO and TSD Conference than ever before. I expect that market to continue to expand in 2026. Growing budget pressures seem to have accelerated the adoption of alternative student transportation services. This has given school districts another option on a supplemental basis to support growing demand of servicing students with disabilities, special needs or who are experiencing homelessness.

According to a recent STN readership study, over 667 subscribers identified products that they were interested in purchasing over the coming year. The top 2026 buying trends are new Type C and D school buses, new diesel buses/engines/components, wheels/tires, brakes, lighting and LEDs, and cellular radio communications systems. (See the full list on page 16.)

Be sure to utilize this ultimate resource guide for contacts and data, to discover new products and the companies that sell them. I also invite you to participate in the professional development training and networking opportunities we have to o”er at the STN EXPO and the TSD Conference. Learn more at stnexpo.com.

As I look to 2026 and beyond, I see school transportation being future-ready mobility for every student. The yellow school bus of tomorrow is already on the road. The question is no longer whether the industry will transform, but which school districts, suppliers and communities will lead the way.

Editor’s Note: As reprinted from the School Transportation News Buyer’s Guide.

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Related: As School Bus Production Spikes, So Do Alternative Vehicles?
Related: Top 10 STN Website Articles of 2025
Related: Buyer’s Guide 2026
Related: (STN Podcast E288) 2025 in Review: Top STN Online Articles

The post Signs Point in the Right Direction appeared first on School Transportation News.

Reading Time: 13 minutes

A version of this story was originally published by the Door County Knock, an independent, nonprofit news organization covering Door County, Wisconsin. Subscribe to its newsletters here.

The 143-foot tug boat Donny S. sits aground in a few feet of water on the northeast side of Baileys Harbor. One cannot miss it, whether buying smoked fish from Baileys Harbor Fish Company, renting a waterfront cottage, hiking at Toft Point State Natural Area or watching a sunset from the Baileys Harbor Yacht Club. 

Depending on who you talk to, the forsaken tugboat is a hazard, an eyesore or a curiosity. No matter what folks think about it, there is no question the Donny S. is something of a local celebrity. Hundreds of social media posts have been made about the vessel on what William Stephan, the chief engineer of another tug, calls “boat nerd” sites.

Attempts to move it have failed. Municipal, county, state and federal agencies have received complaints and inquiries about it. State representatives have gotten involved. The Wisconsin Department of Natural Resources has convened four working group meetings and issued citations and fines to the boat’s owner, Jeremy Schultz. 

But the Donny S. remains mired on the lakebed, its status and fate uncertain.

The curious second life of the Donny S.

Before it came to rest in Baileys Harbor, the tugboat had a long and industrious life. Built in 1950 and named the G.W. Coddrington, it eventually wound up as the Donny S. in Sturgeon Bay. Owned by Selvick, and then Sarter Marine, the tug broke up ice for the winter fleet at Fincantieri Bay Shipbuilding and performed other commercial tugboat operations. 

The boat was decommissioned  in 2020 and sold to private owner, Jeremy Schultz, after it was unable to meet regulatory requirements laid out by Subchapter M. The rule, issued by the U.S. Coast Guard in 2016, established new protocols and standards for commercial tugboats and marine towing companies. 

Schultz moved the Donny S. to Baileys Harbor in 2021, with the intention of eventually taking it to Manitowoc to be scrapped, according to Mike Cole. Cole owns Ironworks Construction in Baileys Harbor. He also owns the dock the Donny S. was tied to when it arrived in Baileys Harbor. 

Sometime after August 2021, Schultz began preparing the tug to be moved to Manitowoc, Cole said. Preparation included “de-ballasting” the tug  – removing the water from ballast tanks that keep the heavy vessel from moving around in wind and damaging the dock. Schultz also got the boat moved farther away from the dock and  “pointed in the right direction,” Cole said. In order to do so, the Donny S. had to be untied, but at least one line was kept between the tug and the dock once it was situated where Schultz wanted it, he added. 

All of the ballast water had been pumped out of the vessel, a float plan was approved, and the tug was ready to go, Cole said. Then the Coast Guard received a complaint about possible contaminants on board, he said, and moving it was delayed.

It was just enough time for weather conditions to go from ideal to difficult. Autumn storms pushed the Donny S. aground, according to Cole. It has not moved since. 

Not for lack of trying, according to William Stephan. Stephan is the chief engineer on the Cheyenne, a tugboat owned by Five Lakes Marine Towing in Sturgeon Bay. Schultz worked on the Cheyenne and had arranged to have it tow the Donny S. to Manitowoc, according to Stephan.

The DNR issued its first citation to Schultz for obstruction of navigable waters in October 2022. On Dec. 22, the Cheyenne tried to move the Donny S. Stephan was on board. 

It was a zero-degree day, with a cold fog settled over Lake Michigan, he remembered. When the Cheyenne got to Baileys Harbor, the Donny S. was “high and dry,” he said, which was a surprise to him and the rest of the crew, as they thought it was ready to be moved. Instead, the 500 ton Donny S. was grounded firmly on the bottom of the lake and surrounded by ice chunks.

The Cheyenne tried a few maneuvers anyway, Stephan said, but it could not get close enough. The water around the Donny S. was too shallow and the Cheyenne did not have enough line to reach it from deeper water. 

“It was a wasted trip,” Stephan said. The Cheyenne’s crew had volunteered their time in exchange for getting a cut of the salvage from the Donny S., he said.

 “(Schultz) still owes me a port light,” he quipped. 

Tug condition, knowns and unknowns

Reports and observations vary regarding the condition of the Donny S. and what exactly is on board. There have not been any formal state or federal assessments made of the tugboat recently, and that is part of the reason nothing is being done about it, according to Mike Kahr. 

Kahr is a Baileys Harbor resident and civil engineer who owned Death’s Door Design and Development, a marine construction firm, for 35 years. 

“I believe it’s sitting on solid rock now with soft sediment around it,” he said, “and I believe if it starts moving in the storm, it’s going to pop a hole in it, and the oil in the bilge is just going to end up on the beach. I firmly, firmly believe that it’s not a question of if, but when.” 

Kahr became concerned about the tugboat when it first went aground in Baileys Harbor, he said. He has since contacted the Coast Guard, the DNR, the Town of Baileys Harbor and the Door County government, alleging it is an environmental hazard. Kahr is also part of a working group convened by the DNR in August 2025 to address the stranded vessel. 

In August, Kahr boarded the Donny S. and took photos, soundings and measurements that he claimed prove the boat is an environmental threat. There is upwards of 3 feet of “oily liquid” in the bilge and about 112 different fuel tanks present on board, he noted. The engines are still in the boat as well, though the transmission has been removed, he said. 

Kahr also took hull measurements with an ultrasound meter and the steel hull is pitted with rust and is ½ inch thick, he said.

It was the Coast Guard’s understanding that all potential pollutants like fuel had been removed from the Donny S. prior to attempts to remove it from the harbor, according to a phone conversation with Lt. Nathan Herring on Dec. 5.

Herring is the commander of the Coast Guard’s Marine Safety Unit in Sturgeon Bay, the office responsible for inspecting commercial vessels, waterway safety and pollution response. He attended the first DNR working group meeting on Aug. 28 and heard about Kahr’s findings for the first time.

“That was, I think, new news to everybody in the meeting,” Herring said. 

A current inspection and evaluation of the boat’s environmental condition and contents, by an authorized entity, is crucial for any progress toward removing the Donny S., according to Tressie Kamp, assistant director at the Center for Water Policy at UW-Milwaukee.

The organization is an interdisciplinary research center housed in the School of Freshwater Sciences, and it works with scientists, academics and technical experts inside and outside the UW system to review policy related to state waterways. 

The center published a policy brief in September regarding abandoned vessels in Wisconsin waters. 

“Government actors need to go on the boat and understand what the conditions are years after the last Coast Guard inspection,” Kamp said. Anyone who wants to do something about the tug, whether government or private actors, cannot know what efforts will consist of, or how much it will cost, until that happens, she added. 

Hazard, eyesore or curiosity?

The Donny S. has been drawing interest, and ire, ever since it’s been grounded. 

Mike Kahr is not the only one worried about the potential environmental fallout of the tug. Baileys Harbor Fish Company owner Todd Stuth has also been concerned about the Donny S. since it arrived in Baileys Harbor. It’s easy to keep it in mind, he said, because the tug is right in front of his business. 

“We get questions (from customers) every day,” Stuth said. 

As a commercial fisherman, Stuth has years of experience in the boating world, and he speculated that there is lead paint on the hull of the Donny S. Red lead paint was widely used as hull coating in the 1950s, when the tug was built, he said, which means specific abatement processes need to be followed in order to cut the boat apart for salvage.

Stuth is also certain that the Donny S. will leak at some point, spilling the contents of the bilge into Baileys Harbor waters, which would be a disaster for the watershed, he said. Toft Point State Natural Area and the Ridges Sanctuary are nearby. 

“I’m a little miffed that the state and county haven’t made a stronger push to have it removed,” he said. “We can put a man on the moon … but we can’t get a tugboat out of a harbor.”

Cole with Ironworks Construction asserted there are no contaminants on board the vessel, and everything potentially harmful has been removed, during a phone conversation on Dec. 8. In order to move it from Sturgeon Bay to Baileys Harbor, a float plan and inspection needed to be approved by the Coast Guard, he said. That was done and all potential hazards were removed at the time, he added. 

Captain Lynn Brunsen does not think the Donny S. is an imminent environmental threat either, he said. He works for Shoreline Boat Tours, operating out of Baileys Harbor, and said tourists are always intrigued by the tugboat. 

“I get within one hundred feet of it every time we do a tour,” Brunsen said. “There’s no evidence of oil, no slick or sheen in the water, no smell.” He does agree that eventually a hole will rust or break through the hull and whatever is in the bilge could spill out, he said. 

Brunsen also does not consider the tug a navigational hazard, he said, as it is sitting in about two feet of water. Nothing much bigger than a kayak can get next to it, he added. 

He is concerned about the tug as a safety hazard however, and has observed people climbing aboard the vessel via knotted ropes hanging down the side,“like something you would see on a pirate ship,” Brunsen said. 

Earlier this summer, someone lit what appeared to be smoke bombs or fireworks on board as well, he added. 

Whether a hazard or not, Stuth said, the Donny S. needs to go.

“The entire shoreline community in Baileys Harbor is pretty perturbed and wants it gone,” he said. 

Accountability in limbo

Whose responsibility is it to remove the Donny S.? The tug’s owner, Jeremy Schultz, is the obvious answer, according to municipal, county, state and federal agencies. The DNR has issued over a dozen citations for “unlawful obstruction of navigable waters” to Schultz from October 2022 to February 2024. Fines levied were upwards of $20,000. 

According to court records, Schultz’s fines were paid in June 2025. No fines or citations have been issued since. Notes obtained from the DNR’s working group meetings this fall stated that the owner does not have the means to remove the vessel. 

Schultz could not be reached for comment. 

“What people want to see happen is it is boarded and inspected by an official authority. We want to understand what’s on the boat and for someone to take responsibility for it,” Baileys Harbor town chairman David Eliot said in a phone call Dec. 3. (Disclosure: Knock editor-in-chief Andrew Phillips previously worked for a company owned in part by Eliot. Phillips was not involved in editing this story.)

The town sent a letter to the DNR in March 2025, and will be sending another, Eliot said. According to the letter, the town has received “many inquiries and complaints” from the community and considers the tug an eyesore and a hazard. 

Baileys Harbor was informed by the DNR that the Donny S. is not under the town’s jurisdiction, according to Eliot.

The Door County government has a similar position, Corporation Counsel Sean Donohue said. They would like to see the tug removed, but do not have jurisdiction or funds to do it themselves. Both town and county representatives have attended DNR working group meetings. 

The state authority is the DNR, and they have fined the owner and convened four stakeholder meetings since August to try to address the problem, but have taken no other action. The agency did not respond to inquiries in time for publication. 

From a federal standpoint, the Coast Guard’s involvement is only triggered if there is active pollution or a navigational hazard posed by the vessel, according to Lt. Herring. The Coast Guard does not deem either of those things a concern at this time, with the Donny S. 

“The first step in taking action would be if there’s an active pollutant coming from the vessel into a waterway,” Herring said. “We would be able to federalize that case, or that vessel, to where we can remove those contaminants from it. But as far as removing the vessel itself, there’s nothing that the Coast Guard would do at the onset.” 

Any costs incurred by Coast Guard removal or pollution cleanup would be forwarded to the owner of the tug, he added, and additional civil penalties and fines would be levied. 

One of the reasons cited by municipal, county and state authorities for abdicating responsibility for the tug is that the Donny S. is privately owned. There is no explicit definition of an abandoned vessel under Wisconsin law, according to the National Oceanic and Atmospheric Administration. The state statute regarding abandoned property may suffice, but there is also no formal process for dealing with abandoned vessels, according to an administrative policy review in 2015 by NOAA’s Marine Debris Program. 

“The state is still wrestling with the Baileys Harbor case,” Kamp at the Center for Water Policy said, but the courts can make a determination as to whether the Donny S. is abandoned. Even if it is not abandoned, a government entity could seek an inspection warrant to board the vessel, she said. 

A lack of any clear mandate for government action further complicates the problem of removal, Kamp said. A number of government entities have authority to remove the tug, including municipal, county, state and federal agencies, she explained, but nothing that compels them to do so.

The situation is “a perfect storm” for creating confusion and questions on the part of government entities, she added, as indicated by the town and county government believing the situation is outside of their jurisdiction.

An expensive problem

Even if the jurisdictional and enforcement waters were not murky, removing the tug is no small undertaking, according to those who have already tried and members of the DNR working group. Notes from the group indicate initial estimates from salvage companies are upwards of $1 million. 

Those estimates are ridiculous, according to dock and Ironworks’ owner Cole, and he said he thinks he would be able to remove the tug for much less. 

“No one has asked me though,” he said. 

If the Donny S. does indeed contain lead paint, tanks with residual fuel, and contaminants in the bilge, that makes for a complicated removal, according to commercial fisherman Stuth. In order to scrap it properly in that case, it would need to be cut up on the water, requiring a crane, a barge and mitigation around the vessel to block anything leaching into the water, he speculated. 

Unclear authority over the tug, as well as its uncertain abandonment and hazard status means “no salvage company wants to touch it,” he added. 

Door County Corporation Counsel Donohue also indicated that even if it turns out various authorities have jurisdiction over the tug, or are found legally allowed to remove it, the funding to do so is simply not there. 

There are grants available for marine debris and abandoned or derelict vessel removal. The DNR provided information to Schultz about available grants and indicated he would need municipal or county government cooperation in applying for them, according to notes from the working group meetings. Neither town nor county officials have been contacted by Schultz regarding grant funding at this time. 

Removing stranded vessels should be covered by a statute requiring penalties of the vessel’s owner and compelling them to act, according to Kamp. If the owner is insolvent or there is no appetite for government enforcement, she said, there are other potential funding sources. 

Existing environmental funding streams, like grants, are used up very quickly in Wisconsin, she said. The Center’s policy brief advises giving the legislature authority to create a designated funding program for abandoned vessels, based on what some other states have done. 

However, the Center advises Wisconsin “emphasize ways to not put the taxpayers on the hook for addressing these things,” Kamp said. “Keep the responsible entities (the owners) on the hook.” 

Abandoned vessels statewide

The Donny S. is not the only recently grounded vessel in Wisconsin, but it is by far the largest. The Deep Thought, a Chris-Craft Roamer, became grounded near Bradford Beach in Milwaukee in 2024, after the owners ran out of fuel. The boat was beached for several months, becoming a popular local attraction. In May 2025, Milwaukee County ended up paying for its removal.

In the summer of 2024 another boat, this time a motor yacht named the Sweet Destiny, beached in the St. Croix River, near Hudson, Wis. After months of complaints and fines, the boat was removed through volunteer efforts and donations.  

The 33-foot and the 54-foot pleasure boats were newer and much smaller than the Donny S., with fewer potential environmental issues. 

These cases illustrate gaps in Wisconsin law when it comes to abandoned vessels. The DNR is the lead agency responsible for administering the patchwork of laws that address abandoned vessels, public nuisances and waterway obstruction, according to information from NOAA’s Marine Debris Program. 

Though the Center for Water Policy did not do a broad survey or count of abandoned vessels in the Great Lakes, Kamp said, “the fact we have these examples, and mechanisms to deal with them in other states indicates this is not a one-off problem.” 

Fourteen other states have state-level programs concerning abandoned vessels, including designated funds. Wisconsin lawmakers introduced a bipartisan bill earlier this year that would clearly define abandonment of a vessel, and threaten owners of such vessels with up to nine months of jail time and a fine of $10,000 if they do not remove it within 30 days.  

An anonymous letter sent to local media and the DNR called out State Sen. Andre Jacque and Rep. Joel Kitchens for their perceived lack of response to the Donny S. A hand-painted banner reading  “Jacque and Kitchens are fine with this” hung on the tugboat at one point this fall.

According to local legislators themselves, they are aware of the issue and have had some involvement. Jacque sent a staffer to the first DNR working group meeting, and his office has researched options for removal and funding.

Kitchens was invited to the first meeting in August, but did not attend, as it conflicted with a hearing for Northern Sky Theater’s tax status, he said. 

“We write laws but have no enforcement,” Kitchens said in a phone call on Dec. 3, “We have the least ability to do anything.” 

If there are contaminants on board, Kitchens said it is “certainly up to the DNR to take steps.” 

Ultimately, it is the owner’s responsibility though, he added.   

Sen. Tammy Baldwin is also aware of the situation, according to Alanna Conley, Baldwin’s deputy communications director.

“At this point, according to public statements from the Coast Guard and folks on the ground, this feels like an issue we would support funding for,” Conley said. “The Town of Baileys Harbor could apply for a debris removal grant. Baldwin’s office supports funding.”

While legislators legislate, officials meet and discuss, shoreline property owners complain, tourists take photos, and everyone waits for someone else to act, the Donny S. remains mired in the lakebed and a gray area of accountability. 

The DNR and Coast Guard did not respond to open record requests in time for publication.

‘We can put a man on the moon … but we can’t get a tugboat out of a harbor’: Who will move the abandoned Donny S.? 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.