The new Dodge Charger isn’t available with a V8 engine.
Former Stellantis CEO Carlos Tavares is reportedly to blame for that.
While he’s gone, it sounds like the V8 still won’t return to the Charger.
The Hemi is barely alive over at Stellantis and reports say that Carlos Tavares killed it. Whether or not that’s true, it’s clear that Dodge understands that buyers want a gas-only option. That is why the production of the gas-powered Charger is ahead of schedule. A new report says that even with all the various factors at work, the new Charger isn’t going to end up with a Hemi V8 anytime soon.
As a reminder, those who claim to be familiar with the matter say that now-former CEO Tavares axed the Hemi so that Dodge and Ram could be “greener.” However, he left the company earlier this month. Now, despite some less-than-spectacular reviews of the new Charger Daytona, at least one report indicates that it won’t get a V8.
According to Jalopnik’s Andy Kalmowitz, engineers at Dodge say there are two main problems. First, the Hemi V8 won’t even fit under the hood of the new Charger. While I’m personally all for Dodge selling a Charger with a V8 literally sticking up out of the hood itself, that probably doesn’t meet safety standards.
Evidently, the engineers claim that shoehorning a V8 into the Charger would require moving the cradle and the firewall. That’s unlikely to happen simply based on the cost of re-engineering such pivotal parts. Dodge would have to run new crash tests too on top of everything.
In addition, the engineers claim that going back to the V8 would “fly in the face of what they were trying to accomplish with the car.” To be very clear, the goal was to build the next generation of muscle cars for the modern world. Did Dodge pull that off? The reviews are mixed and there’s still no indication of exactly how customers will adopt the car. In any case, a Stellantis spokesperson responded to the report with the following statement:
“Dodge is focused on launching the all-new, all-new electric Dodge Charger Daytona models, as well as the Dodge Charger SIXPACK ICE-option models coming next year. We have nothing additional to share in regard to potential future products.”
Granted, this neither confirms nor refutes the original report, although, given the engineering hurdles, it’s unlikely that the new Charger will be available with a V8 in the future. At least, for now, the Hemi lives on in cars like the Jeep Wrangler 392 and the Durango that we drove recently, as well as in heavy-duty Ram trucks. Nevertheless, if you insist on having it in a muscle car, there are still plenty V8 Chargers and Challengers sitting at dealers’ lots.
Europe’s 2025 CO2 cap will cut average emissions to 93.6 g/km, forcing automakers to adapt.
Automakers must raise zero-emission vehicle sales from 13% to 20% to meet the EU targets.
Critics argue the EU’s emissions targets are too ambitious, risking industry-wide financial penalties.
Starting in the new year, the European Union will drastically tighten its regulations on automotive carbon dioxide emissions. From January 1, 2025, the EU will enforce a much stricter cap, requiring the average CO2 emissions per kilometer for each new car sold by a manufacturer to not exceed 93.6 grams. This represents a 19% reduction from the current year’s target.
According to consultancy firm Dataforce, under the new emissions measurement system, the 2024 target would equate to 116 g/km using the previous system of calculation.
While the regulation doesn’t prescribe specific methods to achieve this reduction, it effectively forces major car manufacturers to ensure that at least 20% of their sales come from zero-emission electric vehicles. This marks a significant increase from the current average of 13% of all cars sold in the region, according to data from the industry association ACEA. As Reutersreports, manufacturers that fail to meet these targets will face hefty fines.
Automakers Shift Pricing Strategy
In response, automakers have started increasing the prices of their gasoline and diesel vehicles to reduce demand for internal combustion engine models and make EVs more appealing.
“Carmakers have started with their pricing strategy to steer demand towards battery EVs in order to reach the CO2 targets and avoid potential fines,” Beatrix Keim of the Center for Automotive Research told Reuters.
Companies such as Stellantis, VW, and Renault have already increased the prices of ICE models by hundreds of euros in recent months. For instance, all Peugeot models sold in France—except EVs—saw price hikes of up to €500 ($525) last month. According to S&P Global auto analyst Denis Schemoul, these adjustments could also help fund future discounts for EVs.
Affordable EVs On the Horizon
Over the next year, Europe will see the launch of several new and more affordable EV models. These include the Hyundai Inster, Fiat Grande Panda, BYD Seagull, Cupra Raval, Renault R5, Skoda Epiq, and VW ID.2. Other EVs priced below €25,000 (about $26,200 at current exchange rates) are also in development, such as the Renault Twingo, Kia EV2, and VW ID.1.
Mounting Criticism From Automakers
Not everyone is on board with the EU’s tightening regulations. At the Paris Auto Show in October, Luc Chatel, president of the French car lobby PFA, slammed Brussels for what he described as unrealistic emissions targets.
“At some point, enough is enough,” Chatel said. “I can’t sell enough electric vehicles and I’m going to be penalized on my thermal vehicles. What do they want me to make, horse-drawn carriages?”
This year, just 13% of all vehicles sold across the EU have been electric, and many politicians are pushing the region to relax its targets for 2025. If the sector fails to meet its CO2 obligations, fines could soar as high as €15 billion ($15.7 billion). Some automakers have found alternative strategies to avoid fines, such as pooling emissions with other brands. For example, Suzuki will pool emissions with Volvo in 2025, eliminating the risk of penalties.
Despite these efforts, skepticism remains. A source close to one of Europe’s major automakers told Reuters that simply raising ICE prices may not be enough to drive sufficient EV sales, citing weak growth in the EV segment. As the market faces both political and economic pressures, 2025 could be a turning point for the region’s auto industry.
The three plants will have the capacity to produce 120 GWh worth of EV batteries each year.
This loan has been in the works for more than 18 months and was only just approved.
The DOE has also made recent loan commitments to Rivian and Stellantis.
Ford and South Korean battery manufacturer SK On are getting a huge $9.63 billion loan from the U.S. Department of Energy to build three battery manufacturing plants in Tennessee and Kentucky for electric vehicles.
In June 2023, it was initially revealed Ford and SK On would be getting a $9.2 billion loan to help with the construction of three factories. It’s unclear why the loan amount has increased, but it is the largest loan provided by the US government’s Advanced Technology Vehicles Manufacturing program. This program aims to help American firms catch up with industry-leading Chinese battery makers.
The money will be provided to Blue Oval SK, a joint venture operated by the two companies. They’ve already invested over $11 billion in the construction of the three plants. Production at the first of the two plants in Kentucky is scheduled to start in early 2025, while the Tennessee site will be ready to start manufacturing in late 2025.
When all three sites are up and running, they’ll be capable of producing 120 GWh of EV batteries annually.
Speaking with Reuters, Blue Oval SK said it took 18 months for the Department of Energy to complete the loan process due to the time needed to conduct due diligence, including market, credit, financial, legal, and regulatory reviews.
This isn’t the only significant EV loan announced in recent weeks; just before Donald Trump returns to the presidency, the DOE announced a conditional commitment to loan $7.54 billion to the joint venture operated by FCA US and Samsung SDI to establish two lithium-ion battery cell and module manufacturing plants in Kokomo, Indiana. Rivian also recently received approval for a $6.57 billion loan from the DOE, although that loan has come under the microscope of Vivek Ramaswamy, who will lead the new Department of Government Efficiency alongside Elon Musk.
The site has been designed to be completely carbon-neutral.
Stellantis plans to become a carbon net zero corporation by 2038.
Stellantis has inked a joint venture with Chinese battery giant CATL to establish a lithium iron phosphate (LFP) battery plant in Zaragoza, Spain. Up to €4.1 billion (~$4.31 billion) will be invested into the new site, with production scheduled to start by the end of 2026. When fully operational, the facility will have a capacity of up to 50 GWh.
This new plant will be located alongside the existing Stellantis facilities in Zaragoza. Batteries produced there will be used in the group’s battery-electric passenger cars, crossovers, and SUVs competing in the B and C segments. Stellantis has not confirmed which of its models will be the first to use these new locally-made LFP cells, but notes the plant’s capacity is “subject to the evolution of the electrical market in Europe and continued support from authorities in Spain and the European Union.”
“Stellantis is committed to a decarbonized future, embracing all available advanced battery technologies to bring competitive electric vehicle products to our customers,” Stellantis chairman John Elkann said. “This important joint venture with our partner CATL will bring innovative battery production to a manufacturing site that is already a leader in clean and renewable energy, helping drive a 360-degree sustainable approach. I want to thank all stakeholders involved in making today’s announcement a reality, including the Spanish authorities for their continued support.”
The battery plant has been designed to be completely carbon neutral and will be implemented in several phases and investment plans. Stellantis says the site will also help it on its path to becoming a carbon net zero corporation by 2038.
“The joint venture has taken our cooperation with Stellantis to new heights, and I believe our cutting-edge battery technology and outstanding operation knowhow combined with Stellantis’ decades-long experience in running business locally in Zaragoza will ensure a major success story in the industry,” CATL chairman and chief executive Robin Zeng added. “CATL’s goal is to make zero-carbon technology accessible across the globe, and we look forward to cooperating with our partners globally through more innovative cooperation models.”
GM CEO Mary Barra has described the automaker and new president Donald Trump as “very goal-aligned.”
The General Motors chief said both sides want a strong economy and understand automotive jobs are important.
Barra made the comments while acknowledging that Trump’s proposed import tariffs could hit GM’s business hard.
GM head Mary Barra raised a few eyebrows this week when she claimed the automaker and President Donald Trump are “goal-aligned” despite Trump’s plans to introduce tariffs that Barra admits could have a “very substantial” impact on GM’s business.
“I think we’re very goal-aligned,” the CEO told guests at the Automotive Press Association event on Wednesday, before going on to explain just what the two usually opposing sides see eye-to-eye about.
“We want a strong economy. We want a strong manufacturing base in this country. We agree automotive jobs are important,” Detroit Free Press reports Barra saying. But she made no bones about the difficulty GM (and other automakers) face, both in terms of the uncertainty in the short term, and the potential fallout from Trump’s decisions later during his time in office.
“We’ll have to see what the policies will be,” Barra said. “It’s hard for me to predict what will happen. We’re doing a lot of scenario planning, and we’ll adjust accordingly.”
Barra admitted that Trump’s proposal to place a 25 percent tariff on vehicles imported to the US from Mexico and Canada (where GM has production sites) “could have a very substantial impact” on its profitability, as could scrapping the $7,500 EV tax credit.
Although Trump and Barra have sometimes been at loggerheads, and she was the recipient of the president’s anger on social media over GM cost-cutting measures, Barra described her sometime foe as a good listener. GM will be hoping that he’s still willing to listen to what Barra has to say and not listen too intently to the opinions of Tesla boss Elon Musk – soon to be in charge of the much-hyped Department of Government Efficiency.
“Any time you have an administrative change, there’s policy changes that occur,” Barra said, per The Detroit News. “We’ve been working with any every administration for the last several decades, and General Motors will continue to do that. But I’m actually looking forward to working with the president and with the administration, because I think we can grow the importance of the auto industry and manufacturing.”
More than 101,000 EVs were registered in the US in October.
Registrations were up 5 percent on the same month in 2023.
Tesla’s numbers dropped 1.8 percent, but it remains miles ahead.
We’re constantly hearing about an EV downturn and how automakers are changing their electrification strategies because consumers aren’t consuming. And sure, sales of electric cars are down in countries like Germany, but in the US people are still buying EVs, and they’re buying more of them than they did 12 months ago.
EV registrations climbed 5 percent in October versus the same month in 2023, topping out at 101,403, according to data from S&P Global Mobility. And it wasn’t Tesla driving that growth, but legacy automakers.
Chevrolet’s EV sales jumped 38 percent to 6,741 helped by demand for the Blazer and Equinox, while Cadillac Lyriq registrations grew threefold to 2,489 and the Hummer shifted 1,015 electric trucks, four times as many as it did last October.
Like the Equinox, Honda’s Prologue, which is built on the same GM platform and in the same Mexican GM plant, wasn’t available in 2023, but made its presence felt this year. It found 4,168 homes, only 12 fewer than Chevy did of its version. Hyundai’s Ioniq 5 facelift also gave its sales numbers the desired nip and tuck, boosting registrations from 3,555 to 4,485.
Although the overall number of EV sales is up, the rate of growth has slowed and some models registered fewer deliveries than previously. The Ford Mustang Mach-E, for instance, was down from 3,949 to 3,479 according to S&P Global Mobility’s spreadsheet and Rivian R1S sales dropped by more than 500 to 2,456. There are also fears that the EV segment relies heavily on tax credit availability to boost demand, and public interest could wane if Trump pulls the plug on the incentives when he takes office.
BEST SELLING EVs USA
MODEL
OCT-24
OCT-23
Tesla Model Y
21,787
25,220
Tesla Model 3
17,419
16,237
Hyundai Ioniq 5
4,485
3,555
Chevrolet Equinox
4,180
0
Honda Prologue
4,168
0
Tesla Cybertruck
4,041
0
Ford Mustang Mach-E
3,479
3,949
Chevrolet Blazer EV
2,561
167
Cadillac Lyriq
2,489
887
Rivian R1S
2,456
2,961
Total
67,065
52,976
Data: S&P Global Mobility
SWIPE
Tesla’s registration numbers actually fell by 1.8 percent, and if you remove Tesla from the equation, EV sales increased not by 5 percent, but by 11 percent. And this isn’t a blip for Tesla: the automaker’s numbers have fallen in seven of the first 10 months of 2024, Auto News reports, and that’s despite the facelifted Model 3 and Cybertruck being new for this year. While the Model 3 gained ground, the Model Y fell back, sales tumbling from more than 25,000 to under 22,000.
But before anyone gets the idea that Tesla is falling behind in the EV race, we should make clear that it still outperformed the second best-selling brand’s EV models six times over. Or every single brand in the 2nd to 12th spots combined.
Cows in a western Wisconsin dairy farm. (Henry Redman | Wisconsin Examiner)
A Pierce County town of about 600 residents passed an ordinance requiring factory farms to obtain permits before moving into or expanding in the community.
The decision follows a handful of other western Wisconsin communities in passing similar ordinances to limit the proliferation of concentrated animal feeding operations (CAFOs) in the region. Those other communities have faced legal challenges to their ordinances and one rescinded its regulation after a change in elected leadership.
The town of Maiden Rock overlooks the Mississippi River’s Lake Pepin. On Monday, the town’s board unanimously passed the ordinance which will require any proposed CAFOs within the community to obtain a license to operate from the town board. When applying, CAFO operators must have a third-party engineer supply plan for how the farm will manage its waste, emissions and runoff.
Pierce County has seen increased expansion of factory farms this year, with a dairy in the town of Salem announcing plans to expand from 1,700 to 6,500 cows.
Once an application is received, the ordinance requires the board to send a letter to all residents within a three mile radius of the proposed farm informing them of a public hearing. The board will be able to grant or deny the license and if granted, impose conditions on how the CAFO must operate.
The ordinance also requires the CAFO to fund third-party enforcement of the permit conditions.
In the board’s materials about the ordinance, the board highlighted the enforcement mechanisms, noting that state regulations surrounding CAFOs in the state largely rely on self-reporting to the state Department of Natural Resources — a system that has resulted in large manure spills going unreported. The materials also note that a pending lawsuit from the state’s largest business lobby is attempting to strip the DNR of its authority to regulate CAFOs.
The ordinance was drafted by a commission appointed by the board to study CAFOs. At a public hearing on the ordinance, nearly 100 residents attended and all spoke in favor of its passage. The first 23 pages of the ordinance document outline the threats CAFOs can pose to a community’s groundwater, air quality, public health, local agricultural economy and infrastructure.
“Our town is blessed with a stunning mix of farmland, woods and bluffs overlooking the Mississippi River’s Lake Pepin,” a fact sheet about the ordinance states. “Rush River, a Class 1 trout fishing destination, is sustained by cool spring-fed streams. Everyone relies on private wells for human and animal consumption. CAFOs with thousands of animals are proposing to spread thousands of truckloads of waste in the Town. State and county laws have almost no control over these huge facilities. Without an ordinance, their impact on roads, wells, health and the economy are unknown.”
Western Wisconsin advocacy group, Grassroots Organizing Western Wisconsin (GROWW) celebrated the ordinance’s passage, saying it’s a victory for communities standing up to protect themselves.
“I think the town board heard loud and clear that the residents of the town wanted the ordinance,” Danny Akenson, a field organizer for GROWW, said in a statement. “It’s a result of the community banding together and sharing their stories and fears. We’ve heard it all. Landowners have had their land used for manure spreading without permission. Residents have had to call the Sheriff’s Department to escort them out of their own driveway due to heavy truck traffic on country roads. Families have had to live with poisoned water that causes sickness and cancer.”
“We know that one town standing up and protecting themselves isn’t enough,” Akenson continued. “Everyone deserves to have access to clean water and safe roads. Across Wisconsin, whether you’re in Maiden Rock or Milwaukee, corporate greed gets in the way of that dream becoming reality. In 2025, we hope to see even more towns stand up and pass ordinances of their own.”
Several other communities in the region have passed similarly constructed ordinances and have faced opposition from industry groups. The town of Eureka in Polk County is currently fighting a lawsuit against its ordinance. A ruling in that case is expected in early January.
The board’s fact sheet on the ordinance notes that at a state Senate hearing in March, a Wisconsin Farm Bureau representative testified that farm groups want the state government to preempt operations ordinances against CAFOs because state law currently allows them.
Akenson told the Wisconsin Examiner that the ordinances are allowed under the state constitution.
“Maiden Rock’s ordinance is backed up by both Wisconsin’s Constitution and our state statutes. We’re a state that values local control,” he said. “Corporate industry groups show up with lawsuits to try and bury small towns in legal costs and paperwork. Checks and balances threaten their profits and power to consolidate markets, and they hope to scare other communities from taking action.”
“In our view, that’s what’s happening in Eureka right now,” he added. “Despite these threats, more and more towns are taking steps to protect themselves by passing ordinances. People are tired of the intimidation tactics by industry representatives. The people on the ground in Pierce County and all across the state aren’t backing down.”
Elon Musk became the first individual to surpass $400 billion in net worth.
Tesla’s shares have reached an all-time high, adding $556 billion to its market capitalization.
Trump could scrap the $7,500 EV tax credit and ease regulations for self-driving cars.
After aligning himself with Donald Trump and pouring $277 million into his successful 2024 presidential campaign, according to Federal Election Commission filings, Elon Musk has seen his personal wealth skyrocket, while Tesla shares have reached an all-time high. This comes despite Trump’s long-standing opposition to electric vehicles. However, with Musk now in Trump’s ear—and seemingly at every event he hosts—investors are encouraged by the prospect of fewer regulations.
Tesla Shares Surge Following Election
On Thursday, Tesla shares reached as high as $429 before dipping to $419.80 at the time of posting, marking a remarkable 69% rise since the election. This surge has added $556 billion to the company’s market cap, pushing Tesla’s stock price to levels not seen since late 2021—and far above its January 2023 low of $108.10. The uptick is being hailed as the “Trump bump,” with analysts pointing to Musk’s vocal support of Trump as a catalyst for the renewed interest in Tesla.
As Craig Irwin, an analyst at Roth MKM, told CNBC:“Musk’s authentic support for Trump likely doubled Tesla’s pool of enthusiasts and lifted credibility for a demand inflection.”And it’s not just Roth MKM—Goldman Sachs, Bank of America, and Morgan Stanley have also raised their price targets for Tesla in response to the stock’s impressive rally.
Musk’s Growing Influence in Government
In return for his significant backing of Trump’s re-election campaign, Elon Musk will co-lead the newly formed Department of Government Efficiency with fellow billionaire Vivek Ramaswamy. Musk is believed to be advising Trump on which agencies, budget items, and regulations should be trimmed down or eliminated altogether. This influence could pave the way for policy shifts that benefit Musk’s business interests.
Musk has also expressed interest in establishing a federal approval process for autonomous vehicles. As it stands, approvals happen at the state level, but if Musk can leverage Trump’s support to shift this to the federal level, his long-awaited robotaxi, the Cybercab, could see a major boost.
With his newfound influence as Trump’s close ally, Musk’s personal fortune has skyrocketed—up by 77%, for those keeping track. According to the Bloomberg Billionaires Index, his wealth now stands at $447 billion, making him the first person in history to surpass the $400 billion net worth mark. In addition to the surge in Tesla’s stock price, SpaceX and other investors recently purchased $1.25 billion in shares from employees and insiders. This deal has boosted SpaceX’s valuation to $350 billion, adding an estimated $50 billion to Musk’s net worth.
If President-elect Donald Trump follows through on his pledge to deport millions of immigrants, it could upend the economies of states where farming and other food-related industries are crucial — and where labor shortages abound.
Immigrants make up about two-thirds of the nation’s crop farmworkers, according to the U.S. Department of Labor, and roughly 2 in 5 of them are not legally authorized to work in the United States.
Agricultural industries such as meatpacking, dairy farms and poultry and livestock farms also rely heavily on immigrants.
“We have five to six employees that do the work that nobody else will do. We wouldn’t survive without them,” said Bruce Lampman, who owns Lampman Dairy Farm, in Bruneau, Idaho. His farm, which has been in the family three decades, has 350 cows producing some 26,000 pounds of milk a day.
“My business and every agriculture business in the U.S. will be crippled if they want to get rid of everybody who does the work,” said Lampman, adding that his workers are worried about what’s to come.
Anita Alves Pena, a Colorado State University professor of economics who studies immigration, noted that many agricultural employers already can’t find enough laborers. Without farm subsidies or other protections to make up for the loss of immigrant workers, she said, the harm to state economies could be significant.
“Farmers across the country, producers in a lot of different parts, are often talking about labor shortages — and that’s even with the current status quo of having a fairly high percentage of unauthorized individuals in the workforce,” Pena said. “A policy like this, if it was not coupled with something else, would exacerbate that.”
Employers have a hard time hiring enough farm laborers because such workers generally are paid low wages for arduous work.
In addition to hiring immigrant laborers who are in the country illegally, agricultural employers rely on the federal H-2A visa program. H-2A visas usually are for seasonal work, often for about six to 10 months. However, they can be extended for up to three years before a worker must return to their home country.
Employers must pay H-2A workers a state-specific minimum wage and provide no-cost transportation and housing. Still, employers’ applications for H-2A visas have soared in the past 18 years, according to the U.S. Department of Agriculture, a trend reflecting the shortage of U.S.-born laborers willing to do the work. The number of H-2A positions has surged from just over 48,000 in 2005 to more than 378,000 in 2023.
But agricultural employers that operate year-round, such as poultry, dairy and livestock producers, can’t use the seasonal visa to fill gaps, according to the USDA.
My business and every agriculture business in the U.S. will be crippled if they want to get rid of everybody who does the work
– Bruce Lampman, owner of Lampman Dairy Farm in Bruneau, Idaho
Farmers also employ foreign nationals who have “temporary protected status” under a 1990 law that allows immigrants to remain if the U.S. has determined their home countries are unsafe because of violence or other reasons. There are about 1.2 million people in the U.S. under the program or eligible for it, from countries including El Salvador, Ethiopia, Haiti, Honduras, Lebanon and Ukraine. Many have been here for decades, and Trump has threatened to end the program.
Support for the program
Immigration advocates want a pathway for H-2A workers to gain permanent legal status, and agricultural trade organizations are pushing for an expansion of the H-2A program to include year-round operations.
The National Milk Producers Federation says it’s too early to say how it would cope with mass deportations under the Trump administration. But the group states it “strongly supports efforts to pass agriculture labor reform that provides permanent legal status to current workers and their families and gives dairy farmers access to a workable guestworker program.”
Immigrants make up 51% of labor at dairy farms across states, and farms that employ immigrants produce nearly 80% of the nation’s milk supply, according to the organization.
“Foreign workers are important to the success of U.S. dairy, and we will work closely with members of Congress and federal officials to show the importance of foreign workers to the dairy industry and farm communities,” Jaime Castaneda, the group’s executive vice president for policy development and strategy, wrote in an email.
Adam Croissant, the former vice president of research and development at yogurt company Chobani, which has manufacturing plants in Idaho and New York, said he’s seen a lot of misinformation around immigrants’ workforce contributions.
“The dairy industry as a whole understands that without immigrant labor, the dairy industry doesn’t exist. It’s as simple as that,” said Croissant.
Tom Super, a spokesperson for the National Chicken Council, lambasted U.S. immigration policy and said the poultry industry “wants a stable, legal, and permanent workforce.”
“The chicken industry is heavily affected by our nation’s immigration policy or, more pointedly, lack thereof. … The system is broken, and Washington has done nothing to fix it,” Super wrote in an email.
Changes ahead?
But major changes to the H-2A visa program are unlikely to happen before deportations begin. In an interview with NBC News’ “Meet the Press” over the weekend, Trump repeated his promise to start deporting some immigrants almost immediately.
He said he plans to begin with convicted criminals, but would then move to other immigrants. “We’re starting with the criminals, and we’ve got to do it. And then we’re starting with the others, and we’re going to see how it goes.”
Some farmers still hope that Trump’s actions won’t match his rhetoric. But “hoping isn’t a great business plan,” said Rick Naerebout, CEO of the Idaho Dairymen’s Association. “Our ability to feed ourselves as a country is completely jeopardized if you do see the mass deportations.”
If the deportations do happen, agricultural workers will disappear faster than they can be replaced, experts say.
“The H-2A program will not expand instantly to fill the gap. So, that’s going to be a problem,” said Jeffrey Dorfman, a professor of agricultural economics at North Carolina State University who was Georgia’s state economist from 2019 to 2023.
In Georgia, agriculture is an $83.6 billion industry that supports more than 323,000 jobs. It is one of the five states most reliant on the federal H-2A visa program, depending on those workers to fill about 60% of agricultural jobs.
Dorfman argued that even the fear of deportation will have an impact on the workforce.
“When farmworkers hear about ICE [U.S. Immigration and Customs Enforcement] raids on a nearby farm, lots of them disappear. Even the legal ones often disappear for a few days. So, if everybody just gets scared and self-deports, just goes back home, I think that would be the worst disruption,” said Dorfman, adding that even more jobs would need to be filled if the administration revokes temporary protected status.
Antonio De Loera-Brust, communications director for the farmworker labor union United Farm Workers, said the nation’s focus should be on protecting workers, no matter their legal status.
“They deserve a lot better than just not getting deported,” he said. “They deserve better wages, they deserve labor rights, they deserve citizenship.”
And though economists and the agriculture industry have said that mass deportations could raise grocery store prices, De Loera-Brust called that particular argument a sign of “moral weakness.”
“As if the worst thing about hundreds of thousands of people getting separated from their families was going to be that consumers would have to pay more for a bag of strawberries or a bag of baby carrots,” De Loera-Brust said. “There’s a moral gap there.”
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.
Tesla’s Head of Investor Relations, Travis Axelrod, attended Deutsche Bank’s Autonomous Driving Day in New York.
The bank’s report highlighted the launch of a new affordable EV for early 2025, tentatively named “Model Q.”
A stretched, three-row Model Y variant targeting the Chinese market was also mentioned in the report.
The EV world lit up with speculation yesterday after reports emerged from China stating that Tesla, and specifically its Head of Investor Relations, Travis Axelrod, had confirmed plans for a new lower-cost EV set to debut next year during a Deutsche Bank meeting in NYC on Monday.
Predictably, the rumor mill began grinding away. To separate fact from fiction, we obtained a copy of Deutsche Bank’s report summarizing the meeting. While the report offers some clarity on Tesla’s ambitions, it stops short of providing concrete details, leaving plenty of room for speculation about what’s to come.
According to the Deutsche Bank report, Axelrod participated in the bank’s Autonomous Driving Day in New York, where discussions centered around Tesla’s Full Self-Driving (FSD) technology, robotaxi development, and the Optimus humanoid robot. Somewhere in this high-tech mix, Tesla’s product plans for 2025 emerged, though the details were far from comprehensive.
Product Roadmap
The Deutsche Bank report offers a broad overview of the meeting, albeit without attributing direct quotes to Axelrod. However, the context strongly suggests that the new lower-cost model was a key topic of discussion. If true, this marks a significant shift in Tesla’s product strategy for the coming years.
The report outlines Tesla’s strategy to unveil several new vehicles in 2025:
New models and 2025 volume growth
A new, entry-level EV referred to as “Model Q” is set to launch in the first half of 2025. It will reportedly be priced under $30K with subsidies (or $37,499 without).
In the second half of 2025, Tesla is expected to release additional models aimed at expanding its total addressable market (TAM). One of these is believed to be a 3-row, longer-wheelbase Model Y variant, likely exclusive to China.
Tesla plans to build all new models on existing production lines, emphasizing efficient use of capacity to achieve its targeted 20–30% volume growth in 2025.
While management remains confident in scaling up the China supply chain, the high end of Tesla’s volume target will require flawless execution, particularly in North America.
The company’s plans for its Mexico plant remain dependent on geopolitical developments and tariff policies under the new Trump administration.
Now, let’s dissect the key points regarding the model presentations. Arguably, the most noteworthy aspect here is the introduction of a more affordable model, tentatively named “Model Q” by Deutsche Bank rather than Axelrod himself. Notably, the report made no mention of specifications or the rumored “Redwood” codename circulating online.
Elon Musk has been skeptical of low-cost models in the past, not out of dislike, but because of the significant challenges in achieving profitability, maintaining quality, and overcoming high development and production costs.
Back in October, during an investor call, he stated, “Having a regular (aka driveable) $25K model is pointless. It’d be silly.” That said, the projected $30K price point for the Model Q doesn’t contradict Musk’s remarks. If anything, it suggests Tesla is threading the needle by offering a lower price point without completely compromising its profitability.
Currently, Tesla’s least expensive vehicle in North America is the RWD, single-motor Model 3, priced at $34,990 with the $7,500 federal tax credit (or $42,490 without). This makes the introduction of a sub-$30K Tesla a significant move – assuming it’s more than just a smaller, stripped-down version of the Model 3.
What Form Could The Model Q Take?
If the Model Q materializes, it begs the question: will it be an entirely new, compact offering or a derivative of existing models like the Model 3 or Y? Perhaps it could take shape as a smaller hatchback with crossover-like proportions, as shown in our rendering. A more far-fetched, albeit intriguing, possibility might involve a driveable version of the Cybercab. But I digress. It’s anyone’s guess at this point, but the report points to a reveal in the first half of 2025, meaning we won’t have to wait long for answers.
The Deutsche Bank report also confirms recent rumors from China about a stretched, three-row version of the Model Y. This longer-wheelbase variant is designed specifically for Chinese buyers and is expected to build upon the refreshed Model Y, codenamed “Juniper,” which is set to debut next year. The addition is logical in a market where larger/longer family vehicles are highly appealing, enabling Tesla to better compete with local rivals.
What Else Is Coming?
As for the “other new models” mentioned in the report, details remain vague. However, Tesla’s focus on expanding its Total Addressable Market (TAM) indicates the company is aiming to capture new customer segments – whether through pricing strategies, diverse body styles, or regional exclusivity.
Additional points in the report highlight Tesla’s confidence in scaling its supply chain, particularly in China, while also emphasizing the challenge of flawless execution in North America. Regarding Tesla’s much-discussed Mexico plant, its future hinges on geopolitical factors and tariff policies under the new Trump administration, which is an unpredictable variable, to say the least.
A Critical Year Ahead
While the Deutsche Bank document offers an intriguing glimpse into Tesla’s roadmap, it stops short of providing concrete details. What we do know is that 2025 is shaping up to be a pivotal year for the EV maker, with affordability and versatility taking center stage.
Looming over all of this, however, is the potential for a seismic shift in America’s EV policy. If the upcoming Trump administration scraps the $7,500 federal tax credit – arguably the key driver of EV sales – Tesla and the broader industry could face serious headwinds. Germany serves as a cautionary tale; after subsidies were cut in December 2023, Tesla’s sales there plummeted by over 43% this year.
Obviously, the stakes couldn’t be higher. Yet, as always with Tesla, the answers remain as unpredictable as the company itself.
Puts and takes for 2025 margins
Tesla explained that 2025 will be a year of product launches, and whenever that happens, there will be disruption to profitability as it will be in the early days of building a product and have more inefficient fixed cost absorption.
But this could be offset by a lower cost of goods sold from the more affordable products.
2025 margins will also hinge upon where ASP (Average Selling Prices) lands based on the demand curve.
The main goal is to focus on growing volume and garnering incremental gross profit (as opposed to targeting a certain gross margin %), delivering at least overall FCF (Free Cash Flow) breakeven. The auto business is basically funding more ambitious future projects.
A new public-private partnership has led to the development of a common framework for a universal Plug & Charge capability.
This means future EVs and charging stations will be able to talk to one another and seamlessly process payment information without having to worry about apps and log-ins.
The new capability is expected to become operational next year, although it might take some time to roll out.
The early days of electrification weren’t for the faint of heart as there were three competing standards, limited charging infrastructure, and a hodgepodge of proprietary apps and accounts. Things have changed significantly since those dark days as the industry has coalesced around the North American Charging Standard, while Plug & Charge technology has become more common.
The latter is now getting supercharged in what the government called a “shining example of public-private partnership.” The Joint Office of Energy and Transportation as well as SAE’s Electric Vehicle Public Key Infrastructure Consortium announced a new common framework for a universal Plug & Charge capability.
This promises to be a game changer as “vehicles, chargers and charging networks all will be able to talk to each other for the first time, advancing the industry toward a universal solution so every driver can plug in and start charging at any public station in the future.”
That would make charging far more convenient as some vehicles only support a Plug & Charge capability at certain partner stations. So, if you stopped at an unsupported station, you’d have to jump through hoops to start the charging process.
As the government explained, the new framework allows for seamless payment processing and this means drivers won’t have to juggle with multiple apps or payment methods. Users can also expect greater security and convenience as well as the possibility for “transformative innovations.”
The Joint Office of Energy and Transportation didn’t elaborate much on the latter but mentioned vehicle-to-grid integrations and bidirectional energy flows. While that’s not much to go on, it’s not hard to read between the lines and envision a future where utility companies could potentially use the framework to pay you for drawing energy from your vehicle.
Gabe Klein, Executive Director of the Joint Office of Energy and Transportation, said “We are rapidly approaching a future where every EV driver can just plug in, charge up, and go; the network will talk to your car and process the payment seamlessly. This is a fundamental step … toward enabling bidirectional charging and true vehicle-to-grid integration, the holy grail for energy and transportation.”
EV subsidies in Europe are being reduced, threatening growth in key electric car markets.
The French government’s EV subsidy budget has been slashed from €1.5B to €1B
Spain is considering cuts, while Germany has already reduced subsidies.
Electric vehicles may be gaining popularity worldwide, but the path to mass adoption remains challenging. In Europe, where EV incentives have historically fueled sales, several countries are planning to scale back or overhaul their subsidy programs in 2025, a shift that could hinder growth in one of the key markets for electrification.
France is leading the charge with some of the most significant changes. As part of its 2025 national budget, the government is slashing its EV subsidy program’s budget from €1.5 billion to €1 billion. Currently, French buyers can receive between €4,000 (around $4,200 at current exchange rates) and €7,000 ($7,300) in subsidies for EVs priced under €47,500 ($49,900). In 2025, those subsidies will be cut nearly in half, dropping to between €2,000 ($2,100) and €4,000 (~$4,200).
Leasing Scheme Changes Hit Low-Income Families
The country is also dialing back its innovative EV leasing program. This scheme, which allows low-income households to lease a small EV for €100 ($105) per month or a larger family electric car for €150 ($157) per month, proved so popular that it had to be paused just two months after launching due to overwhelming demand. In 2024, the program received €650 million ($682 million) in funding, but next year, the budget will be slashed to €300 million ($315 million), according to Rho Motion.
Meanwhile, Spain is making changes to its EV incentive scheme, which has had a €1.55 billion ($1.62 billion) budget. Buyers currently receive up to €7,000 ($7,300) for electric cars, €9,000 ($9,400) for commercial EVs, and additional subsidies for motorcycles and scooters. Starting next year, Spain will introduce direct payments for these incentives, meaning customers will no longer face delays of up to two years to access their subsidies. While this change will streamline the process, details on the program’s overall budget and scope remain under wraps.
Subsidy Cuts Already Hitting Germany Hard
The ripple effects of cutting EV incentives are already being felt. Germany, one of Europe’s largest EV markets, experienced a steep decline in sales after its government slashed subsidies in December 2023. EV sales in the country plummeted 69% in August compared to the previous year, following drops of 37% in July and 16% in June.
The same report from Rho Motion notes that battery electric vehicles (BEVs) are still, on average, 75% more expensive than their internal combustion engine (ICE) counterparts. Subsidies and tax incentives remain critical tools for driving EV adoption and making them accessible to more consumers.
As Europe scales back financial support for EVs, the industry may face an uphill battle to maintain its current momentum.
Vivek Ramaswamy is set to co-lead the Department of Governmental Efficiency with Elon Musk.
Ramaswamy recently posted that the DOGE will scrutinize several actions by the Biden administration.
One could be the $6.6 billion loan from the federal government to Rivian for a plant in Georgia.
Tesla’s billionaire CEO Elon Musk and former Republican presidential candidate Vivek Ramaswamy have been tapped by President-elect Donald Trump to head the so-called “Department of Government Efficiency,” or DOGE for short. If it rings a bell, that’s because DOGE is a backronym referencing the Doge meme and Dogecoin cryptocurrency, both famously associated with Musk.
While it won’t function as an executive department, DOGE will be an advisory body expected to have significant influence on federal spending and operations. That’ll supposedly happen sometime after Trump takes office in January. When it does, it seems that Ramaswamy plans to investigate a big government loan to Rivian for a factory in Georgia. That’s only one of several programs now coming under scrutiny.
Rivian’s Georgia Factory Loan Under the Microscope
Rivian announced plans to build the factory back in 2021. Since then, it’s faced several roadblocks including opposition from some neighbors. In May of this year, it delayed plans for the plant after initially saying it would begin construction in 2024. Then, in October it said it was seeking a loan to start the work. In November, the Biden administration approved a $6.6 billion dollar loan to the automaker.
Notably, the loan comes from the Department of Energy, which provides financing to all sorts of private businesses. One of its mandates is to promote technological innovation and no doubt, this is the type of loan that could do that. Certainly, it also spurs on the creation of jobs and cleaner energy. That doesn’t mean that the deal doesn’t warrant scrutiny though.
“Biden is forking over $6.6B to EV-maker Rivian to build a Georgia plant they’ve already halted. One ‘justification’ is the 7,500 jobs it creates, but that implies a cost of $880k/job which is insane. This smells more like a political shot across the bow at @elonmusk & @Tesla,” Ramaswamy said in a post on X.
Biden is forking over $6.6B to EV-maker Rivian to build a Georgia plant they’ve already halted. One “justification” is the 7,500 jobs it creates, but that implies a cost of $880k/job which is insane. This smells more like a political shot across the bow at @elonmusk & @Tesla. https://t.co/YYLW3fk1jX
The politician went on to say, in a separate post, that “We are acutely aware of the reality that the outgoing Biden administration is pushing out $$ and proposing new regulations at a fast pace to get ahead of Jan 20. All midnight-hour expenditures & new regulations will get special scrutiny and should be rescinded where appropriate.”
Tesla’s Past Loan and Musk’s Potential Role
How much power and influence Musk will hold over any investigation of other EV brands is unknown at this time. It’s worth noting that Tesla also accepted a federal loan in 2010. The amount of that loan was $465 million and the brand paid it back almost ten years ahead of schedule.
Typically, government loans for large production facilities like this can result in positive outcomes. As Fortune points out in its coverage, plants like this tend to bring other economic boosts to an area as tier I and II suppliers move in to fill the need of the automaker. If Rivian can post a profit in the fourth quarter, it could make this new loan look more lucrative to everyone involved.
We are acutely aware of the reality that the outgoing Biden administration is pushing out $$ and proposing new regulations at a fast pace to get ahead of Jan 20. All midnight-hour expenditures & new regulations will get special scrutiny and should be rescinded where appropriate.
Genesis intends on making its Magma performance brand really special.
Product planning head Ash Corson referenced Bugatti and GMA in his interview with Carscoops.
He also confirmed that the G70 sports sedan is integral to the brand.
Genesis is in the midst of a critical phase. The Korean luxury arm of Hyundai is gaining market share while focusing on improving the customer experience and introducing new models. After the launch of the updated GV70, we caught up with Ash Corson, Director of Genesis Product Planning.
Corson has an extensive background, having helped grow and launch 11 product lines in previous roles. He played a key role in launching Lexus’s F Sport brand and later joined Hyundai, where he worked on mobility and connectivity. Late last year, he took over product planning for Genesis. At the LA Auto Show, we had a chance to sit down and pick his brain about the future of the brand.
Unique Approach To Electric Performance
First, we asked Corson how Genesis would differentiate itself regarding electric performance. For example, the Hyundai Ioniq 5 N is widely considered one of the very best electric performance cars in the marker right now. It rightfully gained that notoriety with a mix of blistering performance and fun engaging features. How does Genesis expand on that theme without copying it too much?
“The I5N is one of the groups best products. There’s a reason that it continues to rack up awards including the engagement, the fun-to-drive aspect. I think that’s really where it excels. When we talk about Genesis and Magma, it’s a different beast. The origins of Magma go back to Korea where it’s literally volcanic”, he explained.
“There’s this underlying immense power beneath the surface. It’s really again performance art. I think is a great way, in my opinion, to think of the directional positioning of what that will look like. How it sounds, how it feels the type, you know, the tactile nature of some of the controls but the precision too,” Corson continued.
“You look at Gordon Murray with his T50 and that precision there or Bugatti with their watch faces. There are lots of great things going on in the industry but the common route I think is engagement. I think the Genesis Magma will really again evoke the emotion at the product level in a deeper way than what’s out there right now.”
Authenticity In The Genesis Magma Lineup
Considering that Magma is evidently going to be a trim that could end up on many models, we wondered how Genesis would keep it from getting too watered down. Notably, Corson spent a long time at Lexus helping to develop the F performance brand. Today, one could say that Lexus uses F-Sport a little too liberally. Genesis wants to stand out by making its Magma lineup authentic.
“Our announcement that we’re going racing at Le Mans is a sign of authenticity. You really have to make sure you’re authentic and have credibility in terms of what you are presenting to the customer. The GV60 Magma has that credibility. It crushed the Goodwood Hill Climb, and it will be an award-winning product too. Our intent is not to just milk this for merchandising. If we deliver the sensations we often talk about… touch, sight, sound, scent, then by nature we can’t dilute it.”
G70 Future: A Key To Genesis’ Legacy
Finally, we asked about the G70. It’s the way that many younger buyers find the Genesis brand. That said, it’s an obvious candidate for the Magma treatment. Corson already disclosed that Genesis sees Magma as a trim that could extend to all models but we wanted more confirmation about the future of G70. While he didn’t say exactly what that looks like, it’s clear that Genesis isn’t forgetting about its sports sedan.
“It’s our Gateway product. It’s our youngest product and in my opinion quite strategically important to get those enthusiasts’ advocates. So, it’s something at the platform level that my team discusses, you know, globally every day including this week,” said Corson.
“So it’s something that our market is the biggest for. There are other markets that aren’t really selling the G70 in their lineups. That being said, you know, it’s an obvious space for Magma, for example. So I can’t comment on the, you know, detail on that product space because it’s an active one but it’s something that we think about very, uh, intently.”
Looking Ahead For Genesis’ Sports Sedan
Hopefully, that will lead to another generation in the not-too-distant future. Every major luxury brand Genesis is targeting has a high-quality gas-powered sports sedan. Keeping the G70 is just one more way the automaker can demonstrate that authenticity. We’ll continue to be on the lookout for developments in line with these new statements.
Tesla’s Fleet API pricing, set to launch in 2025, will significantly impact developers.
Put simply, it costs a lot for those who make third-party applications with the API.
Some applications can continue running without the API but others will die off.
Tesla has now announced public pricing for its Fleet API, set to go live in January 2025. From that point, application developers will need to start paying for access. One developer has claimed the new pricing structure could cost him tens of millions, while others have found workarounds—for now.
The Fleet API is a tool for third-party developers. It enables them to create software applications that directly interface with Tesla vehicles. Then, they can provide new or novel functionality to owners.
The company explains that each account will receive a $10 monthly discount, which will cover the cost of creating useful automations for a few vehicles. For instance, this can cover data streaming, 100 commands, and 2 wakes per day for two vehicles. That sounds fine for an individual owner. What happens if you run a business with thousands of calls for data per month?
$60 Million Bill?
One Reddit poster specifically said that it would cost him some $60 million a year to keep his app going under this pricing. He even broke down the pricing.
“Every 30 seconds when the car is awake and busy (driving, charging, Sentry Mode, etc.) Assuming someone leaves Sentry on (common) and the car stays busy, and there are 43,829 minutes in a month, that’s 87,658 calls per month. At $1 per 500 requests, that’s $175 for one month for one vehicle – not counting wakes or commands.
In the worst case, where all vehicles are subscribed and all vehicles have Sentry on, it’s actually 470,000 vehicles * $175 = $82,250,000 per month or $987,000,000 per year. Plus wakes and commands. Might put it over a billion dollars a year?”
How will popular apps like S3XY Buttons end up being affected? Well, in a separate Reddit thread they explain that like many other apps, they don’t even use the API now. So in their case, they won’t see functionality change. The team there laid it out simply. “We are getting our data straight from the source, but those who use the Cloud API will be affected.”
Essentially, the future for many third-party Tesla apps is in flux. Some will continue, others won’t, and the only way that more survive is if Tesla cuts pricing.
Volkswagen and China’s SAIC have signed a deal extending their partnership to 2040.
The pair announced their recommitment to the joint venture 40 years after teaming up.
SAIC Volkswagen plans to introduce 18 EVs and PHEVs to the Chinese market by 2030.
These days almost every major automaker has a tie-up with a partner firm in China, but it was Volkswagen that blazed the trail, joining forces with domestic company SAIC four decades ago. And this week, on the 40th anniversary of that original deal, the pair have signed up to extend their joint venture to 2040.
Controversial Xinjiang Plant Sale
At the same time, VW announced the sale of its Urumqi car plant in Xinjiang province, a region that has been under intense scrutiny due to alleged human rights violations. Owned by the VW-SAIC joint venture, the duo finally agreed to sell their controversial Xinjiang plant to Shanghai Motor Vehicle Inspection Certification (SMVIC), Reuters says.
The manufacturing plant gained notoriety because the region has been the location of human rights abuses of the Uyghur people, a predominantly Muslim ethnic group in Xinjiang, though VW’s own audit claimed to have found no evidence of forced labor at the plant. It’s worth noting that the factory, which opened in 2013, has lost its relevance in recent years, now employing just 200 people for final checks and deliveries. Once capable of producing 50,000 cars annually, it hasn’t turned out a single vehicle since 2019.
Extended Agreement and Future Plans
The current agreement between VW and SAIC doesn’t expire until 2030,but the automakers opted to extend it now due to the “multi-year planning cycles of new products,” and boy do they have a ton of those new products in the pipes.
SAIC Volkswagen is on target to introduce 18 new models, 15 of them specifically for the Chinese market. Six of the 18 are EVs, with two of those due to arrive in 2026 using the newly locally developed “Compact Main Platform” (CMP) and zonal electric architecture.
Chinese customers have switched on to EVs at a much faster rate than their counterparts in Europe and North America, but that doesn’t mean SAIC Volkswagen is going to ignore combustion tech. Arriving in 2026, the same year as the two EVs, are three plug-in hybrid models and two range-extender EVs.
“China is a driver of innovation for autonomous driving and electric mobility,” said Ralf Brandstätter, VW’s top man in the country. “With the new agreement, we are intensifying our integration into the Chinese ecosystem and consistently leveraging local innovation strength. This also creates a strategic competitive advantage for the Volkswagen Group worldwide.”
Sales Struggles in China
VW, like many western Automakers, has been struggling recently with falling sales in China. Having previously lapped up offerings from brands like VW, Porsche, BMW and Mercedes, Chinese buyers are increasingly choosing cars from rapidly improving domestic brands selling cars at prices European companies struggle to match. Before the pandemic German brands accounted for 25 percent of cars sold in China, but now they make up only 15 percent, Bloomberg reported last month.
The British government has indicated it will rethink an EV mandate that automakers say is totally unworkable.
Business and Trade Secretary Jonathan Reynolds told auto industry bigwigs he would consult them on changes.
This week Stellantis said it will shutter the 119-year-old Vauxhall plant in Luton, having previously warned that the EV mandate could lead to closures.
Automakers have already responded to the underperforming EV market by modifying their electrification plans, and finally the UK government appears to be ready to make some changes of its own. Britain’s business secretary told auto industry execs last night that he would consult them on changes to an EV mandate that automakers claim is totally unworkable.
As part of the country’s stepped push to phase out combustion engines by 2030, UK lawmakers introduced tough EV sales quotas, demanding that 22 percent of cars and 10 percent of all vans sold this year be fully electric. Automakers have achieved that feat in only one month during 2024 because not enough buyers want electric cars, a situation not helped by the UK’s decision to phase out EV grants in 2022.
Failure to meet the targets will land companies with huge fines of £15,000 ($19,000) for every car sold beyond the allowed ratio, so some have opted to artificially restrict the availability of combustion vehicles and spend money subsidizing electric cars by offering discounts. And things are only going to get tougher according to the current plan, with the EV quota rising to 28 percent for cars in 2025 and 80 percent in 2030.
“The transport secretary and I have heard you loud and clear on the need for support to make this transition a success,” Bloomberg reports Business and Trade Secretary Jonathan Reynolds telling guests at a Society of Motor Manufacturers and Traders (SMMT) dinner on Tuesday.
“We’ll be consulting with you on changes to the ZEV mandate and inviting your views on options for a better way forward,” he added, but claimed the new British government was determined to stick to the 2030 combustion ban plan in which hybrids would live on for five additional years.
Stellantis this week announced it is shutting down its 119-year-old Vauxhall plant at Luton, north of London, having previously warned that the EV mandate and post-Brexit tariffs on UK-EU trade could lead to plant closures. And last week Ford said it was axing 4,000 jobs in Europe, including 800 in the UK.
“This industry is facing a greater set of challenges today than at any point in the last 50 years,” Reynolds conceded at the SMMT bash.
Tesla claimed Rivian poached employees and stole trade secrets related to its battery technology.
Details about the conditional agreement have not been publicized.
The VW Group recently announced a huge $5.8 billion investment into Rivian.
Tesla will settle its lawsuit against Rivian after previously claiming its rival had poached employees and had stolen trade secrets.
The world’s leading EV maker first came after Rivian in mid-2020, claiming that its former employees hired by Rivian were stealing trade secrets alongside confidential and proprietary information, even adding that Rivian had encouraged these thefts despite existing confidentiality obligations of Tesla employees. Tesla then expanded the lawsuit 18 months later, asserting that Rivian had actively stolen trade secrets related to its battery technology.
Rivian has always denied Tesla’s claims. Late last week, Tesla informed the court that it had reached a conditional agreement with Rivian and expects the lawsuit to be dismissed by December 24. Bloomberg notes that no details about the settlement have been made public.
Rivian attempted to have the lawsuit dismissed shortly after it was filed, claiming that Tesla was trying to shut down competition in the EV market. With the lawsuit now behind it, the company will be able to better focus on its future growth plans.
One of the EV startup’s most important new pursuits is its joint venture with the Volkswagen Group. The German giant is investing $5.8 billion in Rivian to develop a new electrical architecture and software stack to be used on future models from both brands. These new technologies will be based on Rivian’s existing systems and could debut on the new Rivian R2 in 2026 before arriving in a VW-branded vehicle in 2027. Future models from VW, Audi, Porsche, and Scout brands will also use the same technology.
Rivian also needs to focus on increasing production. At the start of 2024, it expected to end the year having produced 57,000 vehicles, the same number it achieved in 2023. However, it updated its guidance in October and now expects to wrap up 2024, having delivered between 50,500 and 52,000 vehicles to customers.
Cupra has begun preliminary talks with the Penske dealer group about launching in America.
The sporty VW-owned brand wants to be on sale in key US states before the end of the decade.
Cupra is expected to offer ICE, PHEV, and fully electric powertrains in next-generation SUVs and crossovers.
Cupra’s dream of launching in the US just came a little closer with the news that the VW-owned Spanish brand has opened first-stage talks with the Penske dealer group.
Though no concrete deal has been announced, the fact that Cupra is even talking about the two companies getting around a table indicates discussions are probably more advanced than it’s letting on. No detailed timeframe was given for Cupra’s US debut but the automaker reiterated its previous stance, saying it was targeting an American debut by the end of the decade.
But that debut will see the brand appear “in key states aligned with the brand,” rather than nationwide. Penske Automotive already has a solid relationship with the Volkswagen Group so it makes for an obvious choice to help Cupra get a foothold in a market where 99 percent of drivers have never heard of it.
“Cupra’s ambition is to be a truly global brand and expanding into the United States represents one of the greatest milestones on our journey,” said the automaker’s CEO, Wayne Griffiths. “We have great respect for the U.S. market, recognizing that a strong distribution and retail strategy is essential for success.”
Cupra is expected to bring combustion, plug-in hybrid, and fully electric models to North America, though the cars themselves will be a generation on from the vehicles currently sold in European and Australian dealerships.
In March of this year, Griffiths confirmed that Cupra would kick off its American adventure with an electric version of the next Formentor crossover and also a bigger electric crossover SUV, that second model slated for production at VW facilities “in the North American region, including Mexico.”
There was no mention of non-EV powertrains back then, but it’s no surprise that Cupra is now talking about models with ICE elements given the American public’s disinterest in pure battery cars so far. Building an SUV in Mexico also looks potentially problematic now that Donald Trump – who has vowed to apply high tariffs on Mexico-built cars – won the election.
Only 100 of Tesla’s 2,500 US Superchargers have been reportedly adapted to make them usable by other brands’ EVs.
Tesla has been slow to fit its chargers with the Magic Dock that allows cars without a Tesla port to juice up next to Model 3s and Ys.
Some automakers offer adapters, enabling them to use Superchargers and many have pledged to switch to Tesla ports on EVs built from 2025.
Two years after Tesla promised to open up its charging network to other brands’ EVs, many of those non-Tesla electric cars are still unable to top-up at one of the instantly recognizable red and white Supercharger stations, according to a new report. Just 4 percent of chargers have had the necessary upgrade.
Tesla offered other automakers the opportunity to switch to its proprietary charging port design in 2022, a move that presented a significant engineering and manufacturing challenge for those other brands, but one they’ve now met. Many EVs sold in America from next year will have the new NACS (North American Charging Standard) port.
But soon after offering that initial olive branch, Tesla also agreed to modify its chargers so that the thousands of EVs already on the road and not fitted with Tesla-compatible ports could take advantage of the large Supercharger network. A “Magic Dock” retrofitted to each charger would enable an electric vehicle from the likes of Ford, GM, or Hyundai to park up next to a Model 3 and enjoy rapid charging.
But as of late 2024, only around 100 of Tesla’s circa 2,500 Supercharger stations in the US are outfitted with the Magic Dock, an investigation by Bloomberg Green discovered. The distribution of the Magic Docks that have been deployed is also wildly uneven. Florida has just one adapted charger and even EV-loving California only gets five. Texas, however, has 20.
The rollout of some automakers’ own adapters has reportedly been slow because those brands have needed Tesla’s assistance to create the hardware at a time when Tesla has slimmed down its Supercharger team. Ford became so frustrated with Tesla’s pace of development that it built its own adapter and offers the connectors free-of-charge to its EV buyers. GM on the other hand is charging $225 and insists drivers initiate and pay for charging using its own app.
There’s one group of drivers who are quite happy about Tesla’s tardiness in making its charging network available to other brands, and its Tesla owners. Their satisfaction with charging experiences has dropped since other brands gained some access to their turf, and that’s only going to get worse when NACS goes mainstream in 2025.
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