AD #3314 – GM Ties Executive Pay to EVs; Truck Drivers Mad At Speed Limiters; Russian Gas Threatens German Autos

April 29th, 2022 at 11:52am

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Listen to “AD #3314 – GM Ties Executive Pay to EVs; Truck Drivers Mad At Speed Limiters; Russian Gas Threatens German Autos” on Spreaker.

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Runtime: 10:43

0:08 Russian Gas Threatens German Autos
1:14 U.S. Post Office Sued Over New Truck
1:46 GM Ties Executive Pay to EVs
3:02 Mercedes Unleashes 10 EVs
4:10 Tata’s Stunning AVINYA Concept
5:09 Truck Drivers Mad at Speed Limiters
6:46 Viewers Weigh in On Mach-E Experience

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27 Comments to “AD #3314 – GM Ties Executive Pay to EVs; Truck Drivers Mad At Speed Limiters; Russian Gas Threatens German Autos”

  1. Kit Gerhart Says:

    It appears that there are a lot of Mach-E drivers here, considering the small sales figures, so far.

    Speaking of which, Sean or John, do you know why the production volume of only 2-3K a month is so low? Are there major parts shortages, or is the factory only capable of that low volume, at least so far? There is a lot of demand for the vehicle.

  2. Buzzerd Says:

    Ontario mandated the speed limiters for trucks years ago. I haven’t heard if it’s made any difference in safety. In Europe vehicles pulling trailers have lower speed limits in many countries but distance travelled is also a lot shorter.

  3. John McElroy Says:

    #1. Kit, You’re only looking at US sales of the Mach E. Last year Ford sold about 64,000 Mach E’s globally, mostly in the US and EU. That’s about 5,300 a month. Ford plans to ramp up production this year to 100,000, including the ones it makes in China. And it plans to take that to 200,000 in 2023.

  4. Kit Gerhart Says:

    3 Thanks for info. Yeah, I should have known a lot of Mach-Es are sold in the EU. It sounds like they plan to ramp up production a lot.

  5. GM Veteran Says:

    I wonder if there are stats available on the number of big truck accidents that are caused by car/crossover/pickup/SUV drivers? I know truck drivers have complained for many years about being cut off by auto drivers as a major cause of accidents and near-misses. Bigger variation in the speeds between the trucks and other vehicles may increase the chances of this happening.

    Better driver training and testing would also help. Most drivers have no idea of the capabilities of big trucks or the physics at play.

  6. Kit Gerhart Says:

    5 Yeah, I’d think a bigger speed differential of traffic could cause more crashes.

    Also, if trucks had speed limiters, I’d think there would be more cases of very annoying “turtle races” where a truck takes about 3 miles to overtake another truck going 1/4 mph slower.

  7. Kit Gerhart Says:

    5 There was a pickup truck/tank truck crash near here a few years ago that killed two people, and destroyed a bridge, shutting down the westbound lanes of a major road for a month. Apparently the 19 year old driver of the pickup drifted into the big truck, causing it to go out of control and overturn, resulting in a huge fire. Texting while driving, perhaps?

  8. Alex Borenstein Says:

    The Germans need to stop taking Russian oil. The rest of us NATO members are not keen on paying to protect, and then protecting, the Germans from the very source that is providing their oil.

  9. Kit Gerhart Says:

    8 There should be alternatives for oil, but the natural gas might be tough. The US produces a lot, but liquifying it and transporting by ship is not nearly as straightforward as getting it from Russia by pipeline.

  10. Alex Borenstein Says:

    9 I disagree

  11. Kit Gerhart Says:

    10 What do you disagree about? Are you saying that liquifying and transporting huge amounts of LNG is simple, or that there are no alternative sources of oil?

  12. Wim van Acker Says:

    @10: you disagree. Based on what?

    The reality: the landed cost in Western Europe of U.S. compressed natural gas is three times higher than the landed cost of natural gas supplied by pipeline from Russia. Western Europe cannot simply change over.

  13. Wim van Acker Says:

    @11: apart from a 3X cost LNG from the U.S. also comes with an enormous safety risk: LNG ships are potential targets for terrorist attacks with huge explosions. Russia has a vested interest in making LNG supply inviable, so may incentivize terrorist attacks. The safety aspect adds to the Western European dilemma.

  14. Kit Gerhart Says:

    12,13 Thanks for the details. Yes, there are no easy solutions.

  15. Wim van Acker Says:

    @14 I fully agree with you. Germany has believed Russia when it assured it would be a reliable gas supplier during good and bad times. It has also decided to shut down its nuclear power plants.

    I believe Russia will continue to supply, because it needs the income and cannot pipe it somewhere else until new eastbound pipelines are built. They may threaten shutting down Western Europe, they may do it for a few days or weeks, but they need Western Europe as much as Western Europe needs them. Western Europe may threaten to not buy from Russia and they may do it for a few days or weeks, but will have to resume.

  16. Kit Gerhart Says:

    Unfortunately, Western Europe needs the gas from Russia, even as Russia commits what are probably the worst atrocities since Nazi Germany.

  17. Alex Borenstein Says:

    16 you stated it succinctly yourself as to why it is no longer tenable for Germany to continue purchasing LNG from Russia, no matter the excuse. Furthermore, I do not accept unsubstantiated assertions on here as to LNG cost or availability. Feel free to link-away as I am sure you furiously will. But, in the end, they are just excuses.

  18. Kit Gerhart Says:

    17 Huh? Germany gets pipeline gas, not LNG from Russia, which is why it is far cheaper. Anyway, Wim explained the dilemma Europe is in, and I’m not going to link anything.

  19. wmb Says:

    I think we see why JLR is no longer interested in using a supplier platform for their BEV Jaguar vehicles! It would make no since to buy it from someone else, if their parent company was building their own, as the Tata concept demonstrates. Looking at the concept, it seems that the could build sedans, wagons, crossovers and CUV/SUVs from that platform from a particular size with ease. The question becomes, how will they separate the platform, between the Tata brands that use it? Tata main/home brand is for the entry level developing market and Jaguar is looking to move farther upmarket from their current position! How will they justify asking customers spending more money on a Jaguar then they they are accustomed to paying, on an architecture that they are selling those in the developing market for much, much less?! Don’t get me wrong, EV will be/can be expensive no matter what part of the auto market you swim in, but there is a reason that VW group is not asking Bentley money for a rebadged/restyled ID3!

  20. joe Says:

    I was shocked when the USPO announced it’s new trucks were going to be ICE powered. In my opinion, I think EV’s would be much better
    a vehicle for that job.

  21. Alex Borenstein Says:

    18, yes Huh.

    I revert back to your original statement in 16. You may continue now with your rationalizations.

  22. Kit Gerhart Says:

    20 Hybrids would be great too, for the way the trucks are used with frequent stops. They’d double the mpg of a regular powertrain in typical mail truck use, and the brakes would last much longer.

  23. Glenn Arlt Says:

    I just read online in the news that Germany has said “Nein” to paying for natural gas in Rubles, so I would say that Russia is highly likely to simply shut off gas to Germany post haste. I wonder if the highly profitable Audi, Mercedes and BMW cars built in China can be sold elsewhere…. nah, probably not, they probably don’t meet the required standards. I’m glad I don’t own stock in VW Group, Daimler Benz or BMW….

  24. Sean Wagner Says:

    MERC – Smart design priorities, Mercedes. There will almost always be room for an engine out front, while a skateboard battery pack requires a dedicated platform. When real hybrids become more prevalent, the ICE will be a “simple” add-on.

    And I still wish the new Hummer had been engineered that way.

    GERMANY – From (recent) memory, oil is Russia’s biggest hard currency earner, and Germany has been improvising furiously (just don’t call it that) behind the scenes, with the result that they now back an EU-wide ban on Russian oil and have vastly diminished their offtake. And rightly so.

    NatGas is different, but they want to get there by 2024. Not easy, and they’re scouring the globe for regasification equipment & adapting laws to speed up their construction.

    It’s interesting that the Soviet Union was punctilious in fulfilling its contractual obligations ever since the ’70s.

    I raised the question during a visit to a local (Swiss) pharmaceutical plant years ago, and it clearly was taken as a complete non-issue not on anyone’s radar.

    Once more, a reminder Germany’s electricity generation half came from renewables these past two years.

    I wish the US made it easier for families to take in their Ukrainian kin. Canada has no upper limit and provides healthcare (the biggest bureaucratic obstacle in America), like European countries.

  25. Lambo2015 Says:

    Oh someone that got a huge kickback on that Postal vehicle is going to be mad. Because there isn’t any other excuse for selecting that vehicle unless someone got paid for that horrible decision. Let the lawsuits proceed.

    GM tying executive pay to EV performance can be good and bad. Sadly the sales is something that they may not have much control over. Hopefully its a percentage of market share and not just some overzealous pie in the sky sales number that someone thinks they should sell. Not only that but when compensation is tied to launching on time. Things can get released with known quality issues just so they can hit a target and plans to fix after the fact. Not good for GM in the long run when people already say never buy a first year car because of those previous practices.
    Whenever money is tied to performance people find a way to cheat the system. I remember when Ford offered a % of the money saving ideas to promote all employees to submit cost cutting ideas. All it did, was let some designers and engineers release designs they knew were inferior so they could come back with a design improvement that saved hundreds of thousands of dollars so they could share in that savings. Some received checks in the 6 digit range. So be careful GM with performance based salary.

  26. Lambo2015 Says:

    I had my CDL and drove trucks for a few years while attending college. Speed limiters (at least at that time) were mechanical and so although a truck may be limited to 65 that meant on an uphill grade you may only be able to achieve 58. Which is why you’ll be on the Highway see one truck start to pass another get into a slight grade increase and they end up riding side by side for a mile. They both have the pedal to the floor and until they get back to a downgrade or level the pass cannot be completed. So I’m not a real big fan of regulators and would much rather see more restrictions of trucks to the right lane(s).
    Part of that also needs to be paying drivers by the hour or the delivery and not by the mile. Paying by the mile is an incentive to speed because their distance per day is money.

  27. ChuckGrenci Says:

    Just saw the Lyriq warranty; pretty typical: bumper to bumper, 4yrs/50k miles; battery, 8yrs/100k miles and rust through 6yrs/unlimited mileage.