AD #3521 – Ford Slashes Mach-E Price in China; VW Puts EU Battery Plants on Hold; Shyft Group Introduces EV Dump Truck
March 8th, 2023 at 11:55am
Listen to “AD #3521 – Ford Slashes Mach-E Price in China; VW Puts EU Battery Plants on Hold; Shyft Group Introduces EV Dump Truck” on Spreaker.
Follow us on social media:
Runtime: 10:23
0:08 VW Puts EU Battery Plants on Hold
0:54 EU Helps Automakers Secure Battery Raw Materials
1:35 Price of Cobalt to Drop Significantly
3:34 Shyft Group Introduces Electric Dump Truck
5:04 VW Offers Free Emergency Connected Services
5:58 BMW Teases New iDrive System
7:09 Ford Puma ST Gets Power Boost
7:57 Ford Slashes Mustang Mach-E Price in China
8:32 NEV Sales Soar in China
9:12 Musk Says Next-Gen Tesla Will Be Almost Entirely Autonomous
Visit our sponsors to thank them for their support of Autoline Daily: Bridgestone, Intrepid Control Systems, and Schaeffler.
This is Autoline Daily, the show dedicated to enthusiasts of the global automotive industry.
VW PUTS EU BATTERY PLANTS ON HOLD
A lot of automakers have announced plans to build new EV and battery plants in the U.S. in order to qualify for subsidies that are part of the Inflation Reduction Act or IRA that was passed last year. And now Volkswagen says it’s putting plans to open new battery plants in Europe on hold as it waits to see if the EU introduces its own IRA. Two years ago, VW announced plans to open 6 battery plants in Europe by 2030 but so far it has only three locations. If Europe doesn’t introduce its own IRA, VW will prioritize building a battery factory in the U.S. where it could receive $10 billion in subsidies.
EU HELPS AUTOMAKERS SECURE EV BATTERY RAW MATERIALS
And while Europe is dragging its feet on incentives, it is helping automakers secure the raw materials needed to produce EVs and batteries. The EU is setting up a central buying agency that will purchase critical minerals like lithium, cobalt and manganese. The proposal also speeds up permits for new mines and processing plants in the region. By 2030, the EU is aiming to produce at least 10% and process at least 40% of the materials each year. The goal is to become less dependent on China, which supplies 95% of the EU’s rare earth minerals.
PRICE OF COBALT TO DROP SIGNIFICANTLY
The price of cobalt, which is used in EV batteries, is expected to drop significantly over the next several years. That’s because supplies from the Democratic Republic of Congo are going to swamp the market creating a surplus and drive prices down. Global cobalt supplies are expected to reach 210,000 metric tons this year, up 24% from a year ago. But at the same time demand is only expected to rise 8% to 205,000 tons. Last year, the average ton of cobalt cost under $64,000. This year, it’s expected to fall to about $55,000 and next year, it will drop further to $50,000 a ton on average. While demand is growing, it’s not going to be as much as expected since many battery producers, especially in China, are switching away from nickel, cobalt and manganese or NCM batteries to cheaper LFP or lithium iron phosphate batteries. LFP batteries now account for over a third of the global battery market, and it’s expected to rise to nearly 40% next year. And with the prices of lithium forecast to plummet it’s looking like EV prices should come back down to earth.
SHYFT GROUP INTRODUCES ELECTRIC DUMP TRUCK
There’s a commercial EV startup we like, called the Shyft Group. If you haven’t heard of it, it’s going into production with Class 3, 4 and 5 electric vans under a brand called Blue Arc. What we like so much is that it’s starting small. Rather than go big, it first got orders and then scaled to that volume. So, for the 2,000 orders it got, it’s only investing $16 million into a plant that can make 3,000 vans a year. It means Shyft isn’t burning through cash trying to keep a massive facility churning and it should be able to turn a profit fast. And it may need some of that money to expand as it just introduced a new Class 5 Crew Cab dump truck. It rides on Blue Arc’s proprietary Class 5 EV chassis, which can carry up to 6 passengers and a 6,000 – 10,000-pound payload. It’s powered by an eAxle it calls “commercial grade,” it features an 800-volt architecture and can accommodate battery packs from 158 to 316 kWh. That setup provides a top speed of 75 MPH and a range of 200 miles. Although, it doesn’t say if that’s with a load in the back. As this video shows, the Blue Arc vans were just the beginning. It hopes to build a whole range of electric commercial vehicles off its chassis.
VW OFFERS FREE EMERGENCY CONNECTED SERVICES
Volkswagen is going to offer free emergency services in the U.S. for vehicles equipped with Car-Net. Most 2020-2023 models that have the connected car technology can get Automatic Crash Notifications, Emergency Assistance, Stolen Vehicle Locator, and Anti-Theft Alerts. Starting on June 1st after owners create a myVW account and agree to the terms of service they’ll have access to the feature for 5 years at no charge. VW made the move after law enforcement in Chicago was slowed down by a request for subscription payment before being able to get access to vehicle locator information for an incident involving a child in a stolen Volkswagen Atlas. Thankfully the family was safely reunited.
BMW TEASES NEW iDRIVE SYSTEM
It’s been a bumpy road for BMW’s iDrive system, but it really helped pave the way for expanding how drivers and passengers interact with a vehicle. And the newest version of its iDrive system will be launching on various models throughout the year. We’re not getting many details, but it shows the design of the new home screen, which it says will become a permanently viewable part of the interface and have other functions laid over top of it. Of course, it also says the system is faster, has more functions and is easier to use and we can’t wait to judge for ourselves.
FORD GIVES THE PUMA ST MORE POWER
Ford of Europe is offering a new powertrain for the Puma ST. It’s still available with a nearly 200 horsepower 1.5L 3-cylinder, but it’s twisting up the power of its 1.0L turbo 3-cylinder and calling it the Puma ST Powershift. In the standard Puma, the setup combines the engine and a 48-volt starter/generator, which produces up to roughly 155 horsepower. But thanks to tweaks to the energy recovery system and software tuning it now makes nearly 170 horsepower in the Powershift. The engine is also paired to a new 7-speed dual clutch transmission. From here it gets pretty much the same sporty, go-fast goodies as the regular ST.
FORD SLASHES MUSTANG MACH-E PRICE IN CHINA
And in other Ford news, it’s struggling to sell the Mustang Mach-E in China. Last year, it only sold 7,782 units, compared to nearly 40,000 in the U.S. So to help kick start sales, Ford slashed the price of the Mach-E by $5,700 in China, which now has a starting price just over $30,000. Ford made a similar move back in January in the U.S. when it cut the price of the Mach-E by $5,900 in response to price cuts to the Model Y Tesla made.
NEV SALES SOAR IN CHINA
And speaking of car sales in China, the China Passenger Car Association reports that sales are down 20% in the first two months of the year in the country. But New Energy Vehicles or NEVs, which include electric, plug-in and fuel cell vehicles, saw sales surge more than 60% in February. NEVs now account for 30% of the new car sales in China. And because of that, BYD was the number one passenger car brand in February, outselling Volkswagen, which used to dominate the market, and BYD did this for the second time in four months.
MUSK SAYS NEXT-GEN TESLA WILL BE ALMOST ENTIRELY AUTONOMOUS
During its Investor Day last week, Tesla revealed it’s coming out with a new vehicle platform that will be significantly cheaper to manufacture. But it didn’t share any details about the models that will use that architecture. Now we have some more info but not much. Earlier today, Elon Musk said that the vehicles built on the new platform will operate “almost entirely in autonomous mode.” That’s all he shared but last year the company did announce plans to introduce a purpose-built robotaxi, so perhaps that is what he is referring to. But it’s hard to trust any timeline that Elon gives on vehicle autonomy.
And that brings us to the end of today’s show. Please like, comment or subscribe.
Thanks to our partner for embedding Autoline Daily on its website: WardsAuto.com
Share
Permalink
Comments (22)
March 8th, 2023 at 12:13 pm
No way ford is making any money at these very large price cuts on the electric cars
March 8th, 2023 at 12:35 pm
I wonder how the Ford Puma ST compares to the Dodge Hornet GT and RT. The Ford gets 170-200 Hp from the 1.5L and 1.0L engine combinations, while the Hornet gets 268-288 Hp from its 1.5L and 2.0L engines. Both have a mild hybrid version. Seems both are around that 30K price range too.
Dodge hits 60 in 6.1 sec while all I could find was 0-62 for the Ford was in 6.7 sec. It looks like the Hornet is bigger.
Musk would have to clarify what the next-gen Tesla is. Cause that could be years away which I totally expect it to be.
March 8th, 2023 at 12:46 pm
All the emphasis on electrification is an unrealistic pipe dream for large parts of North America where vast distances rule. Sparse grids and waiting hours to recharge to travel will not work. All of the $100,000 vehicles are out of reach for a lot of people outside of affluent areas.
March 8th, 2023 at 2:48 pm
3. As it is now I completely agree. The only real market for BEVs right now is as a second car for a suburban household to use as a commuter car. We are retiring and planning lots of road trips so I don’t know how much use our second car is going to get. I don’t see us investing in an expensive BEV and the necessary infrastructure to support it for a seldom used new second car. I hope her TourX last a lifetime?
March 8th, 2023 at 3:34 pm
3 I agree and I’m not so sure that its breaking news to anyone. I think many people are just sitting back and waiting to see what will happen. I suppose having an aggressive goal to go electric is fine but realistically it just doesn’t work for everyone and everything. I’m fine with the folks that have the extra cash to be a first adopter’s and we need those folks. We need to get cars on the road and find the gaps that need filled. This all helps the development process to improve and grow. I have no doubt that an ICE ban of 2035 will likely get pushed back. Exceptions will need to be made and I’m curious what automakers will do to fill the ICE need after a delay is given. Used ICE cars are liekly going to skyrocket in price and it will be interesting to see how it all pans out.
Either way, one thing I’m pretty sure about is we will end up paying more for our vehicles and more to charge them and I would almost bet it will cost more per mile using an EV than an ICE by 2035.
March 8th, 2023 at 3:44 pm
4 I don’t know where you live, but if you don’t have road salt, that TourX should last a long time. Even with road salt, most newer cars last ~20 before the rust destroys them.
2 The Hornet will be interesting. The 2.0 version is thirsty for its size, with 21/29 EPA ratings, but it will be quick compared to its most direct competition. We’ll never see Puma, except when traveling in Europe.
March 8th, 2023 at 3:55 pm
5 Fuel cost is already higher for an EV than for an efficient hybrid, if using public charging. The video about charging the Genesis at a Tesla charger showed $.49/kWh, about 3-4 times the utility rate for home charging. Electricity cost with home charging is, and will probably stay lower for EVs for years to come.
A big factor in ownership cost that is still kind of an unknown, is long term depreciation. If a high percentage of EVs start to need new $20K batteries when they are 10-12 years old, they will depreciate quickly, and have high ownership cost if you keep the car and buy a new battery.
March 8th, 2023 at 4:01 pm
Musk is trying to manipulate the Tesla stocks again like he always does. He has been very successful in doing that. Don’t hold your breath with this new piece of news.
March 8th, 2023 at 4:21 pm
6. I live in the rust belt capital of Cleveland. I’ve gotten my trucks to last 12 years of daily driving until rust finally made me pass them on. Maybe a pampered life with a lot of garage time will help her TourX.
March 8th, 2023 at 5:44 pm
#4 I am retired and travel across country a lot. If I had to recharge it would add days to a trip to see the Grandkids. EV is an urban commuter or local delivery car, not a travel or road trip option, especially in cold winters.
March 8th, 2023 at 5:46 pm
How about a little less EV news in Autoline and more about real useful transportation options.
March 8th, 2023 at 6:32 pm
That Puma is a great looker and I could never understand why Ford didn’t bring this version to the US. I rides on the same platform as the Escape, but has sporty, four door coupe stance in appearance. While the next Escape is getting a more dynamic styling for its med cycle refresh, the Puma, especially in ST form, still has it beat, IMHO!
March 8th, 2023 at 9:28 pm
12 Maybe Puma isn’t trucky enough looking for the US market. From specs I see, Hornet is ~3 inches lower than other similar size crossovers. We’ll see how it goes over. I might like it, except for the gas mileage and mandatory 4wd, but the bulk of the US market might not like it being lower.
March 9th, 2023 at 7:07 am
11 Yes, I’d like to see a little more news on stuff other than the latest EV news. I watch daily and didn’t even know Dodge was making the Hornet. Saw it on C&D. It would be interesting to see how the Hornet the Puma the Kona or Tucson and the Rav4 compare. Even though we will never see the Puma in the states.
I don’t think any of them are spectacular when it comes to exterior and remove all the badging and most people probably couldn’t tell the difference. All the SUV/CUV shapes are pretty basic. Although they are exploring different things with lighting in an effort to stand out but still, only so much can be done. But I still dont see my next purchase being an EV. Maybe a hybrid but we just see so little on anything other than EV news here.
March 9th, 2023 at 9:42 am
9) Find a dealer that applies NH Oil in the clear version. You go to them every fall and it is around $200 for an application. Your car will never rust, ever. Not even surface rust. That is how I handle it for the cars I care about. There is one in Norwalk, Akron, and Middlefield.
You can also go to Ziebart in a pinch, but their coatings are not as effective as NH Oil. If you are handy and want to apply it yourself, you can do that also. Just be sure to spray through the holes on the inside rails to coat the metal internally and not just externally. Basically spray it wherever salt water is going to get to.
March 9th, 2023 at 9:52 am
14) The Hornet was shown on Autoline back when it was first announced as a vehicle slated for production by Stellantis. Now that it is in production they have not discussed it on ALD as ALD mostly discusses the future direction of the auto industry. They have another channel, Autoline exclusives, for production vehicle reviews and the Hornet may make an appearance on that channel depending on if Stellantis loans one to the Autoline team.
March 9th, 2023 at 9:55 am
14) I also believe all BEV is not going to ever happen. The end game will be a mix of propulsion technologies. Politicians right now are binary thinkers and jump from one feel good fad to another, but eventually reality wins.
March 9th, 2023 at 11:04 am
15. I had a new ‘83 Pontiac that I took to Ziebart. Paid every year to have the car inspected, cleaned and rustproofing touched up. When the drivers door rusted through from the inside they denied my claim. I had to disassemble the door to take pictures that the rust had to come from the inside and not surface rust. I was able to get enough money to cover all I had spent with them over the years and enough to cover my cost if an amateur repair of the door. Not a good value. Does the NH oil drip from the car for awhile after application?
March 9th, 2023 at 11:12 am
18) It does drip for a while until it fully cures. When you take it to the stores for application they keep it for the entire day to let the product cure and stop dripping. In a home garage you would want to have a tarp underneath the car and also plan on not driving for at least 4 hours after the application. I believe it states that on the spray can. It really is fantastic stuff. I too have had bad experiences with Ziebart which I why I really don’t recommend them unless it is a last resort kind of thing.
A lot of DIY people are happy with fluid film. That works well enough if you find the NH oil too expensive. For fluid film I would spray it in the fall and mid-winter as it has trouble staying on the car in the harsh winter conditions. Doing a second application of fluid film is not that problematic though for a DIY person.
March 9th, 2023 at 11:18 am
15 Is NH oil known to work, like after you’ve spent $6000 for it on a 30 year old car that’s had a big dose of road salt?
I tended to just not drive cars I cared about in the road salt when I was in Indiana. That, of course, is for those of us lucky enough to have “extra” cars beyond a daily driver.
March 9th, 2023 at 11:51 am
I’ve been wondering where Tesla would get their 48 volts from, and I found a DesignNews article indicating that it will probably be from regulating down from the traction battery. At least it “can” be done that way. No confirmation about it, though. From the article:
“And the cost side of the equation can be addressed in EVs by the complete elimination of the low-voltage battery. Instead, these cars can employ a power converter that steps down the high-voltage from the traction battery to power on-board systems.”
March 9th, 2023 at 11:01 pm
3.5……You both took the words right out of my month. I’ll show a lot more interest in EV’s later in the decade.