AD #2406 – Tesla No Longer a Niche Player, GM Seeks Envision Tariff Exemption, Trump Proposes MPG Rollback

August 3rd, 2018 at 11:40am

Runtime: 9:12

0:31 Trump Proposes to Rollback Fuel Economy Rules
1:33 No End in Sight for Passenger Car Decline
2:03 Tesla No Longer a Niche Player
2:37 Ford Uses Motion Capture to Improve Production
3:17 Chevy Makes Towing Easier in New Silverado
4:23 Ferrari’s Stock Takes a Big Hit
5:04 GM Seeks Buick Envision Tariff Exemption
6:56 How OEM Bonuses Impact Car Dealers Business

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23 Comments to “AD #2406 – Tesla No Longer a Niche Player, GM Seeks Envision Tariff Exemption, Trump Proposes MPG Rollback”

  1. XA351GT Says:

    Okay I’ll bite, How many did Tesla actually deliver. Taking orders and filling them are 2 different things. I find it hard to believe that they have caught up to the backlog of Model 3s they had pre-sold before production began. Especially with all the ramp up troubles.

  2. Chuck Grenci Says:

    Isn’t Trump’s roll-back more of a stasis of rules; there was supposed to be a re-evaluation of standards that Obama nixed so maybe this isn’t as bad as it sounds. (forgive me if I’m a little shaky on the facts but I think what I just said is pretty close to the truth)

    And comments on the environment; I wonder what all these forest fires are having on CO2 and particulates in the air (i.e., people dying from respiratory problems) New car emission’s are at a very clean level today so incremental improvements are expensive and complicated. Perhaps something that may be just as effective is to review the clean-air credits and enforcing better compliance without the ease of buying from others (getting ‘your’ own house in order, as it were).

  3. Lambo2015 Says:

    So do these states care about emissions or fuel economy? Because all I have heard is it is a roll back on MPG not emissions.

    Sean As passenger car sales continue to drop this has to be affecting used car sales even worse. Any data on what has happened to used passenger car prices?

  4. Lambo2015 Says:

    I would hope that OEM bonuses are distributed on a percentage basis. Encouraging all dealers big and small to sell more cars. Not just provide subsidies to the large dealerships which will give them an unfair advantage making it even more difficult to compete and eventually forcing the smaller dealerships out of business.

  5. Kit Gerhart Says:

    If those sales numbers are correct, it’s impressive for Tesla, and pretty bad for Volvo and JLR. Tesla has three models, one of which accounts for about 2/3 of the sales. Meanwhile, Volvo has 6 models, and JLR has about 8 or 9. With Volvo and JLR, that’s completely separate models, not trim levels, etc.

  6. Kit Gerhart Says:

    3 California and some northeastern states care about smog causing emissions. Part of what the Trump regime wants to do, is not allow them to have stricter regs for NOx, and maybe some other pollutants.

    The states also care about fuel economy regs, both because of fuel usage and greenhouse gas emissions. I suspect the car companies mainly want stability.

  7. Steve W Says:

    How can you justify the claim that Tesla is selling more cars than Porsche & JLR? It’s only collecting deposits. Is Autoline Daily believing the smoke & mirrors?

  8. Kit Gerhart Says:

    7 Tesla says they are now building 5000 Model 3′s a week. If so, the sales numbers for July certainly sound reasonable.

  9. John McElroy Says:

    #7. We always use Ward’s Auto data when we report car sales. They are the bible of the industry. Tesla is doing more than just collecting deposits. It’s selling cars.

  10. Drew Says:

    The Obama 2025 CAFE requirement (over 50mpg) would have required a majority of vehicles to be either pure EV or PHEV. Given our power plants aren’t as green as ICE vehicles, the CARB/12 state claim of air quality doom from the rollback is somewhat hyped… unless we assume the Obama rule would greatly curtail new car sales (limited capacity/access to charging)… ah, but then that would mean consumers would be driving older, less fuel efficient vehicles.

    No matter how you slice it, the rushed-to-interim-rule spelled economic Armageddon.

  11. BOB LONGMATE Says:


    I trust vehicle MPG Ratings & Emissions Standards will still be weighed by each specific vehicle classification ‘footprint’.
    Car, CUV, SUV, Light & Medium Duty Trucks…
    The growing absence of Car sales will surely ‘Tilt the Balance’ in both categories!

  12. Kit Gerhart Says:

    10 The 54.5 mpg CAFE numbers correlate to about 36 mpg combined on the window sticker. That’s still a high number, but a long way from 54.5. Also, there is a complex system that allows huge pickup trucks to be calculated differently from smaller vehicles.

    The current 3 row SUV with the highest combined sticker is the Highlander hybrid at 28 mpg. The Camry hybrid rating is 52.

  13. Kit Gerhart Says:

    The current 3 row SUV with the highest combined sticker is the Highlander hybrid at 28 mpg. The Camry hybrid rating is 52.

    That’s non-plug in vehicles.


    To me the states are suing to protect CARB as an entity. There is no law limiting how california applies a tax to fuel or how they implement registration fees. If they want their residents to drive cleaner cars, they can pass a high gas tax and put high registration fees on cars which exceed whatever limit they want. Make it $10,000 per year to register anything with an ICE. Their residents can either choose to pay it or drive an electric car. Let the state and it’s residents put their money on the line instead of trying to spread the CARB regulatory burden across all 50 states.

    Just as an aside, these 19 states comprise 33% of the total car sales. Not insignificant but that also means that the other 67% of the vehicles sold are shouldering the financial burden to make the cars affordable to the 33% who keep demanding the prices to go up. Eventually this would have come to a head regardless of which administration was put into place.

  15. DonWagner1239 Says:

    If I’m not mistaken, the Obama EPA decided to ram through the 2018 mileage review two years early since Obama was term limited and regulation roll-back would be certain if a Republican got elected. Don’t know what the comments were, or if any comments were even heard, but the extreme numbers were set in stone.

  16. Lambo2015 Says:

    #12 Yes the Highlander hybrid is pretty good but the non hybrid version is still 24mpg combined which is not even half from 54.5. The Hybrid is just barely halfway there.
    This is the problem with Legislators throwing target numbers out there that are not realistic. I mean unless everyone is fine with driving cars that accelerate like your being pushed by hand.
    Say goodbye to trucks and SUVs. Which means you cannot drive what you may want or need you drive what the government has dictated automakers to build. Right now I do not want a EV or PHEV or even a hybrid. Until the hybrid extra cost actually can save me that amount in gas before its paid off then I’m not interested.

  17. DonWagner1239 Says:

    Off subject for today: (well, one question: what and where exactly is Mitsubishi selling for such high numbers?) There has been discussions about the lack of paint color choices today. Some models might only have four (Jeep Grand Cherokee Laredo) or eight (Jeep GC Limited). Special models even fewer. So, I give you the glorious past: Click on the Get Started button, fill in name and email then the Barracuda will change color when one of the 27 colors at the bottom are selected. Yes, the 1970 Barracuda ‘Cuda was available in 27 colors. Some not so cool (like Ivy Green), but it’s amazing to see so many choices. A lot of custom hand painting I bet.
    I right clicked and saved each picture to a directory and it’s really fun to watch a slide show. Also copied to my iPad. By the way, the multi-striped ‘Cuda is real and in Wellborn museum. Googled:

  18. magama52 Says:

    The sales #’s for Tesla are probably wrong for the month of July 2018, not trying to make argument since ofcourse can not proof cause Tesla doesn’t release monthly sales #’s. But according to EV site (Inside Ev.) that track EV sales, which their past history of keeping track of EV sales is quite accurate, Model 3 alone was over 14000 units.

  19. Kit Gerhart Says:

    16 The 54.5 corresponds to about 36 in numbers on the sticker.

    The Highlander hybrid uses the V6 hybrid system used in the RX hybrid. The improvement over the non-hybrid isn’t really worth price difference, except for people who do a lot of city driving.

    As far as hybrid cars, some of them are certainly cost effective, even at today’s gas prices. A Prius costs little more than a similarly equipped gas hatchback from Ford, Chevy or Honda. A Camry hybrid gets almost double the city mileage of a regular 4 cylinder Camry, and is quicker. You’d probably recover the price difference in ~6 years of normal driving. Of course, some of us like saving gas “on general principles.” Also, some of us like the way hybrids drive, at least some of them. The “power splitter” system used by Toyota and Ford is seamless in operation, and the Camry and Fusion hybrids are quicker than the vast majority of popular compact SUV’s in CR’s tests.

  20. omegatalon Says:

    Unless there’s a major breakthrough in automotive technology, it is doubtful that gasoline powered non-hybrid vehicles can achieve mileage beyond 50 mpg; the Obama Admin’s regulation was designed to kill gas powered vehicle production and force the industry to move to electric vehicles.

    I can’t wait until the sh_t hits the fan when every country that signed the Paris Climate Accord experiences rolling brownouts because their countries can not generate enough electricity needed for millions of electric vehicles which starts in 2023 for some and these countries have yet to start increasing their power grid.

    The cost to build the necessary power grid will cost each country in the European Union $Trillions.

  21. Kit Gerhart Says:

    A lot of electric cars can be charged with the current “grid,” and generating capacity, if they are charged at low demand times overnight.

  22. Bob Wilson Says:

    Two years ago, we bought a used BMW i3-REx for $29k and later, a new Prius Prime. Driving 100 miles around town, their electric costs are $2.90 and $2.50. About 1/3d of those miles are using free chargers so the cost is much lower.

    On the highway, the BMW i3-REx gets 40 MPG and the Prime, 56 MPG. Actually higher because the first miles are electric. Four seaters, they easily handle my wife, her two dogs, and me with dynamic cruise control and automatic emergency braking.

    Tesla Model S and X have a long list of YouTube videos shaming ordinary pony cars. Tesla is designing a series of trucks and pickups for the rest of the market. Regardless, life is good for our family but not for the future.

    Regardless of USA mileage regulations, the rest of the world can set their own. Less efficient cars and trucks won’t export and sell. Add to that the tariffs, the USA car factories and employees are facing a grim future.

    Late thought, both plug-in cars run their A/C either while charging or on demand while parked. Given the record setting summer heat, a great relief.

  23. Kit Gerhart Says:

    These 48v mild hybrids need to use electric a/c. That would make the technology much more worthwhile.