AD #2919 – Volkswagen Dumps Bugatti; LG Chem Spins Off Battery Business; Ferrari Debuts Portofino M

September 17th, 2020 at 12:00pm

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Listen to “AD #2919 – Volkswagen Dumps Bugatti; LG Chem Spins Off Battery Business; Ferrari Debuts Portofino M” on Spreaker.

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Runtime: 10:39

0:07 GM India Plant Sale to Great Wall Delayed
0:49 Volkswagen Selling Bugatti to Rimac
1:41 LG Chem Spins Off Battery Business
2:20 ChargePoint Close to Going Public Through Reverse Merger
3:36 Ford Retools Plant for Electric F-150
4:26 ZF Shares Wrangler PHEV Performance Numbers
6:12 Electrify America Switches to Charging by kWh
8:42 Ferrari Debuts Portofino M
9:37 Cadillac Dealers Have to Spend 200K to Sell EVs

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42 Comments to “AD #2919 – Volkswagen Dumps Bugatti; LG Chem Spins Off Battery Business; Ferrari Debuts Portofino M”

  1. Kit Gerhart Says:

    It certainly makes sense to charge by the kWh for EV charging, but they might also want to charge by the minute, if you leave your fully charged car there very long. Gas stations would have a big problem if people filled their tanks, and then left the car there for a couple hours. The same would be the case with EV charging, as more EVs are on the road.

  2. Larry D. Says:

    Caddy Dealers: $200 grand is a WHOLE Lot if they waste it AND they end up selling even fewer ( a whole lot fewer) Misspelled Lyrics than Chevy Dealers have sold Bolts (and they SURE have sold very few, and most sales went to GM’s Cruise division, at little, if any, profit)

  3. Larry D. Says:

    2 PS the last time I heard of some automaker asking dealers to cough up 200k was the ill-fated Mahindra betrayal of its dealers. The crooks at Mahindra asked the dealers to waste the $, they DID, and Mahindra never gave them its (truly lousy, anyway) product.

  4. Larry D. Says:

    1 If a nation really wants to put drivers in BEVs, it should not charge one cent for electricity, especially if it is off-peak hours.

  5. Kit Gerhart Says:

    Volkswagen’s selling Bugatti makes complete sense, but dumping Bentley would be a big mistake. Bentley is a prestige brand, but also has reasonable volume, and is much more part of the “real world” than a company that makes fewer than a hundred cars a year, selling for two million dollars each. Even more than Ferarris, no one actually drives Bugattis. They are mainly bought be extremely rich people that just buy them “because they can.”

  6. Norm T Says:

    Most Cadillac dealerships in Ohio do not even have Level 2 charging. With EV GO $7/monthly fee I have charged 2018 CT6 plug-in for 1.5 hours at 5.7 cents kW. Our Meijer’s west of CLE is new and free. So is Whole Foods and local outdoor shopping mall(just pay garage parkkng rates- first 30-mknutes is free). I even met a friend at a Nissan dealership and plugged in for free. The Plug Share app will locate even residential house who have a wall outlet or some advertise Tesla or 14-50 RV outlet.

    I pay .05 at home all day long for reference.

  7. Bob Wilson Says:

    The last time I charged our BMW i3-REx at an Electrify America station in Manchester TN, I had to pay $1 just for the privilege before a single kWh of charge. Driving on electricity to Nashville cost $25 but the return trip on gas cost $6.

    In contrast, the two tiered, Tesla charging, cost closer to $3 and change. With up to 170 kW, peak charging, it takes about 13 minutes to add 100 miles.

  8. Kit Gerhart Says:

    6. Aren’t you in Huntsville, which would be about 80 miles from Manchester, TN? It sounds like it costs 2-3 times as much to drive an i3 on that trip, than it would to drive a monster pickup or SUV. More than I realized, it looks like non-Tesla BEVs make sense only if you do nearly all of your charging at home, or at a work place that has free charging.

  9. joe Says:

    The Bolt was not a serious attempt by GM to get into the EV business. The Bolt was mainly a way to test their tech.
    GM has waited diligently before jumping with both feet in the EV business. Now that GM has the battery and the rest of the technology that goes along with it, GM is roaring to be the leader. Like it or not, that’s the way it is.

  10. Larry D. Says:

    7 Why would anybody buy a non-Tesla SUV even if they came with free juice. They are so vastly inferior and uncompetitive price-wise with the Teslas.

  11. Larry D. Says:

    8 NOTHING was and nothing will be a serious attempt by GM to get into the BEV business.

    Not only did LUTZ admit here on AAH that GM will rob its SUV and Truck buyers to subsidize its loser BEVs,

    NOW the fools at GM made a deal with the CROOKS of Nikola, who offered GM NOTHING. When the first BEV truck by GM is made, Nikola’s CEO will be in jail.

    What a sad joke.

  12. Kit Gerhart Says:

    9. The point of my post #7, was that, with juice from Electrify America, it apparently costs 2-3 times as much to drive an i3 on that trip, than a Suburban or F-150.

  13. Larry D. Says:

    I fully understood your point the first time, but I doubt if you understood my reply, given 11.

  14. Larry D. Says:

    12 for example, compare the (very expensive w hen it came out) i3 and the Model 3. WHo in his right mind would buy the i3, even if BMW pays lifetime juice unlimited miles? It is so vastly inferior to the Model 3. THe only reason people bought it (at almost 50k for an ugly hatch!) was that back then, the Model 3 was not available.

  15. GM Veteran Says:

    3, actually that was Global Vehicles, a U.S. company founded by John Perez that had an agreement with Mahindra & Mahindra to import two of their diesel powered trucks. Sadly, it was not a very good agreement and Mahindra took advantage of that, unethically slowing down all of their commitments until the company went bust, leaving the dealerships that paid for franchises with nothing.

  16. GM Veteran Says:

    4 – I’m not aware of any nations that are selling electricity, just companies. And giving away electricity is not just a bad business strategy, its downright fuelish!

  17. GM Veteran Says:

    Once you have 600 horsepower, would you even notice an extra 20? This just seems like a way for Ferrari to cash in on the seemingly endless line of enthusiasts that want to get a reservation for the “next model”.

    I think EV charging is a lot like drinking whiskey. Its always cheaper to do it at home. Charging companies have a big investment to pay off, so it will always be more expensive than charging at home. It should only be done when on a long trip or if you forgot to plug in last night at home.

  18. GM Veteran Says:

    Larry might have a point if Tesla actually made an SUV. But, they don’t. They are crossovers at best. The Model X costs a lot more than the Chevy Suburban but can’t begin to haul as much. Lifetime ownership costs would be lower with the Suburban too. Few people buy an SUV for its 0-60 time, so let’s call the Tesla humpback cars what they really are: crossovers.

  19. Lambo2015 Says:

    Todays show proves the point that buying an EV doesn’t make sense from an cost savings aspect. The initial cost is higher and operating cost will end up being a wash.

    Ford to jump into the EV truck market that no one asked for.

  20. Kit Gerhart Says:

    13. In CR’s charts, the i3 rides better, is quieter, is more comfortable in the back seat, stops shorter, and has better controls. The base price is about $45K, about $5K more than the current base price of the Model 3. The i3 may still be eligible for a tax credit.

    Also, the i3 REx like Bob Wilson has can keep going without charging, as long as you make a short stop for gas every 100 miles or so. Yes, the Model 3 is quicker, and looks better to most people.

  21. Kit Gerhart Says:

    16. I like your EV charging/whiskey drinking analogy. It also applies to drinking wine and beer.

  22. Wim van Acker Says:

    @EV charging cost, what a large mark up for operating what seems to me a simple charging station: the average retail price in the U.S. is $0.13/kWh; businesses may be able to get it for less.

  23. Kit Gerhart Says:

    Maybe charging stations have high markup, because they have very low dollars of electricity delivered per hour, compared to dollars of gasoline delivered per hour by a gas pump.

  24. cwolf Says:

    In the end, owning any type of vehicle will cost more. One way or another, someone will make sure any costs will go up not down.

  25. Earl Says:

    Across America the utilities are purchasing electricity from the wind farm companies for less than 3 cents kWh. I realize it takes a lot of infrastructure to get it to the consumer that now has to pay 30 cents. I would suspect that infrastructure gets paid for in 4 to 6 years and after that it’s a licence to print money. That’s why it’s good to have shares in those Utilities. Dividends are regular and the investment goes up in value.

  26. Sean Wagner Says:

    <> “Fuelish”. Hilarious, thank you.

    Texas is the leading US state by far when it comes to installed wind power (29GWh and counting, about half Germany’s that accounted for a quarter of electricity generation in 2019).

    TXU Energy have a “Free Nights and Solar Days” plan that’s 100% renewable sourced.

  27. Sean Wagner Says:

    16 – GM Veteran – my response above was for you. The comment system is garbling my responses and I haven’t adapted yet.

  28. Sean Wagner Says:

    - Errata – 29 GW, of course. Sigh.

  29. Kit Gerhart Says:

    26,28. Do you know if that is 29 GW “average” output, the amount if all the turbines have wind velocity for maximum power, or ?

  30. Larry D. Says:

    16 this is probably because you never traveled outside your little town. If you did, you would know that

    1. China, the biggest BEV market, has serious pollution problems and promotes BEVs, depending on region, to an extreme extent. AND it sure makes most of its electricity itself, the government. Affected and affluent mega-cities like SHanghai, Beiging and 4 others, do not even ALLOW NEW dirty ICE cars to register, and when they make an exception, they ask for a $15,000 license fee, WHILE the same fee is $0 for any BEV.

    2. THe second biggest BEV market will still not be the US but EUROPE, who had gone to the other extreme 30 years ago, promoting DIESELS even in its tiniest cars and taxing gasoline far more than diesel fuel until today. I just filled my tank BTW this morning, paid 78 Euros for 71 liters diesel. IF I had a gas car I would need 150 EUros for the same mile driven, Both because of the 30% higher efficiency of the Diesel AND the 35% LOWER prices of Diesel vs Gas fuel. ALL this will END soon, as many many EU governments promote BEVs.

    This may explain also why TESLA stock has gone thru the roof recently. They are ideally positioned to make a killing in BOTH these markets, and they ALREADY have utterly dominated the US BEV market.

  31. Larry D. Says:

    30 PS In reality, I did not pay 78 Euros for my 71 liters, but $0.00, as I used my “return” feature in my local debit card, where I am awarded ‘return euros’ on top of the meager interest rates my 3 month euro savings account gets. I have a surplus of about 300 euros left, and more coming, so I will never pay a dime for fuel for the rest of the year here.

    Also, besides the Central Government, state and local govs should, if they are serious about clean cars, ie BEVs, provide breaks for the fuel instead of the ridiculous situation Kit thought it would cost twice to fuel a BEV than a… Suburban dirty ICE.

    Even EMPLOYERS, If I was an employer in CA or other seriously polluted states, I would offer free juice to all my employees and free charging at work. Even if I was a business owner, restaurant especially, who have been hard hit by CV, I would allow patrons to refuel for free when parked, and even park their BEVs free in my lot.

  32. Kit Gerhart Says:

    31. What I stated with an EV costing twice as much to fuel as a Suburban was based the trip Bob Wilson took, using Electrify America, and their very high “markup” compared to the usual ~12 cents/kWh from your home utility.

  33. Larry D. Says:

    Crook Trevor Milton is next… lol

  34. Larry D. Says:

    32 Yes, this is what I was referring to. BTW FOrd claimed that its BEV F150 will have half the operating or fuel cost of the gas (or diesel?) F 150,but the statement is vague since it does not state its assumptions about the cost of electricity.

  35. Kit Gerhart Says:

    34 Probably Ford is making their claim based on average home electricity cost of 12-13 cents/kWh. Maybe they are also factoring the lack of oil changes into the lower operating cost.

  36. Lambo2015 Says:

    31 The problem with offering free charging in cities like L.A is parking is a premium and for a restaurant or many other business they often have less parking than they have seating capacity. So to take a valuable parking spot or two and designate it strictly for BEV charging would be a hard pill to swallow.

    It means the valuable parking spot sits empty unless a BEV is at your place of business and in need of a charge. Also means you need to make sure non-BEVs don’t park there or when a BEV is fully charged it then has to be moved and your customer needs to drive around and find a new spot possibly in the middle of eating?
    Not to mention dealing with Tesla’s that have a different charging port than everyone else. Or anyone stealing or vandalizing your charging station/cord. If I was a business owner not sure I would be eager to provide free charging to gain that one to two customers in for coffee and a free charge.

  37. Larry D. Says:

    It has been 17 years since I lived in the LA area in the summer of 2003, had a small home sublet in Long Beach and commuted to a Boeing research facility in Anaheim, 26 miles, and it was like Paradise, no need for A/C in the house (I did use it in the car at times). However, a couple days ago my third PhD student, who went from MI to a very successful career at the U of New Orleans (not a top tier place and the pay sucked) to NY getting millions from the Govt for BS “six sigma” research, and now he says he is an adjunct prof. at USC, and complained to me about the air quality. I told me he should live closer to the ocean. WIth the $ he made while in NY, he should be able to afford it.

  38. Larry D. Says:

    35 this is what they should have done, but I would not necessarily trust them to have done that. This reminded me when the Chevy VOlt first came out, and I was listening to a team presentation who worked on the VOlt project, there were some GM sponsors and assorted bigwigs there too, and the team repeated GM’s claim that the VOlt would get ’230 MPG”. they did not even say “MPGe”, although I am sure its MPGes were half that claim or less. So, annoyed, I asked them under what assumptions they got the 230 MPG, and I doubted the validity of the figure. Of course they could not give me any serious justification. Our industry liaison, worried about GM’s funding of our student teams, a white-haired former GM brass, took me aside after the presentation and told me I should not have pressured them.

  39. Larry D. Says:

    Fresh evidence for my piece about Europe in 30 and its policy in favor of BEVs and against its 30-40 year love affair with diesels.

  40. Norm T Says:

    I was at 999 mpg on Voltstats last month 2ith a CT6E. If all you do for 30 days is use battery mpg is infinite.

  41. Sean Wagner Says:

    29. Kit – Off the top of my head I’d say that’s max power. But capacity factors have risen in line with rotor size and height. And TX is now getting serious about solar too. I think storage is another story due to some specific regulation. Very interesting example of doing things quite differently and always worth keeping an eye on.

  42. wmb Says:

    So, VW Group “bought” stock in a private company, so that company could then buy one of their brands?! Now VW Group has say in not only the company they invested in, as well as use of their hyper exotic EV tech, but also Bugatti, the brand they sold. Seems to me that VW just made Rimac another supercar brand of their portfolio, while losing nothing in return. One thing Rimac gets would be reduced cost for test parts from VW, saving them money and much more stable footing as an automaker. In the end, VW has enough control of Rimac, to have a strong influence on both it and their decisions with Bugatti.