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Runtime: 10:20
0:08 Ford Gives Dealers Options on EV Sales
1:47 Tesla Considers Shaking Up China Retail Strategy
2:31 Tesla Scraps Plans to Build Batteries in Germany
4:03 Ford Reveals All-New Mustang
6:07 GMC Racks Up More Hummer EV Reservations
7:29 Hyundai To Test Fuel Cell Semi-Trucks in California
8:18 The Best Designs at The Detroit Auto Show
9:09 NACTOY Semi-Finalists Announced
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FORD GIVES DEALERS OPTIONS ON EV SALES
Ford is shaking up its dealer network to help in its transition to electric vehicles. The automaker isn’t forcing dealers to sell EVs, instead it’s giving them options as to how fast they want to make the switch. Between the beginning of 2024 and the end of 2026, dealers have three options, they can opt not to sell EVs, become certified to sell EVs under a new set of standards or they can go all in and become a “certified elite” EV dealer. Dealers must decide by the end of October what they want to do. There will be another EV opt-in period in 2027 for dealers that decide to stick with ICE vehicles for now. But for those that do decide to sell EVs, there are two options, certified and Model e certified elite. Certified dealers must invest $500,000 to install at least one public fast charger at the dealership, they also be able to service EVs but their allotment of EVs will be limited. Certified elite dealers must invest around $1 million to install at least two DC fast chargers, one of which must be open to the public. Ford is also implementing non-negotiable pricing for its EVs. It’s interesting that Ford is taking a different approach with its dealers than GM, which is offering buyouts to Buick and Cadillac dealers who don’t want to make the investment to sell EVs. And it will be interesting to see which strategy wins out.
TESLA CONSIDERS SHAKING UP CHINA RETAIL STRATEGY
And speaking of selling EVs, Tesla is considering changing up its retail strategy in China. Reuters reports it’s considering closing some of its showrooms in downtowns of big cities and opening stores in suburban areas to save cash and also improve customer service. Owners have complained about long wait times to get their vehicles fixed. That’s because more than half of its stores in China aren’t able to offer maintenance because they’re located in big cities with limited space. But Tesla is working to fix that by opening showrooms in the suburbs and by hiring more technicians. It has 300 job openings for service jobs on its China recruitment website.
TESLA SCRAPS PLANS TO BUILD BATTERIES IN GERMANY
The Inflation Reduction Act or IRA is meant to help bring more EV and battery manufacturing to the U.S. by dictating that EVs won’t qualify for federal tax credits if they’re not built in the U.S. or another qualifying country. And its intended effect seems to be working. According to the Wall Street Journal, Tesla has halted plans to build battery cells in Germany and is considering moving equipment needed to make cells to the U.S. We know foreign automakers and regulators are not happy with the IRA and we’re sure stories like this aren’t making them feel all warm and fuzzy on the inside.
FORD REVEALS ALL-NEW MUSTANG
Nearly 60 years since its original debut, Ford pulled the wraps off the 7th-gen Mustang. Having seen the car in-person myself, I don’t think I can really do it justice in explaining the differences from the last generation. I think it’s just one of those things you have to see for yourself. But a couple of things that stand out to me are the front headlamps, which feature three separated lighting elements that form the DRLs and somewhat match the rear taillamps. And that leads us into the other styling cue I’d like to point out. The deep V-cut in the lights and rear decklid are a real eye grabber. The same could be said for the giant screens on the interior. Ford said it tried to mix modern design with its Mustang heritage and those big screens are part of its modern philosophy. The standard setup will come with two separate displays, but higher end models will see those merged together. The system runs off Sync 4, but Mustang will have its own unique graphics, including an instrument cluster display inspired by old Fox Bodies that will have a turquoise glow around semi-circle gauges. The new Mustang will also have OTA capability and advanced ADAS functions, but it will not offer BlueCruise, Ford’s hands-free highway driving system. Now let’s get to this vehicle’s soul, its powertrain. Base models will come with an all-new 2.3L turbocharged 4-cylinder engine, while an advanced 5.0L Coyote V8 is available as well. The V8 now features dual throttle body system, but Ford’s not giving specs for these engines yet. However, it did announce a new Dark Horse trim line that will come with a modified version of the 5.0L V8 that makes an estimated 500 horsepower. There’s still a lot to unpackage with the new Mustang, so I’m sure we’ll have more in the coming days. But you can look for the sports car to go on sale in the U.S. next summer.
GMC RACKS UP MORE HUMMER EV RESERVATIONS
GMC continues to rack up reservations for the Hummer EV, which includes both the truck and SUV. According to GMC’s marketing director, the brand now has more than 90,000 people that say they want to buy the electric Hummer. That’s 10,000 more than it had in July. But the more impressive part is that 90% of those reservation holders have converted them into actual orders. And with many of those orders for higher trim models, the Hummer could generate a nice chunk of revenue for GM.
HYUNDAI TO TEST FUEL CELL SEMI-TRUCKS IN CALIFORNIA
Fuel cell applications seem to make the most sense in large commercial vehicles and Hyundai is getting funding from the U.S. EPA to start testing its Class 8 XCIENT fuel cell truck in California. Specifically, it’s getting $3.5 million to deploy five of the trucks, which feature a 67 kg fuel tank and a 72 kWh battery pack that will provide an average of 450 miles of range. That’s a huge hydrogen tank. For comparison Hyundai Nexo has a roughly 6 kg tank. Interestingly, the big trucks will be used to deliver liquified hydrogen for First Element Fuel, the largest hydrogen-refueling station operator in the U.S.
THE BEST DESIGNS AT THE DETROIT AUTO SHOW
Now that the Detroit auto show has returned, so has the EyesOn Design award. Designers from the industry, past and present, pick out the best vehicles at the show. And this year they chose the Cadillac Celestiq as the Best Concept Vehicle, which beat out the Buick Wildcat and Lincoln L100. The Celestiq also won the Best Use of Color, Graphics and Materials award. The Ferrari Daytona SP3 was voted the Best Production Vehicle, beating out the Chevy Blazer EV, DeLorean Alpha5 and the Range Rover. And the Audi Grandsphere concept won the Best Interior award, which topped the Audi Urbansphere concept and the Buick Wildcat. So what do you think, how would you have voted?
NACTOY SEMI-FINALISTS ANNOUNCED
The semi-finalists for the North American Car, Truck and Utility of the Year Awards were announced yesterday. The initial list included 47 vehicles but it’s now been whittled down to the 26 semi-finalists, which includes 10 cars, three trucks and 13 utility vehicles. And that’s the topic on today’s Autoline After Hours, John and Gary will be joined by fellow juror members Bengt Halvorson and Jill Ciminillo to discuss what vehicles they believe will take the top honors in each category. So join us this afternoon at 3pm eastern time on our website or YouTube channel for what ought to be a fun debate.
But that wraps up today’s show, thanks for tuning in.
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Seamus and Sean McElroy cover the latest news in the automotive industry for Autoline Daily.