Follow us on social media:
Runtime: 10:37
0:00 Southern Governors Speak Out Against UAW
0:49 Tesla Shareholders Vote On $59 Billion Musk Package
1:37 Tesla Market Cap Drops Below $500 Billion
2:23 Stella Shareholders Approve $39 Million Pay for Tavares
3:46 China Exports More Cars Than Germany Makes
4:32 GM Launches PHEVs In China
5:19 BYD Super 9 Looks Sensational
5:46 BMW Doing Well with EVs
6:50 Chevy Bolt Going to Fairfax
7:17 Boston Dynamics Unveils New Humanoid Robot
Visit our sponsor to thank them for their support of Autoline Daily: Bridgestone, Intrepid Control Systems and Teijin Automotive.
This is Autoline Daily, the show dedicated to enthusiasts of the global automotive industry.
SOUTHERN GOVERNORS SPEAK OUT AGAINST UAW
As you may know, the UAW vote to organize Volkswagen’s plant in Chattanooga, Tennessee kicks off today. But state governors across the South have joined together to speak out against the union. The governors from Tennessee, Alabama, Georgia, Mississippi, Texas and South Carolina, issued a statement saying that voting for a union will put jobs at risk. They say they want to continue growing car manufacturing in their states but voting for the union will “stop this growth in its tracks.” We’ll soon find out if VW workers agree because the vote ends on Friday and the totals will be tabulated that night.
TESLA SHAREHOLDERS VOTE ON $59 BILLION MUSK PACKAGE
Should Elon Musk earn a $59 billion pay package? That’s how much money he was supposed to get in 2018 as long as he could get Tesla’s market cap above $650 billion. Tesla did hit that mark, but a shareholder sued the company over the pay package and a Delaware judge ruled paying Musk that much money was unfair to shareholders, and blocked him from getting it. So now Tesla is asking shareholders, instead of going through the board of directors, to vote on whether Musk should get that pay package. And it’s also asking shareholders to approve moving Tesla’s incorporation from Delaware to Texas, where presumably judges won’t interfere with corporate pay packages.
TESLA MARKET CAP DROPS BELOW $500 BILLION
It’s kind of hard to believe, but when the board of directors awarded Musk that pay package in 2018 Tesla stock was trading at only $22 a share and its market cap was just under $60 billion. But then the stock price went on a tear, and the company’s market cap peaked at one trillion dollars in October of 2021. But that was then. This year has been hard on Tesla. Its market cap is now $492 billion, and if things keep going like they’re going, it’s in danger of falling below Toyota’s market cap which stands at $392 billion and is growing. If Tesla does drop below Toyota in value, it will make headlines around the world.
STELLA SHAREHOLDERS APPROVE $39 MILLION PAY FOR TAVARES
There may be a lot of controversy about CEO pay, but apparently not at Stellantis. Seventy percent of shareholders just voted in favor giving Carlos Tavares a €36.5 million pay package. That’s 39 million bucks and is up about 60% from 2022. It also makes him the highest paid CEO in the industry after Elon Musk. The pay package includes a €10 million award if Stellantis hits its electrification and software goals. Shareholders voted overwhelmingly for Tavares’ compensation even though there was an effort by several advisory firms to vote against it. Tavares defended his pay saying that 90% of his salary is tied to the company’s performance. Stellantis’ share price increased 64% last year, and is up another 13% so far this year, so investors are quite pleased with his leadership.
CHINA EXPORTS MORE CARS THAN GERMANY MAKES
Chinese car exports continue to grow at an impressive rate. According to the China Association of Automobile Manufacturers, 502,000 vehicles were exported out of China in March, which is a 38% increase compared to last year. That includes both passenger and commercial vehicles. Light vehicle exports totaled 424,000 vehicles while 78,000 commercial vehicles were shipped. If China maintains that rate, it’s on pace to ship 6 million vehicles a year. To put that into perspective, Germany produced 4.1 million vehicles last year, which means China is exporting 2 million more vehicles than Germany can manufacture.
GM LAUNCHES PHEVs IN CHINA
If GM needs more hybrids and PHEVs in the U.S. it can just tap into its Chinese sources. Buick is coming out with an updated version of a luxury van it sells in the country, called the GL8, that will now have both setups. And we figure if they’re good enough for a Buick luxury van in China, which is about the size of a U.S. minivan, they would be good enough for global markets. The PHEV version of the new GL8, which is also getting a styling update to bring it in line with Buick’s other models, will feature a 1.5L and electric motor that combine for 292 kW or 391 horsepower. No official word on when it will launch, but it will debut at next week’s Beijing auto show.
BYD SUPER 9 LOOKS SENSATIONAL
Speaking of new reveals that will be at the Beijing auto show, Fang Cheng Bao, which is part of BYD, is going to have three new models on display; a couple of rugged SUVs, but also this sleek speedster, called the Super 9. Unlike its current model, which is a plug-in, the Super 9 is expected to be fully electric and CarNewsChina says there will be a production version, called the Bao 9.
BMW DOING WELL WITH EVs
BMW is easily beating all the legacy luxury brands when it comes to electric vehicles. It handily outsells Mercedes, Audi, Cadillac, and anyone else you want to throw on the list. Bloomberg reports that one reason it’s doing so well is that it learned hard lessons from doing the i3 electric, which was a sales flop. Now, instead of building EVs in a dedicated assembly plant, it has EVs that are built on the same platform as its IC cars, and they go down the same assembly lines, one after another. That allows BMW to flex production to meet demand. And it didn’t go out and build its own battery plants. Instead, it buys them from battery makers like CATL, which saves it billions of euros in capital expenditures. And it’s only going to get better. In the second half of next year, BMW will start building its next generation of EVs, what is calls the Neue Klasse, and if they sell well, those cars will be solidly profitable.
CHEVY BOLT GOING TO FAIRFAX
We’ve got a quick update on when the Chevrolet Bolt will go back into production and where. Autoforecast Solutions reports that the Bolt EUV will resume production in November, 2025 at GM’s assembly plant in Fairfax, Kansas. That plant currently makes the Chevrolet Malibu and Cadillac XT4. The Bolt is currently being redesigned to be powered by GM’s Ultium battery pack.
BOSTON DYNAMICS UNVEILS NEW HUMANOID ROBOT
It might be nice to retire at 11 years old, but Boston Dynamics’ humanoid robot, called Atlas, has lived a pretty hard life since it was launched in 2013. And so, the robotics company, which is now owned by Hyundai, is ending development of Atlas. We’ve seen the robot shake its groove thang, throw heavy objects, parkour and much more. But this sendoff video for Atlas also shows it’s also gone through all kinds of bumps and bruises as the development team learned how to make a robot that could pull off everything Atlas is capable of. As a side note, the video is actually funny. It has me physically laughing out loud. And as amazing as everything that Atlas can do is, I was also surprised to see how similar Atlas looks to a human messing up and falling down. And so why is Boston Dynamics going to retire Atlas when it seems like everyone else is racing to put out a humanoid robot? Well it’s coming out with an all new version that looks like it’s called the 001 and instead of using hydraulics, it’s fully electric. I just wish they had programmed a less creepy way for it to stand up.
SDV is one of the hottest buzzwords in the auto industry. Software defined vehicles are all the rage and automakers are racing to bring them to the market. But do you really know what SDVs are? Or, would you like to learn more about them? Then be sure to tune into Autoline After Hours tomorrow, when we’ll have Scott Tobin from a company called Envorso that provides organizational design for software development, amongst other things.
But that brings us to the end of today’s show. Thanks for tuning in.
Thanks to our partner for embedding Autoline Daily on its website: WardsAuto.com
Kevin A says
Sean, Maybe BMW has the right idea about ICE and EVs being built on the same platform. Now all we need is for a supplier to build an ‘ICE in a box’ that can be used as an EV range extender (small version) or paired with a smaller load of batteries to make an ICE hybrid. Air cooled twin in a box running a generator would be my pick for the way to offer an EV and ICE with the most number of common parts.
Lambo2015 says
Thats crazy to me that a board of directors can agree to a pay package regardless of how ridiculous it may seem. Then have the CEO perform at the level that was agreed upon to receive that pay only to have a judge say they don’t have to pay. It sounds like the judge allowed for a breach of contract. So, no matter if you feel the pay was too much or not you shouldn’t be allowed to offer one thing and then say, well that’s too much we aren’t going to do that. The entire board should have been fired at that point. Sounds like the pay they agreed to was ridiculous.
As for the direction to manufacture ICE and EVs on the same line or even offer models that can have either powertrain seems to make sense as the demand continues to still be quite ambiguous. Being prepared to adjust with demand would be a huge advantage.
Personally, I like the idea of a hybrid, however I struggle with complexity and dual systems that hinder each other. Weight loss has always been a directive for improving fuel economy so adding the weight of a motor and battery to an ICE is counterproductive. Same for an EV to be hauling around a gas engine not in use requires more power. Not to mention the impact to packaging and cost of dual systems. Either way the next 5-10 years could be polarizing for the auto industry.
XA351GT says
If the workers decide to vote against joining the union can the Manufacturers sue the UAW to stop harassing their workers ?
Lambo2015 says
XA351GT- Here are the basic rules for Unions and employers. Like;
Threatening employees with loss of jobs or benefits if they join or vote for a union or engage in protected concerted activity.
Threatening to close the plant if employees select a union to represent them.
So I guess its okay if you get the governor to do it and not the employer.
https://www.nlrb.gov/about-nlrb/rights-we-protect/your-rights/employer-union-rights-and-obligations
Kit Gerhart says
Lambo, hybrids are more complex than ICErs in some ways, like having an electric motor or two and some extra electronics, along with a gas engine. In another way, though, properly done hybrids like Toyota’s “hybrid synergy drive” and the Ford Maverick hybrid have very simple, essentially one-speed transmissions with no clutches or gear changing. The end result is that they are very reliable, at least the Toyotas. In the case of Camry, the hybrid system adds less than 200 pounds to the weight of the car.
ChuckGrenci says
There may be a corollary between losing jobs, if unionizing, and the 20-dollar minimum wage in California (jobs were eliminated) just so the business(s) could survive.
Albemarle says
No surprise that if the UAW manage to organize a transplant, the biggest sales feature southern governors use to get new plants will be in jeopardy.
The only hybrid I trust is Toyota, and by extension Subaru. Too complex for others to have a good track record.
Kit Gerhart says
I like Toyota hybrids, at least the basic ones as in Prius, Corolla, Camry and Highlander, because of the great mpg, and the mechanical simplicity. I think the Ford Maverick and Escape hybrids use a similar system. The Hyundai hybrids use a much more complex DCT with their hybrids, but with no advantages in mpg or performance. I don’t know if there are patents preventing H/K from using a Toyota-like system, or if they just like complexity for complexity’s sake, but it’s a turn off to me.
jp41 says
Today is the 60th anniversary of the unveiling of the Ford Mustang at the 1964 New York World’s Fair.
Kit Gerhart says
1964, the year I graduated from high school. They had them at dealers not long after this time in ’64.
Kit Gerhart says
Interesting story about the first Mustang:
https://www.freep.com/story/money/cars/mark-phelan/2019/09/23/ford-mustang-henry-ford-museum-harry-phillips/2378595001/
ChuckGrenci says
I went to the ’64 New York World’s Fair, still remember some of the pavilions; Ford, GE, GM. It was quite the event for a mid-teen; had a great time and took my first ride in a Mustang (they used the cars as the ride vehicles through the ride presentation).
Kit Gerhart says
This may be old news, but the 2025 Camry will be hybrid only. Now, if they can, or will just build them in adequate numbers. It should be a great car. My 2018 LE hybrid was great, but not for carrying the bigger of my toy airplanes.