Follow us on social media:
Runtime: 9:54
0:00 EU Lowers New China-Made EV Tariff
1:47 GM Laying Off Software Workers
2:28 UAW Threatens to Strike at Stellantis
3:39 Waymo Testing Brand-New Robotaxi
5:25 Hyundai Group #2 in U.S. EV Market
6:22 Huawei Gets Billion Dollar Auto Investment
7:02 Chevy Tahoe Starts at $91K in China
7:48 Mercedes Cuts S-Class Production Due to Slow Sales
Visit our sponsor to thank them for their support of Autoline Daily: Bridgestone, Intrepid Control Systems, MEDC and Teijin Automotive.
This is Autoline Daily, the show dedicated to enthusiasts of the global automotive industry.
EU LOWERS CHINA-MADE EV TARIFF
The European Commission is tweaking its new tariffs on imported Chinese-made EVs. It lowered the maximum tariff to 36.3%, a nearly 2% drop and also lowered the rate for several individual companies. Chinese brands, like BYD, Geely and SAIC, saw minimal changes of less than 1-2%. While non-Chinese brands got much bigger breaks. Cupra, which is part of VW, saw its tariff on the Tavascan drop over 16% to 21.3% and Tesla’s dropped to just 9%, which is down from almost 21%. The reason Tesla saw such a big change is because the European Commission ruled that it received less subsidies from the Chinese government compared to other EVs made in China. But there is hope for other companies to see rates reduced even more. The EU is still investigating how much those subsidies really benefit automakers and the final tariff won’t be determined until early November, at which time they’ll likely lock in for 5 years. What’s more, the Commission said some Chinese companies that have joint ventures with EU automakers may get lower duties on their EV imports. However, the EU is still worried about the impact Chinese-made EVs could have on the European auto industry, so they’re not likely to go away. And remember, the Chinese-made EV tariffs are on top of the already existing 10% tariff on all cars imported to the EU.
GM LAYING OFF SOFTWARE WORKERS
General Motors is laying off more than 1,000 software workers globally. Most of the cuts will be in the U.S. at its tech center in Warren, Michigan. It’s letting go of 600 employees there. In a memo to workers viewed by Automotive News, GM said it is making the cuts to enable it to “move faster, pivot when needed, and prioritize investing in what will have the greatest impact.” Over the last several years, GM has been expanding its software team to help with its electrification and autonomous efforts because it believes those services can generate $25 billion in revenue by 2030.
UAW THREATENS TO STRIKE AT STELLANTIS
The UAW is threatening to go on strike against Stellantis, accusing the automaker of backtracking on agreements made in their new labor contract. Last February, Stellantis idled its plant in Belvidere, Illinois, but during last year’s negotiations it agreed to re-open the plant in 2027 and build a new mid-size pickup. It also agreed to open a Mopar distribution hub at the site this year and open a stamping operation at the plant in 2025. But the UAW claims Stellantis told the union the projects won’t happen on the agreed-upon timeline. So, in order to get the automaker to stick with the original deal, the union says seven local chapters are prepared to file grievances against Stellantis and that it’s also prepared to strike if necessary. The automaker released a statement confirming that it is delaying plans for the Belvidere plant but says it’s still committed to re-opening it. And it rejected the union’s claim that it violated their labor agreement and says it can’t legally go on strike.
WAYMO TESTING ALL-NEW ROBOTAXI
Waymo finally showed off its brand-new 6th-generation robotaxi, which is the first model to come from its partnership with Geely. The model is based on a Zeekr van, but also features 13 cameras, 4 lidar and 6 radar, which the company says provides a view all-around the vehicle, up to 500 meters away. It’s able to work at day or night and in a range of weather conditions. Waymo says the new system is cheaper than the previous version while providing more resolution, range, compute power and capabilities. The company has already been testing the new vehicle and says it has thousands of miles of real-world driving and millions more in simulation.
HYUNDAI GROUP #2 IN U.S. EV MARKET
The Hyundai Group is now the second-best EV maker in the U.S. reaching 10% market share through the first 7 months of the year. Tesla is still #1, but its share of the U.S. market fell below 50% for the first time in the second quarter. The Hyundai Group is ahead of Ford at 7.4% market share and GM at 6.3%. Sales of EVs at all three brands are up so far this year and several new models are on their way. Genesis especially is expanding quickly. It’s gone from a single dealership in the U.S. to 56 standalone stores, even adding 21 dedicated retailers this year. The Group is investing billions to make EVs in the U.S., including a brand-new plant in Georgia, which means more models will soon qualify for the full $7,500 EV tax credit.
HUAWEI GETS BILLION DOLLAR AUTO INVESTMENT
While other giant tech companies have struggled to bust into the automotive industry, China’s Huawei seems to be having some success. It already has several Chinese partners and its automotive division Yinwang just got a big investment from AVATR, which is a joint venture between Changan, CATL and Huawei. AVATR is buying a 10% stake in Yinwang for $1.6 billion, which brought Yinwang’s total valuation to $16 billion. The deal is said to help strengthen their partnership and will make sure AVATR always has Huawei’s latest tech.
CHEVY TAHOE STARTS AT $91K IN CHINA
GM is launching the Durant Guild in China, which will import many of its iconic nameplates that are mostly built in North America. While these vehicles won’t add much to GM’s overall sales numbers in China, which have been cut in half over the last 7 years, they will help bring in more revenue. It’s going to offer models like Corvette, Escalade and Celesiq. And it just opened its first store in Shanghai and launched its first model, the Chevy Tahoe. While a base Tahoe starts at about $56,000 in the U.S., the Durant Guild will only offer two versions; the Classic, which starts at about $91,000 and the High Country, which starts at roughly $101,000.
MERCEDES CUTS S-CLASS PRODUCTION DUE TO SLOW SALES
Is the Mercedes S-Class no longer seen as one of the pinnacles of luxury? According to data from Marklines, in the first half of the year, S-Class sales were down 13% in China, 19% in the U.S. and 27% in Europe. So, in response Mercedes is reducing production to one shift for the first time. The S-Class is built at Mercedes’ Factory 56 in Germany and has been made on at least two shifts since the factory opened four years ago. The plant also builds the electric EQS as well as Maybach and AMG models. Mercedes will refresh the S-Class next year, so demand could pick back up with a new model.
And that brings us to the end of today’s show. Thanks for making Autoline a part of your day.
Thanks to our partner for embedding Autoline Daily on its website: WardsAuto.com
From yesterday, Lambo asked: “Kit- would you consider the Corvette a supercar? And would you consider the ZR1 a hypercar?
If the ZR1 isnt a hypercar would you consider that to be at least a supercar?”
Lambo, I’d consider ZR1, and even Z06 to be “supercars,” based on performance. I think the term “hypercar” usually goes with 7 figure price tags, along with performance, at least to me.
To me, S-Class should return to what it was years ago, a big, comfortable, quiet, quick, great riding sedan with an attractive, “elegant” interior. Recently, the S has become filled with too many gimmicks, maybe to “justify” the price, and controls that aren’t very friendly. Also, 4WD is mandatory, at least in the US. Make the controls more user friendly, replace the wall-to-wall screens with some some traditional elegance using wood and a bit of “chrome.” Then, sell it with RWD, and drop the price about $20K to more-or-less match 7 series. Then, maybe they would sell more S-Class.
So GM finally figured out that trying to do an in-house smartphone interface better than android auto and CarPlay was a fool’s errand. Did they finally talk to Harley Davidson and hear what a horrible job they did trying to develop the software interface? Many commented on here back when that was announced, that it was a bad idea. I bet many of the software engineers to be laid off came from that and the Cruise AV division.
Congratulations to Hyundia for obtaining 10% of a market that makes up only 8% of the total US market. Meaning they outsold Ford by about 33,800 vehicles. Or grabbed 0.2% market share over Ford. Doesn’t sound as impressive that way, does it?
I agree that the S-Class could use a bit more classic refinement and old world craftsmanship. The exterior design is also forgettable and that is a problem in this class. People in this class don’t want to be flashy, but they also want people to know that they bought something a cut above the average car when they arrive to their destination. The S-Class exterior has as much presence as a Toyota Avalon.
Not sure a strike is a great plan when the company is teetering on going under anyway due to very poor management, insane vehicle pricing, and the CEO’s disdain for his own brands and customers. Luckily Shawn Fain will be fine either way, which is always the most important thing. At least until the DOJ finds something on him.
Big shocker to no one that most of the GM cuts happened to US employees. But when you’re hemorrhaging money like a waterfall on all those EV investments, someone has to take it in the shorts and it isn’t t going to be any of their c-suite brain(less) trust.
Kit- The ZR1 price tag is 180-205k, but to me that’s irrelevant. Makes as much sense as placing Tesla’s in luxury category simply because of their price. To me a Hyper car is something that is limited production and pushes the boundaries of performance. So, with the ZR1 having 1064 HP and 828ftlbs of TQ and 1/4 mile times in the 9s with a top speed around 215 I’d say it should compete in the hyper car arena. If GM can do if for a fraction of the price of all the others, then that’s just awesome.
Lambo, is the Dodge Demon 170 a hypercar, then? Only 3300 made, 1065 hp (on E85), under 9 sec. ¼-mile. Top speed, however, might be electronically limited due to drag race oriented tires. The other Demons can hit 200.
Of course, no contest in the handling department. LOL
artG- Yea I guess my standards for Hypercar was off. The ZR1 may be just a supercar. A quick google search for the top 10 Hypercars produced the following list;
1. Aston Martin Valkyrie 1140bhp for 0-62mph in 2.5 seconds and a 220mph top speed.
2. Mercedes-AMG One 566bhp 0-62mph in 2.9sec while top speed stands at 219mph.
3. Bugatti Chiron Super Sport Didnt give a 0-62 mph time but 1578bhp and top speed at 304.7mph.
4. Pagani Utopia 864bhp and 809lb ft, No other specs.
5. Pininfarina Battista 1876bhp 0-62mph in less than 2sec and 186mph coming up after only 12sec top at 311
6. Lotus Evija 2000 metric HP at peak, 0-186mph in just 9sec
7. Ferrari SF90 XX Stradale 1016bhp
8. Rimac Nevera 1888bhp which allows it to hit 0-62mph in1.95sec top speed of 258bhp. Its 120kWh battery also allows for up to 340 miles of range.
9. Zenvo TSR-S 1177bhp 0-124mph in 6.8sec
10. GMA T.50 Uses a naturally aspirated V12 engine that revs beyond 12,000rpm and produces 650bhp.
While four of these cars have less HP than a ZR1 and some performance specs are close, they all have price tags in the 7-figure range and production numbers below 200 except for the Ferrari which is making 1400. So, I guess Hyper-car means for the ultra-wealthy. I consider myself a car guy but some of those on the list I never heard of. I guess when it comes to pipe dreams I don’t pay much attention.
At one time,easy to id an s class,they stood out,not so much anymore
The meaning of the term “hypercar,” as with other things, is in the eye of the beholder. My first thought of “very expensive,” as well as fast, seems to go along with the list Lambo came up with. The ZR1 should be in the hunt with some of those, performance-wise, and will be a performance bargain in comparison, as a base C8 is a performance bargain.
The term “exotic” may be even harder to define than “hypercar.” To me, a McLaren 720s and a Rolls-Royce Phantom are both “exotic” cars, though they are very different.
Thanks everyone for your help on the differences between hyper car, super car and exotic car. There are a lot of fast, powerful, rare and special vehicles on the road today and with performance consistently rising, what was a standout vehicle today, may not move the needle as much a few years later! I remember when all the auto magazines were talking about BMW M5, with it’s incredible, naturally aspirated, 400 hp V8! Today, the Mercedes CLA AMG, kicks out that kind of power with a twin turbo charged 4 cylinder! It doesn’t drive like the M5 of back then, I’m sure.
Regarding the S-Class and it’s lower sells numbers, I wonder how much, if any, sells of the EQS has hurt its sells? I wonder if the Maybach version, has cut into S-Class sells too? While I like both the super and hyper screens in Mercedes vehicles, I also do miss the traditional luxury appointments that vehicles like the S-Class came with! The less is more approach, with the screens propped on top of the dashboard like a computer monitor, gives the feeling of being in a cubicle and not a luxury flagship. And as so many commenting on yesterday, OEMs have GOT to bring back real buttons for commonly used things! Not a million tiny buttons, close together, but ones you can use with your gloves on.
Regarding S-Class sales numbers, it costs $20-30K more than the competition from BMW and Audi. Then, there is the Genesis G90, which is very much competitive in the class, except for brand panache.
If you want to stand out, appearance-wise with a luxury sedan, you need to spend an extra $100K or two for a Bentley Flying Spur, or another hundred K or two for a Rolls.
I remember driving the first car to have a touch screen. A 1986 Buick Riviera. Even way back then it was very well integrated into the instrument panel and looked like it belonged. I never understood how they became a add on design not looking like they were planned but thrown on raised up away from the dash with a gap behind them. Obviously not all are that way the Ram trucks manage to integrate a very large screen into the dash. Maybe the thought was we would all carry around tablets that doubled as our phone and IP screen while in the car. Either way, if I’m spending luxury car money on a vehicle, I expect the interior to be far superior to the average car including a well-integrated touch screen that looks like it was planned designed around and flows smoothly with other design cues. Which is why we are starting to see these long-curved display screens that are programmable but maybe not a touch screen.
I’m with many here that like button and knobs. I do believe it does require people to take their eyes off the road longer to find a touch screen function on a large tablet. Especially if it’s buried on a sub screen that requires you to navigate multiple screens and once you get there only to find out some of those functions are locked out while driving.
Knobs and buttons become intuitive where you just know where they are and are able to reach down and make adjustments without even looking. Not so easy to do with a touch screen.
I think they will become smaller while display screens will become larger. Allowing you to have more information displayed while maintaining the nice function features of the touch screen.