AD #4079 – ZR1X Is Sub 2-Second Corvette; VW To Launch L4 ID. Buzz Robotaxis; Chinese Cities Run Out of Car Subsidies

This is Autoline Daily, the show dedicated to enthusiasts of the global automotive industry.

ZR1X IS SUB 2-SECOND CORVETTE 
In August of last year, we told you that we had it on pretty good authority that Chevy was going to come out with a version of the Corvette, even more extreme than the ZR1, that has all-wheel drive. And pretty much everything we reported at the time is now being confirmed with the introduction of the Corvette ZR1X. The mid-mounted twin-turbo V8 from the ZR1, which makes 1,064 horsepower, is paired with a front-mounted electric motor, similar to the Corvette E-Ray. But the unit in the ZR1X features stronger internal components and better energy output, which means it’s capable of making 186 horsepower. That brings total output to 1,250 horsepower and gives the ZR1X the ability to do 0-60 MPH in under 2 seconds. No word on when the model goes on sale yet or what the price will be. But for reference, a completely tricked out ZR1 is just a shade under $200,000, so the ZR1X will easily top that figure.

CHINESE CITIES RUN OUT OF CAR SUBSIDIES
Sales of new energy vehicles in China have been surging ahead thanks to leading-edge cars, but also because of government subsidies. And now several cities in China say they’re running out of that money. They expect to get more subsidy money from the central government later this year, but this could slow down car sales until they do. The subsidies are for trade-ins of used cars, and that itself triggered something of a scandal. Some automakers are claiming that new or almost new cars are actually used cars, and they’re selling them that way to collect the used car subsidy. That’s one reason why the subsidy money is running out. But the central government is also looking to crack down on companies selling cars with no miles on them that are classified as used. 

SHAWN FAIN IS FOUL-MOUTHED, ANGRY, THREATENING UAW LEADER
The UAW’s president, Shawn Fain, is a foul-mouthed, angry, union leader who uses threats against people who don’t agree with him. That’s according to a court-appointed watchdog who is monitoring the union as part of the aftermath of its corruption scandal that saw two previous UAW presidents go to prison. The watchdog says Fain stripped another union official of her oversight over several union departments and that he needs to reinstate her duties. This should be very embarrassing to the UAW. While Fain likes to talk about solidarity within the union, the latest watchdog report shows that it’s dealing with in-fighting and mistrust amongst its leadership.

RAM ADOPTS 10-YEAR WARRANTY TO BOOST SALES
Last year sales of the Ram pickup in the U.S. fell 16%. They fell another 12% in the first quarter. So Ram is taking action to put its pickups back on shopping lists. A couple of weeks ago it announced it was bringing back the HEMI V8. And today it announced it’s offering a 10-year, 100,000-mile limited powertrain warranty. It applies to light and heavy duty pickups as well as Promaster vans. This is similar to what Hyundai did back in 1999, when it offered a 10-year, 100,000-mile warranty. Sales immediately shot up and the program is so successful at bringing in new buyers that Hyundai is sticking with it, even though extended warranties can turn out to be quite expensive. 

   

BIG OIL INVESTING IN EV BATTERY MATERIALS
Another big oil company is getting into lithium production. Two years ago, ExxonMobil acquired land in Arkansas to mine for lithium that’s part of the Smackover Formation, which has a massive deposit of the metal. And now Chevron has also acquired land in Arkansas and Texas that’s part of the same Formation. Chevron says this is the first step in establishing a commercial-scale, lithium business. But it didn’t say how much or when it will start producing lithium.

VW TO LAUNCH L4 ID. BUZZ ROBOTAXIS
Volkswagen’s mobility services and ridehailing company, MOIA, just introduced a production ready version of an autonomous ID. Buzz. Starting next year, the automaker will offer the vehicle for deployment to cities, municipalities and fleet operators in Europe and the U.S. The ID. Buzz is a SAE Level 4 autonomous vehicle that features Mobileye’s self-driving system, which includes 13 cameras, 9 lidars and 5 radars. MOIA will also provide operators with AI software to manage the fleets in real-time, automatically assist passengers, and it can integrate into existing booking apps. MOIA will further support operators with simulation and training as well as deployment and live monitoring of day-to-day operations.

SCOUT RE-ENGINEERS TO REDUCE RARE EARTHS
China cutting off supplies of rare earth materials in retaliation to U.S. tariffs could eventually impact all automakers and suppliers. Ford CEO Jim Farley even said the company had to shut down some plants due to a lack of rare earths. Since the market for such critical materials can change so easily, Scout Motors is trying to reduce its reliance on them. CEO Scott Keogh told Bloomberg that it’s exploring ways to engineer motors and brake units with fewer rare earth materials. We wonder if Rivian is involved with these efforts since the Traveler SUV and Terra pickup truck will be based on Rivian’s electronic architecture. Either way, the move should reduce costs for Scout and make the company stronger in the long run. But, let’s be honest, Scout has a major advantage over other automakers, like Ford. Its vehicles aren’t scheduled to come out until 2027, so it’s much easier to make these adjustments now.  

HUAWEI BUILDING SOLID-DATE EV BATTERY PLANT
Speaking of reducing reliances, Chinese tech companies look like they’re trying to reduce their reliance on traditional EV battery makers like CATL and BYD. Huawei filed a patent for a new sulfide-based solid-state battery, which uses a new nitrogen doping process on the electrolyte that improves safety and life for these kinds of batteries. It claims they’ll have an energy density between 400 and 500 Wh/kg, about double today’s lithium-ion batteries, offer a range of up to 3,000 kilometers or about 1,860 miles and the ability to recharge in as little as 5 minutes. While research shows, these figures are possible, there’s currently no charging solution available that’s capable of providing that kind of power. Plus, CarNewsChina estimates that it costs between $1,100 and $1,400 per kWh to produce solid-state battery cells right now. Experts say for EVs to reach cost parity with ICE vehicles, battery costs need to be around $100 per kWh. On a global basis battery costs reached $115 per kWh last year, but China was a major reason that figure is as low as it is. 

HONDA JUMPS INTO LAST MILE DELIVERY
Honda is jumping into the last-mile delivery vehicle business. The automaker established a new company called Fastport, which will debut its first product at the end of the month in Germany. It’s an electric quadricycle called the eQuad, which features swappable batteries and will be available in two sizes. The larger version will have a range up to 23 miles depending on the payload and both models have a top-speed of 12 MPH or 20 km/h. Other features include regenerative braking and automatic parking brakes. Fastport will start delivering the eQuad in Europe and the U.S. by the end of the year and it will go into mass production starting next summer. U.S. versions will be built at Honda’s Performance Manufacturing Center in Ohio that makes specialty vehicles like the Acura NSX, fuel cell CR-V’s and Honda’s race cars.

But that’s a wrap for this show. Thanks for tuning in.