CBT automotive newscast: December 10, 2021

Inside Automotive:

Electra CEO Trent Mell breaks down the Biden infrastructure bill and its impact on EVs
$7.5 billion of the $1 trillion infrastructure bill signed by President Biden will provide funding for EV charging stations around the nation. As the auto industry continues to move toward EVs, you may be asking how you’ll be impacted. On today’s show, we’re pleased to welcome Trent Mell, President and CEO of Electra Battery Materials, formerly known as First Cobalt, to take a look at the infrastructure bill. Watch the complete segment here.

Headlines:

President Biden set in motion a plan to make the federal government carbon neutral by 2030 by slashing its carbon emissions by 65%. Through this order, federal agencies will buy EVs, to power facilities with wind, solar and nuclear energy, and use sustainable building materials. President Biden directed the government to spend its annual buying power of $650 billion to transform its 300,000 buildings, 600,000 cars, and trucks with electrification. The White House says the orders show how the government will help lead by example in tackling the climate crisis.

Cox Automotive’s Manheim Used Vehicle Value Index, jumped 44% in November, compared with the same month a year prior. Cox Automotive said used-vehicle sales declined, with total used volume dropping 2% year over year, last month. It estimates used-vehicle supply at retail to be at 49 days at the end of December. The normal supply is 44 days. Wholesale supply was at 29 days, and the normal supply is 23 days.

Ford has officially closed pre-orders for its F-150 Lightning. Lisa Drake, Ford Chief Operating Officer said that the electric version of the U.S. best-selling pickup truck was approaching 200,00 reservations, ahead of production, which is scheduled for spring 2022. CEO Jim Farley stated that Ford will do “whatever it takes” to double production capacity and decrease vehicle wait times.

Brightdrop, General Motors’ commercial EV delivery company has opened its first dealership near L.A., in Fontana, California. Brightdrop was formed to help delivery and logistics companies with electric software, services, and delivery vehicles. The automaker states production will remain low-volume and won’t fully ramp up until November 2022. Brightdrop plans to start offering vehicles to commercial customers before the end of the year. The dealership is operated by dealer principal, Mike Caposio, who owns the largest Chevrolet dealership in California.

Weekly claims for unemployment benefits dropped to a 52-year low. At 184,000 claims, it was the lowest level of initial claims since September 1969. It was a lower count than analysts forecasted. In October, the nation had 11 million jobs openings. Although, in the week ending November 20, 1.9 million Americans were receiving benefits under various government programs.

News & Opinion:

AI in auto retail: How advanced tech benefits business
Older millennials, Gen Xers, and Baby Boomers probably first think about The Jetsons and The Matrix when (AI) Artificial Intelligence is mentioned. It’s much more integrated into real life than it is a fictional futuristic technology, and its presence in auto retail has made a lasting impact already. A new eBook from Cox Automotive titled “What Automotive Dealers Think About Artificial Intelligence” explores what AI is, how it’s used, and dealers’ opinions on implementation. The definition according to the eBook states that AI “is a technology that mimic the way people use their brains to reason and make decisions”, and both machine learning and natural language processing fall under its umbrella. Read more

Digital retailing inspired by the next generation
Allow me to break down digital retailing in its most simple form. It’s the utilization of a website to allow consumers to purchase products and services. In today’s automotive environment, many dealers and consumers have adapted to the new age of digital retailing. Today’s technology allows consumers to start and finish the buying experience from anywhere in the world with their smartphone. Covid-19 forced dealers to start educating themselves and implementing processes within their dealerships. The dealers that are proactive in their efforts and continue to innovate are much further ahead than those that are not. Read more