Earlier this week: The UAW threatened a Stellantis strike over delays at the Belvidere assembly plant. The auto industry rallied to preserve the Inflation Reduction Act as the election loomed. Ford recalibrated its EV strategy, canceled its electric SUV, and focused on profitability. Record EV sales in Q2 as new models boost competition and drive down prices. Trump considers ending the EV tax credit, praises Musk for a potential cabinet role, and threatens tariffs on Mexican-made cars. DMS outage creates volatility in used vehicle market as inventory declines and prices rise. Wholesale used vehicle prices rose 0.5% in early August.
Here’s a closer look at these top stories and more headlines to stay on top of this week’s automotive industry news.
1. UAW threatens Stellantis strike over Belvidere assembly plant delays
The United Auto Workers (UAW) has set the stage for a potential strike at Stellantis plants, with a timeline that could see workers on the picket line as soon as mid-October. The union’s grievances stem from the automaker’s delays in reopening the Belvidere Assembly Plant in Illinois, a facility that was shuttered in early 2023. Read More
2. Auto industry rallies to preserve Inflation Reduction Act as election looms
As the U.S. presidential election approaches, the auto industry urges lawmakers to maintain the Inflation Reduction Act (IRA), a critical piece of legislation that has spurred billions in investments in electric vehicle (EV) assembly, battery manufacturing, and parts production. This two-year-old law has been a cornerstone of the industry’s efforts to make the U.S. more competitive in the global EV market. Read More
3. Ford recalibrates EV strategy, cancels electric SUV, and focuses on profitability
Ford is adjusting its electrification strategy, canceling plans for a fully electric SUV in a move that could cost the automaker approximately $1.9 billion. The decision marks a significant shift for Ford, which has been re-evaluating its approach to electric vehicles amid slowing demand and increased competition. Read More
4. Record EV sales in Q2 as new models boost competition and drive down prices
According to a recent Kelly Blue Book study, electric vehicle (EV) sales in the U.S. reached new heights in the second quarter of 2024, with 320,463 units sold—a notable 23% increase from the previous quarter and an 11% rise compared to the same period last year. Despite discussions of a potential EV market slowdown, more models are hitting the streets, intensifying competition and significantly reducing prices. Read More
5. Trump considers ending EV tax credit, praises Musk for potential cabinet role, threatens tariffs on Mexican-made cars
At a campaign event in Asheville, North Carolina, Republican presidential candidate Donald Trump stated that if elected, he might end the $7,500 tax credit for electric vehicle (EV) purchases. Trump expressed skepticism about tax incentives, indicating they aren’t generally beneficial. He also revealed that he would be open to appointing Tesla CEO Elon Musk to a cabinet or advisory role, praising Musk as a “brilliant guy.” Read More
6. DMS outage creates volatility in used vehicle market as inventory declines and prices rise
The dealer management system (DMS) outage that affected sales and inventory reporting throughout the previous month continues to create volatility in the automotive market. As of August 1, 2024, the total supply of used vehicles on dealer lots across the U.S. stood at 2.17 million units, down 3% from a year ago and from the 2.22 million units at the start of July. Read More
7. Wholesale used vehicle prices rose 0.5% in early August
Wholesale used-vehicle prices have risen by 0.5% from July during the first half of August, as the Manheim Used Vehicle Value Index increased to 202.6. Despite the month-over-month growth, the index is down 4.5% compared to the full month of August 2023. Read More
8. Industry experts share legal tips for successfully selling your dealership – Dave Cantin, Stephen Dietrich
In the complex world of dealership sales, preparing for a successful transition involves more than just listing your business for sale. Dave Cantin, a prominent M&A expert, and Stephen Dietrich, an M&A attorney and author of Fear Dynamics, join us on the latest episode of Inside M&A to shed light on crucial legal and strategic factors that dealers should consider before deciding to sell. Their combined expertise offers invaluable advice for anyone looking to navigate this high-stakes process with confidence and clarity. Watch the full segment here.
9. How top dealers drive profits with synergized F&I and sales strategies
In this engaging episode of Training Camp with Adam Marburger, we delve into how top dealers drive profits with synergized F&I and sales strategies. Top industry leaders Chris Saraceno- VP and partner at Kelly Automotive Group; Mickey Seelye – dealer operator and president of Seelye Auto Group; and Rob Ruth- President and owner of Bob Ruth Ford, share the strategies that drive success in their dealerships. Watch the full segment here.
10. Dave Anderson reveals how dealers can transform ordinary actions into extraordinary results
Whether you’re striving for personal growth or professional success, going the extra mile can be key. Joining us on today’s episode of Inside Automotive with insights from his newest book, Elevate Your Excellence: The Power of Doing Ordinary Things Extraordinarily Well, is Author, Speaker, host of the wildly popular podcast The Game Changer Life, and the President of Learn to Lead, Dave Anderson. Watch the full segment here.
