Earlier this week: CDK Global halted operations due to a cyberattack affecting over 15,000 dealerships. A coalition of American business groups requested the Biden Administration to extend the comment period. Ford updated its dealership floorplan assistantship program for the first time in two years. UAW workers at the Ohio assembly plant approve new contracts with a huge wage increase. Recurrent study reveals how high temperatures impact EV range. Toyota and Pepco team up to explore vehicles to gird technology. Retail used vehicle sales in May saw a significant increase, marking the highest level this year.
Here’s a closer look at these top stories and more headlines to stay on top of this week’s automotive industry news.
1. CDK Global cyberattack disrupts operations at 15,000 dealerships
CDK Global, a major software provider to auto dealerships in the U.S., has been hacked, forcing the company to shut down most of its systems temporarily. This cyberattack effectively halted sales operations at approximately 15,000 car dealerships, including those under General Motors, Group 1 Automotive, and Holman.
2. U.S. trade groups request extension to comment on tariffs on Chinese imports
A broad coalition of American business groups has requested the Biden administration extend the public comment period for proposed steeper tariffs on Chinese imports, including EVs, batteries, and solar products. The coalition, organized under the “Americans For Free Trade” umbrella, has asked for an additional 30 days, effectively delaying the August 1 start date for many of these duties. The group, comprising 173 trade associations, represents various industries, including manufacturing, retail, technology, agribusiness, energy, and transportation.
3. Ford updates dealership floorplan assistance program to boost inventory turnover
For the first time in over two years, Ford is updating its dealership floorplan assistance program, introducing new rules aimed at financially benefiting retailers and encouraging faster inventory turnover. Starting July 1, the automaker will offer dealers an upfront credit worth one percent of the sticker price on most retail vehicles.
4. UAW workers at Ohio plant approve new contract with significant wage increases
United Auto Workers (UAW) members at the Ohio plant supplying battery cells for General Motors’ electric vehicles have overwhelmingly approved a new contract, marking a significant win for labor rights and wages in the EV sector.
5. Recurrent study reveals the effects of extreme heat on EVs
As the U.S. braces for brutal heat waves, new findings from battery range experts at Recurrent reveal how high temperatures impact the electric vehicle (EV) range. With a heat dome causing dangerously hot conditions across the Midwest and Northeast, heat index temperatures are expected to reach 105°F (41°C) in the coming week. Therefore, understanding the effects of extreme heat on EV performance is crucial.
6. Toyota and Pepco collaborate on V2G research for EVs
Toyota and local energy utility Pepco have joined forces to explore vehicle-to-grid (V2G) technology using a Toyota bZ4X battery electric vehicle (BEV). This initiative will investigate bidirectional power flow technology, which allows BEV owners to charge their cars and send power back to the local energy grid. V2G technology aims to enhance energy reliability, integrate renewables, and potentially reduce consumer electricity costs.
7. Retail used-vehicle sales jump 15.9%, highest monthly volume since 2022
Retail used-vehicle sales in May saw a significant increase, marking the highest level this year, according to an analysis of Cox Automotive’s vAuto data. Sales rose by 15.9% month-over-month, with 1.62 million used vehicles sold at retail through both franchised and independent dealers, marking a 15.8% increase compared to May 2022. The days’ supply of used vehicles, which had been at 48 at the start of May, dropped back to 45 days by the beginning of June due to the uptick in sales.
8. The future of flying cars: A closer look at personal mobility – Tim Jackson
How close are we to seeing the flying cars we’ve speculated about for centuries? In his recent book, Dude, where’s my flying car? A fascinating look at the past, present, and incredible future of personal mobility, Tim Jackson, a renowned figure in the automotive industry and the Former President and CEO of the Colorado Automobile Dealers Association, lends his unique perspective on how far we’ve come and where we’re going on the latest episode of CBT Now.
9. Tom Maoli reveals insight into market trends, political implications, and business strategies
According to Edmunds, BMW led U.S. luxury sales in the first quarter. As elections quickly approach, what implications will they have for the high-end luxury car market? On today’s episode of Inside Automotive, Tom Maoli, president and CEO of Celebrity Motor Car, is here to share his thoughts on what we’re seeing in the market and economy today.
10. Visual video impact is poppin’ – Harness the power of video in follow-up strategies that engage your clients
In today’s fast-paced automotive market, dealerships constantly seek innovative ways to engage customers and streamline their operations. On today’s edition of Loyalty-Based Sales Strategies, Jen Suzuki shares invaluable insights on how incorporating video can revolutionize both the sales and service departments. From enhancing customer understanding to personalizing the buying experience, learn how video can be a game-changer for your dealership in 2024.
