In case you’ve just exited a 60-year coma or immigrated to this country without any prior knowledge of it, Americans have a fondness for pickup trucks. So do automotive manufacturers. Last month, the average selling price for full-size pickups was $47,393. For General Motors, that translates to about $11,000 in profit for each truck sold — but the ceiling is even higher. Two years ago, Ford was rumored to be making $13,000 on each F-Series sold and its domestic competitors weren’t far behind.

Meanwhile, the average haul for an SUV or crossover isn’t likely to surpass $2,000 on its very best days and car profitability is typically even lower (unless you’re Porsche). That’s why “Truck Month” seems to take place five times a year. It’s also why domestic manufactures are going to ensure pickups “dominate” the 2018 North American International Auto Show. Of course, was there ever a year when Detroit’s automotive trade show wasn’t at least partially overrun with trucks?  (Read More…)

If affluent people like one thing, it’s large stores offering heaps of customer service and absolutely nothing to sell. You know the sort of shops I’m referencing. There’s a doorman, a leather couch, and someone who brings you coffee while you browse an inventory consisting of half-a-dozen ludicrously overpriced designer jackets.

A number of premium automotive brands have recently seized on this concept. There are already a handful of luxury brands with physical locations in cities harboring a wealth-intensive populace that offer an ambiance-intensive experience. Not to be outdone, Lincoln has taken that theory the full mile in Newport Beach, California.

While technically a dealership, the Lincoln Experience Center doesn’t sell anything. Instead, it provides patrons with a place to relax and muse about future ownership. There’s a cafe offering complementary coffee, tea, and infused water. Not thirsty? The site also has a “story wall” that provides a rotating collection of artifacts, art, and fashion that somehow relates to the brand. I even found out that they’ll wrap your holiday gifts on December 23rd if you’re in the area. But if you want to buy a car, you’ll have to look elsewhere.  (Read More…)

In case you haven’t kept up with the coverage on the renegotiation of the North American Free Trade Agreement, things haven’t gone well. Despite wrapping the latest round of talks in Washington on Friday, negotiators have made no clear progress on updating the trade deal. Considering a new deal is supposed to be finalized by the end of March, it’s beginning to look as if the NAFTA revamp might be doomed.

The biggest issue crippling the talks continues to be regional-content requirements for cars to qualify for NAFTA benefits. Both Mexico and Canada have described the U.S. content proposals as “unworkable.” (Read More…)

When you desperately want a status-defining automobile from Mercedes-Benz, but haven’t budgeted for it, you have a few of options. You could purchase either the GLA or CLA250 for around $33,000 — or take the nontraditional route, save yourself a bundle, and buy a Metris van. But, since the CLA is technically a “four-door coupe,” there’s nothing out there for sedan shoppers who can’t afford the pricier C-Class.

Benz is planning on changing that by bringing the updated A-Class to the United States next fall, thereby making it the brand’s new entry-level model for the region.  (Read More…)

General Motors has decided to cut ties with Alphons Iacobelli, the former Fiat Chrysler Automobiles labor relations chief accused of embezzling funds earmarked for worker training. That money is believed to have gone into extensive home renovations, the installation of a pool, personal credit card expenses, the leasing of a private jet, a $350,000 Ferrari 458 Spider, and two Mont Blanc pens worth $37,500 each.

While GM suspended Iacobelli in July (after federal officials charged him for his alleged role in a multi-million dollar criminal conspiracy during his time at FCA), it only recently confirmed his departure from the company.  (Read More…)

It seems like we’ve been hearing about it forever — that fateful day when China surpasses the United States by every single metric imaginable and forces everyone to drive its cars. While that premonition has already come to pass in some respects, there’s still no overtly Chinese automobiles milling around on North American roads.

However, manufacturers from The People’s Republic have been looking westward for a decade. I can recall BYD Auto, along with other Chinese firms, having a booth in the basement of the North American International Auto Show way back in 2008. They weren’t there because they had nothing better to do — they were there to size up the competition and let America know they were coming. Of course, nothing happens overnight and Chinese automakers have been a little busy converting their domestic market into the world’s largest. But the time for westward expansion is fast approaching.

(Read More…)

Mini has revealed an ultra-streamlined logo that will begin appearing on the brand’s cars by March of 2018. Abandoning the three-dimensional model as the automaker’s official mark, the new crest isn’t any more exciting but does looks a bit more contemporary.

The new emblem actually made its debut on the Mini EV Concept in late summer. At the time, it wasn’t clear what the purpose of the new logo was. For all we knew it could have been a way of differentiating electrified models from the company’s main lineup, or simply be a way to further streamline the battery-driven concept. Instead, it’s to be the replacement for the old logo and will crop up in all the automotive locales one would expect: the hood, tailgate, steering wheel, and key fob.

(Read More…)

Uber Technologies Inc. received quite a bit of publicity when it purchased autonomous semi truck developer Otto in 2016. Still, it saw even more headlines when it became embroiled in a trade secrets lawsuit with Waymo. That case involved files obtained by Anthony Levandowski, former Google engineer and co-founder of the self-driving truck company, who was accused of selling confidential data to Uber (along with his business).

The bad news is that Uber now the subject of a federal investigation and knee-deep in the aforementioned litigation. But the good news is that it appears to have scored a really sweet deal on Otto.  (Read More…)

American investment manager and short-seller extraordinaire Jim Chanos claims Tesla is “headed for a brick wall.” Having deemed the automaker as structurally unprofitable, Chanos said, “Three years ago, this company was supposed to be making money [today]. And now, it’s supposed to be making money by 2020. I’m guessing by 2019, we’ll hear about 2025.”

However, while Tesla has taken on massive amounts of debt to ensure its evolution as company, investors haven’t seemed to mind. Its stock price has climbed from $33 a share in 2013 to almost $380 in September of 2017. As a short-seller, Chanos says he’s lost money on the company in the past since the stock price never seems to go down, and that’s what he finds the most alarming.

“Nobody is buying Tesla stock based upon the current business,” he said. “It’s all based on the future and the hope for half-a-million to a million Model 3s per year.” (Read More…)

Four officers from the Detroit Police Department pleaded guilty to extortion charges this week, with another two being indicted, after receiving bribes from body shops looking for stolen and abandoned vehicles obtained by the city. Federal investigators have been looking into the scheme, which involves shops collecting thousands of dollars from insurance companies for unnecessary repairs, for well over a year.

The accused officers are believed to have reported stolen or abandoned vehicles to a single towing company, rather than police dispatch. From there, the towing service would pay them a $50 to $100 “finders fee” before notifying the car’s owner that it had been stolen and sustained unspecified damages. Fortunately, the towing service always knew of a repair shop that would “waive the deductible.”

The cars were then stripped so the claims adjuster could quote the vehicle for thousands of dollars in damages.  (Read More…)

Audi CEO Rupert Stadler has announced his company will dismantle the task force assigned to investigate how many of its diesel cars came equipped with defeat devices. The company established the team after Volkswagen Group admitted to selling 11 million diesel models, through its various brands, with illegal engine management software that hid peak NOx emissions during testing.

Even though Volkswagen has found itself smack-dab in the center of another costly controversy, Stadler claims that Audi is on the cusp of wrapping up its own diesel crisis. “We will have documented and processed all the engine/transmission combinations by the end of the first quarter 2018,” the CEO told journalists at Audi’s headquarters in Ingolstadt, Germany, this week.  (Read More…)

Despite a surplus of cities seeking ways to reduce air pollution, electric buses haven’t taken off in the United States as expected. While analysts still anticipate a sudden surge in electrification in the years to come, present-day transit authorities have continued opting for dirty diesels as the primary method of moving urbanites around town.

The primary hurdles are infrastructure and cost. Whereas subway tunnels come with equipped with a third-rail ready to deliver the voltage necessary for mass transit, above-ground applications abandoned wire networks the second the trolley fell out of fashion. Electric buses don’t need either, but they do require reliable charging infrastructure and a larger-than-average initial investment.  (Read More…)

Compared to the rest of the United States, California is on the bleeding edge of government-appointed environmentalism. When the Trump administration suggested reexamining Obama-era fuel economy and emissions standards, The Golden State was the first to complain, saying it would not be adjusting its goals just because the rest of the country may. It also has pretty serious mandate on zero-emission vehicles — one that forces 15 percent of all new vehicles sold in the state to use zero-emission powertrains by 2025.

While California isn’t alone — nine other states have followed its lead since Trump took office — it is the keystone star on America’s flag pushing to maintain expand fuel regulations. Automakers have noticed and, despite previously having agreed with President Obama’s emission standards several years back, they’re launching a counter-offensive.

Arguing before a U.S. House panel, the Association of Global Automakers complained that California’s ZEV mandate threatens a single national standard for fuel economy. (Read More…)

Back in 2015, Volvo Cars reiterated that it would test hundreds of autonomous vehicles in the United Kingdom, Sweden, and China by 2018 as part of its Drive Me project. Using cars equipped with advanced autonomous technology, the initiative hoped to help Volvo understand how customers interact with self-driving cars.

However, the automaker appears to have tweaked that plan in a recent press release. Instead of families helping Volvo test new autonomous vehicles, they’ll help develop them by cruising around in well-equipped XC90s. While we can’t cry foul too loudly, Volvo has used highly suggestive language for the last few years. It previously claimed it would have “death-proof” cars on the road by 2020 and alluded to Drive Me using fully autonomous test vehicles — not commercially available models.  (Read More…)

Florida lawmakers are pushing a new bill that would make it illegal to have your car stolen if you haven’t bothered to take the keys out of the ignition. While accidentally prepping a car for prospective thieves is easily one of the dumbest things you can do, making it illegal to leave it running while you pop in to buy a pack of gum sets us up for a nice slippery slope argument.

Last week, State Representative Wengay Newton and Senator Perry Thurston introduced matching proposals (House Bill 927 and Senate Bill 1112) that would make leaving your car unattended without stopping the engine, locking the ignition, and removing the key a second-degree misdemeanor. Under the Florida statute, the crime would be punishable with a $500 fine and up to 60 days in jail. (Read More…)