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Posts By: Matt Posky
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Matt Posky on August 26, 2020

Ford has been pretty clear that it wants to offer the Bronco in an array of flavors catering to numerous customer types. While the Bronco Sport name has been reserved for its smaller sibling (an interesting decision straight out of the Mitsubishi and Nissan playbook), it was assumed the Blue Oval would eventually provide us with a hardcore variant of the larger model. The mere existence of the Baja-blasting Bronco R seemed to suggest that Ford was already considering the possibility, while the Ranger Raptor filled us with hope that the company would put those plans into action.
It may have already. Reports have surfaced that a Ford engineer updated their LinkedIn profile to include they were now an “EDS Systems Engineer” for the “2021 Bronco” and “2023 Bronco Raptor.” (Read More…)
By
Matt Posky on August 26, 2020

Alleged absenteeism stemming from the coronavirus outbreak encouraged General Motors to place salaried volunteers on assembly lines in Wentzville, MO. This has not gone over well with the UAW, which suggests GM’s decision to utilize non-union staff is in direct violation of its 2019 labor contract. The union claims white-collar workers have no business being on assembly lines and has issued a formal warning to the automaker.
Established in 1983 as a stamping and production facility, the site is currently responsible for General Motors’ full-size vans (e.g. Chevrolet Express) and midsize trucks (Chevy Colorado/GMC Canyon). The facility has room for 4,560 employees — most of whom are hourly. Those employees are split between the the usual three shifts, with GM claiming difficulties in keeping them populated.
In July, the company said it might have to reduce the plant to just two shifts before pressure from outside convinced it otherwise. This led to the automaker seeking about 200 temporary workers and placing ads with local outlets. (Read More…)
By
Matt Posky on August 26, 2020

General Motors and Ford Motor Company are about to conclude their prolonged stint of ventilator production. In case you were unaware, these businesses typically manufacturer automobiles (cars, for the layperson) and have allocated a portion of their factory space to build medical equipment that was assumed to be useful during the pandemic. However, the United States now has more ventilators than it knows what to do with, and most of them seem like they won’t be required — so it’s mission accomplished, unless COVID-19 suddenly becomes a much more vicious illness.
Either way, GM and Ford both plan to re-prioritize vehicle production. The Blue Oval moved core staff off ventilator lines and back to their normal places of assembly months ago. Some of the remaining temporary workers hired to assist with the medical equipment are said to have an opportunity building the new Ford Bronco. Meanwhile, GM says it wants to move ventilator production to a facility in Kokomo, Indiana, next month, where it will hand operations over to Ventec Life Systems as it regains the union employs allocated for the project. Temporary hires will be absorbed by Ventec. (Read More…)
By
Matt Posky on August 25, 2020

While the national response to the pandemic may have ruined countless small businesses and collectively diminished our mental health, state-level lockdowns have also served as an effective political cudgel and permitted Congress to enact trillion-dollar bailouts benefiting some of the world’s wealthiest companies.
Oh, wait — that also seems bad. I meant to say “…renewed the public interest in some of America’s forgotten pastimes.”
Even though baseball doesn’t seem to be performing all that well without fans, apple pie is still broadly appreciated and drive-in theaters appear to be making a miraculous recovery despite spending the last few decades teetering on the precipice of permanent obsolescence. Taco Bell has likewise reevaluated how to reach its customers in the COVID-era, and similarly assumed the automobile might be an important element in its future plans. As a result, it’s revisiting the concept of fast food drive-in restaurants made popular in the mid-20th century and setting up some new ones for the 21st. (Read More…)
By
Matt Posky on August 25, 2020

Honda Motor Co. has agreed to pay $84.2 million to settle an investigation conducted by American states regarding its use of the famously defective Takata airbags — units linked to numerous deaths and hundreds of injuries.
Honda recalled about 12.9 million vehicles (some of them Acura models) equipped with inflation devices that ran the risk of accumulating moisture to the point where the propellant inside could destabilize, leading to an overly forceful explosion during an impact. Upon rupturing, these units could effectively spray shrapnel into the cabin area.
While Honda’s first major recalls were enacted in 2008, by 2013 millions of vehicles were in the process of being retracted by rival manufacturers that also used Takata as a supplier. And it just kept getting bigger until it was the largest recall in history, with Honda receiving the most ire due to the high number of fatalities suffered within its vehicles — and for having prior knowledge of the defects. (Read More…)
By
Matt Posky on August 25, 2020

Frequently on the cutting edges of technology, the automotive industry has been slamming chips into vehicles to facilitate communications ever since General Motors launched OnStar back in 1996. This evolved into cars boasting reliable navigation systems and remote vehicle diagnostics until they literally started becoming mobile internet hot spots.
Now the industry wants to further ingrain connectivity by equipping all vehicles with 5G — opening the road for new features and the ability to harvest your personal data more effectively.
This has required deals with tech chip manufacturers like Qualcomm, which requires companies to sign a patent license agreement before actually selling any of its hardware or software. But regulators around the globe worried the practice may be monopolistic, violating antitrust laws. The Federal Trade Commission (FTC) brought a case against the business in 2017. Despite winning that case in 2019, a U.S. appeals court overturned the decision earlier this month, deciding Qualcomm could continue conducting business as usual. Now, tech companies (mainly Qualcomm rivals) and a gaggle of automakers are urging the FTC to seek an appeal following the loss. (Read More…)
By
Matt Posky on August 24, 2020

When we last checked in on the Volkswagen Passat, the manufacturer was rumored to be considering removing the model from its production lineup. Jetta’s bigger brother failed to garner much attention after its last update, and it just so happens to exist within a vehicle segment that has has seen far better days. Combine that with VW heaping added importance on a lineup of fresh new EVs, and there was good reason to think the family sedan was living on borrowed time.
Despite some company brass eager to kill off the model, it has been decided that the Passat will stick with us a while longer. Autocar recently reported the car has been approved for another generation, expecting it to launch in Europe in 2023. (Read More…)
By
Matt Posky on August 24, 2020

AutoNation’s collision parts division is scheduled to be eliminated by the end of 2020, freeing up some cash after the two-year endeavor proved less than profitable.
Former CEO Cheryl Miller had made it clear that one of her main goals for the company was to ramp up services in an attempt to enhance revenue and diversify the business. But this tactic has proven perilous for the automotive industry at large, often offsetting opportunities to make money with sizable financial risks.
Mobility is probably the best example of this, as its broad enough to encompass everything from self-driving vehicles to subscription models and relies on the market maturing into something that will presumably see returns on investment years down the line. However, AutoNation’s diversification was far more traditional. It seemed like a sure thing, since the collision parts business was forecast to grow over the next five years. In fact, despite being the the largest automotive retailer in the United States, the company actually owes 46 percent of its gross profit to parts and service. Selling cars (both new and used) only accounts for 24 percent — with the rest coming from finance and insurance. (Read More…)
By
Matt Posky on August 24, 2020

Today’s automobiles are loaded with the kind of technology our grandparents could only dream about. Unfortunately, some dreams aren’t all they’re cracked up to be, and we’ve often bemoaned the many annoyances associated with modern vehicles.
J.D. Power recently shared its Tech Experience Index (TXI) Study, which has been modified to better assess specific features American drivers did and did not enjoy. The general takeaway seems to be that the average motorist feels pretty good about outward-facing cameras and anything else that improves a car’s outward visibility (handy in an era of extra chubby structural pillars).
However, the more intrusive safety inclusions that actively modify how the vehicle responds to the world around it didn’t seem to get nearly as much love, with many respondents suggesting they don’t trust the systems to behave in a predictable manner. It’s something we’re in broad agreement with and echoes many of the complaints we’ve heard from readers, friends, or rattling within our own skulls. (Read More…)
By
Matt Posky on August 21, 2020

Keen to sweep as much attention away from the 2020 Democratic National Convention as possible, President Donald Trump campaigned in Old Forge, PA while Joe Biden accepted the Democratic nomination at a largely virtual event. You’ll be forgiven for not having watched either, as both amounted to little more than bashing the opposing side with nary a hint of actual policy. But Trump came the closest to offering something truly substantive, reiterating threats to companies to bring factory jobs back to the U.S. or suffer the consequences.
The president insisted that manufacturers would soon find themselves in a situation that benefits America whether they complied or not. “We will give tax credits to companies to bring jobs back to America, and if they don’t do it, we will put tariffs on those companies, and they will have to pay us a lot of money,” Trump said during the event. (Read More…)
By
Matt Posky on August 21, 2020

The battle between the purveyors of ride-hailing apps and the State of California has been an interesting one. The West Coast’s gig economy looked ready to be nuked from orbit following the passing of Assembly Bill 5 (AB5), leaving a glassy crater of jobless part-timers and the corporations that were dependent upon them — even though the stated goal of the rule was to protect gig workers from being taken advantage of.
Uber and Lyft looked to be the most impacted by the new law, as their entire business structure revolves around managing fares for drivers whose status as “independent contractors” was up for debate.
Claiming that hiring drivers as full-fledged employees would make the existing business model untenable, Uber and Lyft suggested they were looking into alternative solutions while fighting legal battles that would effectively make them exempt from the new law. San Francisco Superior Court Judge Ethan P. Schulman threw cold water on that concept when he ruled against the duo, saying drivers were essential to ride-hailing operations and needed to be treated as regular employees receiving the full benefits they’re entitled to.
The corporations’ last hope was double down on threat to leave the state and hope a California appeals court would grant them an extension to stage another legal fight, or just comply with AB5… which is exactly what happened on Thursday afternoon. (Read More…)
By
Matt Posky on August 21, 2020

The 2021 Washington, D.C. Auto Show has been postponed to buy organizers time to prepare for a virus everyone has known about since the start of 2020.
“We believe this scheduling change is in the best interests of our attendees, our partnering auto manufacturers, and the District of Columbia,” Washington, D.C. Auto Show CEO John O’Donnell said in a release on Friday. “Our top priority is to ensure the safety of all involved in this show, and we believe strongly that a two-month delay will better allow us to produce the type of well-rounded and immersive show that our attendees are accustomed to.”
Originally scheduled to open on January 29th, the motor show will now take place between March 26th and April 4th. That’s assuming the event isn’t outright cancelled, anyway. That’s been the trend for automotive trade shows and most major events since we decided “15 Days to Slow the Spread” would just reset at the end of the second week and COVID-19 became Schrödinger’s Virus thanks to some of the least consistent reporting in modern history. (Read More…)
By
Matt Posky on August 20, 2020

As Uber contemplates ways to avoid having to close up shop in California following the passing Assembly Bill 5, Lyft is simply suspending operations as it waits to see how the appeals process works out.
On Thursday, the fuchsia-themed ride-hailing firm said it would not be able to maintain business as usual in the Golden State, citing several of the reasons we prognosticated in yesterday’s article about Uber mulling a franchise model. Included in the release was an inability to hire enough drivers in a manner that would appease the new law, resulting in reduced service (especially in suburban and rural areas), and a pricing increase deemed unfeasible for existing customers if implemented. (Read More…)
By
Matt Posky on August 20, 2020

Goodyear found itself in a hornet’s nest this week, following a leaked diversity training slideshow that included a ban on Make America Great Again (MAGA) attire and sentiments. Incoming Goodyear employees at its plant in Topeka, Kansas, were allegedly warned about inappropriate political displays.
While “Black Lives Matter” and “Lesbian, Gay, Bisexual, Transgender Pride” were considered acceptable, “Blue Lives Matter,” “All Lives Matter,” “MAGA Attire” and “Political Affiliated Slogans or Material” were listed in the unacceptable section.
The leak quickly garnered ire from President Trump as it circulated around the internet, who used social media to effectively support the preexisting campaign to boycott the company’s tires — adding that he would make sure Goodyear rubber is removed from the presidential limousine, posthaste. As you might have expected, this kicked up a media storm that brought more attention to the boycott Goodyear never wanted, while also placing it the center of a political fracas. (Read More…)
By
Matt Posky on August 20, 2020

Chinese automaker Nio is planning to allow customers to lease vehicle batteries independently from the cars themselves, and has involved Contemporary Amperex Technology (CATL) in the venture.
Considering EVs are useless without their battery, leasing an essential component seems to serve little purpose on its face. But Nio intends to sell its ES6 crossover for 273,600 yuan ($39,500) in China with the option to lease the battery for 980 yuan a month. Customers can also choose to purchase the entire vehicle outright for 343,600 yuan ($49,600) if they haven’t tricked themselves into believing a better battery is less than a year away.
This is a weird one, because the stated purpose is to lower the vehicle’s upfront costs. But it’s just a paperweight without an energy source, forcing customers to lease the power pack if they want to use the vehicle — and at no small cost. The companies announced the new program in Beijing on Thursday with Nio CEO William Li stating his company plans to enter Europe in the second half of 2021. Hopefully they’ll be dumb enough to accept the batteries-as-a-service premise. (Read More…)
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