Trade News

Elon Musk is counting on full-self driving and other new technologies and vehicles at Tesla Inc. continue to drive the electric carmaker's value far beyond its automotive rivals. 

Some analysts and investors worry that Tesla's industry-leading market valuation is threatened by factors including price cuts that have undermined its margins, delays in rolling out new models and revisions to its full self-driving software. 

"Tesla faces an increasingly uphill battle to secure its competitive position, which makes its current valuation look even more unrealistic," said David Trainer, CEO of investment research firm New Constructs. "The Tesla bull case has centered around the company's growth goals, which it is failing to meet." 

Tesla's stock, which dropped 9.75 percent to $162.99 on Thursday, is valued at about 43 times expected earnings, down from astronomical levels above 200 times in 2021, according to Refinitiv data. Even after that drop,…

A West Coast auto retailer bought and sold dealerships, a dealer acquired his first Ford store, a group grew to three stores and two brothers expanded their holdings, all in transactions that closed in the second and fourth quarters of 2022 and the first quarter this year.

Here's a look at the deals involving import and domestic stores and dealerships in Montana, Washington, Texas, Massachusetts and Iowa.

Campbell Auto buys one store, divests anotherCampbell Auto Group ventured outside of Washington for the first time with its latest acquisition, while also recently selling a Seattle area dealership.

Campbell Auto, of Edmonds, Wash., north of Seattle, on June 1 bought Billion Kia of Missoula in Montana from Billion Automotive, according to Kurt Campbell, who co-owns the Campbell group with his brother, Craig.

"My brother fell in love with Montana," Kurt Campbell told Automotive News. "And then this Kia opportunity came up and we decided to go for…

The two existing Hyundai and Kia U.S. factories could play a key role in Hyundai Motor Group's strategy to localize electric vehicle production ahead of the 2025 opening of its massive $5.5 billion Metaplant in Georgia.

Six new models for Hyundai, Genesis and sibling Kia will come from the EV and battery complex under construction outside Savannah.

Jose Muñoz, CEO of Hyundai and Genesis Motor North America, told Automotive News at the New York auto show this month that all of the EVs Hyundai and Genesis will sell by 2030, which are expected to account for half of its sales, will be built in the U.S.

The Metaplant will have the capacity to build up to 500,000 EVs depending on demand, but its opening is still two years away. In the meantime, Hyundai Motor Group is mobilizing the plants it already operates in the U.S.

Last spring, Hyundai's plant in Montgomery, Ala., underwent a $300 million upgrade that lasted five months to add a battery installat…

TOKYO — Toyota Motor Corp.'s CEO on Friday gave a stark assessment of the Japanese automaker's work ahead in China, saying it must move faster as competition in the world's biggest auto market surges.

Toyota is under pressure in China from local brands such as BYD Co. that have moved aggressively in tapping into the country's growing market for battery-powered and plug-in hybrid electric vehicles.

"We need to increase our speed and efforts to firmly meet the customer expectations in the Chinese market," Toyota CEO Koji Sato, said during a roundtable interview with members of the foreign media in Tokyo.

"Considering the impact of the Shanghai motor show, I believe China will become an advanced market for EVs."

The world's biggest automaker by sales used the Shanghai auto show this week to unveil two new EVs, a move that will double the number of EVs it markets in China under its mainstream brand.

The company said this month it will la…

Polestar will take over part of Saab's former car plant in Sweden to extend its R&D operations in Europe.

The EV maker will conduct powertrain development for the Polestar 5, a Tesla Model S rival, and the Polestar 6 roadster at a 15,000-square-meter building in Trollhattan, Automotive News Europe sister publication Automobilwoche reported.

Polestar will also test powertrains, electric motors and batteries for the upcoming models at the new R&D center.

Polestar will rent the building from the city of Trollhattan, Automobilwoche said.

The site was previously used for powertrain development by Saab and then by National Electric Vehicle Sweden (NEVS).

Saab collapsed in 2011 and NEVS closed down last month.

Polestar also has R&D facilities in Gothenburg, Sweden, which is about 90 km south of Trollhattan, and in Coventry, England. In England the automaker is developing its own lightweight bonded-aluminum platform that will un…

Maserati wants to give customers the luxury of choice amid the industry's shift to electric vehicles.

The new Grecale crossover, with its numerous powertrain offerings, is a prime example of this approach.

The Grecale, which arrived in the U.S. in late 2022, has two mild-hybrid trims and a high-performance conventional gasoline model with a 523-hp V-6 engine derived from Maserati's MC20 supercar. The next step for the Grecale is full electrification, and when that version arrives in the fourth quarter, it will be the Italian brand's first electric crossover.

The story is the same across Maserati's portfolio, with a mix of internal combustion engines that includes V-8 entries and a promise of broader electrification.

Maserati is not a large brand, but the support from parent company Stellantis has enabled it to pursue such a varied slate.

"The only reason we can do this is because we're part of Stellantis," Maserati Americas CEO William Pef…

DETROIT — The development of a new, nonlinear supply chain will be key to unlocking hundreds of billions of dollars in potential annual revenue from software, industry executives said on a panel at SAE's World Congress.

The traditional supplier tier model is "falling apart," said Maria Anhalt, CEO of software specialist Elektrobit. As automakers look to develop software-defined vehicles, they're increasingly working directly with software providers or tech companies instead of relying solely on traditional Tier 1 suppliers, she said.

"Many OEMs or tech giants come directly to us to start collaborating or co-developing something," she said during a Wednesday panel. "It's not like a tier hierarchy anymore. It's not a chain. It's a graph that can be pulled in both directions."

Industry executives expect much of the value of future vehicle models to stem from software products and services instead of simply the initial sale of the vehicle. Investment bank U…

A conversation with Lincoln’s new president Dianne Craig, who says the brand needs fewer dealers and a more flexible EV strategy. Plus, income drops for AutoNation and Ally in the first quarter, and profits fall for Tesla.

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Today, inflation continues to drive up prices across the automotive sector, including auto repair parts and labor costs. In fact, service contract repair claims have experienced double-digit increases, threatening the profitability of this vital source of revenue.

In Assurant’s recent Global Auto Mechanical Repair Inflation Report, you’ll discover:

What’s driving repair inflation Where repair inflation is trending now How employment trends drive up dealer costs How dealers can maintain F&I profitability in an inflationary environment

Today's consumers are under pressure -- and it shows.

In recent US research, GfK Consumer Life learned that “price is the most important factor in my purchase decisions” is now the #8 leading attitude among 41 tracked – up from #13 in 2008. By contrast, Americans now are much less likely to say, “I'm a spender, not a saver.”

As they search for their next cars, today’s auto intenders are contending with powerful and sometimes competing marketplace forces.

In this all-new guide from GfK AutoMobility®, understand the desires, fears, and expectations that underlie these key issues, with guidance on how car makers and sellers can respond and move toward success.

Affordability – Learn which buyers and vehicle types are being hit the hardest by today’s affordability “crisis” – and what the future may hold when it comes to pricing and financing. Stay-at-home culture – Discover how work-at-home arrangements have transformed intender needs and preferences, and what other trends seem destined to be shaping the marketplace for years to come. Sustainability – Understand what consumers really expect of brands today when it comes to sustainability, and how can auto makers avoid claims of “green washing” from activist consumers?Download this rich and insightful playbook of the key issues facing auto maker…

Jaguar Land Rover will now be called JLR in a rebrand that shifts the focus onto four subbrands: Range Rover, Discovery, Defender and Jaguar.

JLR will become a "House of Brands" in a change of strategy that will help "amplify the uniqueness of our characterful British marques," Gerry McGovern, chief creative officer, said in a statement.

JLR has been trying in recent years to separate its mainly SUV lineup and create more distinction between vehicles by giving them discrete personalities.

The strategy within Land Rover since 2021 has been to separate vehicles into three "pillars," with Range Rover taking the lead on luxury, Discovery focusing on families, and Defender drawing on its off-road roots to major in durability.

With the updated strategy, each Land Rover pillar is turned into a fully fledged brand, joined by the newly luxurious Jaguar.

JLR announced Wednesday that Jaguar's first car under its new strategy will be a four-door elec…