Trade News

Polestar and Gores Guggenheim, the special purpose acquisition company planning to merge with EV maker, said Tuesday that they expect the deal to raise at least $850 million.

The companies foresee the merger closing on Thursday, subject to Gores Guggenheim stockholder approval.

If that happens, Gores Guggenheim's Nasdaq listing under the ticket symbol GGPI will switch to the combined companies' new symbol, PSNY, and start trading in New York on Friday.

A bell-ringing ceremony in New York is planned for June 28 as Sweden has a national holiday on Friday.

Polestar first announced plans to list as a public company on the Nasdaq with Gores Guggenheim last September.

The companies noted Tuesday that the preliminary redemption elections are expected to reach a maximum of 25 percent. The lower the number the better for redemptions, as it shows Gores Guggenheim's shareholders back the merger, according to a source close to the deal.

“T…

The Toyota Sequoia has grown bigger and more refined, with greatly improved fuel economy and increased driver-assistance and technology features as part of a sweeping makeover that sees the SUV migrate to the automaker's new F1 global light-truck platform.

The big SUV's first major redesign in more than a decade should allow the Sequoia to better compete against large body-on-frame SUVs such as the GMC Yukon, Jeep Wagoneer and Ford Expedition.

The 2023 Toyota Sequoia goes on sale late this summer priced from $59,795, including shipping. The three-row, body-on-frame SUV comes standard with Toyota's new iForce Max hybridized powertrain that debuted on the 2022 Tundra full-size pickup. It was designed and engineered specifically to improve power and torque instead of just fuel economy.

The iForce Max powertrain produces a maximum 437 hp and 583 pound-feet of torque from a twin-turbo V-6 engine and 10-speed automatic transmission, givin…

DOHA -- Tesla Inc. CEO Elon Musk said a 10 percent cut in salaried staff at the electric vehicle producer will happen over three months, as the world's richest man predicted a U.S. recession was more likely than not.

His remarks were his most detailed explanation of job cut plans and his first in-person appearance since Reuters reported at the start of this month that the company needed to cut staff by about 10% and was pausing hiring worldwide.

Speaking at the Qatar Economic Forum organized by Bloomberg, Musk said the cuts would apply only to salaried workers, meaning a 3.5 percent reduction in total headcount, changes he described as "not super material."

But he expressed concern about the prospect of a U.S. recession.

"It's not a certainty, but it appears more likely than not," he said.

Musk's outlook echoes comments from executives, including JPMorgan Chase & Co CEO Jamie Dimon and Goldman Sachs President John Waldron. A "hurricane…

Maryann Keller, one of the first women on Wall Street to cover the auto industry and later a widely respected consultant who became a formidable critic of management at Detroit's automakers, died on Thursday, June 16. She was 78.

The Office of the Chief Medical Examiner of Connecticut confirmed her death.

Keller, routinely the No. 1 auto analyst in Institutional Investor's widely watched ranking of the top stock pickers at leading brokerage houses, wielded enormous clout and influence over boardrooms and showrooms. Her books, meticulously reported with unprecedented access to company insiders, became must-reads for dealers, suppliers, journalists and anyone else who desired to go behind the scenes.

Her clarity and insight, biting at times, could move a company's stock price in either direction with the release of a new report, or a traditional buy or sell call.

With an appreciation for comprehensive, hands-on research, well before the Internet an…

Mercedes-Benz has named Paul Gao, most recently a senior partner at McKinsey in Hong Kong, to the newly created post of chief strategy officer, with a special focus on Asian markets.

Gao has spent the last 20 years at McKinsey, where he has advised international and Chinese automakers on all aspects of the business, from product development to corporate strategy, Mercedes said in a news release on Tuesday. 

At Mercedes, he will report to CEO Ola Kallenius and will steer the company's overall strategy.

Gao has "essential know-how about China and other Asian growth markets," Kallenius said in the release. "This makes Paul the right choice to further enhance the international profile of our brand, our management and our company."

China is Mercedes's largest market, with 758,863 sales in 2021, a decline of 2 percent over 2020. That represents about 36 percent of Mercedes’ global passenger car sales.

Chinese buyers prefer the au…

Tesla Inc. was sued by some former employees who claim the company’s decision to lay off about 10 percent of its workforce violated federal law by failing to provide the required advance notice for the job cuts.

Two workers fired this month from Tesla’s battery factory near Reno, Nevada, allege the company didn’t comply with the 60-day notification requirement under the Worker Adjustment and Retraining Notification Act, according to the lawsuit they filed late Sunday in U.S. District Court in Austin, Texas. 

John Lynch and Daxton Hartsfield, who worked at the plant for about five years, were among more than 500 employees at the facility that were let go, according to the suit. The two men claim neither was given any advance notice of the termination. They are seeking class-action status for their lawsuit on behalf of others who were part of mass layoffs in May and June. 

The so-called WARN Act requires companies to provide 60-day notice before …

The U.S. power grid needs a jolt ahead of the EV influx. Ferrari won’t hand over its driving functions completely to computers. Standalone, single-franchise stores have been hot in the recent buy-sell frenzy. Plus, Rep. Debbie Dingell (D-MI) talks about what policymakers need to do to make EVs affordable for more Americans.

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SHANGHAI -- Tesla Inc. vehicles will be prohibited from entering the Chinese coastal district of Beidaihe, site of a secretive annual summer party leadership conclave, for at least two months starting on July 1, a local traffic police official told Reuters on Monday.

The decision by the Beidaihe authorities comes just weeks after Tesla EVs were also barred from driving on to some roads in the central city of Chengdu in early June, which coincided with a visit by Chinese President Xi Jinping to the city.

The official from the Beidaihe Traffic Police Brigade, who declined to give his name, did not provide a reason for the move but said it concerned "national affairs". An announcement will be made soon, the official said.

Tesla did not immediately respond to a request for comment.

Beidaihe, a beach resort east of Beijing, traditionally hosts a summer conclave of China's senior leaders where they discuss personnel moves and policy ideas behind closed …

Tesla might have to raise wages in Germany if it wants to achieve its goal of hiring thousands of additional workers for its factory near Berlin, according to the country’s leading automotive labor union.

IG Metall is getting reports from Tesla staff at the Gruenheide site who are complaining about inadequate or unequal wages, the union said Monday.

Skilled workers are getting around 20 percent less at the plant than at rival automakers with IG Metall wage agreements, the group added, citing its own analysis.

Tesla’s recruitment “is not progressing at the planned speed,” Birgit Dietze, a regional IG Metall chief, said. “Many people would be interested in switching to Tesla, but ultimately decide against it, also because they sometimes earn considerably more in their current positions at other automotive companies.”

Tesla expects to eventually employ 12,000 people at the Gruenheide site once full vehicle production is underway alongside a battery…

Two of the largest privately held dealership groups in the country, as well as two small companies — including a Canadian duo who bought their first U.S. store — grew their footprints with second-quarter acquisitions.

Here's a look at the deals involving import and domestic dealerships in New York, Arizona, Illinois and Colorado.

Two transactions involved an auto retailer ranked on Automotive News' top 150 dealership groups list.

Expanding West Herr Automotive Group bolstered its automaker portfolio with this month's purchase of a Mazda dealership, the group's first.

West Herr on June 13 bought Ontario Mazda in Canandaigua, N.Y., from Dan Richards. The dealership was renamed West Herr Mazda of Canandaigua.

Canandaigua is southeast of Rochester and west of Syracuse.

The Mazda store is West Herr's third dealership purchase in less than a month. West Herr bought a Honda store in Canandaigua on May 25 and a Chevrolet dealership in Roch…

“No one will ever buy those online.” That used to be the conventional wisdom about clothes and home furnishings, yet eCommerce sales of both apparel and furniture increased by more than 20% in 2021.1 Consumers who used to feel strongly about seeing, touching, and trying out these items before purchase chose convenience (backed by reasonable return policies) and made the leap to online shopping.

For those who think financed vehicles are too big and complicated of an investment for eCommerce purchase, look at the residential real estate industry. Today, consumers are increasingly purchasing homes online, cross-state or even in-state, without seeing them in-person—and arranging their mortgage financing online as well.2

The reality is that consumer preferences are driving a major shift in automotive retail as well, toward eCommerce vehicle transactions. Research shows that 76% of today’s car buyers are open to buying completely online,3 although consumers still ne…

Paulo da Silva from Cox Digital Commerce discusses online car buying trends, automated experiences, machine learning, and how organizations can optimize these technologies to meet customer needs