Trade News

EV startup Rivian Automotive, which has struggled with manufacturing issues since its 2021 launch, delivered 12,640 vehicles in the second quarter, beating analyst estimates and sending its stock price higher.

Rivian produced 13,992 vehicles in the April to June period, including its R1T pickup truck, R1S crossover and EDV delivery vans for Amazon, the company said Monday. Rivian doesn't break out production or deliveries by model.

The second-quarter numbers were significantly better than the previous quarter when the California-based automaker delivered 7,946 vehicles out of its Normal, Ill., factory and produced 9,395. Rivian had said EDV van production would be reduced in the first quarter as it moved to an in-house electric motor — rather than a supplier unit — for the vans.

Analytics firm Visible Alpha had estimated Rivian's second-quarter deliveries at 11,000 vehicles, according to Reuters.

Rivian's battered stock price rose about 17 perce…

Dealership management system provider CDK Global has acquired full ownership of Computerized Vehicle Registration, a provider of certified electronic vehicle registrations.

Based in Petaluma, Calif., CVR had been backed by CDK and competitor Reynolds and Reynolds, according to CVR's website. The company will operate as a CDK business, but CVR products will continue to integrate with Reynolds and Reynolds and other DMS providers, CDK said in its June 30 deal announcement.

"Reynolds was a minority owner of CVR. As we continue to look forward to growth and innovation, now was the right time to sell our small stake," said Chris Walsh, president of Reynolds and Reynolds.

CDK could not be reached for comment. Neither CDK nor CVR disclosed financial terms.

CDK said the acquisition is the first since investment firm Brookfield Business Partners acquired the Hoffman Estates, Ill.-based company for $8.3 billion in July 2022. It aligns with the company's foc…

Pent-up consumer demand and improving supply buoyed Nissan Motor Co.'s sales recovery in the key U.S. market again in the second quarter.

The automaker's U.S. sales surged 33 percent to 244,353 in the second quarter, lifting the year-to-date improvement to 25 percent.

The Nissan division sold 227,824 vehicles in the second quarter, 32 percent more than a year earlier. Infiniti's volume climbed 57 percent to 16,529 vehicles.

Judy Wheeler, Nissan division vice president of sales and regional operations in the U.S., said supply, especially of core models, has "improved substantially."

The improved supply comes as consumer interest perks up with inflation concerns ebbing somewhat.

"There's still some pent-up demand out there of consumers that waited," Wheeler told Automotive News on Monday. "Although, they are being more particular than they were two years ago."

Nissan's robust lineup of small, fuel-efficient models is lifting sales. Read more

Stellantis' U.S. sales rose 6 percent in the second quarter, breaking a streak of seven consecutive quarterly declines, though the Jeep brand is still looking for better traction as the overall market rebounds sharply from the pandemic and chronic parts shortages.

Sales by Jeep, Stellantis' biggest brand, slipped 3 percent, marking its eighth straight quarterly decline. While the brand was down overall, the Wrangler 4xe plug-in hybrid had its best quarter ever as deliveries jumped 56 percent from a year earlier. But overall volume of the Wrangler, Jeep's No. 2 seller after the Grand Cherokee, dropped.

The Wrangler 4xe is America's bestselling plug-in hybrid, followed by the Grand Cherokee 4xe at No. 2. Sales of the Chrysler Pacifica Hybrid, No. 4 among plug-ins, more than doubled in the quarter.

Ram, with flat pickup sales and higher van sales, ended a streak of seven quarterly declines.

Dodge, Chrysler and Ram each achieved sales gains in the q…

Subaru sales jumped 28 percent in June to 55,168 as easing inventory constraints boosted availability, driven by its biggest selling nameplates. June marked the second straight month that Subaru's U.S. sales advanced 28 percent, and its 11th consecutive monthly increase year over year.

Brand: Up 28 percent in June, 15 percent for the first half.

Notable nameplates: Outback, up 24 percent; Crosstrek, up 29 percent; Forester, up 34 percent.

Quote: "With a strong first half of 2023 in the rearview, we're well-positioned to continue our sales growth and meet the demand for vehicles that speak to the lifestyles and needs of our customers," Troy Poston, senior vice president of sales, said in a statement.

Did you know? After struggling for years with the industry's tightest inventories, Subaru's sales have now grown for 11 consecutive months year over year as its dealers reload their stocks. Through the first half, Subaru sales are up 15 percent to 30…

Audi of America Chief Marketing Officer Tara Rush is leaving the automaker.

Rush joined Audi in 2019 as chief communications officer in 2019 and was promoted to CMO in November 2020. She was previously at Heineken USA in the role of chief corporate affairs officer.

Audi of America President Daniel Weissland in a statement to Ad Age said, “Tara was a highly valued member of Audi of America’s executive leadership team during a transformative time within our industry and we are grateful for her many contributions to the business. We wish her all the best on her future endeavors.” 

Rush “plans to take some time to recharge before her next chapter,” Weissland stated in an internal memo. Leading the marketing department on an interim basis will be Jessica Thor, Audi of America’s director for brand strategy; and Maggie Mohiuddin, director of brand channel marketing, Weissland stated in the memo.

During Rush’s tenure, Audi of Amerca changed lead U.…

Tesla Inc. and BYD Co. set sales records in the second quarter, likely widening their lead as the world's top electric-car makers.

Elon Musk-led Tesla delivered 466,140 cars worldwide, beating Wall Street estimates. BYD, China's top-selling car brand, posted its best-ever quarter, selling 700,244 fully electric and plug-in hybrid vehicles.

Tesla's stock rose more than 6 percent in premarket U.S. trading, while BYD's jumped as much as 5 percent in Hong Kong. Shares of EV battery suppliers Contemporary Amperex Technology Co. Ltd. and LG Energy Solution Ltd. also advanced.Tesla has vowed to push for more volume even at the expense of profitability, putting more pressure on legacy carmakers that haven't kept pace on EVs and have ceded overall market share. Volkswagen AG last week announced new leadership for its Audi brand, which fell behind Tesla in the first quarter.

Analysts surveyed by Bloomberg had expected Tesla to deliver 448,350 cars in the last thr…

We are coming off three of the most eventful years in our industry’s history. Production dropped but profits soared. The buy-sell market also exploded as consolidators snapped up hundreds of dealerships even though prices for blue sky had more than doubled. Present conditions remain excellent for dealers, but how do they feel about the future? We spoke with Alan Haig, President of Haig Partners, to get his perspective on the market and what we can expect for dealership valuations and the volume of buy-sells for the balance of 2023.

Q: What changes are you seeing in auto retail? 

Alan Haig: Vehicle production is ramping up at the same time that consumers are feeling pressure from rising vehicle prices and higher interest rates. These factors are decreasing gross profits on new and used vehicles. Fortunately, at the current level, gross profits on new vehicles still are more than twice what they were a few years ago.

Q: Are there any good developments for re…

Tesla Inc. delivered a record 466,140 EVs worldwide in the second quarter, outpacing Wall Street estimates.

The results, posted Sunday, demonstrated that CEO Elon Musk's vow to chase volume by cutting prices have had their intended effect. Analysts Bloomberg surveyed had expected Tesla to ship 448,350 cars in the quarter. “It’s a big beat,” said Ben Kallo of Robert W. Baird in a phone interview Sunday morning.

The deliveries are the most ever in a quarter for Tesla, and an 83 percent increase from a year ago. The company also managed to trim the gap between production and deliveries to 13,560 units in the second quarter. In the first quarter, it produced nearly 18,000 more cars than it delivered to customers.

"Everyone was worried about inventory build, and it looks like they've normalized," said Kallo. "The delta between production and deliveries is shrinking."

Tesla, which sells its cars directly to consumers, has several levers to move vehicl…

When the Inflation Reduction Act was signed into law last summer, one thing was abundantly clear: The future of the U.S. electric vehicle industry will depend greatly on homegrown battery plants.

The law — which has stringent sourcing requirements for vehicles to qualify for tax credits — was designed to boost U.S. manufacturing of EVs and batteries.

In October, Automotive News reporter John Irwin wrote about the incoming wave of battery plant investments following the new law. At the time, Our Next Energy CEO Mujeeb Ijaz said: "We're happy to see the U.S. government focused on the localization of the supply chain, as well as having cell manufacturing be a very big part of the Inflation Reduction Act's purpose."

Fast-forward to today, and you'll see what the act has wrought — quickly.

In this week's issue, Part 3 of our five-part Intelligence Report 2023 details 16 battery plant projects that are underway or close to kicking off in the U.S. and Ca…

A look at the EV battery projects that are mushrooming across North America

When the Inflation Reduction Act was signed into law in summer last year, one thing was abundantly clear: The future of the U.S. electric vehicle industry will depend greatly on home-grown battery plants.

The law — which has stringent sourcing requirements for vehicles to qualify for tax credits — was designed to boost U.S. manufacturing of EVs and batteries.

In October, Automotive News reporter John Irwin wrote about the incoming wave of battery plant investments following the new law. At the time, Our Next Energy CEO Mujeeb Ijaz said: "We're happy to see the U.S. government focused on the localization of the supply chain, as well as having cell manufacturing be a very big part of the Inflation Reduction Act's purpose."

Fast-forward to today, and you'll see what the act has wrought — quickly.

In this week's issue, Part 3 of our five-part Intelligence Report 2023 …

The CEO and co-founder of the electric, hydrofoiling boat startup Navier explores the quiet potential of e-boats in marine transportation and how better utilized waterways can carry both passengers and goods, alleviating on-road traffic.

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