Trade News

Carvana expects a record third quarter across several metrics, reflecting how well-positioned the online used-vehicle retailer has been for the effects of the coronavirus pandemic on the market.

Carvana said in a release Tuesday it expects to post company records in retail vehicle sales, total revenue, total gross profit per vehicle and EBITDA margin in the third quarter. The company, which has not posted a net profit since going public in April 2017, said it also expects to be approximately breakeven in earnings before interest, taxes, depreciation and amortization for the quarter.

The pandemic forced many dealers into online-only sales and temporarily sapped used-vehicle sales in March and April. But used-vehicle sales have since rebounded on pent-up demand and low new-vehicle inventory.

In May, Carvana told investors it had seen a sales trough in early April — about a 30 percent decline — but had since enjoyed a swift improvement in business. That imp…

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CarMax Inc. has reached a settlement with the EPA over alleged violations of the Clean Water Act at the company's store in Independence, Mo., the EPA said Monday.

The used-vehicle retailer has agreed to pay a $119,440 fine after "thousands of gallons of gasoline" were discharged into a nearby creek because of a corroded pipe attached to a petroleum storage tank, according to the agency. The storage tank is used to fill up the store's vehicles.

CarMax neither admitted nor denied wrongdoing as part of the settlement. The company said it followed correct protocols to quickly remediate the problem following the accidental discharge.

The company became aware of the leak into the creek in July 2019 and notified the EPA's National Response Center and the Missouri Department of Natural Resources, the EPA said in its order.

About 19,000 gallons of gasoline leaked from the facility into Camp Creek and could have started as early as April 2019, according to …

DETROIT — The Detroit auto show is changing dates — again.

After reimagining the new vehicle showcase as a summertime indoor/outdoor event, originally scheduled for June 2020 but postponed a year because of the coronavirus pandemic, show organizers said Monday the event would take place Sept. 28 to Oct. 9, 2021, and would remain in the fall moving forward.

The change comes weeks after organizers for the Los Angeles Auto Show said they would move the 2020 show from November to May 2021, wedging itself in between the New York and Detroit shows. And in Europe, the Geneva auto show is considering a March 2021 date.

"Our responsibility as an auto show is to host a global stage for current products as well as mobility innovations of tomorrow," North American International Auto Show Executive Director Rod Alberts said in a statement. "September is an excellent time of year for new product, and at the same time, alleviates the challenges a now crowded spring aut…

DETROIT — The 2021 Chevrolet Silverado will offer a multifunctional tailgate, similar to the GMC Sierra's, along with major boosts in trailering power and enhanced trailering technology.

The Silverado's Multi-Flex Tailgate, reported by Automotive News last month, offers six functions and allows for easier access to bed cargo, a better loading entry and a standing workstation. The tailgate will be available early next year on 2021 Silverado 1500 models, Chevy said in a statement Monday.

The Multi-Flex Tailgate features a main gate that folds out and down, along with a cross-functional inner gate to help with loading access as well as serve as a work table.

More than 70 percent of Sierra 1500 and 85 percent of Sierra heavy-duty pickups sold this year were equipped with GMC's MultiPro Tailgate, a GMC spokesman said last month. The MultiPro Tailgate is standard on the SLT, AT4 and Denali trims. This week, GMC said it will also come stan…

Michigan auto dealers are trying to block startup electric carmakers such as Rivian Automotive Inc. and Lucid Motors Inc. from following in Tesla Inc.’s footsteps by selling vehicles directly to consumers and servicing them in the state.

A bill introduced in the Michigan Legislature last week would block any manufacturer other than Tesla from selling cars to customers without a dealer as an intermediary and from owning and operating service and repair facilities. It could come up for a vote as soon as Tuesday, according to a Rivian official.

Rivian has maintained a major engineering operation with 750 employees in Plymouth, Mich., near Detroit for the last few years, but has been moving some of those positions to California in recent months.

The 11-year-old company has raised about $6 billion from backers including Ford Motor Co. and Amazon.com Inc. It expects to begin production of its first two vehicles -- a battery-powered pickup and a sport-utility v…

Karma Automotive plans to expand its lineup with a new family of sedans called the GS series, which includes at least one battery-powered electric sedan, the California company said Monday.

Although pricing has not been announced, Karma says the GS will be more affordable than the $135,000 Revero GT high-performance plug-in hybrid sedan.

Karma says it will introduce the GS sometime next year, with sales starting "towards the end of 2021," company spokesman Jeff Holland said.

"Cost reductions in the battery ownership model, streamlining our supply chain and standardized production methods also allowed for a new, more attainable pricing structure for the GS lineup, allowing for higher market penetration, opening up the market to a larger group of entry-level luxury buyers," Lance Zhou, Karma's CEO, said in a statement.

Karma plans a number of powertrain options for the GS, including hybrids.

It will ride on a skateboard-style chassis, acco…

DETROIT — Ford Motor Co. said Monday it would offer its off-road Sasquatch package on Bronco SUVs that come with its seven-speed manual transmission, reversing course on plans that called for the package to only appear on Broncos with an automatic gearbox.

It was among the few disappointments enthusiasts voiced following an otherwise popular reveal of the revived SUV this year. There was even an online petition for the option that garnered more than 11,500 signatures.

Ford said it expanded the package to include the stick shift after listening to customer input.

"Capability is always a priority, and pairing Sasquatch with a manual transmission and available advanced 4x4 system gives it a maximum crawl ratio of 94.75:1, providing even more off-road capability across the lineup," Dave Pericak, Ford icons global director, said in a statement.

The Sasquatch package is available on all Bronco trims — it's standard on Wildtr…

SAN FRANCISCO -- Tesla Inc. CEO Elon Musk is rallying the troops as the end of the third quarter nears, urging employees in an email to make and sell as many electric cars as possible before Sept. 30.

“We have a shot at a record quarter for vehicle deliveries, but will have to rally hard to achieve it,” said Musk in an internal email Sunday in the U.S. that was seen by Bloomberg News. “This is the most number of vehicles per day that we’ve ever had to deliver.”

Tesla makes the Model S, X, 3 and Y at its automotive plant in Fremont, Calif., and the Model 3 at its gigafactory in Shanghai. The company is scheduled to hold its annual shareholder meeting on Sept. 22 and its first-ever so-called ‘Battery Day’ for investors.

Tesla representatives in the U.S. didn’t immediately respond to requests for comment outside of normal business hours. A Tesla China representative declined to comment.

“Please consider vehicle deliveries to be absolute top priority,…

SAN FRANCISO -- Tesla Inc. will provide a highly anticipated technology update on Tuesday when Elon Musk takes center stage at an event the CEO has dropped hints about for months -- and which has helped propel the company’s sky-high valuation.

The “Battery Day” presentation, which follows the annual shareholders meeting, is expected to showcase innovations designed to keep the company’s lead in electric cars as rivals flood the market with new battery-powered vehicles over the next couple of years.

If history is any guide, Musk could talk about demand for Tesla’s vehicles at the shareholder meeting, or give updates about new factories in Berlin and Austin, Texas.

But the first-ever Battery Day, where Tesla will stake out its technology road map, is of keen interest to investors. The tiniest improvement in batteries can have a huge impact, because they are an electric car’s most-expensive part.

Will Musk and Chief Technology Officer Drew Baglino go…