Striking workers overwhelmingly reject tentative agreement at battery supplier for GM, Ford

Workers at a Clarios vehicle battery plant near Toledo voted down a tentative contract agreement by 75.8 percent, a top union official said Monday.

The ratification vote on the tentative agreement by the UAW rank and file took place after a discussion this morning, said David Green, director of UAW Region 2B.

“The members have spoken, ” Green said. “We will be listening to the members to better understand their demands.”

The proposed agreement offered wage increases, a flexible work schedule and a cash bonus, said Kris Sherman, director of communications for Clarios.

“We are disappointed our represented employees did not ratify the agreement, despite the endorsement of the UAW bargaining committee,” Sherman said. “We are committed to continuing to operate the facility to support our customers and we are evaluating next steps.”

About 400 members of UAW Local 12 struck the General Motors and Ford supplier on May 8 after an earlier contr…

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Building a multi-pronged marketing program at your dealership

Inline ads. Search engine optimization. Customer-data platforms. Organic versus paid social media. VSR pages and VDPs. Online and in-store alignment. No question about it – dealership marketing has become a complex and sometimes overwhelming endeavor with plenty of moving parts. How can dealers make sure they have all the right marketing components in place? And how can they ensure these many facets of marketing are working in harmony to maximize revenue and return on investment? For clarity, Automotive News asked John Houmis, senior vice president of client engagement and experience at Ansira, a global marketing company, to shed some light on the matter.

Q: With so many digital marketing services available, what should dealers keep in-house and what should they outsource? 

John Houmis: In my experience, there isn’t a one-size-fits-all approach for dealers’ digital marketing strategies. I’ve seen dealers tackle these efforts with different approaches, dependent…

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Cadillac Escalade IQ to be revealed this year

Cadillac will reveal an electric version of the Escalade SUV this year to be called Escalade IQ.

The IQ name, which Cadillac confirmed Monday, dates to 2021 when General Motors applied to trademark it. Automotive News has reported that the Escalade IQ is expected in 2024 and may be built at GM's Factory Zero plant in Detroit.

Also Monday, a photographer released spy images of what is believed to be the Escalade IQ under heavy wraps. The large SUV appears to share some design features with the Celestiq, including its wheel design and what looks to be an interior display screen that stretches end to end across the dashboard.

The spy photos show the vehicle has an eight-lug wheel design, similar to the GMC Hummer EV pickup and SUV.

A Cadillac spokesperson declined to comment on the images, but said in an email that "Cadillac will reveal several new products this year and the early part of 2024.  Our global engineering teams are in the midst of …

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Ford signs deal with Nemaska Lithium in push to boost EV output

Ford Motor Co. said on Monday it signed a long-term deal with Nemaska Lithium for the supply of lithium products, including lithium hydroxide, as the automaker ramps up electric vehicle production to 2 million units by the end of 2026.

The announcement comes as the automaker holds an investor day meeting Monday morning.

The deal with the Canadian lithium company comes as North American automakers race to secure supplies of battery materials to boost EV output amid surging demand for environment-friendly vehicles.

Earlier this year, Ford joined PT Vale Indonesia and China's Zhejiang Huayou Cobalt's as their new partner in a $4.5 billion nickel processing plant in Indonesia.

The deal announced on Monday will strengthen "Ford's sourcing to produce two million EVs by the end of 2026 – and beyond," at a time when doubts linger on Wall Street about the automaker's ability to hit that target.

Ford also disclosed a five-year agreement with Albemarl…

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BMW Touring Coupe concept may get limited production run

COMO, Italy – BMW has resurrected the spirit of the original Z3 Coupe with the Concept Touring Coupe and is considering limited production of the two-seat shooting brake, which was originally developed as a one-off model based on the Z4.

The concept, unveiled here on the eve of the Concorso d’Eleganza Villa d’Este classic car show, is intended for the joy of traveling together, BMW says.

The Touring Coupe is for “two people and their luggage, enjoying their drive from Munich to Como,” Adrian van Hooydonk, head of BMW Group design, told reporters on the sidelines of the concept unveiling on Friday.

Drawing on design ideas first explored on the Z3 Coupe that was launched in 1998, three years after the Z3 roadster, the Touring Coupé retains the familiar styling of the latest Z4 roadster at the front but has a long roofline and a tailgate at the rear to provide added everyday practicality.

It draws inspiration from the 328 Touring Coupe that wo…

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Column: Used-vehicle demand gone? Not so fast.

Days ago, in the midst of writing for this week's used-vehicle special section, I picked up the phone and dialed a dealer for her insight. I asked her if, so far this year, she'd seen any notable fluctuation in demand for used cars and trucks.

Back in January, dealers who responded to an outlook survey by Automotive News indicated major concern about how rising interest rates might affect used-vehicle demand through the rest of the year.

What she told me was interesting: Consumers are still buying, but it's now on a need basis, not on a whim basis.

It lined right up with what other dealers told editorial intern Abigail Ham and I for our article that recaps most of the spring selling season. As one told Ham: "There aren't as many shoppers, but there are still a lot of buyers."

Said another to me: "The used-car business, historically, is still very good."

That spring lookback is just a taste of what we have for readers this week.

In th…

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Beth Osborne explains how U.S. roads became ‘Dangerous By Design’ (Episode 199)

The vice president of transportation at Smart Growth America explores the role car-centric infrastructure plays in a growing traffic-fatality crisis, and how drivers are often blamed for errors that would be prevented by better design.

How do I subscribe?

Apple Podcasts: “Shift: A podcast about mobility” is available on the iTunes Store and through the ‘Podcast’ app pre-installed on all iOS devices. Click here to subscribe.

Spotify: "Shift: A podcast about mobility" can be streamed through Spotify on your desktop, tablet or mobile device. Click here to subscribe.

Google Play: "Shift: A podcast about mobility" is available on Android devices through the Google Play store. Click here to subscribe.

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The Intersection 5-21-23

Used-vehicle demand gone? Not so fast.

Days ago, in the midst of writing for this week's used-vehicle special section, I picked up the phone and dialed a dealer for her insight. I asked her if, so far this year, she'd seen any notable fluctuation in demand for used cars and trucks.

Back in January, dealers who responded to an outlook survey by Automotive News indicated major concern about how rising interest rates might affect used-vehicle demand through the rest of the year.

What she told me was interesting: Consumers are still buying, but it's now on a need basis, not on a whim basis.

It lined right up with what other dealers told editorial intern Abigail Ham and I for our article that recaps most of the spring selling season. As one told Ham: "There aren't as many shoppers, but there are still a lot of buyers."

Said another to me: "The used-car business, historically, is still very good."

That spring lookback is just a taste of …

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Editorial: Aging U.S. fleet complicates emissions goals

The latest update from S&P Global Mobility on the U.S. car parc contains sobering numbers for an industry transitioning from internal combustion to battery-electric propulsion. No matter how quickly automakers transform their products, it will take a long time to reap the full ecological benefit that makes the costly switch necessary.

S&P said the average age of light vehicles in the U.S. reached a record 12.5 years, adding more than three months to the 12.2-year record average reported a year ago. Unsurprisingly, a key driver of the increase was the supply constraints lingering from the COVID-19 pandemic, which curtailed production and helped keep consumers in their existing vehicles or sent would-be new-vehicle buyers into the used-vehicle market, S&P said. Economics almost certainly played a part, as the rise in new-vehicle prices and higher interest rates also kept some new-vehicle purchasers on the sidelines.

The jump marks the …

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A look at some used-vehicle-only retailers in the U.S. (revenue in millions)

Joining CarMax on this inaugural list is a mix of national and regional used-vehicle retailers with high-volume, multistore operations. There are also publicly traded online used-vehicle retailers that gained more prominence in the last decade and grew sales volumes substantially during the COVID-19 pandemic.

Used Sales Used Revenue Wholesale Sales Wholesale Revenue Location Phone Top Executive 2022 used-vehicleretail unit sales 2021 used-vehicleretail unit sales 2022 used-vehicleretail revenue 2021 used-vehicleretail revenue 2022 wholesaleunits 2021 wholesaleunits 2022 wholesalerevenue 2021 wholesalerevenue Total numberof stores Richmond, VA (804) 747-0422 Bill Nashpresident & CEO 807,823 924,338 $23,034 $24,437 585,071 706,212 $5,990 $6,764 240 Tempe, AZ (800) 333-4554 Ernest Garcia IIIchairman & CEO 412,296 425,237 $10,254 $9,851 193,260 170,056 $2,119 $1,920 180 Tempe, AZ (888) 418-1212 Scott Worthingtonpresident & CEO 102,649 106,187 - - - - - - …
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Kunes Auto: Used-car sales success requires variety, technology, adaptability

Here's one way to sell lots of used cars: Source them from as many places as possible.

Kunes Auto Group, founded in 1996 by CEO Gregg Kunes, follows that strategy. Kunes Auto Group in Delavan, Wis., owns 28 franchised dealerships throughout Wisconsin, Illinois and Iowa.

"We'll use [wholesale vehicle auction operation] Manheim, SmartAuction, ACV Auctions … we use CarOffer," Kunes said. CarOffer is CarGurus' digital wholesale business.

"In this day and age where the U.S. vehicle market has become so competitive, we had to make sure that we're taking advantage of every single channel we possibly could," he said.

That expanded acquisition strategy, a 90-day write-down policy and a focus on vehicle variety are among key moves that have helped Kunes Auto maintain its strong used-vehicle sales performance.

Kunes Auto sold 17,875 used vehicles in 2022, dwarfing the 9,233 new vehicles it sold last year, as it a…

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Vroom’s Tom Shortt: Growth had to slow in 2022

Online used-vehicle retailer Vroom Inc.'s initial public offering in June 2020 arrived at a fortuitous time.

It happened during a pandemic that necessitated more consumers buying vehicles partly or entirely online. As a result, Vroom sold more used cars and trucks and its shares skyrocketed to a record high closing price of nearly $74 in September 2020. Then came 2022, a year in which investors in Vroom and its competitors grew wary of how much cash the companies were still burning through to grow and the net losses they were recording.

In May 2022, Vroom announced plans to scale back. The company appointed COO Tom Shortt — who previously oversaw an e-commerce supply chain strategy at Walmart and held roles at Home Depot and ACCO Brands, among others — to become CEO and lead a long-term business plan that prioritized improving vehicle economics and reducing costs.

Shortt, 54, spoke with Staff Reporter C.J. Moore this month about V…

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