Good morning! It’s Monday, December 9, 2024, and this is The Morning Shift, your daily roundup of the top automotive headlines from around the world, in one place. Here are the important stories you need to know.
1st Gear: Trump Could Help Automakers Meet EV Targets… By Cutting Them
America is preparing for the transition of power from Joe Biden to Donald Trump after voters chose the convicted felon last month. When Trump takes office in the new year, he’s likely to slash support for public transport, cut emission rules across the country and make one major step that would help automakers across America finally hit their electric vehicle targets: slash electric vehicle targets.
Trump made no secret of his disdain toward non-Tesla EVs while out on the campaign trail, repeatedly calling for an end to an EV mandate that doesn’t exist and threatening to cut tax credits for electric vehicles. Now, automakers are hoping he’ll follow through with some of those promises, as it could mean America’s carmakers finally meet the EV targets they’ve been working towards, as Business Insider explains:
Executives at Nissan, Toyota, and the auto industry’s largest US lobbying group say it will be impossible for the industry to meet aggressive timelines to phase out gas-powered cars and trucks by 2035 in a dozen states including California and New York, as well as Washington, DC. In six states, a target kicks in in 2026, when at least 35% of new car sales must be EVs.
“It will take a miracle to be achieved,” Jérémie Papin, senior vice president of Nissan, said this week during an event in Washington, DC. “That’s where others need to do a reality check on what’s possible.”
Now the industry is strategizing how to influence Trump, including on EV sales requirements they view as too ambitious. Trump will likely take their side.
At a campaign event in Michigan in October, he said no state would be allowed to ban gas-powered cars. Trump during his first term tried to revoke California’s authority to set stricter limits on tailpipe pollution than the federal government. California is granted that authority under the Clean Air Act but must get waivers from the Environmental Protection Agency. Biden restored the states’ authority — a move currently being litigated and could reach the Supreme Court.
The stance has reportedly been welcomed by dealers across the country, as well, with some repeatedly arguing that the targets in place right now are “out of step” with demand for electric cars across the U.S.
Those dealerships will be pleased to hear the latest stance from Trump, who has pledged to support gas-powered cars, reports BI. The incoming president will reportedly “support the auto industry” by “allowing space for both gas-powered cars and electric vehicles,” the campaign said in a statement shared with the site.
What that support will look like in terms of sales and jobs across the sector remains to be seen, especially after the United Auto Workers union issued such a scathing review of Trump’s last effort in office.
2nd Gear: The Electric Postal Truck’s Future Is In Doubt
If cuts to electric vehicle sales weren’t enough for the incoming administration, Trump is reportedly planning to cut more moves to electrify America. The “Home Alone 2” actor is now rumored to be cutting orders for the United States Postal Service’s all-new electric postal truck, reports Reuters.
The duck-shaped postal truck entered service across America earlier this year and has proven to be a hit among delivery drivers. Its future on our streets may not be certain, though, as the incoming administration could cancel contracts to build the new delivery van, Reuters explains:
Donald Trump’s transition team is considering canceling the U.S. Postal Service’s contracts to electrify its delivery fleet, as part of a broader suite of executive orders targeting electric vehicles, according to three sources familiar with the plans.
Reuters has previously reported that Trump is planning to kill a $7,500 consumer tax credit for electric vehicle purchases, and plans to roll back Biden’s stricter fuel-efficiency standards.
The sources told Reuters that Trump’s transition team is now reviewing how it can unwind the postal service’s multibillion-dollar contracts, including with Oshkosh and Ford, for tens of thousands of battery-driven delivery trucks and charging stations.
I’m sure you’ll agree that this would be a pretty heartbreaking move from Trump. The new postal truck might look a bit odd in some people’s eyes, but it is winning over drivers and brightening up the streets it delivers on thanks to its ducking cute looks.
As public transport, support for EV infrastructure across the country and rights for half of America are also on the chopping block when Trump takes office, its demise should probably come as no surprise.
3rd Gear: Stellantis Recalls 300,000 Pickups Over Braking Problems
We’re ticking off all the TMS essentials today, with copious amounts of Donald Trump news and a beefy automotive recall. This week, it’s Stellantis taking the recall baton with an issue that’s been uncovered in more than 300,000 Ram pickup trucks sold across the country.
Stellantis has issued a recall hitting 315,000 Ram trucks across the 2017 and 2018 model year due to hydraulic issues that could impact the brakes, reports the Detroit Free Press. The recall hits models including the Ram 2500 and Ram 3500, as the site explains:
Stellantis is recalling more than 315,000 of its pickup trucks due to a potentially deadly safety issue with the braking system, the National Highway Traffic Safety Administration reported.
Federal safety regulators published the recall after learning that hydraulic control units installed on some of the automaker’s vehicles may fail. A loss of antilock brakes, electronic stability control or traction control can increase the risk of a crash, according to NHTSA.
The recall impacts the 2017 and 2018 model year Ram trucks across the 2500, 3500, 4500 and 5500 models. In each affected truck, dealers will replace the hydraulic control unit free of charge, the Free Press reports.
Stellantis says it will begin contacting owners of impacted trucks on or about January 9 2025.
If you are worried that your car might be affected by a recall, there are a few easy ways to check if it’s the case. First up, the NHTSA has a super handy app that you can use to see if your vehicle is impacted by a recall, or you can head to the regulator’s website and plug your VIN into its recall search tool.
4th Gear: BYD On Track To Sell More Cars Than Ford
As America’s automakers face a barrage of recalls, product delays and slowing sales, China’s automakers are witnessing a meteoric rise. Now, China’s BYD is poised to overtake Ford and Honda in global sales by the end of 2024.
After joining the top 10 last year, it looks like BYD will soon officially be the third biggest automaker in the world. As Automotive News reports:
Aided by robust sales in China, BYD is on course to top its annual sales target of 4 million vehicles, which would put it ahead of Honda and Ford for 2024.
BYD delivered 3.76 million vehicles in the first 11 months, including 506,804 units sold in November.
Bolstered by strong sales led by a competitive lineup of models with its latest plug-in hybrid technology, BYD gained ground over rivals as China’s car sales grew in November at their fastest from a year earlier since January, thanks to government-subsidized auto trade-ins.
BYD was the 10th best-selling automaker in 2023 after it shifted around 2.7 million cars around the world. Over the course of 2023, Ford and Honda sold 3.73 million and 3.77 million cars respectively.
The huge gains that BYD has posted over the course of the year means that it will likely overtake both legacy automakers in terms of sales by the end of this year, leaving just Toyota and Volkswagen ahead of it. With the current decline in VW that we’re seeing with strikes and factory closures hitting, it might not be that long until BYD is the second biggest automaker in the world.