Beltway Talk Podcast: 2022 Fly-In Report
In this episode of Beltway Talk AIADA Chairman John Connelly takes a look back at AIADA’s Washington, D.C., spring Fly-In. Together with host Libby Newman he discusses why he’s bullish on auto retailing in the United States, why he hates seeing customers in his F&I waiting room, and why Capitol Hill feels different these days. John also discusses highlights from the Fly-In including remarks from his fellow Cincinnatian and former Speaker of the House John Boehner and West Virginia Senator Joe Manchin. “In 1981, when John was going door-to-door running for the school board, my dad’s partner unsolicited gave his campaign $150. Speaker Boehner has been our friend ever since.” Click here to listen to the episode.
Automakers Urge Congress to Lift EV Tax Credit Cap
General Motors, Ford Motor Co., Chrysler-parent Stellantis and Toyota Motor North America on Monday urged Congress to lift a cap on the $7,500 electric vehicle tax credit, citing higher costs to produce zero-emission vehicles. The CEOs — GM's Mary Barra, Ford's Jim Farley, Stellantis' Carlos Tavares and Toyota North America CEO Tetsuo Ogawa — said in the joint letter to congressional leaders that they have pledged to invest more than over $170 billion through 2030 to bolster electric vehicles' development, production and sale. Automotive News reports the $7,500 tax credit phases out after a manufacturer hits 200,000 vehicles sold. "We ask that the per-(automaker) cap be removed, with a sunset date set for a time when the EV market is more mature," the automakers said in the letter. "Recent economic pressures and supply chain constraints are increasing the cost of manufacturing electrified vehicles which, in turn, puts pressure on the price to consumers." The letter comes amid growing concerns among auto industry executives that the window is closing for U.S. Congress to extend electric vehicle tax credits, since Republicans could retake control of one or both houses of Congress next year. Click here for the full story.
BMW to Test ONE's Advanced Battery in its iX Electric SUV
BMW will install and test a long-range battery developed by Michigan-based startup Our Next Energy (ONE) in the German automaker's iX electric SUV, the companies said. ONE's Gemini battery will incorporate two types of battery cells, including one with advanced chemistry that can store more energy and enable vehicle range of 600 miles or more between charges, the battery maker said. The prototype vehicle is expected to be completed by year-end, ONE said. Reuters reports the Gemini battery aims to reduce the use of such traditional EV battery materials as cobalt, nickel, graphite and lithium, according to Mujeeb Ijaz, ONE founder and chief executive. Ijaz said ONE is testing different electrode chemistries in Gemini, while evaluating the potential tradeoffs in cost, energy and sustainability. ONE might offer a production version of the battery in three different sizes and prices, Ijaz said, including a low-end version that would cost the same as today's conventional nickel- and cobalt-based batteries, "if not a little lower." In March, BMW's corporate venture arm led a $65 million funding round in ONE. Other investors in that round included Coatue Management, Breakthrough Energy Ventures, Assembly Ventures, Flex and Volta Energy Technologies. Click here for the full story.
The 2022 Vehicles with the Best Resale Values
Given the cost of new cars, trucks, minivans and SUVs averaged $47,148 in May 2022, consumers can’t be blamed for wanting a vehicle that retains more of its value than others. If you’re looking for vehicles that possess above-average residual value, Kelley Blue Book’s 20th Annual Best Resale Value Awards are a good place to start. KBB is one of the automotive industry’s used car valuation guides, and released its list of new car, trucks, minivans and SUVs projected to retain the highest percentage of their original price as used cars. “New-car shoppers who buy from Toyota or its luxury-brand sibling Lexus — our 2022 Best Resale Value Brand winners — can rest assured that their vehicle should retain its value quite well over time,” said Janice Yoell, senior manager of valuations for Kelley Blue Book. “Toyota and Lexus, respectively, are the best vehicle brand and luxury brand for 2022 in terms of the highest average projected resale value across their full line-ups.” The Detroit Bureau reports Toyota, 2022 marks its sixth year as the “Best Resale Value: Brand, and the third for Lexus as Best Resale Value: Luxury Brand.” Click here for the rest of the rankings.
Ferrari’s Latest Business Plan Will Be Presented on Thursday
Ferrari chief executive Benedetto Vigna will present the automaker’s latest business plan this week, paving the way for the Italian brand in the age of electrification. Ferrari has already started to overhaul its lineup through the introduction of hybrids including the SF90 Stradale, SF90 Spider, 296 GTB, and 296 GTS. One area of the new business plan is expected to focus on is the establishment of new partnerships, similar to Ferrari’s work with Yasa which supplies it with electric motors. Carscoops reports that Ferrari will introduce its first all-electric vehicle in 2025 but that doesn’t mean it is completely abandoning the internal combustion engine. In fact, Vigna confirmed earlier this year that Ferrari is working with partners to develop bio and synthetic fuels that will allow it to continue to produce some of the industry’s finest engines. “We should expect a clear focus on technology transition, qualifying the key burning question, namely how the company will evolve in this new environment, not only in terms of products portfolio,” partner for automotive practice at management consultants Oliver Wyman, Marco Santino, said of the forthcoming business plan. Click here for the full story.
Around the Web
New Bentley Flying Spur S Joins the Range With V8 and Hybrid Options [Carscoops]
2023 Subaru Crosstrek Special Edition is New Khaki-Colored Model [Car and Driver]
Audi's Pioneering 80 Celebrates its 50th Birthday [Autoblog]
