Arthur Kipferler

Nissan Motor Corporation is paying the price for whiffing on its hybrid strategy with a slump for its top-selling nameplate, the Rogue compact crossover. Rogue sales have "dropped off the cliff" as demand for hybrid competitors soars, a retailer said. "We used to sell 30 to 40 Rogues a month, and now we are down to 15 to 20.” In April through June, Toyota Motor Corporation delivered about five RAV4s for every two Rogues sold by Nissan, with the hybrid versions alone outselling the Rogue by 25 percent. While Honda does not break out model line sales by fuel type, Edmunds estimated that the CR-V hybrid nearly matched the Rogue in the second quarter. Retailers are frustrated they aren't hearing a near-term strategy to meet the hybrid moment. "We don't have the vehicles and options coming quickly enough to meet customer demand," one dealer said. "Nissan just doesn't seem to get that the market has drastically shrunk for 100 percent gas vehicles unless they're cheap enough." Ivan Drury Edmunds Automotive News

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Instructive for every European, from consumer to car maker, to read the highly positive review by Steve Fowler of Geely's new EV small car it has cheekily named the Panda (although Stellantis will have something to say about that). Looks like it fills the huge, glaring market gap left -astonishingly - by Western car makers, for a seriously cheap but practical 4-seat(just) BEV city car; but one capable of doing slightly longer journeys (124 mile claimed range) and up to 50mph on highway. And all that for what may well turn out in the UK almost to match the price of Citroen's £7.5k-plus, max 30mph, 2 seat, 50-mile range Ami quadricycle. In terms of European producers, next step up from Ami will be Dacia's EV Duster coming in the summer - at £15k- plus. It's time to up the game, chaps. For the many well-intentioned consumers refraining from buying Chinese on principle, the temptation to succumb is poised to become far, far harder to resist.

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I've seen a lot of discussion about how the retail EV share of the new car market is better than the official SMMT figures suggest because consumers are using salary sacrifice schemes to buy EVs. However, if that was the case, I think you'd expect the fleet/business share of EV registrations to be even higher.

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Volkswagen Group’s strategy to go all-in on full-electric vehicles is no more. The core VW brand, which pitched its ID family of battery-electric cars as central to its future, has admitted it will need more plug-in hybrids as BEV sales decelerate. This marks just the latest adjustment VW has made to its electrification strategy after the company had problems with several model releases and fell behind in China, where local brands now dominate. https://lnkd.in/eFcB3G9D

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Screen grab below is from today's statement on Stellantis' Luton plant. From this, it does seem like Jonathan Reynold's main issue with the ZEV mandate is the trading where those who under-perform on EV sales have to buy credits from those who over-perform or else face penalties. But removing trading ("transfers" as he calls it) as the main flexibility mechanism does pretty much undermine the ZEV mandate as a whole, which gets it statutory basis from the Climate Change Act's power for government to introduce emissions trading schemes under secondary legislation. Undermine that trading and the whole legal basis for the ZEV mandate could look a bit iffy surely? Or am I missing something? Matt Finch Ralph Palmer Ben Nelmes

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If you want the best research, survey and insight answers on the uk automotive industry and what car owners and buyers are thinking? Then subscribe to the illustrious Insight Quarterly by Cox Automotive Europe - Sign up at the bottom of the page once you click the link below….

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Great to have Motorway supporting the Car Dealer Live podcast last night. There was some great debate on EVs and, in particular the Zero Emission Vehicle (ZEV) mandate (sets out the % of new zero emission vehicles manufacturers are required to produce each year up to 2030). I agreed with the view that if the industry is going to hit the ZEV mandate goals, much more needs to be done to support consumer demand for EVs, including investment in charging infrastructure and reducing VAT on out of home charging (from 20% to the 5% charged for domestic electricity). https://lnkd.in/esZwwKjP

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The light commercial vehicle market for May 2024 makes interesting reading. Take a look at my latest take on the new and used arena for #LCVs. #registrations #BEVs #topperformers #newmarket #ZEVmandate #usedmarket #LCVauctions #stocklevels ##usedvalues #averagesales #averagevalues #conversionrates #retailmarket

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This is potentially disastrous for BEV adoption among middle-class families. The carmakers really need to push the introduction of models such as the electric Skoda Octavia (or, of course, the VW ID.7). "It could be 2027, 2028 – we’re aiming for an Octavia estate." #ev #electric #electrification #electricvehicle #electricvehicles #evcharging #charging #chargingstations #renewableenergy #energy #economics #solar #photovoltaics #pv #wind #climatecrisis https://lnkd.in/d5ngKT-3

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At Automotive Dealer Day 2024, plenty of information and insights came out, confirming that we still have a lot to do for ferrying the industry through this chaotic transition. The scenario is moving fast, many Western manufacturers need to promptly react, abandoning old fashioned mental schemes that threaten their business (and continuity). Insightful speakers invited by Quintegia showed data, discussed on trends, spoke about fears/hopes of customer and operators, but – still - the risk is to be unable to read the complexity and follow mainstream slogans. A big effort of all stakeholders is required to rethink the mobility, paying genuine attention to signals coming from customers, technology, new business models. Regulators must do the same, focusing on short and long-term consequences by defining non-dogmatic guidelines and supporting the industry for an effective change.

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How JLR Plans To Drive A Robust H2 Revival https://lnkd.in/gE7cKfVb Richard Molyneux says JLR anticipates a strong recovery in H2FY25. The company remains committed to achieving its annual financial targets, including £30 billion in revenue, an EBIT margin of 8.5%, and net cash positivity. However, the path forward is not without challenges, as tighter headroom to these goals demands exceptional execution. In China, complementary growth is expected through the licensing of the Freelander brand to the local JV. The forthcoming Freelander-branded products, exclusively electric, are poised to tap into significant market potential. By focusing on strategic investments, operational excellence, and adapting to market dynamics, the OEM is well-positioned to navigate the complexities of the global automotive landscape. The company’s resilience amid adversity only points out its capability to drive growth while embracing the future of mobility. Rajan Amba JLR North America JLR Canada Tata Group Tata Motors Mobility Outlook

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New car registration results for June and the first half of 2024 have been published this morning, and it's not a pretty picture for private new car sales. 2024 has been the worst year for private new car sales for at least 25 years. Although the industry is highlighting poor private EV sales (because it wants more government subsidies), this affects all new cars. People just aren't buying new cars, whether petrol, diesel, hybrid or electric. This also affects car dealers, since private customers buy their cars from dealers and fleets tend to deal with leasing brokers or directly with the manufacturers. This is the biggest issue in automotive retail, and it continues to get lost in the noisy debate about whether EVs are good or bad. #automotive #cardealers #automotiveretail #smmt #newcarsales #ev

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#StandardProfil: "We re-examine our model estimating the timing and success of any new deal." Tomas Mannion - Sarria - Credit Opportunities Want to hear more about what we do? DM Malika Varsani. Not a client? Request a trial here: [email protected] Sign up for our newsletter here: https://bit.ly/3mgFWgB #highyieldbonds #distressedassets #distressedcredit #assetmanager #fundamentalanalysis #highyield #excelmodel #specialsituations #distresseddebt #sarria

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Thanks to Martin Romjue from Vehicle Remarketing for the great (and detailed!) summary of my presentation on "The Future of Remarketing" at the ARA - Automotive Remarketing Alliance Summer Roundtable. https://lnkd.in/eFHNimzM

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 ‘Nobody believes that you can avoid having retail outlets in some form (including Tesla, Nio and the other direct players), so the debate is not about the need for dealers but about the need for a manufacturer to mitigate risk through the wholesale stage, and whether a network of 100-plus dealers operating largely independently of each other can achieve a better outcome in terms of volume and net pricing than through a centrally-directed approach. ‘Overall, the need for dealers is key, and the opportunity to get a reliable return on investment is well-proven. That is what drives the giants like Lithia, Penske and Group 1 and brings them to Europe.’ Cox Automotive Europe Philip Nothard ICDP Steve Young Car Dealer Magazine Jack Williams https://lnkd.in/eW9FG-nX

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Normally, language used by motor manufacturers is pretty moderate when it comes to politics so it’s noteworthy that Stellantis are saying that the ZEV mandate will “kill” the UK car industry. It just shows how worried car makers who are heavily invested in EVs are about the current level of demand. https://ow.ly/v6l450RqBhW #Startlinemotorfinance #motorfinance #dealers #dealership #autoretail #motorindustry

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