Tag: Regulation

By on April 19, 2021

Undoubtedly eager to improve the take rate of electric vehicles, automakers have a myriad of solutions at their disposal. But the majority have something to do with getting the government involved to futz around with taxes.

Normally, this has to do with making special exceptions for EVs or subsidizing them via rebate programs. But governments seem happy to do this, as increasingly more legislation is advanced that would place restrictions on when and where people will be able to drive internal combustion vehicles, and automakers appear to be getting with the program. We’ve already seen manufacturers choosing sides in America’s gas war and now the Europeans are getting in on the action by demanding higher taxes be imposed on vehicles reliant on gasoline or diesel.

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By on April 5, 2021

American automakers can usually count on selling just below 3 million vehicle sales in China every year. While that figure includes the caveat that the Chinese Communist Party requires foreign manufacturers to partner up with established local companies, it remains substantially larger than the number of cars Chinese brands manage to move in the United States per annum — which is effectively zero.

From BYD to Zoyte, just about every large Chinese manufacturer has issued a deluge of promises about breaking into our market over the last decade — including most of the names we’ll be mentioning below. Consider this sort of the “Where Are They Now?” of evergreen automotive content about regional disparities. Because very little has moved in regard to China’s involvement with the North American auto market and the current geopolitical climate doesn’t make us think that’s likely to change anytime soon.

But it hasn’t been for a lack of trying.  (Read More…)

By on April 1, 2021

One of Volkswagen’s joint ventures in China has reportedly offered to purchase regulatory credits from Tesla in order to adhere to the regional environmental ascendancy. While VW may be doing everything in its power to swap over to an electric-vehicle manufacturer, it’s apparently falling short of government dictums.

FAW-Volkswagen — which shipped a little over 2 million automobiles in Asia last year — happened to be one of the biggest polluters of 2020 according to China’s Ministry of Industry and Information Technology. As it turns out, selling internal combustion vehicles consumers actually want to purchase in large quantities has some kind of environmental cost. Fortunately, it’s one regulators think can be solved by buying green credits from rivals who do all of their polluting during the initial assembly process and launder any future emissions through the national energy grid.  (Read More…)

By on March 25, 2021

Tesla is demanding the reinstatement of a 2016 Obama regulation that more than doubles penalties for manufacturers who fail to adhere to fuel efficiency requirements. Gee, I wonder why it would do such a thing.

While focusing on the environment is an admirable endeavor, much of the discussion surrounding environmentalism on the corporate level really skirts around the periphery of Scamville. Elon Musk is no fool and understands that the more stringent regulations are enacted against his competitors, the more desperate they will be to buy up Tesla’s mountain of carbon credits. With a little help from the government, electric-vehicle companies can effectively bankrupt their more-traditional rivals while earning a nice payday for themselves. In fact, Tesla has only managed to become a profitable company because of this practice(Read More…)

By on February 2, 2021

The Coalition for Sustainable Automotive Regulation (CSAR) is officially withdrawing from a lawsuit between California and federal authorities over the coastal state’s ability to establish its own emissions standards. California leadership had vowed to ignore the Trump administration’s proposed rollback and began making binding side deals with automakers (specifically BMW, Ford, Volkswagen, Volvo, and Honda) committed to adhering to the aggressive limits established under President Obama. Unfortunately, this ran the risk of undermining the revised national standards penned shortly after the United States became energy independent. It also set up the CSAR to embrace any entity that had views conflicting with California Air Resources Board.

Federal concerns were that the Golden State setting its own targets would butt heads with the relaxed national benchmarks and ultimately divide the U.S. market and may even influence the types of vehicles that were manufactured for all of North America. But the issue became moot once President Biden broke the record for executive orders by signing 22 in his first week. Predictably, the brunt of these were designed to instantly undo any actions taken throughout the duration of the Trump administration and included one directing the Department of Transportation and EPA to reconsider the 2019 decision to remove California’s authority to limit tailpipe emissions by April and revise the fuel-efficiency standards for automobiles by summer.

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By on February 1, 2021

Dodge CEO Tim Kuniskis has repeatedly suggested that electrification would be a keystone trait of tomorrow’s automobiles. But he never sounds truly gleeful about the prospect, injecting the level of joy one might reserve when announcing that the trip to the grocery store after noticing spartan shelves in the kitchen. Kuniskis is aware that Dodge’s lineup caters heavily to automotive size queens and that its ability to manufacture those models is swiftly coming to a close.

Despite the former FCA giving the brand the go-ahead to manufacture V8-equipped behemoths like the Hellcat, the newly formed Stellantis auto group may be less inclined to continue those efforts and the freshly installed Biden administration seems wholly committed to doubling down on environmental regulations that were already at odds with high-output automobiles. Kuniskis typically stops short of discussing these issues as the death knell for automotive performance, suggesting instead that electrification will open new doors for the industry while closing a few others. But he occasionally issues statements hinting that he’s not quite so enthralled with or as hopeful about EVs as his contemporaries.

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By on December 9, 2020

The Alliance for Automotive Innovation (AAI) has managed to stall enforcement of a ballot measure recently passed in Massachusetts that expands access to data related to vehicle maintenance and repair. Last week, the relatively new lobbying/trade group asked a U.S. district court for a temporary order that would bar implementation of the state’s new right-to-repair rules aimed at giving vehicle owners more direct control of their private data and independent repair shops a fighting chance of staying in business. But the state’s attorney general has already decided that the rules are invalid until after federal cases have been decided.

The decision represents another victory for giant, multinational corporations at the expense of disgusting citizens interested in controlling their personal information and small business owners who have had it easy for far too long.

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By on December 4, 2020

hyundai-sonata-eco-grille logo

Hyundai Motor Co. is recalling roughly 129,000 vehicles sold in the United States over an engine issue that may pose a fire risk. While we’ve been generally kind to the manufacturer of late, thanks to a rather good lineup of well-designed vehicles, it’s been mucking things up with recalls.

Last week, Hyundai Motor Group (including Kia) agreed to shell out up to $210 million in civil penalties after American safety regulators said it was dragging its feet on enacting a recall that encompassed 1.6 million automobiles. Apparently, there was some confusion on what needed to be reported to the National Highway Traffic Safety Administration. But let’s begin with the latest problem covering the company’s 2.4, 2.0, and 1.6-liter engines.

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By on December 3, 2020

The Japan Broadcasting Corporation, better known as NHK, reported that the island nation is considering banning new internal combustion engine cars by the mid-2030s this week. While we will continue to maintain that such an effort seems unrealistic when confronting the current realities of the market, Japan’s alleged plan offers a bit more leeway than proposals pitched in parts of Europe and North America. Nippon also finds itself in a better position in the preferred mixed approach of allowing mixed powertrains, which would allow the industry to continue production gasoline-driven hybrids.

For starters, the Asian country has a fairly comprehensive hydrogen fueling network thanks to its small size. It’s also in a position that would make nationwide EV charging more feasible than regions with plenty of wide-open spaces. But automakers aren’t making a peep on the issue, preferring to leave it up to regulators and the market.

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By on December 2, 2020

Volvo Cars’ chief executive, Håkan Samuelsson, believes a ban on gasoline-driven vehicles would be a more effective way to force groups to go electric than continuing to offer subsidies on battery-powered automobiles. The announcement comes as part of the Financial Times’ “Future of the Car Summit,” where Samuelsson will proclaim the internal combustion engine “a technology of the past.”

In related news, Volvo Cars is also in negotiations to merge with China’s Geely Automotive and has renewed its commitment toward becoming an electric-only brand by 2030. The latter issue will also be brought up during Wednesday’s Car Summit, with the CEO praising the United Kingdom’s promise to eliminate the sale of new gasoline and diesel cars that same year.

What miraculously convenient timing.

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By on December 1, 2020

The Ford Motor Company is asking automakers to join it in supporting Californian vehicle emissions targets aimed at supplanting the rollback that was supposed to become the national standard. General Motors has already abandoned its support of the Trump rollbacks, which offered concessions to appease environmental groups but ultimately targeted more lax fueling regulation while seeking to eliminate California’s ability to self regulate as a way to curb its influence. But industry leaders are under the impression that a President Biden would attempt to swiftly transmission back to Obama-era regulatory targets or simply adopt the California model that’s been at odds with the national standards established by the Trump administration.

Considering how aggressive the Biden-Harris energy/environmentalism platform is, it certainly seems a plausible scenario and certain automotive executives feel that it would be best to go into 2021 aligned and supportive. The matter is even scheduled to be brought forward during Tuesday’s virtual auto trade association meeting.

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By on November 24, 2020

General Motors has changed its mind on backing the Trump administration’s effort to supplant Obama-era emission regulations with something more manageable and prohibit California from setting its own emissions rules. Of course, the coastal rules aren’t really just for California — it desperately wants to export them to the rest of the country and has made rather incredible headway for not being the federal government. The coastal region has already convinced over 20 states to follow in its footsteps and even amassed support from auto manufacturers like BMW, Ford, Honda, and Volkswagen Group.

Other automakers, including General Motors, felt the Trump plan would give them more flexibility and undoubtedly make them less subject to government fines. However, with a Biden presidency assured without Trump and Co. having an extremely powerful voter fraud case, GM has become a turncoat. On Monday, CEO Mary Barra issued a letter to environmental groups stating that her company is “immediately withdrawing from the preemption litigation and inviting other automakers to join us.”

GM now wants to work with Joe Biden — probably because the company understands his administration is going to be regulating the snot out of the nation.

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By on November 20, 2020

Safety regulators with the National Highway Traffic Safety Administration (NHTSA) said they were opening formal regulatory proceedings to establish new safety standards for autonomous vehicles on Thursday. However, before the NHTSA can get into proposing new rules that will influence how cars that can control themselves will be handled by the U.S. government, it wants citizens to offer their two cents.

We’re talking specifically about Levels 3-5 of automation as defined by SAE, meaning cars that could someday be sold without steering wheels or any other means to take control of the vehicle yourself. It’s something industrial lobbyists with the Alliance for Automotive Innovation (AAI) already have a roadmap for and plan on sharing with the NHTSA soon. Based on the group’s previous initiatives, we imagine it’ll be advocating the government leave as much control in the hands of manufacturers as possible. But you’ll have a limited window to weigh in on that position (or, better yet, share your own) while regulators have an open request for public comment.

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By on November 17, 2020

On Monday, the National Highway Traffic Safety Administration (NHTSA) announced it would be upgrading a probe into almost 159,000 Tesla Model S and Model X vehicles relating to touchscreen/memory issues that could result in a failure to comply with federal standards.

U.S. regulatory mandates stipulate that modern vehicles be required to have rear-camera displays to aid drivers traveling in reverse. The expanded investigation has tripled in size and now encompasses 2012-2018 model year Tesla Model S and 2016-2018 Model X vehicles, which may be eligible for a recall if the NHTSA sees fit.

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By on November 16, 2020

On Monday, the Canadian province of Quebec announced it would be joining California and numerous European locales in the banning of gasoline-powered automobiles. Announced during a meeting regarding the region’s green economy plan, the French-speaking province said all new vehicles sold after 2035 would have to be entirely electric. Then there was a slight derailment as Premier François Legault used the occasion to publicly decry that it was “totally unacceptable” that some shop owners in Montreal are failing to greet customers in French and that the situation needed to be remedied immediately. Montreal Mayor Valérie Plante agreed, saying “clients must be able to get served in French. Period.”

One battle at a time, heroes. Justice will be served (and in glorious French) to those English-speaking heathens and their foul-smelling cars soon enough.

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