🔋 January 9: Union Sparks, Scout's 50K, and Hyundai VS Toyota

The Gist

🔋 Union Sparks Fly: BlueOval SK workers in Kentucky say, “Safety first!” and management says, “Not on our watch.” The UAW fight is heating up in the South, and it could change the EV game.

🚙 Scout Revival: VW’s Scout EV gets 50,000 reservations! But with only $100 deposits and 2027 delivery dates, this might be more hype than horsepower.

⚡ Hyundai Takes on Toyota: Hyundai’s IONIQ 5 flexes with $16K in discounts. Who needs a RAV4 when you can drive 318 miles for under $28K?

🌎 Lucid’s Saudi Expansion: Lucid Motors is stamping “Saudi Made” on EVs while raking in Middle East revenue. Global dealers, take note.

🧨 China’s EV Catch-22: CES showcases futuristic Chinese EVs, but EU tariffs and a price war at home are slowing growth.

🚀 Toyota’s Space Dreams: Toyota invests $44M in rockets. Next stop? Space (or just more satellites).

🔌 Mercedes + Tesla: Mercedes plugs into Tesla’s Superchargers. Fast, easy, and classy.

🚚 Volvo Goes South: A $700M truck plant in Mexico pushes forward despite Trump’s tariff threats. Bold move, Volvo!

Fuel for Thought

• 🔋 Union Sparks in the South

  • Safety First

  • Union Card Supermajority

  • Building Momentum

  • Broader Implications

• 🚙 50,000 Reservations, but Can Scout Deliver?

  • Dealer Takeaway

• ⚡ Hyundai’s IONIQ 5 vs. Toyota RAV4

• 🌎 Lucid’s Saudi Move

  • The Numbers:

• 🧨 Good News, Bad News: Chinese EV Export Outlook

  • Chinese EV Ups

  • Chinese EV Downs

• 🚀 Toyota’s Rocket Ride

  • Why Rockets?

  • The Bigger Picture

• 🔌 Mercedes Plugs Into Tesla’s Network

• 🚚 Volvo Bets Big on Mexico

  • Strategic Growth

  • Flexibility Under Pressure

  • Dealer Perspective

🔋 Union Sparks in the South

The union movement is brewing as BlueOval SK workers in Kentucky prepare for a pivotal vote to join the UAW. With safety concerns and management practices at the forefront, the first major union election in the South this year could set a transformative precedent.

Safety First

Workers report handling hazardous chemicals without adequate protective gear and raise concerns about potential explosions.

Union Card Supermajority

The BOSK team has rallied significant support despite anti-union consultants and management resistance.

Building Momentum

Inspired by UAW victories at Ultium Cells in Ohio and Tennessee, BOSK workers aim to secure better safety measures, pay, and benefits.

Broader Implications

Success here could ignite unionization efforts across the rapidly growing EV manufacturing sector in the South.

🚙 50,000 Reservations, but Can Scout Deliver?

Volkswagen’s revival of Scout Motors is drawing big attention with more than 50,000 reservations for its electric trucks and SUVs. Here’s why dealers should keep their expectations measured:

• What’s Hot? Customers are flocking to the nostalgic Scout Traveler SUV, which boasts all-electric and EREV options.

• What’s Not? A $100 refundable deposit doesn’t guarantee sales, and 2027 delivery dates leave room for competitors to swoop in.

• Why It Matters: VW sees Scout as a linchpin in its U.S. market expansion, targeting 4%+ market share growth.

Dealer Takeaway

Heritage branding is working, but they aren’t counting chickens until Scout cracks the delivery egg.

⚡ Hyundai’s IONIQ 5 vs. Toyota RAV4

Can a cutting-edge EV take on the top-selling Toyota RAV4? Hyundai’s 2025 IONIQ 5 rolls out with up to $16,000 in discounts, making it one of the most affordable EVs on the market.

• Price Check: After discounts and tax credits, you can snag an IONIQ 5 for under $28,000—less than a RAV4.

• Range Boost: The 2025 model offers up to 318 miles of range, with a redesigned interior and NACS charging.

• Dealership Insight: The massive discounts end on February 3, 2025—prime time for upselling to budget-conscious EV adopters.

🌎 Lucid’s Saudi Move

Lucid Motors is gaining traction in the Middle East as it earns “Saudi Made” status. With a new Riyadh HQ and expanded production plans, the EV maker eyes regional dominance.

The Numbers:

• Over $49.7M revenue in Q3 2024 from the Middle East, up from $40.6M.

• Plans for 10,000+ annual vehicles in Saudi Arabia by 2025.

For dealers, this highlights the increasing globalization of EV markets and a regional model worth monitoring.

🧨 Good News, Bad News: Chinese EV Export Outlook

Chinese EV Ups

China’s EV makers stunned at CES 2025, with brands like Zeekr and Xpeng showcasing cutting-edge designs, unrivaled fast charging, and luxury interiors that make U.S. automakers look like they’re stuck in 2020.

Chinese EV Downs

Domestic and export EV growth in China is slowing. EU tariffs and reduced Russian shipments are squeezing exports, while domestic profitability faces a relentless price war.

🚀 Toyota’s Rocket Ride

Who says cars and rockets don’t mix? Toyota is investing $44 million into Interstellar Technologies to mass-produce rockets.

Why Rockets?

Satellites, mobility transformation, and building Earth’s Saturn-like ring (well, maybe not yet).

The Bigger Picture

Automakers are expanding into adjacent industries. For Toyota, it’s all about leveraging their manufacturing clout to dominate new frontiers.

🔌 Mercedes Plugs Into Tesla’s Network

Starting next month, Mercedes EVs can charge at Tesla’s Supercharger network. Here’s why this is more than just convenience:

• Tesla Compatibility: Mercedes will launch EVs with Tesla’s NACS ports this year and sell adapters for existing models. The $185 adapter ensures compatibility and safety for all Mercedes BEVs.

• Plug-and-Charge Simplicity: With billing integrated into the Mercedes Me account, owners can simply plug in, charge, and go—no fuss, no apps.

• The Bigger Picture: Mercedes, dissatisfied with non-Tesla fast-charging networks, is also building its own luxurious 400-kW charging stations. These include lounges, blending high-tech functionality with high-end comfort.

• Why It Matters: As EV adoption grows, partnerships like this ensure a seamless charging experience, crucial for winning over new customers.

• Dealer Takeaway: Leverage this integration as a selling point for tech-savvy, convenience-focused buyers who might hesitate to adopt an EV.

🚚 Volvo Bets Big on Mexico

Volvo Group is steering ahead with its $700 million heavy-truck factory in Monterrey, Mexico, despite looming tariff threats from President-elect Trump. Why does this matter for North American dealers?

Strategic Growth

Volvo aims to expand in North America, which already accounts for 30% of its revenue. The new plant will serve the U.S., Mexico, Canada, and Latin America.

Flexibility Under Pressure

The plant could pivot to serve only non-U.S. markets if tariffs complicate operations. Meanwhile, U.S. production remains strong with ongoing investments in Virginia, Maryland, and Pennsylvania.

Dealer Perspective

A potential 25% tariff on imports from Mexico may shake up pricing and supply chain dynamics, but Volvo’s investments show confidence in long-term market stability.

Sign up for more!