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- ⏳ Monday Digest: Rivian's Setback, Tesla's Win, and Toyota's EV Delay
⏳ Monday Digest: Rivian's Setback, Tesla's Win, and Toyota's EV Delay
Chris Reeves
October 04, 2024
TL;DR:
Rivian slashes production forecasts (ouch), but hey, VW’s got their back. Trust in professions is tanking (but car salespeople are still ahead of Congress). Waymo’s robotaxis are gearing up with Hyundai EVs, while Renault’s banking on hydrogen with their sleek new wagon. Toyota’s pushing back U.S. EV production—blaming slow demand, or maybe fast competitors. And Tesla? Still the king of EVs, beating out BYD in Q3, but with an aging lineup, can they keep the crown? Stay tuned for Robotaxi Day!
Today's Digest
🚲️ Rivian’s Bumpy Ride: Production Forecast Slashed
Rivian’s stock took an 8% tumble after lowering its 2024 production forecast from 57,000 to 47,000-49,000 vehicles. The culprit? A supply chain disruption that's hitting its R1 vehicles and commercial vans hard.
Q3 Reality Check: Rivian produced 13,157 vehicles and delivered 10,018—falling short of analyst expectations.
What's Next: The EV maker is eyeing survival with lower-cost R2 and R3 models set for 2026. To stay afloat, Rivian is leaning on a $5 billion partnership with Volkswagen.
Is Rivian the only EV brand struggling right now?
Hardly! The whole industry is feeling the pinch, but Rivian’s woes are stacking up faster than most. Cooling demand, rising costs, and production delays have made Rivian's year rough. But, hey, at least they’ve got plans (and cash from VW) to stay in the game.
🤕 Ethics on Empty: Trust in Professions Hits Record Lows
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Guess who’s winning the “least trusted” award? If you guessed Congress, advertisers, and car salespeople, you win! Gallup’s latest Honesty and Ethics poll isn’t flattering:
Nurses Rule: Nurses top the trust charts for the 22nd year running, but their 78% approval is down from its peak in 2020.
Car Sales? Not So Much: Ethics ratings for car salespeople, Congress, and advertisers are stuck in the single digits.
Partisan Split: Republicans and Democrats have vastly different opinions, particularly on college teachers, journalists, and police officers.
Don’t worry, Dealers are still more trusted than Congress. Maybe just skip the trust talk stick to the trust walk.
🌟 ZeroSum’s State of the Dealer Report: October 2024 Highlights New Car Inventory
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Over 3 million new vehicles in stock for the first time since 2020! Good news, right? Well, sort of.
Discounts Galore: Market adjustments and discounts have tripled, so get those prices competitive!
Used Cars: Holding steady, but new car pricing is putting the squeeze on used sales. Expect movement to stabilize in the next 30 days.
Certified Pre-Owned (CPO): Certified inventories are shrinking, with sales dropping to their lowest since February. Time to get creative with CPO pricing to stay in the game.
“Surpassing the 3 million milestone for inventory is cause for reflection but also caution.” – Jeff Englishmen, VP of Dealer Success, ZeroSum.
🚕 Waymo Expands with Hyundai: Robotaxis Get a Boost
Waymo is beefing up its robotaxi fleet with Hyundai’s IONIQ 5 electric SUVs. Testing starts in late 2025, and these shiny new rides will roll out from Hyundai’s Georgia facility.
Why It Matters
Waymo is the only U.S. company running a driverless robotaxis for public fares. With Hyundai in the mix, expect them to expand even faster across major U.S. cities.
Tesla Watch
Not to be outdone, Tesla’s Robotaxi Day is coming up on October 10. Buckle up for that one.
Waymo’s gonna see if the public’s ready to ditch steering wheels. (We didn’t ask, but we feel so confident we know the answer)
🚿 Renault’s Hydrogen Wagon: Emblème Pushes the Limits
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Renault is thinking long-term with its Emblème concept, a hydrogen-powered wagon with a 621-mile range. This hybrid hydrogen and electric vehicle combines two five-minute hydrogen refueling stops with a fully charged battery for eco-friendly performance.
Quick Specs: Rear-wheel drive, 215-horsepower motor, and a drag coefficient of just 0.25.
Lighter and Cleaner: Renault has slashed emissions by 90% over the vehicle’s lifecycle, making it one of the greenest concepts yet.
Bold Takeaway: Hydrogen may not be dead yet, and Renault’s banking on a future where you can still zip around with minimal environmental guilt.
🐢 Toyota Delays U.S. Electric SUVs: What Gives?
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Bad news for Toyota fans: the planned 2025 launch of its U.S.-made electric three-row SUVs is now pushed back to mid-2026. The reason? Toyota’s pointing to “slowing EV demand,” but are they just feeling the heat from competitors like GM, Hyundai, and Kia?
The Gist
Toyota’s delaying production at its Kentucky plant, despite investing $1 billion in EV manufacturing.
Lexus EVs? Also delayed. They’ll be shipped from Japan instead of made in North America.
Meanwhile, GM’s Q3 EV sales surged 60%, while Hyundai and Kia are also riding the EV wave.
Hot Take: Is Toyota slow-rolling EV production because of lagging demand—or because they’re losing ground to faster-moving rivals?
👑 Tesla Takes the Crown: Outpaces BYD in Global EV Sales
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Tesla is back on top, delivering 462,890 vehicles in Q3 2024, beating out BYD's 443,426 EV sales. Despite its aging lineup and the still-not-everywhere Cybertruck, Tesla pulled off a win, thanks in part to renewed EV subsidies in key markets.
What’s Next?
Robotaxi Gamble: With Tesla’s Robotaxi Day on October 10, the stakes are high for Elon Musk’s self-driving vision.
Model Y Update: A refreshed Model Y is due next year, but critics are asking, “What took so long?”
Final Question: How long can Tesla stay on top while competitors ramp up production? Time—and maybe a robotaxi ride—will tell.
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