🌪️ Tariff Tornados, Bright January, and Honda's 1B Ohio Bet

The Gist

🌪 Tariff Tornado: The U.S. slapped 25% tariffs on Canadian/Mexican vehicles. Canada retaliated. Prices are rising, incentives are vanishing, and used cars are about to be hot commodities. Brace yourselves.

⚖️ CDK Ease of Purchase Hits All-Time High: January’s 92% Ease of Purchase score proves buyers are finding the process smoother than ever. 80% of customers found the exact car they wanted, inventory remains stable, and more buyers are blending online and in-store shopping. The only hiccup? 32% spent more time than expected at the dealership, but with an overall easier process, most didn’t seem to mind.

🔥 V-12s Are Dying: Emissions regs are forcing Aston Martin’s legendary V-12 into retirement by 2030. If your customers want one, they should buy it before it fossilizes.

⚡ Honda’s Big EV Bet: Honda is dropping $1B in Ohio for EV production. Gigacasting, flexible assembly, and U.S.-built Acura EVs incoming. Dealers, take note.

🛠 AAA Joins the EV Game: Partnering with ChargePoint for discounted charging. Maybe Grandma’s TripTik just went electric.

🏆 Cybertruck = Tesla’s Lab Rat: 48V systems, 800V batteries, steer-by-wire—everything but the stainless steel body is heading to future Teslas. Think of it as a rich, eccentric uncle funding family tech experiments.

🌪️ Tariff Tornado? How Do Dealers Prepare for an Incoming Storm

The latest round of tariffs is about to send shockwaves through the auto industry. With new 25% duties on Canadian and Mexican vehicle imports, plus additional China-related tariffs, automakers and dealers are gearing up for a pricing and supply chain shakeup.

• The Big Hit: The U.S. has slapped a 25% tariff on all vehicles and parts from Canada and Mexico, affecting 5.3M vehicles annually. China’s goods are also getting a fresh 10% duty.

• Retaliation is Here: Canada isn’t backing down—25% tariffs on U.S. vehicles are on the way, especially EVs. Mexico is expected to follow suit.

• Dealer Reality Check:

  • Incentives Shrinking – With rising costs, say goodbye to those sweet rebates and financing deals.

  • Sticker Shock Incoming – A $25K vehicle from Mexico? Add $6,450 in tariffs. Guess who's absorbing some of that?

  • Used Cars on the Rise – New cars get pricey, used inventory becomes king. Expect higher wholesale prices.

  • Consumer Shift – Expect longer buying cycles and more interest in domestic models.

Bottom line: This is going to sting, but savvy dealers who adapt their pricing strategies, used car focus, and consumer outreach can turn challenges into opportunities.

🚗 Moods Bright During January Car Sales

January brought steady car sales and an easier-than-ever buying process, according to CDK’s Ease of Purchase score, which hit its highest mark yet at 92%.

📈 What’s Driving the High Scores?

• More buyers found the car they wanted – 80% said it was easy, up from 72% in December.

• Inventory remains stable – New car stock is just below 3M units, with more buyers finding their exact choice rather than settling.

• More customers blending online and in-store buying – 22% of dealership customers started online and finished in-store.

⏳ The Only Negative? Time at the Dealership.

• 32% of buyers spent more time than expected, up from 24% last month.

• But with smoother transactions overall, most customers seemed to accept the wait as part of the process.

🔥 V-12 Extinction: Emissions Take Down a Giant

The V-12 engine is officially on life support. Aston Martin has confirmed its iconic twelve-cylinder powertrain is set to retire by 2030, thanks to ever-tightening emissions regulations.

Wait… so the big, beautiful V-12 is just… gone?
That’s right. Aston Martin CEO Adrian Hallmark says 2028 is the last call. Even the brand’s latest Vanquish—packing an 820-hp V-12—can’t outrun the emissions police forever.

Can’t they just… tweak it? Maybe give it a hybrid buddy?
They’ve tried. But unless customers want to drive around with a catalytic converter the size of a small house, it’s game over.

Who’s still making these monsters?
Ferrari, Lamborghini, and Mercedes-Maybach are keeping the twelve-cylinder dream alive, but for how long? BMW has already moved on, and Rolls-Royce is quietly following.

So what happens next?
The “final push” for V-12s is here. Collectors are already circling, knowing that in a few years, a naturally aspirated twelve-cylinder will be as rare as a handshake deal on a new car lot.

So…If you’ve got a customer eyeing a V-12, tell them to buy it now or prepare to hear it whisper ‘remember me’ in their dreams forever.

⚡ Honda’s Billion-Dollar EV Bet on Ohio

Honda is going all-in on EVs with a $1 billion investment in Ohio, a move that flips the usual playbook—normally, these big changes start in Japan. Here’s why this matters for U.S. dealers.

• Giga Presses Galore: Honda is installing six Tesla-style 6,000-ton high-pressure die-cast machines to simplify EV production and cut costs.

• New Production Model: Instead of traditional assembly lines, Honda is moving to a “cell” system where battery assembly happens in flexible work zones, keeping production smooth.

• EV Shift in Full Swing: Marysville, Ohio, is becoming Honda’s EV hub, with plans to crank out the Acura RSX and future Honda 0 models.

• Why Dealers Should Care:

  • More EVs, More Supply – Honda will soon roll out models specifically designed for the U.S. market, meaning more inventory options.

  • EV Affordability Push – If gigacasting works, it could lead to lower-cost EVs, making them more competitive against Tesla and legacy automakers.

  • Government Incentives at Play – Honda’s move is tied to onshoring initiatives, meaning potential tax credits for buyers and maybe even dealer incentives down the road.

Bottom line: This isn’t just an investment—it’s a sign of where Honda sees the future heading. Dealers, take note.

🛠️ AAA Gets in on the EV Action

AAA: Still Relevant, Now Electric
AAA, best known for rescuing stranded minivans and offering hotel discounts, is making moves in the EV space. It just partnered with ChargePoint to offer discounted charging rates for its 60 million members. That’s right—the same company that made TripTiks a thing is now making EV ownership just a little more convenient.

What This Means for Dealers
While AAA’s reach leans toward an older demographic, its move into EV infrastructure could help bridge the knowledge gap for hesitant buyers. Anything that makes EV charging more accessible is a win for dealers looking to move electric inventory, even if Grandma still carries a paper map in her glovebox.

🏆 Cybertruck: Tesla’s Science Experiment on Wheels

It turns out Tesla’s Cybertruck isn’t just an angular fever dream—it’s a testing ground for the brand’s future tech. Nearly every piece of its hardware will trickle down to future models… except for that shiny stainless steel body.

So, this thing wasn’t really meant to be a best-seller?
Bingo. It’s a low-volume, high-margin guinea pig. Tesla used it to iron out new tech before rolling it into mainstream vehicles.

What tech are we talking about?

• 48V Architecture – More efficient power management, and Tesla is even sharing the design manual with competitors.

• 800V Batteries – Faster charging, better efficiency, and already tested in the Semi and Cybertruck.

• Steer-by-Wire & Rear-Wheel Steering – More control, better handling, and probably a nightmare for alignment shops.

• Bidirectional Charging – By 2025, your Tesla could power your house.

What about the stainless steel body? That’s cool, right?
Sure—if you love fingerprints, dings, and the inability to repaint your truck. That part of the Cybertruck experiment is staying put.

So what’s the big takeaway?
This thing is the weird uncle at Thanksgiving—nobody’s sure why he’s here, but he’s influencing the family in ways we don’t fully understand yet. Expect to see its DNA across future Teslas, even if nobody wants their Model Y to look like a DeLorean reject.