AD #3018 – European Sales Hit Record Low; Is Mercedes Ashamed of the EQC?; Kia Reveals All-New K8 Sedan

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EUROPEAN CAR SALES HIT RECORD LOW
New car sales took an alarming turn in Europe last month. Car sales plunged 26% in January. According to the European Automobile Manufacturers Association, automakers sold just over 842,000 vehicles–the worst January on record. The drop was mostly due to coronavirus lockdowns and low inventory caused by the global semiconductor shortage.

FORD DIVING INTO EVs IN EUROPE
But we all know sales of EVs are soaring in Europe, so Ford is diving into the EV market there head first. It announced that by 2030, 100% of its passenger vehicle lineup will be all-electric. And it expects two-thirds of commercial vehicle sales to be BEVs or PHEVs by 2030. Ford will spend $1 billion to retool its plant in Cologne, Germany to build an all-new BEV starting in 2023. It will be based on Volkswagen’s MEB platform, but the commercial vehicles will sit on a platform developed by Ford.

IS MERCEDES ASHAMED OF THE EQC?
Is Mercedes-Benz ashamed of the EQC? Sure looks that way. In late 2019, Mercedes delayed the EV’s release in the U.S. blaming a shortage of batteries. But it recently told Autoblog that “following a comprehensive review of market developments, the EQC will not be offered in the United States for now.” This news is kind of surprising. Mercedes previously detailed the three trim levels it planned to offer in the U.S. and even set a starting price of just under $69,000. It projected an estimated EPA range of around 220 miles, and the EQC matched up nicely on paper with other luxury EV crossovers, like the Audi e-tron and Jaguar I-PACE. But maybe that’s the problem? Audi only sold about 7,200 e-trons last year in the U.S., including the standard and Sportback versions. Jaguar only sold a little more than 1,650 I-PACEs. Add in newer, cheaper EVs with more range than the EQC hitting the market and we’re guessing Mercedes did not want to be embarrassed with a technologically inferior, slow selling EV. Instead, it’s counting on the EQS, which hits showrooms this fall.

QUANTUMSCAPE INCHES TOWARD SOLID-STATE BATTERY PRODUCTION
Quantumscape, the Silicon Valley startup developing solid state batteries, announced a breakthrough yesterday. It developed a 4-layer cell, which takes it a big step towards high volume production. But don’t expect these batteries anytime soon. Now it has to develop cells with about a dozen layers. In 2023 Volkswagen, which is Quantumscape’s largest shareholder, hopes to start a pilot program with hundreds of test cars. Even if they work perfectly, it will still take Quantumscape several more years to make solid state batteries in volume production.

HYUNDAI KONA GETS NEW LOOK
Front fascias that come to a point, like a Tiger Shark’s nose, are all the rage in the automotive design community. You can find it on everything from a Tesla to a Ford and now the refreshed Hyundai Kona as well. The grille shape was completely redesigned on ICE versions, while there’s no traces left of a grille on the EV model. There’s also a new N-Line trim, which includes more body color on the front fascia and sportier accents both inside and out. You may also notice, in the styling department, that the lighting assemblies incorporated in the fenders no longer protrude quite as far and the lighting signature is a little more aggressive. The Kona still comes with a naturally aspirated 2.0L 4-cylinder engine and an optional 1.6L turbo, but it bumped the horsepower up on the later to 195 from 175. There’s no changes to the EV setup and range still comes in at 258 miles. A couple of other important updates include improvements to the vehicle’s NVH or Noise, Vibration, Harshness as well as bigger screens and more safety features. The new Kona arrives in the U.S. this spring.

NEW MITSUBISHI OUTLANDER HAS NISSAN UNDERPINNINGS
Now let’s shift over to the all-new Mitsubishi Outlander. The crossover now rides on a platform that was developed with its alliance partners Renault and Nissan. It’s likely the one the Nissan Rogue and Sentra use because the Outlander comes with the same 181 horsepower 2.5L engine as those vehicles. The setup, which includes a CVT and either 2- or all-wheel drive, replaces the old V6 the Outlander used to come with. While exterior styling is quite expressive, to say the least, the interior seems to be going for a more upscale look. We like the layered dash, quilted seats and door panels and the optional bright accents. The new Outlander goes on sale in the U.S. this April with a starting price of just under $27,000, including destination charges.

PEUGEOT ELECTRIFIES ITS RIFTER VAN
Peugeot introduced an all-electric version of its small Rifter van, called the e-Rifter. It has a range of 280 kilometers or about 174 miles based on the WLTP cycle and it’s available in two lengths with seating for up to 7 people. If it looks familiar that’s because it shares a platform and powertrain with the Citroen e-Berlingo and Opel Combo-e.

INFINITI SETS QX55 PRICE
Infiniti announced pricing for its new QX55 crossover, which is the fastback version of the QX50. When it arrives at dealers this April in the U.S. it will carry a starting price of $47,525 including destination charges. The QX55 shares the same platform and 2.0L four-cylinder powertrain as the QX50 but it comes standard with all-wheel-drive. If you equipped a QX50 similarly it would cost about $3,000 less.

KIA REVEALS ALL-NEW K8 SEDAN
Kia is showing off its future design direction with an all-new sedan, called the K8. This is basically the next-generation K7, a.k.a. the Cadenza, but since Kia went through its rebranding it decided to give the sedan a new name. Note the shape of the grille, how it has no frame or border and its diamond pattern because those are the cues you’re likely to see on other models. It’s also the first Kia to feature the company’s new logo. The K8 will launch later this year.

SKODA COMES OUT WITH SPORTY ENYAQ iV
Skoda is coming out with a sportier version of the ENYAQ iV, which is the automaker’s version of the Volkswagen ID.4. The Sportline model, as it’s called, features lowered suspension, unique 20- or 21-inch wheels, body-color rocker panels and a number of gloss black accents. The interior has a few unique touches, like sporty seats, 3-spoke steering wheel and fake carbon fiber accents. The Sportline ENYAQ iV arrives in Europe later this year, and it’s going to help the Volkswagen Group get even more economies of scale with its electric onslaught.

EV PRODUCTION UPDATES
Looks like the Tesla Model Y’s will start running down the assembly lines in Berlin in October. That’s according to Autoforecast Solutions. Then in May of next year, AFS says Faraday Future will start building its big EV, the FF91 in Hanford, California, which is about halfway between LA and San Francisco.

Speaking of EV startups, we’re going to take a deep dive on Autoline After Hours into ELMS, or Electric Last Mile Solutions. That’s the company that started out as SF Motors, then changed its name to Ceres, and now it’s known as ELMS. It developed an electric delivery van that it will build at an assembly plant in Indiana that it bought from AM General. Jim Taylor is the CEO and he’ll be joining us on Autoline After Hours tomorrow. So join John and Gary as they give you an insider’s look into one of the latest startups that’s about to enter the market.

OLD WRECK BECOMES OUR BARN FIND
It’s Barn Find time! The pictures of this wreck come from Alejandro whose friend spotted the car while on a hike in California’s Bay Area. Crikey, it looks like this thing drove over a cliff! The car has a number of distinguishing features. It’s clearly a 2-door convertible, the fenders are quite shapely with the headlights incorporated on the front, an inline 6-cylinder engine rests under the hood and there’s a unique design accent just behind the front tire. We nailed the last Barn Find with way less to go on, so I’m sure you can help Alejandro figure out what this thing is. Oh, and we hope those bullet holes came after the car was wrecked, and not what caused it.

And that wraps up today’s report. Thanks for watching.