AD #3635 – Kia Reveals Production EV5; Long UAW Strike Will Put Small Suppliers at Risk; Hummer EV Camper Kit

  

This is Autoline Daily, the show dedicated to enthusiasts of the global automotive industry.

LONG UAW STRIKE COULD PUT SMALL PARTS SUPPLIERS AT RISK
If the UAW goes on a long strike it could be the straw that breaks the camel’s back. There are a lot of small automotive suppliers that are financially stressed and a strike that lasts over two weeks could cause them to collapse. The last three years have been brutally hard on small suppliers as Covid shutdowns and the chip shortage forced automakers to chop production by millions of vehicles. With interest rates at their highest levels in years, these smaller suppliers can’t afford to borrow money simply to keep their operations going. Many couldn’t get a loan anyway since they’re not profitable. Harbour Results, which studies 400 smaller suppliers, says that 30% of them cannot get a bank loan. If there’s a short strike these company could manage it. But a longer strike could force many out of business and that could cripple automotive production.

HYUNDAI SOUTH KOREA WORKERS VOTE TO STRIKE
Speaking of that, Hyundai’s line workers in South Korea just voted to strike. Reuters reports they want an extra $139 a month and a performance bonus equal to 30% of Hyundai’s net profit. They also want Hyundai to raise its mandatory retirement age to 64 years old. It’s currently 60. South Korea has low pension replacement rates, so retirees only get 30% of their former wages, which is why they want to work longer. Hyundai has a history of troubled labor relations, but analysts do not expect a long strike.

CHINESE AUTOMAKERS WILL DOMINATE MUNICH AUTO SHOW
The IAA auto show in Munich next month is shaping up to be a show dominated by Chinese automakers. While Volkswagen, BMW and Mercedes will display new cars, Automotive News reports there will be twice as many Chinese automakers there, including BYD. MG, XPeng, Leapmotor, Seres and Dongfeng. CATL, the battery maker, will be there too. Some European auto execs have voiced concern about Chinese EVs taking over the entry segment in Europe,

AMERICAN & CHINESE OEMS RATED BEST AT WRITING SOFTWARE
Which automakers are the best at writing software? The Americans and the Chinese. That’s according to an index created by Gartner, the consulting firm. It calls it the Digital Automaker Index, and it studies the software capabilities of automakers in 8 different areas, including leadership, talent, corporate culture, architecture, connected vehicle, autonomy, electrification, smart cockpits and online sales.  Not surprisingly, Tesla tops the list, followed by NIO and XPeng. Then come Rivian, Lucid, and General Motors, Geely and Ford. VW and Mercedes are in the Top 10, but the Japanese and Koreans are at the bottom of the list.

KIA REVEALS PRODUCTION VERSION OF THE EV5
Kia revealed the production version of the all-electric EV5 in China. The exterior styling stays very true to the concept, which was shown in March of this year. However, the interior is a different story. We’ll say it follows the theme of the concept, a thin display under one piece of glass that rests on the dash and a center console/armrest that seems to flow out of the front seat. But it’s nowhere as futuristic looking. Unfortunately, there’s not a lot of other details at the moment, but we should learn more soon. The EV5 launches in China later this year and we’ll learn more about its EV strategy at the Kia EV Day in October.

FORD UPDATES NUGGET CAMPER FOR EUROPE
There’s a caravan show going on in Germany, so we’re seeing a number of new camper vans make their debut. And here’s the next-gen version of Ford’s Nugget camper. It’s based on the new Transit Custom, which features an all-new platform. So, the Nugget camper benefits from the upgrades of that platform, including a new electronic architecture, AWD capability and advanced powertrains. For the first time it will be available as a PHEV. It features the same setup as the Kuga PHEV, a gas 2.5L engine paired with an electric motor and an 11.8 kWh battery pack. But other setups will be available, including a diesel. Highlights of the Nugget camper include swivel front seats, roof-top tent, a little kitchen area and even a solar roof panel. Orders are kicking off in Europe now and deliveries start next spring.

MERCEDES REVEALS NEW VERSION OF THE MARCO POLO
Mercedes also showed off the new camper version of its V-Class van, what it calls Marco Polo. Styling has been updated slightly with a deep plunging grille and a nicer-looking interior, which includes dual 12.3-inch display screens. In fact, Mercedes will start putting nicer interiors in all of its vans when it launches its all-new van architecture in 2026, including new camper vans. The Marco Polo also features a new interface that allows owners to control camping functions from the center screen or their phone as well as a new air suspension system. Like the Ford van, it also features a roof-top tent and kitchen area, but its appliances pull out of custom drawers.

GMC CREATES CAMPER KIT FOR THE HUMMER EV
And we’ve got one more camper reveal. And while the new EarthCruiser kit for the Hummer EV wasn’t revealed in Germany, it fits with the overall theme. It’s like those campers that can drop into the bed of a truck but much more sophisticated. The body is made from carbon fiber and is integrated directly into the chassis of the Hummer. The roof extends up to reveal a full-size RV mattress as well as a small kitchen area and display screen. GMC says the EarthCruiser kit will be available to owners sometime next year.    

U.S. CAR SALES EXPECTED TO BE STRONG IN AUGUST
Sales of new vehicles are expected to be strong in the U.S. this month. According to a forecast from JD Power and GlobalData, automakers will sell more than 1.3 million new vehicles this month, up 15% from a year ago. That includes both retail and non-retail or fleet transactions. Part of the growth is due to improving inventory levels, which are expected to be nearly 50% higher than they were last year. And while average transaction prices are estimated to decline 1.2% this month, car buyers are expected to spend $47.8 billion on new cars, which is 10.5% more than last year and a record for the month of August.

NEW CARLOS GHOSN DOCUMENTARY ON APPLE+
Carlos Ghosn, the former CEO of Renault and Nissan, is the subject of a new docu-series on the Apple+ streaming service. The four-part series will give a detailed look at his life, from his childhood, to his rise to become the head of Renault and Nissan and of course, his dramatic escape from a Japanese prison to flee to Lebanon in order to avoid charges he misappropriated his income.

But that’s it for today and this week. Thanks for watching and have a great weekend.