It’s official: Nissan stair-step scheme is dead

Nissan is killing a retail sales program that has been a thorn in the sides of dealers for a decade — not to mention failing in its primary goal of driving market share.

The automaker told Automotive News last week that it will officially abandon its controversial "stair-step" dealer volume bonus program, which has used cash awards to incentivize retailers to hit aggressive monthly, quarterly or year-end sales goals.

That strategy, a tool in former Chairman Carlos Ghosn's dogged campaign to grow U.S. market share, has long irked Nissan's retailers, many of whom argue the automaker pushed unrealistic sales targets that fostered a culture of price discounting, diminished resale values and damaged brand reputation.

But Nissan management has gotten the message, U.S. sales chief Judy Wheeler said.

"We have been hearing loudly and clearly from our national dealer advisory board, from our NADA survey results," Wheeler said. "…

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Hybrids’ missing performance found in Mustang Mach-E

For years, Al Kammerer has had both gasoline and electrons coursing through his veins. His pride and joy is a gorgeous yellow home-built 1932 V-8-powered Ford convertible hot rod. In the summer months it shares garage space with a dark-red Jaguar convertible, one of the last cars he worked on before retiring as Jaguar Land Rover's product development chief in 2008. Kammerer has owned a succession of gasoline-electric hybrid vehicles, including some plug-in models.

Early last month Kammerer, whose career spanned 34 years at Ford Motor Co., replaced a Lincoln Corsair with a Mustang Mach-E. Now, he says, he's not going back to piston-engine vehicles for daily driving.

There was zero chance Kammerer would ever buy a Tesla — or any electric vehicle that is not connected to Ford. He visited Tesla stores and has looked over the vehicles. "They're interesting. I'd really like to drive one and see what they are all about. But Elon Musk, being a non-car guy, did an admi…

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Biden EV plan aligns with goals of industry

President Joe Biden's sprawling infrastructure proposal unveiled last week echoes many of the goals outlined by the auto industry through its persistent attempts to influence the administration's strategy on expanding clean energy, speeding the adoption of electric vehicles and competing with China.

In a six-page letter dated Monday, March 29 — two days before Biden introduced his American Jobs Plan — groups representing automakers, suppliers and union workers urged the president to consider a "comprehensive approach" as the industry and government work toward a net-zero carbon transportation future that relies heavily on a shift to EVs.

In the letter, the Alliance for Automotive Innovation, the Motor & Equipment Manufacturers Association and the UAW outlined efforts that incentivize EV adoption, build out charging and refueling infrastructure, expand consumer awareness and spur investments by automakers and suppliers in the U.S.

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Jeep crosses Rubicon with chargers at trailheads

DETROIT — Jeep Wrangler enthusiasts who take their trail cruisers off-road are no strangers to tree-lined forests that provide a natural cover overhead.

Now Jeep, which is jumping into electrification with the Wrangler 4xe plug-in hybrid and other models down the line, is building a different kind of canopy that will send juice to its green vehicles before excursions in the wilderness.

The outdoorsy brand has partnered with Electrify America to create a network of Jeep-branded charging stations that will be situated at or near trailheads across the country. The charging stations will be by trails with Jeep Badge of Honor status, which allows owners to earn trinkets to put on their vehicles after conquering them.

Jeep is bringing its free- spirited mentality to the EV world and ushering in an era of environmentally friendly off-road adventures that could reshape public perception of electrified models, their capabilities and the br…

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Strained dealer inventories tightening as chip shortage lingers

An unexpected silver lining to the yearlong coronavirus crisis has been record profits for auto dealers, as consumer demand for heavily optioned crossovers and pickups keeps transaction prices and gross profits high.

But dark clouds are moving in again.

Shortages of semiconductor chips continue to crimp global auto production, bringing inventories of popular vehicles — even American pickups — to worrisome levels on some dealership lots. Improving weather and widespread COVID- 19 vaccinations could now push retail traffic even higher — meaning still-tighter vehicle supplies if chips remain scarce.

"Our inventory level is dwindling to a fraction of what it's been in the past," said Jim Moshier, general sales and service manager at Ricart Ford in Groveport, Ohio. "It looks like it's going to be a pretty desperate April.

"I'd say we're at 20 percent of our F-150 inventory that we're used to. I usually keep a few hundred Supe…

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GMC to launch electric Hummer SUV in 2023

DETROIT -- GMC is expanding the Hummer EV lineup with an SUV, a more urban and family-oriented version of the 2022 pickup, and will begin sales with a special launch model priced at more than $100,000.

The 2024 Hummer SUV Edition 1, which General Motors plans to start building in early 2023, is powered by the company's proprietary Ultium battery. It will have a range of about 300 miles, 830 hp and a GM-estimated 11,500 pound-foot of torque, to power from 0 to 60 mph in 3.5 seconds.

GMC unveiled the SUV in a commercial Saturday during the NCAA Men's Final Four basketball tournament. The ad, narrated by NBA star LeBron James, highlights signature Hummer features, such as Extract Mode and CrabWalk, GMC said. Reservations for the Hummer SUV opened at 5 p.m. Eastern on Saturday.

"GMC Hummer EVs were envisioned to be the most capable and compelling electric supertrucks ever," Duncan Aldred, vice president of Global Buick and GMC, said in a statement. "The new…

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Tesla appeals NLRB ruling it bullied union activists

Tesla Inc. is appealing a ruling by the National Labor Relations Board that it repeatedly violated U.S. labor law, including by firing a union activist, and an order by the agency that CEO Elon Musk delete a threatening tweet from his account.

The electric-car maker filed a request Friday with the New Orleans-based U.S. Court of Appeals to overturn a decision issued by the regulator on March 25.

“Because the board’s decision and order is contrary to law, petitioner respectfully requests that the court grant the petition, review the board’s decision and order, set it aside, and grant petitioner any further relief which the court deems just and equitable,” Tesla said in its petition.

The ruling, issued by two Republican and one Democratic member of the agency, stated that the company must offer to reinstate the fired employee. The board members also ruled that Tesla broke the law by retaliating against another union activist, “coercively interrogating…

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Ford-backed Argo AI mulls going public this year, report says

Argo AI, the self-driving startup backed by Ford Motor Co. and Volkswagen Group, is considering going public as soon as this year, according to people familiar with its plans.

Bryan Salesky, Argo’s co-founder, told employees in an all-hands meeting April 1 the company is looking to boost its funding as it comes closer to commercializing its self-driving technology, said the people, who asked not to be identified revealing internal discussions. Ford, which invested $1 billion in Argo in 2017, plans to roll out autonomous taxis and driverless delivery pods in 2022.

Argo had a market value of more than $7 billion when Volkswagen completed its $2.6 billion investment in the company last July. VW, the world’s top-selling automaker, plans to put self-driving vehicles on the road later this decade.

As the technology comes closer to reality, major players, such as Alphabet Inc.’s Waymo, General Motor's Cruise and Amazon.com-backed Aurora Innovation Inc., are exp…

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Kia to cut 2 days of output in Georgia next week

WASHINGTON -- Kia Motors said Friday it will cancel two days of production next week at its assembly plant in the state of Georgia to address supply chain issues.

The company said the two days without production will "allow time for the supply chain to stabilize for continuous operation throughout the remainder of the month."

A semiconductor chip shortage has caused automakers to cancel production around the world. Semiconductors are used extensively in cars, including to monitor engine performance, manage steering or automatic windows, and in sensors used in parking and entertainment systems.

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Lucid designer: EV appeal hinges on ‘awesome range,’ space, fun

Electric vehicles may soon be everywhere. Traditional automakers and newer startups alike intend to deploy nearly 100 new battery-electric and plug-in hybrid models over the next three years.

While some of the challenges in a transition from internal combustion engines to electric powertrains are well-discussed — range anxiety remains a chief one — other aspects, such as vehicle design, are less known.

Staff Reporter Pete Bigelow caught up with Derek Jenkins, vice president of design at Lucid Motors, to find out how vehicle design might evolve in the EV age. Known for his work on the Mazda Miata, Jenkins, 51, discusses the Lucid Air sedan and the company's upcoming Gravity SUV, scheduled to launch in mid-2023, and more. Here are edited excerpts.

Q: Before we talk about the long-term future of EVs, let's start with the short term. How has COVID- 19 affected your work?

A: It has forced us to change and evaluate how we conduct the…

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