+++ AUDI will unleash a wave of plug-in hybrids to satisfy growing global demand for petrol/electric drivetrains, and as a hedge against uncertain future take-up of pure electric cars. Audi has achieved some impressive figures with its new hybrid technology, too. The plug-in version of Audi’s popular A3 Sportback will be capable of driving up to 140 km purely on electric power. It won’t be the first of these new plug-in hybrid Audis to reach the showrooms as the new A5 e-Hybrid will land as soon as this summer. Audi anticipates a huge demand for this car in the Netherlands. “By the end of 2025, we will launch 10 plug-in hybrid models”, said Audi CEO Gernot Döllner. “Plug-in hybrids are an integral part of Audi’s portfolio”. They will make an important contribution to achieving our CO2-reduction targets”, he added. “They are important in the transition to an all-electric portfolio, especially in some European countries where the transition is proceeding at different speeds”. In 2024, Audi sold more than 70.000 plug-in hybrids. The 10 new hybrid models are part of Audi’s new model rush of 20 new models by the end of 2026. +++
+++ The trouble with the car industry and its move to ELECTRIFICATION is that there are too many different opinions and vested interests. It’s proving almost impossible to set out a clear direction that legislation and incentivisation can get behind when there’s so much internal infighting, and the sector as a whole can’t decide what it wants. In the past couple of weeks alone, I’ve heard the bosses of 2 major car companies send very different messages about how they envisage the industry’s direction of travel. Firstly, Toyota, whose European chief corporate officer Matt Harrison had a clear ‘technology neutral’ message: that we shouldn’t push manufacturers (and more importantly: consumers) down one particular path. Everything from hydrogen to synthetic fuels, as well as electric, could be part of the long-term solution. A week later, I was chatting to Seat and Cupra boss Wayne Griffiths, who was unequivocal in saying that electric cars are the answer and that legislators and consumers need to understand this and get behind them. He acknowledged the potential for other technology in the longer term, but was adamant the journey to 2035 will be one taken using battery power. It’s hard enough to manage the biggest shift in personal mobility for almost 150 years without the added confusion of such muddied messaging. But it’s understandable: brands that are big in the US might be less focused on EVs than those in Europe, because that market is less interested in electric cars. However, a united voice would make it easier for car makers to clarify what they want from regulators, as well as assist in incentivising it. In many ways, it’s a shame that low-emission synthetic fuels weren’t a decade or so more advanced, or we could have considered keeping internal combustion engines, while mitigating the big drawback of exhaust gases. But that tech didn’t emerge quickly enough, and EVs and the charging network are rapidly addressing pitfalls around range, price and infrastructure. They’re not there yet, though, and an industry that can’t present a united front because it doesn’t seem to know for itself what the answer is, won’t get us anywhere. +++
+++ In the United States, there is a ongoing crisis of HIGHWAY FATALITIES . Why aren’t the grim U.S. highway fatality statistics going down with the miraculous new safety technologies being programmed into new cars and trucks? “We’ve been going in the exact wrong direction”, David Harkey, president of the Insurance Institute for Highway Safety, said. Fatalities have increased 21 percent in the U.S. in the past 15 years, according to federal records. They crested above 40.000 in each of the past 3 years for which complete federal records are available. So what’s next? Perhaps these terrible statistics will energize the adoption of self-driving vehicle technologies. +++
+++ LANCIA is one of several Stellantis brands struggling to stay afloat. For years, it was confined to a single market: Italy. However, with last year’s launch of the new Ypsilon, the brand also expanded its presence beyond the country shaped like a boot. Following a long hiatus, Lancia returned to France, Spain, Belgium, Luxembourg and the Netherlands, signaling a potential revival. In Italy, 160 showrooms were modernized last year. You might expect sales to rise, given the fresh product and improved availability. However, that couldn’t be further from the truth. According to data from the European Automobile Manufacturers’ Association (ACEA), Lancia’s relaunch is off to a rough start. Deliveries dropped a staggering 72.7 percent, falling to just 2.208 units in the first 2 months of the year compared to the same period in 2024. For clarity, the ACEA industry body bundles Lancia sales with those of Chrysler, although the American brand isn’t officially sold in Europe. I can’t imagine too many people buying Pacifica minivans and 300C sedans from the few dealers importing American cars to Europe. It’s worth noting that Chrysler killed the 300C in 2023, leaving the Pacifica/Voyager as its sole model. I also looked at Dataforce’s sales figures and they’re almost identical. Lancia sold 2.195 cars in January and February, down from the 8.086 units registered in the first 2 months of 2024. It corresponds to a huge drop in demand of 72.85 percent. Why isn’t the relaunch going as Lancia had hoped? There could be several reasons. For starters, the new Ypsilon is significantly more expensive than its predecessor. The hybrid model starts at €23.900 at home in Italy, rising to €29.900 for the fully electric version. Before going away, the previous-generation car had a starting price well below the €20.000 mark. Competition within the Stellantis Group shouldn’t be overlooked. The Ypsilon shares its underpinnings with the Peugeot 208 and Opel Corsa, both of which benefit from a much stronger brand recognition than the nearly dormant Lancia. With the discontinuation of the cheaper previous-gen model, the Ypsilon now competes at a similar price point, making it harder to grab a piece of the sales pie. But Lancia isn’t giving up just yet. The brand plans to open 70 new showrooms in 70 cities across Europe by the end of this year. France, Spain, Belgium, Luxembourg and the Netherlands are leading the charge, with Germany set to follow in 2025. The Ypsilon celebrates its 40th anniversary this year and will be followed by the new Gamma in 2026, with the resurrection of the Delta slated for later in the decade. Just weeks before resigning, Stellantis CEO Carlos Tavares stated that all 14 brands were fully financed through 2026. It suggests that Stellantis is willing to give Lancia some time, showing patience to see if the struggling automaker can turn things around over the next few years. However, with a replacement for Tavares to be announced in the first half of the year, it’s unclear what the future holds. Lancia isn’t the only Stellantis brand in a delicate situation, as DS Automobiles isn’t doing great either. ACEA numbers show deliveries plummeted by 30.3 percent in January-February 2025 to just 5.060 cars in the EU+EFTA+UK region. Figures from Dataforce paint the same grim picture for Citroën’s luxury brand. +++
+++ MASERATI has opened the doors to a new workshop and Fuoriserie personalisation programme that will supposedly put no limits on what customers can dream up. To showcase what its newly christened ‘Officine Fuoriserie Maserati’ can do for customers, Maserati has unveiled a vibrant, one-off version of the MC20 Cielo drop-top supercar called ‘Less is More…?’’ that sports a unique paint finish inspired by the Bauhaus art movement. The matte blue body colour is contrasted by the complex, glossy hand-painted graphics running the length of the car. Meanwhile each 20 inch wheel has a different colour combination, and the nose features a brilliant white version of Maserati’s famous Trident emblem. The Fuoriserie programme will allow customers to put their spin on any of Maserati’s models. As well as unique “tailor-made” cars, that will include details specifically requested by the customer. Maserati has a catalogue with thousands of possibilities for colour combinations and designs that people can choose from. There are 2 distinctive collections within that catalogue. The first is Corse, which is inspired by Maserati’s racing heritage and is “for fans of timeless style and gentleman drivers”. Meanwhile, the Futura designs are more avantgarde, and will incorporate new materials derived from the worlds of interior design, product design and even sportswear. “We are asserting our position in the world of luxury, where we have always represented the ideal combination of performance and class”, CEO Santo Ficili said. “Towards this, the Officine Fuoriserie Maserati will add the opportunity of unlimited customisation, and an immersive experience in car design. Using our legacy, we will make all of our traditional customers happy, and inspire a new generation of Maserati customers”. +++
+++ NISSAN and Honda’s initial merger attempt may have collapsed, but that doesn’t mean the 2 auto firms are walking away from the table. The shape and extent of future collaborations are still to be determined, but Nissan executives want to make one thing clear. “We never stopped” talking to Honda, Nissan chief performance officer Guillaume Cartier told reporters during a media roundtable in Japan. Both companies are still actively working on partnerships together, and potential new avenues of collaboration. “We are working every week with them because we have a lot of projects with them”, Ivan Espinosa, the company’s incoming CEO, said. The 2 companies agreed way back in March 2024 to study ways to collaborate on EV projects, software and AI. Those talks continue today, and executives signalled that they were bearing fruit. Large SUVs would be a natural collaboration point, Nissan Chief Planning Officer for North America Ponz Pandikuthira told reporters. “Conversations with Honda, Espinosa was very clear, still are continuing. They never stopped. We’re thinking of doing individual programs with them. So just think: I’m using Honda as a hypothetical example here because that’s a real conversation going on, it’s not that any of this has been finalized”, Pandikuthira said. “But if you do the next generation of our large SUVs, that has to replace a Pathfinder, a Murano, a QX60 and a QX65”, he continued. “4 vehicles. And you know those same vehicles have counterparts at Honda. So if you do develop a common platform with them, instead of maybe just 200.000 units, you’re immediately developing it for 200.000 units. You can see how very quickly you can get variable costs under control”. That’s essential for Nissan, which is currently facing a financial crisis. “We don’t have a cash problem”, CEO Espinosa told. He noted that Nissan has about 1 trillion yen (about $6.7 billion at today’s rates) on hand. Instead, the company needs to fix its “cash flow generation” problem. It is spending too much money and making too little, essentially, so it needs to boost profits while cutting costs. Sharing costs with Renault and Mitsubishi already helps. Collaboration with Honda could help, too. But if cutting costs and the company’s upcoming product offensives don’t fix the cash flow problem quickly, it may still need a partner to merge with or acquire it. “I would say for partnerships in general, we are very open”, Espinosa said. “The future of the industry is going to be very interesting, and it’s clear that the name of the game in the future is how to build efficient partnerships that add value to your company. It could be in many shapes and forms”. Who could come to the rescue? Taiwanese manufacturing giant and Apple supplier Foxconn has shown interest. But it’s unclear whether Japanese regulators would like the idea of a Taiwanese company with such a major footprint in mainland China to take over. Espinosa declined to comment on any political issues with that. Foxconn, for its part, says that it was looking for “not acquisition but cooperation” with Nissan. The other obvious contender: Honda. The company walked away from merger talks, but it would be interested in resuming talks on one condition: the resignation Nissan CEO Makoto Uchida. That ended up happening. So starting April 1, Espinosa takes over as CEO. His approach seems different from Uchida’s, who was aghast at the idea of Nissan being a junior partner in the merger. Espinosa seems less precious. “I have a no-taboo approach to partnerships”, he said. In other words: Anything is on the table. +++
+++ Manual transmissions aren’t as widely available as they used to be at PORSCHE . The only 911 trims offered with 3 pedals right now are the Carrera T and the hotted up GT3. For all other variants of the iconic sports car, you’ll have to settle for a dual-clutch automatic. That could change based on consumer demand, though. Porsche dropped the manual for the Carrera S, the Carrera 4S, and the Carrera GTS for 2025. The latter made sense, given engineers had to make the drivetrain compatible with a new “T-Hybrid” system. But removing the stick from the S and the 4S was a surprise. “We decided to make one model as a manual, and keep it like that, because we didn’t expect that high demand in the market”, Clenn Giebenhain, project manager for the 911, told. “So if the question is, will we get the manual in the Carrera S, I cannot answer it today, because it’s not decided. But, of course, we read the articles and read the demands, and we’re thinking about that”. Essentially, Porsche looked at the data and decided it wasn’t worth the cost to offer a manual on the Carrera S or Carrera 4S for 2025. But if more customers begin to demand stick shifts, the company would reconsider its position. “The markets worldwide are very, very different with regard to demands for a manual”, Giebenhain told. “Normally, you would expect higher demand in Europe, but in fact, there isn’t. Where we have very high demand for manuals is the US, which I like very, very much. Unfortunately, we didn’t see a positive trend in the US for manuals in the last 3 to 4 years”. The Carrera T and the GT3 are lower-production trims that you’ll need to have a great relationship with your local dealer to obtain. That means it’s now harder to buy a new 911 with a stick shift compared to previously, when you could just get a manual for the Carrera, Carrera S, and Carrera GTS. Things might look grim for purists, but Porsche has flip-flopped on this issue before. The company went auto-only for the GT3 back in 2014 before bringing back the manual option four years later, following customer outcry. Let’s hope something similar happens this time around. +++
+++ New tariff of 25% will be imposed on all cars and car parts imported into the UNITED STATES , president Donald Trump has announced. This new levy will come into effect from 2 April, and will apply both to finished machines shipped into the country and car parts imported for vehicles assembled there. President Trump claimed the tariffs would lead to “tremendous growth” for the US auto industry, adding that it would create more investment for US-based car makers and therefore more jobs. Speaking from the Oval Office, Trump said “this is very exciting”, adding: “What we’re going to be doing is a 25% tariff for all cars that are not made in the United States”. Around 8 million cars were imported into the US last year, around half the total number of machines sold in the market. Mexico will be the biggest country hit by the new levy. Car makers with production there include BMW, Ford, Nissan, Volkswagen and Toyota all have plants. The US’s other top importers are Canada, Germany, Japan and South Korea. Trump confirmed that the new laws were “permanent”, quashing any notion that they would be reversed. But he stated that “if you build your car in the United States, there is no tariff”. The likes of BMW, Mercedes-Benz, and Volkswagen already have plants in the US, building key models for both the US and other global markets. BMW’s Spartanburg plant in South Carolina, for example, builds the X3, X4, X5, X6, X7, and XM. It will be hit, however, as it builds and imports the 3 Series from Mexico for the US market. Some car firms have announced investment to expand or open new US facilities in recent months in an effort to spread production globally and avoid tariffs. The Hyundai Motor Group, for example, have invested more than £16billion to increase its vehicle production in the country, including a new steel manufacturing plant. The news will likely come as a big blow to the likes of JLR, which has seen an increase in Range Rover and Defender sales over recent years. Other car makers targeting the US which don’t have factories across the Atlantic include Cupra (although its models could be manufactured at other Volkswagen Group brand facilities in the US) and Lotus. However, the move could also impact domestic US car makers and firms that currently manufacture vehicles there. GM, for example, manufactures a number of vehicles and car parts in Canada, China and Mexico that it then imports into the US, and those machines and parts would be hit by the tariffs. Ursula von der Leyen, European Commission president, said the bloc will study the latest announcement, adding: “I deeply regret the US decision to impose tariffs on European automotive exports. As I have said before, tariffs are taxes: bad for businesses, worse for consumers equally in the US and the European Union. The automotive industry is a driver of innovation, competitiveness, and high quality jobs, through deeply integrated supply chains on both sides of the Atlantic. The EU will continue to seek negotiated solutions, while safeguarding its economic interests”. This new tariff is the latest in a wave of levys introduced by president Trump since he took office for the second time. He said he wants to protect businesses and manufacturers in America. +++