+++ AMERICAN ELECTRIC VEHICLE MAKERS Rivian Automotive and Lucid Motors both reported second-quarter results. The bad news? Both automakers continue to generate billions of dollars in red ink this year. The good news? They generated less red ink than in 2024. Rivian and Lucid posted a combined net loss of $1.6 billion in the quarter compared with a $2.1 billion net loss for the same quarter of last year. Investors are losing patience, however: shares in both companies fell on the news. +++
+++ CHEVROLET is launching a limited-run special edition of the top-performance Corvette ZR1X that includes the first factory matte paint in about 60 years. The 2026 Chevrolet Corvette ZR1X Quail Silver Limited Edition, available only on the ZR1X 3LZ convertible, will enter production next year at GM’s plant in Bowling Green, Kentucky. +++
+++ HONDA delivered, amid billions of dollars in lost profits from tariffs and disappointing EV investments, some good news for U.S. stakeholders today. Amid the company’s 50 percent drop in operating profits for the latest quarter, Honda’s brass is looking for ways to mitigate President Donald Trump’s tariffs on imported vehicles, even with the recent Japan trade deal reducing them from 25 percent to 15 percent. Honda’s possible answer? Adding third shifts at its U.S. plants. “We might change it to 3-shift operation in the States, so that we can increase production volume without spending too much on capital investment”, managing executive officer Eiji Fujimura said. Honda told weekend shifts are also in the mix. Ramping up U.S. production will require time to coordinate with suppliers, Hans Greimel and Schaffner reported in their coverage. Honda must also consider how to build up a localized supply chain for key hybrid vehicle components such as motors, batteries and electronic control units, Fujimura said. As EV sales growth slows, Honda is doubling down on hybrids and preparing a next-generation technology. Of course, with operations in Canada and Mexico, Honda (along with the rest of the North American auto industry) must wait to see the outcome of U.S. trade talks with those two partners. +++
+++ JAGUAR and its outgoing CEO learned a hard lesson about the risk of polarizing marketing campaigns. Guess what? They’re polarizing! Several months after the fact, Jaguar’s bizarre avant-garde ad from last fall drew president Donald Trump’s ire following the announced retirement of JLR CEO Adrian Mardell. The campaign got Trump’s attention while his administration tries to negotiate the end of two wars and reach trade agreements with Canada, Mexico and dozens of other nations. “Jaguar did a stupid, and seriously Woke advertisement, that is a total disaster!” Trump wrote on social media. “The CEO just resigned in disgrace, and the company is in absolute turmoil. Who wants to buy a Jaguar after looking at that disgraceful ad”. Trump’s comments mirrored a Fox Business story tying Mardell’s resignation to Jaguar’s “woke rebrand.” Jaguar promoted the rebrand with a video featuring androgynous models and a radical new logo without showing any vehicles. Meanwhile, Mardell’s replacement, PB Balaji, will be coming over from parent Tata Motors where he’s been CFO since 2017. Balaji will take charge of JLR as the automaker faces tough headwinds including tariffs on its exports to the U.S., its largest market, and the aforementioned presidential backlash over the Jaguar rebranding. It’s too early to tell what Balaji will do with the Jaguar rebranding, but it wouldn’t be a stretch to bet the next ad campaign will actually feature JLR’s new vehicles. +++
+++ LOTUS is promoting Chinese executive Mao Jingbo to oversee British and global operations after current Lotus Europe head Matt Windle was let go by the company, sources have told. Windle is leaving after just 4 months as Lotus Europe CEO, a source told. Windle’s departure comes after Autocar reported that Lotus was considering moving sports car manufacturing out of the UK amid a wider cost-cutting drive aimed at overturning persistent losses. The proposals included moving manufacturing from its historic base in Hethel, Norfolk, after holding talks with the Labour government. +++
+++ MERCEDES will launch a radical new GLC next year, an important new model for the German firm as it looks to gain a foothold in Europe’s most hotly contested new car segment. Launching at the same time as the new BMW iX3, its key segment rival, the electric GLC not only marks Mercedes’ next step in electrification but also will be the first car to embody the brand’s bold new-era design language – something that will be adopted across the rest of the range in the coming years. It will be sold alongside the current, second-generation combustion-engined GLC, which was launched in 2022. That car has regularly been Mercedes’ best-selling model since its introduction in 2015 and the firm hopes the new GLC EV (successor to the discontinued EQC) can leverage the equity built by the GLC name and be a catalyst for Mercedes’ EV sales. Going on sale in early 2026, the electric GLC (which I’ve already driven in prototype form) will become the first model to use the Mercedes-Benz Electric Architecture (MB.EA), which will also form the basis of the upcoming electric C-Class, due at the end of 2026 or start of 2027. It supports an 800V electrical architecture and has an expected maximum charging speed beyond the 320 kW of the new MMA-based CLA EQ; the longest-range and most efficient EV currently on sale. Mercedes officials have confirmed that the electric GLC will draw electricity from a 94.5 kWh battery, which will provide up to 700 km of range in its most efficient form. While that is a significant amount of range for an SUV, matching today’s class-leading Peugeot e-3008, it will be beaten by the new iX3, which is promised to offer 800 km. The electric GLC will be sold with single- and dual-motor powertrains, offering up to 490 hp in dual-motor guise. An AMG performance flagship is due in 2027 and is tipped to offer up to 600 hp. In styling terms, the GLC will introduce Mercedes’ new look. A key aspect of this is the new nose. Official pictures from the German firm show a reinvented grille design that fuses classic styling with bold lighting elements. This includes a chrome front perforated with 942 small holes. Behind the panel are more than 100 LEDs, which enable the grille to light up in a variety of customisable ways. The central star logo is also illuminated, although the extent to which it is will be dependent on local regulations. Mercedes boss Ola Källenius said the new design would ensure Mercedes could maintain its identity through its EVs “in current times, with 100-plus Chinese firms” and others entering the market; and ensure it could carry “the calling card of Mercedes, the unmistakable Mercedesness” into the future when new ICE cars finally go off sale from 2035. Like the smaller CLA, the GLC’s overall design is of a progressive look. It draws heavily on Mercedes’ Vision EQXX concept car in terms of aerodynamic performance and minimising the loads on the motors to maximise efficiency. For reference, the streamlined EQXX extracted 627 miles from a 100kWh battery pack last year. As a result, this approach will yield a futuristic-looking design, with a rakish bubble-like roofline. According to Mercedes design chief Gorden Wagener, the ambition is to give the new model “a strong identity” in the “sea of sameness” that he perceives among today’s EVs. Much of the GLC’s cockpit design remains under wraps, but the new CLA hints at what to expect. That car’s dashboard is designed around the latest iteration of Mercedes’ Superscreen, which spans the width of the dashboard with three digital displays – a 10.25in screen for driving information, a 14.6in infotainment screen in the middle and a 14in screen for the front passenger. Like its iX3 rival, the GLC will dispense with many physical buttons and instead use voice controls backed by artificial intelligence systems. +++
+++ OMODA has announced what could be the fastest update to a car yet, confirming that refreshed versions of its 5 and E5 SUVs have been launched following critical media reviews. The changes come less than a year after the two models arrived in the UK as part of the brand’s market launch here. The updates include technical improvements, higher perceived material quality and revisions to the cars’ handling and overall driving refinement. For both cars, Chery-owned Omoda has upgraded the front suspension and revised the steering geometry to “provide a more dynamic proposition to drivers”. This follows road tests of the 5, which noted a “poor ride and handling balance” with body control that has “a fundamental lack of cohesiveness” and is “so ill-matched to the steering’s rate of response it makes for a tiring driving experience”. Meanwhile, new front wheel hubs and bearings have been added and brake linings have been refreshed. This follows criticism of the cars’ “vicious pitch and shimmying under hard braking”. Inside, both models now sport the same interior to bring more parity to the range and give the combustion car better cabin quality with softer materials. Omoda previously told the EV’s cabin was “half a generation” ahead of the 5 and our test noted that the E5 felt “quite a bit more plush”. The brand has also added larger, 12.25 inch screens, which have been angled towards the driver for better visibility when driving. In addition, there is a revised steering wheel design and new seats, with more adjustment, across the range. The gear selector and wireless charging pad have been repositioned to make them easier to access on the move. At the car’s rear, Omoda has removed the full-size spare tyre in a bid to boost boot space from 372 litres to 430 litres. Previously, our road test noted the boot size was “poor”. The increase moves it closer to the 504 litres offered by its Nissan Qashqai rival. Under the skin, the 5’s 1.6-litre petrol engine has been detuned from 190 hp to 143 hp, which, the brand says, is in an effort to reduce its emissions output and therefore its tax bracket. Meanwhile, the E5’s 61 kWh CATL-sourced battery pack has been improved to offer 430 km of range, up 20 km. Its charging rates have also been increased to 130 kW via a DC and 10.3 kW via AC. The top Noble trim also gets a heat pump. +++
+++ VOLKSWAGEN is planning the axe the Touareg, drawing a line under one of its most upmarket nameplates. Insiders have told it will cease to be produced in 2026, leaving the recently introduced Tayron as Volkswagen’s largest SUV model in Europe. First launched in 2002, the premium SUV was developed alongside the original Porsche Cayenne, sharing the same platform and fulfilling a dual purpose: giving Porsche its first SUV and helping former Volkswagen chairman Ferdinand Piëch to realise his ambition of elevating the Volkswagen brand with upmarket models such as the Touareg and its saloon sibling, the Phaeton. The decision to retire the Touareg reflects changing priorities at Volkswagen. The Tayron is positioned as a lower-cost alternative with broader appeal and now fulfils much of the Touareg’s role. Already on sale in key global markets and offered in both 2- and 3-row forms, the Tayron offers a 1.500kg towing capacity. With no direct successor planned, the Touareg’s departure marks the end of Volkswagen’s push into the premium market after 23 years. Alongside the Touareg, Volkswagen has also decided to retire the ID 5 from its line-up. Launched in 2021 as a more sporting, coupé-styled sibling to more upright ID 4, it was primarily aimed at the Chinese market, but failed to gain significant traction there. In Europe, too, it has been overshadowed by the more practical ID 4. It was never offered in the US. Its planned discontinuation is set to take effect in 2027 and forms part of broader efforts to streamline the range and concentrate on high-volume models. Elsewhere, previously reported plans for what one key Wolfsburg insider describes as a “mini Buzz” (a compact but practical MEB-based electric MPV model to succeed the Touran) have been discussed within the Volkswagen boardroom. However, sources close to Volkswagen CEO Thomas Schäfer say it is not a priority, with sibling company Skoda now considering such a model as part of its future line-up. “We looked at it, but the market is demanding cross-overs and SUV models”, said the source. “This is the direction we ultimately decided to go in”. The decision not to press ahead with an electric MPV model is partly due to engineering capacity at Volkswagen’s Braunschweig R&D centre in Germany being pushed to the limit by potentially more important models, most notably the electric Golf. +++