Renault Sparks Thrills & DS Keeps It Classy, GM Puts Cruise in Park, Stellantis and CATL Power Up Europe's EV Future

💡 This Week In The Mobility World

🤝 Appointments (& resignations)

• Zheng Gao joins Zoox as Director of Hardware Engineering after spending eight years at Tesla leading autopilot hardware design and over nine years at Apple managing Connector and Input Device Product Design team.
• Nissan has announced key leadership changes as part of its ongoing restructuring. CFO Stephen Ma will be reassigned to lead Nissan's China operations starting in January. He will be replaced by Jeremie Papin, currently President of Nissan Americas. Additionally, Christian Meunier, former head of Stellantis' Jeep division and Nissan's Infiniti brand, will return to take over as head of Nissan Americas.
• Ola Källenius, Chairman of the Mercedes-Benz Group, has been elected as the new President of the ACEA, effective January 1, 2025. He will succeed Luca de Meo, CEO of Renault Group, who has held the role for the past two years.

🚴🏾 Micromobility and others

• The Mayor of London has shared on Bluesky a positive trend in cycling, with 1.33M bike journeys made daily in the city, up 26% since 2019. He emphasized his ongoing efforts to collaborate with boroughs to enhance street safety and encourage more Londoners to choose cycling as a mode of transport!
• Hyundai's eVTOL startup, Supernal, is relocating its global headquarters from Washington, D.C. to Irvine, California, affecting around 35 to 40 employees, or 5% of its workforce.

🏭 Factories/Manufacturing/Recalls

• Stellantis and China’s CATL will invest €4.1B to build one of Europe’s largest EV battery plants in Zaragoza, Spain, with production set to start by late 2026. The plant, a 50-50 JV, aims for a capacity of 50GWh to power 700k vehicles daily, supplying lithium iron phosphate batteries for smaller, affordable cars. Spain’s renewable energy capacity, lower labor costs, and subsidies, including €300M to Stellantis, helped secure the project amidst fierce European competition.

• Amidst recent struggles in the European battery sector, ACC, the Franco-German battery maker, secured a €1B loan to fund a 13GWh NMC battery production line in Billy-Berclau, France, set to begin operations by 2025. This line will supply Mercedes alongside Stellantis. Despite challenges, including a slowdown in EV sales growth and a shift towards cheaper LFP batteries, ACC remains optimistic and seeks EU public funding to stay competitive. However, ACC has paused its battery projects in Germany and Italy due to these factors.
• HORSE has signed a supply agreement with Brazilian brand Lecar to provide its 1.0-litre, 3-cylinder 'HR10' engine for the Lecar 459 Hybrid sedan and the upcoming Campo EV pick-up.

• Factorial Inc. has scaled its Solstice all-solid-state battery cells to a 40Ah capacity, marking a major step toward commercial use in electric mobility. The cells, made using a novel dry cathode coating process, eliminate hazardous solvents and reduce energy consumption, lowering manufacturing costs and environmental impact. With over 2k cycles of lifecycle testing, the Solstice cells offer improved safety, range, and cost for automakers and can be used in various applications, including energy storage and commercial vehicles.
• Sionic Energy has developed a battery with a 100% silicon anode, replacing graphite and improving energy density by up to 50%, while reducing charging times to under 10min. This technology, based on Group14 Technologies' silicon-carbon composite, is set for mass production in Washington by 2025. Sionic’s batteries, compatible with existing lithium-ion facilities, aim to revolutionize consumer electronics, aviation, and the automotive industry in the next few years, potentially replacing traditional lithium-ion batteries with faster, more efficient silicon-based alternatives.
• Tesla has temporarily halted Cybertruck production for three days, raising concerns about potential demand issues. Despite initial high expectations and a large number of pre-orders, the Cybertruck's actual sales have fallen short of expectations. Recent price reductions and leasing incentives suggest that Tesla is struggling to maintain demand for the polarizing electric pickup truck. While it remains the best-selling electric pickup in the US, the company's production adjustments indicate a need to align output with current market demand.

🤖 Tech

• GM has decided to end funding for Cruise's robotaxi business, integrating the self-driving car unit into its broader autonomous vehicle efforts. The decision, communicated via Slack and an all-hands meeting, surprised employees, many of whom learned the news alongside the media. While Cruise's technology will live on, the future of non-engineering roles related to robotaxi operations remains unclear, with layoffs expected in some areas. This shift follows over $10B spent on Cruise, which has faced regulatory setbacks and an incident in 2023 that grounded its US fleet. GM is now focusing on its Super Cruise system, a hands-free driver assistance feature, and abandoning the Origin robotaxi, which had struggled to gain regulatory approval. The pivot reflects a broader strategy to develop autonomous features for personal vehicles rather than pursue a standalone robotaxi service…
• The Trump transition team sought to eliminate a US car crash reporting requirement, a move that would benefit Tesla and hinder safety investigations. This rule, crucial for monitoring the safety of self-driving systems, has led to investigations and recalls. While Tesla argues the rule is unfair, experts believe it's essential for ensuring public safety, especially as advanced driver-assistance systems become more widespread.
• Mercedes-Benz USA partners with 4screen to launch the world’s first car screen film promotion, offering Mercedes drivers exclusive VIP access to an advanced screening of Ridley Scott’s Gladiator II.

• Volvo Autonomous Solutions and DHL Supply Chain have launched autonomous freight operations in Texas using the Volvo VNL Autonomous truck powered by Aurora's technology. This collaboration aims to enhance long-haul trucking efficiency, safety, and capacity, with initial routes between Dallas, Houston, Fort Worth, and El Paso. The trucks are designed with built-in redundancy for safety, and the partnership includes support from local Volvo dealers for service and uptime. This initiative highlights the potential of autonomous technology to transform freight transport, improve supply chain efficiency, and address labor challenges.

• Mobileye has partnered with Innoviz to integrate its LiDARs into the Mobileye Drive autonomous vehicle platform, enhancing scalability and safety. This collaboration supports the deployment of autonomous mobility services, with production starting in 2026.
• BMW deleted a social media post on Wednesday that sparked speculation about its interest in Tesla’s FSD software. The post, which responded to a video showing Tesla’s FSD performing a multi-point turn, led some to believe BMW might be considering licensing Tesla’s technology, especially after Elon Musk mentioned talks with a major automaker in April. This comes as BMW recently received approval for its own advanced driver-assistance system combining L2 and L3 features in the BMW 7 Series. Despite this, Tesla’s progress with unsupervised FSD through its v13 update has raised questions about whether BMW might pivot from its earlier partnership with Stellantis and others, instead adopting Tesla’s FSD technology for future autonomous vehicles, suggesting a shift in their strategy…

• Starting March 1, 2025, Switzerland will permit certain applications of self-driving technology. Approved uses include autonomous driving on highways, driverless vehicles on designated routes, and automated parking. The Swiss government has updated its road traffic laws to accommodate these advancements.
• Vay offers an alternative to autonomous driving by enabling users to hail a car via an app, where a professionally trained teledriver remotely drives the vehicle to the customer’s location. The user then takes over and drives manually, with the teledriver handling parking afterward. Powered by NVIDIA DRIVE AGX, Vay’s system ensures real-time, low-latency video streaming, enhancing the teledriver's situational awareness and vehicle safety.

🧙 New Car Reveals

• Renault has made a spectacular return to the sports car world with the unveiling of the electric Renault 5 Turbo 3E, a thrilling tribute to the iconic R5 Turbo. With over 500hp from two rear motors, it accelerates from 0 to 100km/h in about 3 seconds, and features a carbon fiber body for reduced weight and optimized performance. Its bold white and yellow livery nods to Renault’s racing history, while innovative details, like a charging port hidden in a rear air intake, add flair. Set to launch in 2026, this car symbolizes Renault’s commitment to electrification and passion, perfectly timed with the Prime Video series "Anatomy of a Comeback" that celebrates their resurgence.

• Toyota is expanding its electric lineup with the new Urban Cruiser, a compact SUV developed in partnership with Suzuki. Essentially a rebadged Suzuki Vitara, it shares the same platform and components, allowing Toyota to quickly enter the electric SUV market. The Urban Cruiser features a spacious interior, multiple electric powertrains, and a design distinct from its Suzuki counterpart. While pricing and performance details are yet to be revealed, it is expected to offer competitive pricing and solid range.

• Xiaomi is stepping further into China’s EV market with the announcement of the YU7 SUV, set for summer 2025. Following the success of its SU7 sedan, which gained praise from Ford CEO Jim Farley, the YU7 targets the growing electric SUV segment dominated by Tesla’s Model Y. While details are scarce, Xiaomi CEO Lei Jun shared teaser images on Weibo and emphasized rigorous testing to ensure quality.

• Last week, DS revealed the video of its new DS N°8, a 100% electric sedan. The design isn't entirely groundbreaking (IMHO it blends elements from the Peugeot 408 and Polestar 4) but retains that signature DS luxury feel inside. While the interior showcases the expected comfort and refinement, the infotainment screen seems to reuse technology from the Peugeot range, which could be disappointing given the vehicle's price point of €60k. On the performance front, the DS N°8 features a dual-engine setup with a 97.2kWh battery, offering a claimed range of 750km under ideal conditions. Charging speed is another area of concern, with the car supporting 160kW fast charging, meaning it will go from 20% to 80% in 27 minutes ! While the car does feature a heat pump and preconditioning, it lacks a frunk, which is a notable omission for an EV of this class. However, the car's marketing video has finally captured the essence of what we expect from a high-end electric vehicle, a step up from previous efforts. That said, there’s still room for improvement, especially in software and features like the preconditioning system and the platform’s charging capabilities!

• Lucid Motors' first Gravity SUV has officially launched, boasting an EPA range of 450miles (724km), surpassing the previously estimated 440 miles (708km). Priced from $94,900, with a more affordable $79,900 version expected in late 2025, the Gravity promises sports car performance and luxury comfort, according to CEO Peter Rawlinson. While Tesla's Model S reaches 402 miles (647km), the Gravity outperforms its direct competitor, Tesla's Model X, which maxes out at 329 miles (530km). Despite Lucid’s technological strides, the company has faced challenges in gaining widespread customer traction, with sales of its Air sedan falling far short of expectations. The Gravity SUV represents a key opportunity for Lucid to appeal to the SUV-dominated North American market and shift its growth trajectory.

• Rumors of an affordable Tesla Model Q are gaining traction, despite Elon Musk previously downplaying plans for a Model 2. Reports suggest the Model Q, an electric compact priced under $30k, could debut in early 2025, leveraging the same platform as the upcoming Cybercab. A Deutsche Bank report and Chinese media highlight its design, 15% smaller and 30% lighter than the Model 3, with options for single or dual motors and 53kWh or 75kWh LFP batteries.

⚡️ EVs

• Lucid Motors took a playful jab at Jaguar's controversial rebranding campaign, responding to Jaguar’s slogan "Copy nothing" with an image of its $249k Lucid Air Sapphire and the tagline "Compromise nothing".

• You can now buy a Hyundai on Amazon (in the US 🙃). Available in 48 cities, the platform lets you choose from Hyundai's range of electric, hybrid, and gas models, handle financing, sign paperwork, and schedule delivery, all from the comfort of home. No more spending hours at the dealership! With transparent pricing and a hassle-free process, it’s a major step toward simplifying the car-buying experience, with more brands set to join next year.

• A recent study from the SLAC-Stanford Battery Center suggests that real-world driving habits could make EV batteries last up to 30% longer than previously expected. Unlike traditional lab tests, which simulate constant discharge cycles, this study focused on dynamic driving patterns like stop-and-go traffic and short city trips. It found that such habits, including quick accelerations and battery resting, actually reduce degradation. As a result, EV owners may not need to replace their batteries as soon as once thought, saving money and extending the life of their vehicles. This new insight could lead to adjustments in battery management software to optimize performance based on real-world usage!
• EVs are more eco-friendly than combustion-engine vehicles, but issues like battery production and raw material extraction remain. A recent study by Compare the Market found that Chinese electric cars, often criticized for pollution, are among the cleanest. The BYD Dolphin topped the list with a GreenNCAP score of 98% and low consumption. The Tesla Model 3 and Dacia Spring also performed well, both with high GreenNCAP scores and efficient energy use, despite being produced in China.
• A recent analysis circulating in the European Parliament suggests that car manufacturers will face €15B in fines for not meeting the EU’s 2025 car CO2 targets. However, this estimate is flawed, according to Transport & Environment, as it uses 2024 car sales data, which is unrepresentative of the actual compliance year. Car manufacturers have been preparing for the 2025 targets since 2017 and are expected to close the compliance gap in 2025, similar to past years. The EU’s 2025 car CO2 target is achievable, and carmakers are likely to comply through various strategies, including increasing EV sales and using compliance flexibilities such as pooling and eco-innovation credits. Even in a worst-case scenario, total penalties are projected to be below €1B. The analysis also inaccurately assumes a fixed CO2 target for all manufacturers, when in fact, targets vary depending on factors like car mass and bonuses for low-emission vehicles…
• EV owners are overwhelmingly satisfied with their choice, with 92% intending to stick with EVs for their next purchase. Key reasons for this satisfaction include lower operating costs, environmental benefits, and the quiet, tech-packed driving experience. While challenges like charging infrastructure and range anxiety persist, especially in certain regions, overall, EV owners remain positive about the future of electric mobility!
• The US Postal Service's multibillion-dollar program to purchase 60k electric delivery trucks from Oshkosh is significantly delayed due to production issues, including manufacturing defects and software problems. Initially expected to receive 3k trucks by now, the Postal Service has only received 93. These delays, stemming from Oshkosh's lack of experience with postal vehicles and supplier issues, threaten the success of a key element of President Biden's climate agenda. Despite progress, the project may not meet its 2026 target, with Congressional opposition potentially jeopardizing future funding.
• BYD delivered 3.76M vehicles in the first 11 months this year, including 506,804 units sold in November. Of these November sales, 316,086 were BEVs, accounting for about 62% of the total. This brings BYD's year-to-date BEV sales to over 1.87M units, alongside 1.89M PHEVs, reflecting a nearly equal split between its two core technologies. With this momentum, BYD is on track to surpass Honda and Ford in global vehicle sales for 2024…
• Mazda's new electric sedan, the EZ-6, has made a strong debut in China, with impressive sales figures in its first month. Priced competitively at around $20k, the EZ-6 offers a stylish design, advanced features, and a decent range. While currently only available in China, its success could potentially pave the way for a global launch, including in the US and Europe…
• NIO surpasses 60M battery swaps in record time! Just 130 days after hitting 50M, NIO has achieved another significant milestone.

🔌 EV Infrastructure Updates

• IONNA, the EV charging network formed by top automakers including BMW, GM, Honda, Hyundai, Mercedes-Benz, Kia, Stellantis, and Toyota, has partnered with the Sheetz convenience chain to enhance EV infrastructure. Starting in late December 2024, IONNA will open its first EV Rechargeries at Sheetz locations in Ohio and Pennsylvania, with plans to expand to 50 sites by 2026.

💰 Investment/Financial/Legal

• Nikola Corp., struggling with financial woes and the fallout from founder Trevor Milton's fraud conviction, is taking steps to repay debt and raise equity, including a $100M stock sale. The company, which recorded a $481M net loss despite delivering a record 203 trucks this year, aims to sell 300-350 hydrogen-electric semi-trucks by the end of 2024. Recent SEC filings reveal efforts to stabilize finances, including repaying $39.4M in debt and allowing noteholders to convert debt to equity for liquidity. However, these moves risk diluting shareholder value as Nikola works to regain investor confidence and strengthen its position…
• Volkswagen's top shareholder, Porsche SE, may face a massive loss of up to €20B due to write-downs on its VW stake. This stems from VW's struggles with high costs, competition, and union conflicts, impacting both companies' finances and Porsche SE's dividend expectations.
• Northvolt, recently declared bankrupt, has sparked controversy with a 59M SEK bonus program for 230 employees. This decision has led to discontent among the remaining workforce, who feel undervalued and question the prioritization of a select group. The union representing the employees, IF Metall, has voiced concerns about the negative impact on morale and the potential consequences for the company's future.

🗞️ Bookmarks

European vehicle market statistics 2024/25 by Michelle Monteforte, Peter Mock and Uwe Tietge (ICCT)

The ICCT has released its latest report on the European vehicle market. The report provides a detailed analysis of new vehicle registrations, technologies, fuel consumption, and tailpipe emissions in 2023.

Key takeaways:

• EV sales surge: EVs continue to gain popularity, with a 15% market share in 2023.
• Diesel decline: the demand for diesel vehicles continues to decrease, with a market share of 18%.
• CO2 emissions: while CO2 emissions have marginally decreased, there's still significant room for improvement, especially in internal combustion engine vehicles.

To delve deeper into the specific data and trends, check out the full ICCT report.

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