White House

 

Biden Aims To Protect Federal Workers From Layoffs — “The Biden administration has proposed to strengthen protections for the civil service and block a Trump-era move to ease mass firing of federal employees. Former President Donald Trump and other Republican presidential candidates have vowed to shake up the federal workforce if elected in 2024, touting plans to close some agencies and return staff to the office. This week, Vivek Ramaswamy proposed layoffs spread across the government. The Office of Personnel Management announced a proposed rule Friday that would ‘reinforce and clarify’ civil service protections and merit system principles for career staff. The proposal would solidify guardrails for those who make up the vast majority of the federal workforce, making it more difficult to class them as at-will political appointees. ‘The proposed rule honors our 2.2 million career civil servants, helping to ensure they can carry out their duties without fear of political reprisal,’ said OPM Director Kiran Ahuja in a statement. ‘Career federal employees deliver critical services for Americans in every community. Prior attempts to needlessly politicize their work risked harming the American people.’” [E&E News, 9/15/23 (=)]

 

Biden To Detroit Three: 'Go Further' In Offers To UAW — “President Joe Biden urged the Detroit Three on Friday to ‘go further’ in their offers to the United Auto Workers, in his strongest statement to date in support of the union that is striking for higher wages and benefits. Biden, speaking briefly on the negotiations at the White House, said no one wants a strike but he ‘respect(s) workers’ right to use their options’ in collective bargaining. He noted that the automakers have been making massive profits in recent years, which ‘have not been shared fairly’ with workers. ‘The companies have made some significant offers. But I believe it should go further to ensure record corporate profits mean record contracts for the UAW,’ he said. ‘Just as we’re building an economy of the future, we need labor agreements for the future.’ Biden plans to deploy Acting Labor Secretary Julie Su and senior adviser Gene Sperling to Detroit to ‘offer their full support’ to both the union and the automakers and encourage them to reach a ‘win-win’ deal.” [The Detroit News, 9/15/23 (=)]

 

Biden Addresses Strike: Energy Transition 'Should Be Fair' — “Auto companies haven’t shared enough of their record profits with their workers, and the transition to a clean energy future ‘should be fair,’ President Joe Biden said Friday. The president delivered a speech from the White House to address the United Auto Workers strike that began midnight at three auto plants after the union and the Big Three automakers — Ford Motor Co., General Motors Co. and Stellantis NV — failed to reach an agreement on a new contract. ‘Over the past decade, auto companies have seen record profits, including the last few years, because of the extraordinary skill and sacrifices of the UAW workers,’ Biden said Friday. ‘Those record profits have not been shared fairly, in my view, with those workers.’ Strong unions are critical to growing the economy from ‘the middle out, the bottom up, not the top down,’ said Biden. ‘That’s especially true as we transition to a clean energy future, which we are in the process of doing.’ ‘I believe that transition should be fair, and a win-win … for auto workers and auto companies,’ the president added. Biden is in a complicated spot, supporting both good wages for union workers and affordable electric vehicles to help him reach his climate goals.” [E&E News, 9/15/23 (=)]

 

Biden On UAW Strike: ‘Record Profits Have Not Been Shared Fairly’ — “President Biden said Friday that record-high corporate profits should be shared with workers, hours after the United Auto Workers (UAW) went on a historic strike. Biden said that while he appreciates that the Big Three automakers have been working to make a deal on workers’ contracts with UAW, they failed to reach an agreement because the companies didn’t offer enough. ‘I believe they should go further. … Record corporate profits, which they have, should be shared by record contracts for the UAW,’ Biden said in remarks at the White House. ‘Let’s be clear, no one wants a strike. No one wants a strike. But I respect workers’ rights to use their options under the collective bargaining system and I understand the workers’ frustration,’ he added. Negotiations between the UAW and Ford, Stellantis and General Motors have been focused on pay increases, pensions and career security, while workers also have concerns about electric vehicles (EVs) and how a shift toward them could affect their jobs and pay.” [The Hill, 9/15/23 (=)]

 

Biden Defends Striking Autoworkers: They Deserve A ‘Fair Share’ — “President Biden forcefully sided with the striking United Auto Workers on Friday, dispatching two of his top aides to Detroit and calling for the three biggest American car companies to share their profits with employees whose wages and benefits he said have been unfairly eroded for years. In brief remarks from the White House hours after the union began what they called a targeted strike, Mr. Biden acknowledged that the automakers had made ‘significant offers’ during contract negotiations, but he left no doubt his intention to make good on a 2020 promise to always have the backs of unions. ‘Over generations, autoworkers sacrificed so much to keep the industry alive and strong, especially the economic crisis and the pandemic,’ Mr. Biden said. ‘Workers deserve a fair share of the benefits they helped create.’ Mr. Biden said that Julie Su, the acting secretary of labor, and Gene Sperling, a top White House economic adviser, would go to Michigan immediately to support both sides in the negotiations. But he said the automakers ‘should go further to ensure record corporate profits mean record contracts for the U.A.W.’” [The New York Times, 9/17/23 (=)]

 

Biden On UAW Strike: ‘I Understand The Workers’ Frustration’ — “President Joe Biden on Friday sympathized with striking auto workers but stopped short of endorsing the walkout that’s placed him in a political and economic crunch. ‘Let’s be clear, no one wants a strike. I’ll say it again. No one wants a strike. But I respect workers’ right to use their options under the collective bargaining system. And I understand the workers’ frustration,’ Biden said from White House Roosevelt Room. ‘Over generations auto workers sacrificed so much to keep the industry alive and strong, especially in the economic crisis and the pandemic. Workers deserve a fair share of the benefits they helped create for an enterprise,’ the president continued, noting that their employers ‘should go further to ensure that record corporate profits translate into record contracts.’ The United Auto Workers’ decision to strike early Friday at three plants across the so-called Big Three car manufacturers — Ford, General Motors and Stellantis — forces the president to walk a delicate political tightrope. As the self-declared ‘most pro-union president’ in history, the strike not only complicates his labor credentials but could also threaten the implementation of his green industrial agenda and broader economic plan as he heads into a fraught election year.” [Politico, 9/15/23 (=)]

 

'Union Joe' Gets Plenty Of Chances To Prove His Labor Cred — “The United Auto Workers’ walkout Friday at three Ford, General Motors and Stellantis plants could become the most politically and economically disruptive strike since President Joe Biden took office. But it’s hardly the only significant labor-management clash during his administration. Workers, armed with the power of a tight labor market and at times angered by how employers treated them during the pandemic, have organized with new energy from Hollywood to UPS to Starbucks. Biden has worked hard to brand himself as the most pro-labor president in American history and relied on unions’ political muscle to help him win the presidency. So when there’s even the threat of a major strike, he’s in the spotlight more than other presidents have been. In the showdown between the UAW and automakers, Biden has publicly stepped carefully, as the administration engages primarily behind the scenes. But that hasn’t always been the case. Biden was able to intervene directly in talks between railroads and rail workers since federal law gives the government a big say in that industry’s labor relations due to its economic importance. And his top Labor Department official was involved in a deal this year between West Coast ports and dockworkers.” [Politico, 9/15/23 (=)]

 

Joe Biden Still Has To Earn UAW Endorsement, Union President Says As Auto Strike Continues — “United Auto Workers President Shawn Fain said his union’s endorsement has to be ‘earned’ by President Joe Biden, as the labor union of auto industry workers continues to strike over contract dispute and a swath of demands, including increased wages and a reduced work week. About 13,000 UAW members in Michigan, Ohio and Missouri went on strike last week after their contracts expired. The strike is targeting specific plants of Ford Motor Co., General Motors and Stellantis. Biden, who has often described himself the most pro-union president in American history, has defended the workers’ right to strike and urged the companies to share their profits with workers. ‘The bottom line is that auto workers helped create America’s middle class,’ Biden said in a speech last week. ‘They deserve a contract that sustains them and the middle class.’” [USA Today, 9/17/23 (=)]

 

 

Department of Energy (DOE)

 

Granholm Blames ‘Poor Judgment’ After Staff Blocked Off EV Charger For Her — “Energy Secretary Jennifer Granholm blamed ‘poor judgment’ after a report that a staffer parked a non-electric vehicle by an electric vehicle charger to reserve it for her amid limited availability. NPR reported this week that the staffer parked a non-electric car in front of the charger to block it off for Granholm during a recent southeast trip to promote the money the administration is putting into climate solutions. One family that was not able to access the charger during this time called the police, though the action is not illegal in Georgia, where the incident occurred, NPR reported. Asked about the incident during a House hearing on Thursday, Granholm said: ‘It was poor judgment on the part of the team.’ ‘I can only imagine they wanted to continue moving, but the bottom line is it’s not going to happen again,’ she added in response to questions from Rep. Scott Franklin (R-Fla.).” [The Hill, 9/15/23 (=)]

 

Jennifer Granholm Blames Staff’s ‘Poor Judgment’ For EV Charger Debacle — “Energy Secretary Jennifer Granholm blamed her ‘fantastic young staff’ for blocking an electric vehicle charging station with a gas-powered vehicle earlier this summer, which reportedly resulted in a young family calling the police. According to a report by NPR, during a trip promoting the Biden administration’s green energy policies, one of Granholm’s staffers on the advance team ‘realized there weren’t going to be enough plugs to go around’ for Granholm’s electric vehicle, so the staffer parked a gas-powered vehicle to block the only free charging spot for the Energy Secretary. One family with a baby in their vehicle on the hot day in Georgia became upset with Granholm’s team and called the police before another spot eventually opened up.” [The Daily Wire, 9/15/23 (-)]

 

Biden Energy Secretary Blames 'Poor Judgment' On Her Staff Blocking EV Chargers With Gas Cars — “Energy Secretary Jennifer Granholm blamed her staff’s ‘poor judgment’ on a recent incident when police were called on them for clogging electric vehicle (EV) chargers with a gas-powered car. During a House Science and Technology Committee hearing on Thursday, Granholm was pressed by Rep. Scott Franklin, R-Fla., over the incident that occurred in Grovetown, Georgia, during Granholm’s four-day EV road trip in June. Granholm’s staff angered EV drivers after they blocked open chargers with a non-electric car, according to a 911 call of the incident obtained by Fox News Digital. ‘Let me just say, I have a fantastic young staff, just fantastic,’ Granholm told Franklin when asked about the incident. ‘It was poor judgment on the part of the team.’ ‘I can only imagine they wanted to continue moving,’ she added in response to Franklin’s question about why her staff blocked the charger.” [Fox News, 9/15/23 (-)]

 

Biden Energy Secretary Blames Staff’s ‘Poor Judgment’ For Blocking EV Charger — “Energy Secretary Jennifer Granholm said her staff’s ‘poor judgment’ was to blame for an incident in which her team angered electric-vehicle (EV) drivers by obstructing EV chargers with a gas-powered car. Disgruntled EV drivers called police on Granholm’s staffers in Grovetown, Ga., during the energy secretary’s four-day EV road trip in June. The energy secretary, leading a caravan of electric vehicles, planned to stop to fast-charge at the spot. But upon arriving there, her advance team discovered one of the station’s four chargers was broken, and the others were occupied. An energy department staffer parked a non-electric vehicle by a working charger to save a spot for Granholm. A family waiting in their car on a hot day with a baby called the police to complain, though authorities couldn’t help.” [National Review, 9/15/23 (-)]

 

WATCH: Jennifer Granholm Throws Staff Under The Bus After Charging Station Fiasco — “Energy Secretary Jennifer Granholm on Thursday addressed her now-infamous electric vehicle charging fiasco, saying her ‘young’ staffers showed ‘poor judgment’ when they used a gas-powered car to hoard a spot for Granholm at a crowded public station. Granholm during a congressional hearing confirmed the ordeal, which took place during the Biden administration official’s June electric vehicle promotion tour. She did not, however, take responsibility for the incident, instead blaming ‘somebody’ on her team for making a ‘mistake.’ ‘I wasn’t saving the spot. But let me just say—I have a fantastic young staff. Just fantastic,’ Granholm said. ‘I just want to say that somebody made a mistake. … I didn’t … It was poor judgment on the part of the team.’” [The Washington Free Beacon, 9/15/23 (=)]

 

DOE Road Map For ‘Virtual Power Plants’ Eyes CO2 Cuts — “The emerging electricity phenomenon known as ‘virtual power plants’ could help to stave off serious threats to the grid in the coming years while also dramatically reducing U.S. greenhouse gas emissions and saving billions of dollars, according to a new report from the Department of Energy. Virtual power plants (VPPs) use artificial intelligence to aggregate and manage distributed energy resources, such as solar panels, electric vehicle chargers and smart appliances. The ‘plants’ then deploy the electricity from those resources in a given pool of consumers. The model allows smaller communities to collectively provide power for themselves, offsetting the need for electricity produced at far away traditional power plants, including those fueled by coal, natural gas and solar and wind. Virtual power plants currently provide roughly 30-60 gigawatts of power in the United States, according to DOE. A tripling of that capacity by 2030 could save $10 billion in new grid costs, the report says.” [E&E News, 9/18/23 (=)]

 

 

Department of Transportation (DOT)

 

VIDEO: Nobody Wins In This Push For Electric Vehicles Besides China: Lisa Boothe — “‘The Big Weekend Show’ co-hosts weigh in on Transportation Secretary Pete Buttigieg admitting to a shortage of EV chargers amid the United Auto Workers strike.” [Fox News, 9/16/23 (-)]

 

 

Courts & Legal

 

Biden’s EV Ambitions Had Their Day In Court. Here's What To Know. — “For now, six federal judges hold the keys to efforts by the Biden administration to tackle climate change by boosting electric cars. But after nearly eight hours of arguments on Thursday and Friday in a three separate but related cases, it’s likely the U.S. Supreme Court will have its say once opinions are issued by six judges with the U.S. Court of Appeals for the District of Columbia Circuit. An array of Republican-led states and oil interests went before the circuit court last week, targeting a pair of EPA regulations and a National Highway Traffic Safety Administration rule. They say the EPA regulations and the NHTSA rule exceed the agencies’ authority and would force a transition to electric vehicles. A loss in any of these cases could complicate the Biden administration’s drive to meet its climate goals, which include electrifying half of all car sales by 2030. Here are three takeaways from the three car cases: Texas v. EPA, NRDC v. NHTSA and Ohio v. EPA.” [E&E News, 9/18/23 (=)]

 

EPA Waiver Can't Make Calif. A GHG Regulator, DC Circ. Told — “Allowing California to spearhead a nationwide push toward electric vehicles is way beyond what Congress contemplated when it allowed the federal government to give the Golden State additional air pollution authority, Republican-led states and fuel industry groups told D.C. Circuit judges Friday. During the second day of oral arguments about the Biden administration’s efforts to curb vehicle emissions, challengers insisted that the EPA cannot restore a California Clean Air Act waiver that permits the state to set its own emissions standards and run a zero-emissions vehicle program. The waiver had been yanked by the Trump administration. The California waiver authority enshrined in Section 209 of the CAA is designed to address the state’s unique, localized air pollution issues, not a national and global issue like greenhouse gas emissions, and the EPA’s restoration of the vehicle waiver effectively turns California into a major climate change regulator, Sullivan & Cromwell LLP partner Jeffrey Wall told the panel Friday.” [Law360, 9/15/23 (=)]

 

Judges Question GOP-Led Challenge To EPA’s California Waiver Program — “Red states and fuel interests on Friday faced strong judicial headwinds in their challenges to deep-blue California’s aggressive plans to electrify its cars and trucks. Over three hours of arguments before the U.S. Court of Appeals for the D.C. Circuit, the challengers attacked California’s unique authority to enforce greenhouse gas rules for cars and trucks that are more stringent than federal standards. But the three-judge panel spent a significant amount of time questioning whether any of the parties could demonstrate injury — which if not, could stop the lawsuits in their tracks. ‘You’ve got the burden on standing,’ Judge Robert Wilkins, an Obama appointee, told the challengers. The lawsuits highlight increasingly disparate climate agendas between red and blue states as well as questions about President Joe Biden’s goal of reaching 50 percent electric vehicle sales by the end of the decade. The Clean Air Act allows EPA to grant California waivers to enforce its own more stringent emissions rules for cars and other mobile sources. EPA in 2013 approved a waiver covering greenhouse gases through 2025. That was yanked in 2019 by the Trump administration and restored in 2022 by the Biden administration.” [Politico, 9/15/23 (=)]

 

 

Vehicle Manufacturers

 

Ford Motor Co.

 

Ford CEO Says "Charging Anxiety" Hampers Widespread EV Adoption — “For a long time, range anxiety has been cited as the main reason car buyers aren’t willing to make the switch to all-electric vehicles. However, automakers and battery manufacturers have made significant advances in recent years to the point that current EVs provide decent range for the typical user. That said, there are still significant hurdles the EV industry needs to overcome, and charging may be the most significant, according to Ford Motor Company CEO Jim Farley. Speaking on Fox Business’ ‘Special Report’ segment, the executive voiced his opinion that consumers are not committing to EVs because they have ‘charging anxiety.’ ‘We’re going into the mass consumers who have a lot of charging anxiety. They don’t have range anxiety, they have charging anxiety,’ Farley said. His comments came in response to US Secretary of Energy Jennifer Granholm’s recent four-day, 600-mile EV road trip from Charlotte, North Carolina, to Memphis, Tennessee, that saw some staff members block a charger with a gas-powered car to ‘reserve’ it for Granholm’s car.” [Inside EVs, 9/15/23 (=)]

 

General Motor Corp.

 

Chevrolet Equinox EV Government Images Emerge In China Ahead Of Us Launch — “Images of the Chevrolet Equinox EV have been posted online by China’s Ministry of Industry and Information Tech (MIIT) ahead of the all-electric crossover’s official debut in the country, revealing some new details about the battery-powered car that’s set to arrive on US shores from Mexico this fall. The MIIT images show an RS-badged model that looks pretty much identical to the US-bound variant, sporting a closed front grille with integrated main beam lights and a rear diffuser, as well as several video cameras which will presumably be used for a 360-degree view on the infotainment system. Furthermore, there are blind spot visual alerts embedded in the side mirrors, front and rear parking sensors, a two-piece sunroof, and two color variants for the roof itself: the same as the body or black.” [Inside EVs, 9/18/23 (=)]

 

Tesla Inc.

 

Tesla Announces It Produced Its 5 Millionth Electric Car — “Tesla has announced that it has produced its 5 millionth electric car this week – a milestone that many naysayers thought impossible not so long ago. I’ve been reporting on Tesla long enough to remember the days when most people in the auto industry thought Tesla would never be more than a niche manufacturer, and that was those who thought it would survive. Many didn’t. The road wasn’t easy, but the automaker eventually built its first million electric vehicles; Tesla achieved that milestone in early 2020. It took Tesla 12 years of operations to build its first million vehicles.” [Electrek, 9/17/23 (=)]

 

Tesla Cybertruck Reservations Reportedly Reach 2 Million — “The Tesla Cybertruck is one of the most talked about electric vehicles in recent history, with daily posts on forums and Reddit showing prototypes and so-called release candidate (RC) units roaming the streets of the United States ahead of the pickup’s expected debut sometime later this month. It’s arguably a controversial vehicle, with its angular design splitting internet opinion-givers into two camps, seeing how one could either love or hate its unconventional look, but that seems to have helped Tesla when it comes to getting a boatload of reservations, at least according to a crowdsourced tracker. As per the publicly available that also lists over 47,000 self-reported reservations, Tesla has received an estimated 2 million pre-orders for its first-ever pickup truck, with most of the prospective customers going for the dual-motor and tri-motor versions, while the single-motor and quad-motor versions have less than 10 percent each in the grand scheme of things. Almost 70 percent of those who plan on getting a Cybertruck also have a Full Self-Driving (FSD) purchase in mind, as revealed by the document.” [Inside EVs, 9/18/23 (=)]

 

Tesla, Saudi Arabia In Early Talks For EV Factory – WSJ — “Saudi Arabia is in early talks with U.S. electric automaker Tesla (TSLA.O) to set up a manufacturing facility in the kingdom, the Wall Street Journal reported on Monday, citing sources familiar with the matter. The report comes just hours after Turkish President Tayyip Erdogan asked Tesla CEO Elon Musk to build a vehicle factory in Turkey, according to the country’s communications directorate. Musk is also set to meet Israeli Prime Minister Benjamin Netanyahu in California on Monday. Saudi Arabia has been wooing Tesla with the right to purchase certain quantities of metals and minerals the company needs for its electric vehicles from countries, including the Democratic Republic of Congo, the report said.” [Reuters, 9/15/23 (=)]

 

Erdogan Asks Musk To Build Tesla Factory In Turkey — “Turkish President Tayyip Erdogan asked Tesla (TSLA.O) CEO Elon Musk to build a Tesla factory in Turkey, the country’s communications directorate said on Monday. It cited Musk as saying that many Turkish suppliers are already working with Tesla and that Turkey was among the most important candidates for its next factory. Tesla did not immediately respond to requests for comment. Erdogan and Musk were speaking during a meeting at Turkish House, a skyscraper near the United Nations in New York, Turkey’s state-owned Anadolu news agency reported. Erdogan is in the U.S. to attend the 78th session of the U.N. General Assembly. Erdogan also said during the meeting that Turkey was open to cooperation on artificial intelligence and Starlink, the satellite internet venture of Musk’s SpaceX, the communications directorate said.” [Reuters, 9/17/23 (=)]

 

Tesla, Musk Tell 9th Circ. To Snuff Ex-Worker's Retaliation Suit — “Tesla and Elon Musk urged the Ninth Circuit to reject an ex-worker’s bid to revive a lawsuit claiming he was retaliated against for reporting alleged unlawful activity at the electric vehicle-maker’s Nevada factory, saying the man’s whistleblower claims under the Sarbanes-Oxley Act were fully litigated in arbitration. Former employee Karl Hansen’s appeal contends that a Nevada federal judge was wrong to dismiss his non-arbitrable Sarbanes-Oxley Act claims without providing him an opportunity to be heard on the differences between the claims heard by an arbiter and the remaining allegations in his lawsuit. In their answering brief filed with the Ninth Circuit on Thursday, Tesla Inc. and Musk say the lower court properly applied collateral estoppel, which prevents parties from relitigating an issue, to dismiss Hansen’s whistleblower claim since the same issues were vetted in arbitration. Hansen had a ‘full and fair opportunity’ to litigate his state law and federal Dodd-Frank Act retaliation claims in arbitration, Tesla and Musk tell the Ninth Circuit. Further, the arbitration award in the defendants’ favor was confirmed by the district court judge and not opposed by Hansen, Tesla and Musk say.” [Law360, 9/15/23 (=)]

 

VinGroup JSC

 

VinFast’s Second-Quarter Deliveries Jump Over Fivefold Sequentially — “Vietnamese electric-vehicle maker Vinfast said on Monday it delivered 9,535 vehicles in the second quarter, recording a more than fivefold jump from the first quarter. It reported 11,315 deliveries for the first half of this year. Vinfast’s blockbuster debut on Wall Street in August saw its shares more than triple in value, but the company’s small amount of publicly available shares has made the stock prone to volatility. Its shares have fallen about 53% since debut and lost 2.17% to $17.15 in premarket trading on Monday. Vinfast said it will report its second-quarter results on Sept. 21.” [Reuters, 9/18/23 (=)]

 

Volkswagen Group

 

Audi Exec Says Lower Tax On Imported EVs Will Help Test India Market — “Volkswagen (VOWG_p.DE)-owned Audi’s India unit said on Friday that any potential cut down on electric vehicle (EV) import taxes would help the German carmaker experiment better with models and pricing in the world’s third-largest car market. ‘If we get a window of three to five years where the government is able to reduce the duties, it will let us experiment what models make sense for India and help in terms of pricing points,’ Audi India head Balbir Singh Dhillon told Reuters on the sidelines of a showroom launch in Bengaluru. Reuters reported last month that the Indian government is working on a new EV policy that would slash import taxes for automakers that commit to some local manufacturing. Dhillon said that the India arm is in talks with the German parent to initiate assembling ‘some’ of its electric cars locally, but declined to provide details on timeline or potential models. Audi is trying to catch up with its peers, BMW (BMWG.DE) and Mercedes (MBGn.DE), in the transition to electric. Currently, the company’s India arm only makes internal combustion engines locally, which is used in its petrol cars.” [Reuters, 9/15/23 (=)]

 

 

Battery & Charging Companies

 

ChargeScape

 

Automakers Join Utilities To Manage EV Charging And Support The Grid — “As the electric vehicle market blossoms, utilities are keeping a close eye on when and where those EVs charge. Utilities want to effectively manage the increased load from EVs in a way that helps the grid rather than stresses it. This means encouraging EV drivers and fleet managers to charge vehicles during periods of time that coincide with low system demand and excess supply from renewable sources. The broad category of strategies and programs to encourage or control those activities is referred to as managed charging. The electrical grid isn’t the only thing positioned to benefit from managed charging. Automakers recognize the opportunity to help their EV customers tap into cost savings and financial incentives while reducing carbon emissions. These and other motivations were highlighted in a September 2023 announcement from Ford, BMW and Honda about the joint development of ChargeScape to enable managed charging and other grid services for EV drivers.” [Forbes, 9/15/23 (=)]

 

 

Advocacy

 

United Auto Workers (UAW)

 

Battle Over Electric Vehicles Is Central To Auto Strike — “A battle between Detroit carmakers and the United Auto Workers union, which escalated on Friday with targeted strikes in three locations, is unfolding amid a once-in-a-century technological upheaval that poses huge risks for both the companies and the union. The strike has come as the traditional automakers invest billions to develop electric vehicles while still making most of their money from gasoline-driven cars. The negotiations will determine the balance of power between workers and management, possibly for years to come. That makes the strike as much a struggle for the industry’s future as it is about wages, benefits and working conditions. The established carmakers — General Motors, Ford Motor and Stellantis, which owns Chrysler, Jeep and Ram — are trying to defend their profits and their place in the market in the face of stiff competition from Tesla and foreign automakers. Some executives and analysts have characterized what is happening in the industry as the biggest technological transformation since Henry Ford’s moving assembly line started up at the beginning of the 20th century.” [The New York Times, 9/16/23 (+)]

 

Strike Pits US Auto Union In Existential Struggle Over Shift To Electric Vehicles — “The auto industry is one of the more heavily unionised parts of the US economy — and United Auto Workers are striking in part to ensure that remains the case, even as the transition to electric vehicles threatens to shrink its workforce. At midnight on Thursday thousands of workers walked out of three plants, all of which make trucks or sport utility vehicles powered by petrol. The UAW is demanding higher wages for nearly 150,000 members who work at Ford, General Motors and Stellantis. Its campaign is part of a much broader battle: to protect workers through the transition to clean energy, which it estimates could cost 35,000 jobs. That is because the most successful new players in electric vehicles, such as Tesla and Rivian Automotive, do not have a unionised workforce. The striking plants are far from the Lordstown, Ohio factory operated by a joint venture between General Motors and LG Energy Solutions that makes batteries for GM’s EVs, whose workers are not covered by the same contracts.” [Financial Times, 9/15/23 (=)]

 

UAW Strike Could Buy GM Time To Address Nagging EV Issues — “General Motors (GM.N) is at greater risk than rivals Ford Motor (F.N) and Stellantis (STLAM.MI) of disruption to electric vehicle production from a prolonged UAW strike - though some analysts say that could also buy it time to repair nagging issues. While Ford and Stellantis are introducing several revamped combustion-engine models this fall, GM’s immediate focus is on electric vehicles - with plans to launch or ramp up production of at least five new ones. They include all-electric companions to its full-size Chevrolet Silverado and GMC Sierra pickups, according to researcher GlobalData. GM has been struggling much of the year to smooth out hiccups in battery manufacturing as well as its EV supply chain and logistics, including delivery to dealers of its Cadillac Lyriq and GMC Hummer EVs. The company delivered just 1,348 Lyriqs and 47 Hummers in the second quarter, far below expectations, in part because of issues with battery module assembly.” [Reuters, 9/15/23 (=)]

 

UAW Strike Could Buy GM Time To Address Nagging EV Issues — “General Motors (GM.N) is at greater risk than rivals Ford Motor (F.N) and Stellantis (STLAM.MI) of disruption to electric vehicle production from a prolonged UAW strike - though some analysts say that could also buy it time to repair nagging issues. While Ford and Stellantis are introducing several revamped combustion-engine models this fall, GM’s immediate focus is on electric vehicles - with plans to launch or ramp up production of at least five new ones. They include all-electric companions to its full-size Chevrolet Silverado and GMC Sierra pickups, according to researcher GlobalData. GM has been struggling much of the year to smooth out hiccups in battery manufacturing as well as its EV supply chain and logistics, including delivery to dealers of its Cadillac Lyriq and GMC Hummer EVs. The company delivered just 1,348 Lyriqs and 47 Hummers in the second quarter, far below expectations, in part because of issues with battery module assembly.” [Reuters, 9/17/23 (=)]

 

Editorial: UAW Strike Exposes Biden’s Green-Energy Conundrum — “From the start, President Joe Biden’s administration has been beset by two divergent goals. It wants to accelerate the transition to a green-energy economy, and it wants to offer unconditional support to organized labor. Last night’s walk-out by the United Autoworkers Union shows what happens when these imperatives collide. In an unprecedented labor action, workers from General Motors Co., Ford Motor Co. and Jeep-maker Stellantis NV all walked off the job at selected factories in three states on Thursday, after a weeks-long negotiating process broke down. The stakes are high if a deal remains elusive. By one estimate, a 10-day strike could reduce total US output by $5.6 billion, including $859 million in lost wages and nearly $1 billion in forgone earnings. A longer dispute could raise already inflated car prices, hammer steel producers and parts suppliers, narrow product selection, delay rollouts, and impose broad economic damage in states such as Michigan, Ohio, and Wisconsin.” [Bloomberg, 9/15/23 (+)]

 

Op-Ed: The Stakes Of The US Autoworker Strike Could Not Be Higher — According to Rana Foroohar — “Detroit is on strike. As of last Friday, the United Auto Workers of America, which represents roughly 40 per cent of all industry employees in the US, is taking on the ‘big three’ car manufacturers: GM, Ford and Stellantis (formerly Chrysler) with the aim of bringing electric vehicle workers under the union banner. Auto industry strikes are always significant, but this one is especially so. The unions are not just fighting for a few more bucks. This battle may determine not only the future of the clean energy transition in the US, but potentially the outcome of the 2024 presidential election, and the future of the Democratic party. It’s a worthy battle, but also a very, very risky one. The first point to consider is how and where electric vehicles get made. While President Joe Biden’s initial climate change executive order and the climate stimulus bill that first passed through the House of Representatives were explicitly pro-union, the wording of the final Inflation Reduction Act (which, despite its name, is a climate bill) supported ‘domestic’ labour rather than stipulating the use of union labour.” [Financial Times, 9/17/23 (+)]

 

UAW President Reacts To Automakers' Temporary Layoffs Of Non-Striking Employees: 'Their Plan Won't Work' — “The head of the United Auto Workers said plans by two automakers to temporarily lay off non-striking employees ‘won’t work,’ as the unprecedented strike enters the second day. The UAW, which represents nearly 150,000 autoworkers, started a strike early Friday morning against the Big Three automakers -- General Motors, Ford and Stellantis. Nearly 13,000 workers walked out of three auto plants in Michigan, Missouri and Ohio. The union is utilizing a ‘stand-up’ strike method to target specific plants and add to the list if a deal isn’t reached. Hours after the strike started, Ford announced it told 600 workers who assemble cars at a plant in Michigan not to report to work that day, citing the ‘knock-on effects’ of the strike. Workers in the paint department at a nearby plant are out on strike, leaving the assembly workers without adequate parts, since the parts require paint before they can be put together into cars, the company said in a statement to ABC News.” [ABC News, 9/16/23 (=)]

 

UAW's Fain Blasts Layoff Decision Amid Strike: 'Their Plan Won't Work' — “The United Auto Workers announced a renewed commitment to its strike Saturday, following news of Ford Motor Co. and General Motors possibly laying off thousands of employees. The layoff announcements represent an attempt to intimidate striking workers, said UAW President Shawn Fain. ‘Let’s be clear: If the Big Three decide to lay people off who aren’t on strike, that’s them trying to put the squeeze on our members to settle for less,’ Fain said. The UAW began its historic strike Thursday, as contract negotiations with Detroit’s three major automakers collapsed. About 13,000 UAW members at three plants in three states, including Michigan, are striking, seeking a contract that guarantees better pay and benefits for workers.” [Detroit Free Press, 9/16/23 (=)]

 

'Progress Is Slow' In Auto Talks, UAW's Shawn Fain Says — “United Auto Workers member Shamia Ware walks the picket line during a strike at the Ford Motor Company Michigan Assembly Plant in Wayne, Mich., Friday, Sept. 15, 2023. The United Auto Workers ‘stand-up’ strike against all three Detroit automakers heads into a new week with talks continuing and White House aides set to arrive to try to facilitate a resolution. Union members picketed Sunday for a third straight day at three plants in Michigan, Ohio and Missouri, where 12,700 workers walked out early Friday as contracts with Ford Motor Co., General Motors Co. and Stellantis NV expired. Appearing Sunday on MSNBC and ‘Face the Nation’ on CBS, UAW President Shawn Fain said ‘progress is slow’ in the negotiations, while NBC reported that President Joe Biden is sending a team to Detroit early this week to help the sides come together.” [The Detroit News, 9/17/23 (=)]

 

UAW President Shawn Fain Targeted With Threats; Michigan Man Charged With Felonies — “A Davison Township man has been charged with two felonies for allegedly threatening UAW President Shawn Fain on Wednesday, according to a news release Friday from Genesee County Prosecutor David Leyton. Zachary David White, 31, is charged after sending text messages to Fain the day before the union’s labor contracts with Ford Motor Co., General Motors and Stellantis expired. White is charged with false report or threat of terrorism, a 20-year felony, and false report or threat of bomb/harmful device, a four-year felony. At approximately 3:15 a.m., White sent Fain a series of threatening text messages to Fain’s cell phone, according to the investigative report from Genesee County Sheriff Chris Swanson. ‘I am not going to second guess Mr. White’s intentions nor am I going to view his messages as idle threats,’ Leyton said in a news release. ‘Such tactics, no matter the reason, are uncalled for, inappropriate, dangerous and against the law.’” [Detroit Free Press, 9/15/23 (=)]

 

UAW Says Ford Talks 'Reasonably Productive'; Automaker Says 'We Have To Win Together' — “Negotiations resumed Saturday between the United Auto Workers union and the Detroit Three automakers as the union’s strike against three major plants went into its second day. The UAW said it had ‘a reasonably productive’ conversation with Ford Motor Co. Ford Chief Communications Officer Mark Truby said in a statement that the automaker’s leaders ‘are committed to reaching an agreement with UAW that rewards our workers and allows Ford to invest in the future. We have to win together.’ Meanwhile, Stellantis NV said it offered the UAW nearly 21% compounded wage increase and a pathway to ‘resolve’ Belvidere Assembly Plant, the former Jeep Cherokee factory in north central Illinois that was idled at the end of February, but that the proposal was only on the table until the contract expired at midnight Thursday.” [The Detroit News, 9/16/23 (=)]

 

Little Progress In Talks To End Strike Against 3 Detroit Automakers — “The United Auto Workers and the big three Detroit automakers largely held their ground on Sunday, seemingly no closer to reaching deals than they were when the autoworkers went on strike on Friday. ‘If we don’t get better offers and we don’t get down to taking care of the members’ needs, then we’re going to amp this thing up even more,’ Shawn Fain, the president of the U.A.W., which has 150,000 members, said in an interview with CBS’s ‘Face the Nation’ on Sunday. Asked about an offer by one of the automakers, Stellantis, for a 21 percent pay increase over four years, Mr. Fain said, ‘It’s definitely a no-go.’ In a separate interview on MSNBC, Mr. Fain said that progress in the negotiations had been slow.” [The New York Times, 9/17/23 (=)]

 

‘I Don’t Know What He’s Done’: In The UAW President’s Hometown, Autoworkers Lash Out At Biden — “At a union hall here in United Auto Workers President Shawn Fain’s hometown, a half-eaten pizza and a bag of Werther’s Original candies were spread out across a conference room table. Uncertainty about what would happen next — and frustration with the Democratic president, Joe Biden — hung in the air. It was just after 9 p.m. on Thursday, and a dozen or so of the 150,000 union members employed by the Big Three automakers huddled at the Local 685, waiting on word from Fain ahead of an 11:59 p.m. expiration of their contract. Along with their fellow union members in this blue-collar city surrounded by farmland, they wanted the automakers — Stellantis, Ford and General Motors — to make concessions on pay, benefits and the workweek. ‘Forty-five minutes — showtime,’ said Garry Quirk, the president of the local.” [Politico, 9/15/23 (=)]

 

UAW, Big Auto Resume Labor Talks Amid Walkouts — “The United Auto Workers and Detroit’s Big Three continued contract negotiations over the weekend but showed little sign of any agreement as 12,700 workers remained on strike at three General Motors, Ford and Stellantis facilities, as an emboldened UAW fired back at the automakers’ warnings of impending layoffs and shuttered operations. With no new agreement as of Sunday, questions remain as to when and where UAW members will strike next as part of the union’s unprecedented simultaneous strike on all three U.S. legacy automakers that kicked off early on Sept. 15. The UAW’s strategy is to roll out work stoppages at targeted facilities, starting with an initial three plants. Currently on strike are approximately 4,000 members of UAW Local 2250 at General Motors Co.’s Wentzville Assembly in Missouri, which makes the GMC Canyon and Chevrolet Colorado midsize trucks, and the GMC Savana and Chevrolet Express full-size vans. Also on strike are approximately 5,500 members of UAW Local 12 at Stellantis NV’s Toledo Assembly Complex in Ohio, which makes the Jeep Wrangler and Jeep Gladiator. Meanwhile, approximately 3,300 members of UAW Local 900 in the final assembly and paint departments of Ford Motor Co.’s Wayne, Michigan, facility are also on strike. That plant makes Ford’s Ranger pickup truck and Bronco SUVs.” [Law360, 9/15/23 (=)]

 

'We Bleed Ford Blue': UAW Strikers Talk Family, History On Picket Line — “The white Ford transit van slowed, its emergency flashers on to warn the many cars and trucks honking as they traveled down Michigan Avenue Sunday morning that it would stop outside the Michigan Assembly plant in Wayne. The driver looked out his passenger window, seeing if the picketers participating in the UAW strike needed any food or drink. After a few shakes of the head he was gone, down to the next factory entrance, where red-clad women and men held blue and white signs with a simple message: ‘UAW on strike.’ In a different life, James was that driver. Back in September 1976, Ford workers walked out from the same factory, striking at the time for a wage increase and more paid vacation. Then working in the paint shop, James — who declined to provide his last name — joined them.” [Detroit Free Press, 9/17/23 (=)]

 

UAW Members Take Strike Rally Down Jefferson; Sanders Speaks — “They rallied and cheered and then they marched. Hundreds of UAW members and supporters in red took the union’s contract fight against the Detroit Three downtown along Jefferson Avenue Friday night from the UAW-Ford National Programs Center and joined up with striking Blue Cross Blue Shield of Michigan workers in a show of joint solidarity. ‘Say it loud, say it proud, Detroit is a union town,’ they chanted at one point. Then they took their shouts and cheers past the front doors of the Renaissance Center and the home of General Motors. After contract negotiations stalled with all three Detroit automakers, United Auto Workers from Local 862 picket in solidarity outside the UAW-Ford Joint Trusts Center for a rally in Detroit on Friday, Sept. 15, 2023. It was an exclamation point and a rousing moment less than a day since thousands of workers at three assembly plants in Michigan, Ohio and Missouri began a historic strike against Ford Motor Co., General Motors and Stellantis, owner of Jeep, Ram, Chrysler, Dodge and Fiat. It marks the first time the United Auto Workers union has struck all three automakers at the same time, and it comes at a moment of heightened interest in unions and unionizing.” [Detroit Free Press, 9/15/23 (=)]

 

VIDEO: Striking Workers Block Truck From Entering Ford Plant — “Strikers block independent truck drivers from pulling into Ford Motor Co.’s Michigan Assembly in Wayne.” [Detroit Free Press, 9/15/23 (+)]

 

‘No Go’: UAW President Rejects Stellantis Wage Increase Offer — “The president of the United Auto Workers on Sunday rejected a public offer by Jeep parent company Stellantis to boost pay 21 percent over four years, pushing a historic, coordinated strike against the nation’s three biggest carmakers into a third day. Get a curated selection of 10 of our best stories in your inbox every weekend. Stellantis, which is based in the Netherlands and was formed in 2021 through a merger of Fiat Chrysler and France’s Peugeot, said Saturday that it had offered the union a ‘highly competitive’ 21 percent wage increase. The union said it had ‘reasonably productive’ conversations with Ford on Saturday and was planning to meet with GM as well. Both of those companies have offered 20 percent raises over four years. But on Sunday morning, UAW President Shawn Fain said that Stellantis’s 21 percent offer and other terms presented by the automakers aren’t sufficient and that the strike will continue. ‘That’s definitely a no go,’ Fain said on CBS’s ‘Face the Nation.’ He added: ‘We’ve asked for 40 percent pay increases. And the reason we asked for 40 percent pay increases is because in the last four years alone, the CEO pay went up 40 percent.’” [The Washington Post, 9/17/23 (=)]

 

Stellantis Boosts Wage Hike Offer, Seeks Concessions, UAW Says — “Jeep maker Stellantis NV’s latest offer to the United Auto Workers includes hiking wages by 19.5%, consolidating aftersales parts plants, making salaried workers hourly and increasing the number of supplemental workers the company can use, while not making commitments around future product and investments, according to the union. UAW Vice President Rich Boyer, who heads the Detroit-based union’s Stellantis Department, announced some of the details of Stellantis’ latest offer in an expletive-laced speech late Friday afternoon during a rally in downtown Detroit. He criticized the proposal as ‘concessionary’ and a result of concerns over the electrification transition. UAW Vice President Rich Boyer, second from front left, marches with union President Shawn Fain, center, during a rally Friday afternoon, Sept. 15, 2023, in downtown Detroit. ‘We’ve been listening to the SOBs talk about how greedy’ the union’s demands are, Boyer said. ‘Them guys are greedy crooks. You’re all full of s---. Every one of them.’ He warned workers against being lured by potential actions of the company seeking to return employees on strike to work with wage and benefit offers, getting the crowd to shout, ‘B-------!’” [The Detroit News, 9/15/23 (=)]

 

Stellantis: Consumers Shouldn't 'Be Afraid' To Visit Dealers During UAW Strike — “Stellantis NV’s chief in North America on Saturday encouraged car buyers still to visit its dealerships amid the union’s strike at its Jeep Wrangler and Gladiator plant, saying the company is implementing its contingency plans. Autoworkers at the plant in Toledo, Ohio, were among the 3,900 United Auto Workers members to walk off the line early Friday morning after the contracts between the Detroit-based union and the Detroit Three expired a minute before midnight. It marked the first time the union opted to strike all three companies simultaneously with workers at Ford Motor Co.’s Bronco and Ranger plant in Wayne and General Motor Co.’s midsize trucks plant in Wentzville, Missouri, halting production too.” [The Detroit News, 9/16/23 (=)]

 

Stellantis Offers Raises, Inflation Protection Measures To UAW As Strikes Continue — “KEY POINTS Stellantis hiked its offer to UAW members to include pay raises of nearly 21%, including an immediate 10% increase. The proposal comes after thousands of workers walked off the job Friday at three key auto plants. Meanwhile, Ford and GM resumed negotiations with the UAW.” [CNBC, 9/16/23 (=)]

 

U.A.W. Begins Strike At GM, Ford And Stellantis Plants. Here’s What To Know — “Negotiators for the United Auto Workers union and the three large U.S. automakers — General Motors, Ford Motor and Stellantis, the parent of Chrysler, Jeep and Ram — remained far apart as a limited strike began on Friday. The strike is not a full-scale walkout by the union’s roughly 150,000 members but a ‘limited and targeted’ work stoppage by about 12,700 workers that could expand if talks remain bogged down. It began after workers’ four-year contracts expired. The union must negotiate separate deals with each of the companies on issues including pay and retirement benefits.” [The New York Times, 9/15/23 (=)]

 

Thousands Of Auto Workers Go On Strike: What You Need To Know — “Workers at three U.S. auto plants are on strike after the Big Three automakers and the United Auto Workers (UAW) failed to reach an agreement by Thursday night’s strike deadline. In July, negotiations began between the UAW and Ford, Stellantis and General Motors focused on pay increases, pensions and career security. The workers also have concerns about electric vehicles and how a shift toward EVs could affect their jobs and pay. ‘This strategy will keep the companies guessing. It will give our national negotiators maximum leverage and flexibility in bargaining, and if we need to go all out, we will. Everything is on the table,’ UAW President Sean Fain told workers during a Facebook Live event two hours before the strike deadline, referring to the selective walkouts.” [The Hill, 9/15/23 (=)]

 

What Detroit Automakers Have To Give The UAW To Get A Deal, According To Experts — “The United Auto Workers and the Detroit Three carmakers could get closer to an agreement sooner than it appears if both sides focus on a few key job provisions, according to some industry observers and insiders. One issue the union will likely have to accept that it will not win is a 32-hour workweek for 40 hours of pay, according to the people interviewed for this story. But there are other demands the UAW needs to win (a cost-of-living adjustment, for one) if the carmakers want a quick end to the strike and ratification of a tentative agreement, said one person familiar with ongoing contract talks and the union’s goals. ‘It has to have COLA. The union will not accept any agreement without COLA,’ said this person, who asked to not be named because of the sensitivity of the bargaining talks. ‘You will not get an agreement without COLA.’ This person also said, ‘The 32-hour workweek is not real. It won’t happen.’” [USA Today, 9/15/23 (=)]

 

The UAW Is Asking To Bring Back Pensions. This Economist Says It's Not A Good Idea — “NPR’s Mary Louise Kelly speaks with economist Allison Schrager about why she thinks the UAW is wrong about asking to bring back the old-fashioned pension plan.” [NPR, 9/15/23 (=)]

 

Striking Ford Workers In Michigan Revile Two-Tier Wage System — “Striking auto workers converged on a Ford (F.N) assembly plant on the outskirts of Detroit on Friday morning to show their support for the most ambitious labor action in decades and explain the grievances that led to the three-factory walkout. The first-ever simultaneous strikes against the ‘Detroit Three’ automakers, including General Motors (GM.N) and Chrysler parent Stellantis (STLAM.MI), kicked off early on Friday after the union and companies failed to agree on new contracts. Each automaker had one plant shut down. At Ford’s Michigan Assembly Plant in Wayne, Michigan, dozens of United Auto Workers (UAW) members were picketing the factory’s main entrance on Friday, and many rued changes to their contract and work rules over the past 15 years that especially cut new ‘Tier II’ hires at lower wages and reduced benefits. UAW chief Shawn Fain has described the strike as a societal move to claw back gains take by the financial elite, a message echoed by many strikers.” [Reuters, 9/15/23 (=)]

 

As Democrats Back Auto Workers, GOP Spots A Divide Over EVs — “Both Democratic and Republican lawmakers are rallying around the United Auto Workers union in its strike against General Motors Co., Ford Motor Co. and Stellantis NV, formerly Fiat Chrysler. But as Democrats settle into pro-union messaging, Republicans are using the walkout to drive a wedge between the union and President Joe Biden’s push for electric vehicles. Roughly 13,000 workers walked out of three plants in Missouri, Michigan and Ohio — one plant belonging to each of the big Detroit automakers — early Friday after negotiators failed to agree on contracts before the 11:59 p.m. Thursday deadline. The walkout is the first in the union’s history against all three automakers. ‘These are folks who have sacrificed over the years to make sure that these companies were successful and now that they’re very profitable, it’s time to share those profits to make sure that we can strengthen the American middle class,’ Sen. Gary Peters, D-Mich. who joined a picket line at a Ford factory in Wayne, Mich., said in a video post on X, formerly known as Twitter.” [Roll Call, 9/15/23 (=)]

 

‘Electric Cars Are Losing Us Money’: UAW Member Slams Biden’s Push For EVs — “A striking member of the United Auto Workers union (UAW) told a reporter on Friday that President Joe Biden’s pursuit of an all- electric vehicle (EV) economy would be a detriment to autoworkers. The UAW walked off the job at three auto manufacturing plants in Ohio, Michigan and Missouri at midnight Friday, after failing to reach an agreement with Ford, General Motors(GM) and Stellantis (formerly Chrysler). The UAW has criticized President Joe Biden’s efforts to promote EVs, prompting autoworker Travis Hanson to tell Fox News that ‘right now, electric cars are losing us money.’ ‘Right now, with inflation and the price of vehicles so high, we’re looking for fair for the future, not just for now,’ Harrison said on the picket line outside of a Ford plant in Wayne, Michigan. ‘So, for four years[referring to the contract length]it could be fair, but we are looking for more than four. I have more than four years to go before I retire, so I’m looking for future security.’” [The Daily Caller, 9/15/23 (-)]

 

VIDEO: U.S. Sen. Gary Peters Supports Striking Workers At Ford Plant — “U.S. Sen. Gary Peters talks to the media out Ford Michigan Assembly Plant on Friday, Sept. 14, 2023.” [Detroit Free Press, 9/15/23 (+)]

 

VIDEO: U.S. Sen. Debbie Stabenow Talks UAW Strike — “U.S. Sen. Debbie Stabenow talks UAW strike outside Ford Motor Co.’s Michigan Assembly in Wayne.” [Detroit Free Press, 9/15/23 (+)]

 

VIDEO: U.S. Rep. Elissa Slotkin Talks UAW Strike — “U.S. Rep. Elissa Slotkin talks UAW strike at Ford Motor Co.’s Michigan Assembly in Wayne.” [Detroit Free Press, 9/15/23 (+)]

 

Dingell Says Biden Should Not Intervene In UAW Strike Negotiations — “Rep. Debbie Dingell (D-Mich.) said President Biden should not intervene in negotiations between the United Auto Workers (UAW) union and automakers amid an ongoing strike. ‘First of all, I do not believe that the president should intervene or be at the negotiating table. I’ve said that from the beginning,’ Dingell said in an interview Sunday with ‘Face The Nation’ moderator Margaret Brennan. Dingell’s comments follow reports that Biden sent top aides, acting Labor Secretary Julie Su and senior aide Gene Sperling, to Detroit Friday to help resolve matters between UAW and three major automakers: General Motors, Ford and Stellantis. The Michigan representative said she talks with Sperling, who oversaw the rollout of the Biden administration’s economic stimulus package the American Rescue Plan Act of 2021, frequently and doesn’t believe the administration is involved in negotiations. ‘I talk to Gene Sperling multiple times a day and have all summer … I don’t think they’ve got a role at the negotiating table,’ Dingell said.” [The Hill, 9/15/23 (=)]

 

Dems Come Out In Support For UAW Strikes, As Republicans Criticize Push For Evs — “Following the expiration of contracts at midnight, state leaders and lawmakers on the state and national stage are weighing in as the United Auto Workers (UAW) union begins its historic strike on Michigan’s Detroit Three automakers. With support from other labor groups, including the American Federation of Government Employees (AFGE), the American Federation of State County and Municipal Employees (AFSCME), the American Federation of Teachers(AFT) Michigan and the American Federation of Labor and Congress of Industrial Organizations (AFL-CIO) — of which the UAW is a member — the union is holding its first set of stand up strikes at automotive plants in Wentzville, Mo.; Toledo, Ohio; and Wayne, Mich. As many Democratic officials in Michigan offered support for striking workers, the reaction from many Republicans was muted, with many criticizing automakers and Democratic President Joe Biden for promoting electric vehicle production. Many GOP officials, particularly state lawmakers, haven’t commented at all.” [Michigan Advance, 9/15/23 (+)]

 

'Are You Out Of Your F—Ing Minds?': Dems Recoil At Biden's Approach To Labor Standoff — “The self proclaimed most ‘pro-union president in American history’ is under fire from the leader of the most high-profile union in America. Shawn Fain, head of the United Auto Workers, has privately expressed his frustration with Joe Biden, wanting the president and other Democratic lawmakers to come out more aggressively in support of his union, which launched a strike Friday against the so-called Big Three automakers. Fain’s frustration was conveyed by five people familiar with his thinking, who were granted anonymity to describe his position. One of those five described him as ‘not happy’ with the situation. And Fain’s not the only person in Michigan who isn’t thrilled with the way Biden and his team have handled the labor dispute. Fain was also set to put out remarks, which were exclusively obtained by POLITICO, calling on Biden to be more vocal in his support. ‘We agree with Joe Biden when he says ‘record profits mean record contracts.’ We don’t agree when he says negotiations have broken down. Our national elected negotiators and UAW leadership are hard at work at the bargaining table. Our members and allies are standing strong at the picket lines. Anyone who wants to stand with us can grab a sign and hold the line,’ he said, as part of a larger statement.” [Politico, 9/15/23 (=)]

 

Republicans Squeeze Democrats On Labor As UAW Strike Explodes In Michigan — “Republicans are testing whether they can widen the Democratic Party rift exposed by the United Auto Workers strike as they try to reclaim the Senate and the White House. The GOP sees the UAW walkout as a potential lifeline in Michigan, where politically weakened Republicans are now plotting how best to seize on a tension point between Democrats’ clean-energy agenda and their pro-labor roots. President Joe Biden is pressing for more electric vehicles to achieve his climate goals, but workers who produce parts like batteries for those cars are often non-union and make less money. ‘What do you expect would happen when you push policies that will kill off people’s jobs?’ said Rep. Lisa McClain (R-Mich.). ‘Putting climate change policies over people is absolutely ridiculous, and we cannot stand for it.’ Democrats dominated in statewide races in recent cycles, with Biden winning in 2020 and Democrats retaking the state legislature and governor’s mansion. The Republican Party is largely in shambles there, and the national party hasn’t won a Senate seat in Michigan since 1994. But now, they see a potential opening.” [Politico, 9/17/23 (=)]

 

UAW Strike Could Disrupt EV Rollout. Environmentalists Support It Anyway. — “Environmental groups are lining up on the side of the United Auto Workers against the Big Three — never mind any setbacks for their green energy agenda. So far, only one of the three plants that union members have walked out on produces an electric vehicle — the Jeep Wrangler 4Xe built at Stellantis’ Toledo, Ohio site — but an expanded strike could threaten production of the cars that President Joe Biden wants to make up 50 percent of all new vehicle sales by 2030. Still, environmental groups are supporting the labor action, saying it’s needed to ensure that factory workers are included in the transition to a clean economy. ‘We firmly support the UAW members’ demands and believe that the success of these negotiations is of critical importance for the rights and well-being of workers and to safeguard people and the environment,’ a group of 100 labor, racial justice and environmental groups, including Greenpeace, the Sierra Club, and the Natural Resources Defense Council said in an open letter to the heads of Ford, General Motors and Stellantis. ‘Only through meeting these demands will the United States ensure a just transition to a renewable energy future.’” [Politico, 9/15/23 (=)]

 

JD Vance Urges Striking Auto Workers To Push For An End To “Premature Transition” To Electric Vehicles — “There’s a major spotlight on US auto workers right now as members of United Auto Workers union go on strike until they get a new deal. Ohio Senator JD Vance supports their demand for higher wages, but also says there is a massive elephant in the room for American auto workers: electric vehicles. The Biden Administration actively supports the rapid transition of EVs for environmental reasons, but Senator Vance notes a problem with that policy. A huge chunk of the EV supply chain is concentrated in China. Not only does that threaten American manufacturing jobs, but production in China is environmentally dirtier than in the US, which could negate any benefits gained by adopting EVs. ‘What we’re actually talking about doing is destroying the jobs of Ohio auto workers, shipping their jobs to China to manufacture these vehicles, it’s a lose-lose proposition. You harm Ohio auto workers, you also make the economy dirtier by doing more manufacturing in China, I don’t understand it. I don’t think it makes any sense, and I think Ohio auto workers understand they’re really getting the short end of the stick.’ SEN. JD VANCE, (R-OH)” [WTRF-TV, 9/15/23 (-)]

 

U.A.W. Starts Strike Small, But Repercussions Could Prove Far-Reaching — “Autoworkers walked off the job on Friday at three factories that produce some of the Detroit carmakers’ most popular vehicles, the opening salvos in what could become a protracted strike that hurts the U.S. economy and has an impact on the 2024 presidential election. Nearly 13,000 members of the United Auto Workers at plants in Ohio, Michigan and Missouri joined early Friday in what the union described as a targeted strike that could expand to more plants if its demands for pay raises of up to 40 percent and other gains were not met. The union’s four-year contracts with three automakers — General Motors, Ford Motor and Stellantis, which owns Chrysler, Jeep and Ram — expired Thursday, and the companies and the union remained far from striking new deals. The U.A.W.’s president, Shawn Fain, used sweeping language on Thursday to describe why his members were going on strike against all three automakers at the same time — something the union had never done in its nearly 90-year history.” [The New York Times, 9/15/23 (=)]

 

AP | The Auto Workers Strike Will Drive Up Car Prices, But Not Right Away — “Car shoppers are heading for a new round of sticker shock if the strike by the United Auto Workers doesn’t end soon, particularly for popular vehicles that are already in short supply. The number of vehicles on dealer lots will shrink the longer the walkout goes on. Dealers are likely to lose incentives that the manufacturers pay them to boost sales by cutting prices. And consumers might make things worse with panic-buying. Many analysts think it will take several weeks before dealer lots start to look a bit empty. Ford, General Motors and Stellantis built up inventories of vehicles ahead of Thursday night’s strike, and the UAW decided to limit the walkout to just three plants – at least for now. ‘Guys at the dealerships are going to tell you, ‘The UAW this and that,’ but their lots are full of cars now,’ says Ivan Drury, the director of insights at Edmunds, a provider of information about the auto industry. He estimates that at current inventory levels and the pace of vehicle sales, most car shoppers shouldn’t notice much change for a couple of months.” [ABC News, 9/16/23 (=)]

 

'Triple Threat': Auto Strike Joins A Messy Season For Biden's Economy — “The strike against Detroit’s Big Three automakers is hitting the U.S. economy at a precarious time — as it’s struggling with an era of high inflation and soaring borrowing costs. Combined with other emerging headwinds — rising gas prices, tightening credit, the resumption of student loan payments and shrinking household savings — the walkout could slow growth just as President Joe Biden and Federal Reserve Chair Jerome Powell are trying to steer the U.S. away from a recession. Gregory Daco, chief economist at EY-Parthenon, said student loan payments, a government shutdown and the auto strike represent a ‘triple threat’ that could shave more than three-quarters of a percentage point off growth in the fourth quarter. Wells Fargo analysts said higher interest rates and large fiscal deficits were among a ‘mosaic’ of threats that raise the odds of a recession in the coming months. ‘None of these is a shot in the temple; they’re nonfatal,’ Federal Financial Analytics managing partner Karen Petrou said. ‘But none is good, and the American public is fragile. It doesn’t take much to throw them off.’” [Politico, 9/15/23 (=)]

 

Knock-On Effects — “After 12,700 UAW members went on strike starting Friday, Ford was the first Big Three automaker to announce temporary layoffs of 600 workers not on the picket line due to ‘knock-on effects,’ Tanya reports. And this week brings more uncertainty after GM said a Kansas factory is likely to shutter today or tomorrow due to a lack of parts from a striking plant in Missouri. Expect both sides to use workers as points of leverage in the coming days, as talks continue. UAW President Shawn Fain continued to hint at more strikes if talks drag on, though he wouldn’t say which plants specifically could see workers leave their jobs. So far, the three striking plants (one each at Ford, GM and Stellantis) aren’t large enough to essentially grind the auto industry to a halt. But more strikes would bring more uncertainty to the U.S. economy. ‘We’re going to amp this thing up even more,’ Fain said on CBS’ Face the Nation on Sunday, without providing details.” [Politico, 9/18/23 (=)]

 

What The UAW Strike Means For The Musk-Biden Tug Of War — “The United Auto Workers strike is likely to have at least one winner: Elon Musk. And that spells trouble for President Joe Biden’s efforts to shape the auto industry’s future. The UAW’s work stoppage offers yet another massive headache for the Big Three automakers just as they’re gearing up to challenge Musk’s Tesla in the growing market for electric vehicles. A generous settlement with the UAW could compound Detroit’s problems, industry analysts say, by widening the gap in labor costs between the U.S. auto giants and Tesla’s non-union factories. Either way, Tesla’s continued dominance on electric cars would undermine Biden’s hopes of basing the next generation of cars and trucks on unionized labor — in just the latest collision between the White House’s visions and those of the mercurial billionaire. Musk has already won a number of early skirmishes with the administration, including by getting several other big automakers to adopt Tesla’s charging technology as a de-facto industry standard. ‘Tesla’s competitive advantage over the Detroit Three is going to widen,’ said Garrett Nelson, vice president of equity research at CFRA Research, an investment advisory firm. Ford, General Motors and Stellantis already pay their workers more than Tesla, he said, and that gap in labor costs is sure to grow even under the concessions the automakers have already offered.” [Politico, 9/18/23 (=)]

 

Whatever The UAW Strike Outcome, Elon Musk Has Already Won — “More than a day into the United Auto Workers strike against the Detroit automakers and one thing is clear: Elon Musk has already won. And the billionaire tycoon isn’t even involved. Musk won before the strike began early Friday. He won before negotiations started two months ago. From the get-go, General Motors GM 0.86%increase; green up pointing triangle, Ford Motor F -0.08%decrease; red down pointing triangle and Chrysler parent Stellantis STLA 2.18%increase; green up pointing triangle were expected to spend more on wages because of the union’s pressure. The question is just how much of an increase, and so far their offers haven’t pleased the union, igniting this past week’s work stoppage. Whatever happens, more money surely will be spent. Any wage increase further advances Tesla’s TSLA -0.60%decrease; red down pointing triangle already tremendous cost advantage in EVs over its older U.S. peers, which are contending with generations of legacy expenses while trying to steer a costly transition to electric from gas-powered vehicles.” [The Wall Street Journal, 9/16/23 (=)]

 

How UAW Tossed Its Old Playbook And Pursued A Surprise-Attack Strike Strategy — “Over the summer, top officials at the United Auto Workers gathered for frequent strike-strategy meetings around a 30-foot table in a boardroom at union headquarters, overlooking the Detroit River. Their plan: craft an approach that would throw the auto companies into disarray. The tradition-steeped union for decades had largely stuck to the same basic playbook in its dealings with Detroit’s three automakers. Then just a few months into his job as the UAW’s top official, Shawn Fain, the 54-year-old who came up in the union as an electrician, was prepared to throw it into the trash bin. ‘This strategy will keep the companies guessing,’ Fain said late Thursday, on the eve of the UAW’s walkout at General Motors GM 0.86%increase; green up pointing triangle, Ford Motor F -0.08%decrease; red down pointing triangle and Chrysler-parent Stellantis STLA 2.18%increase; green up pointing triangle. The action was called after two months of negotiations failed to yield new labor deals for the union’s roughly 146,000 auto members.” [The Wall Street Journal, 9/17/23 (=)]

 

UAW Justifies Wage Demands By Pointing To CEO Pay Raises. So How High Were They? — “It’s been a central argument for the United Auto Workers union: If Detroit’s three automakers raised CEO pay by 40% over the past four years, workers should get similar raises. UAW President Shawn Fain has repeatedly cited the figure, contrasting it with the 6% pay raises autoworkers have received since their last contract in 2019. He opened negotiations with a demand for a similar 40% wage increase over four years, along with the return of pensions and cost of living increases. The UAW has since lowered its demand to a 36% wage increase but the two sides remain far apart in contract talks, triggering a strike. Fain’s focus on CEO pay is part of a growing trend of emboldened labor unions citing the wealth gap between workers and the top bosses to bolster demand for better pay and working conditions. In June, Netflix shareholders rejected executive pay packages in a nonbinding vote, just days after the Writers Guild of America wrote letters urging investors to vote against the pay proposals, saying it would be inappropriate amid Hollywood’s ongoing strike by writers. The WGA wrote similar letters targeting the executive pay at Comcast and NBCUniversal.” [Associated Press, 9/17/23 (=)]

 

UAW’s Strike Strategy: Start Small And Keep ’Em Guessing — “The United Auto Workers strike at three factories rippled across the industry Friday, as Detroit automakers set plans to temporarily lay off workers at other plants hobbled by the union’s unconventional tactics. Some 12,700 workers went on strike across the three plants—in Missouri, Ohio and Michigan—in a strategy that represents a major test for UAW President Shawn Fain. Rather than strike against one company at a time with all of its union workers, he instead is taking on all three at once, but with targeted walkouts. Already on Friday afternoon, not a full day into the strike, General Motors GM 0.86%increase; green up pointing triangle said it would soon idle a plant in Kansas, due to a resulting parts shortage, putting about 2,000 employees out of work until production can resume. Ford Motor F -0.08%decrease; red down pointing triangle said it would temporarily lay off about 600 workers following the walkout at its plant in Michigan.” [The Wall Street Journal, 9/15/23 (=)]

 

UAW Strike Day 4: GM Threatens To Send 2,000 Workers Home, Ford Cuts 600 Jobs — “As the auto workers’ strike enters Day 4, the two sides are digging in. On one side are the United Auto Workers who say record corporate profits should yield a record contract. ‘If we don’t get better offers ... then we’re going to have to amp this thing up even more,’ warned UAW President Shawn Fain on CBS’s Face Of The Nation. On the other, are the Big three automakers — General Motors, Ford and Stellantis — who say they have put historically generous offers on the table, while also emphasizing that there are limits. ‘Our goal is to secure a sustainable future that provides all our UAW-represented employees with an opportunity to thrive in a company that will be competitive during the automotive industry’s historic transformation,’ Stellantis said in a statement.” [NPR, 9/18/23 (=)]

 

GM CEO Mary Barra Defends Position Amid UAW Strike, Says Company Put 4 Offers On The Table — “General Motors CEO Mary Barra defended her company’s position Friday amid the United Auto Workers union strike and said GM has put multiple offers forward. ‘We’ve been at the table since July 18th. We received over 1,000 demands,’ Barra told ‘CBS Mornings’ on Friday. ‘We put four offers on the table.’ She said she is ‘very proud’ of the ‘historic’ offer the company put on the table Thursday, because ‘it’s a record from a gross wage increase perspective in our 115-year history, as well as maintaining strong ... world-class health care that our employees enjoy.’ ‘And I think one thing that’s very important is from a job security perspective, in this contract, we have product and work for every single one of our plants,’ she said. ‘And that didn’t happen by accident.’ Barra said GM couldn’t be successful if the company met all of UAW’s demands. The initial demands, she said, were over $100 billion.” [CBS News, 9/15/23 (=)]

 

UAW Strike Against Big Three Automakers Enters Fourth Day — “Detroit Free Press auto critic and columnist Mark Phelan provides the latest details on the United Auto Workers strike on The Claman Countdown. The United Auto Workers (UAW) strike at plants owned by the Big Three automakers – Ford, General Motors and Stellantis – entered its fourth day Monday after the two sides were unable to reach an agreement on a new labor deal on Thursday night. About 12,700 UAW workers are on strike and have ground production to a halt at three auto plants in Michigan, Ohio and Missouri that produce the Ford Bronco, Jeep Wrangler and Chevrolet Colorado among other models. The strike officially began on Friday and this is the first time the UAW has done a simultaneous strike against the Big Three. The UAW is conducting what it’s calling a ‘stand up strike’ in which its unionized workers from designated locals are asked to go on strike at their respective facilities, while those elsewhere around the country continue to work. Union leaders believe this will give them options to potentially escalate the strike incrementally at more locals and facilities as negotiations continue, with the possibility of a nationwide strike an option.” [Fox Business, 9/18/23 (-)]

 

UAW And Automakers GM, Ford And Stellantis Try To Reach Deal Before Strike Widens — “The United Auto Workers strike against the Detroit Three automakers enters its fourth day on Monday as both sides try to hammer out deals to avoid costly disruptions to more plants. Union negotiators and representatives of General Motors (GM.N), Ford (F.N) and Stellantis (STLAM.MI) were set to resume talks on Monday, seeking to end one of the most ambitious U.S. industrial labor actions in decades that has seen the union strike all three automakers simultaneously for the first time. The coordinated strike comes at a time when Americans’ approval of labor unions is at its highest point in decades even as membership in unions remains largely unchanged.” [Reuters, 9/18/23 (=)]

 

Ford, GM Announce Possible Temporary Layoffs At Plants Affected By UAW Strike — “Ford Motor Co. and General Motors will lay off multiple employees, the two companies announced Friday, saying the United Auto Workers’ strike at two plants led to the layoffs. The UAW declared a strike against the Detroit Three automakers Thursday as contract talks failed to secure new labor agreements before the current deals expired at 11:59 p.m. UAW President Shawn Fain announced the first wave of plants the union would strike if a new labor agreement was not reached including Ford Michigan Assembly Plant (Final Assembly and Paint only) in Wayne, Stellantis Toledo Assembly Complex in Ohio and General Motors Wentzville Assembly in Missouri. As a result, 600 employees at the Michigan Assembly Plant in Wayne were temporarily laid off by Ford. Additionally, GM will likely have to lay off some 2,000 employees at its Fairfax Assembly plant in Kansas City, Kansas, which builds the Cadillac XT4 SUV and the Chevrolet Malibu sedan. Wentzville, which builds GM’s midsize pickups and cargo vans, also does stamping work for Fairfax’s vehicles. In a memo to employees, GM said it anticipates running out of the stamping parts for Fairfax as soon as early next week, though it said parts inventory remained fluid.” [Detroit Free Press, 9/16/23 (=)]

 

Ford Says 600 Non-Striking Workers At Michigan Assembly Plant To Be Temporarily Laid Off — “In the first day of the United Auto Workers’ targeted strike of three Detroit automaker plants, the effects began rippling through the production chain — including a temporary layoff of some 600 workers at Ford Motor Co.’s Michigan Assembly Plant in Wayne. The UAW at midnight Friday launched a strike that, for the first time in the union’s history, targeted all three Detroit automakers at once. The so-called ‘Stand-Up Strike’ initially targeted General Motors Co.’s Wentzville Assembly Plant in Missouri, Stellantis NV’s Jeep plant in Toledo and just the final assembly and paint shop parts of Ford’s Michigan Assembly Plant. Some 12,7000 workers walked off the job as the union’s contract with the automakers expired with no tentative agreements, including approximately 3,300 Ford workers. Negotiations are to resume Saturday, according to UAW President Shawn Fain.” [The Detroit News, 9/15/23 (=)]

 

Tensions Rise Over US Carmaker Strike As Ford Lays Off 600 Workers — “Tensions have escalated over a strike at Detroit carmakers despite US president Joe Biden’s call for a return to the bargaining table, with Ford laying off hundreds of employees hours after the work stoppage began. Nearly 13,000 UAW members went on strike at three plants early Friday when their contract expired at midnight without a deal. The factories in Michigan, Missouri and Ohio belong to Ford, GM and Stellantis, respectively, marking the first time in history the union has gone on strike against all three carmakers at once. Ford late on Friday said it laid off 600 workers who had not walked out at the Michigan plant, blaming ‘knock-on effects’ from others in the painting and final assembly departments who had. The UAW had directed only certain departments to go on strike.” [Financial Times, 9/15/23 (=)]

 

Ford Temporarily Lays Off 600 Workers, Citing Strike’s ‘Knock-On Effects’ — “Just hours into an autoworker strike at one of its plants, Ford said it would temporarily lay off 600 workers who were not on the picket line, citing ‘knock-on effects’ from the work stoppage. The United Auto Workers launched what it’s calling a ‘stand-up strike’ when their contracts with Ford, General Motors and Stellantis expired at 11:59 p.m. Thursday. The strike targets just one facility of each automaker, in Missouri, Ohio and Michigan. The strike at the Ford Michigan Assembly Plant only encompasses the final assembly and paint divisions. But Ford said the work stoppage in those departments ‘has directly impacted the operations in other parts of the facility,’ noting that its ‘production system is highly interconnected.’ The company said it told 600 employees in that plant’s body construction department and south sub-assembly area of integrated stamping not to report to work on Friday. ‘This is not a lockout,’ Ford insisted. ‘This layoff is a consequence of the strike at Michigan Assembly Plant’s final assembly and paint departments, because the components built by these 600 employees use materials that must be e-coated for protection. E-coating is completed in the paint department, which is on strike.’” [Politico, 9/15/23 (=)]

 

Ford And GM Temporarily Lay Off Hundreds Of Workers — “On Thursday night, the United Auto Workers (UAW) announced strikes at factories for GM, Ford, and Stellantis simultaneously. Never before has the UAW held strikes for all of the Big Three Detroit automakers at once and now all three brands are retaliating with layoffs. The UAW was been working to get a new labor agreement with the three Detroit automakers before the old one expired at 11:59 PM on Thursday, September 14. However, contract talks failed and the UAW made the decision to strike 13,000 employees, across three different factories, and all three brands. In response, both Ford and GM have announced layoffs for non-striking employees.” [The Drive, 9/17/23 (=)]

 

UAW Strike Means These Trucks Aren’t Being Built — “In a historic action, the United Auto Workers (UAW) union is on strike. After being in a deadlock with the Big Three automakers for months over member wages and benefits, three strategically chosen production plants will go on strike until an agreement is made. This means certain Fords, Chevys, and Jeeps won’t be rolling out of factories. While this is the first time the UAW has gone on strike against all three automakers, this is not the first time the union has fought for better wages and working conditions. With a strike comes halted production lines, meaning certain cars will only last as long as dealers have inventory. With the strategically chosen factories, the UAW has halted production of key models that are in high demand.” [The Drive, 9/15/23 (=)]

 

UAW Strike Really Makes Big Auto Stocks Dead Money — “Auto stocks will probably be parked in neutral for a good while. No matter the outcome in the headline-grabbing UAW vs. Big Auto strike, it’s going to be very hard to make a great case to buy shares of Ford (F) and General Motors (GM) that on the surface look stupid cheap. I mean, Ford’s stock is trading on a forward price-to-earnings multiple of 6.3 times according to Yahoo Finance data. General Motors forward PE multiple clocks in a less-than-meaty 4.9 times. The S&P 500 trades on a forward PE of 19.9 times, for a dose of perspective. Don’t be sidetracked by the relative discounts of auto stocks vs. the S&P 500, however. The automaker stocks have value trap written all over them for one super simple thesis. Large auto makers are losing huge money on the EV transition that is essentially being forced down their throats by worldwide governments. Consider this: before any new contract with the UAW, Ford’s EV unit was slated to lose $4.5 billion this year. Profits were highly unlikely in 2024, either, and who knows about 2025 or 2026.” [Yahoo! Finance, 9/18/23 (=)]

 

Op-Ed: Why The UAW Strike Is Bigger Than The Auto Industry — According to Hamilton Nolan, “The United Auto Workers are on strike. For the first time in the union’s long and storied history, workers are on strike simultaneously against all of the ‘Big Three’ automakers — Ford, GM and Stellantis (the maker of Chrysler). The labor action could affect nearly 150,000 workers and, if it drags on, bring a meaningful slice of the American economy to a standstill. Dark warnings that this might cause a recession are being thrown around. But, in reality, this strike is a reason to rejoice if you are a working person in America. It is a sign of an ongoing power shift that may be strong enough to heal wounds sustained by the entire working class for decades. The UAW is led by Shawn Fain, a reformer elected earlier this year to pull the union out of its days of stasis and corruption, and return it to its crusading, democratic roots. Fain is plainspoken, middle-aged and unflashy, but he holds forth on the rights of labor with the fervor of a preacher. He entered into negotiations with the automakers declining to shake hands at the bargaining table and holding tight to his vow of ‘No concessions.’” [MSNBC, 9/15/23 (+)]

 

Op-Ed: How The UAW Strike Might Benefit All Workers — According to Kate Bahn, “Even the United Auto Workers (UAW) president acknowledged the union’s demands are audacious: In contract negotiations between the so-called ‘Big Three’ automakers of General Motors, Ford and Stellantis (the owner of Chrysler, Dodge and Peugeot) the UAW is demanding that their members receive the same pay for a 32-hour work week that they once did for 40. This will automatically raise worker earnings by at least 20%, likely increase the number of workers employed at auto manufacturing plants and cut into oversized and inefficient corporate profits. While a lot of the attention has been on the political calculus of such a move at the tail end of ‘hot labor summer,’ I’m focused on what this all means for our economy in the long-run. Viewed through that lens, this simple yet significant policy change has the potential to pump the breaks on decades of increasing income inequality and a declining labor share of income, which measures how much of our economic activity, or national income, goes to workers. And curbing those trends makes good economic sense — with benefits that extend beyond the autoworkers.” [CNN, 9/15/23 (+)]

 

 

Electric Vehicles

 

Batteries & Charging

 

Are We Facing A Nationwide EV Charger Shortage And What Does It Mean For The Future Of EVs? — “After news broke regarding electric vehicle (EV) charging station shortages across New York City, current and prospective EV owners are concerned about the practicality of owning an EV. Fox Business reports that NYC needs around 40,000 additional charging plugs by 2030 to successfully phase out gas cars, an ambitious goal for the metropolitan area. With the White House setting a goal to cut down CO2 emissions and reduce the effects of climate change by having up to half of all new vehicle sales be electric by the year 2030 the race is on to implement public charging stations nationwide. However, this begs the question: If EV owners are already facing public charging station shortages, how will we phase out gas vehicles from the roads? Automoblog takes a deep dive into answering the question of whether or not we’re facing an EV charger shortage and what this might mean for the future of EVs in the United States.” [WFMZ-TV, 9/15/23 (~)]

 

The Key To A Successful EV Road Trip – Overnight Charging — “Over the past three summers, our family of four has driven around 12,000 miles, across 20+ states, on our now annual electric vehicle road trip. After many days on the road, we can confidently say that one of the most important strategies (if not the most) for a successful multi-day, multi-state EV adventure is to charge your vehicle overnight wherever you’re staying. This might seem obvious, but it’s enough of a change in travel planning compared to gas-fueled road trips of the past, that it deserves its own post. Overnight EV road trip charging generally means plugging into a Level 2, 240-volt outlet or charging station. Trickle charging at a 120-volt outlet is great once you get to your destination and plan to stay a couple of days, but it likely won’t provide the same benefits as Level 2 when you’re hitting the road day after day on a long trip.” [CleanTechnica, 9/16/23 (+)]

 

Charging Ahead: How Remote Access Capabilities Improve EV Charging Infrastructure — “EV ownership continues to increase thanks to a confluence of environmental concerns, rising gas prices, and federal incentives helping to lower the cost of ownership. Yet on-the-go charging remains a significant sticking point. According to a recent study, public satisfaction with Level 2 charging stations declined 16 points in the last year, and for fast DC chargers, it was an even worse decline of 20 points. Many of the issues consumers are facing with charging stations relate to maintenance and functional issues. A 2022 study found that over 25% of chargers were broken in the San Francisco Bay area, a region with high EV adoption where it would be expected that charging stations would be well-maintained. But like most energy infrastructure in the U.S., existing charging stations are nearing the end of their lifespan and require upgrades and repairs.” [Smart Cities Dive, 9/15/23 (=)]

 

EV Sales & Transition

 

America Passed The EV ‘Tipping Point’ — But Many Buyers Still Want Gas — “There is a theoretical, magic tipping point for adoption of electric vehicles. Once somewhere between 5 and 10 percent of new car sales are all-electric, some researchers say, huge numbers of drivers will follow. They predict then electric cars sales will soar — to 25 percent, 50 percent, and eventually to close to 80 percent of new sales. Early adopters who love shiny new technologies will be replaced by mainstream consumers just looking for a good deal. Last year, the United States finally passed that elusive mark — 5 percent of all new cars sold in the fourth quarter were fully electric. And earlier this year, all-electric vehicles made up about 7 percent of new car sales. But even as the nation’s EV market appears to be teetering on the edge of an electric takeover, a hesitant American public — and a still-subpar charging infrastructure — could still hold the country back. A Washington Post-University of Maryland poll shows the current limits of U.S. enthusiasm for the new vehicles, with nearly half of adults (46 percent) saying they prefer to own a gas-powered car or truck. That compares to 19 percent who want a full-electric vehicle, 13 percent who want a plug-in hybrid and 22 percent who want a traditional hybrid vehicle.” [The Washington Post, 9/18/23 (+)]

 

Electric Cars Will Be Cheaper To Buy Than Fossil Fuel Vehicles Within Three Years — “Electric cars are already cheaper to run than petrol vehicles and will become less expensive to buy than fossil fuel equivalents within three years. According to a report by researchers at the UK’s University of Exeter, price parity for battery-electric vehicles is as little as one year away in Europe, two years in China and three years for medium-sized cars in the US. The transport technology could reach equal pricing even faster, researchers noted, if governments provided subsidies for potential buyers. The research could be negative news for Australian drivers, however, as it came days after the NSW government confirmed plans to scrap a $3000 subsidy on electric vehicles, months after the Victorian government did the same. The analysis, led by the Rocky Mountain Institute and Bezos Earth Fund, included forecasts based on electric vehicle adoption in Europe, the US, China, India and Japan.” [The Driven, 9/18/23 (+)]

 

It’s Getting Easier For Us Car Owners To Go Electric — “Since the beginning of 2022, electric vehicle sales in the United States have been downright electrifying. Last year, US drivers bought more than 800,000 new electric vehicles (EVs), 65 percent more than in 2021, even as overall car sales declined. Those 807,956 EVs accounted for 5.8 percent of all new cars sold, an increase from 3.1 percent in 2021. Thanks largely to federal tax incentives, lower sticker prices, and more available models, EV sales have continued to surge in 2023. The 554,140 EVs sold during the first and second quarter of this year represent nearly a 50 percent jump from the first half of 2021, and sales are on pace to surpass a record-breaking 1 million by the end of this year.” [CleanTechnica, 9/18/23 (+)]

 

Why EV Batteries Keep Getting Cheaper & Cleaner — “There are still many people in the automotive industry and many policymakers who hold doubts about the future of fully battery electric vehicles (BEV). They do not know why EV batteries keep getting cheaper and cleaner, and they do not see why they will become truly abundant. The thought is that they are too expensive now and will be too expensive in future. These cynics also often think they are too dirty to produce now and will be too dirty in the future, that they are too heavy now and will be too heavy in the future. And last but not least, they think that BEVs are scarce now and will be unavailable in the future. Using Wright’s Law, Moore’s Law for batteries, and data from the United States Geological Survey (USGS), all the scare stories that feed those doubts can be debunked. Together, we can see that batteries will become cheaper, cleaner, lighter, and abundant.” [CleanTechnica, 9/17/23 (+)]

 

Op-Ed: These Countries Are Adopting Electric Vehicles The Fastest — According to World Resources Institute, “Electric vehicle sales have been growing exponentially due to falling costs, improving technology, and government support. Globally, 10% of passenger vehicles sold in 2022 were all-electric, according to analysis of data from the International Energy Agency. That’s 10 times more than it was just five years earlier. Electric vehicles (EVs) produce fewer greenhouse gas emissions than internal combustion engine vehicles, such as gasoline- and diesel-powered vehicles. Once the electric grid shifts to zero-carbon power, emissions will be even lower. For this reason, ramping up EVs will be one of the most important steps in reducing transportation emissions — alongside reducing private vehicle travel and shifting to public transit, biking, or walking. There are already a number of countries switching to EVs at impressive rates. The top 5 countries with the highest share of EV sales are Norway (all-electric vehicles made up 80% of passenger vehicle sales in 2022), Iceland (41%), Sweden (32%), the Netherlands (24%), and China (22%), according to our analysis. China’s place on this list is especially significant considering it is the biggest car market in the world. The other two biggest car markets have lower EV sales but are growing quickly: the European Union (12%) and the United States (6%).” [CleanTechnica, 9/16/23 (+)]

 

 

States & Local

 

Illinois

 

New Electric Vehicle Ordinance Requires Developers To Include Charging Stations — “With more electric vehicles hitting the streets, city leaders are working to make sure everyone has access to charging stations. Developers of new high-rise or single-family homes are now required to provide the electrical equipment necessary to establish EV parking spots. The City Council approved the ordinance on Thursday. Mayor Brandon Johnson applauded the move - calling it ‘another important step in ensuring that Chicagoans will have cleaner air to breathe.’” [CBS News, 9/15/23 (=)]

 

Maryland

 

Maryland Just Adopted A Phaseout Of New Gas-Powered Cars. How Far Does It Have To Go With EVs And Zero-Emission Vehicles? — “The number of zero-emission vehicles sold and registered in Maryland is growing. But last year electric and plug-in hybrid vehicles made up just over 1% of light-duty vehicles registered in Maryland, leaving a long road to the state’s goal of ending sales of new gas-powered passenger cars and light trucks by model year 2035. On Monday, Maryland’s Advanced Clean Cars II regulation took effect, requiring manufacturers to continuously increase the percentage of vehicles they sell that emit no pollutants. The rule requires at least 43% of vehicles each manufacturer sells in the state be zero emissions for model year 2027, with that percentage increasing each model year until 2035. With Maryland’s adoption of the California standards, here are six data points on the state of zero-emission vehicles in Maryland. Gas-powered vehicles have yet to make up less than 85% of registered light-duty vehicles in the state. Among light duty vehicles that were newly registered or had their registrations renewed in Maryland in 2022, more than 1% were electric or plug-in hybrid electric vehicles, according to the U.S. Department of Energy. Six years prior, EVs and plug-in hybrids’ share was less than two-tenths of 1%.” [The Baltimore Sun, 9/15/23 (=)]

 

Michigan

 

Detroit Auto Show Goers Form Long Lines At Off-Road, Electric Vehicle Tracks Saturday — “Crowds filed into the North American International Detroit Auto Show when it opened its doors to the public at 10 a.m. Saturday. Many attendees had smiles on their faces as they participated in new and traditional auto show experiences, such as getting in and out of vehicles, purchasing food and merchandise and testing out cars. Representatives of car companies held presentations about special vehicles in the showroom. Lines were continuously getting longer for the immersive ride-along experiences that Powering Michigan, Ram, Jeep and Ford are hosting. The new Exotic and Luxury Showcase — which is full of supercars from Bentley, Ferrari, Rolls Royce and McLaren — began to get crowded as the auto show approached the afternoon. Phones were in the air as attendees tried to capture photos of the exotics. People also crowded the display of a flying car, created by Alef Aeronautics.” [Detroit Free Press, 9/16/23 (=)]

 

 

International

 

Europe

 

EU Risks Depending On China For Batteries After Quitting Russian Energy — “The European Union could become as dependent on China for lithium-ion batteries and fuel cells by 2030 as it was on Russia for energy before the war in Ukraine unless it takes strong measures, a paper prepared for EU leaders said. The document, obtained by Reuters, will be the basis of discussions on Europe’s economic security during a meeting of EU leaders in Granada in Spain on Oct. 5. Worried by China’s growing global assertiveness and economic weight, the leaders will discuss the European Commission’s proposals to reduce the risk of Europe being too dependent on China and the need diversify towards Africa and Latin America. The paper said that because of the intermittent nature of renewable energy sources like solar or wind, Europe will need ways to store energy to reach its goal of net-zero carbon dioxide emissions by 2050.” [Reuters, 9/17/23 (=)]

 

Europe's Battle Against Chinese EVs Isn't A Repeat Of 2000s Solar Flood — “European Union leaders say their investigation into whether Chinese subsidies are giving its companies an unfair advantage in the electric-vehicle market stems from being burned before. ‘We have not forgotten how China’s unfair trade practices affected our solar industry,’ European Commission President Ursula von der Leyen said when announcing the probe last week. She was referring to how cheaper Chinese solar panels flooded the market in the late 2000s, undercutting many European competitors. Protectionism is the mantra these days in Europe and the US, so it’s not surprising to see another trade frontier come under scrutiny. The auto industry is responsible for nearly 14 million jobs in the EU, covering about 6% of total employment, according to figures from the European Commission. That may be under threat as China-owned brands have increased their share of the continent’s EV sales to nearly 6% from as little as 1% in 2020.” [Bloomberg, 9/18/23 (=)]

 

Op-Ed: The Real Reasons For The West’s Protectionism — According to Gideon Rachman, “‘Trade freely with China and time is on our side.’ That was the confident view of George W Bush, the former US president, in the run-up to China joining the World Trade Organization in 2001. A generation later, many in the west have come to the conclusion that time was, in fact, on China’s side. Bush was making a political judgment. He believed that a China that integrated deeply with the global economy would become more open and more democratic. But under Xi Jinping China has become more closed and authoritarian. It is also more overtly hostile to the US. Meanwhile, China’s rapid economic growth has funded a massive military build-up. Some US policymakers now look back to the decision to admit China to the WTO as a mistake. They believe that the huge boost this gave to Chinese exports also contributed significantly to the deindustrialisation of America. Rising inequality in the US then helped to fuel the rise of Donald Trump. That raises an awkward question. What if globalisation, far from promoting democracy in China, undermined democracy in the US? It would be an amusing historical irony — if we were not living with the consequences.” [Financial Times, 9/15/23 (~)]

 

 

 

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