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Tempted by the Demon, dealers find way to thwart Dodge, jack up prices

It's the eternal story of short supply, big demand - and car dealers eager to exploit that dynamic, especially when it involves a hot car. A few weeks ago, when Dodge announced that it devised a way to attempt to prevent price-gouging on those 840-horsepower 2018 Dodge Demons, you just knew the dealers would dream up some devilish end-run. And sure enough, despite the manufacturer's best intentions, Demon order slots are being offered with five-figure markups. Here's how things were supposed to work: With a run of just 3,000 cars, Dodge knew it had to do something to address dealer greed, so it announced an allocation system: Cars purchased at or below the $86,090 MSRP would be the first orders filled and delivered. If a dealer sells an allocated Demon for more than sticker, that car goes to the end of the line for production and delivery. Dodge also ensured dealers wouldn't stockpile or hoard Demons by limiting the number of orders a dealer can submit and allocating cars to dealers based on how many Challenger and Charger Hellcats the dealer has sold. But Automotive News reports that some dealers are using intermediaries to auction off their Demon allocations on eBay. Three sellers last week said they were representing dealers in South Carolina, Tennessee and Louisiana, and auctioning off the right to buy a car in one of the priority spots at MSRP. The minimum bid for the right to buy the car at sticker? From $10,000-25,000. And previous transactions on eBay might have run as high as $75,000. So early buyers are definitely paying an upcharge - but it's a thing apart from the bottom line on the order form, where it appears they are paying MSRP. In other words, a scheme that violates the spirit of what FCA tried to do. A source at FCA told Automotive News the automaker was monitoring the practice but could do little to stop it. And the report quoted a Hellcat owner who said his dealership was ignoring Dodge's strictures altogether and offered him a Demon at MSRP plus $60K. But take heart. Not all car dealers are cynically opportunistic - or rather, some see an opportunity for doing good, not making buck. Automotive News says Bill Marsh Chrysler in Traverse City, Mich., plans to sell its single allocated Demon for $1 under MSRP - and is auctioning off the right to buy it, with the dealership's existing customers eligible to bid. The auction's proceeds will benefit four Traverse City charities.

Dodge Viper saved from crusher by students, but will it last?

The saga of the Washington state community college hoping to keep its allegedly pre-production Dodge Viper out of the maw of the crusher is going strong. Not only does the school still have the car, but there's a chance that the college might even get to keep it.
The whole situation flared up in March when the South Puget Sound Community College in Olympia, WA, received a notice from Chrysler Group that requested that the school's Viper be destroyed. The automaker had loaned the muscle car to it about a decade ago to use for educational purposes in its auto tech classes. With the Dodge growing long in the tooth, "it is unlikely that these vehicles offer any educational value to students," the company said in its press release on the matter.
However, the college balked at destroying its Viper, despite the fact it had signed a contract with Chrysler Group to do so. The school further claimed that its car was incredibly special because it was a pre-production example and just the fourth one made back in 1992. Although, as we pointed out at the time, the photos of the school's vehicle showed a coupe that looked like a newer Viper GTS.

Stellantis will enter joint venture with Samsung SDI for EV batteries

SEOUL — South Korean battery maker Samsung SDI Co Ltd and global automaker Stellantis NV have agreed to jointly produce electric vehicle (EV) batteries for the North American market, a person familiar with the matter said on Tuesday. Samsung SDI, an affiliate of South Korean tech giant Samsung Electronics, already has EV battery plants in South Korea, China and Hungary, which supply customers such as BMW and Ford. "The two companies (Samsung SDI and Stellantis) have struck a MOU (memorandum of understanding) to produce EV batteries for North America," the person with knowledge of the matter told Reuters. The source spoke of condition of anonymity because of the sensitivity of the matter. The person said the location of the battery joint venture is under review and will be announced later. In July, Reuters reported that Samsung SDI may build a battery plant in the United States, citing a company source. South Korea's Yonhap news agency earlier reported the two companies plan to build a factory in the United States, citing industry sources. Samsung SDI and Stellantis did not have immediate comment when reached by Reuters. Stellantis on Monday struck a preliminary deal with battery maker South Korea's LG Energy Solution (LGES) to produce battery cells and modules for North America. Shares of Samsung SDI were up 2.6% as of 0300 GMT, versus a 0.6% rise in the KOSPI benchmark index. Related video: Green Alfa Romeo Chrysler Dodge Ferrari Fiat Jeep Maserati RAM Citroen Lancia Opel Peugeot Vauxhall