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EV cost burden pushing automakers to their limits, says Stellantis' CEO Tavares

DETROIT — Stellantis CEO Carlos Tavares said external pressure on automakers to quickly shift to electric vehicles potentially threatens jobs and vehicle quality as producers struggle with EVs' higher costs. Governments and investors want car manufacturers to speed up the transition to electric vehicles, but the costs are "beyond the limits" of what the auto industry can sustain, Tavares said in an interview at the Reuters Next conference released Wednesday. "What has been decided is to impose on the automotive industry electrification that brings 50% additional costs against a conventional vehicle," he said. "There is no way we can transfer 50% of additional costs to the final consumer because most parts of the middle class will not be able to pay." Automakers could charge higher prices and sell fewer cars, or accept lower profit margins, Tavares said. Those paths both lead to cutbacks. Union leaders in Europe and North America have warned tens of thousands of jobs could be lost. Automakers need time for testing and ensuring that new technology will work, Tavares said. Pushing to speed that process up "is just going to be counter productive. It will lead to quality problems. It will lead to all sorts of problems," he said. Tavares said Stellantis is aiming to avoid cuts by boosting productivity at a pace far faster than industry norm. "Over the next five years we have to digest 10% productivity a year ... in an industry which is used to delivering 2 to 3% productivity" improvement, he said. "The future will tell us who is going to be able to digest this, and who will fail," Tavares said. "We are putting the industry on the limits." Electric vehicle costs are expected to fall, and analysts project that battery electric vehicles and combustion vehicles could reach cost parity during the second half of this decade. Like other automakers that earn profits from combustion vehicles, Stellantis is under pressure from both establishment automakers such as GM, Ford, VW and Hyundai, as well as start-ups such as Tesla and Rivian. The latter electric vehicle companies are far smaller in terms of vehicle sales and employment. But investors have given Tesla and Rivian higher market valuations than the owner of the highly profitable Jeep and Ram brands. That investor pressure is compounded by government policies aimed at cutting greenhouse gas emissions. The European Union, California and other jurisdictions have set goals to end sales of combustion vehicles by 2035.

2021 Ram 1500 gets Reverse Steering Control to help with trailers

A month ago, Mopar Insiders got the scoop on new features coming to the 2021 Ram 1500 and now thanks to MI getting a peek at dealer guides for the coming model year, we got more details. New for 2021 will be Trailer Reverse Steering Control, which will provide easy in-cab directional control when backing a trailer and be part of next model year's Trailer-Tow Group package. The current package includes trailer-tow mirrors and a trailer brake control. Next year's Trailer-Tow Group will include trailer brake control, trailer light check, trailer reverse steering control, and trailer tire-pressure monitoring. The current group adds $400 to the price of a new Ram; the new equipment will likely cause that number to rise.  We're not sure what happened to the trailer-tow mirrors, but with the Surround-View Camera system thought to be available on the trailer mirrors in 2021 — an option cribbed from the HD lineup — there's likely a bit more package rearranging in store. The third addition mentioned last month was a bed-focused camera housed next to the third brake light, which would be another HD hand-me-down. The camera would fit in with the enhanced trailer focus, and get Ram aligned with assistance features that have become a near necessity in pickups and SUVs. At the other end of the truck, the Snow Plow Prep package makes the leap from the 2500 to the 1500. We only wish Ram had kept the Snow Chief Group name used for the 2500 trucks.    Uconnect 5 is coming as well to the Ram after launching on the 2021 Chrysler Pacifica. The new Android-based operating system provides five-times-faster processing power and three times the screen resolution, while adding 4G Wi-Fi capability, configurable buttons and custom pages, six individual profiles, better looking interactive maps from TomTom, the ability to connect two phones at a time, and Alexa integration.

Ram reveals Man of Steel-themed Superman truck [w/video]

The new Superman film Man of Steel opens in theaters next Friday, June 14th, and Ram is buddying up with the summer blockbuster for some coattail-riding co-promotions. The partnership includes a new 30-second commercial called "Action" that pairs scenes from the film with footage of Ram trucks and a voiceover that says, "Everyone has the ability to do something amazing... Some just do it on a more regular basis." It's nothing too special (we've actually seen most of the Ram footage in other commercials already), but the brand should be happy having its trucks so closely associated with the Last Son of Krypton. Accompanying the TV spot will be a neatly drawn print ad created by DC Comic artist Shane Davis that's destined for the newsprint pages of USA Today.
Lastly, Ram has created a special Man of Steel edition of its Power Wagon truck that will be on display at the movie's premier in New York City next week before traveling the country attending various events and ultimately being auctioned off for charity.
I have a history of lambasting poor attempts at Superman-themed vehicles, but this Man of Steel Power Wagon can hide from Kryptonite in my garage any time. The truck is Dark Ceramic Gray with a special vinyl wrap that adds the textured look of Superman's new suit, and the roof is done in high-gloss black, though you'd need the power of flight to see it on this tall rig. The grille, meanwhile, is finished with Anodized Red accents. The forged aluminum 17-inch black wheels are General Zod-approved and the interior is likewise tastefully upgraded with Superman-themed materials. Lastly, Kal-El's ultimate quad cab is capped with Superman logos front and rear where the traditional Ram logo would normally be.