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GM might outsource vans to AM General

General Motors will possibly boost production of the Chevrolet Colorado and GMC Canyon at the Wentzville Assembly Plant in Missouri by contracting out some commercial van manufacturing to AM General. Demand for the two midsize trucks continues to boom, and GM would like to take advantage of the strong market for them. The possible deal came to light in a letter to workers at the factory, according to Automotive News. "This potential partnership would free up production capacity and allow the organization to capitalize on our ability to build midsize trucks to further satisfy customer demand," a portion of the document allegedly said. AM General would reportedly only take over assembly of the cutaway versions of the Chevy Express and GMC Savana. Customers and critics have quickly embraced the latest Colorado and Canyon since their introduction. The Chevy just won back-to-back Motor Trend Truck of the Year awards. GM also had to add a third shift and extra workers in 2014 just to keep up with demand. The Wentzville plant even increased employment on the weekends earlier in 2015 to assemble an extra 2,000 of the trucks each month. While the two pickups boom, deliveries for the Chevy Express and GMC Savana are down 26.9 percent and 26.6 percent respectively through the first 10 months of the year. GM doesn't break out numbers for the cutaway versions, but they make up about a third of production, according to Automotive News. AM General built the Humvee for the US military and does some contract work with automakers. For example, the company's Indiana factory now produces the Mercedes-Benz R-Class for export to China. Here's hoping this potential deal will help both GM and AM General keep their factories humming. Related Video:

Franchitti, Kanaan, and Dixon prank young IndyCar driver

The 20-year-old Sage Karam is a rising star in racing after scoring the 2013 Indy Lights Championship and taking ninth place in the 2014 Indianapolis 500. He's now competing for Chip Ganasi Racing, one of the top teams in the IndyCar Series, and counts this year's pole sitter Scott Dixon and former winner Tony Kanaan as teammates. Of course, being so young and a new member of the squad, some lighthearted hazing is to be expected. Dixon, Kanaan, and three-time Indy 500 winner Dario Franchitti decided to play a little prank on Karam. While ostensibly detailing his Chevrolet Camaro, the three joking racecar drivers turned it into the Karamo. Check out the video above to see exactly what that means. After some scary crashes going into this year's event, it's refreshing to watch some cheery things happening at Indy.

VW, Rivian, Nissan, BMW, Genesis, Audi and Volvo lose EV tax credits starting tomorrow

The U.S. Treasury said Monday that Volkswagen, BMW, Nissan, Rivian, Hyundai and Volvo electric vehicles will lose access to a $7,500 tax credit under new battery sourcing rules. The Treasury said the new requirements effective Tuesday will also cut by half credits for the Tesla Model 3 Standard Range Rear Wheel Drive to $3,750 but other Tesla models will retain the full $7,500 credit. Vehicles losing credits Tuesday are the BMW 330e, BMW X5 xDrive45e, Genesis Electrified GV70, Nissan Leaf , Rivian R1S and R1T, Volkswagen ID.4 as well as the plug-in hybrid electric Audi Q5 TFSI e Quattro and plug-in hybrid (PHEV) electric Volvo S60. The Swedish carmaker is 82%-owned by China’s Zhejiang Geely Holding Group. The rules are aimed at weaning the United States off dependence on China for EV battery supply chains and are part of President Joe Biden's effort to make 50% of U.S. new vehicle sales by 2030 EVs or PHEVs. Hyundai said in a statement it was committed to its long-range EV plans and that it "will utilize key provisions in the Inflation Reduction Act to accelerate the transition to electrification." Rivian declined to comment and the other automakers could not immediately be reached for comment. Treasury also disclosed General Motors electric Chevrolet Bolt and Bolt EUV will qualify for the full $7,500 tax credit. GM said earlier it expected at least some of its EVS would qualify for the $7,500 tax credit under the new rules, including the 2023 Cadillac Lyriq and forthcoming Chevrolet Equinox EV SUV and Blazer EV SUV. Treasury said all GM EVs will qualify. Earlier, Ford Motor and Chrysler-parent Stellantis said most of their electric and PHEV models would see tax credits halved to $3,750 on April 18. Treasury confirmed the automakers' calculations. The rules were announced last month and mandated by Congress in August as part of the $430 billion Inflation Reduction Act (IRA). The IRA requires 50% of the value of battery components be produced or assembled in North America to qualify for $3,750, and 40% of the value of critical minerals sourced from the United States or a free trade partner for a $3,750 credit. The law required vehicles to be assembled in North America to qualify for any tax credits, which in August eliminated nearly 70% of eligible models and on Jan. 1 new price caps and limits on buyers income took effect.