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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.

2018 Dodge Challenger GT Drivers' Notes Review | The right car for the season

Associate Editor Joel Stocksdale: Dodge uses the Challenger GT trim to denote its V6 all-wheel-drive model, but it seems apt for reasons besides that. The Challenger, even with a V6, is an excellent, affordable American grand tourer. It's still extremely stylish, despite barely changing looks since Dodge introduced it for the 2008 model year. The solid gray on this one was particularly attractive. It also seemed appropriate considering the Challenger's battleship size. This thing is truly massive. That's beneficial in the sense that it has an enormous trunk (perfect for touring), but not so much for maneuvering. But thankfully, it's easy to spot the corners, which helps a lot. The Challenger GT is a pretty able handler, too. It feels composed in corners, not too heavy, only mild body roll, and steering that weights up very naturally. The ride is relatively comfortable. It takes the edge off of most pavement imperfections, but you feel more than you might expect. So the Dodge Challenger GT has the style, space, and a decent balance of sportiness and comfort — which just leaves one thing left to address, the powertrain. And as it turns out, the V6 actually works quite nicely in the big Dodge. Under full throttle, you get an angry, throaty honk from the intake that, while not as smooth and classic as a V8, is still fairly satisfying. It also has more than adequate acceleration, if not exhilarating. It's a combo that makes not only a fun affordable GT car, but just a solid commuter with an extra dose of style. The only caveat is that if you need something more truly sporty, you may still want to look at a Camaro or Mustang. Associate Editor Reese Counts: I spent the latter half of last week in Idaho and Wyoming driving a pretty sweet Nissan 370Z in the snow. That car was equipped with tracks and skis and allowed me to do some pretty dumb things with few repercussions, though it was one of the loudest and most uncomfortable cars I've ever driven. Coming home to Detroit and a Destroyer Grey Challenger GT was a very nice change of pace. The thing is, this car is still plenty capable in the snow. I like the Challenger quite a bit, especially in the bonkers Hellcat and Demon guise. But not everyone needs a 700-plus horsepower brute that guzzles gas with a nearly unequalled thirst. The Challenger GT checks a lot of boxes. It looks good, it's comfortable, roomy and thanks to all-wheel drive, genuinely usable year round.

Dodge Demon's A/C helps its supercharged Hemi make more power

Staying cool is one important key to performance. Simply, more air means more power, and cool, dense air is better than hot air. While forced induction might help make copious amounts of horsepower, turbos and superchargers produce heat. Intercoolers help, but the new Dodge Demon and its supercharged Hemi need a bit of an extra boost. In Drag Mode, the Demon's engine commandeers the car's air conditioning system to help chill things out. The Demon will have the first production application of a liquid-to-air charge air cooler chiller system. Literally, the car's air conditioning system is used to cool the air going into the engine, dropping temps by up to 45 degrees Fahrenheit. Dodge claims the system helps achieve "temperatures previously unattainable by pressure-charged street-legal production vehicles." As cool as this may sound, the technology isn't new. Ford had a prototype system in the early 2000s called SuperCooler, though that system never made it to production. While the Demon's system doesn't have a super cool name like the one from Ford, the pair essentially work in the same way. In theory, it should have the same effect as a bottle of nitrous. According to Autoweek, Ford's system bumped up the output of the F-150 Lightning by about 50 horsepower. Turns out that air conditioning isn't always a huge power suck. Related Video: