01 Dodge Ram 2500 Quad Cab on 2040-cars

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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.

It ain't easy keeping a Hellcat steady at 170 mph on ice

The Dodge Challenger SRT Hellcat you see hit the ice at Arsunda Speed Weekend in Sweden, over two hours north of Stockholm. It's said to be bone stock, save for the studded tires that help it grip on ice. But it apparently takes more than some steel studs and a lead foot to keep it pointed the right way. Just look at how much driver Alx Danielsson has to saw at the wheel to keep the Hellcat from veering off course. Fortunately he seems to have the chops to do so, being not only a native of Sweden (and therefor imbued from birth with otherworldly abilities to drive on ice) but also having won the highly competitive Formula Renault 3.5 Series championship back in 2006. In the end Danielsson hit a top speed in excess of 170 miles per hour, touted as some sort of record, however unofficial (and specific to Dodge Challengers). That's a fair bit shy of the 205 mph that Bentley achieved in the Continental Supersports, but while that model had slightly less power than the Hellcat, it did have the benefit of all-wheel drive – something that could make all the difference in these kinds of slippery conditions. Related Video:

California Highway Patrol powers up with Charger Pursuits

Residents of California, you'll want to adjust your rear-view mirrors and remain vigilant for the menacing maw of the Dodge Charger. The California Highway Patrol (CHP) ordered 580 Dodge Charger Pursuit cars to start replacing the organization's oldest vehicles. According to the CHP's director of communications, Fran Clader, these old cars are patrol versions of the Ford Crown Victoria, Ford Explorer and Dodge Charger. The cars will be delivered over the next two years with the majority equipped with Fiat Chrysler's 3.6-liter V6 engine. The unit makes 292 horsepower in the Charger and is found in everything from the Jeep Wrangler to the Chrysler 200. There will be a handful of Chargers with the 5.7-liter V8 found in the Charger R/T, but Dodge and Clader said they will just be used for training. Bick Pratt, head of FCA US government sales and operations, said the order represents a move back toward four-door police cars. "The CHP is ordering our Charger Pursuit vehicle to reintroduce the sedan into their patrol vehicle fleet," Pratt said. "That's important to us because it reflects a shift back to sedans by a progressive agency like the CHP." Chargers may show up in local law enforcement fleets. Pratt said departments will have the opportunity to also order Charger Pursuits through the CHP's contract. So wherever you are in California, if you see that famous crosshair grille in your rear-view mirror, be ready to pull over. Related video: