Hyundai, Kia Latest Automakers to Adopt Tesla Charging Port for EVs

All new Hyundai and Kia EVs will come equipped with an NACS port beginning in late 2024.

Written by Autobody News Staff
Published Oct. 5, 2023

Hyundaiand Kia announced Oct. 5 they are adopting NACS ports for their EVs, providing access to 12,000 TeslaSuperchargers across North America---doubling the size of the DC fast charging network currently available to their EV customers.

In the U.S., all-new or refreshed Hyundai and Kia EVs will come exclusively with a NACS port beginning in late 2024.

In early 2025, both automakers expect to make available through their dealers adapters to enable nearly all of their EVs to charge on Tesla's network.
 
“Our collaboration with Tesla marks another milestone in our commitment to delivering exceptional EV experiences to our customers,” said José Muñoz, president and global COO, Hyundai Motor Company and president and CEO of Hyundai Motor North America. “This new alliance will provide Hyundai EV owners confidence in their ability to conveniently charge their vehicles and complements our joint venture company to create a new, high-powered charging network with at least 30,000 stations across North America.”

"As a leader in electrified mobility, Kia offers a growing number of world-class EVs with high-speed DC charging capabilities that will now be supported by the NACS charging network," said Seungkyu (Sean) Yoon, president and CEO of Kia North America and Kia America. "Having this kind of sprawling access to chargers will no doubt boost customer satisfaction, elevate the EV ownership experience, and enable drivers to reach more destinations across the continent on electricity."

“Opening our Supercharging network to additional electric vehicles directly supports our mission to accelerate the world’s transition to sustainable energy,” said Rebecca Tinucci, senior director of charging at Tesla.

Expanding access to Tesla’s Supercharger network furthers Hyundai and Kia's strategy of ensuring EV drivers have the broadest possible charging infrastructure available. As previously announced, the automakers are also partnering with six more OEMs to develop a new, high-powered North American charging network with at least 30,000 chargers. The first U.S. stations in this new network are targeted to open in the summer of 2024.

Hyundai, Kia, Genesis Hit with Class-Action Suit Over Faulty Charging Ports

Written by Iulian Dnistran, InsideEVs
Published Aug. 4, 2023

Owners of all-electric vehicles sold by Hyundai, Kia and Genesishave filed a nationwide class-action lawsuit against the car manufacturers, claiming certain models feature defective charging ports that can lead to longer than advertised charging times or even a failure to charge, potentially leaving users stranded.

The suit was filed in late July with the U.S. District Court for the Central District of California and alleges the automakers advertised vehicle charging times between five to seven hours, depending on vehicle make, with the use of a Level 2 home charger.

However, the lawsuit says, in reality, vehicle charging ports frequently overheat in as little as 30 minutes, causing the charging session to unexpectedly and repeatedly fail.

As per the court filing, the affected vehicles are the Hyundai IONIQ 5 and IONIQ 6, Kia EV6 and Genesis GV60.

“Not only do Hyundai, Kia and Genesis continue to sell vehicles that are clearly incapable of performing as advertised, they also issued a software patch which substantially worsens charging rates and widens the gap between what they promised and what they delivered,” said Steve Berman, managing partner at Hagens Berman and the attorney leading the case. 

The filed complaint cites one plaintiff’s experience in which fully charging his 2023 IONIQ 5 takes 20 hours, at a 5% charge rate per hour.

An email sent to InsideEVssaid in March, Hyundai issued a technical service bulletin to address the issue, but the subsequent software update pushed to affected vehicles does little to alleviate the problem.

According to the complaint, the advertised charging amperage of 48 amps drops to 28 amps if overheating occurs, leading to much longer charging sessions than advertised.

“This so-called fix does nothing to address the real problem, which is that these vehicles were not manufactured to reliably charge at a rate even close to 48 amps. It’s unacceptable for Hyundai to put a Band-Aid on such a serious defect impeding the vehicle’s stated performance,” Berman said.

The lawsuit seeks to recover just compensation for vehicle owners and lessors, bringing claims of violation of the Computer Fraud and Abuse Act, violation of the California Computer Data Access and Fraud Act, and violations of the applicable state consumer protection laws.

We thank InsideEVs for reprint permission.

Hyundai's Ioniq 6 Takes Home 3 Awards at 2023 World Car of the Year

Written by Can Emir, Interesting Engineering
Published April 12, 2023

The automotive industry’s most important and prestigious awards ceremony, the World Car of the Year Awards Powered by Brembo, was held at the New York International Auto Show.

Hyundai's Ioniq 6 electric sedan was the show's star, taking home three of the six categories, including the World Electric Vehicle of the Year and the overall Car of the Year.

Hyundai's sister company, Kia, also won the World Performance Car of the Year award with the EV6 GT. The LucidAir won the World Luxury Car, and the CitroënC3 was named the World Urban Car.

Hyundai's Ioniq 6 has certainly caught the automotive world's attention with its impressive range, power and design. The electric sedan's accolades at the World Car of the Year Awards add to its impressive resume.

Kia's EV6 GT was also a formidable competitor, earning the World Performance Car of the Year award. With these two models leading the way, it's clear the future of the automotive industry is electric, and Hyundai Motor Corporation is leading the charge.

The Ioniq 6 is the second vehicle from the Hyundai Motor Corporation to win three categories at the World Car of the Year awards. The electric sedan costs $41,600 in the U.S. and comes standard with an impressive technology suite, including twin 12.3-inch screens. Its longest-range trim can travel up to 361 miles per charge, while the highest-power, twin-motor specification delivers up to 320 hp.

We thank Interesting Engineering for reprint permission.

I-CAR Recognized for New Hands-On Skills Training in EVs and ADAS

Published Nov. 4, 2022

A panel of international media judges awarded I-CARa prestigious SEMAGlobal Media Award in recognition of its new Electric Vehicle (EV) Hands-On Skills Development course.

Introduced earlier this summer, the five-day EV Hands-On Skills Development course serves as the capstone to eight prerequisite EV courses for collision repair professionals, and is taught by I-CAR’s growing bench of EV experts at I-CAR’s new Chicago Technical Center (CTC) in Vernon Hills, IL.

“We are thrilled to receive this extraordinary global award for an important course from I-CAR’s educational programming portfolio,” said John Van Alstyne, I-CAR president and CEO. “This course was developed in collaboration with the inter-industry and its international recognition further underscores I-CAR’s commitment to our vision of ensuring that every person in the collision repair industry has the information, knowledge and skills required to perform complete, safe and quality repairs on behalf of the consumer. We are deeply committed to leading the industry forward in electric vehicle and ADAS repair excellence; our new coursework and investments in world-class research and training facilities are a testament to this.”

“The SEMA Global Media Award affirms the technical and industry depth of I-CAR’s subject matter experts,” said Jeff Peevy, I-CAR vice president, technical products, programs and services. “Through the development of intentionally designed education, I-CAR continues to serve the needs of the inter-industry today and into the future.”

The SEMA Global Media Awards (GMA) Program recognizes those companies that manufacture specialty equipment products and accessories that would have mass appeal to consumers in countries outside the U.S. The products are voted on by a prestigious group of international journalists who serve as judges.

“Vehicle customization and personalization has been growing worldwide,” said Linda Spencer, SEMA director of international and government relations. "The GMA program taps top international media experts to weigh in on which new products are likely to succeed in their home markets. The global automotive specialty-equipment market is made up of enthusiasts who are passionate about the hobby. This passion can be found not only throughout the United States, but also in countless spots around the globe including in Dubai, United Arab Emirates, Melbourne Australia and Stockholm, Sweden.”

Each judge carefully reviewed and evaluated nearly 2,000 product entries at the SEMA Show before selecting the products they felt would resonate and appeal most to consumers in their home countries.

I-CAR was also recognized as a runner-up in the SEMA Best New Products Advanced Driver Assistance System (ADAS) product category for its recently launched Hands-On ADAS Calibration courses, FordADAS Calibration 2-Day Hands-On Skills Development and Static ADAS Calibration 3-Day Hands-On Skills Development. Both courses are also taught at I-CAR’s Chicago Technical Center in dedicated ADAS learning and research labs.

SEMA’s annual New Product Awards competition recognizes outstanding achievements in the development of products being introduced to the automotive specialty-equipment market at the SEMA Show. Products are judged in 18 award categories, and each category has one winner and two runners-up.

Nearly 2,000 products were entered into the 18 different Showcase categories to be considered for SEMA New Product Awards this year. Winners were selected based on a variety of factors that included superiority of innovation, technical achievement, quality and workmanship, consumer appeal and marketability and more.

To see how I-CAR is supporting the industry with EV and ADAS education and technical information and services, go to I-CAR.com/EV and I-CAR.com/ADAS.

Source: I-CAR

IIHS VP Makes Safety Suggestions Based on Future of Heavy EVs

Written by Steven Loveday, InsideEVs
Published March 20, 2023

In late 2022, the Insurance Institute for Highway Safety (IIHS) did a simulation to assess whether its crash test equipment could handle a large and heavy EV. The equipment fared just fine, but the testing stirred up conversations about future safety concerns thanks to the EVs' heavy battery packs.

The IIHS used an old gas-powered FordF-150 pickup truck and loaded it up until it weighed a whopping 9,500 pounds. The heavy pickup was then put through the organization's series of crash tests. While the tests were successful and the equipment unharmed, IIHS Vice President Raul Arbelaezwas left wondering what strategies could be employed to increase safety with such heavy cars on the road.

Arbelaez is concerned about the weight of electric cars as compared to their non-electric counterparts. In a crash, two such vehicles' weight disparity could be a serious issue. With more of these heavy EVs taking to our roads, he's also worried about pedestrians and cyclists.

To be clear, Arbelaez isn't anti-EV, he's simply pro-safety. According to Autoblog, the IIHS vice president wrote: "We don’t need to put the brakes on electrification---there are good reasons for it---and we’re not doomed to reverse all the safety gains of recent decades. But the development will require some new thinking about the kinds of vehicles we want on our roads."

Part of Arbelaez's job, and that of the IIHS as a whole, is to increase vehicle safety and safety on our roads in general. While there are certainly many folks suggesting it, eliminating EVs is not the answer. Rather, Arbelaez suggests some preliminary strategies that may help going forward.

The IIHS VP said when millions of new EVs weigh much more than a ChevroletSuburban and also have loads of power, they probably also need to have much more robust braking systems and crash-avoidance technologies. He also pondered how "additional crash structures" could be manufactured into EVs to help protect lighter cars and people.

While many folks may agree with such suggestions from Arbelaez, he also wrote: "States and local governments should consider lowering speed limits, factoring in the increased danger from weight disparities, and backing them up with increased enforcement."

Clearly, making the improvements to the vehicles themselves would be something that would cause much less stir than changing the laws on roadways. Arbelaez added perhaps we don't need such long-range EVs with such heavy batteries, though we would need more widespread and improved charging infrastructure.

We thank InsideEVs for reprint permission.

Illinois’ $19 Million in EV Rebates Includes Luxury Models

Written by Greg Bishop, The Center Square
Published Sept. 5, 2023

The first round of Illinois’ rebate program for buyers of electric vehicles is over and a new $12 million round is set to begin.

The next round opens up Nov. 1. The first round for fiscal year 2023 that ended June 30 cost taxpayers $19 million. That is nearly 4,900 purchasers of EVs getting $4,000 rebates for the previous fiscal year. Of those, only around 10% were low-income individuals, despite the program prioritizing such applicants. Among those granted rebates, nearly 300 were luxury models costing up to $125,000, as The Center Square previously reported.

The Pritzker administration says the program is “competitive” and part of the “clean energy revolution.”

“This incentive program was created to encourage Illinois residents to purchase electric vehicles and has already received tremendous response from Illinois motorists, with over $19 million in rebates awarded in fiscal year 2023,” Illinois Environmental Protection Director John J. Kim said in a statement.

The program launched by the Clean Energy Jobs Act in 2021 gives rebates to purchasers of EVs that meet certain conditions like length of ownership. It was modified to allow a $1,500 rebate for all-electric motorcycles.

State Sen. Andrew Chesney, R-Freeport, said legislators should look at the data.

“We have poor and working-poor people that are subsidizing what in many cases are very wealthy people to give them the rebates that they are getting out of the state program,” Chesney told The Center Square. “You can’t have it both ways. You can’t say that you’re fighting for the working-poor and the working class but then again have subsidies that go to the more affluent.”

Since taxpayers are paying the bill, Chesney said the program needs to be scrapped.

“If electric vehicles is a good product then they should be able to stand on their own two feet and I don’t know why we’re inserting ourselves into the private sector to change consumer behavior,” Chesney said. “If this is in fact good for the consumer, let the consumers buy it but the idea that it needs to be federally or subsidized on state level, I just simply could not support that.”

Of last year’s total, 2,769 Teslaowners were given rebates, 50 LucidAir Grand Touring and Porscheowners were given rebates and 101 AudiE-trons were given rebates.

We thank The Center Square for reprint permission.

Increase in EVs Leads to First Customer Service Satisfaction Decline in Nearly 30 Years

PublishedMarch 10, 2023

The increasing volume of battery electric vehicles (BEVs) being serviced at dealerships is contributing to a negative effect on overall customer service satisfaction, resulting in a year-over-year decline in score for the first time in 28 years.

According to the J.D. Power 2023 U.S. Customer Service Index (CSI) Study, released March 9, satisfaction with the service experience declines 2 points to 846 (on a 1,000-point scale) in this year’s study.

Customer service satisfaction among owners of BEVs is 42 points lower than among owners of internal combustion engine (ICE) vehicles. A leading factor is that recall rates are more than double for BEVs than their gas/diesel counterparts. Additionally, service advisor knowledge continues to be a major satisfaction issue among BEV owners who provide a rating of 8.01 (on a 10-point scale) compared with 8.59 among owners of ICE vehicles.

“As the electric vehicle segment grows, service is going to be a ‘make or break’ part of the ownership experience,” said Chris Sutton, vice president of automotive retail at J.D. Power. “The industry has been hyper-focused on launches and now these customers are bringing their electric vehicles in for maintenance and repairs. As training programs for service advisors and technicians evolve, EV service quality and customer experience must address both the vehicle and the unique customer needs. The EV segment has the potential to spur massive convenience improvements in how customers service their vehicles---but we’re not seeing the benefits yet.”

The study, now in its 43rd year, includes emerging features such as valet service, mobile vehicle servicing and online/smartphone app payment options to gauge the effect these processes have on the service experience.

The study measures satisfaction with service at franchised dealer or aftermarket service facilities for maintenance or repair work among owners and lessees of one- to three-year-old vehicles. It also provides a numerical index ranking of the highest-performing automotive brands sold in the U.S., based on the combined scores of five measures that comprise the vehicle owner service experience.

These measures are (in order of importance): service quality (32%); service advisor (19%); vehicle pick-up (19%); service facility (15%); and service initiation (15%).

Key Findings of the 2023 Study

Vehicle recalls drive satisfaction declines: Satisfaction declines 23 points when an owner must bring their vehicle in for a recall repair rather than for traditional maintenance or repair. Recall repair visits also have a negative effect on Net Promoter Score® (NPS) ratings, a vital metric for owners who share positive recommendations about a business. This is most evident with premium brands as the servicing dealership NPS declines 13 points when customers experience a recall.

Service departments getting the (text) message: In the 2019 CSI Study, 34% of owners expressed the desire to receive updates through simple text messages rather than phone calls, but only 9% actually did receive texts from dealerships. Now, dealerships have gotten the figurative message, and, as measured in the 2023 study, are now sending simple text messages 21% of the time to update customers vs. making a phone call (17%). The go-to communication method for service departments is now text messaging, as more than half (54%) of Generation X, Y and Z customers say they prefer it.

Owners wait even longer for an appointment: Since the 2021 study, the number of days owners wait for an appointment has increased 1.9 days for premium vehicles and 1.3 days for mass market vehicles. Appointment wait times are now 5.6 days for premium vehicles and 4.8 days for mass market vehicles. Labor, loaner vehicle availability and parts shortages continue to be the catalyst for the increasing amount of time it takes to get a vehicle serviced.

Owners’ service preferences differ: Owners provide higher trust ratings for franchise dealerships than for aftermarket service facilities for complex repairs (6.14 on a 7-point scale) vs. 5.75 for aftermarket full-service maintenance and repair facilities. When ease of doing business is the primary driver, trust preference swings to aftermarket facilities for maintenance (6.18 vs. 6.11 for dealerships). These findings are based on a battery of similar questions asked both in the CSI Study and in the J.D. Power Aftermarket Service Index (ASI) Study.

Climbing the chart: The top three brands with the greatest improvement in year-over-year satisfaction rankings are Alfa Romeo (+59 points), Mitsubishi(+30) and Infiniti(+16).

Highest-Ranking Brands and Segments

Lexusranks highest in satisfaction with dealer service among all brands for a second consecutive year, with a score of 900. Porsche(880) ranks second in the premium segment, followed by Cadillac(879) and Infiniti (878).

Mitsubishi ranks highest in satisfaction with dealer service among mass market brands for the first time, with a score of 884. Mazda(870) ranks second and Buick(867) ranks third.

For the first time in the study’s history, model segment rankings are now available to provide even more granularity. “A truck is not a car, and the vehicle needs are going to be different,” Sutton said. “Each vehicle segment has a unique service experience based on customer preferences, demographics and vehicle use, wear and tear, so it’s appropriate to recognize the different journeys that car, SUV and truck customers have in the service experience.”

Among premium cars, Lexus ranks highest (902), followed by Porsche (880) and Infiniti (878).

Among premium SUVs, Lexus (900) ranks highest. Cadillac and Porsche rank second in a tie, each with a score of 880.

Nissan(886) ranks highest in satisfaction among truck brands with a score of 886. Chevrolet(851) ranks second and GMC(843) ranks third.

In the mass market car segment, Subaruranks highest (866). Mazda (863) ranks second and Honda(855) ranks third.

Mitsubishi ranks highest among mass market SUVs/minivans with a score of 884. Mazda (872) ranks second and Buick (867) ranks third.

The 2023 U.S. Customer Service Index (CSI) Study is based on responses from 64,248 verified registered owners and lessees of 2020 to 2022 model-year vehicles. J.D. Power goes to great lengths to ensure that survey respondents are true owners of the brand they are representing. The study was fielded from August through December 2022.

For more information about the U.S. Customer Service Index (CSI) Study, visit the website.

Source: J.D. Power

Inflation Reduction Act: How the Climate Law Set a 'Trillion-Dollar Shift' for EVs into Motion

Written by Akiko Fujita, Yahoo Finance
Published Aug. 22, 2023

The largest climate investment in U.S. history has dramatically reshaped the EV landscape.

One year ago, President Joe Biden signed the Inflation Reduction Act (IRA) into law, which set aside roughly $400 billion in federal funding for clean energy. Since then, carmakers and suppliers have announced more than $62 billion in investments in EVs, according to Bank of America research.

New clean energy projects announced have resulted in more than 86,000 reshoring and foreign direct investment manufacturing jobs while jobs related to EVs grew by 27%, more than 17 times that of gasoline and diesel vehicle jobs, according to data compiled by Bank of America.

"[There’s] something like a trillion-dollar shift from the federal government to the auto industry and the consumer," Tom Narayan, RBC Capital Markets lead global autos analyst, told Yahoo Finance. "All of these OEMs are trying to jump on this and capture and we're seeing that momentum already take place."

Since the law’s passage, Hyundaihas poured billions of dollars into two new gigafactories in Georgia to build electric vehicles. BMWhas announced a $1 billion investment to retool its South Carolina facility for EV production, along with a $700 million investment to build an electric battery plant nearby. And earlier this year, Toyotaupped its investment in its North Carolina battery plant to nearly $6 billion, making the Liberty facility the largest single economic development project commitment in the state’s history.

"There’s a 10-year runway and frankly a lot of the hope is that we are subsidizing the learning by doing [it] early on, climbing the learning curve and sliding down the cost curve," Gernot Wagner, a climate economist at Columbia Business School, told Yahoo Finance. "Then it’s a runaway train that, yes, runs on clean electricity."

EV Tax Credits

The electric vehicle tax credit, which is aimed in large part at weaning U.S. reliance on China, has been the primary driver supercharging these investments.

The IRA requires half of the value of battery components be produced or assembled in North America to be eligible for a $3,750 credit. For an additional $3,750 credit, 40% of the value of critical minerals must also be sourced from the U.S. or a free trade partner.

It explicitly bans carmakers from using battery components "manufactured or assembled by a foreign entity of concern," referring to non-allied countries including China, starting in 2024.

The strict requirements and existing dependence on sourcing critical components from China have limited qualification to roughly a dozen EV models so far, including the TeslaModel 3 and Model Y. But the potential for a credit of up to $7,500 per new vehicle has spurred carmakers to realign their supply chains for the long term.

When the law was first signed, some electric vehicle makers, including startup Fisker, criticized the threshold to qualify for federal tax credits.

Fisker CEO Henrik Fisker questioned the effectiveness of strict sourcing and manufacturing guidelines that explicitly favored North America, saying  they would "slow down the adoption of EVs" by limiting options for consumers.

Yet, in his company’s first Product Vision Day earlier in August, Fisker went onstage, touting U.S. manufacturing of his upcoming vehicles and the price reductions they would enjoy under IRA incentives.

"They have to be built here in the U.S. because we want to take advantage of the incentives," Fisker told Yahoo Finance, referring to the company’s electric pickup truck and SUVs. "We are looking at a couple of options."

Additional production credits in the IRA for battery cells and battery modules produced in the U.S. have only sweetened the deal for producers, Narayan said.

"A ChevyEquinox could be sold retail pre-credit for $30,000. You and I could get it for $20,000 at the same profitability," said Narayan, adding that American firms like General Motors, which recently opened its Ultiumbattery factory in Ohio, have been the biggest beneficiaries. "Everybody needs to build the cells locally in North America to qualify to get the $7,500 [EV credit] and the $35 [per kilowatt-hour battery] credit which completely more than offsets that capital expense of $2.6 billion per plant [for] GM."

Roughly half of all investment dollars stemming from the IRA have gone to EVs and batteries, resulting in an expanded annual battery production capacity of more than a million batteries, according to research from Bank of America.

While analysts say the direct impact of tax credits on EV adoption is too early to measure, sales of zero-emission vehicles have continued to see an uptick. Nearly 300,000 new EVs were sold in the second quarter, setting a new record in the U.S., according to a report by Cox Automotive. That marked a 48.4% increase from the same period last year.

"There's a lot of taxpayer money to help out with this," MorningstarU.S. autos equity analyst David Whiston said. "You're already seeing that when Tesla started with the initial 20% price cut on Model Y and then they've kept going with that with further cuts."

"There are people that probably would have normally bought a combustion model this year [saying], 'You know what? I'm gonna go electric and get that Model Y,'" Whiston added. "And the Model Y is driving a huge chunk of the EV market gains in the U.S."

We thank Yahoo Finance for reprint permission.

The network is the result of a collaboration between BMW, General Motors, Honda, Hyundai, Kia, Mercedes-Benz and Stellantis.

J.D. Power Creates Index to Measure Roadblocks to EV Adoption, Parity to Gas-Powered Vehicles

PublishedJan. 20, 2023

J.D. Power, a global leader in data analytics and consumer intelligence, on Jan. 17 announced the introduction of the J.D. Power EV Index, an analytics tool to track the growing EV market in the U.S.

Each month, the index will arrive at one number, on a 100-point scale, to make it easy to understand the progress to parity of EVs with traditional internal combustion engine (ICE) vehicles. The sub-category numbers will represent all the roadblocks to parity.

Today, the EV Index score is 47, based on the most recent available data from November, with some categories improving and others declining during the 12-month pilot period. The EV Index score and accompanying analysis will be available monthly.

“Vehicle electrification has industry leaders grappling with billion-dollar decisions, and hyper-detailed data and analytics will help guide their decision making,” said Elizabeth Krear, vice president of electric vehicle practice at J.D. Power. “We’ve created a smart and dynamic way to capture how the EV marketplace is performing in relation to gas-powered vehicles, and the index provides a heightened level of detail never seen before in this arena.”

Millions of data points are aggregated into six specific categories to make up the EV Index:

Interest

This factor measures the potential commitment to purchasing an EV based on voice of the customer and online behavioral data. The Interest score is 32, up 8 points from a year ago in the pilot phase, due largely to the growing number of EV models available or soon coming to market.

Availability

This factor measures the proportion of new-vehicle buyers who have an EV purchase option that meets their buying needs, reflective of factors like price, manufacturer origin, segment and other inputs. The Availability score is 30, up 12 points year over year due largely to the ongoing introduction of EV models into new and important segments.

Adoption

This factor measures the proportion of new-vehicle buyers who purchase an EV, relative to those with a viable substitute meeting their needs. The Adoption score is 22, down 4 points from a year ago primarily because the expansion of EV model availability is outpacing EV retail share.

Affordability

This factor measures the total cost of ownership of an EV compared with the ICE segment average (after tax credits, rebates, incentives, operating costs and residual values---for both purchase and lease transactions). The Affordability score is 84, down 12 points year over year as EV prices have increased and 15 models were disqualified beginning in August when the Inflation Reduction Act’s North America manufacturing criteria kicked in.

The Affordability score is expected to change dramatically based on January data as the manufacturers’ volume cap is lifted, but vehicle price thresholds and income limits are factored into the purchase of an EV. Leasing, which is currently at 10%, also is expected to grow because the criteria are less restrictive for leasing.

Infrastructure

This factor measures the availability, location, speed and quality and reliability of EV charging compared with gas stations for ICE vehicles. The Infrastructure score is 27, down 4 points year over year primarily because the volume of EV units in operation is outpacing the rate of reliable charger installations.

Experience

This factor measures owners’ overall satisfaction with their EV, including appeal, quality, durability, range and the sales and service experiences, as compared with an ICE vehicle equivalent. The Experience score is 89, down 2 points from a year ago due largely to declining satisfaction with the EV sales experience.

The first-of-its-kind EV Index for the U.S. market enables industry stakeholders---automakers, utilities, suppliers, charge point operators and legislators---to navigate today’s rapidly evolving EV environment with real-time data plugged into a dynamic, web-based portal. The portal is equipped with cutting-edge visualizations, a simple-to-understand dashboard and a custom query tool that can help stakeholders make faster and more reliable decisions.

The new service also includes substantially increased data granularity in which metrics are available at the national, regional, state and Designated Market Area (DMA) levels, and can be broken down by segment, brand and model.

Source: J.D. Power

Kelley Blue Book Unveils Winners of 2023 Best Buy Awards

Published Dec. 15, 2022

After thorough head-to-head testing, in-depth data analysis and evaluation of the more than 300 new-vehicle models available in the U.S. market for 2023, Kelley Blue Book, a Cox Automotive company, on Dec. 15 announced the winners of its annual Best Buy Awards.

Now in its ninth year, the company's comprehensive awards program highlights the top model in vehicle segments most relevant to new-car shoppers, with award categories evolving over the years to align with the changing automotive landscape.

The 2023 Kelley Blue Book Best Buy Awards encompass 19 categories covering the entire spectrum of automotive needs, with additional categories introduced this year to reflect the ever-growing electrified-vehicle segments.

This year's highest honor of Best New Model goes to the 2023 HyundaiIONIQ 5.

"The number of electric vehicles available to new-car shoppers continues to increase at a staggering pace, and the competition continues to get hotter as these efficient rides gain popularity among consumers," said Jason Allan, principal editor of reviews and ratings for Kelley Blue Book. "Our team was so impressed with the all-new Hyundai IONIQ 5 during this year's Best Buy Awards testing that we didn't just give it the title of Best Electric Vehicle for 2023, it also earned our Best New Model trophy. 

"It is truly a vehicle that exemplifies how easy it can be now to go all-electric, boasting the kind of impressive range and tech features that consumers have come to expect, and offering terrific value relative to the competition," Allan said. "In addition to the Best New Model, our team also named the top 2023 model-year vehicles in the categories most relevant to today's car shoppers."

This year, Kelley Blue Book partnered with NASCAR driver Toni Breidinger so she could use her professional racecar driver skills to put the top winner to the test out on the "track" of real-world driving. Breidinger joined Kelley Blue Book's editors for a day of test driving the Hyundai IONIQ 5, sharing her thoughts and driving impressions as she evaluated the all-new model through the lens of a racecar driver.

"As a lifelong automotive enthusiast, it was a thrill to join the experts from Kelley Blue Book for a day to put the 2023 Hyundai IONIQ 5 to the test," said Breidinger. "The spacious interior and extended dashboard really stood out to me. Most importantly, I appreciated the all-electric range. After a test day with the IONIQ 5, I can confirm this year's Best New Model is racer-approved."

Kelley Blue Book's annual Best Buy Awards are determined based on a year-long regimen of expert vehicle evaluation, plus an intensive period of final testing. The reviews, ratings and awards are driven by analysis of a broad array of vehicle-related data, including vehicle pricing, 5-Year Cost to Own data---which includes depreciation, insurance, maintenance, financing, fuel, fees and taxes for new cars---along with consumer reviews and ratings and vehicle sales information.

To be considered for Kelley Blue Book's highest accolade, Best New Model, the vehicle must be an all-new or redesigned vehicle---unavailable before the prior year's final Best Buy Awards testing---and offer a strong value proposition to consumers based on pricing, innovation and available standard technology and safety features.

2023 Kelley Blue Book Best Buy Award Winners

Best Electric Vehicle and Best New Model: 2023 Hyundai IONIQ 5

With more than 300 miles of range, a spacious, tech-filled interior and an impressive starting price, the Hyundai IONIQ 5 shows how easy it can be for someone to go all electric. You can even go from 10% charge to 80% in as little as 18 minutes.

Best Compact Car: 2023 Honda Civic

There's a reason the 2023 HondaCivic tops the Best Compact Car list, a feat it has now accomplished eight of the last nine years: It just does everything right. The Civic sedan is a joy to drive. It's a worry-free mode of transport that won't break the budget, and the Civic holds its value exceptionally well.

Best Subcompact SUV: 2023 Kia Seltos

When shopping for a subcompact SUV, every dollar counts. That's why the Kia Seltos is the Best Subcompact SUV winner again for 2023. Its low starting price, long list of standard tech and safety features, impressive fuel economy and fantastic warranty make the Seltos a terrific value. This stylish SUV also boasts one of the roomiest interiors in its class.

Best Compact SUV: 2023 Honda CR-V

The Honda CR-V has been among the easiest vehicles to recommend for many, many years. In fact, it has been named a Kelley Blue Book Best Buy more times than any other compact SUV. Fresh off a complete redesign and now bigger and better than ever, the CR-V has reclaimed its place as the compact SUV deemed to be the best choice for the most people.

Best 2-Row Midsize SUV: 2023 Hyundai Santa Fe

Kelley Blue Book recognizes not only the immense value of this five-passenger SUV but also its wide appeal. Hyundai hangs its collective hat on its value story, and nowhere is that value more apparent than in the level and quality of its technology. To find an SUV at this price point with this degree of attention to detail inside and out is a tribute to Hyundai's genius for making every dollar count.

Best 3-Row Midsize SUV: 2023 Kia Telluride

For 2023, the Telluride wins this category for the fourth time, winning every year since it went on sale. The Telluride is great-looking and roomy with an upscale interior. It's practical with a stacked roster of standard safety and convenience equipment. The Telluride is an excellent value in the midsize SUV segment.

Best Full-Size SUV: 2023 Ford Expedition

The 2023 FordExpedition is a comfortable, refined eight-passenger full-size SUV that is ready for work and travel. It can tow up to 9,300 pounds, while features like Pro Trailer Backup Assist 2.0 and a blind-spot system that also accounts for the trailer make towing easier.

Best Compact Pickup Truck: 2023 Ford Maverick

The Ford Maverick heralds the return of the compact pickup, providing light-duty versatility in a truck as easy on gas as it is on the eyes. With nearly 500 miles of range, the hybrid Maverick bests even the most frugal subcompact, yet it's capable of hauling a 1,500-pound payload and towing up to 2,000 pounds---or 4,000 pounds with the all-gas powertrain.

Best Midsize Pickup Truck: 2023 Toyota Tacoma

Where midsize pickup trucks are concerned, the 2023 ToyotaTacoma cannot be beaten. No matter the metric, the Tacoma tops its class. This begins in the showroom where you will find exactly the cab style, trim level, cargo-box length, engine and drivetrain to suit anyone's needs. Thanks to the Tacoma's Toyota-tough reliability, owners won't be on a first-name basis with the local dealership's service writer. Moreover, when owners are finally ready to trade in or sell their Tacoma, they'll appreciate its uncanny ability to retain its value over the years.

Best Full-Size Pickup Truck: 2023 Ford F-150

Whether it's a basic work truck, an opulent people mover or something in between, Ford offers an F-150 to do the job. On a mission to put its own stamp on future mobility, Ford loads up the 2023 Ford F-150 with technology, while electrifying the lineup with a hybrid and fully electric model. The F-150 excels when towing and hauling, and Ford continues to exceed buyers' expectations.

Best Electric Truck: 2023 Ford F-150 Lightning

The Ford F-150 Lightning, the all-electric version of the perennially best-selling Ford F-Series, is a great buy for its reasonable pricing, impressive range and advanced tech features. As for its capabilities, the F-150 Lightning has some impressive specs for an EV. It can tow up to 10,000 pounds and it has a maximum payload rating of 2,000 pounds.

Best Minivan: 2023 Toyota Sienna

The Toyota Sienna is the Best Buy in the Minivan segment for the third consecutive year. Its "threepeat" is well deserved for offering just about everything one could want in a family hauler. The Sienna's interior is an excellent execution of the "living room on wheels" characteristic that families love, and the hybrid powertrain gives it low fuel costs. The Sienna also is an outstanding value when it comes to what minivan drivers really value---safety and reliability.

Best EV Under $35,000: 2023 Chevrolet Bolt EUV

As a slightly longer version of the Bolt EV, the Bolt EUV (Electric Utility Vehicle) impressed the KBB.com editors with its roomy back seat and excellent build quality, along with its great price and impressive 247-mile range. With EVs in general, but especially those on the affordable end of the spectrum, car shoppers tend to measure their value in a simple fashion---by how far they can go on a full charge and at what price. It is a fair, real-world approach. By this measurement, the 2023 Chevrolet Bolt EUV shines brightly.

Best Plug-in Hybrid Vehicle: 2023 Kia Sportage Plug-in Hybrid

The best of both worlds, the Kia Sportage Plug-in Hybrid is both the most powerful and the most fuel-efficient model in the all-new Sportage lineup. With 34 miles of all-electric range followed by hybrid fuel economy of 35 mpg, you can enjoy driving in comfort while only occasionally having to stop for gas.

Best Luxury Car: 2023 Lexus ES

The Lexus ES checks all the boxes for a luxury vehicle---and then some---yet does so in an unpretentious way. On the road its manners are without fault, yet the success story of the ES goes far beyond it being a rewarding car to drive. Its narrative includes plot lines not usually associated with luxury cars, including a stellar value proposition and rock-solid reliability.

Best Subcompact Luxury SUV: 2023 BMW X1

All-new for 2023 with bolder looks, better technology and a grown-up persona, the BMWX1 also is now a first-time member of the Kelley Blue Book Best Buy Award club. The BMW X1 has long been a gateway into the German luxury brand, representing BMW's smallest SUV and one of its best values. Now is the X1's time to shine.

Best Compact Luxury SUV: 2023 Genesis GV70

It is no mystery why the GenesisGV70 continues to win accolades. Its enticing good looks and feature-rich equipment offerings are alluring, but the GV70's value story turns just as many heads.

Best Midsize Luxury SUV: 2023 Genesis GV80

The Genesis GV80 is the brand's first SUV and a relative newcomer to the midsize luxury SUV segment, yet it already has established itself as a leader in this competitive class. It has a roomy, luxurious interior with available 3-row seating, an engaging drive with two engine options, excellent safety ratings and a class-leading warranty.

For more information and full coverage of the 2023 Kelley Blue Book Best Buy Awards, visit www.kbb.com/awards/best-buy-awards-2023/.

Source: Kelley Blue Book

Kia Georgia to Expand for EV9 Production

PublishedJuly 12, 2023

Kia Georgia's West Point assembly plant is undergoing a transformation that will allow for the assembly of the all-electric 2024 EV9 three-row SUV in the second quarter of 2024. 

This $200 million+ expansion will create nearly 200 additional jobs in Troup County with EV9 joining the Telluride, Sorento and Sportage SUVs and the K5 mid-size sedan as the fifth model to be assembled at Kia Georgia.

"Like Telluride, EV9 has the potential to be another 'game changer' for Kia," said Sean Yoon, president and CEO, Kia North America and Kia America. "This will be the most sophisticated vehicle that we have ever built and will be a standout in the EV market and on the road. Best of all, it will be assembled in West Point, GA."

EV9 will be the first EV for Kia to be assembled in North America and combines all the best SUV elements of the award-winning Telluride with the best EV elements of the award-winning EV6. EV9 will mix capability with technology and refined elegance.

Source: Kia

Largest Electric Semi-Truck Charging Site in U.S. Open in Ohio

The site power system can accommodate up to 30 MW of charging in its current configuration.

Written by Autobody News Staff
Published Oct. 10, 2023

One Energy Enterprises Inc. unveiled the initial configuration and energization of its 30 megawatt (MW) electric semi-truck fleet charging site, located at its first Megawatt Hub in Findlay, OH, it announced in a news release.

The company’s plans to use its Power Island™ concept to configure electric semi-truck charging infrastructure to support multiple corporate trucking fleet operators at the same time.

The Findlay Megawatt Hub is the largest constructed or publicly announced truck charging site in the U.S. in terms of available charging capacity. The site power system can accommodate up to 30 MW of charging in its current configuration.

One Energy plans to use a radial charging configuration to optimize overall site efficiency, allowing multiple corporate customers to customize charging operations and equipment to their specific fleet’s needs. The site currently has fully functional capacity at medium and low voltages.

“From its inception, the electric semi-industry had an obvious chicken and egg problem,” said Jereme Kent, CEO of One Energy. “Truck manufacturers and fleet operators need to be able to charge at scale before they can move forward with deploying electric trucks at scale. This Megawatt Hub configuration solves that problem. The power is already on-site, at the right voltage, and we can outfit and energize custom Power Island configurations with the necessary charging equipment in weeks or months, not years.”

The electric semi-truck manufacturing industry has said a serious impediment to customer adoption of electric fleets has been getting enough power at the correct voltage from the grid to allow customers to connect their chargers. One Energy designed this site to solve that problem by delivering charger-ready power at scale. A 138,000-volt transmission line serves the Findlay Megawatt Hub. One Energy’s facility has the capacity to charge 90 trucks concurrently (based on a typical 300-kW charge rate). The company expects to obtain direct access to transmission service pricing to provide some of the lowest-cost energy available in the U.S. In addition, the site design allows it to host behind-the-meter renewable energy generation from wind and solar as demand at the site matures.

The Findlay Megawatt Hub was built by One Energy with its own capital and without government subsidies or grants. One Energy received no utility incentives for the site.

“Capital markets are good at building the second and third projects after the pilot has proven successful, but they have always struggled with underwriting the first one,” said Thomas Lause, CFO of One Energy. “Because we are confident in the solution and the technology, we decided not to wait. We just built it. Now we have a functioning site to show capital markets.”

Kent concluded, “We are throwing down a gauntlet to jumpstart the electric semi-industry. We have already built full-scale, cost-effective charging that can serve multiple end-users. We have done it in the manufacturing center of the United States, where there are numerous local and regional truck routes. Now we are excited to see the electric semi manufacturers deliver.”

Two U.S. representatives want an investigation into the companies set to supply a new EV battery plant being built by Ford.

The plant is expected to be the largest cathode material facility in the U.S., capable of producing materials for approximately 600,000 EVs annually.

LG Energy Solution in ‘Active Discussions’ with EV Makers for Battery Supply from AZ Plant

Written by Maria Merano, Teslarati
Published Jan. 27, 2023

LG Energy Solution (LGES) said in a conference call Jan. 27 it is currently engaged in “active discussions” with EV companies to provide batteries from its planned factory in Arizona.

While the company did not provide further details about its discussions with EV manufacturers, LGES said it is reviewing investments in building the new Arizona battery plant, as noted in a Reutersreport.

LGES, which supplies batteries to EV makers like Teslaand Lucid, had a successful 2022. The battery maker posted $20.7 billion in consolidated revenue and $974 million in operating profit. The company is also aiming to see a 25% to 30% increase in annual revenue and more than 50% increase in capital expenditure in 2023.

LGES CFO Chang Sil Leecited the rising demand for electric vehicles as a significant driver for the battery sector. Lee said LGES’ performance in 2022 was due in no small part to economies of scale and other cost optimizations.

“A record-high annual revenue was made possible, as battery shipment has increased across all product lineups in our proactive response to the increased demands for EVs and power grid energy storage systems (ESS)… Thanks to economies of scale led by sales growth, cost saving achieved through improving productivity, and expanding price-competitive metal sourcing, annual operating profit has also shown a significant growth compared to the previous year,” Lee said.

LGES is steadily becoming one of the key players in the growing EV sector. It has been expanding its relationships with car manufacturers throughout the year by beginning production at the GM Ultium Cells facility in Ohio and announcing new partnerships with Stellantisand Honda. The company now intends to increase its worldwide production capacity to 300 GWh by the end of the year.

We thank Teslarati for reprint permission.

LG Energy Solution to Provide EV Batteries to Toyota

LG will invest $3 billion in its Michigan facility to produce batteries for Toyota beginning in 2025.

Written by Autobody News Staff
Published Oct. 10, 2023

Under an agreement announced Oct. 4, LG Energy Solution will supply lithium-ion batteries to Toyota, to be used in its battery electric vehicles (BEVs) assembled in the U.S.

LG Energy Solution will supply battery modules at an annual capacity of 20GWh starting from 2025, to be manufactured in its Michigan facility.

The agreement will support Toyota’s expanding line of BEVs, including a new model that will be assembled at Toyota Motor Manufacturing Kentucky in 2025, and its goal to offer 30 BEV models globally and produce up to 3.5 million BEVs annually by 2030.

“At Toyota, our goal is to reduce carbon emissions as much as possible, as fast as possible,” said Tetsuo “Ted” Ogawa, president and CEO of Toyota Motor North America. “Having secure supplies of lithium-ion batteries at scale with a long-term relationship to support Toyota’s multi-pathway approach and growth plans for BEVs in North America is critical to achieve our manufacturing and carbon reduction plans. Working with LG Energy Solution, we are excited to be able to offer products that will provide the performance and quality our customers expect.”

To fulfill the supply agreement, LG Energy Solution will invest $3 billion in its Michigan facility to build new production lines exclusively for Toyota, with completion slated for 2025. Initially, the battery modules will go to Toyota Motor Manufacturing Kentucky to be assembled into battery packs and equipped onto BEVs.

“We’re excited to have Toyota, the best-selling global automaker, as our new customer. With our 30 years of experience in lithium-ion batteries, we will provide innovative power solutions to support Toyota’s push further into battery electric vehicles,” said Youngsoo Kwon, CEO of LG Energy Solution. “The agreement also presents another big opportunity for us to strengthen our production capacity in North America, thereby bringing more real-life, large-scale progress toward electrification in the region.”

LG Energy Solution now supplies batteries to all top five global automakers, with eight battery manufacturing facilities currently operating or under construction in North America.

LG Energy Solution, Honda Break Ground on Ohio EV Battery Plant

PublishedFeb. 28, 2023

Hondaand LG Energy Solution on Feb. 28 held the official groundbreaking ceremony for a new joint venture EV battery plant more than 2 million square feet in size, to be located in Fayette County, near Jeffersonville, OH.

The two companies have committed to invest $3.5 billion in the new joint venture (JV) facility, with their overall investment projected to reach $4.4 billion. The facility is scheduled to be completed by the end of 2024, with plans to create 2,200 jobs, and the aim for approximately 40GWh of annual production capacity.

The JV company will deliver lithium-ion batteries with cutting-edge technology to support Honda's plan to build battery-electric vehicles in North America.

The ceremony's attendees included Toshihiro Mibe, president and CEO of Honda Motor Co., Ltd.; Dong-Myung Kim, president and head of the Advanced Automotive Battery Division of LG Energy Solution; Ohio Gov. Mike DeWine; Lt. Gov. Jon Husted; other members of state government and local community officials.

At the ceremony, the leaders of the new JV company, CEO Robert H. Lee and COO Rick Riggle, revealed a rendering of the new facility, which will be located about 40 miles southwest of Columbus.

"It is an honor to represent two great corporations, Honda and LG Energy Solution, both with a long, proud history of success. LG Energy Solution is the leading battery manufacturer globally and is investing aggressively to meet demand for electrification. We are excited to embark on this partnership with Honda, a leader in the global auto industry with a reputation for quality and reliability," said Lee. "If we harness these strengths, I have no doubt our joint venture will be the most successful battery plant in the world, and we look forward to being a part of this massive transformation toward sustainability."

"We have talked a lot about the partnership between Honda and LG Energy Solution, but the communities of Southern Ohio are a part of this venture too, and we see it not so much as a joint venture, but a tri-venture between our companies and the community," said Riggle. "We share similar values and perspectives regarding the relationship we want to have with our new workforce, and this spirit of teamwork will be key to our success."

The location of the joint venture between Honda and LGES was announced Oct. 11 and was formally established Jan. 12. The plant aims to start mass production of pouch-type lithium-ion batteries by the end of 2025, to be provided exclusively to Honda auto plants to produce EVs to be sold in North America.

Honda also has announced plans to invest $700 million to re-tool several of its existing auto and powertrain plants in Ohio for production of electric vehicles that will use the batteries made at the new JV facility.

Honda plans to begin production and sales of Honda EVs in North America in 2026, based on its new Honda e:Architecture. As part of its goal to achieve carbon neutrality for all products and corporate activities by 2050, Honda has a vision to make battery-electric and fuel cell electric vehicles represent 100% of its vehicle sales by 2040.

Backed by the largest global battery manufacturing network it has established, LG Energy Solution has been carrying out its initiative to expedite the global EV transition, with its annual production capacity of 200GWh to further expand to 300GWh by the end of this year.

Capitalizing on its ample R&D experience and operational expertise, LGES is devoted to providing competitive power solutions for its customers, thereby promoting the customer values and reinforcing the collective initiatives for clean energy transformation.

For more information about the joint venture battery plant, visit www.lgeshonda.com.

Source: Honda

LG Energy Solution, Hyundai to Build EV Battery Plant in Georgia

Written by Maria Merano, Teslarati
Published June 1, 2023

LG Energy Solution (LGES) and Hyundaiare teaming up to build a battery cell manufacturing plant in Savannah, GA. 

Hyundai Motor Group and LGES signed a memorandum of understanding on May 26 in Seoul, Korea. Each company will hold a 50% stake in the joint venture for the U.S.-based battery plant. The companies plan to invest more than $4.3 billion in the battery facility. 

The parties agreed to produce EV batteries so Hyundai could accelerate its electrification efforts in North America. The battery plant would allow Hyundai EVs to qualify for the Inflation Reduction Act’s $7,500 tax credit. 

“Hyundai Motor Group is focusing on its electrification efforts to secure a leadership position in the global auto industry. We will create a strong foundation to lead the global EV transition through establishing a new EV battery cell plant with LG Energy Solution, a leading global battery producer, and long-time partner,” said Jaehoon Chang, president and CEO of Hyundai Motor Company.

Construction on the new battery facility is expected to start in the second half of 2023, with cell production slated to begin by the end of 2025. Hyundai and LGES aim for an annual production capacity of 30 GWh at the battery facility in Georgia, enough to support the production of 300,000 EVs annually. 

Hyundai Mobis will assemble battery packs using the cells from the plant in Georgia. After assembly, the battery packs will go to U.S. manufacturing facilities producing Hyundai, Kiaand GenesisEV models. 

Hyundai aims to become one of the top three global automakers by 2030. The company is already preparing to achieve its goal by investing $18.1 billion in electric vehicle production. 

The Asian automaker plans to increase its annual production run rate for EVs to 3.64 million globally by 2030. Hyundai will launch 31 EV models from its brands, including Kia and Genesis, to reach its goal. Most of Hyundai’s EV models will be available in all major markets. 

We thank Teslarati for reprint permission.

LGES to Quadruple Investment in AZ Battery Plant to $5.5B

Written by Maria Merano, Teslarati
Published March 27, 2023

LG Energy Solution plans to increase its investment in an Arizona battery plant from $1.4 billion to $5.5 billion due to strong demand for EVs, which is increasing the need for battery cells.

The LGES battery plant is located in Queen Creek, AZ. The South Korean battery manufacturer plans to build two manufacturing facilities in Arizona. One facility will start making cells for EVs by 2025. The second facility will produce energy storage systems beginning in 2026.

The Arizona plant will be able to produce 27 GWh of 2170 cylindrical battery cells for EVs and 16 GWh of LFP pouch-type batteries for energy storage systems. LG Energy Solutions’ Arizona battery plant will have an annual production capacity of up to 43 GWh.

LGES is increasing its investment in Arizona because of the Biden administration’s Inflation Reduction Act. The law incentivizes battery production within the U.S. and a few other countries in North America through EV tax credits.

“Our decision to invest in Arizona demonstrates our strategic initiative to continue expanding our global production network, which is already the largest in the world, to further advance our innovative and top-quality products in scale and with speed,” said Youngsoo Kwon, LGES CEO. “We believe it’s the right move at the right time in order to empower clean energy transition in the U.S.”

In 2022, LG Energy Solution announced the buildout of a $1.4 billion battery production facility in Arizona. The South Korean battery manufacturer said the Arizona plant would meet demand from “prominent startups,” not mentioning any auto brands.

LGES’ client list includes popular auto brands like Tesla, Ford, General Motors and Honda. Earlier this year, LGES and Tesla engaged in “active discussions” regarding battery cells from the Arizona plant.

We thank Teslarati for reprint permission.

Several popular EVs are no longer eligible for the full credit under rules that took effect Jan. 1.

Lordstown Endurance Pickup Gets Low EPA Range Estimate

Written by Simon Alvarez, Teslarati
Published June 5, 2023

The Lordstown Endurance all-electric pickup truck’s range estimate from the EPA has been released, and it is surprisingly low---a very conservative 174 miles of combined range, despite being equipped with a hefty 109-kWh battery pack. 

A look at the Endurance’s page on fueleconomy.gov shows the vehicle only boasts 48 MPGe. That’s comparable to the GMC Hummer EV, whose EPA documents pointed to a combined efficiency of 47 MPGe. And considering the Endurance is a far smaller and lighter pickup truck than the hulking Hummer EV, its efficiency is evidently subpar.

What is unfortunate about the Endurance is the fact the vehicle already had conservative target specs to begin with. As could be seen in its review from Car and Driver, Lordstown was expecting a range of just about 200 miles for the vehicle. That was already notably lower than the range of comparable pickup trucks like the FordF-150 Lightning and the RivianR1T.

Also noteworthy is Lordstown’s fall from grace over the years. It should be noted there was a time when the Endurance was expected to be a pioneer in the electric pickup truck segment, with Lordstown estimating it could beat rivals like Ford and Rivian to market. The company also declared it had seen 100,000 pre-orders for the Endurance from prospective customers, a claim that attracted the attention of forensic financial research firm Hindenburg Research.

The production of the Endurance has started, but it has seen its fair share of delays. Initial production started in September 2022, but by February 2023, the company announced it was pausing the production and deliveries of the Endurance. Recalls also added to the company’s challenges, and statements from the company later revealed only a very few Endurance pickup trucks have been sold.

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Lordstown Motors Agrees to Settle Trade Secret Lawsuit

Written by Ron Selak Jr., Tribune Chronicle
Published Aug. 18, 2023

Lordstown Motors Corp. has agreed to pay $40 million to Karma Automotive LLC to settle a lawsuit that claims Lordstown Motors stole trade secrets and plundered employees from the California-based auto company.

The proposed agreement, which needs approval from a U.S. bankruptcy court judge in Delaware, calls for Lordstown Motors to pay Karma a one-time royalty payment of $5 million, according to the proposal filed Aug. 15 with the court.

The settlement “represents an important step” in Lordstown Motors’ effort to “maximize value” as it navigates Chapter 11 bankruptcy proceedings, according to the agreement, and would wipe clean a “significant impediment” to the company’s sale process.

Karma was seeking more than $900 million from Lordstown Motors.

The lawsuit filed in October 2020 claims Lordstown Motors stole intellectual property about Karma’s infotainment system and poached a specialized team of Karma employees who were designing it for use in Lordstown Motors’ truck, the Endurance.

The proposed settlement, which represents about 4.4% of that sought-after amount, “is not only an exercise of sound business judgment and within the range of reasonableness, but is a critical and necessary compromise that paves the way for the debtors (Lordstown Motors) to maximize the value of their assets for the benefit of all stakeholders, and to quickly and efficiently exit Chapter 11,” the filing stated.

A trial on the matter was supposed to begin Sept. 12 in U.S. court in central California.

It was allowed to move forward July 27, when bankruptcy court Judge Mary F. Walrath lifted a stay automatically imposed on Karma’s case when Lordstown Motors filed for Chapter 11 protection June 27.

On July 27, Walrath said, she thought resolution of the case, which would go toward fully determining the assets belonging to Lordstown Motors, was critical before moving ahead with the bankruptcy proceeding. She also said it wasn’t her place to make that decision.

“I think the appropriate thing is for the California court that has devoted three years to conducting discovery, addressing pretrial motions and is fully familiar with these facts” to decide the issue, she said then.

Lordstown Motors asserted it would be prejudiced if the West Coast trial were allowed to go forward as it argued management’s focus would be diverted from the bankruptcy; that allowing it to proceed put at risk losing employees who are critical to helping sell the company; and the cost to defend itself in court, which an estimate put at $2.5 million.

An attorney for Lordstown Motors, Jason Zakia with White & Case LLP in Chicago, said during a hearing Aug. 15 the resolution was reached at 11:57 p.m. Aug. 14.

Doing so resolves the lawsuit, damage claim and “importantly, would free the debtors to sell the technology, which is the subject of the dispute with Karma. Part of the deal, Karma grants the debtors, I may not get all the IP (intellectual property) terms right, but a worldwide, global, perpetual, irrevocable license which is being provided in exchange for the settlement consideration.”

A hearing on the settlement proposal is scheduled for Aug. 21.

Earlier in August, an attorney for Lordstown Motors said the company had received interest from 13 parties to acquire all or some of the company’s assets. One included a condition regarding the Karma lawsuit.

We thank the Tribune Chronicle for reprint permission.

Lordstown Motors Files for Bankruptcy, Sues Foxconn for ‘Bad Faith’

Written by Iulian Dnistran, InsideEVs
Published June 27, 2023

Ohio-based Lordstown Motors, the maker of the Endurance all-electric pickup truck, has filed for Chapter 11 bankruptcy and is looking for a new owner, the company announced June 27. Furthermore, the startup has filed a lawsuit against its main investor, Foxconn, claiming that the technology company committed fraud and consistently failed to live up to its commercial and financial commitments.

Late the previous week, it was reported that ex-CEO and founder of Lordstown Motors Stephen Burns sold all of his remaining stock in the EV startup in three separate transactions between May and June.

Prior to this, Lordstown said it was considering suing its Taiwanese investor after it allegedly stalled the acquisition of additional shares amounting to roughly $47 million, which could have kept the EV maker afloat. Without the extra capital, Lordstown anticipated in May it would cease production of the Endurance “in the near future” and saw bankruptcy as a worst-case scenario.

Now, that scenario has come true. In the court filing against Hon Hai Technology Group, including its affiliate Foxconn Ventures, Lordstown said the investor “had no intention of living up to its commitments, particularly with respect to the new vehicle development platform.”

As part of the agreement between Lordstown and Foxconn, Lordstown received an investment of roughly $50 million out of a planned total of $170 million, which gave the company much-needed capital and helped the Taiwanese tech firm to establish itself as an automobile manufacturer. Furthermore, Foxconn paid an additional $230 million to Lordstown to buy the former GMfactory where it operated, where it planned to build the Endurance electric pickup under contract.

Under the Chapter 11 restructuring process, Lordstown is looking to sell the Endurance vehicle and related assets, calling it “a fully homologated and certified, production-launched vehicle that can serve as a springboard for the right OEM or other strategic purchaser into the broader North American EV full-size truck market at a fraction of the cost and time it would take to develop a program from the ground up.”

Production of the Lordstown Endurance began in the third quarter of 2022, but was temporarily halted in the first quarter of 2023 because of supplier-related issues. Assembly restarted at a very low pace in April, but the company reportedly delivered only six vehicles this year and manufactured a total of 31.

Powered by in-wheel hub electric motors that get juice from a 109-kilowatt-hour battery pack, the Endurance pickup has an EPA-rated driving range of 174 miles, one of the lowest range results among BEVs, and the lowest range for BEVs with 100+ kWh battery.

Lordstown Motors said it enters Chapter 11 with “significant cash on hand and is debt-free.”

We thank InsideEVs for reprint permission.

Lordstown Motors Financial Life Raft Loses Air, Automaker on Verge of Sinking

Written by Joey Klender, Teslarati
Published May 2, 2023

Foxconnthreatened to pull out of its $170 million investment deal with Lordstown Motors, which could send the EV startup into bankruptcy after starting production of its Endurance all-electric pickup.

Lordstown Motors filed an 8-K with the SEC on May 1, telling investors it received a letter from Foxconn on April 21 that accused the automaker of breaching its investment agreement “due to its previously disclosed receipt of a notice from the Nasdaq Stock Market LLC indicating [Lordstown] was no longer in compliance with the $1 minimum bid price requirement for continued listing on The Nasdaq Global Select Market.”

Foxconn said Lordstown has 30 days to cure the breach, or the agreement will be terminated.

Lordstown said it believes the Foxconn allegations are “without merit,” and the terms of the agreement would not permit Foxconn to terminate it at this time. Finally, if Foxconn were to terminate the agreement, it would have “breached the Investment Agreement by failing to use necessary efforts to agree upon the EV program budget and EV program milestones to facilitate the funding of the additional Preferred Stock investment.”

Foxconn and Lordstown are currently in discussions to seek a resolution, the automaker said, but “no assurances can be given that the parties will reach a resolution of these matters.”

Lordstown shares are down more than 30% at the time of writing, trading at $0.36 per share.

“Foxconn’s actions are completely unwarranted. Their course of conduct has resulted in material---and what is becoming irreparable---harm to the company,” Lordstown said in a statement.

The potential fallout between the two companies spells major implications for Lordstown. Foxconn came along in late 2021 and saved the automaker from financial ruin with its pledge to buy its Ohio production facility, which led the company to begin manufacturing the Endurance pickup.

Lordstown made it clear to investors before the Foxconn deal there was “substantial doubt” the company could keep its doors open, and in June 2021, it stated it would likely close its doors within the next year. The deal with Foxconn saved the company in every way.

The deal falling through now would likely mean the end of Lordstown, as it warned there was once again “substantial doubt regarding our ability to continue as a going concern.” It would be forced to rely on other financial partners if a resolution with Foxconn cannot be found. Without that, it would then be forced to close its doors for good.

We thank Teslarati for reprint permission.

Lordstown Motors Founder Buys Back Company Assets in Bankruptcy Sale

A market analyst said the once-promising EV startup, which filed for bankruptcy in June, is "just as doomed as ever" despite the purchase.

Written by Simon Alvarez, Teslarati
Published Oct. 9, 2023

Lordstown Motors founder and former CEO Steve Burns is buying back some of the company’s assets for $10 million. 

An SEC filing said the sellers entered into an asset purchase agreement with LAS Capital and Burns, as guarantor of certain obligations of LAS Capital.

Lordstown was once considered one of the rising stars of the electric vehicle sector. Its Endurance all-electric pickup truck was announced with 100,000 supposed pre-orders. That number was challenged by Hindenburg Research, which alleged the company was inflating the Endurance’s pre-orders. 
 
Burns resigned as CEO in 2021 after an internal investigation found he had in fact inflated order estimates. Julio Rodriguez, who was serving as Lordstown’s CFO at the time, also left the company.

It remains to be seen what assets Burns will be acquiring from Lordstown, as the company’s plant complex in Ohio is owned by Foxconn. Per the SEC filing, however, Burns’ entity, LAS Capital, “agreed to acquire specified assets of the selling entities related to the design, production and sale of electric light duty vehicles focused on the commercial fleet market.”

Guidehouse Insights principal analyst Sam Abuelsamid said Lordstown, which filed for bankruptcy and sued Foxconn, its main investor, in June, will still be unable to recover despite Burns’ recent moves. 

“It’s just as doomed as ever," Abuelsamid said. "I have no more confidence that Lordstown will gain any market traction than I did yesterday… There’s only soft tooling there. Maybe they could build a couple hundred more trucks, but that’s it. And nobody’s going to buy them." 

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Lordstown Motors Founder Offloads Entire Stake in Embattled EV Maker

Written by Simon Alvarez, Teslarati
Published June 22, 2023

Stephen Burns, founder and former CEO of Lordstown Motors, sold his entire stake in the EV maker. The sale was outlined in a regulatory filing. 

Burns’ sale of his Lordstown stake was made in three transactions in May and June. About 581,000 shares were sold May 23, just before the company initiated a reverse stock split for an average price of $0.27 per share. Another 200,000 shares were sold for an average price of $3.74 per share May 24, and the last 591,752 shares were sold at $4.99 per share June 16, according to a Bloomberg News report.

Lordstown implemented the reverse stock split in May to comply with Nasdaq’s minimum $1 listing requirement, a move seen as an attempt to appease investor Foxconn. Reports suggested Foxconn threatened to pull about $170 million worth of funding from the cash-strapped startup. 

Lordstown later announced it was looking to file legal action against the Taiwanese company to ensure the firm’s planned purchase of almost 10% of the EV maker’s shares was not canceled. “The company believes that Foxconn’s various breaches of the investment agreement and pattern of bad faith have caused material and irreparable harm to the company,” Lordstown said.

Burns resigned from his role as Lordstown’s CEO in 2021 alongside then-CFO Julio Rodriguez. The departures came following an internal investigation by the company board about claims made by forensic financial research firm Hindenburg Research.

Prior to its fall from grace, Lordstown seemed like it had a shot at becoming a contender in the U.S. all-electric pickup truck market. The company declared it had secured 100,000 pre-orders for its Endurance pickup truck from prospective customers, a claim challenged by Hindenburg. Lordstown acknowledged it had overstated pre-orders for the Endurance, as noted in a Reuters report, but the company maintained it had not misled investors about its production plans and the potential of its technology. 

The initial production of the Lordstown Endurance pickup truck started in September 2022, but it was halted in February. Recalls were added to the company’s challenges, and more recently, the Endurance was also given a 174-mile range estimate from the EPA, shockingly low considering the Endurance’s 109 kWh battery pack. 

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Lordstown Pauses Production and Deliveries, Recalls 19 Endurance EVs

Written by Dan Mihalascu, InsideEVs
Published Feb. 28, 2023

EV startup Lordstown Motors announced it temporarily stopped production and customer deliveries since its last production update in January.

In a statement posted on its website, the company said it has experienced performance and quality issues with certain components of its Endurance pickup truck.

Lordstown said the problem is a "specific electrical connection issue that could result in a loss of propulsion while driving" and has issued a voluntary recall for 19 vehicles "that are either in the hands of customers or being used internally by LMC."

The company said it is working with its supplier network to implement a corrective action that it believes will address this issue.

"The team is diligently working with suppliers on the root cause analysis of each issue and potential solutions, which in some cases may include part design modifications, retrofits and software updates," the carmaker said.

Lordstown also noted Endurance vehicles waiting for shipment and those in process at the manufacturing plant will also get the fix once it becomes available.

"While our experienced team has made significant progress in addressing the underlying component and vehicle sub-system issues affecting the Endurance build schedule, we remain committed to doing the right thing by our customers and to resolve potential issues before resuming production and customer shipments," said Edward Hightower, Lordstown Motors CEO and president.

The EV startup said it intends to provide a more detailed update on the status of these matters on its upcoming earnings call March 6. It did not say when it estimates production and deliveries would resume.

Lordstown started production of the Endurance electric pickup in late September 2022, and the vehicle was homologated and certified for U.S. sales two months later. The company set a target to deliver 50 vehicles in 2022 and 450 in the first quarter of 2023, but it made only 31 units for sale since production began.

In January, the EV maker said it expected production to be slow through the first quarter due to supply chain constraints, particularly pertaining to the availability of hub motor components.

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Lordstown Working Through Early Production Issues 

Written by Joey Klender, Teslarati
Published March 7, 2023

Lordstown Motors remains resilient as it continues to face trying times, low cash flow and miscues in early production, the latest revelation in automotive startups attempting to enter the competitive field of electric vehicles. Lordstown is hanging on after it reported its Q4 2022 earnings March 6.

Lordstown has $221.7 million in cash and short-term investments, a roughly $18 million increase from the end of Q3 2022. Its true challenges lie within production and deliveries; Lordstown said it ended the year with only three deliveries.

It has not improved much either, as through February, Lordstown said, it has produced about 40 vehicles of its initial batch of up to 500 units, and only six have been sold.

These low sales figures were caused by production issues that affected performance and quality, which required Lordstown to halt production and issue a recall.

Lordstown’s net loss increased by $20.9 million to $102.3 million compared to last year.

There are some positives, however, as the company’s “Mobility-in-Harmony Consortium” with Foxconn continues to move forward. The company said Foxconn has already contributed $52 million to their partnership, which could yield a new, more stable production model for the company’s lineup of vehicles, which includes a new platform.

“The next platform and vehicle program are key to Lordstown Motors’ long-term business strategy and are becoming a greater portion of our company’s focus,” Lordstown said.

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One bill is expected to be taken up soon by a House committee.