According to preliminary estimates, Light Vehicle (LV) sales in the United States grew by 6.5% year on year (YoY) in August, reaching 1.42 million units. This year, the month included the Labor Day weekend, according to the industry calendar, which brought about 28 selling days – the most of any month this year. This created favorable conditions for August’s growth. US LV sales totaled 1.42 million units in August, according to GlobalData. The annualised selling rate for the month was 15.1 million units/year, down from 16.0 million units/year in July. The daily selling rate was estimated at 50.6k units/day in August, down from 51.4k units/day in July. Expectations were high coming into the month, given the inclusion of Labor Day in August for the first time since 2019. A strong seasonal factor therefore kept the annualized selling rate in check, and there is a sense that volumes could have been higher, despite positive headlines around YoY growth. According to initial estimates, retail sales totaled 1.20 million units in August, while fleet sales finished at 217k units, accounting for 15.3% of total volumes.
Portable EV chargers
Go deeper with GlobalData
EV charging infrastructure is continuously under fire for its lack of availability, reliability, grid limitations and installation complexities. This in turn leads to charge and range anxiety amongst EV owners. To help combat this issue, UK based company, Solus Power, has developed a smart, rapid EV charging solution: portable charging devices. Solutions offered by the company include off-the grid mobile DC-to-DC rapid charging units that can be rolled to vehicles for convenient charging in commercial settings, as well as portable systems that can be stacked or slide underneath vehicles. These solutions not only allow off-peak energy usage to alleviate grid strain, but also double as energy storage units, contributing to grid stability and energy savings. The company has recently received financial backing from US investment firm, Marbanc International. The funding will enable Solus Power to expedite the development of its innovative portable charging technology to market and meet demand from defence, fleet, and private EV owners. We spoke to Stas Leonidou, CEO, Solus Power, to learn more about the technology solutions and to discuss what the financial backing means for the company.
EV battery safety
The major blaze that occurred in an apartment complex in the city of Incheon in August, which started in a parked Mercedes-Benz EQE battery electric vehicle (BEV), highlighted the multiple challenges facing South Korea’s battery electric vehicle (BEV) industry. The fire, which destroyed over 100 adjoining vehicles and injured some 23 people, further dampened the already weak consumer sentiment in this segment of the market. BEV battery safety has become a major concern among new vehicle buyers in major markets around the world, not only in South Korea, along with high costs relative to equivalent internal combustion engine (ICE) vehicles, uncertainty over battery technologies, recharging and rapid depreciation. Rapidly advancing technologies means that better performing models are continually coming onto the market – further undermining the value of existing models. South Korea’s leading vehicle manufacturer, Hyundai Motor Group (HMG) – comprising both Hyundai Motor and Kia Corporation – last month responded to some of these safety concerns by announcing a decision to install battery management systems (BMS), which monitor battery performance and help anticipate problems, in all BEV models from this year. The automaker is also working with leading battery suppliers such as South Korea’s LG Energy Solution (LGES) to help improve current BMS systems.
China rising
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataIn South America, sales of vehicles imported from China have been exploding. Across the region, our forecast shows that vehicles imported from China are poised to account for 24% of the total market in 2024. In Brazil, vehicles imported from China have been growing strongly and Chinese imports are anticipated to more than double year-on-year (YoY) in 2024. Many Chinese brands are trying to expand outside their domestic market and establish themselves as legitimate manufacturers alongside the traditional local players, with many South American markets proving to be desirable locations. Chinese manufacturers have sold vehicles in various markets around the world, including Central and South America, for several years. These vehicles tended to fall into one of two categories: cheap cars with no frills that lacked the reputation of those from established manufacturers, or simple commercial vehicles. Nonetheless, having a presence in these markets helped to create brand recognition and acceptance. In what might be considered a starting point, towards the end of the last decade some traditional OEMs took advantage of the low cost of building vehicles in China, jointly manufacturing (for export) several popular models with local partners, or simply re-badging Chinese models as another make. For example, the Baojun 530 model is built and sold in China, but it is also re-badged as the Chevrolet Captiva, and sold in multiple markets in South America.
Chinese in EU
While the European Union’s (EU) recently introduced tariffs on Chinese electric vehicle (EV) imports were met with an unsurprisingly chilly reception in Beijing, the Chinese Chamber of Commerce to the EU expressing its “shock, grave disappointment and deep dissatisfaction with the protectionist trade measure”, they do not disguise the challenge that European carmakers have on their hands – or the likelihood that it will be China driving the green transition in the global automotive industry. Effective from July 4, the tariffs on battery EVs (BEVs) came on top of existing tariffs of 10% on imports of all new cars to the EU – from China or otherwise. They are aimed at stemming a saturation of the European EVs market by affordable Chinese models unfairly developed, European carmakers argue, with significant state support. Initially, the tariffs ranged from 17.4% (on BYD models) to an eye-watering 38.1% (on SAIC models). They have been wound back slightly, but not before causing a spike in sales as European consumers rushed to make purchases before the measure took effect, with Chinese marques accounting for a record 11% of European EV sales in June. While that figure has understandably fallen since the tariffs were introduced, it nonetheless shows just how significantly China has encroached on the European EVs – and, indeed, broader automotive – market in recent years.
China flat
In July 2024, the Chinese automotive industry’s economic operations remained fundamentally stable, with just a minor dip in monthly production and sales. Domestic light vehicle (LV) sales, excluding exports, totalled 1.8 million units, reflecting a significant year-on-year (YoY) decrease of 10.4% and a month-on-month (MoM) decline of 12.5%, influenced by the high comparative base of the same month last year. Specifically, the passenger vehicle (PV) segment saw a total volume reduction to 1.6 million units, with a 9.8% YoY decline and a substantial MoM decrease of 10.9%. Light commercial vehicle (LCV) sales also contracted to 162k units, recording a significant YoY decline of 15.6% and a 25.8% MoM decrease. From January to July of this year, LV sales reached 13.0 million units, experiencing a slight YoY decrease of 0.9%. Within this, PV sales accounted for a total volume of 11.5 million units, with a 0.7% YoY decrease. LCV sales, despite being a significant market segment, experienced a slight YoY downturn of 2.5%, at 1.4 million units. China’s domestic market sustained a steady tempo in July, with the selling rate for the month reaching 27.4 million units per year, a slight uptick from the robust June figures. However, the year-to-date (YTD) selling rate averaged only 23.9 million units per year, weighed down by sluggish sales in earlier months. In terms of YoY performance, July sales (domestic wholesale volumes) fell by 10%, partly due to the unusually high levels a year ago and were effectively flat (-0.9%) for the YTD period. A notable milestone was achieved in July, as the share of new energy vehicles (NEVs) among PV sales surpassed 50% for the first time.
EV and IP
In a guest column exclusively for Just Auto, legal experts Ben Palmer and Diego Black argued automotive companies need to flex their IP strategies in response to slower EV sales. Despite slower-than-expected sales, OEMs and Tier One manufacturers of critical parts for battery electric vehicles (BEVs) should avoid cutting costs by reducing innovation activity and explore ways to flex their IP strategies instead. The latest figures from the SMMT on new car registrations in the UK show that EV sales are growing strongly overall and sales of BEVs specifically now account for 16.8% of the new car market year to date. However, BEV uptake is still trailing expectations and sales forecasts have been lowered in most major markets. Car makers in the UK are concerned that they might not be able to comply with the Zero Emission Vehicle (ZEV) Mandate, which requires them to sell an increasing proportion of zero emission vehicles annually, in the run up to a planned ban on the sale of new internal combustion engine (ICE) vehicles in 2035. A similar ban on the sale of new ICE vehicles applies in Europe, where EV volumes from March 2024 have recently been revised down to 2.6% this year. Reasons for the slowdown in the sale of new BEVs are well documented. In addition to economic instability and inflationary cost pressures, uncertainty about the direction of travel in terms of the choice between hydrogen fuel cell EVs (FCEVs) and BEVs is a key factor. For consumers, the slow pace of investment in, and implementation of, new charging infrastructure means that range anxiety hasn’t gone away, and subsidies are likely to be needed to drive demand. There are also increasing concerns regarding the lifespan of the batteries that power the vehicle, in particular their drop in capacity over time.
H2 sooner?
Alternative fuels are the talk of the automotive industry with many – naturally – focusing on electric batteries. Could hydrogen emerge from the mix sooner than many expect? Battery electric vehicles (BEVs) are here and we are becoming increasingly aware of their design, charging needs and environmental benefits. However, hydrogen is believed to be by many the next up and coming sustainable fuel alternative – especially for the very long-term. Intelligent Energy, a UK-based hydrogen fuel cell manufacturer, have developed products based on their own hydrogen fuel cell technology, allowing the company to provide power solutions from 800w to over 300kW. So far, this technology has been used in a range of applications including automotive and aerospace. The company’s ‘Project Ester’ develops hydrogen fuel cell electric vehicle technology, focused on an evaporatively cooled fuel system which has been designed for use in passenger vehicles as well as heavy-duty where conventional battery-electric based solutions fail to deliver. We spoke to Ashley Kells, programme director, Intelligent Energy, to learn more about the benefits of hydrogen as well as the company’s process for manufacturing hydrogen cells.
Patrol grew
Once upon a time, Nissan’s Patrol was like the rival early Toyota Landcruiser, a no-frills, utilitarian offroader with a nice big, simple OHV straight six and a manual gearbox with the British Land Rover in its sights. Today it’s morphed into a large, luxury SUV, still with a six cylinder engine. Nissan launched the new Patrol at a private event in Abu Dhabi in the United Arab Emirates (UAE) attended by local royals and VIPs, dealers, global Nissan executives and the media. The seventh-generation Patrol, unveiled by company president Makoto Uchida, has a bold new design and is powered by a V6 twin turbo petrol engine, nine speed automatic transmission and has adaptive air suspension for enhanced all terrain capability.
GM Brazil flex-fuel
GM has said it will begin production of hybrid-flex vehicles in Brazil, according to Reuters. These are the automaker’s “first-ever” hybrid-flex vehicles, it claims. They can run on 100% ethanol or gasoline, alongside batteries. In a statement to the news agency, GM said that two hybrid-flex models would be produced at factories in Sao Paulo state. The automaker did not disclose when it planned to launch the hybrid-flex vehicles.
Toyota EV dial back
Toyota is the latest vehicle maker to dial back its electric vehicle output plans in the place of lower than expected BEV sales, according to a Nikkei report. The business daily reported Japan’s largest automaker has cut its electric vehicle production plans for 2026 by a third. The report said Toyota now plans to build one million EVs in 2026, compared with an earlier target of 1.5 million. The report added Toyota has notified its suppliers of the decision to reduce BEV output plans.
Extended HFCEV collaboration
BMW plans to launch its first production fuel cell electric vehicle (FCEV) in 2028, offering customers an additional electric powertrain option, as the group and Toyota Motor extend collaboration to develop new powertrain technology. “This is a milestone in automotive history: the first-ever series production fuel cell vehicle to be offered by a global premium manufacturer. Powered by hydrogen and driven by the spirit of our cooperation, it will underscore how technological progress is shaping future mobility,” said BMW chairman Oliver Zipse. “And it will herald an era of significant demand for fuel cell electric vehicles.” Koji Sato, president, Toyota Motor Corporation, added, “We are pleased that the collaboration between BMW and Toyota has entered a new stage.
Motionless wind
BMW Group said it had installed the UK’s claimed first ‘motionless’ wind energy system at its Mini plant in Oxford. The system uses Aeromine Technologies technology to use wind power to produce electricity without visible moving parts. The British plant would be a test bed, assessing potential to enhance energy efficiency across group sites worldwide as well as UK commercial buildings.
Ecuador axe
GM’s factory in Ecuador has ceased operations due to pressure from local competitors, according to Reuters. Its plant in Quito, which was established in 1975, accounted for half of car production/assembly in the country. It has said it will also stop production operations in neighbouring Colombia.
Have a nice weekend.
Graeme Roberts, Deputy Editor, Just Auto
