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GM to invest $1 bln in Mexico to build electric vehicles

The new GM logo is seen on the facade of the General Motors headquarters in Detroit, Michigan, U.S., March 16, 2021. REUTERS/Rebecca Cook
General Motors Co (GM.N) said on Thursday it will invest $1 billion in a manufacturing complex in Mexico, drawing immediate criticism from the union for U.S. autoworkers as it prepares to build electric vehicles in 2023 in the border state of Coahuila.
GM said it is building a new high-tech paint shop that will start operations from June at the Ramos Arizpe site, which currently assembles conventional internal-combustion vehicles, including the Chevrolet Equinox and Blazer models, along with engines and transmissions.
The United Auto Workers criticized GM’s decision to build EVs in Mexico instead of using the union’s members in the United States when Washington is considering large new incentives for electric vehicles.
“At a time when General Motors is asking for a significant investment by the U.S. government in subsidizing electric vehicles, this is a slap in the face for not only UAW members and their families but also for U.S. taxpayers and the American workforce,” said UAW Vice President Terry Dittes in a statement, calling it “unseemly” to accept U.S. government subsidies and make vehicles outside the United States.
GM responded to the UAW statement by noting it has “recently announced nearly 9,000 jobs and more than $9 billion in new electric vehicle or battery cell manufacturing facilities in Michigan, Ohio and Tennessee.”
The White House did not immediately comment, but President Joe Biden has called for $174 billion to boost U.S. EV production, sales and infrastructure.
On Wednesday, Biden told U.S. lawmakers “there’s no reason why American workers can’t lead the world in the production of electric vehicles and batteries.”
GM issued a news release about the Mexican investment only in Spanish on its website and later provided an English translation when asked.
GM said it also plans to build batteries and electrical components at Ramos Arizpe and is making other improvements to its manufacturing complex.
GM did not say when it began building its new paint shop but previously came under criticism from former President Donald Trump for its Mexican operations. Trump had threatened to tax GM vehicles imported from Mexico.
GM aims to build two Chevrolet electric SUVs at Ramos Arizpe starting in 2023, according to Sam Fiorani, who tracks future vehicle production for AutoForecast Solutions.
A GM spokesman said the company was not announcing or confirming the electric vehicles that will be built in Coahuila, describing Fiorani’s comment as speculation.
Global electric vehicle numbers set to hit 145 million by end of the decade, IEA says
- International Energy Agency says roughly three million new electric cars were registered last year, a record amount.
- Around the world, authorities are looking to increase the number of low- and zero-emission vehicles on their roads.

The number of electric cars, buses, vans and heavy trucks on roads is expected to hit 145 million by 2030, the International Energy Agency said on Thursday.
According to the IEA’s Global Electric Vehicle Outlook, if governments ramp up their efforts to meet international energy and climate goals, the global electric vehicle fleet could increase further still, hitting 230 million by the end of the decade. Both of these projections exclude two- and three-wheeled electric vehicles.
The Paris-based organization said roughly three million new electric cars were registered last year, a record amount and a 41% rise compared to 2019.
This jump pushed the total number of electric cars on the road to over 10 million, a figure supplemented by approximately 1 million electric buses, vans and heavy trucks.
The rise in electric car sales in 2020 came even as the worldwide automobile market contracted by 16% due to the effects of the coronavirus pandemic. In the first quarter of 2021, electric car sales were almost two and a half times higher than during the same period in 2020.
“While they can’t do the job alone, electric vehicles have an indispensable role to play in reaching net-zero emissions worldwide,” Fatih Birol, the IEA’s executive director, said in a statement.
“Current sales trends are very encouraging, but our shared climate and energy goals call for even faster market uptake,” he added.
Birol urged governments to use Covid economic recovery packages to “invest in battery manufacturing and the development of widespread and reliable charging infrastructure.”
The IEA said consumer spending on electric cars in 2020 totaled $120 billion, a 50% increase compared to 2019, with government support measures designed to encourage electric vehicle take-up coming in at $14 billion.
With regards to the latter figure, the IEA said it was “the fifth year in a row in which they have fallen as a share of total spending.”
“Even if government subsidies remain important for spurring the uptake of electric vehicles, this suggests sales are increasingly being driven more by consumer choice,” it added.
Taking on Tesla
Around the world, authorities are looking to increase the number of low- and zero-emission vehicles on their roads in a bid to tackle air pollution and move away from the internal combustion engine.
The U.K., for example, has announced plans to stop selling new diesel and petrol (gasoline) cars and vans from 2030.
The European Commission’s “Sustainable and Smart Mobility Strategy,” meanwhile, wants at least 30 million zero-emission cars on the road by 2030.
Faced with these targets, major carmakers are looking to increase their electric vehicle offering and challenge Elon Musk’s Tesla.
Last month, German automotive giant Volkswagen announced plans to establish six “gigafactories” — which the firm says will be able to manufacture battery cells with a combined energy value of 240 gigawatt hours each year — in Europe by the end of the decade. It also pledged to expand its charging infrastructure in Europe, North America and China.
March also saw the Volkswagen Group’s CEO, Herbert Diess, dismiss the notion that his firm could join forces with Tesla, telling CNBC that the German automotive giant was looking to go its own way.
Speaking to “Squawk Box Europe”, Diess was asked if he would rule out any future deal with Musk’s electric car maker, in which VW could manufacture its cars, or if the Tesla and VW brands would ever unite.
“No, we haven’t considered (that), we are going our own way,” he replied. “We want to get close and then overtake.”
“We think that we can – we need our own software stack, our own technology,” he added. “And also, I think Tesla, or Elon, is very much thinking … (about) his way forward. So no, there are no talks between Elon Musk and myself regarding joining forces.”
Biden’s first 100 days have already electrified the auto industry

Drew Angerer/Getty Images
Thursday, April 29, closes a significant measurement for President Joe Biden: his first 100 days in office. Although the pandemic has been the new administration’s top priority, these 100 days charted an EV-focused auto industry through a federal focus on climate change, emissions standards and budding Chinese competitiveness, and potential dominance, in future technologies and raw materials.
The Biden administration’s actions in 100 days, detailed below, may not be permanent in every respect, or even made into law, but the 46th president’s first 100 days undeniably helped recalculate the auto industry well into the next decade.
An electric federal fleet
On Jan. 25, Biden announced an executive order that will convert the US government’s 645,000-strong fleet of vehicles to battery-powered vehicles. With a core focus on reducing emissions and setting an example for the country to shift to EVs, the EO also aims to bolster the US’ purchasing power to buy EVs from American businesses and US-made products. The administration hasn’t produced a timeline for the conversion just yet, and the next-generation mail delivery trucks have already challenged how serious the administration is with this commitment.
EV tax credit renewal nabs attention
In the earliest days of the Biden administration, and the Democrats’ newfound control of both chambers of Congress, Democratic senators reintroduced the GREEN Act, which includes restored federal tax credits for automakers and those who buy EVs. If passed, it would provide up to $7,000 for EV buyers to take advantage of when filing their taxes the following year and give automakers a new credit ceiling of 600,000 vehicles. Tesla and GM are the only automakers no longer eligible to pass on tax credits to EV buyers, as they reached the limit in 2019 and 2020, respectively. Passing the bill under the Democratic-led chambers, and Biden, may prove much easier, hence its reintroduction. However, it may not live on following news of the president’s infrastructure plan.
$100 billion for direct EV rebates
Under the president’s proposed $2.25 trillion infrastructure plan, the federal government would make $100 billion available for EV rebates at the point of sale. In other words, the federal government, under Biden, may directly subsidize the purchase of an electric car. Rather than a tax credit to claim a year later, this proposal would take cash off an EV’s sticker price right at the dealership. It’s not clear how much an individual or household may receive, should the proposal make its way into a passed law, but the move could drastically alter EV adoption here in the US.
Electrify America
Half a million EV chargers
Also included in Biden’s ambitious infrastructure plan is the proposal of 500,000 new EV charging stations across the US. The plan calls for every one of these half a million chargers to be installed by 2030, providing funds for grants and incentive programs for state and local governments, as well as private companies.
Revamped fuel economy and emissions regulations
By this July, the Biden administration will reveal updated fuel economy and emissions regulations for automakers to adhere to, and they will do the exact opposite of the Trump administration’s efforts, which reduced annual improvements substantially. Automakers don’t just work for the present; product planning stretches years ahead, so it will be tough for any future administration to make steep reversals to whatever figures the Biden administration presents. How strict will the new regulations be? EPA Administrator Michael Regan believes they need to meet the urgency of the climate crisis.
Reversing Trump’s ban on California setting standards
More recently, both the EPA and Department of Transportation under Biden moved to withdraw a 2019 rule from the Trump administration that would restore California’s right to set state-level emissions standards and zero-emission vehicle mandates. The latter ability has long been a thorn in automakers’ sides, essentially creating two sets of standards for companies to follow: California and federal regulations. Under Biden, the state may soon get this ability back, but this time, the majority of automakers appear to be on California’s side, unlike the last time.
Remaking America’s EV supply chain
A Biden-ordered review of the US’ supply chain for semiconductor chips didn’t stop there. Included in a short- and long-term review of the country’s supply chain is a closer investigation of the US’ rare earth materials and how the country can better position itself to counter China’s EV supply chain, specifically, batteries. The order’s scope extends to “advanced batteries, like the ones used in electric vehicles,” with a goal of bolstering the US supply chain to keep issues like the semiconductor shortage from ever becoming as serious in the first place. The president’s infrastructure bill would also make billions of dollars available for companies to retool their plants to pivot and support EV production, plus battery assembly domestically.

Bloomberg/Getty Images
General Motors and Ford joined over 400 businesses on Wednesday calling on President Joe Biden to set an ambitious emissions target for the US ahead of a planned climate summit. Ahead of the summit’s start on Thursday, the White House made the president’s goal official: 52% emissions reductions by 2030 below 2005 levels.
The letter, whose signatories account for more than $4 trillion in annual revenue, urged Biden to cut the country’s emissions by “at least 50%” below 2005 levels come 2030. The final figure goes slightly above the businesses’ calls. GM and Ford’s signing on is, frankly, a huge deal considering tailpipe emissions are a sizable contributing factor to climate change.
As the US works to reduce emissions by 50%, the companies signaled Biden should also put the country on a path toward carbon neutrality by 2050. “To restore the standing of the US as a global leader, we need to address the climate crisis at the pace and scale it demands,” the open letter states. “Specifically, the US must adopt an emissions reduction target that will place the country on a credible pathway to reach net-zero emissions by 2050.”
In the White House’s announcement, the administration said it will continue to pursue a pathway to create a carbon-free power sector no later than 2035, and a net-zero emissions economy by 2050. The work will take place across numerous sectors of the economy, though the supplied fact sheet did not provide specific goals. They’ll come in due time, and the automotive sector ranks high on the list. The Biden administration is deep in creating new emissions and fuel economy regulations for the auto sector, which will show up by July. Both Ford and GM have also approved of the Biden administration’s review for more stringent fuel economy and emissions standards. The president’s infrastructure plan also goes heavy on zero-emissions vehicles and hopes to spur battery production, material refinement and EV sales in the US to counter China.
As stated in January, GM plans to sell only zero-emission vehicles by 2035; Ford pledged in February to sell only electric cars in Europe by 2030. Numerous automakers have taken a heavy turn toward electrification, with similar aspirations.
GMC Hummer EV is a 1,000-hp super truck that moves laterally like a crab



Biden urges US to step up EV production to combat China’s dominance
The president’s proposed infrastructure plan includes billions of dollars for EV production and adoption, and he wants the US to move swiftly.
General Motors
The US has a lot of “catching up to do” when it comes to EV production, President Joe Biden told reporters during a tour of electric bus-maker Proterra’s facilities on Tuesday. Reuters reported on the president’s comments as he tours the country to promote his proposed American Jobs Plan infrastructure legislation, which has a $2.25 trillion price tag attached to it.
“We ought to be the single most significant suppliers of electric buses and vehicles in the world before it’s over,” Biden said. “Right now, we’re running way behind China.” The president continues to peg the entire infrastructure bill as a downpayment of sorts for the country as his administration works to pivot the country toward climate-neutral sectors while tying in job creation. The White House did not immediately return a request for comment.
Biden’s proposed legislation carves out $174 billion to boost American EV production and associated supply chains. The administration has also ordered a review of essential supply chains to make the country more competitive when it comes to material refinement for batteries and other essential EV components. The administration earmarked $100 billion in the bill for direct consumer rebates at the point of sale, which could slash thousands of dollars off the price of a new EV for car buyers.
China remains the largest auto market not only for new vehicles in general, but for what the country deems “new-energy vehicles,” or electric cars.
2021 Ford Mustang Mach-E looks like the future



GM rolls out seamless EV charging across multiple networks

Chevrolet
“Keep it simple” is the ethos behind General Motors’ Ultium Charge 360, a new charging ecosystem from the automaker that makes for seamless charging across numerous networks. The company said on Wednesday the platform supports seven of the major charging station networks in the US, including ChargePoint, EV Connect, EVgo and more.
Through an Ultium Charge 360 smartphone app, owners of future Chevy, Buick, GMC and Cadillac EVs will be able to locate a charging station on the network, unlock a plug and pay for a charging session. Today, there are 60,000 stations the network supports. However, GM and EVgo plan to add 2,700 DC fast-charging stations available in the US over the next five years, based on a previous collaborative effort announced last year. The first of many are now operational in Washington, California and Florida, with the first 500 set to come online by the end of this year.
GM plans to continue working with EV charging companies to further expand access and said additional updates will come in the future.
Tesla Model 3 New #1 In Hot European Market, & Plugin Vehicles Get 16% Market Share!
The European plugin passenger vehicle market continues to rise, scoring over 227,000 registrations in March (+169% YoY) and putting last month’s plugin vehicle share of the broader passenger vehicle market at 16% share (7.6% fully electric/BEV). That pulls the 2021 plugin vehicle (PEV) share to 15% (6.6% for BEVs alone).
This time growth came from both sides of the plugin electric vehicle market, with BEVs doubling their sales year on year while PHEVs continued surging at a faster pace, seeing their sales jump by 264% year over year (YoY) last month. So, plugin hybrids remained the major growth source for plugins in the first months of 2021.
With a higher than expected end-of-quarter peak, the Model 3 won its second best seller title in a row, confirming its good form this year.
The same can’t be said about the remaining 2020 podium bearers. Last year’s winner, the Renault Zoe, was only 4th in March, while the VW ID.3, the bronze medalist last year, continued to underperform, reaching a low 6th place last month. With VW’s hatchback faltering, all eyes are now on the new ID.4 crossover, which had its first real delivery month in March. It ended up in 5th, already above its slightly older (and shorter) sibling. A sign of things to come?
Looking at March Top 5 Models
#1 Tesla Model 3 — The US sports sedan returned to form by scoring 24,184 deliveries last month, a larger than expected high tide, allowing it to register 4 times more units than the runner-up Hyundai Kona EV. Regarding March, the Model 3 had several 4-digit scores — in the United Kingdom (6,500 units), France (4,524), Germany (3,699), Norway (2,169), Italy (1,363), and Sweden and Austria (1,192 units each).
#2 Hyundai Kona EV — The Korean crossover is already recovering from the pull-forward stunt of the last months of 2020, something that others can’t say the same about. As a result, the Hyundai EV reached the runner-up position in February, no doubt thanks to its competitive range-vs.-price ratio. The distinctive crossover scored 5,643 deliveries last month. In March, Germany was by far the best market for the Hyundai nameplate, with 3,237 deliveries, followed by the United Kingdom (800 deliveries), France (409), and Norway (349).
#3 Volvo XC40 PHEV — The smallest of Volvo’s PHEV lineup is now the the continent’s favorite PHEV. The Swedish carmaker sees its plugin hybrid XC40, like its other PHEVs, as just another trimline in Europe, which leads to more sales. Further, it sits at the heart of the hot compact SUV category. In March, the Belgian-built Volvo scored 5,567 registrations, earning its 3rd Best Selling PHEV title in a row. The markets where the Volvo plugin was in high rotation were Sweden (1,192 units), the United Kingdom (900 units), and Germany (624 units). Without production constraints and currently experiencing strong demand, the compact Volvo is a strong candidate for the 2021 PHEV Best Seller title.
#4 Renault Zoe — The 5,482 registration number shows that the French hatchback is yet to recover from the 2020 year-end peak effort, having seen its registrations drop by two digits last month, an even more worrying event in the context of doubling sales in the European BEV market. In any case, the main markets in March were the usual, with Germany (1,692 units) leading, followed by France (1,519), while Italy (721) was a distant 3rd.
#5 Volkswagen ID.4 — Sitting in the vortex of the current hottest trends (plugins and compact crossovers/SUVs), much is expected from the new Volkswagen, especially considering that its ID.3 sibling hasn’t really set the market on fire. The ID.4 doesn’t have much margin for failure, so it was good to see it start its first real delivery month in 5th, just 500 units behind the runner-up Hyundai Kona EV. With the ID.3 currently failing to run at the same pace as the Tesla Model 3, it’s up to the ID.4 to save VW’s honor in Europe. Regarding March, the German EV had 5,104 units registered, with the biggest market being its homeland, Germany, with 872 registrations. Norway followed, with 856 units, and the United Kingdom was third, with 500.
Looking at the remaining March table, the highlights were several record performances on the table, like the #7 BMW 3 Series PHEV scoring a record 4,957 units, the #10 Peugeot 3008 PHEV hitting a record 4,243 registrations, and the veteran VW e-Up hitting a record 4,206 registrations, an amazing performance for the small EV, helping the German automaker to compensate for the slower sales of the ID.3.
Still on the subject of record performances, and highlighting the great moment Volvo is having, the XC60 PHEV scored another record score — 4,189 deliveries. That was slightly ahead of another record performer, the Peugeot 208 EV — 4,098 registrations — and #19 BMW X1 (3,876).
A mention also goes out to the Nissan Leaf. Thanks to heavy discounts of its 62 kWh version, it jumped to 8th last month, with 4,708 registrations.
Outside the top 20, a mention goes out to the Toyota RAV4 PHEV, with the Japanese automaker continuing to ramp up deliveries of its RAV4 PHEV model. The RAV4 PHEV reached 2,575 registrations last month, a new record for the Japanese SUV and the same number of units registered as the Peugeot 2008 EV (e-2008) — which is also in a slow production ramp-up. The Mini Cooper EV scored a record 3,324 registrations.
Finally, an interesting fact: if we sum all VW Golf cousins’ PHEV sales together (Seat/Cupra Leon + Skoda Octavia + Audi A3), we get almost 10,000 units, which, added to the VW Golf PHEV’s registrations, would bring that model to some 14,000 registrations. That would make it the second best selling plugin vehicle in Europe, only trailing the Tesla Model 3.
Looking at the 2021 ranking, the main news was the Tesla Model 3 shooting up to #1, with the sports sedan having almost a 20,000 unit lead over the #2 Volvo XC40 PHEV.
The remaining best sellers from last year are underperforming. The Renault Zoe is down 39% YoY, while the all-new VW ID.3 is just 12% above what the then veteran e-Golf had 12 months ago. One can already say that this second quarter will be a stroll around the park for the sports sedan from Silicon Valley, possibly securing enough advantage over the competition to allow it to manage a demand defection to the Tesla Model Y or volume surges in the competition tallies. The Model 3 is certainly now the clear favorite to win the 2021 Best Seller title in Europe.
But the Climber of the Month was the Hyundai Kona EV, which jumped 5 spots to #5. The Korean crossover is now aiming for a podium seat.
The BMW 330e also had a good month, climbing to 6th — but, year to date, the BMW midsizer has about a third of the Tesla Model 3’s sales, which says a lot about the impossible uphill battle that the future BMW i4 will have to face….
In the second half of the table, the small VW e-Up continues to climb in the ranking. It’s now in #13, just one position below another rising model, as the Ford Kuga PHEV (Euro-spec Ford Escape) jumped from #16 to #12 in March.
We had three models returning to the table in March, with the most surprising being the Nissan Leaf, up to #16. The VW Golf PHEV was up to #17 and the Mercedes A250e, last year’s best selling PHEV, jumped to #19.
Unlike the model ranking, where we already have a clear favorite, in the automaker ranking, balance is the word, with the 3 top brands separated by just 700 units. Volkswagen, Mercedes, and BMW each have 10% share. The Wolfsburg brand is currently on top, but the differences are so small that anything can happen.
Below these three we have #4 Volvo, with 8%, followed by Tesla (7%), and tied in 6th we have Peugeot and Renault, both with 6% share (Peugeot currently has a 34 unit advantaged over its arch rival).
BEV D-Segment / Midsize Category
Tesla’s midsize sedan lives in another galaxy, having created a sizable distance over the competition. It has seen its sales increase 47% over the first quarter of 2020, and it won’t have significant competition in the next few months, as the Tesla Model Y will only land in the second half of the year.
The Mercedes EQC (2,131 units last month) recovered the second spot, having surpassed the Polestar 2 in March, with the Sino-Swede now being some 400 units behind the Mercedes SUV (4,194 vs. 3,792).
So far, the only other significant midsize BEV was the Jaguar I-PACE (792 units in March), but the BMW iX3 has finally started to be delivered in volume, reaching 566 units last month. Will we see it surpass the Jaguar in the next couple of months?
BEV E/F-Segment / Full Size Category
The Audi e-tron’s domination is unquestionable, but its seemingly never ending growth seems to have finally stopped, with the Big Audi’s current 7,642 units representing an 8% sales drop year over year. Despite this, the Audi SUV seems destined to win another category title this year. With Tesla basically giving up on the Model S & X for the first half of the year, what they will recover in the second half of the year shouldn’t be enough to compensate for the drought in the first half. The #2 model, the Porsche Taycan (1,778 units last month) is too niche to go head to head with the e-tron in the sales charts.
Regarding the remaining competition, the Mercedes EQV luxury van is still in 3rd place, with 431 units, 41 more than the Audi e-tron GT. The Audi sports sedan’s production ramp-up should allow it to reach the podium soon, though, thus putting a Volkswagen Group model in 1st, 2nd, and 3rd.
Source : https://cleantechnica.com/2021/04/28/tesla-model-3-new-1-in-hot-european-market-plugin-vehicles-get-16-market-share/