Industry

Mercedes-Benz has confirmed a smaller version of the G-Class will be built exclusively at its Kecskemet plant in Hungary, part of a 1 billion euro (about $1.09 billion) expansion that will make Kecskemet the automaker's largest European factory, with the compact G-Class due to start production in 2027 as an EV with a hybrid variant added later.

Porsche is preparing another round of restructuring as Chinese sales fall, US tariffs bite and EV demand slows, with Reuters reporting plans to raise total job cuts to about 9,000 positions by 2035 while the company refocuses on the 911 and premium SUVs and works more closely with Audi to cut costs.

Volkswagen Commercial Vehicles considered a range-extender version of the ID. Buzz, adding a small combustion engine to generate electricity and cut dependence on charging stations, but the MEB platform's short front overhang left no space for it without an expensive redesign, so the van stays fully electric.

Ford's Universal EV Platform will use Apple Maps as its built-in navigation system, with range-aware routing and charging-stop planning. The first model, a mid-size electric pickup around $30,000, arrives in 2027. Apple Maps data will also feed Ford's next-generation BlueCruise.

Ford and Geely Auto have signed a 66/34 joint venture to build EVs at Ford's Valencia plant in Spain, confirming and reshaping the informal deal first rumored in May 2026. The venture adds a Bronco-family SUV, a new Ford crossover, and two Geely electric SUVs from 2028; specific Geely models and full powertrain splits remain unconfirmed.

In the ACSI 2026 automobile study, mass-market and luxury brands finished level at 78 points out of 100, and Toyota led the whole industry with 83. Mercedes-Benz was the best luxury brand at 81, while Cadillac fell 15% to last place on 69 and Lexus dropped 10% to 78.

Ford CEO Jim Farley says the company's benchmark factories today are in Mexico and China rather than the US, pointing to stronger process discipline and line-level problem solving, while crediting UAW-staffed US plants with real progress that helped Ford rank first among mass-market brands in J.D. Power's 2026 initial quality study.

Geely has unveiled the Thunder 16-in-1 Intelligent E-Drive, a compact electric drive unit that folds 12 hardware components and 4 control systems into one module. The company says it reaches 93.8% efficiency, among the best figures for a production e-drive, while cutting part count by more than 180 and bringing unit weight down to 75 kg. The unit has already debuted on the Geely Galaxy TT Ultra.

Volvo global sales fell 8 percent in the first half of 2026 to 324,800 cars, but CEO Hakan Samuelsson says the company's most ambitious product plan yet is set to turn that around, starting with the new EX60 electric SUV and a record-demand EX90 flagship, with a strategy reveal and electric successors to the S60 and V60 due later this year.

BYD appointed Peter Szijjarto, Hungary's former foreign and trade minister, to lead external relations and new business development as the Chinese automaker scales up its European operations.

China shipped 1.037 million vehicles abroad in June 2026, the first time monthly exports have passed 1 million, according to CAAM data - up 75.1% year on year. NEV exports reached 523,000 for the month, also a record, as exports offset a 13.4% drop in domestic NEV sales in the first half.

Volkswagen Group, Mercedes-Benz, BMW and Porsche all lost China sales in Q2 2026, led by a 36.6% drop for VW Group and 28% for Porsche, as buyers shift to faster-moving domestic EV brands.

Hainan, a Chinese island province of about 10 million people, has restated its plan to end sales of new petrol cars by 2030 - a target first floated in 2020 and formalized in 2022. Private buyers will be required to choose a new-energy vehicle; public and commercial fleets face a 100% clean-energy rule, excluding special-purpose vehicles. No other Chinese province has set a comparable hard date.

Oliver Blume told staff in an internal memo that Volkswagen Group may need to cut 50,000 more jobs on top of the 50,000 already agreed, potentially reaching 100,000 total. He cited costs roughly 20% above competitors, weak China sales, US tariffs, and underused European plants.

From 7 July 2026, every new car and van registered in the EU must carry a camera-based system that tracks the driver's gaze and warns them when they look away from the road for too long. New model types have had it since 2024. This deadline catches the older models still in production.

Ford expects to collect $1.3 billion back after the Supreme Court struck down the IEEPA tariffs. A proposed class action argues that the buyers who paid the tariff-inflated prices are owed a share, and that keeping both would be a windfall.

Slate Auto has confirmed it will not sell its sub-$25,000 electric pickup or SUV conversion in Canada. The company has not given an official reason, but a 25% retaliatory tariff on US-built cars would push the truck's Canadian price to roughly $44,500 CAD ($31,100 equivalent before conversion), undercutting the model's entire value pitch.

China has approved new rules requiring physical buttons or switches for safety-related vehicle controls, reversing the touchscreen-only trend led by Tesla and Chinese EV makers. The rules take effect July 1, 2027.

Volkswagen Group wants to cut its roughly 150 model lines by up to 50% and trim configuration options by up to 75%, while lowering annual production capacity to 9 million cars from a pre-pandemic target of 12 million. The Touareg, Touran, and T-Roc Cabriolet are among the models already leaving.

After the Connected Vehicles Rule blocked future US sales, Polestar is discounting its remaining 2026 inventory - up to $25,000 off the Polestar 4 and $23,000 off the Polestar 3 for cash buyers, with 0% APR financing and leases from $399 a month.