CBT automotive newscast: June 23, 2022

Inside Automotive:

Dealer Matt Bowers on supply chain challenges, electrification, and Jim Farley
Many auto retail professionals were expecting the semiconductor chip and vehicle shortages to be long gone by now, but the industry is still grappling with supply chain challenges. Today on Inside Automotive, we find out how dealer Matt Bowers is navigating through these unique times. Matt is the owner of Matt Bowers Auto Group, which operates seven car dealerships representing five brands across the south. We’ll find out what Matt’s business looks like today and discuss the group’s latest acquisition of a Hyundai store in late 2021. Watch the complete segment here.

Headlines:

According to a letter obtained by Reuters, major automakers and industry suppliers asked Congress to act promptly and approve $52 billion in subsidies for American semiconductor manufacturing. The letter states the concerns of major players like Honda, Ford, Toyota, and Stellantis, which have, at different times, slowed down or stopped production because of unstable supply chain shortages and hikes in raw material prices.

Starting June 27, General Motors’ electric truck facility in Detroit will sit idle for four weeks to prepare for increases in production capacity. General Motors intends to produce the Silverado EV and GMC Sierra Denali electric pickup trucks at Factory Zero, along with the Cruise Origin ride-hail and delivery van. Production is expected to resume on July 22.

Democrats have given up on the $4,500 electric car tax credit bonus for union-made EVs as part of the Build Back Better Act, according to Democratic Senator Joe Manchin. Most automakers and state lawmakers agree that the 200,000 car cap must go, but Senator Manchin has been withholding his vote and using it to eliminate other programs from the package, including the revision of the EV tax credit.

Cars.com has released its annual American-Made Index, which ranks 95 of the best American-made vehicles on the market. Tesla took three out of the five top spots. The Model Y ranked first, followed by the Model 3 in second, and the Model X in fifth. The Lincoln Corsair and Honda Passport SUV ranked third and fourth, respectively.

News & Opinion:

The 4 best electric vehicles of 2022, according to the experts
Each year, the editors at Kelley Blue Book evaluate and test drive the latest electric cars on the market and then rank them according to consumer priorities like features, safety, car range, driving performance, cargo space, and value. In this article, we’ll take a closer look at the exceptional electric vehicles that made it to the top of four luxury and non-luxury categories. Read More

The pros and cons of an external BDC for car dealerships
Inbound phone calls are still your best low-funnel leads, so they must be handled properly. Many dealers believe their sales team should be able to handle all those incoming calls, but the fact is up to 16% of calls are never answered. And for many shoppers, having a call go to voicemail means moving on to the next dealership. When phones aren’t getting picked up, it’s time to consider outsourcing to an external BDC. Market conditions today make an external BDC even more relevant. Labor shortages have employees spread thin. When faced between a belly-to-belly customer and one on the phone, the caller always comes second. Outbound call campaigns are often pushed off altogether. Read More

Did you enjoy this automotive newscast? Read other articles on CBT News here. Please share your thoughts, comments, or questions regarding this topic by submitting a letter to the editor here, or connect with us at newsroom@cbtnews.com.