Earlier this week: CDK Global outage set to hit AutoNation and Sonic Automotive hardest in Q2 earnings. The U.S. Commerce Department is set to issue proposed rules on connected vehicles next month. Penske Automotive Group acquired Bill Brown Ford in Livonia, Michigan, the world’s largest sales volume Ford dealership. Car prices drop as interest rates may follow: Tips for buying new and used vehicles. Stellantis is preparing to launch several new electric vehicle models this year. Federal monitor reports pervasive culture of fear and slow reforms at UAW. According to the Cox Automotive/Moody’s Analytics Affordability Index, new vehicle affordability experienced a slight decline in June.
Here’s a closer look at these top stories and more headlines to stay on top of this week’s automotive industry news.
1. CDK Global outage set to hit AutoNation and Sonic Automotive hardest in Q2 earnings
According to analysts, AutoNation and Sonic Automotive are expected to be the most affected by the recent CDK Global outage in their second-quarter earnings. Both dealership groups, ranked second and sixth largest in the U.S., rely entirely on CDK’s dealer management system (DMS). Read More
2. U.S. Commerce Department to propose rules on connected vehicles & limit Chinese software
The U.S. Commerce Department is set to issue proposed rules on connected vehicles next month, targeting key software components made in China and other countries deemed adversaries. On Tuesday, Alan Estevez, the department’s export controls chief, announced that the focus will be on critical components managing vehicle software and data, which will need to be produced in allied countries.
3. Penske Automotive acquires world’s largest Ford dealership, Bill Brown Ford
On July 15, Penske Automotive Group acquired Bill Brown Ford in Livonia, Michigan, the world’s largest sales volume Ford dealership. This acquisition is expected to add $550 million in annual revenue for Penske. The deal also includes a used vehicle facility, a fleet maintenance center, and a collision center. Read More
4. EVs prove cheaper to own than gas cars over five years despite high initial costs
Consumers worry about the high price of electric vehicles (EVs), but EVs cost less to own than similar gas-powered cars over five years in nearly every region of the U.S., according to a detailed analysis conducted by automotive research firm J.D. Power. Read More
5. Elon Musk fully endorses Trump after rally shooting incident
Elon Musk announced his “full” endorsement of Donald Trump moments after the former president was rushed off stage by Secret Service members following gunshots at a rally in Pennsylvania on Saturday. Trump, who is the presumptive Republican nominee, was taken to a local medical facility where he is receiving care. His spokesman stated that Trump “will be fine,” despite having what appeared to be blood on the side of his head and ear. Read More
6. Federal monitor reports pervasive culture of fear and slow reforms at UAW
According to a new report from the federal monitor overseeing the United Auto Workers (UAW) union, the union remains plagued by a culture of fear and retribution and has been slow to implement critical reforms. Read More
7. New vehicle affordability sees slight decline in June despite rising incomes
According to the Cox Automotive/Moody’s Analytics Affordability Index, new vehicle affordability experienced a slight decline in June. Dealers and manufacturers were less aggressive with pricing due to widespread software disruptions, according to Cox Automotive Chief Economist Jonathan Smoke. Read More
8. Elevating F&I performance through consistent training and servant leadership – Adam Marburger
Welcome to Training Camp with Adam Marburger, exclusively on CBT News. In an industry where margin compression is a constant challenge, consistent training and mentorship are vital to enhancing the customer buying experience and boosting dealership profitability. Join Marburger, a seasoned F&I professional and martial arts expert, as he shares strategies and insights to transform your F&I operations. Watch the full segment here.
9. Navigating affordability and consumer resilience: Insights from Urban Science’s 2024 Harris Poll Study – Eric DeMont
In the ever-evolving automotive landscape, understanding car buyers’ intricate behaviors and sentiments is paramount for dealers striving to stay ahead. Joining us on today’s episode of Driving Solutions with insights derived from Urban Science’s 2024 Harris Poll study and analysis is Eric DeMont, Global Practice Director at Urban Science. Watch the full segment here.
10. How rising insurance rates are impacting vehicle ownership – Tim Jackson
The cost of vehicle ownership is on the rise, and one key factor is insurance rates. On today’s episode of Inside Automotive, Tim Jackson, the Former President and CEO of the Colorado Automobile Dealers Association, will once again join us to share his thoughts and discuss the industry’s impact. Watch the full segment here.
