Tag Archives: Pickups

Ford Recalls Nearly 185K F-150s

Ford announced it’s recalling almost 185,000 F-150 full-size pickups. The 2021 and 2022 model-year trucks are experiencing driveshaft problems that could cause it to fracture.

All-new F-150
Ford is recalling nearly 185,000 F-150 pickups from the 2021 and 2022 model years.

The issue only affects certain F-150 Crew Cab 4×4 pickups, according to the filing with the National Highway Traffic Safety Administration. The company’s began examining the issue since July.

The truck’s underbody thermal/acoustic insulators can loosen over time. If they come in contact with the truck’s aluminum driveshaft, they can cause scoring or marks. If this goes on long enough, the heat generated each time can eventually crack the driveshaft.

Potential results if the issue is not repaired

“A fractured driveshaft may result in loss of motive power,” the report states, “unintended vehicle movement while the vehicle is in park if the parking brake is not applied, and may result in secondary damage to surrounding components.”

Additionally, once fractured, the driveshaft could break loose and touch the ground, causing the driver to lose control of the pickup, potentially resulting in a crash. The company is unaware of any accidents or injuries caused by the problem.

2021 Ford F-150 - at work site

Some Ford F-150 pickups are facing issues with the aluminum driveshaft on the truck.

Owners are advised to look for a “loose underbody insulator.” They should also listen for a rattling, clicking or clunking noise due to the loose insulator coming in contact with the driveshaft. The scoring or marking on the driveshaft described earlier may also be visible.

Next steps

Ford’s taken steps to resolve the problem during production by swapping the underbody thermal acoustic insulator for an under-carpet thermal patch at the two plants — Dearborn (MI) Truck and Kansas City (KS) Assembly — already.

Dealers received the notice Tuesday, and owners will begin receiving notices in the mail shortly. They will be instructed to make an appointment with their dealer to have “positive attachment features adde to the underbody insulators.”

They’ll also inspect the driveshaft for scoring or marks that may have already occurred. This will be done at no expense to the truck owner.

As of Dec. 7, Ford received 27 reports of fractured aluminum driveshafts possibly related to sagging underbody insulators on the F-150s, the automaker said in an Automotive News report.

NHTSA Investigating Ram’s Diesel Pickups

<img data-attachment-id="1776420" data-permalink="https://www.thetruthaboutcars.com/2021/10/nhtsa-investigating-rams-diesel-pickups/2019-ram-2500-hd/" data-orig-file="http://lntransportation.net/wp-content/uploads/2021/10/nhtsa-investigating-rams-diesel-pickups-5.png" data-orig-size="1420,937" data-comments-opened="1" data-image-meta="{"aperture":"0","credit":"","camera":"","caption":"","created_timestamp":"0","copyright":"","focal_length":"0","iso":"0","shutter_speed":"0","title":"","orientation":"0"}" data-image-title="2019 Ram 2500 HD" data-image-description="

Ram

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The National Highway Traffic Safety Administration has opened an investigation into nearly 605,000 heavy-duty Ram trucks. A report from the regulator’s Office of Defects Investigation has tabulated 22 complaints from the 2019 and 2020 model years, all of which use 6.7-liter Cummins turbo diesel engines, spurring the NHTSA to launch a formal investigation. Complaints revolve around loss of motive power, with most incidents occurring above 25 mph and resulting in the “permanent disablement of the vehicle.”

While the public was not made aware of the investigation until Monday, the agency launched its probe last Thursday on October 14th. The goal will be to establish how widespread the presumed defect is, what exactly caused it, and any potential safety hazards relating to the issue. Some headway has already been made, however. 

Back in 2019, Fiat Chrysler Automobiles (now Stellantis) issued Warranty Bulletin D-19-02 to dealers. The memo requested stores participate in a campaign to “collect, monitor and correct quality issues” on certain MY 2018-2020 Ram trucks equipped with the 6.7-liter Cummins. The NHTSA’s action summary states that this resulted in FCA and an unnamed supplier collecting and inspecting high-pressure fuel pumps.

Vehicles under suspicion include all Ram 2500, 3500, 4500, and 5500 HD pickups from the 2019-2020 MY. The NHTSA plans on looking into the trucks to determine whether or not it needs to press Stellantis to launch a recall. That means asking the manufacturer to give its take on the situation while it compiles warranty claims, injury reports, and whatever FCA previously had on those suspect fuel pumps.

Regulators have been incredibly hard on diesel vehicles ever since Volkswagen’s emissions scandal upended the industry in 2015. While a part of me wants to believe the NHTSA just has it out for Ram’s HD lineup (since a few have asked), it seems far more plausible that this was a standard, shrug-your-shoulders defect. Selective environmental regulations have made diesels cost more as they’ve gradually amassed a bevy of pollutant controlling hardware while also complicating powertrains to a point that has lessened their overall effectiveness. But the impact this has had on their reliability is less obvious and may have nothing to do with a bunch of subpar fuel pumps.

Let’s face it, U.S. regulators haven’t been shy about hitting manufacturers with emissions-focused recalls backed by the Environmental Protection Agency and/or California Air Resources Board in the past. If they wanted to chide Cummins or FCA/Stellantis over pollution, they could have done so overtly.

Stellantis has said it plans on cooperating with the NHTSA fully, launching an investigation of its own for good measure. So we should have some answers soon, including the name of the supplier. In the meantime, you might want to keep a closer eye on how your HD Ram is running if it falls under the purview of the investigation.

[Image: Stellantis]

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GMC Canyon AT4 OVRLANDX Off-Road Concept

<img data-attachment-id="1772618" data-permalink="https://www.thetruthaboutcars.com/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept/revealed-today-at-overland-expo-mountain-west-the-gmc-canyon-at-3/" data-orig-file="https://www.thetruthaboutcars.com/wp-content/uploads/2021/08/GMC-Canyon-AT4-OVRLANDX-Concept-005.jpg" data-orig-size="5700,3800" data-comments-opened="1" data-image-meta="{"aperture":"4","credit":"","camera":"Canon EOS 5DS","caption":"Revealed today at Overland Expo Mountain West, the GMC Canyon AT4 OVRLANDX concept elevates Canyon\u2019s capability while exploring GMC\u2019s vision for the nameplate\u2019s future. Designed for the premium overlanding enthusiast, the concept vehicle shows how Canyon could be customized for ambitious off-road adventures.","created_timestamp":"1627949812","copyright":"","focal_length":"58","iso":"400","shutter_speed":"0.0025","title":"Revealed today at Overland Expo Mountain West, the GMC Canyon AT","orientation":"1"}" data-image-title="Revealed today at Overland Expo Mountain West, the GMC Canyon AT4" data-image-description="

GMC

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GMC introduced an interesting concept at Colorado’s Overland Expo Mountain West 2021 this week and the timing couldn’t have been better. While North America has always appreciated off-road vehicles, there’s been an overnight explosion in the number of people considering 4×4 adventuring as a hobby. Troubled times have encouraged individuals to embrace the kind of cars that can tackle any terrain while doubling as a mobile campsite, and the Canyon AT4 OVRLANDX Off-Road Concept certainly seems capable.

Although the hypothetical production model probably has a better chance of becoming canvases for online influences than carrying anybody through a genuine disaster. This is something GMC likewise appears hip to, as the whole point of the concept SUV is to show what can be done with the Canyon, a little creativity, and a wad of cash reserved for aftermarket accessories. 

<img data-attachment-id="1772616" data-permalink="https://www.thetruthaboutcars.com/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept/revealed-today-at-overland-expo-mountain-west-the-gmc-canyon-at-2/" data-orig-file="https://www.thetruthaboutcars.com/wp-content/uploads/2021/08/GMC-Canyon-AT4-OVRLANDX-Concept-004.jpg" data-orig-size="5700,3800" data-comments-opened="1" data-image-meta="{"aperture":"6.3","credit":"","camera":"ILCE-7RM4","caption":"Revealed today at Overland Expo Mountain West, the GMC Canyon AT4 OVRLANDX concept elevates Canyon\u2019s capability while exploring GMC\u2019s vision for the nameplate\u2019s future. Designed for the premium overlanding enthusiast, the concept vehicle shows how Canyon could be customized for ambitious off-road adventures.","created_timestamp":"1629308345","copyright":"","focal_length":"47","iso":"400","shutter_speed":"0.00125","title":"Revealed today at Overland Expo Mountain West, the GMC Canyon AT","orientation":"1"}" data-image-title="Revealed today at Overland Expo Mountain West, the GMC Canyon AT" data-image-description="

GMC

” data-medium-file=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-11.jpg” data-large-file=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-1.jpg” class=”aligncenter size-large wp-image-1772616″ src=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-1.jpg” alt width=”610″ height=”407″ srcset=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-1.jpg 610w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-10.jpg 75w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-11.jpg 450w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-12.jpg 768w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-13.jpg 120w” sizes=”(max-width: 610px) 100vw, 610px”>

While the pickup starts at $28,000, the OVRLANDX Off-Road Concept defaults to the 3.6-liter V6 that’s standard on the AT4 variant (MSRP $40,195, including destination). Considering the base model is still pretty large for a “midsize” pickup and comes with an anemic 2.5-liter, the decision to go with the 308-hp V6 makes sense. Ditto for sticking with the AT4, which is effectively a budget version of the off-road-friendly Chevrolet Colorado ZR2. However, the torque-rich 2.8-liter Duramax diesel (181 hp/368 lb-ft of torque) would have been a similarly good fit, if not better for overlanders interested in maximizing their fuel economy and towing proficiency.

“We wanted to showcase GMC Canyon with this concept and punctuate GMC’s commitment to premium, off-road capable vehicles. Consumer reaction to this concept’s design will help us further serve the growing market of buyers leading authentic outdoor lifestyles,” said Buick and GMC Global Vice President Duncan Aldred upon the concept’s introduction.

But what kind of items does one require if you’re interested in leading an “authentic outdoor lifestyle?”

According to GMC, a factory-lifted, extra-wide, off-road chassis with enhanced underbody coverage is the place to start. Then they add rocker panel protectors, cast-iron control arms, Multimatic DSSV dampers, and upgraded front bumper with a winch, some integrated recovery points, electronic locking differentials, wheel flares, a swivel mount for the full-size spare tire you’ll be needing, and guylines to protect your windshield from branch attacks.

Minus the tree protection, which doesn’t look as though it would stop anything more serious than a twig, the resulting package seems like a competent off-road vehicle and the AT4 was already a solid place to start. GMC said the OVRLANDX Off-Road Concept yields a 27.7-degree approach angle and a full 10 inches of ground clearance thanks to the 33-inch BFGoodrich KM3 Mud-Terrain tires on 17-inch AEV Crestone wheels. It’s also supposed to be able to make it through over 32 inches of standing water thanks to its custom snorkel intake.

It sounds pretty good. But remember this isn’t a real product, just a vehicle the manufacturer hopes you’ll try to recreate with your own GMC Canyon. And the brand had plenty of recommendations for roof-mounted tents, solar panels, places to affix jerry cans or traction boards, and just about every other item one might want when camping in or driving through an untamed environment.

<img data-attachment-id="1772620" data-permalink="https://www.thetruthaboutcars.com/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept/with-over-20-premium-off-roading-features-the-gmc-canyon-at4-ov/" data-orig-file="https://www.thetruthaboutcars.com/wp-content/uploads/2021/08/GMC-Canyon-AT4-OVRLANDX-Concept-007.jpg" data-orig-size="5700,3800" data-comments-opened="1" data-image-meta="{"aperture":"4","credit":"","camera":"Canon EOS R5","caption":"With over 20 premium off-roading features, the GMC Canyon AT4 OVRLANDX concept was designed to be everything an overlanding enthusiast needs. Confident capability comes from features like the truck\u2019s heavy-duty front bumper with winch, front and rear electronic locking differentials, and 33-inch BFGoodrich KM3 Mud-Terrain tires, enabling a 27.7-degree approach angle and 10.0 inches of ground clearance. For longer adventures, drivers could enjoy the convenience of features like a camp kitchen, topper-mounted tent and truck bed storage system.","created_timestamp":"1627950510","copyright":"","focal_length":"39","iso":"100","shutter_speed":"0.016666666666667","title":"With over 20 premium off-roading features, the GMC Canyon AT4 OV","orientation":"1"}" data-image-title="With over 20 premium off-roading features, the GMC Canyon AT4 OV" data-image-description="

GMC

” data-medium-file=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-23.jpg” data-large-file=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-4.jpg” class=”aligncenter size-large wp-image-1772620″ src=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-4.jpg” alt width=”610″ height=”407″ srcset=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-4.jpg 610w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-22.jpg 75w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-23.jpg 450w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-24.jpg 768w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-25.jpg 120w” sizes=”(max-width: 610px) 100vw, 610px”>

If you’re wondering why the Caynon and not something larger, like the Sierra, it’s all down to the demographics. The smaller of the two pickups is helping GMC rake in new customers, specifically younger adults who are the most inclined to build their truck up into an end-times 4×4. This Canyon AT4 OVRLANDX Off-Road Concept is simply a template for them to use in a bid to procure more sales and it certainly seems to have done its job.

It’s not going to get everyone, particularly those who are seeking longer-term solutions to vehicular living or a tiny home on wheels. But it’s bound to get the creative juices flowing for someone interested in driving to remote destinations without relying on the surrounding infrastructure more than absolutely necessary — perhaps netting the Caynon a few more sales in the process.

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GMC

” data-medium-file=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-27.jpg” data-large-file=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-5.jpg” class=”aligncenter size-large wp-image-1772614″ src=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-5.jpg” alt width=”610″ height=”407″ srcset=”http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-5.jpg 610w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-26.jpg 75w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-27.jpg 450w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-28.jpg 768w, http://lntransportation.net/wp-content/uploads/2021/08/gmc-canyon-at4-ovrlandx-off-road-concept-29.jpg 120w” sizes=”(max-width: 610px) 100vw, 610px”>

[Images: GMC]

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Q&A: Green Car Pioneer Ron Cogan Offers Sage Insights

Green Car Journal Publisher Ron Cogan at the 2020 Green Car Awards. He’s been covering the shift to environmentally friendly vehicles for three decades.

The automobile has transformed we live, work and play. Unfortunately, it’s also had a seriously detrimental impact on Planet Earth. And now, as it becomes more crucial to address issues like climate change, the automobile is in the crosshairs.

That’s a message many have come to just lately. Not Ron Cogan. The veteran automotive journalist was among the first to recognize the need to clean up the car, in 1992 launching Green Car Journal. Where some have focused exclusively on electrified vehicles, pure battery-electric models, in particular, Cogan and his magazine have looked at all the various green car technologies that have come — and, in many cases, gone — during the past three decades.

The latest issue of Green Car Journal focuses specifically on battery-electric vehicles. But, as is Cogan’s style, it takes a pragmatic, even somewhat skeptical, look at this potentially game-changing technology, recognizing there are still many challenges to be overcome before BEVs can clearly replace the time-tested internal combustion engine.

Cogan spoke to TheDetroitBureau.com about his years covering the green car world and what he sees coming in the years ahead.

Cogan’s enjoyed a front-row seat, watching and writing about the shift from ICE-powered vehicles to electrified models in the U.S.

TheDetroitBureau: These days, everyone is writing about electric vehicles but you’ve been at this for a long time, haven’t you? And don’t you take something of a broader look when it comes to environmentally friendly vehicles?

Ron Cogan: Green Car Journal, which launched in 1992, has been all about options, everything that’s happening in the green space, whether it’s methanol, ethanol and natural gas, even high fuel-efficiency gasoline. Now, there’s a huge push towards electrification. It wasn’t our call to tell people what to drive. With our 30th birthday coming up we wanted to let people read different opinions from industry leaders.

TDB: We now have General Motors CEO Mary Barra setting a transition to all-electric vehicles and announcing a second battery plant. Is this the year of the tipping point for battery-electric vehicles?

Cogan: I would agree there’s a tipping point going on in the sense that there’s a major commitment by a lot of automakers. It’s gone beyond lip service. For the industry, the tipping point is here. The question is whether it is a consumer tipping point yet. Only so many people are willing to step up to pure electric vehicles. More see a hybrid as the way to go because it’s so seamless, and some to plug-in hybrids. But have we reached a tipping point for consumers? I’m not so sure.

Cogan notes that hybrids provide a level of convenience that pure EVs cannot.

TDB: Yet BEVs do seem to be gaining a lot of momentum.

Cogan: Well, the range issues is being overcome to a large degree, But even with 250 miles, on a long trip you have to plan ahead (to find places to charge), which is why I think plug-in hybrids are going to be pretty huge. When you can’t plug in you’re not limited, so I think that category is really going to expand. With a plug-in you can do everyday driving in electric but switch to internal combustion when you have to go farther. I think it’s a win-win. And it will get more people into buying electric vehicles.

TDB: I find that the best way to promote electric vehicles is to get people into electric vehicles. They’re often surprised by the performance, for one thing.

Cogan: Yeah, today’s electric vehicles are pretty amazing given what they offer — everything a combustion vehicle can offer and more. The launch in an electric vehicle can be pretty exciting and some companies, like Tesla, are keying in on that, talking about how they can beat a Ferrari on track and all that. I think that’s surprising a lot of people.

Cogan is quick to note that EVs are not the only way to improve the efficiency of vehicles. His publication’s honored several diesels.

TDB: I have more and more people asking if this is the right time to buy an electric vehicle. Many worry that, like with an iPhone, if they buy today something better will soon come out and they’ll regret it. What would you tell them?

Cogan: The technology, the range, all of that will improve over time, as will the cost which will continue to go down incrementally. So, it’s a tough question. If you find the right vehicle that appeals to you, it makes sense, go ahead and buy the vehicle. There are some great choices out there now and there are going to be more coming up. The jump to 250 miles (which most new BEVs are offering) is huge and there are going to be more and more charging stations coming online. True, the nature of it is that there’s always going to be something better. But do you never buy an electric vehicle because of that?

TDB: Doesn’t that make an argument for leasing, rather than buying? You can move to something newer and better in a few years — and not worry about trade-in values.

Cogan: I think leasing is the ideal way to go with electric vehicles. It means you don’t have to take as much of a risk. You know what your payments are. You know when you’re going to turn it in. And then, you can move on to the next generation of electric vehicles. Leasing takes the risk out.

Green Car Publisher Ron Cogan, Chevy Marketing Director Steve Mojoras and the 2016 Volt, which was honored by the Green Car Awards.

TDB: Let’s talk about batteries — in particular, next-generation batteries. Honda, Ford and others are all talking about solid-state batteries (which supposedly will be lighter, deliver longer range and shorter charging times and even reduce the risk of fire). Are they real? And will they live up to expectations?

Cogan: It seems that if solid-state comes close to all the promises it would put BEVs over the top, making all the difference in the world. Solid-state, from what we hear, is the ideal technology.

TDB: What would you estimate will be the BEV share of the market by 2030? And could it be even bigger than people are forecasting now?

Cogan: It’s tough to make a prediction, and I try to avoid that. But automakers and other interests are pushing for them and there’s a lot of interest in setting up a nationwide rapid charging network. All of that takes us in the direction where we know there’s going to be significantly more electric vehicles sold by then. But many things could influence the fate of gasoline vehicles. How’s the price of gas? If gas prices stay low there’ll be less incentive for electric vehicles. Technology will influence things. A recession could, as well. Legislation clearly will have an influence, especially if it’s a disincentive to drive on gasoline.

Honda has been at the forefront of fuel-cell vehicles with the Clarity.

TDB: On the subject of politics, the Biden administration wants to have 500,000 charging stations in place by 2030. Could that mean a faster growth rate for electric?

Cogan: If we get the range to drive on battery like you would on gasoline and you have a network of rapid chargers, suddenly, your functionality is increased exponentially. But there’s no way yet to know if the government is going to create (that public charging network). Administrations change. Agendas change. So, I don’t put stock into what you can count on as far as legislation matters.

TDB: But the Biden administration is clearly making a lot of proposals to promote electric vehicles. Do you like what you’re seeing?

Cogan: Yeah, as far as I can tell. I mean, we’re going to see how this all unfolds. This administration has a more proactive agenda for environmental issues in general and clean cars, specifically, than the previous administration. But I have to say you can’t always count on that. Back under the Obama administration, he wanted a million electric vehicles by 2015. It was never going to happen because there weren’t enough vehicles to make it happen. (But) I look at all of these things (Biden is proposing) as positive … a direction that seems to make sense for electrified vehicles.

Cogan drove a GM EV1 for a full year.

TDB: You started publishing Green Car Journal in 1992. Looking back on the last three decades, what were biggest surprises, the things you didn’t count on early on?

Cogan: One of the milestones was the debut of the GM Impact prototype and then the actual production of the GM EV1, I drove one of those for a year. It was an amazing car to be in on the evolution of electric vehicles. It was also interesting to note how hydrogen was big and then (see automakers) backpedaling, Now they’re interested in hydrogen again. It’s gaining momentum again.

One of the (other) things that surprises me is that we’re seeing such a push for electrification, at the extreme high end of both luxury vehicles and sports cars and exotics.

 

TDB: To wrap up, is the age of the internal combustion engine coming to an end?

Cogan: I don’t think you can discount internal combustion because it keeps getting better and better. And I don’t think you can discount hybrids and plug-in hybrids and focus just on battery-electric vehicles. Those are all a big part of the solution. It may have narrowed from when we started publishing. It’s no longer really about ethanol and natural gas and propane. It’s really about electrification and significantly more efficient internal combustion engines — and a combination of the two. It’s going to be even more exciting in the years ahead seeing how it will play out.


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“Zoom Zombies” Are the Driving Dead

Zoom call

Too many of these could turn you into a zombie if you have to climb behind the wheel afterward.

If you’re one of the millions of Americans who have been working from home and spending hours a day in video meetings you might notice it can become difficult pulling your thoughts back together at the end of the day. And if you then have to climb behind the wheel that could prove deadly.

A new study raises concerns about “Zoom Zombies,” motorists who can’t fully focus on the road ahead after a day of videoconferencing. This may be one of the reasons why in 2020 U.S. highway deaths posted their biggest year-over-year increase in nearly a century.

“COVID-19 fundamentally changed the way we interact with our vehicles,” said David Timm, founder and CEO of Root Insurance, which raised concerns about Zoom Zombies in its annual Distracted Driving Awareness Survey. “As many abruptly shifted to a virtual environment, Americans’ reliance on technology dramatically increased along with their screen time, causing a majority of drivers to carry this distracted behavior into their vehicles.”

Covid-19 and the distracted driving pandemic

rollover crash

NHTSA estimates that more than 10% of highway deaths stem from distracted driving.

Distracted driving has become an increasingly serious problem as more and more motorists interact with smartphones and other technology while behind the wheel. Even before the COVID pandemic, the National Highway Traffic Safety Administration estimated that more than 10% of highway fatalities involved distracted driving. Preliminary analysis suggests that has gone up since last year’s lockdowns began.

The Roots study found 64% of the U.S. motorists it surveyed acknowledging they check their phones while driving. That’s up 2% from last year, and 6% from the 2019 Distracted Driving Awareness Survey. Meanwhile, 53% of the respondents said they check their phones within the first 15 minutes behind the wheel — a 9% jump from 2019 — when they should be trying to shift focus to driving.

Add the fact that drivers are downplaying the risks. The study found three in 10 drivers don’t see the risk of driving while using a mobile phone. That’s up from 24% just a year ago.

But the study raised another concern: even when motorists aren’t texting or chatting on their phones, they still might not be paying full attention to the job of driving.

Lexus Driving Disrupted distracted drivers

Younger drivers are more likely to have trouble concentrating on the road after engaging in some sort of video conference call.

The younger the driver, the worse the problem

Root reports that 54% of the 1,819 adult motorists it surveyed have had trouble concentrating on the road after making videoconference calls with Zoom, Microsoft Meet or some other software platform. The younger the driver, the worse the problem. For Gen Z motorists, 65% reported losing focus while driving, while it was 61% for millennials and 48% for Gen-Xers.

“The problem with distraction is huge and it’s not just checking e-mail or texting,” said Russ Rader, an executive with the Insurance Institute for Highway Safety. “There’s the risk of cognitive distraction, looking at the road while your thoughts are elsewhere. That zoning out may mean you don’t notice a dangerous situation soon enough to react.”

Whether you call them “Zoom Zombies” or “Zoombies,” the problem has gained widespread attention, and concern — especially when it comes to driving.

If it appears drivers has seemingly forgotten how to drive as pandemic-related restrictions eased, it’s because, well, they have.

“I think computer use, in general, can overload you,” especially after a series of videoconference meetings, said Joan Claybrook, a former NHTSA administrator and longtime auto safety advocate. “After you get into your car you may be operating on auto pilot.”

Driving skills have atrophied

That’s all the worse as we emerge from the pandemic, experts told TheDetroitBureau.com. During the last 12 months, most Americans have been driving less and even as roadways begin to look more crowded, “driving skills have atrophied for many people,” warns Sam Abuelsamid, principal auto analyst with Guidehouse Insights.

“It’s become harder to drive safely because you’re going to forget some of the skills you learned over time,” added Abuelsamid. “It’s not as easy as just jumping back on a bike.”

While he believes Zoom fatigue is “likely a contributor to the increase in highway fatalities,” how much it contributes is uncertain. What’s clear is that highway fatalities soared in 2020, even as motorists slashed the number of miles they drove.

Record surge in fatalities

Preliminary data indicated as many as 42,060 Americans were killed in motor vehicle crashes last year, the National Safety Council reported last month. That was an 8% increase from 2019. That surge occurred even though Americans drove a total of 2.83 trillion miles in 2020. That was a 13.2% decrease from the year before, marking the lowest level of driving by American motorists in two decades, reported the U.S. Federal Highway Authority.

Traffic fatalities rose in 2020, rising 8%, but the death rate, the number of deaths per miles driven, jumped 24% compared with 2019.

So, on a per mile basis, the death rate surged by 24% in 2020, the biggest year-over-year increase since 1924.

Why does “Zooming” take so much out of people? It’s not like sitting around a table for an in-person meeting. Key visual cues are absent, such as body language, while others can overwhelm, according to psychologist Sharon Parker, director of the Centre for Transformative Work Design.

They tend to be sharply focused, without the normal chit-chat and other interactions that come before — sometimes during — and after in-person meetings, Parker wrote. One result: participants come away struggling to interpret what actually happened rather than transferring attention to what comes next.

And that may extend beyond the work day to when you’re behind the wheel and should be focusing on the road ahead.


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Q&A: Unite Digital Chief Strategy Officer Dave Zuchowski

Unite Digital’s Dave Zuchowski offered insight into the future of automotive retailing during his session with TheDetroitBureau.

Since the very earliest days of the auto industry, motorists have shopped for cars much the same way as they do today. Or, at least, how they did until the COVID pandemic struck. During the past 12 months there’s been a massive shift to online shopping and few expect to see a return to the previous “norm.”

That’s setting in motion a dramatic transformation on the retail side of the business, starting with what dealers do and how they make money. It’s also expected to bring a sharp decline in the number of dealers serving the U.S. market, with perhaps 30% of today’s retailers closing shop or selling out to chains like AutoNation in the not-too-distant future, says Dave Zuchowski.

Zuchowski has spent four decades in the auto business, including a run as CEO of Hyundai Motor America. After a few years working as a consultant, Zuchowski took a new assignment last year, signing on as the chief strategy officer for Unite Digital, a startup that works with dealers on the challenges of working in a digital retail environment. He spoke to TheDetroitBureau.com about what he sees coming in the new world of automotive retailing.

Impact of the internet

Shopping online rose during the pandemic, and is likely here to stay.

TheDetroitBureau.com: We see more and more car buyers going online, whether to do their homework or to complete a purchase. What are the challenges for dealers?

Zuchowski: Inertia is a huge issue. Dealers are resistant to change because it’s a high-dollar, top-line business. If all else fails, revenue cures a lot of evils. So, they’re very reluctant to change because what they’ve had has worked for a very long time. They’re very reluctant to walk away from what worked and that, to me, is the biggest problem. (But) what really matters is what the consumer wants and the biggest change is that they’re not putting up with what we put up with all these years.

TDB: COVID clearly sped up change on the retail side, didn’t it?

Zuchowski: You have all the overlying conditions (for change) and what happened is that dealers reported record profits in the midst of the pandemic. They went through the process, line by line, and they renegotiated costs. They consolidated jobs and responsibilities. They cut back on inventory. They flattened and streamlined the organization. That happens in a downturn. But what surprised everybody was that consumers really turned out to like shopping at home, having a single point of contact and contactless delivery and concierge services, all the things that came out of necessity.

Dealers saw marketing and inventory costs come down and that let them have very targeted, customized marketing campaigns rather than broad-based campaigns that are extremely expensive and pressure margins and do bad things. They went from a supply-side model to a demand-side model. And they realized that though volume went down, margins came back up. People are willing to pay more for that personal touch, even as expenses go down. Dealers have done this before when the economy goes down. The difference is that this time, with COVID, customers responded very favorably.

More and more dealers are bolstering their online sales resources.

TDB: So, will the car business go the way of Amazon, with everything done online?

Zuchowski: Digital retailing doesn’t mean 100% of the people will do 100% of the transaction online. It means we need to create a parallel path, replicating every sales process that can be done in the store and make it available online. Then you let the consumer decide how much to do in the store and how much to do online. I don’t think 100% will want to do everything online but I think it’ll be the distinct majority in the not-too-distant future. I’m talking three to five years.

Other changes in retailing

TDB: It’s not just the pandemic forcing change in automotive retailing, though. What about the coming age of the electric vehicle? We’ve seen Volvo, for one, say they expect to sell all their future battery-electric cars entirely online.

Zuchowski: The traditional retail model has been push, rather than pull. It’s supply, rather than demand oriented. In other industries, it’s completely the opposite. Traditional dealers have a lot of staff. They’re top heavy, with an average of two managers for every sales person. It’s a structure that’s very expensive and no longer what the consumer wants. They want a single point of contact. They don’t want to go into a store and deal with a salesperson, then negotiate with somebody else and then deal with somebody handling (finance and insurance). They want someone who can handle things, soup to nuts.

TDB: They also want a set, single price, don’t they?

Nissan@Home now allows consumers to handle the entire purchase of a new vehicle online.

Zuchowski: I think “one price” is a misnomer but we certainly have to decrease the variability between transaction prices. Customers know from the internet what a dealer paid for the vehicle so there isn’t nearly as much dependence on negotiations.

The dealership of the future

TDB: What does this mean in terms of the number of dealerships going forward and the number of employees?

Zuchowski: A great question. I firmly believe the 30% of dealers who don’t get it and are slow to react will go out of business or get consolidated. The new number will be 70% of what we have today.

When I started out in 1980 there might have been 24,000, maybe 25,000 dealers and now there’s 17,000. (Long term) it’s probably closer to 12,000. You’ll have dealers controlling entire market areas with one central facility and maybe inventory in a storage area, service in a commercial area and maybe a few boutique-style showrooms in high-traffic areas. You’ll have fewer stores with smaller inventory, fewer service bays. The stores will look different and they’ll go to different locations for different functions. There’ll be fewer individual owners and more dealer groups owning a bunch of stores.

TDB: Will things be different for those dealers who remain?

Volvo online buying app

All pure electric Volvo models to be available online only

Zuchowski: There’s always going to be an important role for the dealer in this country. But that role will change. Dealerships essentially will turn into delivery and service centers. I would be very reluctant to make huge investments if I were a dealer, say, for a new, $5 million facility. The way a dealer will make money down the road will change. And there will different ways to get revenue. But even with volumes going down, margins could go up. They won’t have to carry 1,000 cars in stock and spend $100,000 a month on advertising, for one thing.

TDB: Let’s wrap up by talking used versus new.

Zuchowski: It’s a mistake not to look at the business holistically. Every year about 45 million to 50 million vehicles are being sold and when new cars are doing well used cars are off. And when used cars are doing well new car sales are off.

We’ve had an affordability problem for some time but there’s always been a way around it. We’ve now stretched out payments as far as you can go. And we’ve played with rates, now with the lowest interest rates on record. How many people can afford a $40,000 vehicle, especially if your interest rates aren’t at zero percent? Now, all the new technology isn’t free and there are all the regulations to comply with, and you have to add all that to the price of a vehicle. But we’re running out of ways to manage payments. I think used will gain more steam because new vehicle affordability will become a bigger and bigger problem as interest rates go up.


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Angry Shareholders Sue Lordstown Motors

Lordstown Motors CEO Steve Burns is named in the recently filed lawsuit against the EV startup.

Angry shareholders filed at least three lawsuits against Lordstown Motors for fraud in U.S. District Court, demanding compensation from the cash reserves the company says it is planning to use to launch its battery-electric pickup truck this fall.

The startup company, housed in an old General Motors plant to produce its truck, has yet to file a response to any of the lawsuits. The first suit against Lordstown was filed March 18.

The lawsuits, which was filed in the U.S. District Court for the Northern District of Ohio’s Youngstown Division, comes on the heels of disastrous week for the fledgling electric vehicle company. It began with the devastating research report by Hindenburg Research that sent the company’s stock tumbling.

The company followed that with an unsatisfactory earnings call during which the executives failed to answer the issues raised in the report.

Plaintiffs hit EV startup hard

Burns said during the company’s earnings call he believed his company was the only one to begin automated assembly this early in the pre-production process.

The lawsuit, filed on behalf of Matthew Rico, who identifies himself as Lordstown shareholder, “Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company’s purported pre-orders were non-binding; (ii) many of the would-be customers who made these purported pre-orders lacked the means to make such purchases and/or would not have credible demand for Lordstown’s Endurance; (iii) Lordstown is not and has not been ‘on track’ to commence production of the Endurance in September 2021; (iv) the first test run of the Endurance led to the vehicle bursting into flames within 10 minutes; and (v) as a result.”

Rico also is asking that his lawsuit be certified as a “class action” that would cover all of Lordstown shareholders damaged by the company’s misconduct.

Hindenburg Research, a short-seller group, claimed the EV truckmaker either faked or overstated claims that it has advance orders for 100,000 of the electric pickups it plans to launch later this year. Further, the group described Lordstown CEO Steve Burns as a “con man.”

The tenor of the Hindenburg report echoes a study it put out last year on Nikola Corp., which also used a SPAC deal to go public, initially generating a big run up in its share price while also lining up a proposed alliance with General Motors.

Lawsuit targets Lordstown executives

Lordstown beta welding roof

CEO Burns expressed enough confidence in his team that he upped the expected production levels to 60,000 units.

The lawsuit names several Lordstown executives, starting with CEO William Burns, as defendants. The suit is built around the statements, including documents the company filed with the Securities and Exchange Commission and various press releases by the company that “were materially false and misleading at all relevant times.”

“The Individual Defendants, because of their positions at the Company, possessed the power and authority to control the content and form of the Company’s annual reports, quarterly reports, press releases, investor presentations, and other materials provided to the SEC, securities analysts, money and portfolio managers and investors,” contend in the filing.

Instead, the lawsuit said Lordstown executive “authorized the publication of the documents, presentations, and materials alleged herein to be misleading prior to its issuance and had the ability and opportunity to prevent the issuance of these false statements or to cause them to be corrected,” going back to when the company went public via a SPAC in August 2020.

The SPAC generated $675 million in cash, money it is using to finish development of its new Endurance model. Lordstown officials claimed they received more than 100,000 non-binding production reservations from commercial fleet users, which the aforementioned Hindenburg report contends is untrue.

The lawsuit added the defendants from Lordstown “knew that the adverse facts” had not been disclosed and were being concealed from the public and that the positive representations being made were false and misleading, making them liable for damages suffered by shareholders.


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New Vehicle Sales Slowed in January Despite Improved Retail Results

Depressed fleet sales are putting a drag on January’s results, offsetting improved retail results.

Depressed fleet demand continues to hobble the overall demand for new vehicles, leaving the seasonally adjusted annual rate of sales in January 5.5% behind year ago levels, according to new estimates by analysts.

Conversely January retail sales are expected to increase slightly, according to TrueCar. U.S. retail deliveries of new cars and light trucks are forecast to see an increase of 0.4% from a year ago when adjusted for the same number of selling days. However, that increase isn’t going to be enough to offset the impact of the depressed fleet market.

TrueCar, the car-buying help service, expects the total SAAR to drop to an annual rate of 15.9 million units from 16.8 million units in January 2020 just before the COVID-19 pandemic sent the car business into a tailspin.

(New year brings new deals on new cars, trucks and utes.)

“Consumer activity has kept the vehicle market on a strong recovery path in recent months. Retail sales, which generally account for four-out-of-five vehicles sold in the U.S. market, are expected to remain strong in January,” noted a report from Cox Automotive.

The Cox report said positive economic news, coupled with improving consumer confidence, is helping rebuild both interest and ability to buy.

“Entering 2021 with retail sales in line with last year is a big win for the automotive industry,” said Nick Woolard, lead industry analyst at TrueCar.

“However, while retail sales have rebounded, rental fleets remained depressed and continue to interrupt fleet sales. As a result, fleet sales are struggling to come back to pre-pandemic levels and are driving total unit sales down,” Woolard said.

In addition, the average transaction prices for new vehicles are projected to be up 4.2%, or $1,509, from a year ago but down 4.5%, or $1,759, from December 2020. TrueCar projects that U.S. revenue from new vehicle sales will reach approximately $39 billion for January 2021, down 4.4% from a year ago.

(Despite production cuts due to chip shortages vehicle inventory remains stable.)

“The automotive industry continues to reap the benefits of continued strength in retail demand with lower incentive spend.

Improved consumer confidence and other factors continue point to continued retail sales strength.

“A handful of brands such as Ford, Genesis, GMC, Ram and Toyota, appear to be in the coveted quadrant of both retail growth as well as incentive decline. This is mostly driven by new product and being in the right segments or a combination of the two,” added Woolard.

Woolard said average transaction prices have finally come down from the record-setting highs we saw last month but are still higher than this time last year. Of the top carmakers, only Kia has an average transaction price below $30,000, TrueCar reported.

Alain Nana-Sinkam, vice president of Industry Insights at TrueCar, said the trend is most likely to continue so buyers are going to adjust their buying process in response.

“As new vehicle prices rise, we may see more price-conscious shoppers gravitate back towards smaller segments or the used car market due to growing concerns around affordability.”

(Auto sales gain traction as Americans avoid mass transit.)

Fleet sales for January 2021 are expected to be down 23.7% from a year ago but used vehicle sales for January 2021, which are critical for setting the price of leases on new vehicles, are expected to reach 3.2 million, up 1% from a year ago and up 10% from December 2020.


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Stellantis Enjoys Warm Welcome from European Investors

Stellantis Chairman John Elkann is meeting with the media tomorrow to talk about the company’s future.

Not every merger involving an automaker these days involves a blank-check company. The newly minted tie-up between Fiat Chrysler Automobiles N.V. and Peugeot S.A. was finalized over the weekend and the resulting company, Stellantis N.V., is enjoying a warm welcome.

At least on the stock market.

The new company’s stock trades on three exchanges and it finished the day on the Paris exchange up nearly 7%, closing at €13.14. It also jumped up 7.7% on the Milan exchange.

The New York Stock Exchange, the third exchange it’s traded on, was not open today due to the Martin Luther King Jr. holiday.

(Chrysler is no more as Stellantis comes to life.)

CEO Carlos Tavares has a lot on his corporate plate now that the merger is complete.

The $52 billion merger of near equals creates a massive enterprise with operations on six continents, employs about 400,000 people, sells – at least for the time being – 14 vehicle brands and sells 8.1 million vehicles annually, making it the fourth-largest automaker in the world behind Volkswagen, Toyota and the Renault-Nissan-Mitsubishi Alliance.

With all of those possibilities, it’s going to take a press conference Tuesday to start revealing what Stellantis will look like now that’s it’s a living, breathing entity. What brands will stay? How many workers will keep their jobs?

People are nervous because the CEO of the new enterprise, Carlos Tavares, has a history of being fearless when it comes to eliminating unprofitable operations and processes in the pursuit of corporate profit. One need only look at how what he did with former General Motors’ subsidiary Opel. A money-loser for a decade, he had it in the black in one year.

(FCA CEO Manley gets new assignment following Stellantis merger.)

“Stellantis faces a mixed outlook as U.S. stimulus plans may buoy Chrysler vs. a more uncertain outlook for Peugeot in Europe,” Michael Dean, BI automotive analyst told Bloomberg. “Former PSA CEO Carlos Tavares takes the helm and, similar to his handling of PSA’s takeover of Opel in 2017, we anticipate a new strategy in the first 100 days of his stewardship. All regions face a difficult 1H amid continued lockdowns.”

Quirky name aside, investors gave Stellantis a warm welcome when it began trading Monday.

The two companies have worked to allay fears of major cutbacks in France and Italy. While top managers have outlined plans to trim costs by $6 billion following the merger, they insist they will be able to do that without closing any plants. They have outlined 40% of those cost savings coming from purchasing, 40% from combining product development efforts, and 20% from marketing and other operations.

However, it’s unclear how Tavares plans to tackle other issues such as improving the company’s performance in China, the world’s largest automotive market, and bolstering its electrification efforts, especially in the aforementioned China as well as in the U.S. Just addressing those two issues are likely to require billions of dollars and euros. Some of plans for these things and more may get touched on Tuesday, Marco Santino, a partner at consulting firm Oliver Wyman, told Reuters.

(Fiat Chrysler and PSA not exactly a “merger of equals.”)

“He has proven to be the kind of person who prefers action to words, so I don’t think he will make loud statements or try to over-sell targets,” he said.


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FCA-PSA Set to Kick Off New Year With Completion of Merger

Fiat Chrysler and PSA shareholders are expected to approve the merger of the two companies forming Stellantis, the world’s fourth-largest automaker.

This story has been updated to reflect the merger’s approval in separate votes by Fiat Chrysler and PSA investors.

The deal is done; shareholders at both PSA Group and Fiat Chrysler Automobiles now have voted to approve a merger creating the world’s fourth-largest automaker by sales volume, Stellantis.

Shareholders overwhelming approved the deal that was first announced in late 2019 — but only received final regulatory approval late last year. The $58 billion deal won an “Aye” vote from 99.15% of FCA shareholders, while 99.85% of PSA investors approved of the deal during an online meeting. Following the vote, the two companies said the merger process is expected to be completed by January 16.

Officials with the two companies have promised that the merger will yield a significantly stronger automaker, helping drive down manufacturing costs while also making it easier to prepare for the many changes set to sweep through the auto industry in the coming decade, notably the shift to electrified and autonomous vehicles. But the merger also raises numerous questions, starting with the broad range of brands each of the new partners bring to Stellantis. There has been widespread speculation that the new company could eliminate some of the weaker marques, including FCA’s namesakes, Fiat and Chrysler.

(FCA CEO Manley won’t be on the board after merger with PSA is completed.)

Carlos Tavares, PSA (left) and Mike Manley, FCA, shake hands following the signing of the merger agreement between the two companies in 2019.

“Stellantis will be a sort of conglomerate of brands, some great and some not so good and most very regional,” wrote Jefferies analyst Philippe Houchois. “The merger will be a good opportunity for a reset.”

The auto industry has been facing enormous pressures in recent years and FCA’s former CEO, the late Sergio Marchionne, began looking for an additional alliance partner even before completing the merger that formed Fiat Chrysler Automobiles a decade ago. During his tenure the plan was rebuffed by some of the industry’s giants, including Volkswagen and General Motors. It was Marchionne’s successor, Mike Manley, who took things a step further.

Manley came within hours of completing a merger with the largest French automaker, Renault, but the deal unraveled just before it was set to be announced. Months later, FCA made the surprise announcement that it was talking with PSA, parent of brands including Peugeot, Citroen, Opel and Vauxhall.

A formal plan was announced in December 2019 but it faced a variety of challenges, including issues raised by the coronavirus pandemic. Nonetheless, the process moved forward, the proposed partners clearing the last regulatory hurdles as 2020 drew to a close.

Under the agreement, FCA’s Chairman John Elkann – heir to Fiat’s founding Agnelli family – will retain that title at Stellantis. So too will Carlos Tavares, the highly regarded CEO who has been credited with turning around the French company since joining it six years ago, keep his role. Significantly, PSA was able to put the Opel/Vauxhall unit into the black

FCA CEO Mike Manley will not retain a seat on the board of directors after the merger.

within a year after acquiring the German-based operation from General Motors. Under GM, Opel had been in the red for nearly two decades.

(FCA, PSA pick name for post-merger company: Stellantis.)

Nonetheless, PSA has plenty of challenges of its own. Among other things, it is trying to find the formula for returning to the critical U.S. market it left nearly three decades ago.

As Stellantis, the new enterprise will need to move quickly to catch up with key competitors racing to bring electric vehicles to market. These include not only established manufacturers such as VW and GM but new entrants like Tesla and Lucid.

The partners set some tough goals going into the final phase of the merger. Early on, officials estimated they could squeeze out savings of 3.7 billion euros, or $4.5 billion, through various efficiencies. They later upped that to 5 billion euros, or about $6.1 billion. But the pandemic has made the business of forecasting, whether unit sales, revenues or earnings, exceedingly difficult. And the expectation of analysts, such as IHS Markit, is that it will take to nearly mid-decade before global sales come close to pre-pandemic levels.

The industry has been seeing an acceleration of mergers, acquisitions and less overarching joint ventures and alliances in recent years. But FCA provides a textbook example of how they don’t always pan out. The U.S. side, Chrysler entered into a supposed “merger of equals” in 1998 but, a decade later, found itself discarded by the German side of DaimlerChrysler AG. It would have been allowed to go bankrupt by the Obama administration in 2009 were it not for Fiat pulling together a rescue plan.

Fiat Chairman John Elkann will retain the same role in a merged company.

Then, under CEO Marchionne, FCA spent years chasing an even bigger alliance.

Curiously, the company that originally defined the concept of “bigger-is-better” reversed course following its own brush with Chapter 11. GM not only sold off the endlessly struggling Opel unit but also pulled out of an assortment of once important markets, including Australia, Russia and South Africa. After the formation of Stellantis, GM will slide back one spot and become only the world’s fifth-largest automotive manufacturer.

(FCA, PSA formally lock merger into place.)

“The auto industry has been chasing size and consolidation for years, but it’s been slower in coming than many would like to see,” Jefferies analyst Philippe Houchois told investors. “The question is whether GM, Toyota and Renault-Nissan have provided evidence that there may be limits to this strategy.”