A Measured Approach
Shifting to neutral on power train strategy makes more sense as we look to automotive retail’s future.

Manufacturers had already pivoted to a more realistic vision of power train by choice.
Pexels/Negative Space
In the past couple of years, electric vehicles became a political issue as both the auto industry and consumers felt pressure to accelerate adoption. I got the impetus behind the push: the need to slow pollution, which is never a bad idea, in my mind.
The U.S. also saw the need to compete with the rapidly rising Chinese auto industry, which has pulled ahead on EV development, production and sales. China-based automaker BYD passed U.S. EV market leader Tesla in global sales last year.
One by one, U.S. automakers made plans for all-EV lineups by next decade, and California banned the sale of new gas-powered vehicles in 2035, a move followed by 11 other states. But consumer demand failed to rise with the expectations. ISeeCars.com declared in July that EVs have peaked in the U.S. after starting to flatten late last year.
Manufacturers had already pivoted to a more realistic vision of power train by choice – offer all of the types and let the consumer pick from among them, a very democratic, capitalistic concept.
The Trump administration has taken a car crusher to various EV incentives, from federal tax breaks, which will now expire in October, to pulling previously approved federal funding to states for EV charger development. In June a federal judge ordered the administration to reverse the latter in 14 states that sued over the freeze. Congress, meanwhile, killed California’s zero-emissions vehicle mandate.
While I think it makes sense to incentivize clean energy in whatever form, recalibrating the approach to EV development seems like a wise correction.
I was talking with a friend recently about wishing I’d bought a hybrid years ago. I didn’t want to be a guinea pig but feel now that I waited too long. We both agreed that we’re uncomfortable with the idea of a purely electric model for charge-range anxiety reasons. In addition to higher prices for new EVs, insufficient public chargers in less-developed areas is a top impediment to adoption.
Now that the American foot has eased up on the EV accelerator, it seems there should be time to get all of the infrastructure in place for those who want to make the switch. Others can opt for hybrids or different clean technologies, like biodiesel and hydrogen if those models end up making practical sense.
Hopefully as group, we’ll clear the air while also retaining consumer discretion.
More Industry

Two New Rides Earn Safety Awards
Thanks to vehicle redesigns, two more vehicles have earned IIHS’ Top Safety Pick+ award that builds on the criteria of the lower Top Safety Pick award.
Read More →
How A Simple Phone Call Can Cause a Dealership Data Breach
Despite the sophisticated techniques fraudsters often employ today to gain access to dealerships’ valuable information, they sometimes use a somewhat old-fashioned approach.
Read More →
Texas Rooftop Gets New Owner, Name
Family-owned Lumos Auto Group acquired Acura of the Rio Grande Valley from Bill Bird and will operate the dealership as Lumos Acura.
Read More →
Hyundai Feeling Electric
As the automaker looks to the balance of the decade, it plans to significantly boost its electrified powertrain lineup, including more hybrids and its first extended-range EVs.
Read More →
Dealer Debrief: Luxury Brands are Losing Ground
The quality gap between luxury and mass-market auto brands is narrowing. Today, Lauren is discussing why.
Read More →
August Auto Sales a Mixed Bag
An early forecast shows strong business despite consumer hurdles, and hybrids are a big piece of their affordability coping strategy.
Read More →
Longtime Ford Store Changes Hands
The Virginia dealership joins a small area automotive group in a one-dealership transaction, moving from one family franchisee to another.
Read More →
Auto Loan Delinquency Rates Stabilize
Auto loans are a main driver of nonmortgage consumer debt, but delinquency rates stabilized in the second quarter across all credit risk tiers.
Read More →
ASE Seeks Accurate Technician Pay, Benefits Data
New free membership trial removes cost barrier for dealerships and shops willing to contribute anonymous information to the industry data exchange.
Read More →
No Longer Worth the Price?
Mass-market auto brands are gaining ground on luxury competitors with what used to be premium features, helped along by the pressure of high vehicle prices dogging budget-conscious shoppers.
Read More →
