Automotive
Europe’s EV Market Collapse Provides A Lesson For UAW Leadership

From the Daily Caller News Foundation
It is an ill-kept secret of American politics that most of the big labor unions in the country have long been client organizations of the Democratic Party. In presidential election years, endorsements from these unions for the party’s nominee have generally been foregone conclusions regardless of voting attitudes of rank-and-file union members.
Some are quicker to endorse than others. Vice President Kamala Harris barely had time to buy campaign letterhead before the United Auto Workers (UAW) weighed in on July 31 with its endorsement. The union’s bosses made the move despite the reality of the Biden-Harris electric vehicle mandates placing many of that union’s jobs at risk as the companies they work for lose billions each year on quixotic efforts to force the public to enjoy paying premiums for cars they cannot rely upon when the going gets tough.
Even with that early move, the UAW fell 9 days behind the AFL-CIO, which jumped on the Harris bandwagon so quickly it probably made union members’ heads spin. Hey, speed matters when your business model relies on constantly asking for favors and protections from the federal government, for which the Democratic Party has traditionally been the most fertile ground to plow.
Given that reality, the Teamsters Union made big news this week by endorsing — well, no one — despite overwhelming support among the rank-and-file for the Republican candidate, former President Donald Trump. It was the first time the Teamsters had failed to endorse the Democrat in a race since 1996, and only the second time in the union’s existence. Teamsters General President Sean O’Brien spoke at the Republican convention in July — and was snubbed by the Democrats at their convention in return. So, the refusal to endorse Harris was not a huge surprise. But O’Brien, fully aware of the vindictive nature of the Democrats towards their political enemies, apparently decided it would not be politically prudent to give a full-throated endorsement to the candidate his members so obviously prefer.
With the race shaping up to be another nail-biter, it remains to be seen whether any of these major unions’ decisions will prove to be wise. But for the UAW, the move to endorse Harris comes with increasing risk amid a softening market for the EVs being forced on U.S. consumers and the rising challenge by Chinese EV makers to the hegemony of domestic car companies in the U.S. market.
With legacy automakers like Ford and General Motors already bleeding billions of dollars in losses in their EV divisions despite heavy government subsidies in place, they can ill-afford an incursion into the U.S. market from Chinese carmakers who are able to make and sell quality EVs for far less than American car companies can. Right now, Europe is providing an object lesson about what happens in the EV space when governments allow that to happen.
EU countries were slow to move to protect their domestic car manufacturers when Chinese companies like BYD began to flood the European market with EVs. EV buyers in countries like Germany and France eagerly bought up the Chinese cars, saving thousands of Euros per unit in the process. When the EU belatedly moved to impose import tariffs on Chinese cars, the domestic car companies responded by raising prices for their own EVs in an effort to recover losses.
The result has been entirely predictable: EV sales in Germany collapsed by nearly 70% during the month of August. In France, they plunged by 33%. Clearly the appetite among EU car buyers for EVs is extremely price sensitive (no one could have possibly seen that coming), and consumers are more than happy to go back to buying gas-powered cars as cheaper alternatives.
Now, the climate alarmist central planners at the EU are proposing to respond to those uncooperative buyers by imposing massive fines on car makers for continuing to sell them the gas-powered cars they actually want to buy. Because, of course, that would be the response from power-mad apparatchiks.
Given that the Biden-Harris regime has basically followed the EU’s model on EV regulation, the EU’s struggles provide a preview of coming attractions for the U.S. auto market under a Harris presidency. It is hard to believe this is the future the UAW leadership really desires for its members.
David Blackmon is an energy writer and consultant based in Texas. He spent 40 years in the oil and gas business, where he specialized in public policy and communications.
Automotive
New federal government should pull the plug on Canada’s EV revolution

From the Fraser Institute
During his victory speech Monday night, Prime Minister Mark Carney repeated one of his favourite campaign slogans and vowed to make Canada a “clean energy superpower.” So, Canadians can expect Ottawa to “invest” more taxpayer money in “clean energy” projects including electric vehicles (EVs), the revolutionary transportation technology that’s been ready to replace internal combustion since 1901 yet still requires government subsidies.
It’s a good time for a little historical review. In 2012 south of the border, the Obama administration poured massive subsidies into companies peddling green tech, only to see a vast swath go belly up including Solyndra, would-be maker of advanced solar panels, which failed so spectacularly CNN called the company the “poster child for well-meaning government policy gone bad.”
One might think that such a spectacular failure might have served as a cautionary tale for today’s politicians. But one would be wrong. Even as the EV transition slammed into stiff headwinds, the Trudeau government and Ontario’s Ford government poured $5 billion in subsidies into Honda to build an EV battery plant and manufacture EVs in Ontario. That “investment” came on top of a long list of other “investments” including $15 billion for Stellantis and LG Energy Solution; $13 billion for Volkswagen (or $16.3 billion, per the Parliamentary Budget Officer), a combined $4.24 billion (federal/Quebec split) to Northvolt, a Swedish battery maker, and a combined $644 million (federal/Quebec split) to Ford Motor Company to build a cathode manufacturing plant in Quebec.
How’s all that working out? Not great.
“Projects announced for Canada’s EV supply chain are in various states of operation, and many remain years away from production,” notes automotive/natural resource reporter Gabriel Friedman, writing in the Financial Post. “Of the four multibillion-dollar battery cell manufacturing plants announced for Canada, only one—a joint venture known as NextStar Energy Inc. between South Korea’s LG Energy Solution Ltd. and European automaker Stellantis NV—progressed into even the construction phase.”
In 2023, Volkswagen said it would invest $7 billion by 2030 to build a battery cell manufacturing complex in St. Thomas, Ontario. However, Friedman notes “construction of the VW plant is not scheduled to begin until this spring [2025] and initial cell production will not begin for years.” Or ever, if Donald Trump’s pledge to end U.S. government support for a broad EV transition comes to pass.
In the meantime, other elements of Canada’s “clean tech” future are also in doubt. In December 2024, Saint-Jérome, Que.-based Lion Electric Co., which had received $100 million in provincial and government support to assemble batteries in Canada for electric school buses and trucks, said it would file for bankruptcy in the United States and creditor protection in Canada. And Ford Motor Company last summer scrapped its planned EV assembly plant in Oakville, Ontario—after $640 million in federal and provincial support.
And of course, there’s Canada’s own poster-child-of-clean-tech-subsidy failure, Northvolt. According to the CBC, the Swedish battery manufacturer, with plans to build a $7 billion factory in Quebec, has declared bankruptcy in Sweden, though Northvolt claims that its North American operations are “solvent.” That’s cold comfort to some Quebec policymakers: “We’re going to be losing hundreds of millions of dollars in a bet that our government in Quebec made on a poorly negotiated investment,” said Parti Québécois MNA Pascal Paradis.
Elections often bring about change. If the Carney government wants to change course and avoid more clean-tech calamities, it should pull the plug on the EV revolution and avoid any more electro-boondoggles.
Automotive
Major automakers push congress to block California’s 2035 EV mandate

MxM News
Quick Hit:
Major automakers are urging Congress to intervene and halt California’s aggressive plan to eliminate gasoline-only vehicles by 2035. With the Biden-era EPA waiver empowering California and 11 other states to enforce the rule, automakers warn of immediate impacts on vehicle availability and consumer choice. The U.S. House is preparing for a critical vote to determine if California’s sweeping environmental mandates will stand.
Key Details:
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Automakers argue California’s rules will raise prices and limit consumer choices, especially amid high tariffs on auto imports.
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The House is set to vote this week on repealing the EPA waiver that greenlit California’s mandate.
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California’s regulations would require 35% of 2026 model year vehicles to be zero-emission, a figure manufacturers say is unrealistic.
Diving Deeper:
The Alliance for Automotive Innovation, representing industry giants such as General Motors, Toyota, Volkswagen, and Hyundai, issued a letter Monday warning Congress about the looming consequences of California’s radical environmental regulations. The automakers stressed that unless Congress acts swiftly, vehicle shipments across the country could be disrupted within months, forcing car companies to artificially limit sales of traditional vehicles to meet electric vehicle quotas.
California’s Air Resources Board rules have already spread to 11 other states—including New York, Massachusetts, and Oregon—together representing roughly 40% of the entire U.S. auto market. Despite repeated concerns from manufacturers, California officials have doubled down, insisting that their measures are essential for meeting lofty greenhouse gas reduction targets and combating smog. However, even some states like Maryland have recognized the impracticality of California’s timeline, opting to delay compliance.
A major legal hurdle complicates the path forward. The Government Accountability Office ruled in March that the EPA waiver issued under former President Joe Biden cannot be revoked under the Congressional Review Act, which requires only a simple Senate majority. This creates uncertainty over whether Congress can truly roll back California’s authority without more complex legislative action.
The House is also gearing up to tackle other elements of California’s environmental regime, including blocking the state from imposing stricter pollution standards on commercial trucks and halting its low-nitrogen oxide emissions regulations for heavy-duty vehicles. These moves reflect growing concerns that California’s progressive regulatory overreach is threatening national commerce and consumer choice.
Under California’s current rules, the state demands that 35% of light-duty vehicles for the 2026 model year be zero-emission, scaling up rapidly to 68% by 2030. Industry experts widely agree that these targets are disconnected from reality, given the current slow pace of electric vehicle adoption among the broader American public, particularly in rural and lower-income areas.
California first unveiled its plan in 2020, aiming to make at least 80% of new cars electric and the remainder plug-in hybrids by 2035. Now, under President Donald Trump’s leadership, the U.S. Transportation Department is working to undo the aggressive fuel economy regulations imposed during former President Joe Biden’s term, offering a much-needed course correction for an auto industry burdened by regulatory overreach.
As Congress debates, the larger question remains: Will America allow one state’s left-wing environmental ideology to dictate terms for the entire country’s auto industry?
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