Dec. 13, 2025 | Weekend Drive: USMCA drama; EVs do better than expected in October
About this episode
Discussion revolves around the potential overhaul of the USMCA trade agreement, with industry voices advocating for its preservation amid concerns over supply chain complexities. The episode also delves into the impact of recent Fed interest rate cuts on car affordability, highlighting mixed consumer behavior despite high vehicle prices. EV registrations in October showed resilience, particularly for brands like Tesla, while Jaguar Land Rover faces mounting challenges, including quality issues and leadership changes. The conversation features insights from industry experts Molly Boygon and Richard Truitt.
Automotive News reporters Molly Boigon and Richard Truett discuss some of the biggest news stories in the auto industry from the past week, including President Donald Trump’s threat to dismantle USMCA and EV registrations doing better than expected in October after the repeal of federal tax credits.
Kelly Bluebook
"Looking to source more vehicles and stay ahead of seasonal slowdowns, Kelly Bluebook, Instant Cash Offer, now has offer accelerator..."
Kelly Bluebook is a website that tells you how much a car should cost, so you know if the price is fair.
Kelly Bluebook is a well‑known automotive valuation service that provides pricing information for new and used cars, helping buyers and sellers determine fair market value.
AutoTrader
"Looking to source more vehicles and stay ahead of seasonal slowdowns, Kelly Bluebook, Instant Cash Offer, now has offer accelerator..."
AutoTrader is a website where people post cars for sale, so you can look at many options in one place.
AutoTrader is an online marketplace where individuals and dealers can buy, sell, or trade vehicles. It aggregates listings from many sources to give buyers a wide selection.
supply chain
"Now Richard from an engineering standpoint, how hard would it be to rebuild these supply chains?"
A supply chain is the series of steps that get a car from parts to your driveway. If one step breaks, it can delay or raise the price of cars.
A supply chain is the network of suppliers, manufacturers, and distributors that deliver parts and finished vehicles to consumers. Disruptions can affect availability and cost.
tariffs
"When you consider that there are tariffs on raw materials, it would just cause an incredible amount of disruption..."
Tariffs are extra fees the government adds to cars or parts that come from other countries, making them more expensive for buyers.
Tariffs are taxes imposed on imported goods, increasing their cost for consumers and potentially affecting supply chains by raising production expenses.
Ford Maverick
"And they've had a lot of success with the Ford Maverick, which has started at around 19, but now it's up to around 25,000, but they're still selling a lot."
The Ford Maverick is a small pickup truck that Ford sells at a low price. It’s popular because it’s cheaper than most other trucks.
The Ford Maverick is a compact pickup truck introduced by Ford in 2022, known for its affordable price and efficient powertrain.
ICE vehicles
"Yes, EVs are on average around $9,000 more expensive than comparable ice vehicles. So EVs are definitely driving up the average transaction price."
ICE vehicles are cars that use gasoline or diesel engines, the same type of engine you find in most traditional cars.
ICE stands for Internal Combustion Engine; ICE vehicles run on gasoline or diesel engines that combust fuel to produce power.
Cox Automotive
"But at the same time, people are still buying these vehicles. And like you look at the, I got the product mix sort of divide from Cox Automotive for November for a story that I was working on."
Cox Automotive is a big company that supplies data and software to car dealers and manufacturers.
Cox Automotive is a global automotive services company that provides data, analytics, and technology solutions to the automotive industry.
auto loans
"The flip side of that coin, Molly, is that auto loans are now at the longest they've ever been like eight years and delinquency rates are really high, maybe the highest they've ever been."
An auto loan is a way to buy a car by borrowing money from a bank or lender and paying it back in monthly installments.
Auto loans are financing agreements that allow consumers to purchase a vehicle by paying an initial down payment and then making monthly payments over a set term.
electric vehicle tax credit ending
"Another thing is that some of the manufacturers have been offering their own incentives to make up for the electric vehicle tax credit ending on September 30."
When the government stopped giving money back for buying electric cars, car makers started offering their own deals to keep people interested.
The U.S. federal tax credit for electric vehicles expired on September 30, prompting manufacturers to offer incentives.
Tesla
"...pure EV makers like Tesla, Rivian, and Lucid saw big gains..."
Tesla makes electric cars that run on batteries instead of gasoline. They are popular for their speed and modern features.
Tesla is an American electric vehicle manufacturer known for its high-performance cars and advanced technology.
Nissan Leaf
"The Nissan Leaf just landed in. I've driven that car, and it's really good."
The Leaf is a small electric car that many people use for everyday driving. It has no gasoline engine and runs on batteries.
The Nissan Leaf is a compact electric hatchback produced by Nissan, notable for being one of the first mass-market EVs.
total cost of ownership
"...that ends up kind of having counterintuitively a positive effect on demand as people who are previously turned off because of the kind of climate ideology tie eventually make their way over to what everyone in the industry says is kind of a better performance, you know, lower total cost of ownership vehicle."
TCO is the full amount you’ll spend on a car, not just the sticker price. It includes things like gas or charging costs and how much you’ll need to fix it over time.
Total cost of ownership (TCO) refers to the complete expense of owning a vehicle over its lifetime, including purchase price, fuel, maintenance, insurance, and depreciation.
federal tax credit
"Well, a big factor here was a pull forward of sales ahead of the death of the federal tax credit."
The U.S. government gives a tax break when you buy an electric car, which lowers the price you actually pay after taxes.
A federal tax credit is a government incentive that reduces the amount of taxes owed by buyers of qualifying electric vehicles, making them cheaper to purchase.
Jaguar Land Rover
"I think the biggest problem that they're going to have is they've got to do something about their quality... And to complicate the situation even more, Cal, is that their design bench at JLR is not real deep."
Jaguar Land Rover is a company that makes fancy cars and big SUVs, like the Jaguar sports cars and Land Rover off‑road vehicles.
Jaguar Land Rover (JLR) is a British automotive company that owns the Jaguar and Land Rover brands, producing luxury cars and SUVs.
Range Rover
"I mean, a Range Rover, there's nothing it looks like a Range Rover."
A Range Rover is a big, fancy car that can drive on rough trails and still feels like a comfortable luxury vehicle.
The Range Rover is a luxury SUV produced by Land Rover, known for its off‑road capability and high-end interior.
Land Rover Defender
"Nothing looks like a Land Rover Defender. It's tough, it's mean, it's great looking."
The Defender is a tough, off‑road car that can handle rough terrain and still be comfortable inside.
The Defender is a rugged off‑road vehicle from Land Rover, originally designed for military use and now sold as a high‑performance SUV.
type 00 Jaguar concept car
"You know, that's a really tough question because the rollout of the type 00 Jaguar concept car was in some respects, it was, it was a total disaster because everybody from Elon Musk..."
A concept car is a prototype shown to show what future cars might look like. The type 00 Jaguar was one of those prototypes that looked very bold but may not be made into a real car.
The type 00 Jaguar concept car was a futuristic prototype unveiled by Jaguar to showcase future design directions. Concept cars are experimental designs that may not reach production.
JLR
"And what got lost in all that was the vehicle they showed was a concept car, not the finished product and concept cars tend to be wildly styled and super extravagant to get attention."
JLR is the company that runs both Jaguar and Land Rover. It makes all their cars and decides on design and production.
JLR stands for Jaguar Land Rover, the parent company that owns both the Jaguar and Land Rover brands.
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