Nov. 24, 2025 | GM doubles down on gasoline engines; Calstart CEO Michael Berube
About this episode
General Motors is making a significant investment of $5.5 billion to boost gasoline engine production, while Mercedes-Benz aims to reclaim its luxury market dominance with ambitious sales targets and a diverse powertrain strategy. The episode features insights from Michael Barrabe, CEO of CalStart, who discusses the need for better consumer education on EVs and the role of government and nonprofits in facilitating this transition. The conversation highlights the challenges faced by dealers in moving EVs and the importance of stable policies and infrastructure.
General Motors is investing $550 million dollars at two component plants to support expanded U.S. vehicle production in 2027. Mercedes plots a comeback to retake America’s luxury crown. Plus, Michael Berube, CEO of Calstart, talks about how the public sector should be helping educate consumers about EVs.
Route 1 Fusion
"Consider Route 1 Fusion for your dealership's digital retailing"
Route 1 Fusion is a software service that lets car dealers let customers buy or finance cars online.
Route 1 Fusion is a digital retailing platform that helps dealerships create online financing and sales tools.
Mercedes-Benz
"Mercedes plots a comeback to retake America's luxury crown"
Mercedes-Benz makes fancy cars that are very popular in the U.S. and around the world.
Mercedes-Benz is a German luxury automaker known for high‑end sedans, SUVs, and performance models.
General Motors
"General Motors is investing $550 million at two component plants"
GM is a big U.S. car company that makes many different kinds of vehicles.
General Motors (GM) is an American automotive company that owns brands like Chevrolet, GMC, Buick, and Cadillac.
AMG models
"high horsepower electric AMG models and upgraded SUVs"
AMG models are the faster, more powerful versions of Mercedes cars.
AMG models are high‑performance versions of Mercedes-Benz cars, featuring upgraded engines and sportier styling.
Prime Dealer Equity Fund
"Coleman Automotive Group is partnering with Prime Dealer Equity Fund"
Prime Dealer Equity Fund is a company that gives money to car dealership owners.
Prime Dealer Equity Fund is a private equity firm that invests in automotive dealership groups.
EQ models
"Well, Irvash, how are dealers feeling about ramping up core SUV supply and new EVs? Is there any inventory risk, especially after recent struggles with EQ models sitting on lots?"
EQ models are Mercedes-Benz cars that run on electricity instead of gasoline. They’re part of the company’s electric car family.
Mercedes-Benz’s EQ brand refers to its line of electric and plug‑in hybrid vehicles, such as the EQC SUV.
EV rollout
"They have struggled for the past five years under a previous regime that, you know, underwent a controversial field reorganization and they kind of botched the EV rollout."
EV rollout means the company is trying to start selling electric cars. It involves making sure there are enough cars and that people know how to buy them.
The process of introducing electric vehicles (EVs) into the market, including production, distribution, and dealer support.
Lithium Motors
"And now we have Adam Chamberlain who used to be the Mercedes Benz USA head of sales. He's come back. He was at Lithium Motors most recently."
Lithium Motors is a company that builds electric cars. It’s not as big as Mercedes, but it works on new battery technology.
Lithium Motors is an automotive company that focuses on electric vehicle development and manufacturing.
BMW
"Well, is Mercedes concerned about asking dealers to wait until late 2026 or 2027 for key products while BMW and Lexus continue gaining ground?"
BMW is a German car company that makes sporty and luxury cars.
BMW is a German automaker that produces luxury and performance vehicles, often competing with Mercedes-Benz.
EQ line
"That's been a big switch from Mercedes where a few years ago, Mercedes was all in on EVs and they had developed this EV only line called the EQ line..."
EQ is Mercedes-Benz's name for their electric cars, like a special line that only uses batteries.
Mercedes-Benz's EQ line is a dedicated electric vehicle brand, encompassing models that are fully battery-powered.
electric vehicles
"But there was sort of a consensus that the way that the industry has gone about educating people about electric vehicles has not been successful."
Electric vehicles run on electricity from batteries, so they don't use gasoline or diesel. They produce no exhaust fumes while driving.
Electric vehicles (EVs) are cars powered by electric motors using energy stored in batteries instead of internal combustion engines.
charging standards
"I think we're at an inflection point where we had a lot of experiment. We had multiple charging standards."
Charging standards are the rules that tell an electric car how to plug into a charger. They decide what kind of plug you need and how fast the car can charge.
Charging standards refer to the specifications and protocols that define how electric vehicles (EVs) connect to charging stations, including power levels, connector types, and communication between the vehicle and charger. Common standards include Level 1 (120 V), Level 2 (240 V), and DC fast charging standards like CCS, CHAdeMO, and Tesla Supercharger.
battery cost
"I mean, I was responsible for development of batteries across the United States when I was at the Department of Energy. Battery cost have continued to drop every single year."
Battery cost is how much it costs to buy the batteries that power an electric car. Cheaper batteries help make EVs cheaper.
Battery cost refers to the price of the rechargeable batteries that power electric vehicles. Lower battery costs make EVs more affordable.
fuel savings
"I would be remiss if I didn't point out today, depending where you live in the country right on average is over $600 of fuel savings per year for driving an EV."
Fuel savings means you spend less money on gas because the car uses electricity instead of gasoline.
Fuel savings is the amount of money saved by using less gasoline or diesel, often highlighted for electric vehicles.
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