Weekly News

Kia Investing $200M In Facility For EV9 Production

Kia has announced an investment of over $200M in its Georgia assembly plant to commence the production of its electric SUV, the EV9, next year. This move positions Kia to qualify for federal EV tax credits, available to vehicles assembled in North America. The investment will create approximately 200 new jobs as the technology-driven, three-row SUV, and four other models are manufactured. This is part of Kia's broader strategy to boost EV sales and achieve a gross revenue of $122 billion by 2030. This strategy is backed by a $24 billion investment aimed at selling one million EVs by 2026, with plans to release 15 new EV models by 2027.

The EV9, Kia's first US-assembled EV, promises an array of features, including fast charging, a host of sensors for advanced driver assistance, and OTA updates. The EV9 also maintains SUV capabilities, including 7.8-inch ground clearance, up to 81.9 cubic feet of cargo space, and a towing capacity of up to 5,000 lbs. Production at Kia's West Point, Georgia plant is set to begin in 2024. With 13,000 preorders in South Korea within its first eight days on the market, the EV9 is poised to make an impact on the US EV landscape.

Dealer Sales Challenges

According to Cox Automotive, while consumer interest in EVs is growing, actual purchases are lagging behind as inventory is starting to accumulate on dealer lots.

While EV sales have grown to 7% of the new vehicle market, the nationwide supply has reached over 92,000 units, roughly a 92-day supply. This is almost double the industry average and contrasts with the 54-day supply of gasoline-powered vehicles in stock. A caveat is that these metrics exclude Tesla’s supply.

Despite the supply surge, a Cox survey reveals that 51% of consumers are considering either a new or used EV, up from 38% in 2021. The challenge lies in bridging the gap between consideration and purchase, a situation exacerbated by traditional dealerships' insufficient educational support for the transition from ICE to EV.

Tesla To Produce $24k Model In India

Tesla is reportedly in talks with the Indian government regarding a proposed factory with the capacity to produce half a million electric vehicles annually. The plan also includes using India as an export hub to ship cars to countries within the Indo-Pacific region.

The starting price for Tesla vehicles in India is expected to be 2 million rupees (around $24,400), significantly more expensive than local offerings such as the MG Comet and the Tata Nexon EV.

Tesla’s previous attempts to enter the Indian market were hindered by high import taxes, but the company is now seemingly pursuing local manufacturing as a solution, perhaps spurred by recent discussions about government incentives for car and battery manufacturing. Indian Prime Minister Narendra Modi has reportedly urged Elon Musk to make a significant investment in the country.

The launch of this lower-priced Tesla in India adds fuel to the rumors about the possible launch of a compact car, potentially named the Model 2, in the US market with a price tag of around $25,000.

Tech Corner

6 Minute Charging?

UK-based startup Nyobolt claims to have ground-breaking battery technology that can fully charge EVs in under 10 minutes. The firm showcased an electric sports car concept that it asserts can replenish its entire 155-mile range in just six minutes. This is more than twice the charging capacity of some of the fastest-charging models currently on the market, such as the Lucid Air.

Nyobolt maintains that its battery technology, underpinned by niobium anode tech, is ready for immediate application and rapid scaling, with production slated to start in 2024. The firm has reportedly tested these batteries for over 2,000 cycles without any capacity loss, which has traditionally been a significant obstacle for new designs.

The company believes that faster charging will facilitate the use of smaller, lighter battery packs. Nyobolt asserts that the swift charging times are not confined to smaller packs, suggesting that megawatt charging could enable larger vehicles like trucks and buses to charge within minutes.

While quick-charging battery tech has proven challenging to translate into production, Nyobolt's breakthrough signals an exciting development.