Strategy and Innovation Newsletter

Edition 10 2023

OEM News

Toyota makes breakthrough in solid state battery production that could change EVs forever

Toyota is on the brink of taking the electric car industry to the next level. It claims it is close to being able to mass produce solid state batteries. That means the best EVs of the near future could achieve ranges of 700 miles and more on a single charge. What's more, charging time could shrink, with the company suggesting that a full charge could take just 10 minutes. As reported by the Financial Times, Toyota claims to have found "a solution for materials" to produce solid state batteries more effectively, the company has signed a deal with energy group Idemitsu Kosan to co-develop sulphide solid electrolyte – a vital ingredient to improve the durability of the technology.
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Germany's Volkswagen shares tumble after margin downgrade

Oct 23 (Reuters) - Volkswagen (VOWG_p.DE) shares fell more than 3% to their lowest since April 2020 on Monday after the German carmaker cut its profit margin outlook for the current year, disappointing some investors. Blaming negative effects from raw materials hedges, Europe's largest automotive group on Friday indicated a return on sales of 7.0-7.3%, down from 7.5-8.5% forecast previously. Volkswagen kept its outlook for deliveries and sales.
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Tesla rival Xpeng presses ahead with driver-assist rollout in China, Europe

BEIJING — Chinese electric car company Xpeng said this week it plans to roll out driver-assist technology in Europe by the end of next year, and remains on track with plans to expand the tech to 50 cities in China by year-end. U.S.-based Tesla ’s version for city streets — called Full Self-Driving Beta — has yet to be released in China and it’s unclear how many of the driver-assist features are available in Europe.
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Chinese premium carmaker HiPhi expands in Europe

Chinese carmaker HiPhi has opened a HiPhi Hub in Oslo, its second in Europe following the opening in Munich earlier this year. The HiPhi Hub Oslo is located in Strømmen Storsenter, Norway’s largest shopping centre. HiPhi held a private reception for VIP guests in the HiPhi Hub followed, with a preview of the HiPhi Y, the next all-new model from HiPhi. Already in China, the Y sold 2,577 of the model in August and September, the first two full months of sales.
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Volvo's Q3 profit jumps as sales rise, costs fall

CEO Jim Rowan said the positive financial results were due to factors that included lower raw materials and semiconductor costs and a refusal to slash EV prices. Volvo Cars reported a rise in third-quarter operating earnings on Thursday driven by strong volumes and lower costs for semiconductors and raw materials.
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Vauxhall cuts Astra Electric and Mokka Electric entry prices with new Design trim

Vauxhall has introduced a new entry-level Design grade for the Astra Electric and Mokka Electric. On sale now, the trim marks a new starting point to the line-ups, sitting under the GS specification and cutting pricing. For the recently launched Astra Electric, the new trim brings the opening point down to £37,710, compared to the £39,995 price tag for the GS. The Mokka Design trim is priced at £36,610, as opposed to £38,985 for the GS.
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New electric Citroën C3 could cost as little as €25,000

The new, electric, Citroën e-C3 has arrived in Ireland. Well, it would be more accurate to say that a, singular, new electric Citroën e-C3 has arrived in Ireland. This dark red hatchback, with its SUV styling overtones, is a prototype. The same car was shown off to the world’s media last week, and arrived in Ireland for a brief flying visit along with Citroën brand chief executive Thierry Koskas.
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Mitsubishi Motors is ending production in China

Mitsubishi Motors is ending production in China
Hong Kong CNN — Mitsubishi Motors will stop producing vehicles in China, in the latest sign of retreat by foreign automakers in the world’s biggest car market. Following weeks of speculation, the Japanese carmaker confirmed Tuesday that it would wind down local manufacturing and exit a long-running joint venture in mainland China. In a statement, the company said it had decided to “fundamentally” shake up its strategy for the fiercely competitive market amid a slump in sales. Read more

Insurance News

Survey: Consumer ADAS interest growing even among those with negative experiences

Customer trust in, and desire for, advanced driver assistance systems (ADAS) is growing, even among those who’ve had negative experiences with the technology in the past, according to a new survey. Consulting firm AlixPartners’ survey of nearly 3,250 consumers spanning Germany, China, and the U.S. found that customers trust ADAS technology and want to see more of it in their vehicles. According to the findings, drivers with ADAS experience are more than twice as likely to seek the safety features out in their next vehicles.
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Experts probe role of ‘annoying’ ADAS technology

Safety systems designed to support motorists are coming under closer scrutiny as road casualty rates flatline and concern grows that drivers are switching the technology off. Advanced driver-assistance systems (ADAS) are now standard across all new vehicles, at least to varying degrees. They include blindspot and lane departure warning, emergency brake assist and adaptive cruise control.
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Digital Marketing & Retail News

BMW Tapping D2C as Auto Companies Turn to Omnichannel

BMW Group is dipping its toe in the water with direct-to-consumer (D2C) sales, beginning with its Mini brand, as the auto industry increasingly integrates eCommerce. The luxury vehicle company announced Wednesday (Oct. 18) that, starting Jan. 1, it will sell the brand’s automobiles in Italy, Poland and Sweden, with more countries to follow, and that it intends to introduce D2C purchasing for BMW-brand products in 2026. As part of this process, the company will offer both eCommerce and in-person buying options.
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More than fifth of drivers think virtual used car buying hikes prices – survey

That’s according to new research from the AA’s used car website AA Cars after an online poll of 12,903 UK adults conducted by Yonder in August. It found that 21% reckoned the price would be jacked up if bought virtually.
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Leasing / Fleet News

Fleets propel new car market but concerns rise over falling private EV demand

The UK new car market grew 21.0% in September on the back of surging fleet demand, but the industry continues to call for private motorist support for EVs as uptake declines. New car registrations totalled 272,610 last month, latest figures from the Society of Motor Manufacturers and Traders (SMMT) reveal – up for the 14th month running.
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Fleets face electric vehicle price hike without EU agreement

Battery electric vehicles (BEVs) made in the EU could be hit with a £3,400 tax hike when sold in the UK if new rules of origin are implemented in January. The UK-EU Trade and Cooperation Agreement (TCA) temporarily exempted electric vehicles (EVs) from the rules that said products must be substantially made in Britain or the bloc to qualify for the EU’s zero tariff, zero quota regime, because EV batteries are predominantly imported from Asia.
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China and the EU battle over EVs – here’s what it means for fleets

Can Europe and its car manufacturers fight back against the rise of Chinese brands? And how should fleets deal with the rivalry between both? In the late 1990s, Europe was the largest producer of solar panels. Then Chinese competitors – helped by generous government incentives – stole Europe’s lunch. The European Commission (EC) wants to prevent the same thing happening in the electric vehicle (EV) industry.
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Other News

Needed for speed: European carmakers turn to mining to bypass China

In an effort to become independent of Chinese suppliers, Western automotive executives are making bold strategic moves. They are abandoning conventional supply chains and instead committing huge sums to form direct partnerships with mining firms.
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BYD: The top electric car maker that is not Tesla

Electric car maker Tesla has a Chinese rival in its rear-view mirror. Shares in BYD, or Build Your Dreams, jumped this week after it said it expected third-quarter profits to more than double compared with last year. BYD is now ahead of Tesla in quarterly production - and second to the US car maker in global sales. Its success is also a sign of just how much China's auto industry is growing - China overtook Japan this year to become the world's biggest exporter. It's a bright spot in a sluggish Chinese economy that is reeling from a severe property crisis and record unemployment.
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EU carmakers urge Von der Leyen to delay post-Brexit tariffs on electric vehicles

The bosses of Europe’s largest carmakers have urged the president of the European Commission to postpone the “cliff-edge” introduction of post-Brexit tariffs they say will harm EU electric vehicle production. Renault, Mercedes-Benz, Volvo and Ferrari were among the 13 large manufacturers who wrote on Tuesday to Ursula von der Leyen asking for a delay to “rules of origin” that are scheduled to come into force on 1 January.
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EU plans anti-subsidy probes to secure steel deal with US

The European Union is planning anti-subsidy investigations into steelmakers producing to excess in countries such as China as part of an agreement with the United States to end Trump-era tariffs, two EU officials said on Tuesday. The Financial Times reported on Tuesday that the European Union planned to announce probes against Chinese steelmakers when U.S. President Joe Biden hosts European Commission President Ursula von der Leyen and European Council President Charles Michel on Oct. 20.
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JATO in the News

Western car makers must innovate to compete with China: JATO Dynamics

Chinese manufacturers continue to make huge strides in their ability to produce competitively priced electric vehicles (EV), sparking a shift in market dynamics, according to JATO Dynamics’ latest report EV price gap: A divide in the global automotive industry.
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Mercedes G63 Is Best-Selling AMG In Europe, BMW M Sales Up 58%

For the most part, we've seen positive sales figures for automakers through much of 2023. With some extra help from the analysts at JATO Dynamics, we uncovered a particularly interesting factoid that comes as something of a surprise. High-performance luxury vehicles are doing quite well in the US and especially well in Europe. And one brand is standing far above the rest.
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Transplant Factories, Joint Ventures Will Blunt China’s Electric Car Impact

Europe's manufacturers are braced for a Chinese electric car sales onslaught but the impact will be mitigated by their establishment of European factories and willingness to set up local joint ventures.
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JATO’s overview of local markets


Mercedes has recently undertaken rigorous testing in Austria ahead of the launch of its next EV offering, the EQG. The launch of the new model – using a bespoke electrical architecture integrated into the car’s ladder frame chassis – is expected in 2024.

German authorities have created a new EUR 300 million package of subsidies for the installation of solar panels, as well as the installation of a storage battery, for EV owners. Each customer that takes up the offer will receive up to EUR 10,200, although according to reports the budget has already been depleted. Nevertheless, another EUR 200 million is expected to be made available from next year.

Switzerland will see the annual Auto Zurich show open its doors to the public on 1st November. The event is a precursor to the country’s more international Geneva show which will open in February 2024 for the first time since 2019.

Asia Pacific

China has opened its first ‘autonomous driving’ tourist route in the Wuhan Economic & Technological Development Zone. The 35-minute route, starting from the Xiaojunshan subway station and passing through popular scenic spots in the area, has six different stops and covers a total distance of 24 km. The zone has opened 660 km of roads for autonomous driving tests so far.

Xiaomi, the Chinese smart device manufacturer, is working on its first electric vehicle, expected to begin mass production in 2024. In addition to working on its cars, it has recently filed a patent for a new EV wireless charging system.

BYD has introduced two new ‘eBus’ innovations at Busworld 2023 held at the Brussels Expo. The 40-foot long B12 eBus brings a new generation of integrated chassis technology to public transport in Europe, according to the manufacturer. Another vehicle is the 45-foot customisable pure-electric intercity double-decker coach: the BYD-UNVI DD13. It is a collaboration between BYD European coach body-build specialist, UNVI. These new buses join two established BYD models on show at Busworld 2023: the BYD eBus B19 (60-foot) and the 50-foot BYD eBus B15.

Taiwan's Foxconn, the world's largest contract electronics maker, will build a new kind of data centre using chips and software from Nvidia, for a range of applications including self-driving cars. Sharing a stage at Foxconn's annual tech showcase in Taipei, Foxconn Chairman Liu Young-way and Nvidia CEO Jensen Huang said their companies would build these ‘AI’ factories together. "A new type of manufacturing has emerged - the production of intelligence. And the data centres that produce it are AI factories," Huang said, adding that Foxconn had the expertise and scale to build them globally. Huang explained that AI factories could continuously receive and process data from autonomous electric vehicles to make them smarter. "This car would of course go through life experience and collect more data. The data would go to the AI factory. The AI factory would improve the software and update the entire AI fleet," said the Taiwan-born Huang. "In the future, every company, every industry, will have AI factories."

Luxgen Motor, subsidiary of Taiwan-based auto conglomerate Yulon Motor, has unveiled pricing and delivery dates for its new n7 model (a development of the original Foxconn Model C prototype). The EV model received 25,000 initial orders, starting in September 2022. However, Tso Chi Sen, chairman and acting president of Luxgen Motor, said only around 7,000 units are estimated to result in actual sales. Production of the n7 is planned from November and December, and delivery will commence from mid-January 2024. Luxgen are also planning to work with seven local charging station operators to boost national infrastructure.


Kia has announced that it will roll out its new EV9 electric vehicle model in North America in the coming months. However, this only applies to Canada and Mexico, not the US. Reports suggest the choice is probably because two-row mid-size crossovers like the EV5 will not sell well in the market, unlike the EV9. The new EV is built on the same E-GMP platform as Kia’s EV6 and Hyundai’s Ioniq 5. Although the EV9’s specifications differ from each market, the version offered in China includes Level 3 autonomous driving, a 530 km range, a 64 kWh battery and a 160 kW motor. The Canadian version will likely feature similar specifications. There is also an extended-range variant that can travel up to 720 km on a single charge, and an AWD iteration that can reach 650 km.

On October 5, the US Department of Energy reported that more than 4,000 public charging stations, with over 7,000 ports, were out of service. This figure represents a failure rate of over 6%, but is likely much higher. Here Technologies, a specialist company that collects real-time data on connected chargers, counted 4,673 inoperable terminals at that time, but other ‘unconnected’ charging points could inflate the data.

Despite the US government’s commitment to provide USD 100 million in funding to repair and replace non-functioning infrastructure, a labour shortage is likely to slow the process. “Finding a high-level electrician, called a journeyman, especially one trained in EV chargers, is a significant challenge,” said Matt Trout, president of Trout Electric, which services and installs chargers and other electrical equipment in Southern California.

Chinese automaker, Chery, has announced that it will expand operations in the Brazilian market with up to three new brands. Work has already commenced with negotiations at dealership level and provision for local production.

O&J (Omoda & Jaecoo), the company that will run Chery International's operations in Brazil, is to launch the first cars in the first half of 2024. They will be in the form of the J7 SUV, from Jaecoo. At the same time, from a logistics perspective, the company is also studying the best way to bring in and distribute the cars. Additionally, a possible distribution centre is in the plans, but a decision is yet to be made.

Stellantis has announced that it will make hybrids in all its factories in Brazil, starting with the facility in Pernambuco. Goiana Automotive Plant will use a Bio-Hybrid platform in 2024 and will also be the first of the group to produce electric vehicles. The Northeast will also be the starting point for Stellantis' flex hybrids - and also for electric ones. The automaker confirmed that the first cars with the new Bio-Hybrid platforms will be made at the Automotive Plant in Goiana (PE), but assured that all its factories in Brazil will have vehicles made on the architecture.

Production of the models that will debut the flex hybrid base begins in Pernambuco in 2024. In addition, Stellantis made it clear in a statement that Goiana will be the company's first plant in Brazil that will produce 100% electric vehicles - although no date has been set.

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About us

JATO Dynamics, founded in 1984, now has representation in over 51 countries around the world. We provide precision under pressure, providing the world’s most timely, accurate and up-to-date automotive information on vehicle specifications, pricing, sales and registrations for over 30 years. We offer more than just data, as we have watched the world change, and consumer mindsets alter with it we have been able to offer insights that help inform the industry. We are able to react to short-term market movements, plan for long-term developments and ultimately to meet the needs of our clients. Visit JATO at for more information.


Don Gow | Research Manager

Alice Song | Content and Communication Manager