Lucid Group announced a plan to cut approximately 18% of its U.S. workforce, affecting full-time employees, contractors, and hourly production workers, as new CEO Silvio Napoli moves to reduce costs and restructure operations. The company expects the restructuring to save about $158 million annually, with severance and related costs totaling around $32 million, and most of the reorganization to finish before the end of the third quarter of 2026. This is the second major round of cuts this year, following a 12% reduction in February, and with roughly 9,000 employees at year-end 2025, the combined effect points to a total reduction of around 2,500 jobs, with the latest round amounting to approximately 1,500 employees. Lucid has also eliminated the chief operating officer position, and Marc Winterhoff, who had served as interim CEO and remained as COO, is no longer with the company. The restructuring follows a turbulent period that included a seat defect halting Gravity SUV shipments, causing more than $200 million in revenue impairment in the first quarter and forcing the withdrawal of full-year production guidance of 25,000 to 27,000 vehicles.
Workforce cut and restructuring to save $158M annually, but also signals ongoing operational struggles and prior revenue impairment from Gravity SUV halt.
Cars.com Report Finds Hybrid Demand Outpacing Supply as Gas Prices Climb
Hybrid shopper interest is running at roughly double the share of hybrids on dealer lots, according to new data from Cars.com. In its latest report, Cars.com said 25% of surveyed shoppers named a hybrid as the powertrain they're most seriously considering, while hybrids make up only about one in eight new listings; the survey of 648 recent car buyers and shoppers was fielded from July 31 to Aug. 6. The mismatch is showing up in how fast the cars sell, with days on the lot for new hybrids falling to 46 in August, down 10% from a year ago, while new hybrid supply grew just 1%, and new vehicles overall sat for 73 days, up from 70 a year earlier. The shopper data lines up with automaker results, as Hyundai said its hybrid sales rose 39% in September and 35% in the third quarter, both records, with hybrids accounting for 28% of September volume, while sister brand Kia said its hybrid sales jumped 152% in September and Toyota North America reported its electrified vehicle sales, which include hybrids and EVs, jumped 29% in Q3 as overall volume climbed only 0.6%. Cars.com points to pump prices as one driver, with gas averaging $4.19 a gallon in August and Energy Information Administration data showing the national average at $4.46 by mid-September, and lead analyst Peter Hoang wrote that with gas prices climbing again, hybrids look positioned to keep benefiting from shoppers hedging against pump prices without fully committing to an EV. The findings come as the EV market enters its first year without federal tax credits, after the $7,500 federal EV tax credit expired on Sept. 30, 2025, with days on lot for new EVs falling to 93 in August, the fifth straight monthly improvement, but still double the time for hybrids, and average new-EV prices falling 11% from a year ago to $57,046.
CARS · Demand · Positive Cars.com's own report shows hybrid shopper interest at double the share of hybrid listings, highlighting its data value as hybrid demand outpaces supply.
000270.KO · Demand · Positive Kia said its hybrid sales jumped 152% in September, a record pace driven by hybrid demand.
005380.KO · Demand · Positive Hyundai said its hybrid sales rose 39% in September and 35% in Q3, both records, with hybrids at 28% of September volume.
7203.JP · Demand · Positive Toyota North America reported electrified vehicle sales jumped 29% in Q3 as overall volume rose only 0.6%, showing strong hybrid demand.
Cars.com Report Finds Hybrid Demand Outpacing Supply as Gas Prices Climb
Hybrid shopper demand is running at roughly double the available supply, according to a new Cars.com report. In the report, Cars.com said 25% of surveyed shoppers named a hybrid as the powertrain they are most seriously considering, while hybrids make up only about 1 in 8 new listings. The survey of 648 recent car buyers and shoppers was fielded from July 31 to Aug. 6 using a nationally representative sample. The mismatch is showing up in how fast the cars sell: days on the lot for new hybrids fell to 46 in August, down 10% from a year ago, while new hybrid supply grew just 1%, and new vehicles overall sat for 73 days, up from 70 a year earlier. The shopper data lines up with automaker results, as Hyundai said its hybrid sales rose 39% in September and 35% in the third quarter, both records, with hybrids accounting for 28% of September volume, while Kia said its hybrid sales jumped 152% in September and Toyota North America reported electrified vehicle sales, including hybrids and EVs, jumped 29% in the third quarter. Cars.com points to pump prices as one driver, with gas averaging $4.19 a gallon in August and Energy Information Administration data showing the national average at $4.46 by mid-September. Used hybrid supply jumped 24% from a year ago, yet those cars are still turning in about 38 days, among the quickest-turning segments in the used market, and the findings come as the EV market enters its first year without federal tax credits after the $7,500 federal EV tax credit expired on Sept. 30, 2025, with days on lot for new EVs falling to 93 in August, the fifth straight monthly improvement but still double the time for hybrids.
Porsche to Raise Prices by Up to £50,000 in Move Upmarket
Porsche will raise prices by up to £50,000 as the German luxury carmaker pushes further upmarket, lifting the average price of its top-end models from €270,000 to €330,000. The 20pc increase applies to its most expensive vehicles, which will grow from about one third of its line-up to 45pc, and in the UK could push a 911 Turbo S Cabriolet from roughly £209,000 to £251,000. Chief executive Michael Leiters said the shake-up is meant to protect the exclusivity of Porsche and gain pricing power, with the company now aiming to break even selling fewer than 200,000 vehicles a year, down from around 280,000 previously. Leiters also announced that Porsche will cut its workforce by a quarter by 2030 on top of 9,000 job cuts already announced, with 40pc of management roles axed, and that it will scale back in China, which has fallen from more than 33pc of total sales to barely 15pc. He said Porsche would keep building combustion engine cars for the foreseeable future and that the 911 will never be electric, while stressing there would be no turning its back on electric power. Separately, Volkswagen is bracing for a £725m compensation bill over mis-sold car finance in the UK, after its UK subsidiary booked a £725m provision and swung from a £136m profit to a £486m loss in 2025.
P911.XETRA · Capital · Negative Porsche will cut a quarter of its workforce by 2030 and scale back in China as it targets break-even on under 200,000 vehicles.
P911.XETRA · Pricing · Positive Porsche is raising prices by up to £50,000 on top-end models to boost pricing power and protect exclusivity.
VOW.XETRA · Regulation · Negative Volkswagen's UK subsidiary booked a £725m provision and swung to a loss over mis-sold car finance in the UK.
VOW3.XETRA · Regulation · Negative Volkswagen's UK subsidiary booked a £725m provision and swung to a loss over mis-sold car finance in the UK.
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Germany pushes for EU approval of Tesla's driver-assistance system; Musk welcomes move
German Transport Minister Birger is advocating for rapid European Union approval of Tesla's driver-assistance system, Full Self-Driving. In a statement on the 6th, Birger said the move followed talks with Tesla last month on numerous technical details and liability issues, and Tesla Chief Executive Officer Elon Musk posted "thank you" in German on X on the 7th, welcoming the German government's support. As part of the talks, Germany agreed with Tesla that Full Self-Driving may exceed the speed limit by up to 10 percent, and Germany plans to support this approach in the European approval process, where speeding is one of the main points of contention. Meanwhile, traffic safety experts and some regulators argue that the speed offset function Tesla uses should be removed before approval in Europe. Birger also revealed that Tesla proposed changing the system's name to "Tesla Assist Driving" to address concerns that the name is somewhat misleading. Full Self-Driving has already been approved in parts of Europe including the Netherlands and Belgium, but several EU member states, including Sweden and France, have expressed concerns about exceeding speed limits, and an EU vote scheduled for October was postponed until at least December while some countries conduct additional testing.
TSLA · Regulation · Positive Germany is advocating for rapid EU approval of Tesla's Full Self-Driving system, easing a key regulatory hurdle for Tesla in Europe.
Porsche to Restructure Business on Assumption of Falling Sales, Focusing on Top Price Segment
German luxury sports carmaker Porsche said on the 7th that it will restructure its business on the assumption of declining sales. Under the restructuring plan, the company aims to lower its future break-even sales volume to under 200,000 vehicles, a level far below last year's total deliveries of 279,449. Porsche's global deliveries have already fallen by nearly 10% since its 2022 listing, hit by a sharp drop in demand in China and U.S. tariffs. At an investor briefing held at its development center in Weissach in southwestern Germany, CEO Michael Leiters argued that the company can turn itself around by focusing on high-end sports cars such as the 911, and said it aims to raise prices for the 10,000 vehicles in its highest annual sales price segment. With this strategy, Porsche has set a long-term target of a 15% group operating margin, and aims for 10-15% over the medium term, roughly within five years. However, its margin has plunged from the upper 10% range four years ago, when it listed, to 1.1% in 2025. Leiters said that under current conditions the company expects to achieve the lower end of its medium-term target, but explained that further improvement will require deeper business restructuring or a more favorable business environment. He said the company will strengthen its management base by cutting development and sales costs, in addition to existing workforce reduction measures and a plan to cut management positions by 40%, and indicated it will expand platform sharing with Audi, a fellow luxury carmaker under Volkswagen, to reduce costs. Following the announcement, the share price rose 3.2%.
P911.XETRA · Capital · Neutral Porsche targets 15% long-term operating margin and cuts development/sales costs and management positions after margin plunged to 1.1%.
P911.XETRA · Pricing · Neutral Porsche plans to raise prices on its top 10,000-vehicle segment while restructuring for lower break-even volume amid falling sales.
VOW.XETRA · Capital · Neutral Volkswagen is Porsche's parent and platform-sharing partner; Porsche's cost cuts and Audi platform sharing affect VW.
VOW3.XETRA · Capital · Neutral Volkswagen VZO shares are affected by Porsche's restructuring and expanded Audi platform sharing under the VW group.
PAH3.XETRA · Capital · Neutral Porsche Automobil Holding is the parent holding of Porsche AG, whose restructuring and margin targets affect its stake value.
Mercedes-Benz Q3 passenger car sales fall 8%, down 31% in China
German luxury carmaker Mercedes-Benz said on the 7th that, amid difficult conditions in the Chinese market, third-quarter sales in its core passenger car division fell 8% year on year, extending its declining trend. Third-quarter vehicle sales totaled 407,200 units, of which the Chinese market accounted for 86,800 units, down 31% year on year. High-end segment sales came to 53,900 units, down 21%, hit by the deteriorating market environment in China and ongoing model changes. In the United States, meanwhile, passenger car sales rose 6%, and in Europe they rose 5%. Group-wide battery electric vehicle sales, including passenger cars and vans, rose 52% to 78,100 units.