Good morning! It’s Friday, July 31, 2026, and that is The Morning Shift, your day by day roundup of the highest automotive headlines from around the globe, in a single place. This is the place you will discover a very powerful tales which might be shaping the way in which Americans drive and get round.
In this morning’s version, Ford CEO Jim Farley is bullish on Chinese automotive firms making landfall within the U.S. within the subsequent decade, the Rivian R2 is proving to be the saving grace the EV maker wanted, Amazon’s Zoox wins first U.S. approval for paid robotaxis with out human controls and federal regulators are opened a preliminary investigation into almost 1.2 million Teslas over reviews of suspension failure.
Oh, and if you need a recap of the most recent auto information delivered to your inbox every weekday morning as a result of life is busy and you’ll’t all the time head to our web site, you may join Jalopnik’s free The Morning Shift publication proper right here.
1st Gear: Farley tells workers Chinese EVs are coming fast
During a city corridor with workers earlier this week, Ford CEO Jim Farley as soon as once more made it clear that he thought Chinese automakers had been an inevitability within the U.S. market, they usually’d be right here throughout the subsequent 5 to 10 years. He feels that approach regardless that lawmakers have pushed by a lot of commerce boundaries in addition to precise laws meant to maintain Chinese vehicles from reaching our shores. The info comes from three sources who personally considered the assembly.
This is hardly the primary time Farley has talked about Chinese automakers and their competitiveness. The Blue Oval is now making ready to roll out a household of cheap-ish electrical automobiles which might be — theoretically — engineered from the bottom as much as match the associated fee and effectivity of comparable Chinese vehicles. From Reuters:
The Ford chief, together with different senior leaders, stated in a question-and-answer portion of the city corridor that it’s extra seemingly Chinese firms would enter the market on the latter finish of that vary. The feedback come because the U.S. Senate is pushing to develop a ban on Chinese automotive gross sales on the planet’s second-largest and most profitable auto market.
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Leaders on the Dearborn, Michigan, automaker have beforehand warned that China was on America’s doorstep, however haven’t been as particular with the time-frame as executives had been within the Thursday assembly.
Ford Executive Chair Bill Ford spoke on the subject earlier this month.
“We have to go toe-to-toe with China,” Ford stated at an Axios occasion. “We can’t expect to keep them out forever, and we have to be able to beat them at their own game.”
Chinese automakers have gained vital market share in neighboring Mexico, and underneath a commerce cope with Canada are allowed to promote a restricted variety of EVs there. Auto business specialists see Canada, which is similar to its U.S. neighbor, as a check marketplace for Chinese automakers which might be wanting to promote to American customers.
American customers have signaled growing curiosity in these fashions, surveys present, particularly as inexpensive electrical choices are scant.
Of course, if Chinese vehicles had been to make landfall within the U.S., so much must change fairly rapidly. The U.S. at the moment blocks Chinese EVs from being offered right here by a 100% tariff on high of a U.S. Commerce Department rule banning Chinese software program by mannequin yr 2027 and {hardware} by mannequin yr 2030.
This is, sadly, one of many new bipartisan points left, because the connected-vehicle guidelines had been adopted in January of 2025 underneath President Biden, they usually’ve since been stored in place by Trump. Automakers, similar to Ford, have labored to acquire authorizations underneath the rule to proceed promoting some China-produced automobiles within the U.S.
2nd Gear: Rivian gross sales rise on again on new R2
Rivian is having an actual second within the solar due to its newly launched R2 compact crossover. The electrical car startup narrowed its losses and reported an uptick in second-quarter gross sales and income, including that it now hopes to promote extra EVs this yr than it beforehand anticipated. The firm delivered 12,194 automobiles in Q2 — up from 10,365 within the first quarter.
While Rivian would not escape gross sales numbers by mannequin, it’s extremely seemingly that the R2 represented a great deal of that quantity following its June debut. Folks have been ready for a smaller, cheaper Rivian just about from the second the R1T and R1S got here out, so it is sensible that there was a hell of a whole lot of hype round it. From The Wall Street Journal:
The R2 is at the moment priced round $58,000, undercutting earlier Rivian fashions that would simply cross the six-figure mark. Lower-price R2 variants are additionally coming later this yr and subsequent yr. Rivian executives have expressed hope that the extra inexpensive electrical SUV could make the model a mainstream success.
The firm nonetheless expects the R2 to be gross-profit constructive this yr, Chief Financial Officer Claire McDonough instructed traders on a name. Most automakers have struggled to provide worthwhile EVs in significant volumes.
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While the automaker projected decrease capital prices for the yr than it introduced within the first quarter, Rivian has a protracted option to go to achieve long-term profitability and stability.
The California-based firm posted a internet lack of $837 million, narrowing from a year-earlier lack of $1.15 billion. Revenue for the quarter was up 27% at $1.66 billion, together with a 37% improve in software program income to $515 million.
To make issues extra thrilling for Rivian, the corporate says it is elevating its steerage for the yr. It’s nonetheless projecting adjusted losses as excessive as $2 billion, however that is really an enchancment! Before, estimated losses had been anticipated to tally as much as $2.1 billion. It additionally now expects to promote between 65,000 and 70,000 automobiles this yr.
third Gear: Control-less Zoox can have paying clients quickly
Amazon’s Zoox simply gained U.S. approval for restricted business deployment of its steering-wheel-free robotaxis — a primary for the autonomous experience business. Zoox stated the National Highway Traffic Safety Administration’s determination provides the corporate federal approval to start out charging passengers for rides, and it will waste no time in doing so. The paid service will first begin rolling out in Las Vegas, and extra markets will observe because it completes numerous state necessities. From Reuters:
The exemption granted by the company from federal guidelines requiring human controls, first reported by Reuters, marks a milestone for firms growing robotaxis from the bottom up, moderately than modifying typical vehicles underneath security rules written lengthy earlier than self-driving expertise emerged.
Along with Zoox, whose electrical carriage-style car has two rows of inward-facing seats and a high pace of 75 miles (120 km) per hour, others similar to Tesla and Alphabet’s Waymo are racing to develop autonomous ride-hailing providers within the United States.
NHTSA Administrator Jonathan Morrison instructed Reuters that Zoox had acquired clearance to commercially deploy as much as 2,500 automobiles in every of the following two years.
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The company stated it decided the car is as secure as an equal car assembly federal motorized vehicle security requirements which might be being waived. Zoox can’t promote any of the automobiles to the general public.
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As a part of the exemption, NHTSA is putting further reporting necessities on Zoox for points similar to crashes or stopping inappropriately on roads, and the regulatory company will alter the circumstances primarily based on how the automobiles behave.
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All distant operators should be situated within the United States, NHTSA stated, and Zoox should publish maps of areas indicating the place the automobiles are working.
Currently, Zoox carries passengers in elements of Las Vegas and San Francisco as a part of testing, however these people do not pay. This new approval would enable Zoox to cost them charges, topic to state and native approvals.
4th Gear: NHTSA probes 1.2 million Teslas for suspension failure danger
The National Highway Traffic Safety Administration stated it’s opening a preliminary investigation into nearly 1.2 million Teslas over reviews of suspension failures that would trigger the minor subject of, ya know, a lack of steering management. No biggie.
The federal regulator says its Office of Defect Investigation acquired 156 complaints that allege the decrease lateral hyperlink indifferent in sure 2018-2020 Model 3 sedans and 2021-2023 Model Y crossovers. From Reuters:
NHTSA stated the suspension failure may depart the car undriveable and require it to be towed.
Tesla didn’t instantly reply to a Reuters request for remark.
NHTSA stated most complaints indicated there was no advance warning earlier than the failure, although some homeowners reported noises beforehand.
The company stated it was not conscious of any crashes, accidents or fatalities associated to the reported defect.
NHTSA is at the moment conducting a preliminary analysis, the primary stage of its defect investigation course of, which may result in a recall if the company finds a safety-related defect.
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Reuters reported in 2023 that Tesla had internally tracked power failures of suspension and steering parts for years, even because it continuously blamed the injury on driver abuse in communications with clients and U.S. regulators.
Tesla had beforehand recalled automobiles over decrease lateral hyperlink detachments. Back in 2021, about 2,800 Model 3s had been recalled resulting from a manufacturing subject, and in 2023, a recall involving 422 Model 3s concerned the identical subject. However, NHTSA stated the reported failures of this new investigation lengthen past the scope of these remembers and do not look like associated to the manufacturing subject that prompted them
Reverse: I heard you paint homes
Listen, I do know the occasions of “The Irishman” are most likely inaccurate, however I feel it might be fairly slick if Robert De Niro killed Hoffa with the assistance of Jesse Plemons. Also, as a aspect observe, rising up in northern New Jersey meant that I used to be all the time instructed that Hoffa was constructed underneath Giants Stadium, so you may think about my disappointment after they tore it down, and he wasn’t there. Anyway, if you wish to study extra about Hoffa’s disappearance, head over to History.com.
The Fuel Up
Ugh! Gas costs are persevering with their sluggish march upward. While we aren’t seeing the identical large jumps we had been seeing earlier within the yr, the “death by a thousand cuts” will increase aren’t precisely nice both. Not serving to issues are the frequently elevated WTI Crude Oil futures and Brent Crude costs, which had been sitting at $86 and $89, respectively, on the time of publication.
Here’s the place nationwide common costs stand proper now, in accordance with AAA:
All of that is to say that the typical worth of a gallon of standard fuel was up one other cent in a single day to $4.11, in accordance with AAA. We’re nonetheless a great bit off from the 2026 excessive of $4.56 that we noticed again in May, however I would not depend out breaking that document as a definite risk earlier than the yr is up.
On the radio: Rebecca Black – Friday
I do not know if there’s one thing within the air, or if it is the truth that all of my siblings are on the town for the primary time for the reason that holidays, however I’m extremely excited for it to be Friday. Enjoy your day, my buddies. Once you are carried out studying each last item on this right here blogsite, disconnect and go exterior. It’s going to be a stunning day.
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