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UAW expands strike to include 6,800 workers at Stellantis truck plant

Credit: Stellantis

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The United Auto Workers (UAW) union expanded strikes against Stellantis this week, targeting a key truck plant in Michigan with 6,800 workers walking off the job.

UAW-represented workers walked off the job at the Sterling Heights, Michigan plant on Monday, with the UAW saying that Stellantis had the “worst proposal” on the table compared to fellow “Big Three” automakers General Motors (GM) and Ford (via Reuters).

Stellantis’s Sterling Heights truck plant produces the RAM 1500 and is the automaker’s largest and most profitable assembly plant, so the move represents a substantial escalation of the ongoing strikes.

The union noted that the automaker’s proposal was behind Ford and GM on general wage increases, cost-of-living adjustments (COLA), and changes for temporary workers, including pay and the length of time it takes to transition from temporary to full-time. The latest walkouts bring the total number of UAW-represented workers on strike to over 40,000 as the strikes are in their sixth week.

Reuters wasn’t able to reach Stellantis for comment.

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The UAW represents around 150,000 workers total at Ford, GM and Stellantis, and the union has been demanding a 40-percent wage increase for workers over a four-year period, an instant 20-percent wage increase, coverage for workers at future electric vehicle (EV) battery plants, and other benefit-related demands.

“Expanding it to the pickup trucks is really at the heart of what these companies produce,” said Tim Ghriskey, senior investment strategist at Ingalls & Snyder. “Labor is asking for so much. It’s really hard for the automakers to roll over to all of it and if they do roll over, it will punish the stock. It’s a very sticky situation.”

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The news follows the UAW’s decision to target Ford’s highly profitable truck plant in Kentucky earlier this month, with roughly 8,700 workers vacating the job site. It also comes after Stellantis’s decision to cancel its appearance at the Consumer Electronics Show (CES) last week, loosely citing the costs of the ongoing strike.

Late last month, the UAW avoided escalating strikes against Stellantis, while expanding them against GM and Ford, due to progress in contract negotiations with the former automaker. At the time, about 25,000 workers total were on strike across the three companies.

The strike has also caused the automakers to let go of employees at other auto plants, as worker walkouts send ripple effects through the industry. Most recently, Ford laid off 364 employees at plants in Ohio and Michigan, due to a need to reduce part production at each of the sites. Additional layoffs have faced adjacent auto parts suppliers.

It also comes ahead of Ford and GM reporting Q3 earnings this week, which could be used as further leverage in contract negotiations if financials are strong, but could also risk scaring off shareholders if they aren’t. Stellantis is expected to report its earnings the following week, on October 31.

UAW President Shawn Fain said on Friday that there was “more to be won” in negotiations, highlighting that the companies were all “extremely profitable.”

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Fain has previously said that all three automakers had offered a 23-percent wage increase, alongside progress on other issues. He also suggested to workers last week that the talks could be nearing an end.

“That’s the hardest part of a strike,” Fain said. “Right before a deal is when there’s the most aggressive push for that last mile.”

UAW President: Tesla workers are union “members of the future”

What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send your tips to us at tips@teslarati.com.

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Zach is a renewable energy reporter who has been covering electric vehicles since 2020. He grew up in Fremont, California, and he currently lives in Colorado. His work has appeared in the Chicago Tribune, KRON4 San Francisco, FOX31 Denver, InsideEVs, CleanTechnica, and many other publications. When he isn't covering Tesla or other EV companies, you can find him writing and performing music, drinking a good cup of coffee, or hanging out with his cats, Banks and Freddie. Reach out at zach@teslarati.com, find him on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Tesla is offering a crazy choice on Model 3 to help with end of quarter push

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Credit: Tesla

Tesla is offering a crazy choice on the Model 3 to help with its end-of-quarter push, but it is only available in Canada.

Tesla has been offering some pretty crazy incentives to help move vehicles in various markets, including discounts, Supercharging, and other offers.

In Canada, it is offering something pretty crazy: a $5,000 discount or Free Supercharging for life:

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This would bring the price of the two Tesla Model 3 configurations:

  • Tesla Model 3 RWD – $49,990
  • Tesla Model 3 LRAWD – $56,990
  • Tesla Model 3 Performance – $64,990

The offer only stands if delivery is taken by September 30. The company describes the terms and conditions:

“Orders will default to $5,000 off total purchase price, deducted pre-tax. Requires you to contact Tesla to switch promotion to free Supercharging if desired. Supercharging promotion is tied to your Tesla Account and cannot be transferred to another vehicle, person or order, even in the case of ownership transfer. Used vehicles and vehicles used for commercial purposes (like taxi, rideshare and delivery services) are excluded from this promotion. You are still responsible for Supercharger fees, like idle and congestion fees, when applicable. Redeemable only at Tesla-owned Superchargers. Tesla reserves the right in its sole discretion to remove the free Supercharging from your vehicle in the event of excessive charging. “

The $5,000 discount in Canada, or the unlimited Free Supercharging, is a massive deal, as it benefits those looking for a deal or those who plan to use the car as a daily driver.

Tesla offers new deal on used inventory that you won’t want to pass up

Tesla has used a lot of different deals this quarter to help push cars out and bolster Q3 delivery figures.

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  • Lifetime Free Supercharging or $5,000 discount on Model 3 in Canada
  • 1 Year Free Supercharging on Inventory Cybertruck, Model S, Model X in the U.S.
  • 18 Months free Supercharging on Model 3 in the U.S.
  • Lifetime Free Supercharging with Luxe Package on Model S and Model X in the U.S.
  • Up to $2,000 off Model 3 and Model Y Inventory in the U.S.

These deals have all contributed to an increase in demand and minimal vehicle inventory in various markets.

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Investor's Corner

Wall Street firm makes shock move for Tesla Q3 delivery prediction

“[The company should have] strong deliveries in the US as Tesla pushes, and consumers take advantage of, the $7,500 IRA EV tax credit before its expiry at the end of September 2025.” 

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(Credit: Tesla)

A Wall Street firm is making a shocking move ahead of Tesla’s Q3 delivery report, increasing its forecast for the quarter.

Tesla is set to report its deliveries for the third quarter sometime next week at the beginning of October. There has been quite a bit of speculation about Tesla’s performance in terms of deliveries for the quarter, as many firms and investors are curious about how strong it could be.

There have been a few things working in Tesla’s favor, including the removal of the $7,500 EV tax credit, which stimulated demand as consumers wanted to take advantage of the discount before it was no longer available.

Tesla also has launched an attractive revamp to the Model Y this year, which was the best-selling car in the world for the past two years. These two points have helped Tesla with demand specifically this year, but this quarter has been especially strong because of the tax credit phase-out.

With that being said, one Wall Street firm chose to push its delivery prediction for the third quarter up about ten percent.

Tesla makes a big change to reflect new IRS EV tax credit rules

UBS analysts said they adjusted their delivery targets for Tesla from 431,000 to 475,000, stating it was “more in line with buyside expectations in the 470-475k range.”

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The firm continued:

“[The company should have] strong deliveries in the US as Tesla pushes, and consumers take advantage of, the $7,500 IRA EV tax credit before its expiry at the end of September 2025.” 

If it manages to reach what UBS thinks it will, deliveries would be the highest for Tesla since late 2024, and the firm believes it could “potentially [be] the highest ever” for the company in a single quarter.

Tesla delivered over 495,000 cars in Q4 2024, so it would truly need an anomaly to capture that crown in Q3.

For the full year, UBS believes Tesla will deliver 1.62 million cars in 2025.

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Tesla’s ‘Unboxed Process’ patent highlights affordability through efficiency

The process includes utilizing past methods that Tesla has brought into automotive manufacturing, including Gigacasting and structural battery integration, with more efficient “post-manufacturing” processes, like pre-painting. 

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Credit: Teslarati

Tesla has been granted a new patent for its “Unboxed Process” of manufacturing, which aims to enhance affordability for customers by increasing efficiency at the manufacturing stage.

This is one way the company aims to create a larger impact from start to finish, especially with upcoming vehicles. For those who are not familiar, the Unboxed Process was first unveiled by Tesla back in 2023 during its “Investor Day.”

The company brought forth the idea that vehicle manufacturing could shift from traditional assembly lines, making production more efficient, more cost-effective, and more scalable for the future, especially with mass-market models like Cybercab.

The process includes utilizing past methods that Tesla has brought into automotive manufacturing, including Gigacasting and structural battery integration, with more efficient “post-manufacturing” processes, like pre-painting.

Tesla describes the main advantages in the patent:

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“The present disclosure relates to an automated system and method for assembling exterior vehicle parts to a vehicle assembly structure. The system utilizes an automated assembly cell with fixtures corresponding to each exterior vehicle part and references a global datum for precise alignment…The method improves assembly efficiency by compensating for substructure irregularities with an engineered adhesive gap and allows for continued assembly during adhesive curing through tacking operations.”

Instead of traditional welding strategies, the company plans to use a different bonding method, through adhesives.

The patent goes on:

“In described examples, a modular vehicle architecture allows for the assembly of a vehicle in sections, which are then joined in a final assembly operation. This approach eliminates the traditional need for welding stamped panels and applying secondary coatings or painting at the full vehicle assembly level. Instead, the vehicle can be constructed in parts, with metal surface treatments like e-coating and painting applied beforehand.”

The goal behind this manufacturing process is that Tesla will be able to build more vehicles at a faster rate for a lower price, something it believes it will need to accomplish as it addresses autonomy and Robotaxis, which are in higher demand.

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With this rate of speed of manufacturing, Tesla says traditional manufacturing methods have the potential consequence of “compounding errors,” as “any slight misalignment or variance can add up.”

There is a refined focus on efficiency, while also recognizing the importance of build quality. This should eliminate most of the issues Tesla would confront with its current, more traditional, linear manufacturing processes.

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