Volkswagen’s Scout Motors is looking to enter the electric vehicle market using a sales strategy that has proven very effective for industry leaders like Tesla. On Thursday, Scout noted that it is planning to adopt a direct sales model instead of using a conventional dealer network.
With such a sales model, Scout would be directly selling and servicing customer vehicles. The company also pledged full transparency on vehicle pricing, as noted in a CNBC report. But while Scout’s decision to adopt a direct sales model is understandable, it also attracted the ire of groups representing U.S. auto dealers.
Introducing the all-new Scout Traveler SUV. It’s a bold, rugged design, with iconic proportions that pays respects to our heritage while looking toward the future.
Click the link to reserve your Scout Traveler SUV.https://t.co/CIZPfHkmPn pic.twitter.com/aOQQqu57tX— Scout_Motors (@Scout_Motors) October 25, 2024
On Friday, the National Automobile Dealers Association (NADA) noted that they are looking to challenge Volkswagen’s decision to sell Scout’s vehicles directly to customers. As per the dealers association, it will “challenge this and all attempts to sell direct in courthouses and statehouses across the country.”
NADA CEO Mike Stanton noted that Volkswagen’s decision to “attempt to sell Scout vehicles direct to consumers and compete with its U.S. dealer partners is disappointing and misguided, and it will be challenged.”
Introducing the all-new Scout Terra truck. Load up the heavy-duty power tools, the mountain bikes, and the camping gear. With a 5.5 ft bed and ample storage inside, everything comes along for the ride.
Click the link to reserve your Scout Terra today.https://t.co/Udh32q88Xv pic.twitter.com/qlqZV0ArSA— Scout_Motors (@Scout_Motors) October 25, 2024
Scout Motors CEO Scott Keogh, for his part, previously noted that the brand is looking to have about three dozen U.S. retail centers when sales of the Traveler and Terra start in 2027. These retail centers are expected to grow to 100 later on. “I think it’s critical moving into the future in unstable environments to control your customer, control your margin, control your operational excellence,” Keogh noted.
Scout is looking to produce up to 200,000 Travelers and Terras per year beginning in 2027 from its South Carolina plant, which is still being built. The Scout Traveler SUV and the Scout Terra pickup truck will be offered as all-electric vehicles, as well as hybrids with a range extender.
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News
Tesla suppliers in India hit by Trump’s 25% Auto Tariffs
Trump’s new 25% auto tariffs shook India’s auto market. Tesla suppliers like Tata Motors saw stocks plunge.

Tesla suppliers in India, including Tata Motors and key auto parts makers, saw sharp declines on Thursday after U.S. President Donald Trump unveiled plans to impose 25% tariffs on all imported cars and auto parts.
According to the Trump Administration, the U.S. President’s 25% tariffs will hit imported cars and light trucks coming into the United States by April 2, 2025. By May 3, 2025, Trump’s tariffs will extend to include auto parts. The decision sent shockwaves through the global auto industry, with Tesla CEO Elon Musk noting on X that the impact on the EV giant is “significant.”
Despite Musk’s words, many believe that Tesla will benefit from Trump’s tariffs. Although, it would probably adversely affect Tesla’s plans to enter the Indian market. Tesla has already started the certification process for two vehicles in India.
Following Trump’s tariff announcements, Tata Motors dropped 5%, while Sona Comstar, Tesla’s largest Indian supplier, fell over 4%, dragging the auto sector down 1.2% in India, the world’s third-largest auto market. Reuters reported that Tata Motors-owned Jaguar Land Rover (JLR), which exports luxury vehicles from the UK and Slovakia, relies heavily on the U.S. as a key market.
Other Indian suppliers felt the strain as well. Samvardhana Motherson, a major auto parts provider, slipped over 2%. Meanwhile, Tesla supplier Bharat Forgedipped by 0.4%. The U.S. accounts for 20% of Samvardhana’s revenue and 40% of Sona Comstar’s, with North America as its dominant region. The downturn echoed broader losses among global carmakers like Toyota, Hyundai, Stellantis, and Ford–all of which saw shares slide after the tariff news broke.
Elon Musk
Tesla rolls out Steer-by-Wire improvements to Cybertruck

Tesla is rolling out some improvements to the Steer-by-Wire system on Cybertruck, which is one of the features exclusive to the vehicle as it is not active on any other vehicle in the company’s all-electric lineup.
Steer-by-wire is a steering system that turns the direction of wheels mechanically. It differs from vehicles with typical electric power steering systems in the way that those rely on the steering wheel column to transfer steering torque to the wheels.
There are a handful of EVs that use steer-by-wire, including the Cybertruck, Hummer EV, and Silverado EV. The latter two use a traditional steering column and only have steer-by-wire on their rear wheels, so they differ from the system the Cybertruck uses.

Credit: Tesla
The system has made the massive Cybertruck have better steering, and although its size is large, it is one of the easier Tesla vehicles to steer through tight spaces — granted you have the room.
Tesla is making an improvement to the system, according to a new update that will roll out in the 2025.8.4 Software Update as the steering wheel is now going to give more realistic feedback by adapting to road surfaces, the company said (via Not a Tesla App):
“The steering wheel now gives you more realistic feedback, adapting to different road surfaces for a better driving experience.”
This feature will work alongside another improvement as the Cybertruck’s air suspension ride height is now adjustable through the Tesla App.
Tesla Cybertruck steer-by-wire system helps avoid potential collision
The changes from the update, in terms of the more realistic feedback, will improve the overall feel of the road for drivers, making for a better driving experience.
News
Rivian startup spinoff raises $105M in funding for micro EV production
Meet Also, Rivian’s micro EV spinoff, now a full-fledged startup with $105M in funding. It’s adapting Rivian’s tech for compact EVs.

Rivian’s skunkworks program has turned into a full-blown startup called Also. The new startup, which is separate from Rivian, raised $105 million from Eclipse Ventures. Also will focus on micromobility or the development of micro electric vehicles.
Also started within Rivian, aiming to figure out if the electric vehicle company’s technology could be condensed to fit smaller EVs, including vans, trucks, and SUVs. Eventually, the skunkworks program discovered it could, indeed, fit Rivian’s technology in smaller, more compact electric vehicles, but the project was bigger than Rivian.
“We’ve been taking the Rivian technology stack and adapting it to much smaller form factors and then coming up with some incredibly exciting embodiments of that technology in these very small form factors,” Rivian CEO RJ Scaringe told Reuters.
Rivian will always be part of Also. It holds a minority stake in Also and Rivian’s VP of future programs, Chris Yu, will be the startup’s president.
According to Scaringe, Also plans to debut its first vehicle designs later this year. One of the designs seems to be a bike, as Scringe described it having a seat, two wheels, and a screen with a few computers and a battery.
Also aims to start producing its flagship product by 2026 for customers in the United States and Europe. In addition, it plans to launch consumer and commercial vehicles made for Asia and South America.
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