As editor of InsideEVs magazine, I don’t follow the gas vehicle market as closely as I used to. My colleagues in Engine1 They’ll tell me all the time about new internal combustion vehicles they’re testing, and my reaction is often: “This is great! What He is WhichBut even I was surprised to learn that Acura will temporarily stop production of its best-selling RDX crossover.
Now, dealers are angry that they are losing such an important vehicle at a time when demand for the upcoming electric RSX model may not be as strong as it would have been with the $7,500 tax credit. They may have a point this time.
The must-read morning report on electric vehicle news and technology.
This version starts from Critical materialsour morning report on industry and technology news. Also on deck today: Porsche’s troubles in China continue, and this whole “America needs to own Greenland” thing is bad for auto stocks. Let’s dig.
25%: Acura dealers are angry about the electric car change. They may have a point
Photo by: Acura
I certainly don’t have strong feelings about the RDX. I can’t even remember the last time I drove one. But it is (or was) the kind of competitive mass-market crossover that pays the bills for other things, which is what every automaker needs amid this rocky, expensive shift toward electric vehicles, advanced software, and autonomous driving.
But the RDX will be out for two years before becoming a hybrid model. Meanwhile, Acura is launching a smaller gas crossover, the ADXand RSX Electric—One of the first cars on Honda’s new in-house EV platform, replacing ZDX is produced by General Motors Which was discontinued last year.
(I know there are a lot of shortcuts. I didn’t come up with these things.)
The point is that the RSX’s technology makes it a very big deal, especially for Honda and Acura, which were late to the electric game. After as Car News According to reports, dealers are unhappy because they don’t have a widely attractive crossover at a very uncertain time for EVs without the $7,500 tax credit:
“Canceling production of the RSX on such short notice leaves us hanging,” said Brian Bienstock, vice president of Paragon Acura in New York City.
Bienstock attributed the impasse to Acura’s “stubborn” pursuit of electric vehicles until recently. He said dealers have repeatedly urged a hybrid focus and a diverse approach to powertrain.
Bienstock estimates that MDX and ADX will recover only 20 percent of RDX’s volume, given premium segments. “There is a certain demand for RDX, and when you take it away,” he said, “those customers will look for alternatives in that segment.”
“Acura chose a different strategy, one that was politically correct but wrong for the market,” Bienstock said. “Now the merchants are paying the price.”
Now, we know that very few traditional car dealers are excited about electric vehicles. They were among the loudest voices opposing what they called the “electric vehicle mandate” of the Biden years. But they have some kind of point here: at a time Regulatory strike With changing consumer demand, how can a car company get the timing “right”?
In the future, most U.S. automakers will likely have a mix of gas, hybrid, and electric options; With the Trump administration rolling back strict fuel economy rules, auto companies aren’t under pressure to deliver an all-electric future anymore. But this does not mean that the demand for electric cars will disappear. They are expected to rise as battery costs decline in the latter part of this decade, and furthermore, a post-Trump White House or Congress could restart electric vehicles.
However, car companies do not have unlimited capital to play with. It is not ideal for them to invest in several engines at once and always be “right” about what consumers want.
They may have more electric or hybrid vehicle options in the pipeline, but “soon” doesn’t help your business right now: “You can’t sell to customers two years from now.” “No one is going to wait for that truck,” trader Bienstock told AN. And he’s not wrong.
The next few years are going to be a tough time as all these companies figure out what the future will be like – or don’t.
50%: Porsche’s headache in China will get worse in 2025
Photo by: Porsche
I still believe that after all these years, the Porsche Taycan is one of the best electric cars you can buy. But buyers in China aren’t turning to it as much as they used to, because in their markets, they can potentially do better — and at a cheaper cost, too.
Porsche has been struggling mightily in what has been its biggest market for years, amid a broader shift towards domestic brands over “foreign” rivals. While Porsche had a record year in the US in 2025 (albeit by a small margin), the economic downturn in China was very painful. here Wall Street Journal With more:
Automakers have faced intense competition in China, leading to a protracted price war as rivals cut prices to win over customers, while a long slump in the property market and concerns over the country’s economic growth have led to buyers pulling back from spending on luxury goods.
The company said: “The main reasons for this decline remain difficult market conditions, especially in the luxury car segment, and very intense competition in the Chinese market, especially for fully electric models.”
Other German brands, including Audi, BMW and Mercedes-Benz, have recently reported that the challenging Chinese market has hit demand in the past year.
Meanwhile, as with other automakers, Porsche is betting big on North America to offset China’s losses. But as the Acura example shows, it’s hard to get things right here, too.
75%: Auto stocks fall amid this whole “Greenland” thing.
Photo by: Toyota Norway
As Americans Collective pronunciation of “Uhhhh…” And the Europeans Militarily flexible With President Donald Trump committed to taking control of the autonomous territory of Greenland, the economic fallout has already begun to spread.
This included auto stocks on Monday, especially as Trump threatens to impose tough new tariffs on European countries. here CNBC With more:
German shares of Volkswagen Group, BMW and Mercedes-Benz fell by between 2.5% and 3%, while Ferrari shares listed in Milan fell by about 2.2%, hitting their lowest level in 52 weeks. German Porsche shares fell by 3.2% due to this news.
Shares in Milan-listed Stellanti, which owns well-known names including Jeep, Dodge, Fiat, Chrysler and Peugeot, fell 1.8%.
The moves come shortly after Trump pledged on Saturday to impose 10% tariffs on the United Kingdom, Denmark, Norway, Sweden, France, Germany, the Netherlands and Finland by February 1, furthering his push to make Greenland, an autonomous Danish region, part of the United States.
Analysts believe the auto industry — already shaken by Trump’s tariffs and regulatory changes in the United States — is uniquely vulnerable to these new tariffs because of its highly interconnected supply chains. If any car company thinks that 2026 will be easier than 2025, they are in for a rude awakening.
100%: How can automakers get engines right in 2026?
Photo by: Acura
What is the “right” mix of engines for any automaker? Hybrid, gas, electric, EREV – there’s a lot going on right now. Or should they not waste any time using electricity, and treat this present moment as a kind of speed bump? Share your thoughts in the comments.
Contact the author: patrick.george@insideevs.com
