RE:UAW strike against the Big 3 starts next week
Obscure1 wrote: What are the implications?
1) a strike will cost the Big 3 about $500 million in sales per week
2) the UAW wants a 46% raise and get paid for 5 days but only work 4 days
3) the automakers have responded with an offer for a 16% raise for senior workers and a 56% raise for new workers. Why would the Big 3 hire any new UAW workers when they are well along the way on their plans to convert to EV plants.
4) GM just settled with the UAW for a $3 to $4 per hour raise from the $16 per hour at the Ultium cell plant in Warren Ohio. As a comparison, GM is paying $62 to $68 per hour (pay plus benefits) to its ICE workers depending upon how you keep score before the union demand of a 46% pay raise.
5) lets say the UAW settles for something along the lines of a 30% raise over the life of the contract wich will equate to just under $90 per hour. Compare that to the $20 that the EV and battery divisions are paying
The UAW can strike as long as they want. The Big 3 will simply use the 10+ weeks to clear up the huge inventories they have built up. Then the Big 3 will settle and pass the costs on to consumers.
By 2026, Tesla will be on its way to producing about 3 million $24,000 Generation 3 cars per year in the USA (via Freemont and Giga Mexico) that will cost consumers $16,500 after the Federal rebate. In California, consumers can get up to another $7,500 rebate while $5,000 is now available in a number of other states.
What will the ICE vehicles be selling for with the new UAW contract? The downward trend of sales of ICE vehicles is only going to accelerate.
Everybody here hates the CyberTruck, but mark my words, they will be putting a huge amount of pressure on the Big 3 truck sales before you know it. Unlike the Big 3 that just keeps increasing prices, Tesla will be driving prices down relentlessly. I spoke to an electrician friend this week who recenlty bought a Ford Lighting. He told me that it costs him $6 to charge up his Lightning which will go 400 km on the charge. 400 km in his previous Ford 150 would require about 30 litres of fuel at $1.70 per liter or about $50. He travels about 800 km per week. Therefore, his cost is now $12 instead of $100 per week. Now he has no oil changes (saves $500 per year) and no brake wear which also cost him at least $500 per year. So, his savings are about $4,500 to $5,000 on fuel and another $1,000 on oil changes and brakes. He also said the $35,000 tax writeoff this year helped.
My buddy is a self described gearhead who i never thought would buy an Ev and yet he told me "I will never buy another gas vehicle again". I asked him what made him make the decision to change and he replied " I did the math". His monthly lease payment are higher as he bought a much nicer vehicle but he is saving that on fuel and brakes and oil changes. In four years, when his payments disappear, he will be putting $5 grand per year in his pocket. His battery is only guaranteed for 10 years (shoulda bought a Tesla that will last 20 years) but that is twice the life he got out of his previous ICE trucks. The body of the Lightning is aluminum so the abscence of iron means virtually no chance of rust as long as he looks after the truck.
Sooooooooo, my red neck gear head buddy bought an EV truck. I'm a huge EV fan but I never saw that one coming. I asked him if he has any complaints about the Lightning. He said "no, the truck is great but I have had several morons try to run him off the road with their gas trucks". Did I mention red necks???? I asked him what it is like when he goes to job sites? He said every tradesman asks him how he likes the truck. He tells them he loves it and then he starts going on about the savings which is what the guys are really interested in. I asked him why he didn't buy a Tesla and he said he needed a truck now and he didn't want to wait for years. He also said the CT is UGLY :). Did I mention red necks???
The EV's are coming and that is going to have a profound effect on Suncor.
Dispatchable renewable electricity for industry and heating. The impending changes won't have much of an effect of Suncor in Canada as our grid is already very clean and only isolated customers use oil for heating.
Who is Suncor going to sell to?
your hoping and praying there's still huge rebates by 2026. If there's a change in government and a monster ressision all those rebates go out the window
And I still don't get this 500 bucks a year on break wear???? Anybody doing that needs to take a driving course.