In this week’s Tuesday Ticker, automotive executives pursue deep cuts, sell an aftermarket mainstay and invest in electric, connected and autonomous vehicles.
Lean machine
The Volkswagen Group’s supervisory board has approved the largest restructuring program in the Wolfsburg, Germany-based automaker’s history.
The Future Plan 2030 calls for approximately 50,000 additional job reductions worldwide. Those cuts would come on top of an existing German program expected to eliminate about 50,000 positions by 2030.
Under the plan, executives will cut the Volkswagen Group’s model range by about 50% and reduce product complexity by approximately 75% by 2035. Engineering teams will standardize more platforms, electronic architectures, driver-assistance systems and software.
The board has also ordered a review of plants in Emden, Zwickau, Hanover and Neckarsulm. Volkswagen executives estimate the group’s European factories have capacity to make more than 500,000 vehicles beyond current demand.
The plan assumes annual sales of nine million vehicles and targets a 9% operating margin by 2030, compared with 3.8% during the first half of 2026. It allocates €135 billion to capital spending and research and development between 2027 and 2031.
“This is a strong signal for the future of the Volkswagen Group,” CEO Oliver Blume said.
Investors reacted warmly to the news. Volkswagen shares rose 7.9% in Frankfurt trading on Sept. 4.
Supply change
Executives at Myers Industries have completed the US$30-million sale of Myers Tire Supply to Lion Equity Partners.
The transaction removes the automotive aftermarket distribution operation from the Akron, Ohio-based manufacturer. Myers management plans to concentrate investment on engineered plastic, metal and composite products for industrial, infrastructure, consumer and vehicle markets.
Founded in 1933, Myers Tire Supply distributes tools, equipment and supplies used for tire, wheel and undervehicle work. Customers include tire dealers, automotive service centres, commercial fleets and retreaders across North America.
The business has 233 employees. Approximately 77 work at its Akron headquarters, with the remainder working in sales positions and at four distribution centres.
“The completion of this transaction is a defining step in our ongoing transformation,” Myers president and CEO Aaron Schapper said.
Myers shares closed Sept. 3 at US$30.96, up US$0.11 or 0.36%.
Policy extension
Executives at Root Insurance and Carvana have extended the companies’ exclusive embedded auto insurance agreement until at least August 2028.
The Ohio-based Root uses driving and vehicle data to price auto insurance. Phoenix-based Carvana sells used vehicles through an online retail platform.
The companies introduced Carvana Insurance Built with Root in 2022. The system allows a customer to purchase coverage through three selections while completing a vehicle purchase. Customers have purchased more than 200,000 policies through the platform.
According to Root’s release, its app has recorded more than 18 million downloads and its pricing systems have analyzed more than 37 billion miles of driving data. The Carvana product is offered in most of the 37 states where Root writes auto coverage.
“The program results, paired with this renewal, demonstrate the power of giving customers exactly what they want: easy, simple insurance,” Root founder and CEO Alex Timm said.
Root shares closed Sept. 3 at US$55.39, up US$0.52 or 0.95%. Carvana shares closed at US$73.43, down US$0.73 or 0.98%.
Power Plant
Hyundai Mobis executives have started mass production at the South Korean supplier’s first European electric-powertrain plant.
The supplier invested approximately ₩250 billion, or US$180 million, in the Nováky, Slovakia, operation. The 8,500-square-metre plant occupies a 106,000-square-metre site and can produce as many as 280,000 power electric systems annually.
Each system integrates an electric motor, an inverter that converts electrical current and a reduction gear. Production lines at the plant also make stators and other electric-motor components.
The facility is Hyundai Mobis’s third European electrification operation, following battery-system plants in the Czech Republic and Spain. Workers will produce components for Hyundai and Kia vehicles, while the supplier pursues orders from other automakers.
“We will continue to invest and devote our efforts to establishing the Nováky PE system plant as a key electrification hub in Europe,” Hyundai Mobis president and CEO Lee Gyu Suk said.
Hyundai Mobis shares closed Sept. 4 at ₩422,000, down ₩1,500 or 0.35%.
Screen Test
Engineers at Microchip Technology and Marelli have developed an open-standard system for transmitting camera feeds, navigation maps, graphics and control information from a vehicle’s central computer to its displays.
Chandler, Arizona-based Microchip supplies semiconductors and vehicle-networking technology. Saitama, Japan-based Marelli employs approximately 40,000 people at more than 150 automotive manufacturing and engineering locations.
The demonstration system uses Microchip’s VS7000 chipset and the Automotive SerDes Alliance Motion Link standard. Marelli engineers integrated the receiving technology into the display.
The connection supports speeds of up to 16 gigabits per second, link-level authentication, encryption and protection from electromagnetic interference. Open specifications allow automakers to combine components from different suppliers instead of building a display architecture around one proprietary system.
“Open standards play a critical role in accelerating innovation by reducing dependency on proprietary technologies,” Microchip vice-president Kevin So said.
Microchip shares closed Sept. 3 at US$73.11, up US$0.35 or 0.48%.
Freight forward
Executives at PlusAI and Texas Ventures Acquisition III have signed a business-combination agreement that would make the autonomous-truck software developer publicly traded.
The transaction assigns Santa Clara, California-based PlusAI a pre-money equity value of approximately US$800 million. The combination could provide up to US$300 million, including more than US$60 million in committed financing and approximately US$236 million held in the acquisition company’s trust.
PlusAI engineers are developing SuperDrive, a Level 4 autonomous-driving system for factory-built commercial trucks. The company is conducting freight trials in Texas and integrating the system with vehicles from TRATON Group, Hyundai and Iveco ahead of a planned 2027 commercial launch.
Its HyperFoundry development and simulation platform has generated US$25 million in revenue. Management is targeting between US$40 million and US$50 million in contracted revenue during 2026. Executives estimate SuperDrive could eventually generate more than US$1 billion in annual recurring revenue.
“This transaction validates a year of significant execution and operational milestones for PlusAI,” co-founder and CEO David Liu said.
Texas Ventures shares closed Sept. 3 at US$10.55, unchanged from the previous close.
