Plan To Bring Cupra-Branded Automobiles To US Moves Forward

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Pity poor Volkswagen Group. It has been struggling to construct a major presence within the US car marketplace for a long time, however has by no means turn into the quantity vendor it wish to be. It produces the battery-electric ID.4 at its US manufacturing facility in Chattanooga, Tennessee, however doesn’t supply its sportier variant — the ID.5 — in America. Individuals who need an ID. Buzz in America can now order one, however it’s fairly dear for what you get. Volkswagen says it can quickly introduce the brand new Scout brand to the US, regardless that few folks alive keep in mind the unique Scout. And now comes phrase that Cupra, the sporty sub-brand of SEAT, can also be contemplating a run on the US market someday earlier than the top of this decade.

Since most Individuals have by no means heard of Cupra, right here’s a brief primer. SEAT is a Spanish automotive firm owned by Volkswagen Group. Its autos are largely clones of Volkswagen fashions it manufactures in Martorell, Spain, which is close to Barcelona. Within the Nineteen Nineties, when SEAT began competing within the World Rally Championship, its vehicles carried the Cupra model — a mixture of the phrases “cup” and “racing.” After tasting some success in worldwide competitors, the corporate determined to promote Cupra-badged vehicles that had extra sporting pretensions than their common choices. Cupra thus grew to become generally known as the efficiency division of SEAT in a lot the identical approach that Polestar was for Volvo and AMG was for Mercedes. In 2018, it was established as a separate model.

The primary battery-electric automotive to hold the Cupra title was the Born, launched in 2021. Final spring, there have been quite a few stories within the motoring press that instructed Cupra was planning to promote vehicles in the USA. These stories claimed the model would promote solely electrical vehicles in America. One report by Motor Authority mentioned Cupra had already expanded past the European market and was promoting its vehicles in Mexico and different Latin American international locations. Within the US, it might give attention to choose states on the East and West Coasts and alongside the so-called Solar Belt.

On the time, Wayne Griffiths, the top of Cupra, mentioned no less than two fashions, each of them electrical, could be coming to America. One could be an electrical model of the Formentor, a compact crossover associated to the Volkswagen Tiguan.  The opposite mannequin confirmed by Griffiths was a bigger SUV scheduled to be in-built North America. He additionally mentioned Cupra autos could be provided within the US utilizing a “new distribution model.” On the time, it was presumed he meant a subscription mannequin or probably direct gross sales that skip franchised dealerships, just like how Tesla markets its vehicles.

The electrical vehicles from Cupra had been imagined to be primarily based on the SSP platform beneath improvement by the guardian firm, however that mission has been pushed again by a number of years as a result of issues getting it to fulfill the corporate’s expectations. These difficulties are one cause why Volkswagen Group simply shoveled $5.8 billion into the company coffers of Rivian, which is supposedly going to unravel these issues as soon as and for all. In China, Volkswagen has outsourced the event of its subsequent era electrical automotive platforms to Xpeng. Hiring each Rivian and Xpeng to do what it could actually’t must be a severe blow to the as soon as proud German firm, the place engineering excellence is assumed to be a part of the DNA.

The Plans For Cupra Have Modified

A whole lot of water has flowed beneath the bridge since final spring. What appeared like a good suggestion then doesn’t appear so interesting now. Individuals’ enthusiasm for electrical vehicles has cooled considerably and there’s a new administration coming to Washington, DC that’s decided to slap tariffs on every thing imported into America whereas tearing up the federal incentives presently in place for electrical automotive patrons. In line with Motor AuthorityCupra’s plan to solely promote electrical autos, beginning with a pair of crossovers, has been deserted. Now the plan is for Cupra to supply gasoline, plug-in hybrid, and electrical autos in America. A Cupra USA division has been established to supervise the US market, headed by Bernhard Bauer, Cupra’s former head of the German market.

The distribution plan has additionally been up to date. Cupra now expects to group up with Penske Automotive Group — one of many largest in America — to collectively set up a US gross sales community. Cupra mentioned lately it’s in talks with the Penske vendor group a few attainable partnership. In a press release, Griffiths mentioned a robust distribution and retail technique is important for achievement within the US and that Penske Automotive Group’s presence out there and previous expertise with different Volkswagen Group manufacturers, makes it a promising potential associate.

Sharp-eyed readers will instantly discover two issues about this announcement. First, a “promising potential partner” is a well mannered approach of claiming nothing has been determined but. Penske Automotive has a protracted historical past of success in competitors and in car gross sales. It has been across the block a time or two and isn’t making any binding agreements till all the company due diligence has been accomplished, all of the i’s are dotted, and all of the t’s crossed.

Second, the extremely touted new Scout division was additionally imagined to manufacture and promote solely battery-electric vehicles. However now it too is backtracking on that dedication and saying a lot the identical issues as Cupra — its choices will characteristic gasoline engines, plug-in hybrid powertrains, and a few battery-electric fashions. It virtually appears Volkswagen Group is intentionally making an attempt to supply autos to US prospects that don’t have the phrase Volkswagen on them wherever. Maybe there are nonetheless US car-buyers who keep in mind the horrible stench from the Volkswagen diesel dishonest scandal and and are staying away from Volkswagen showrooms in droves due to it. How Volkswagen sellers in America would take the information that the guardian firm is circumventing them is anyone’s guess, however it’s unlikely they are going to take kindly to the concept.

The Takeaway

Earlier this yr, Wayne Griffith mentioned the timing for Cupra to enter the US could be linked to its success in transitioning to an all-electric lineup in Europe. Earlier than Cupra could make its technique to the US, Griffiths says it must get stronger in Europe. “The investment for making cars ready for America is considerable, and I think we need to be stronger first in Europe and make sure we’ve done our homework,” he mentioned.

Which may be so, but when Volkswagen is pulling again on its electric car plans at Porscheit’s a protected guess that an all-electric lineup at Cupra is getting additional away reasonably than nearer. We hear quite a bit about Volkswagen pivoting to plug-in hybrid vehicles, however have seen little motion towards that purpose. A subsidiary query is whether or not these plug-in hybrid autos will likely be compliance vehicles with a piddling 30 miles or so of battery-only vary, or extended range EVs which are the most well liked factor within the Chinese language automotive market at this time. EREVs may be acceptable to those that need to see the EV revolution succeed. They’re type of a gateway drug to battery-electric vehicles. But when not, then why trouble? Simply bolt in a gasoline engine and be finished with it.

The percentages among the many workers right here within the halls of CleanTechnica, the place the theme is all Norwegian wooden, aren’t any higher than 50/50 that Cupra will ever truly convey its vehicles to America. When requested his opinion, our resident Zen grasp mentioned “We’ll see.”