Auto Industry News: Slow Chicago, Worsening Vehicle Dependability, and a Really Bad Week for Self-Driving Cars

The Chicago Auto Show opens in the Windy City with a dismal two debuts on the agenda, feeding rumors that poor automaker participation is killing the traditional auto show. Manufacturers have their own challenges to deal with, however, as J.D. Power’s annual survey reveals that new-vehicle dependability is slipping. Plus, representatives for GM’s Cruise are still looking to buy their way out of a public hearing in California, while their competitors at Waymo are trying to figure out who torched a robotaxi over the weekend. The Engine Block has details on all these headlines and more in this week’s Auto Industry News.

Sleepy in the Windy City

The 2024 Chicago Auto Show, billed as the nation’s largest and longest-running auto show, is struggling to maintain the shine of its former glory, despite ringing in its 116th year.

The last-minute absence of major automaker Stellantis left a noticeable gap on the docket, forcing organizers to consolidate exhibits from the usual two main hallways of McCormick Place down into one area. Additionally, the auto show most known for its truck reveals didn’t have a single one – for the second year in a row. In fact, new vehicle debuts were limited to just two, both refreshed models from Kia.

Only Two New Debuts

The 2025 Kia Carnival minivan showed off boxier, SUV-inspired styling along with bigger touchscreens, updated safety technology, and an all-new 242-hp hybrid powertrain. By borrowing the 1.6-liter turbo four setup from the Kia Sportage and Sorento hybrids, the new Carnival should be better positioned to compete with the hybrid family-hauling Toyota Sienna and Chrysler Pacifica.

Kia also pulled the covers off a refreshed K5 sedan. Already an attractive mid-sizer, the K5 gains some handsome styling updates for 2025 – both inside and out.

A revised front end with new lightning bolt-shaped DRLs adds some sleek, angular styling to the exterior, while a new standard 12.3-inch central touchscreen and upgraded interior materials ensure drivers feel like they’re getting incredible bang for their buck.

While not debuts, the 2025 Ford Explorer and 2025 Chevy Equinox are gracing the Chicago show floor this week as well, giving attendees a close-up look of the new models. And those itching to see the wild new Cybertruck will have a chance too, as Tesla joined the Chicago stage for the first time this year.

Automakers are serving up interesting concepts as well – like the Hummer EV EarthCruiser and Nissan Forsberg Frontier – demonstrating for customers just what’s possible with enough time and money.

In Case You Missed It…

A smaller and more cost-effective Rivian EV is set to make its debut on March 7. The company announced the new model, dubbed “R2,” in a social media teaser on X/Twitter last week. Speaking with investors, Rivian CEO RJ Scaringe said the midsize SUV will sit in the $45,000-$50,0000 price range, an area of the market where he sees great potential for the brand. The R2 will ride on a new global platform, which will be built at Rivian’s forthcoming manufacturing plant in Georgia, and should enter production sometime in 2026.

Vehicle Dependability Slipping

Last week, J.D. Power shared the results of its 2024 U.S. Vehicle Dependability Study – and offered validation to anyone who’s complained “they don’t make things like they used to” while jabbing at a buggy touchscreen. According to the survey, long-term overall vehicle dependability is slipping.

Owners reported increased levels of problems for nearly two-thirds of brands included in the study, raising the industry average 4 problems per 100 vehicles (PP100) year over year to 190 PP100 from 2023. This information is based on responses from 30,595 original owners of 2021 model-year vehicles after three years of ownership.

Frank Hanley, senior director of auto benchmarking at J.D. Power, called the deterioration of vehicle dependability “unusual,” since the results of this study historically mirror the results of the respective model year in the J.D. Power Initial Quality Study. He suggests the dip could be attributed to the “tumultuous time during which these vehicles were built.”

Buggy Tech, Confusing ADAS

Technology remains a major sticking point for consumers. Once again, infotainment topped the study’s list of gripes, representing nearly twice as many problems as the next closest category (exterior). Owners report the most issues to be with voice recognition and Apple CarPlay/Android Auto connectivity.

Another area seeing an uptick in reported problems is driver-assistance alerts. The study shows that, even after three years of ownership, drivers are struggling to make sense of the many onboard bells and whistles. The issues are reported across multiple features including, but not limited to, lane departure warning/lane keeping assistance and forward collision warning/automatic emergency braking.

It wasn’t all bad news, however. For the second year in a row, Lexus took top honors overall while Toyota ranked highest in the mass market segment. The top three brands showing the greatest improvement in the number of problems were Porsche, Mercedes-Benz, and Toyota.

Did you know…?

Vehicle owners might be frustrated by infotainment and ADAS technology, but they’re quick to invest in built-in and aftermarket dashcams. According to a study by research and consulting firm AutoPacific, roughly one-third of people who plan to buy a vehicle within the next few years also want a dashcam on board. In addition to using the accessories to record track laps and off-road trail rides, the survey indicates drivers are interested in the peace of mind a dashcam provides during crashes, traffic infractions, and road rage incidents – all of which are up across the country.

Cruise Raises Settlement Offer

GM’s Cruise appeared before a judge with the California Public Utilities Commission (CPUC) this past week to discuss the self-driving company’s $75,000 settlement offer for regulators. Cruise is hoping the payment will be enough to resolve the state’s investigation into the company’s failure to disclose certain details in an October pedestrian crash. It is also hoping to avoid a messy public hearing, during which the CPUC would share its investigatory findings.

The presiding Judge Robert Mason did not seem particularly amenable to Cruise’s hopes – nor its offer.

In addition to questioning why Cruise deserved “discounts” to a potential $1.5 million penalty, the judge compared the company’s behavior to that of the manipulative Eddie Haskell from TV’s “Leave It to Beaver.” He suggested the tech company be required to pay at least $112,500, to which Cruise immediately agreed.

However, the higher offer and conciliatory remarks may not be enough to save Cruise from further headache. Judge Mason closed the hearing without making an official decision, though he seemed to lean toward rejecting Cruise’s offer and letting the full hearing run its course. He is expected to issue a written recommendation within 60 days, at which point it will be voted on by the CPUC’s five-member board of commissioners.

What Else You Need To Know This Week

Here are a few headlines we’re keeping an eye on and think you should too.

Waymo Draws Regulatory Review – and Crowd Vandalism

As public trust in self-driving tech dissolves amid Cruise’s legal woes, it appears Waymo may be suffering from guilt by association. First, California lawmakers introduced new legislation that would limit self-driving operations – mere days after the AV company detailed its expansion plans in the state. Then, news broke that a Waymo robotaxi clipped a cyclist in San Francisco, causing minor injuries and setting off a NHTSA investigation into the incident.

The most recent bad news for the company arrived this past weekend when a crowd vandalized and set fire to a self-driving taxi during a Lunar New Year celebration in the city. Eye witnesses reported that several people surrounded the vehicle, breaking its windows and graffitiing the car. A firework was tossed inside, engulfing the vehicle in flames and leaving little more than a charred husk by the time firefighters left the scene.

Thankfully, the vehicle was not transporting any riders at the time and since Waymo can operate without safety drivers, the taxi was empty.

UAW Organizing Efforts Built Momentum

This year, the UAW made it clear that nonunion automakers should expect to see their organizing campaigns popping up frequently and without warning. So far, the plan seems to be paying off, as the union reports forward movement on its recruitment efforts.

At a Tennessee Volkswagen plant, over half of the 4,100 eligible workers have signed union cards in less than 60 days, according to the UAW. The milestone marks the first non-union auto plant to publicly announce majority support among the dozens of auto plants where workers have begun organizing in recent months.

UAW organizers also report that more than 30% of workers at Mercedes in Vance, Alabama, and at Hyundai in Montgomery, Alabama have signed union cards, announcing public campaigns to join the UAW. The union’s next big test will be to see if it can successfully push those support numbers to 70%, at which point the UAW will seek formal recognition with the National Labor Relations board.

Second Year for Thin Super Bowl Vehicle Ads

For the second year in a row, automakers showed they’re being cautious with their marketing dollars. Once again, only four brands purchased spots during the event, with one (Toyota) apparently being strong-armed by CBS to participate. Cost estimates placed a 30-second advertisement at about $7 million.

The commercials ranged from heartfelt to humorous, with Volkswagen’s nostalgic celebration of 75 years and Kia’s nod to family both tugging at the heartstrings, while BMW’s myriad Christopher Walken impersonations and Toyota’s off-road driving reactions both tickling the funny bone. Notable exclusions this year included both GM and Stellantis, the latter of which said it was conserving money due to a “challenging U.S. automotive market” and tough labor negotiations.

The Engine Block is your one-stop source for any and all auto industry news. Keep an eye on our weekly round-up of enthusiast coverage, product reviews, vehicle spotlights, auto show/expo features, and more. Be sure to check back this week for a rundown of winter car cleaning products, reliable anti-theft strategies, and an overview of the Big 3 truck landscape in 2024.