Last week, the Auto Finance News editorial team highlighted 2021’s top stories as electric vehicle (EV) manufacturers started posting fourth quarter deliveries, showing year-over-year increases across the board as Q4 comes to a close.
Tesla, for one, delivered 308,000 units globally in Q4, up 16% YoY and its 2021 total deliveries increased 87% YoY to 936,000 units, catapulting its stock price 13.5% to $1,199.78 a share from market open. Many domestic OEMs are expected to report sales figures Jan. 4.
Similarly, China EV manufacturer Li Auto’s deliveries increased 143% YoY to 35,221 in Q4, NIO’s deliveries increased 44% YoY to 25,034 units and XPeng Q4 deliveries increased 222% to 41,751 units.
In this episode of the Weekly Wrap, Associate Editor Whitney McDonald and Editor Joey Pizzolato discuss the top stories of 2021 and the impact these themes could have on 2022 after a year of record-high vehicle values, low inventory, accelerated technological advancements and top merger and acquisition announcements.
Auto Finance Innovation Summit, the premier event for technology in auto finance, returns April 25-26 in San Diego. The event will showcase today’s technology and tomorrow’s innovation-driven opportunities to position your company for success in this fast-paced digital era. To learn more about the 2022 event and register, visit www.AutoFinanceInnovation.com.
Editor’s note: This transcript has been generated by software and is being presented as is. Some transcription errors may remain.
Hello, everyone, and welcome to the roadmap from auto finance news since 1996, the nation’s leading newsletter in automotive lending and leasing a Happy New Year to one at all. It is Monday, January 3, and I’m Joey Pizzolato joined by Whitney McDonald. This is our weekly wrap on what happened in auto finance for the week ending December 31 2021, and our first episode of 2022. Over the New Year weekend, electric vehicle companies started releasing their fourth quarter delivery figures in China, which consistent have year over year increases across the board. This includes Tesla, which posted a 16% year over year increase in q4 deliveries to 308,000 units. Tesla’s model model three and model wine led the Evie manufacturers deliveries in the quarter accounting for about 296,000 of the units full year Tesla deliveries total 936,000 units for 2021 nearly doubled 2022 when Tesla delivered just under 500,000 vehicles. Burning Tesla with leaves in q4 deliveries are Chinese Evie manufacturers li auto, Neo and expain. Of the three expain showed the highest jump in deliveries with a 222% increase year over year delivering just shy of 42,000 vehicles. Moving on to last week’s coverage to close out 2021 The Auto Finance News editorial team gathered the top stories from the year including editors picks, top tech stories and the biggest mergers and acquisition announcements of 2021. Whitney, what coverage from the year stood out to you. And what role do you think they’ll play in some of the themes we’ll be exploring as we move into the year?Whitney McDonald 01:53
Yeah, well, I think we can all agree that 2021 was a busy year and on finance. But our team spent the last couple of weeks reflecting on those top stories. And using them as a guide as to what’s to come for this year, we found that one of the biggest things that’s going to continue to progress is the development and implementation of new technologies. Those don’t seem to be slowing down at all. We also saw in 2021 new partnerships bloom as financiers leaned into automation and look toward new advancements in order to streamline the approval process, again, especially as more of those processes moved online. So one example of a partnership that we followed was Axos banks direct lending partnership with Carvana. So through their partnership Axos redirected their direct loan applicants to Caranas website for easier access to more Ghana’s online inventory. So this is just one of the many partnerships that we followed. And we expect even more partnerships in 2022, as fintechs continue to come up with new sets, new systems, new technologies that are going to be interested interesting to those lenders. One new technology kind of as an example, we got to taste them at the tail end of last year is those in vehicle payments. So this allows consumers to make purchases through the technology that’s embedded in their vehicles, infotainment systems, the ability to use this technology at gas stations or restaurants. So we saw this kind of at the end of the year when we followed visa and Daimler partnership announcement to offer those in vehicle payments. I’m guessing more and more OEMs are going to be taking this on, we already know that GM Ford and BMW have also adopted the technology. So that’s just one example of kind of the innovation that we saw this year. Also, it is no surprise that 2021 was a year of high vehicle values both new and used, low inventory low of almost non existent incentives. But in 2022, the chances are that we’re going to be seeing more volume and even more innovation. Hyundai Motor America gave us a look into what’s to come as OEMs continue to get creative. on the innovation side. Hyundai’s evolved Plus subscription service, we followed that as it launched a pilot program. So that service allows consumers to adapt to the electric vehicle style without having to commit to ownership. So that’s just one of those creative ways to get consumers into electric vehicles without necessarily putting down ownership putting down too much money into it. So that is something that we will be continuing to follow. And I think New Tech like this is going to continue to launch into 2022. And it’s type that we follow this year that makes us excited as to what’s to come and I think our expected expectations for this year are pretty high We have on our site, our editor’s picks, our top tech stories and our top merger and acquisition stories from 2021. Those are all available for you to read and kind of reflect on what we covered over this past year.Joey Pizzolato 05:16
Thanks. Yeah, it was, it was quite a year, quarter year, a lot of a lot of trends, like you mentioned that vehicle payments, we were looking at that, you know, in February of 2020. And that trend continues. There’ll be this week, I believe Wednesday, kicks off the CES conference. So I’m sure that there will be a ton of news about connected car technologies, and things like that, at that, at that conference. You know, I also wanted to mention that, you know, the January issue of the magazine was released today, and we have some some great features. We have a profile with Scott, maybe from next year, capital M, we also have a feature on the Canadian auto finance market, no surprise there. It’s similar to the US market with a couple, you know, interesting and fine tuned differences that are really kind of, you know, shaking up that market in ways that that are, you know, a lot different than the US. I thought it was interesting reporting on it at least. And we also had a story from Whitney about the state of the power sports, snowmobile finance market, as we kind of round out the season this year. And I will say, I know hand in this, but is has the best headline, I think we have definitely published all year, and I would imagine, will be one of the best headlines we’ll have all year. So that about ends ends our episode this week. And again, happy New Year to everyone and all of our listeners. Thanks for joining us on the roadmap. And please remember to rate us on whichever platform you use to listen to the program. Follow us on Twitter and LinkedIn and we will see you online at Auto Finance News dotnet and here next time