Extra, Extra....Read All About It!

[J. Sweat]

Volkswagen Group is the parent company based in Germany. Since VW is an investor in Scout Motors, it is relevant to VW shareholders who have a right to know how VW is spending its money. Scout Motors is an independent company, not part of Volkswagen Group of America (responsible for VW, Audi, Bentley, Bugatti, and Lamborghini in the USA, along with Electrify America and Volkswagen Financial Services).
It's not a surprise that the Harvester engine is coming from Mexico. VW doesn't make engines in the USA, and the cost of importing a tariffed engine is still cheaper in the short term than building an engine plant here from the ground up.

You may have missed the excerpts that I posted where VW Group very much indicated that Scout Motors is not merely an investment. They are directing Scout Motors decisions. It’s more akin to a subsidiary. That is not the impression I think most folks here previously had.

 

[Chuckles]

You may have missed the excerpts that I posted where VW Group very much indicated that Scout Motors is not merely an investment. They are directing Scout Motors decisions. It’s more akin to a subsidiary, or worse. That is not the impression I think most folks here previously had.

You may have missed the excerpts that I posted where VW Group very much indicated that Scout Motors is not merely an investment. They are directing Scout Motors decisions. It’s more akin to a subsidiary, or worse actually because a subsidiary is typically independent. That is not the impression I think most folks here previously had.

It makes sense to me that a majority investor in a company will have a say in how their money is spent (unless it's specified in their agreement). How tight the leash is varies. Toyota owns 20% of Fuji Heavy Industries, the parent company of Subaru. Guess what? Toyota has a say in how Subaru does business. Ford owned around a third of Mazda in the 80's and 90's. Their influence was felt at Mazda too (Mazda Navajo, anyone?).
Scout is a kick-ass all-new product designed and built by talented, passionate, and hard-working people in the USA. That's all that matters to me.

 

[Tyler88]

Also I thought about it I think there is still a possibility that the range extender get built in the US but really it depends on how bad the tariffs get for engines shipped from Mexico and if VW does try to build an engine plant in the US or just extend the South Carolina Factory to allow for the range extender to be built there, though I am not someone in logistics or anything like that so I am just thinking this and am not sure how possible any of it is

 

[OH1984]

Also I thought about it I think there is still a possibility that the range extender get built in the US but really it depends on how bad the tariffs get for engines shipped from Mexico and if VW does try to build an engine plant in the US or just extend the South Carolina Factory to allow for the range extender to be built there, though I am not someone in logistics or anything like that so I am just thinking this and am not sure how possible any of it is

Considering the image and multiple statements about being built in America, putting Americans back to work, etc this seems worth the effort to build the harvester engines here also imo.

 

[THil08]

 

[OH1984]

Should be a choice. I love BEV but that’s just me and he’s not wrong.

 

[dreamweaver]

With more EV choses in all vehicle segments and the infrastructure to support them mandates would not be necessary.

 

[OH1984]

With more EV choses in all vehicle segments and the infrastructure to support them mandates would not be necessary.

Agreed. Once tech is up there I think many more will get them. It’s so convenient and drives like a dream.

 

[N Wilson]

Volkswagen Group is the parent company based in Germany. Since VW is an investor in Scout Motors, it is relevant to VW shareholders who have a right to know how VW is spending its money. Scout Motors is an independent company, not part of Volkswagen Group of America (responsible for VW, Audi, Bentley, Bugatti, and Lamborghini in the USA, along with Electrify America and Volkswagen Financial Services).
It's not a surprise that the Harvester engine is coming from Mexico. VW doesn't make engines in the USA, and the cost of importing a tariffed engine is still cheaper in the short term than building an engine plant here from the ground up.

^^^This^^^

I would caution against people reading things like that article and deciding that it means the DTC model is off the table. It's no secret that VW is the sole financial backer of SM, but the details of how Scout has the company structured as an independent entity do matter.

Think about it this way. A lot of really smart and capable people like Cody Thacker and many others are pouring their valuable time and energy into advocating at state legislatures, etc for the DTC model. Do you think they'd be wasting their time on that if they believed it was a foregone conclusion that Scout will be sold at VW dealerships? I suspect the answer is no, and I for one am going to wait and see what happens before jumping to conclusions.

I have faith in Scout and the many dedicated people that are tirelessly working to make the DTC option a reality.

 

[cyure]

^^^This^^^

I would caution against people reading things like that article and deciding that it means the DTC model is off the table. It's no secret that VW is the sole financial backer of SM, but the details of how Scout has the company structured as an independent entity do matter.

Think about it this way. A lot of really smart and capable people like Cody Thacker and many others are pouring their valuable time and energy into advocating at state legislatures, etc for the DTC model. Do you think they'd be wasting their time on that if they believed it was a foregone conclusion that Scout will be sold at VW dealerships? I suspect the answer is no, and I for one am going to wait and see what happens before jumping to conclusions.

I have faith in Scout and the many dedicated people that are tirelessly working to make the DTC option a reality.

Maybe I’m wrong but I didn’t think VW was the only investor. I thought they were the majority investor. And I agree. I don’t think they would put all this effort into DTC if they weren’t serious.

 

[AlanL]

Maybe I’m wrong but I didn’t think VW was the only investor. I thought they were the majority investor. And I agree. I don’t think they would put all this effort into DTC if they weren’t serious.

The Motor Trend interview has a section starting at 27:25 on "Understanding Scout Motors' Relationship with Volkswagen". Scott starts by saying Scout is part of the VW Group as a US LLC reporting into the VW Group. He goes on to say the VW Group is the sole funder right now, but Scout is structured to seek other partners, outside capital, go public if they want. So yes, the VW Group very much cares what happens with Scout and will help them along. But Scout can operate independently where they feel it is necessary. The VW auto brand should have no rights to demand to sell products from other companies that are part of the VW Group. The execs at Scout aren't dummies or posturing posers, I'm sure they are confident of winning in court. Have faith. Now about winning in state legislatures, ...