Comfortable Friday! It is January 30, 2026, and that is The Morning Shift — your every day roundup of the highest automotive headlines from around the globe, in a single place. That is the place you will discover an important tales which can be shaping the way in which People drive and get round.
On this morning’s version, we’re taking a look at Elon Musk’s company consolidation, in addition to China’s ever-increasing gross sales in Europe. We’ll additionally take a look at California’s work on emissions laws, and the return of the minivan.
1st Gear: Elon Musk is contemplating consolidating his firms
Tesla is in a little bit of a bizarre spot proper now, as its automotive gross sales plummet and its CEO insists that it is a robotics and AI firm now. That is, in fact, considerably redundant — Musk already has an AI firm, within the type of xAI and its on-demand CSAM supplier Grok. So, now, it appears Musk is trying to consolidate his empire. He is now trying to merge Tesla with… SpaceX. Or perhaps SpaceX with xAI. From Bloomberg:
SpaceX is contemplating a possible merger with Tesla Inc., in addition to an alternate mixture with synthetic intelligence agency xAI, in keeping with individuals accustomed to the matter, an indication billionaire Elon Musk is weighing the right way to consolidate his empire.
The agency has mentioned the feasibility of a tie-up between SpaceX and Tesla, an concept that some buyers are pushing, the individuals mentioned, asking to not be recognized as the data is not public. Individually, they’re additionally exploring a tie-up between SpaceX and xAI forward of an IPO, a few of the individuals mentioned.
Any transaction may entice sizeable curiosity from infrastructure funds and Center Japanese sovereign buyers, a few of the individuals mentioned. A deal may additionally probably require a big financing element, certainly one of them mentioned.
No ultimate selections have been made, particulars may change and the businesses may resolve to stay separate, the individuals mentioned. Musk and representatives for SpaceX, xAI and Tesla did not instantly reply to requests for remark.
SpaceX nonetheless appears to truly generate profits, so it is a sturdy horse for Musk to hitch the unprofitable wagon of AI to earlier than the entire bubble pops. Will it assist, or simply take down the area firm? Will merging an area firm and a automotive firm that is pretending to be a robotic firm be good for both one? Who is aware of on both rely, however one factor’s for positive: The inventory costs will at all times, at all times go up.
2nd Gear: Chinese language automobiles account for practically 10% of European auto gross sales
BYD is now the largest EV-maker on this planet, and it is pulling the Chinese language auto market alongside to new world heights. The nation now accounts for practically 10% of auto gross sales in Europe, because the continent retains shopping for EVs. From Bloomberg:
Chinese language automakers constructed practically one in 10 passenger automobiles bought in Europe final month, a document share that caps a 12 months of speedy progress led by brisk gross sales of hybrid and battery-powered autos.
With December’s 9.5% share of the European automotive market, Chinese language manufacturers outsold South Korean rivals together with Kia Corp. on a quarterly foundation for the primary time, based mostly on figures from researcher Dataforce. BYD Co. and its friends are poised to make additional inroads as commerce boundaries fall and a Chinese language export push accelerates.
The advance was strongest for the electrified automobiles that account for the majority of Europe’s progress. Chinese language automakers used their aggressive edge in battery know-how to win prospects for EVs and hybrid-electric autos from Spain to Greece, Italy and the UK.
Do not anticipate this share to drop any time quickly, and anticipate to see Canada and Mexico catch up someday quickly. Get able to study Chinese language, buddy. The age of Western dominance is raging in opposition to the dying of the sunshine, however the mild’s dying all the identical.
third Gear: California remains to be engaged on emissions laws, regardless of Trump
The Trump administration is doing its finest to crack down on Californian emissions laws, which drive the hunt for effectivity in lots of different U.S. states. California, for its half, is constant to set emissions restrictions unabated — because it fights the Trump admin in court docket, it is nonetheless assembly with automakers. From Reuters:
California officers are assembly Detroit automakers this week to debate the following part of greenhouse fuel laws for automobiles and vehicles, the state’s prime air regulator mentioned.
California is preventing within the courts and within the U.S. Congress in opposition to President Donald Trump’s efforts to dismantle landmark federal automobile emissions requirements. Governor Gavin Newsom plans an announcement subsequent week that can lay out particulars of a brand new $200 million electrical automobile incentive program that goals to assist fill the hole left after Trump’s price range invoice killed federal tax credit for brand new electrical automobiles final 12 months, Lauren Sanchez, chair of the California Air Assets Board, informed Reuters in an interview.
…
GM confirmed it was assembly with CARB in Detroit on Thursday and mentioned it “has lengthy historical past of dialogue and collaboration with CARB” and added “California has the 4th largest economic system on this planet and is a crucial marketplace for progress and innovation.”
For many years, California has had a few of the nation’s dirtiest air. Different U.S. states have adopted its lead in setting guidelines aimed toward lowering hurt from air pollution.
Infighting between native governments and the nationwide authorities at all times goes nicely, proper? How’d it go for the Balkans?
4th Gear: Minivans are again, child
I am an enormous proponent of the minivan as Household Truckster, and it appears the remainder of the US is coming round to agree with me. Minivans had been up within the U.S. and Canada for 2025, to a level that appears to shock everybody concerned. From Automotive Information:
Minivans. Mega-comeback. That finest describes the people-mover’s recognition in 2025.
The section that Chrysler, its CEO Lee Iacocca and Hal Sperlich, vice-president of product planning, created for the 1984 mannequin 12 months is having fun with a North American renaissance, discovering extra makes use of and new varieties of consumers.
Automakers bought 42,377 minivans in Canada in 2025, up 34 per cent over the earlier 12 months, in keeping with the Automotive Information Analysis & Knowledge Heart in Detroit.
“It was the most important share acquire of any section, and each single automobile in that section had elevated gross sales, which is basically uncommon,” DesRosiers Automotive Consultants Managing Companion Andrew King mentioned.
In the US, 2025 gross sales had been up 20 per cent to 395,352, greater than 1 / 4 of which (110,006) had been Chrysler Pacificas in-built Windsor, Ont.
Volvo says wagons are cool once more, now gross sales information says minivans are cool. Are crossovers now passe?
Reverse: Jinba ittai
And thus, we acquired the RX-7 and the Miata. Blessed be.
On The Radio: Daddy Points – ‘Creepy Woman’
I have been on an enormous Cherry Glazerr and Daddy Points kick just lately, together with the requisite “The Nice Impersonator” from Halsey.