Honda plans to revive the Element as a hybrid crossover, targeting nearly 100,000 sales in its first full year. An industry group says California could see vehicle sales halt as soon as next week. Plus, Kearney partner Kushal Fernandes explains why the DRAM chip shortage hitting automakers isn’t a typical boom-and-bust cycle — and why relief is still years away.

June 24th, 2026 | Honda Element returns; Kearney's Kushal Fernandes on the DRAM chip crunch

Automotive News Daily Drive

# Full Transcript

**Podcast:** Automotive News Daily Drive

## Participants

- **Kellen Walker** (Automotive News)
- **Irvash Kakaria** (Automotive News)
- **Molly Boygon** (Automotive News)
- **Kushal Fernandes** (Kearney)

## Transcript

This podcast is brought to you by Reynolds and Reynolds. There are three waves of AI transforming our industry. Explore what they are, where AI technology is headed, and what these emerging innovations mean for automotive retailers at rayray.com slash AI dash waves for more info.

Welcome to Daily Drive for Wednesday, June 24th, 2026. I'm Kellen Walker in Las Vegas. Today on the show, Honda is bringing the Element back as a hybrid. An industry group says California could see vehicle sales halt as soon as next week.

And Mitza is taking another look at Tesla's driver assist tech after a deadly crash. Plus, Kearney partner Kushal Fernandes on why the DRAM chip shortage squeezing automakers is unlike anything the industry has seen before. It isn't consumer demand that is driving memory demand. It is an infrastructure build-out that is driven by very well capitalized AI companies who are in effect in an arms race.

Let's run through all the news you need to know to keep up in the auto industry. Honda is bringing back the Element, this time as a hybrid. The automaker plans to begin production of the revived Element crossover at its Ohio plant in the second quarter of 2029. It's targeting nearly 100,000 sales in its first full year. That's according to people with knowledge of the plan who spoke with us at Automotive News.

Slotting between the HRV and CRV, the boxy utility vehicle is expected to take aim at Ford Bronco Sport buyers. We'll have more on this story in a minute with our own Irvash Kakaria. The Alliance for Automotive Innovation is warning that automakers may halt new and used vehicle sales in California as soon as July 1st. That's unless the state delays a vehicle tracking law tied to domestic violence protections.

The Alliance represents GM, Toyota, Hyundai, and most other automakers. It says some elements of the 2024 law are impossible to comply with this year, including in-vehicle technology changes that require extensive engineering across multiple makes, models, and model years. California accounts for roughly 10% of all U.S. auto sales.

And federal regulators are once again taking a closer look at Tesla's driver-assist technology. NHTSA has opened a special crash investigation into a June 19th incident near Houston, where a Tesla Model 3 slammed into a brick home at high speed, killing a woman inside. The Harris County Sheriff's Office says the driver reported using a driver-assist system at the time.

But Tesla's head of AI said in a post on X that the system wasn't engaged without providing evidence. And those are today's headlines. You can find more details on all those stories at autonews.com. Joining me now to talk more about the revived Honda Element is our own Irvash Kakaria, Atlanta Bur...

June 24th, 2026 | Honda Element returns; Kearney's Kushal Fernandes on the DRAM chip crunch

Transcript

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June 24th, 2026 | Honda Element returns; Kearney's Kushal Fernandes on the DRAM chip crunch

Transcript

Built for investment professionals

Every day you wait, your competitors are findingedge in conversations you're not hearing.

Every day you wait, your competitors are finding
edge in conversations you're not hearing.