Subaru’s Todd Lawrence and Jim Pernas talk service department challenges. Honda will discontinue the electric Prologue next year. Foxconn postpones the U.S. release of a midsize EV crossover due to tariffs. Plus, tough competition in China derailed Volvo’s sales in the first half of the year.

July 17, 2026 | Subaru’s Todd Lawrence and Jim Pernas talk service department challenges; Honda discontinues electric Prologue

Automotive News Daily Drive

Welcome to Daily Drive for Friday, July 17, 2026. I'm Kellen Walker in Las Vegas. Today on the show, Honda will discontinue the electric Prologue next year. Foxconn, the Taiwanese iPhone maker expanding into electric vehicles, postponed its U.S. release of a midsize EV crossover due to tariffs. And tough competition in China derailed Volvo sales in the first half of the year.

Plus, two Subaru execs talk about the challenges service departments are facing today. We know people are holding their cars longer, no question about it. Let's run through all the news you need to know to keep up in the auto industry. Foxconn, a Taiwanese iPhone maker expanding into electric vehicles, postponed its U.S. launch of a midsize EV crossover due to tariffs.

It will pivot to producing vehicles in Poland and will pitch a new taxi for Japan to continue its international growth strategy. Foxconn planned to deliver its Model C midsize utility vehicle to a U.S. client it has not publicly identified. If the political situation were to change, the company might reassess. The move shows how automakers and suppliers are dialing back U.S. production plans due to tariff volatility and reduced federal incentives.

Honda confirmed plans to axe the electric Prologue next year, marking the end of the company marketing an EV in the U.S. The company canceled plans to build three upcoming EVs in the U.S. back in March. Despite initial success, after the Trump administration eliminated the EV incentive, sales of the Prologue decreased significantly. The company is expected to further prioritize gasoline electric hybrids as well as gasoline models.

July 17, 2026 | Subaru’s Todd Lawrence and Jim Pernas talk service department challenges; Honda discontinues electric Prologue

Read the full transcript

The candid version is on a podcast,
not the earnings call.

July 17, 2026 | Subaru’s Todd Lawrence and Jim Pernas talk service department challenges; Honda discontinues electric Prologue

Read the full transcript

The candid version is on a podcast, not the earnings call.

The candid version is on a podcast,
not the earnings call.