The Downshift, which is a roundup of the latest developments in the automotive sector and car culture, curated by The Drive‘s editorial team. Each headline gets distilled into a sentence or two, paired with a link to the source for those wanting further details. Senior Editor Adam Ismail is currently on assignment, and I’ll be your guide today, but he’ll return on Monday, so don’t worry.
Here’s what’s heating up on Friday, October 2, 2026, as the crisp fall breeze sets in:
📈 Nissan’s revival strategy is proving effective. The Japanese carmaker has achieved 19 consecutive months of sales growth, with Infiniti reporting its strongest third-quarter figures since Covid. Nissan’s retail sales increased by 6.8% despite a 45% drop in rental fleet sales. [Automotive News]
☠️ Mercedes-Benz has discontinued the EQE sedans, Maybach EQS SUV, and AMG S63 sedan as the German manufacturer streamlines its offerings amid a looming financial strain. [Car and Driver]
📊 Not surprisingly, Americans are suddenly showing interest in compact sedans and SUVs now that gas prices are climbing. Sales of larger SUVs like the Chevrolet Tahoe and Suburban are declining, creating difficulties for American automakers heavily reliant on body-on-frame trucks and SUVs for profit. [Wall Street Journal]
🔥 Volkswagen is nearly giving away its current stock of ID. 4 electric vehicles sitting at dealerships. The carmaker is running clearance sales to reduce inventory as the ID. Tiguan replacement is on the horizon. [Motor Trend]
🐏 Ram has surpassed Jeep as Stellantis’ most significant and largest brand. This change marks the first time since it was separated from Dodge in 2009 that the truck brand leads the company’s portfolio. Ram 1500 sales increased by 73% in Q3, resulting in a 29% rise for the brand, while Jeep’s sales fell by 20%. [Automotive News]
🏴☠️ The 2027 Honda Civic Type R has been unveiled with increased downforce, improved cooling, heated seats, and significant chassis modifications. The 315-horsepower turbocharged four-cylinder remains, along with the beloved six-speed manual transmission. [Road & Track]
👑 GM has retained its sales leadership in the U.S. for now, but Toyota, the world’s largest automaker, is rapidly gaining ground. The extensive range of hybrids and smaller, fuel-efficient vehicles from Toyota is a strong advantage that General Motors doesn’t possess. GM’s main profit source is body-on-frame trucks and SUVs, none of which are hybrids. [Reuters]
🪵 The 2027 Toyota Grand Highlander Woodland Edition has debuted with all-terrain tires and updated suspension springs, leading to an increase in ground clearance by half an inch. However, this configuration reduces the model’s towing capacity from 5,000 pounds to 3,500 pounds. [Motor1]
✂️ Volvo has just withdrawn its projections for full-year sales volume, citing worsening conditions in China and a slower-than-anticipated recovery in the U.S. market. This projection was accompanied by a warning of significant impacts on third-quarter earnings due to lower-than-expected sales. [Bloomberg]
🔋 The Tesla Model 3 has been updated with a larger 16.0-inch touchscreen. Performance versions now feature a black headliner, an improved driving range that increases from 309 miles to 316 miles, and reportedly “better peak power at 528 hp.” The automaker also stated that Model 3 Premium AWD models accelerate even faster. [Tesla on X]
🔌 Tesla has also introduced a new Emergency Drive Away feature, allowing owners to shift their vehicle into Drive while still connected to a Supercharger. Previously, Teslas would remain in Park with the charge cable attached, necessitating the release of the charge port from the touchscreen, app, or the button on the handle, and then waiting for the cable to disconnect. This new safety feature arrives following a tragic shooting incident at a Supercharger. The use of this feature may cause damage to the vehicle, with the company stating, “Utilizing this feature will harm your vehicle and the Supercharger.” [Electrek]
Have a tip? Contact us at [email protected]
Do you have a tip or feedback for The Downshift? Reach out to [email protected]
