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A prolonged coordinated strike by the United Auto Workers union against the Detroit Three automakers could cut production by thousands, potentially pushing up vehicle prices and exacerbating supply-chain disruptions, analysts said.

The auto industry is on edge as the current four-year contracts between the UAW and General Motors, Ford Motor and Stellantis for hourly US workers expire on midnight Sept. 14, after which the union’s chief has warned of a possible coordinated strike.

New vehicle prices may rise by less than 2% if the strike lasts about two weeks, according to automotive consulting firm J.D. Power.

“Everyone’s going to see higher prices regardless of the company you buy from if it (strike) continues for more than two weeks,” said Tyson Jominy, vice president, data and analytics at J.D. Power.

He added that companies such as Toyota, Honda and Volkswagen may also benefit if the domestic brands quickly run out of inventory to sell.

Jominy said the used car market, which quickly follows the underlying trends of the new market, may see a greater impact on prices if there are fewer substitutes for buying a vehicle.

CFRA analyst Garrett Nelson said strikes at all three automakers would cut North American auto production by 150,000 units per week, resulting in higher vehicle prices as inventories deplete.

That would mean an end to the trend of cooling vehicle prices in recent months, at a time when inflation continues to pinch US consumers.

“Even if the UAW continues to negotiate beyond its deadline, the lack of a deal and threat of a strike should discourage auto dealers from offering discounts on their existing inventory and drive an uptick in vehicle prices,” J.P. Morgan insurance analyst Jimmy Bhullar said.

Deutsche Bank previously estimated that a strike would hit earnings at each affected automaker by about $400 million to $500 million per week of production.

GM and Ford are also in the midst of a multi-billion dollar EV transition and brokerage Wedbush estimates adoption of some major UAW proposals to result in an increase in the price of electric vehicles rolling out over the next 12 to 18 months.

“(Ford CEO Jim) Farley and (GM CEO Mary) Barra both face some tough decisions ahead and find themselves with the back against the wall,” Wedbush analyst Dan Ives wrote in a note.

The resulting disruptions from any strikes are also likely to benefit EV leader Tesla, industry experts said. Some dealers are also expected to gain from shortages of vehicles.

“The big thing to keep in mind (is) that (the) UAW strike could help stabilize our margins, which is quite nice,” auto retailer Lithia Motors’ CEO Bryan DeBoer said during a July analyst call.

Another large dealer, AutoNation, previously said it had built up inventories from domestic manufacturers, which should provide some cushion.

However, UAW president Shawn Fain rejected the idea that worker wages were responsible for auto prices going up in the last few years.

In a video released on Thursday titled “Here’s what the Big Three and the corporate media’s NOT telling you about car prices,” Fain said “corporate greed” was responsible for rising car prices.

“In the last four years, the average price of a new car is up 30%, meanwhile auto worker wages have risen a meager 6%,” Fain said.

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Utes’ Whittingham reenergized after ’24 free fall

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Utes' Whittingham reenergized after '24 free fall

FRISCO, Texas — A dynamic new quarterback, a new offensive system and two projected first-round picks up front have Utah coach Kyle Whittingham feeling enthusiastic about the Utes’ chances of bouncing back from a disastrous debut season in the Big 12.

Utah was voted No. 1 in the Big 12 preseason poll last year after joining from the Pac-12, but a brutal run of injuries and inconsistency resulted in a seven-game conference losing streak and a 5-7 finish — the program’s first losing season since 2013.

After weeks of contemplation about his future and what was best for the program, Whittingham, the third-longest-tenured head coach in FBS, decided in December to return for his 21st season with the Utes.

“The bottom line and the final analysis was I couldn’t step away on that note,” Whittingham told ESPN at Big 12 media days Wednesday. “It was too frustrating, too disappointing. As much as college football has changed with all the other factors that might pull you away, that was the overriding reason: That’s not us, that’s not who we are. It just left a bad taste in my mouth. I did not want to miss the opportunity to try to get that taste out.”

“The bottom line and the final analysis was I couldn’t step away on that note. It was too frustrating, too disappointing. … That’s not us. That’s not who we are. It just left a bad taste in my mouth. I did not want to miss the opportunity to try to get that taste out.”

Utah coach Kyle Whittingham on going 5-7 in 2024

Whittingham and Utes defensive coordinator Morgan Scalley conducted a national search for a new offensive coordinator and quickly zeroed in on New Mexico‘s Jason Beck. Then they managed to land Devon Dampier, Beck’s first-team All-Mountain West quarterback, via the transfer portal.

After finishing 11th nationally in total offense with 3,934 yards and 31 total touchdowns and putting up the fourth-most rushing yards (1,166) among all FBS starters, Dampier followed his coach to Salt Lake City and immediately asserted himself as a difference-maker for a program that had to start four different QBs in 2024.

“He’s a terrific athlete,” Whittingham said. “He’s a guy that, if spring is any indication, he’s an exciting player, and we can’t wait to watch him this season. … He’s got that ‘it’ factor. He’s a leader. Needless to say, very excited to see what he does for us.”

They’ve surrounded Dampier with 21 more newcomers via the transfer portal and will protect him with two returning starters at tackle in Spencer Fano and Caleb Lomu, who are projected first-round NFL draft picks by ESPN’s Matt Miller.

“We feel they’re the best tandem in the country,” Whittingham said. “The offensive line in general, I feel, it’s the best since I’ve been there. And that’s quite a statement. We’ve had some really good offensive lines. We’ve got two first-rounders and three seniors inside that have played a lot of good football for us. That better be a strength of ours, and that’s what we’re counting on.”

Whittingham has previously said he did not want to coach past the age of 65. Now that he’s 65, he acknowledges that he might’ve arrived at a different decision about his future had the Utes ended up winning the Big 12 in 2024. He is reenergized about getting them back into contention, but he’s not ready to say whether this season might be his last.

“The best answer I can give you is, right now, I’m excited and passionate about going to work every single day,” Whittingham said. “As soon as that changes, I’ll know it’s time. I’m just counting on knowing when the time is right. I can’t tell you exactly what the circumstances will be other than losing the fire in the belly.”

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MLB to utilize ABS challenge system during ASG

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MLB to utilize ABS challenge system during ASG

The automated ball-strike system is coming to the All-Star Game next week in Atlanta.

MLB officials added the feature to the annual exhibition game knowing it could be a precursor to becoming a permanent part of the major leagues as soon as next year.

The same process used this past spring training will be used for the Midsummer Classic: Each team will be given two challenges with the ability to retain them if successful. Only a pitcher, catcher or hitter can ask for a challenge and it has to happen almost immediately after the pitch. The player will tap his hat or helmet indicating to the umpire he wants to challenge while any help from the dugout or other players on the field is not allowed.

MLB officials say 72% of fans who were polled during spring training said the impact of ABS on their experience at the game was a “positive” one. Sixty-nine percent said they’d like it part of the game moving forward. Just 10% expressed negativity toward it.

MLB’s competition committee will meet later this summer to determine if ABS will be instituted next season after the league tested the robotic system throughout the minor leagues and spring training in recent years. Like almost any rule change, there were mixed reviews from players about using ABS but nearly all parties agree on one point: They prefer a challenge system as opposed to the technology calling every pitch.

As was the case in spring training, once a review is initiated, an animated replay of the pitch will be shown on the scoreboard and the home plate umpire will either uphold the call or overturn it. ABS uses Hawk-Eye system technology which tracks the pitch trajectory and location in relation to the strike zone, providing an instant assessment which can be relayed to the home plate umpire.

The All-Star Game will be played at Truist Park in Atlanta on Tuesday.

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Royals sign former Cy Young winner Keuchel

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Royals sign former Cy Young winner Keuchel

The Kansas City Royals have signed former Cy Young Award winner Dallas Keuchel to a minor league contract, the team announced Wednesday.

The 37-year-old left-hander will start at Triple-A Omaha and will earn a prorated $2 million salary if he reaches the big leagues, sources tell ESPN’s Jeff Passan.

Keuchel has not pitched in the majors for nearly a full calendar year. He elected to become a free agent on July 18, 2024, after being designated for assignment by the Milwaukee Brewers.

In four starts with the Brewers last season, Keuchel had a 5.40 ERA in 16 2/3 innings without a decision. In 13 major league seasons, the 2015 American League Cy Young winner with the Houston Astros is 103-92 with a 4.04 ERA in 282 appearances (267 starts).

After pitching his first seven seasons with the Astros, Keuchel has made appearances for six different teams since 2019. He won a World Series with Houston in 2017 and is a two-time All-Star selection and five-time Gold Glove winner.

Information from Field Level Media was used in this report.

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