It’s long been understood that Jeep is the most valuable part of whatever company (FCA, Stellantis, YUM brands, Cerberus, et cetera) happens to own the brand. Is that still true? Probably, although Ram has outsold Jeep for the first time since Ram became its own independent brand.
The Morning Dump today is going to be dominated by the losers today. Stellantis had a bad quarter, thanks in no small part to the Jeep plunge. GM and Ford were also down, as last year’s sugar rush of EV sales skews the numbers against both companies.
Volvo is in transition, so it’s not a huge shock that the company also crumbled in Q3. Things are so bad there that the company has pulled all its guidance for the year. Volkswagen is also suffering, and after getting a deal through its board, has canceled union contracts, which IG Metall is taking as an act of war.
The Ascendance Of Ram Starts Now
It was never the plan that Jeep should falter. Years of neglect from the previous leadership has left the once proud badge in bad shape. This is reflected in the Q3 sales numbers from Stellantis, which show the overall company sold just shy of 600 vehicles fewer than Q3 2025, sunk in no small part by a 20% year-over-year drop in Jeep deliveries.
What was up? The company managed to sell 35 Jeep Recons, compared to 14 in Q3 of 2025. I guess this means the Recon has technically been on sale for a year? It’s a non-product. The Cherokee Hybrid managed to sell more than 10,000 units, though that remains a far distant player in the space. The Wrangler was up slightly, though it’s basically flat this year.
Everything else was down for Jeep, including the electric Wagoneer S, the non-ev Grand Wagoneer, the Gladiator, the Compass, and most devastatingly, the Grand Cherokee, which dropped by 30%.
Jeep falling wasn’t the plan, and there’s a roadmap [Ed Note: Here’s my plan to save Jeep. -DT] to turn the brand around in the coming years. Ram replacing Jeep was always the plan, as the automaker seems to have put all its energy into the one part of the company that seems like it can produce big profits.
The Ram 1500 pickup, which got its V8 back, was up a whopping 73% year-over-year, which helped lift the brand by 29%. With Ford facing production issues, Ram has leaned into boosting 1500 deliveries and it’s very much working. Given the spread between total deliveries and retail deliveries (42%) it seems like the company is also getting a lot of commercial business.
Ram should get smaller trucks to compete with the Tacomas and Mavericks of the world, as well as an SUV. It’s happy times in Ramville.
GM And Ford Both Drop In Q3
Here’s a funny line from Ford’s external press operation:
Excluding the planned phase-out of Escape and Corsair, Ford estimates its third-quarter retail share increased approximately 0.4 percentage points year over year to 12.1%.
Hey, if you take out all the money I planned to lose betting on the Astros to win the World Series, I’m really up this year…
What really happened was that Ford’s Q3 sales were down 6.6%, which wasn’t helped by the 80.2% drop in EV sales after the expiration of tax credits. It’s true, though, that the loss of Escape and Corsair make up the difference between a good and a bad quarter. So Ford is technically correct, and the company is getting some Escape customers into Bronco Sports and Explorers (both of which are up). Still, I’m sure Ford and its dealers/customers would rather have more available to buy at that price.
GM was down by 5.5% in Q3, with Cadillac taking the biggest hit. This tracks because Cadillac has leaned heavily into EVs and the Escalade IQ, Lyriq, Vistiq, and Optiq all dropped without that sweet, sweet government cheddar.
Volvo Sales Drop, Company Recalls Guidance
The photo above is basically my dream life, with a 240 powered by a sweet diesel motor and some sort of Turbo-like bodykit pulling a trailer. It’s quite the scene. Even recently, Volvo felt like Volvo. I was in an Uber yesterday with Kristen Lee and she pointed out a gorgeous V60 wagon.
Dreams are all Volvo has to hold onto at the moment as the brand reorients itself. In the United States, sales were down 8.7% as the company blamed “weaker consumer sentiment, increased SUV competition and softer electrified-vehicle demand.”
With both China and the United States suffering, Volvo withdrew its already weak guidance for 2026:
An increasingly challenging market situation and deteriorating near term market outlook has resulted in lower-than-expected sales and a weaker full year outlook for Volvo Cars. Therefore, Volvo Cars will not fulfill the previous full year 2026 outlook statements on volume and cash flow.
The decline is primarily driven by further deteriorating market conditions in China and slower than expected recovery in the US, while Europe remains resilient.
These developments will also have a significant negative impact third quarter core earnings and cash flow, beyond the previously communicated headwinds on raw materials, FX and increased amortisation and depreciation levels.
This move is a common one when a new CEO steps into a troubled company, and Volvo just got a stone cold killer. Lower expectations a bit and then strike.
VW Cancels Several Collective Bargaining Agreements
I spotted an interesting press release from Volkswagen, which contained some new information:
In light of the extremely tense market environment, IG Metall’s demand for a 5 percent pay rise at the upcoming collective bargaining round is not compatible with the current situation of the company or the industry. On the contrary – it is even more important than before that Volkswagen reduces its overhead costs and adjusts them to a competitive level.
Volkswagen AG is giving formal notice to terminate several collective agreements, effective December 31, 2026, as the company considers various provisions in these agreements to require adjustment given the current cost pressure. By serving notice on the collective agreements, the company is creating negotiating space for further discussions.
The timing of this is interesting as Volkswagen’s main union, IG Metall, just helped get a major transformation deal through the board. How is the union taking this? Here is the (Google translated) word via Handelsblatt:
IG Metall district manager Thorsten Gröger has sharply criticized Volkswagen management following the termination of numerous collective bargaining agreements. The manner in which this was done was “disrespectful to their own employees,” Gröger told Deutschlandfunk radio. He added that the approach was also “irresponsible towards the company itself” because it would provoke a conflict that Volkswagen doesn’t need.
Gröger cited a meeting about the future collective bargaining agreement for 2024 as an example. The employee representatives had listened to a 50-minute presentation by the company. “Not a word about the intention to terminate existing collective agreements.” Even as the meeting was still underway, the press had already reported on the plans. “So once again, the company let the public know in advance what it actually intends to do to its own employees.”
The termination of the collective bargaining agreement, and thus the framework for employees, is “an unprecedented event in Volkswagen’s history.” The employee representatives are prepared for the dispute.
Hanover is the plant most likely to be closed, so the termination of the agreement there seems like a precursor to this feared action.
What I’m Listening To While Writing TMD
My kiddo was noodling on her bass and it sounded a little like “Off You” by The Breeders, which tracks given that “Cannonball” is one of her all-time favorite songs. Now I’ve got to play it all for you.
The Big Question
What’s your all-time favorite Jeep?
Top photo: Stellantis
The post Ram Outsells Jeep For The First Time Ever appeared first on The Autopian.
