Automakers Could Stop Selling Cars In California Rather Than Comply With Tracking Laws

Happy Wednesday! It's June 24, 2026, and this is The Morning Shift — your daily roundup of the top automotive headlines from around the world, in one place. This is where you'll find the most important stories that are shaping the way Americans drive and get around.

In this morning's edition, we're looking at location data laws in California, and just how much cargo is sitting in the Persian Gulf. We'll also look at a Hyundai strike, and Nissan's new software plans.

Back in 2024, California made a new law about drivers' location data. Specifically, the law states that people with a restraining order shouldn't have to share data with folks they have those restraining orders against, including removing the latter from car data sharing. Automakers, despite having nearly two years to comply with this, have yet to actually do so. Now, they might just abandon California. From Reuters:

A group representing major automakers warned on Tuesday that car companies may be forced to halt sales of both ​new and used vehicles in California on July 1 unless the state ‌delays vehicle technology rules that aim to prevent perpetrators of domestic violence from tracking survivors.

The Alliance for Automotive Innovation, which represents General Motors, Toyota, Volkswagen, Hyundai and most other automakers, said unless ​a legislative proposal is signed into law by July 1 "there is substantial ​risk that auto sales in California will be suspended."

The group said ⁠automakers are implementing the domestic violence victim protections required under the 2024 law "but ​compliance with some elements of the law is impossible this year."

California is the single ​largest U.S. auto market, accounting for about 10% of sales.

The 2024 California law requires automakers to set up a clear process for drivers to submit a copy of a restraining order or ​other documentation and request termination of another driver's remote access within two business days. ​It also mandated that carmakers enable drivers to easily turn off location access from inside the ‌vehicle.

This sounds like the automakers playing hardball, trying to get California to back down on the law. Hopefully the state doesn't, and the automakers have to face the potential of actually losing all that profit. 

The Strait of Hormuz is open! No, wait, it's closed again. No, it's open! Ope, wait, hang on. You can see why shipping companies aren't exactly champing at the bit to be the first ones through, so that unpredictability means ships are just sitting idle. From the Wall Street Journal:

Geopolitical uncertainty is now the top risk facing the shipping industry, as vessels and cargo valued at around $125 billion remain stuck in the Persian Gulf awaiting a resumption of transit through the Strait of Hormuz, according to Allianz Commercial.

The insurer said in an industry review Wednesday that the closure and reported mining of the strait are the latest in a series of recent disruptions to have hit shipping.

The developments signal a "new maritime order," with escalating security risks along strategic shipping corridors, the disruption of established trade routes, persistent uncertainty, higher risk premiums, and a greater strategic emphasis on resilience over cost efficiency, it said.

Allianz said its data shows that around 1,150 cargo-carrying vessels and as many as 20,000 seafarers are currently stranded in the Gulf, highlighting the severe disruptions to vessel operations and mental strain that has been placed on crew who have spent months on board facing the threat of attack.

New Maritime Order sounds like either a Namor The Sub-Mariner run, or a very ill-advised mermaid-themed WWE faction. 

Hyundai workers in South Korea want nearly $100 more in pay per month. Hyundai is stonewalling, so the workers have approved a strike. From Reuters: 

Hyundai Motor's South ​Korean labour union said its members ‌voted on Wednesday to approve strike action over stalled wage negotiations, raising the prospect of ​production disruptions at the ​country's top automaker.

Union representatives had pledged ⁠to discuss strike plans if ​an agreement was not reached during ​government-mediated talks on Wednesday, a union spokesperson said.

The union is demanding a 149,600 won ($96.82) ​increase in base monthly pay ​and a performance bonus equal to 30% ‌of ⁠last year's net profit. It is also seeking guarantees on employment and working conditions related to the ​use of AI, ​among ⁠other issues.

Hyundai, c'mon. It's a hundred bucks. Just give it to 'em. 

You know the phrase "move fast and break things" in software development? Well, Nissan wants to move fast on its software in order to catch Chinese automakers. In cars, though, breaking things is usually frowned upon. From Automotive News: 

Nissan can now compress months of software development time into just hours as it races to catch Chinese rivals in digitally-driven cars of tomorrow.

The Japanese carmaker said the technique leverages cloud-based artificial intelligence technologies to design, test and troubleshoot new automotive software systems. The approach underpins a new software-defined vehicle platform Nissan Motor Co. will deploy this fiscal year.

Nissan did not say what vehicle would get the new technology first or say what vehicle systems would be controlled or operated by the new onboard software.

CEO Ivan Espinosa said the new AI technologies would debut in Japan and feature in the next-generation ProPilot driver-assist system slotted for the Elgrand people mover. The van will be introduced in the fiscal year ending March 31, 2028, Espinosa said at Nissan's June 23 shareholders meeting.

Will Nissan, a company that's recently cut its workforce and manufacturing to the bone, suddenly be able to do more work in less time without incurring any major problems in the process? I wouldn't bet on it. 

Two words, Mr. President: Plausible deniability. 

Fun fact: Gas is never going to be expensive again. Sell your hybrid and buy a Ram 2500. 

This whole record is straight bangers, honestly.