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It's official: GM selling Opel-Vauxhall to Peugeot-Citroen group for $2.3B

It's a Brexit for General Motors. GM is selling off its Opel and Vauxhall unit, it confirmed today, ending 90 years of automobile production in Europe, and nearly two decades of losses from that division. The deal was announced on the eve of the Geneva Motor Show. The focus for GM now becomes North America and China. "This was a difficult decision for General Motors," CEO Mary Barra said. "But we are unified in our belief that it is the right one." "For GM, this represents another major step in the ongoing work that is driving our improved performance and accelerating our momentum. We are reshaping our company and delivering consistent, record results for our owners through disciplined capital allocation to our higher-return investments in our core automotive business and in new technologies that are enabling us to lead the future of personal mobility." The buyer is French automaker PSA Groupe, maker of Peugeot and Citroen as well as its DS luxury sub-brand. The $2.3 billion deal will make PSA the second-biggest European manufacturer after Volkswagen, with 17 percent of the market share. "We want to create a European automotive champion," said PSA Groupe Chairman Carlos Tavares. "We will totally unleash the potential of the Opel and Vauxhall brands." Tavares gave assurances that jobs would not be lost in the deal. "We respect all that Opel/Vauxhall's talented people have achieved as well as the company's fine brands and strong heritage. We intend to manage PSA and Opel/Vauxhall capitalizing on their respective brand identities." The two companies have agreements for PSA to continue to supply some Holden and Buick models; it's not yet clear exactly how this will work, as Opel models form the basis for several of Buick's core products, including the Encore small crossover and Regal sedan. PSA also is purchasing GM's financing operations in Europe as part of the deal. GM may invest in PSA shares in the future, and the two companies may collaborate on electric and fuel-cell vehicles as part of GM's joint venture with Honda. The sale of Opel and Vauxhall brings GM's global brand total down to eight, including three that are specific to the Chinese market. Buick GM Citroen Opel Peugeot Vauxhall 2017 Geneva Motor Show

May 2016: FCA wins, Ford and GM stumble on weak car volumes

The May 2016 sales numbers are in, and it looks as though FCA is getting some vindication for boldly cancelling two slow-selling car models. Meanwhile, Ford saw overall sales dip and GM's May volume took a big dive versus the same month in 2015. While Marchionne's decision to axe the Chrysler 200 and Dodge Dart has drawn criticism as being short-sighted, it's working for FCA so far. Although the Dart and 200 aren't out of production yet and no capacity has been shifted to crossover or trucks, May's numbers show that the emphasis on Jeep and Ram models makes sense right now. FCA's US sales rose 1 percent last month compared to May 2015, putting the year-to-date total at 955,186 vehicles, an increase of 6 percent compared to the same period last year. Standouts included the Jeep Renegade, Compass, and Patriot, and the Fiat 500X. Ram pickup sales were down 3 percent. And your fun fact is that Alfa Romeo sales were up precisely 10 percent, for a total of 44 4Cs sold versus 40 in the same month last year. At FoMoCo, the Ford brand took a hit to the tune of 6.4 percent from May 2015 to 2016, registering 226,190 sales last month. Lincoln showed improvement on its modest numbers, going from 9,174 to 9,807, a 6.9 percent increase. Overall, Ford was down 5.9 percent for the month to 235,997; despite the slump, year-to-date total Ford sales are up 4.2 percent to 1,112,939. Strong sellers included Escape, Expedition, F-Series, and Transit - big stuff. Most small and/or efficient models (Fiesta, Focus, Fusion, C-Max) saw sales slides. Fusion sales were also down, likely due to effects of model changeover to the freshened 2017 model. Ford has promised four new crossovers and SUVs by 2020 and if things keep trending this way the company will be able to sell them, but things could change in the next four years. GM saw the worst of it for domestic brands. Retail and fleet sales were down for each of the four divisions, with the May 2016 total dropping 18 percent to 240,450 vehicles. GM's year-to-date sales are down 5.0 percent in 2016 to 1,183,705. Both the Sierra and Silverado were down significantly, and the majority of Chevy, Buick, GMC, and Cadillac nameplates saw sales decreases, with both small cars and larger utilities included. Not even big stuff could help GM this month, it seems. We'll have more on the rest of the industry's May sales as those figures trickle in.

Opel did a great job on the 2018 Buick Regal

Ladies and gentlemen, the 2018 Buick Regal. The car you see is actually the Opel Insignia Grand Sport, but General Motors will bring it to the United States as the next-generation Regal virtually unchanged. The Insignia, revealed Wednesday by Opel, gets a sleek new design punched up with LED lights and sweeping proportions meant to conjure a fastback silhouette. It will debut in March at the Geneva Motor Show and launch next year in Europe. Expect the Regal to go on sale in the middle of 2017 in the US. The Opel-Buick relationship has been tight in the last decade, with the outgoing Regal earning strong praise for its German-tuned chassis and premium appearance. While Buick has been the recipient of much of Opel's work, the Insignia is now borrowing one of Buick's great names: Grand Sport. View 12 Photos Opel points to the Monza concept as the source of inspiration for the Insignia, though Buick will undoubtedly say the Avenir concept was the Regal's creative stimulus. Some think it looks like a Mazda. Mark Adams, vice president of GM Design Europe also oversees the automaker's global styling operations. "Its design combines flowing lines and subtle surfaces with crisp, precise lines to even exaggerate its dramatic proportions: it looks longer, lower, and wider than it actually is, and it definitely looks upscale," he said in statement. Expect similar thoughts for the Regal. Opel is also working on an Insignia wagon, which we've captured in spy photos before. We've also heard whispers that it will come to the US market with a Regal badge. Opel's announcement previews many of the details we'll see in the new Regal. Based on a new chassis, the Insignia is 386 pounds lighter than the previous car. The wheelbase is 3.62 inches longer and the track is .43 inches wider. Opel tapered the front and rear overhangs, so there's only a slight gain in overall length. The interior has more room, Opel says, and features a touchscreen with GM's IntelliLink system. The car will also have several drive modes, which tailor the chassis, throttle response, and shifting dynamics. Other technologies includes a head-up display, 360-degree camera, lane-keeping assist, adaptive cruise control, and cross-traffic alert. The Insignia will offer an eight-speed automatic transmission and all-wheel drive with torque-vectoring. We expect both to come to the US market. Meanwhile, another GM brand, Vauxhall, unveiled the Vauxhall Insignia for the British market.