2007 Cadillac Cts on 2040-cars

Auto blog

2014 Cadillac ELR

Well, this is awkward.
A few years ago, Audi Of America's boss Johan de Nysschen went on record describing the Chevrolet Volt as "a car for idiots." Fast-forward to earlier this summer, and the well-regarded executive suddenly found himself in a new office with new business cards bearing the title: President, Cadillac. That means that among other challenges, de Nysschen is now tasked with selling the ELR, a car that is, at its core, a Volt in a sportier, less utile frock wearing a price tag that's twice as expensive.
Frankly, it's not a prospect we imagine the South African executive and recent Infiniti boss relishes. Just about nobody is buying the ELR - Cadillac has sold but 774 examples of its plug-in hybrid coupe this year and it presently has an almost a 200-day supply according to Automotive News. What's more, those numbers actually represent big improvements over just a few months ago, before GM started heaping on the incentives. The cynic in us says that the bad news for De Nysschen is that he's got a borderline sales-proof car in his new corporate garage. The good news? Cadillac customers apparently aren't idiots.

Mixed sales results, but automaker stocks rise on need for cars in Houston

DETROIT — The Big Three Detroit automakers on Friday reported better-than-expected August sales and issued optimistic outlooks for demand as residents of the Houston area replace flood-damaged cars and trucks after Hurricane Harvey, sending their stocks higher. General Motors, Ford and Fiat Chrysler posted mixed August U.S. sales, with GM up 7.5 percent and Ford and Fiat Chrysler down. Japanese automaker Toyota improved sales by nearly 7 percent, while Honda fell 2.4 percent. Still, analysts focused on the potential for Detroit automakers to cut inventories and stabilize used vehicle prices as residents of Houston, the fourth largest city in the United States, are forced to replace tens of thousands, perhaps hundreds of thousands, of vehicles after the devastation from Hurricane Harvey. Mark LaNeve, Ford's U.S. sales chief, told analysts on Friday that following Hurricane Katrina in 2005 "we saw a very dramatic snapback" in demand. That said, Ford sales fell 2.1 percent in August. It sold 209,897 vehicles in the United States, compared with 214,482 a year earlier. Sales were down 1.9 percent in the Ford division and off 5.8 percent at Lincoln. Demand was down for cars, crossovers and SUVs. It was not clear how many vehicles in the Houston area will be scrapped, LaNeve said, saying he had seen estimates ranging from 200,000 to 400,000 to 1 million. Ford's Houston dealers may have lost fewer than 5,000 vehicles in inventory, he said. Ford is the No. 1 automaker in the Houston market, with 18 percent share, according to IHS Markit. The company plans to ship used vehicles to Houston dealers and has "every indication we would have to add some production" of new vehicles to meet demand, LaNeve said. Investor concerns about inventories of unsold vehicles and falling used car prices have weighed on Detroit automakers' shares most of this year. Now, automakers can anticipate a jolt of demand from a big market that is a stronghold for Detroit brand trucks and SUVs. "It's got to be a positive for the industry," LaNeve said. Investors appeared to agree. GM shares rose as much as 3.3 percent to their highest since early March. Ford increased 2.8 percent at $11.34, and Fiat Chrysler's U.S.-traded shares were up 5.2 percent $15.91, hitting their highest in more than five years. GM reported a 7.5 percent increase in U.S. auto sales in August, helped by robust sales of crossovers across its four brands.

Cadillac SRX production moving to TN, next-gen Equinox going to Mexico

It's a good week for the town of Spring Hill, TN, as General Motors has announced that its factory in the city of 31,000 will receive a $185 million contract to produce engines. On top of that, the next-generation Cadillac SRX crossover will be built at the factory (NA models are presently built in Ramos, Arizpe Mexico), which was once famous for being the home of GM's now-defunct Saturn brand.
The factory is one of GM's six facilities around the globe that will screw together the company's new line of three- and four-cylinder Ecotec engines. Spring Hill currently builds the 2.0-liter, turbocharged Ecotec, as well as the naturally aspirated 2.4 and 2.5-liter variants.
Spring Hill's vehicle assembly lines were idled in 2009, but were reactivated in 2011. The SRX is just one of the products meant to benefit from last year's $350-million investment, and should have a positive impact, creating or retaining around 1,800 positions at the factory.