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Cadillac could base its entry-level sedan on the Chevy Cruze [UPDATE]

UPDATE: Cadillac spokesperson Donny Nordlicht tells Autoblog , "The post speculating on a future Cadillac model derived from the Chevrolet Cruze is completely false." Premium automakers Mercedes-Benz and Audi have seen plenty of success with new small front-drive-based sedans. The CLA-Class had its best January ever this year, while Audi moved more of its new A3 in 2015 than its predecessor sold in 2005 through 2010 combined. The fact that Cadillac wants a piece of that pie is no surprise, then. There's a new rumor that GM's luxury brand could launch its own compact – possibly called CT2 – to battle the Germans. Cadillac, a brand that's pushed hard to rebuild its rear-drive reputation, could develop a new entry-level model based on the front-wheel-drive 2016 Chevrolet Cruze's D2XX platform. Go ahead and make your Cimarron jokes. Sources are telling GM Inside News that a Cadillac built on the Delta platform would ditch the Cruze's turbocharged 1.4-liter four-cylinder for a 1.5-liter turbo in base models. General Motors' well received 2.0-liter turbo four would serve in higher-end models. According to GMIN, the Delta-based Cadillac would likely command a $6,000 to $9,000 premium over the Cruze, so figure $23,000 to $26,000 on the low end to $30,000 to $33,000 for something at the top of the range. As much as we dislike the kind of badge engineering that brought us the Cavalier-based Cadillac Cimarron in the '80s, the company has done an admirable job of distinguishing vehicles on shared platforms lately. A Delta-platform Cadillac would at least have a good basis – the new Cruze is surprisingly comfy. That said, we question GM's rationale if this rumor is indeed true. Put simply, Cadillac needs another sedan like I need another student loan payment. The company has four sedans, three of which overlap two segments, and none of which are selling very well. That's not because they're bad, but because customers want crossovers, of which Caddy has but one – the new XT5. Spending the time and money to add a fifth sedan to the mix when the company desperately needs to flesh out its CUV range would be a tremendous mistake. As much as we hate to say it, if Cadillac really wants to add a small, entry-level car to its range, it'd better be a crossover. Related Video:

Autoblog Podcast #318

Toyota back on top, Barrett Jackson, Crowdsourcing your Dodge Dart payments, Nissan and Toyota double down on pickups
Episode #318 of the Autoblog Podcast is here, and this week, Dan Roth, Zach Bowman and Michael Harley talk about Toyota regaining the No. 1 sales crown, getting your friends and family to buy you a Dodge Dart, Barrett-Jackson, and Toyota and Nissan remaining committed to their pickup trucs. We wrap with your questions, and for those of you who hung with us live on our UStream channel, thanks for taking the time. Keep reading for our Q&A module for you to scroll through and follow along, too. Thanks for listening!
Autoblog Podcast #318:

Cadillac scraps three-row CUV plans

Crossovers are one of the hottest automotive segments on the planet. Apparently, the idea of mixing the practicality of a station wagon with the looks of an SUV appeals to people whether they are in Cleveland or Shanghai because nearly every automaker is jumping into the market. So it was no surprise when early rumors suggested Cadillac was planning two, new CUVs to fit above and below the SRX. But things might have changed since then.
New rumblings indicate Caddy is taking a different route. Instead of two crossovers, only the compact is on the way, and the larger, three-row CUV on the Lambda platform to sit between the SRX and Escalade may be a goner. According to Ward's Auto, General Motors thinks that the other three-row, Lambda vehicles like the Buick Enclave and GMC Acadia compete too closely with the proposed Cadillac. The decision comes fairly close to the 2017 intended production date.
As far back as 2010, this Lambda-platform based CUV was considered highly likely for production. However, Cadillac Senior Vice President Bob Ferguson was somewhat cooler about it when he discussed the new crossover briefly last year. He said the model could use the Escalade name, despite its unibody chassis, but no decision had been made yet to actually produce it.