2014 Chevrolet Silverado 1500 Ltz on 2040-cars

Auto blog

GM profits threatened by glut of pickups

Automotive News reports that General Motors may slash production or ramp up discounts in order to deal with an oversupply of pickup trucks. GM currently has more than double the standard supply of pickups, and the vehicles are threatening to dampen the automaker's profits for 2013. Typically, automakers try to sustain a 60- to 75-day supply of vehicles, but GM is currently loaded with a 139-day supply, as of last month. At the end of November, the automaker was sitting on 245,853 units.
The manufacturer says that it will adjust production accordingly before laying any incentives on the profitable pickups. Even so, there's some concern that the inventory swell could hurt the roll-out of the next-generation Chevrolet Silverado and GMC Sierra. GM actually began slowly stepping back production in August, but it's clear the company will take further action as it heads toward the end of the year and into the next. Analysts predict the automaker could reduce pickup manufacturing by nearly half in the first quarter of 2013.
That still may not be enough to keep GM from laying extra cash on the Silverado and GMC Sierra. While the company's incentive spending was down in November compared to the same month in 2011, both the Ram 1500 and Ford F-150 saw double-digit percentage increases in sales last month while the Silverado and Sierra numbers slid compared to a year prior. Incentive spending could help move more trucks and add some balance to the GM inventory surge.

Performance cars overpower the Detroit Auto Show

At precisely the stroke of noon on Monday, the 2016 Acura NSX rolled on stage at the Detroit Auto Show amid plumes of smoke and dancing lights. The sounds of the powerful engine revving soared to the rafters. It was the second coming of Acura's iconic sports car, and the reveal had all of the expected trappings. Afterwards, champagne corks popped and the bubbly flowed. It was noon in Detroit, but for the green-car movement, it seemed like the clock had struck midnight. That's an exaggeration, but performance was the overwhelming theme of North America's most important show. Ford – which has helped lead the way in smaller displacement engines and early adoption of hybrid powertrains – had more than 1,500 horsepower on stage one point after it revealed the GT concept, the new F-150 Raptor and the Shelby Mustang GT350R. The NSX is technically a hybrid (it has three electric motors), but with 550-plus hp, there's no doubt this Acura was bred on the track. The theme continued throughout the show at nearly every stand. Alfa Romeo showed off the 4C Spider, which is the open-air version of a car that purports to be the spiritual successor of the high-performance 33 Stradale from 1967. On Tuesday, Cadillac is scheduled to reveal the 640-hp CTS-V with the V8 transplanted from the Corvette Z06, and the Lexus was expected to roll out its own V8-powered beast, the 467-hp GS F. For enthusiasts – especially enthusiasts with money – these are halcyon days. But make no mistake, all of this power has a purpose. Ford product chief Raj Nair said the Blue Oval uses high performance cars to develop technologies, like aerodynamics and materials, which are then shared across its lineup. "It's another proof point about how serious we are in developing innovation through performance," he said. Ford, which is rolling out at least 12 performance cars by 2020, said the sporty cars attract younger and more influential buyers to its fold, which can help burnish its image beyond adding sales volume. Toyota is taking a similar approach, senior vice president Bob Carter said, noting the Lexus RC coupe draws people into showrooms and gets them excited about the brand, even if they don't end up buying one. "They provide an aspiration and a halo that provides the attention that gets you noticed in a cluttered market," he said.

Feds open investigation into Chevy Express, Ford Freestar rust issues

'Tis the season... for road salt. And with that, comes rust. And what does rust bring? Well, for Ford and General Motors, a National Highway Traffic Safety Administration investigation. According to The Detroit News, NHTSA is looking into potential recalls issues with Chevrolet Express vans and Ford Freestar minivans.
The feds have received five complaints that rust has caused leaking fuel filler pipes on 2003 Express vans. Separately, seven complaints have been filed over excessive rust in the rear wheel wells of 2004 Ford Freestar and Mercury Monterey minivans. The Freestar and Monterey went out of production in 2007. Neither issue has resulted in any crashes or injuries, according to the report.