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GM cutting Chevy Sonic, Buick Verano production [UPDATE]

UPDATE: A previous version of this story indicated that Orion Assembly would be idled for seven weeks, from February 16 through April 6. This was incorrect. The factory will instead only be idled for the weeks of February 16 and April 6. The story has been edited to reflect this. General Motors has announced that the factory responsible for the Buick Verano and Chevrolet Sonic will be idled for the weeks of February 16 and April 6, with blame being placed on excess supply. The Orion Assembly plant, about 45 minutes north of GM's Renaissance Center headquarters, employs about 1,800 people, but they'll be given a pair of furloughs as inventories of the sub-compact Sonic and premium compact Verano reach 127 days and 84 days, respectively. That works out to 26,600 Chevys and 9,800 Buicks waiting for buyers. According to Automotive News, the compact Chevy sales bested the industry average in 2014, jumping up nine percent versus the the overall segment's eight-percent gain, while the Buick sedan's sales were down four percent. When asked about the shutdown, a GM spokesman told AN that it will "build to market demand," while also pointing out that the company did not comment on production plans. News Source: Automotive News - sub. req.Image Credit: Bill Pugliano / Getty Images Plants/Manufacturing Buick Chevrolet GM buick encore orion assembly

U.S. new-vehicle sales in 2018 rise slightly to 17.27 million [UPDATE]

DETROIT — Sales of new vehicles in the U.S. rose slightly in 2018, defying predictions and highlighting a strong economy. Automakers reported an increase of 0.3 percent over a year ago to 17.27 million vehicles. The increase came despite rising interest rates, a volatile stock market, and rising car and truck prices that pushed some buyers out of the new-vehicle market. Industry analysts and automakers said strong economic fundamentals pushed up sales and should keep them near historic highs in 2019. "Economic conditions in the U.S. are favorable and should continue to be supportive of vehicle sales at or around their current run rate," Ford Chief Economist Emily Kolinski Morris said after the company and other automakers announced their sales numbers Thursday. That auto sales remain near the 2016 record of 17.55 million is a testimonial to the strength of the economy, said Mark Zandi, chief economist at Moody's Analytics. The job market, he said, has created new employment, and wage growth has accelerated. "That's fundamental to selling anything," he said. "If there are lots of jobs and people are getting bigger paychecks, they will buy more." The unemployment rate is 3.7 percent, a 49-year low. The economy is thought to have grown close to 3 percent last year, its best performance in more than a decade. Consumers, the main driver of the economy, are spending freely. The Federal Reserve raised its key interest rate four times in 2018 but is only expected to raise it twice this year. Auto sales also were helped by low gasoline prices and rising home values, Zandi said. It all means that people are likely to keep buying new vehicles this year even as they grow more expensive. The Edmunds.com auto-pricing site estimates that the average new vehicle price hit a record $35,957 in December, about 2 percent higher than the previous year. It will be harder for automakers to keep the sales pace above 17 million because they have been enticing buyers for several years now with low-interest financing and other incentives, Zandi said. He predicts more deals in the coming year as job growth slows and credit tightens for higher-risk buyers. Edmunds, which provides content, including automotive tips and reviews, for distribution by The Associated Press, predicts that sales will drop this year to 16.9 million.

2018 Buick Enclave: How engineers made it larger, lighter, more sophisticated

Buick used the unveiling of the 2018 Enclave at the New York Auto Show to introduce its new range-topping Avenir sub-brand to the world. With fancier interior finishes and exterior details, it's Buick's latest effort to make itself a proper luxury brand (or perhaps re-establish itself as such). However, lost in the Avenir song and dance is the fact that the 2018 Buick Enclave is a (very) long-awaited all-new model regardless of the trim level one selects. Like the Chevrolet Traverse upon which it is based, the new Enclave is bigger than the vehicle it replaces but considerably lighter, by about 400 pounds. "We told every engineer, 'get your job done, but then take the weight out,'" said engineer Rick Spina as we hovered next to his larger yet lighter creation. His team therefore set about taking a little bit of weight out from just about everywhere, from using additional aluminum in the suspension to varying the thickness of the frame (thicker in places that needed to be stronger, thinner and therefore lighter in places that didn't). Only about 100 pounds came out of the body with the rest coming from elsewhere. Not only will the reduced weight improve fuel economy (Buick-estimated at 19 mpg combined with FWD versus 18 for the 2017 model) and presumably the old Enclave's rather ponderous handling, but it should only make things easier for the new powertrain: General Motors' now-familiar 3.6-liter V6 and its latest nine-speed automatic. With 302 horsepower and 260 pound-feet of torque, Buick says the new engine will need 7.2 seconds to reach 60 mph with FWD or 7.5 seconds with AWD. That's a second quicker than before. Besides acceleration, towing is also bumped up by 500 pounds to 5,000. For those models with all-wheel drive, the Enclave has the same basic system featured on range-topping versions of the Buick LaCrosse. Besides power being sent front and rear, it can also differ from right to left in the back, although Spina is quick to point out that capability is for traction-enhancing purposes rather than sporty, handling-enhancing torque-vectoring ones. Buick owners already appreciated the Enclave for its quietness so the engineers decided to take it that much further. This included altering the exhaust, improving body sealing (there are triple door seals), including active sound deadening and utilizing advanced materials that absorb sound as opposed to simply being thick, dense and heavy enough to keep it out.