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GM follows up Lambda CUV stop-sale with tire recall

In late January, General Motors announced a stop-sale for about 6,281 examples of the 2015 Chevrolet Traverse, GMC Acadia and Buick Enclave because of the possibility for the treads cracking on their 18-inch Goodyear Fortera HL tires. At the time, GM said that this would also eventually lead to a safety campaign to repair the problem, and the National Highway Traffic Safety Administration has just published those details. GM's recall covers 5,876 of the three Lambda platform crossovers to replace their tires. According to NHTSA, if the treads crack, there could be a loss of pressure and possible failure. Goodyear already announced its own recall of the tires after internal testing found small tread cracks. The company did not believe this was safety issue, but the problem did put the rubber out of compliance with federal laws. The business's safety campaign covered an estimated 48,512 tires. Of those, around 32,000 were reportedly made for GM to either be fitted to vehicles or sold as replacements. The remainder went to the aftermarket. Goodyear's portion of the recall is expected to begin around February 20. RECALL Subject : Tire Tread Cracking/FMVSS 110 Report Receipt Date: JAN 28, 2015 NHTSA Campaign Number: 15V044000 Component(s): TIRES Potential Number of Units Affected: 5,876 All Products Associated with this Recall Vehicle Make Model Model Year(s) BUICK ENCLAVE 2015 CHEVROLET TRAVERSE 2015 GMC ACADIA 2015 Details Manufacturer: General Motors LLC SUMMARY: General Motors LLC (GM) is recalling certain model year 2015 Buick Enclave vehicles manufactured December 9, 2014, to January 14, 2015, 2015 Chevrolet Traverse vehicles manufactured December 9, 2014, to January 20, 2015, and 2015 GMC Acadia vehicles manufactured December 9, 2014, to January 16, 2015, and all equipped with Goodyear P255/65R18 Fortera HL tires. These vehicles are equipped with tires that may experience tread cracking. As such, these vehicles fail to comply with the requirements of Federal Motor Vehicle Safety Standard (FMVSS) No. 110, "Tire Selection and Rims and Motor Home/Recreation Vehicle Trailer Load Carrying Capacity Information for Motor Vehicles with a GVWR of 4,536 kilograms (10,000 pounds) or Less." CONSEQUENCE: If the tire treads crack, a loss of tire pressure and possible tire failure may result, increasing the risk of a crash. REMEDY: GM will notify owners, and dealers will replace the tires that were manufactured within a specific date range, free of charge.

GM is quietly slashing prices on base models

While General Motors' fourth quarter financial figures haven't yet been released, the automaker seems to be weathering a potentially rocky time well, even beating third-quarter projections last year. To keep the climb going, the company is launching new base trims for several popular models that make them cheaper than ever but with tight dealer margins. The new entry-level trims are the Chevrolet Cruze L, Equinox L, GMC Terrain SL and Buick LaCrosse 1SV. Buyers lose some content by picking them, but the prices are slashed. According to Cars Direct, the biggest savings are on the LaCrosse, where customers pay $31,065, plus $925 destination, $2,570 less than the previous base 1SB trim but must accept things like 17-inch wheels and no cargo net in the back. If you're wondering how Buick can remove only a little equipment but cut the price so much, it's because the company also slashed dealer margins. According to Cars Direct, the difference between the invoice and MSRP for the LaCrosse 1SV is only around $150, compared to around $1,350 before. The disparity is even greater for the Cruze with an $81 difference in the prices, compared to about $600 for the LS version. Showrooms are expected to keep very low stocks of these trims, though. "Dealers use such vehicles to get people in the door, but they do not generally want to do high volumes of these strippers. The margins are next to nothing; they don't make much money off these cars," said Ed Kim, Vice President of Industry Analysis for AutoPacific to Autoblog. Dealers are also expected to advertise that these new base trims undercut major competitors. For example, the Cruze L rings up for about $2,320 less than a Honda Civic LX, according to Cars Direct. One potential drawback for buyers is that these models might not be eligible for incentives. While the attractive prices might get customers into dealers, folks may not actually end up driving home with these entry-level models. Kim indicated base trims also make up a small portion of the sales mix. "Consumers aren't asking for stripped out vehicles, even at the low end of the marketplace," he said. Featured Gallery 2015 Chevrolet Cruze View 9 Photos News Source: Cars DirectImage Credit: Chevrolet Buick Chevrolet GM GMC Car Buying Car Dealers Crossover Sedan gmc terrain cheap cars

GM throttles back Chevy Malibu, Buick LaCrosse production over swollen inventories

As inventory of the Chevrolet Malibu and Buick LaCrosse continues to pile up, General Motors will be idling its Fairfax Assembly Plant for two weeks, according to Automotive News. This move comes about a month after the plant was shut down for three weeks in late December and early January for the same reason. As of January 31, the GM had a 94-day supply of Malibu stock while the LaCrosse was a little worse with a 117-day supply.
Just last week, GM announced that it would be investing $600 million in upgrading this plant, but it's unclear what future plans the company has in store for Fairfax considering slow sales of both the plant's models. We do expect a refreshed and more luxurious LaCrosse shortly and an early design update for the Malibu to be announced at some point this year, although we have had no official word as to when either will happen.