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GM won't really kill off the Chevy Volt and Cadillac CT6, will it?

General Motors is apparently considering killing off six slow-selling models by 2020, according to Reuters. But is that really likely? The news is mentioned in a story where UAW president Dennis Williams notes that slumping US car sales could threaten jobs at low-volume factories. Still, we're skeptical that GM is really serious about killing those cars. Reuters specifically calls out the Buick LaCrosse, Cadillac CT6, Cadillac XTS, Chevrolet Impala, Chevrolet Sonic, and the Chevrolet Volt. Most of these have been redesigned or refreshed within the past few model years. Four - the LaCrosse, Impala, CT6, and Volt - are built in the Hamtramck factory in Detroit. That plant has made only 35,000 cars this year - down 32 percent from 2016. A typical GM plant builds 200,000-300,000 vehicles a year. Of all the cars Williams listed, killing the XTS, Impala, and Sonic make the most sense. They're older and don't sell particularly well. On the other hand, axing the other three seems like an odd move. It would leave Buick and Cadillac without flagship sedans, at least until the rumored Cadillac CT8 arrives. The CT6 was a big investment for GM and backing out after just a few years would be a huge loss. It also uses GM's latest and best materials and technology, making us even more skeptical. The Volt is a hugely important car for Chevrolet, and supplementing it with a crossover makes more sense than replacing it with one. Offering one model with a range of powertrain variants like the Hyundai Ioniq and Toyota Prius might be another route GM could take. All six of these vehicles are sedans, Yes, crossover sales are booming, but there's still a huge market for cars. Backing away from these would be essentially giving up sales to competitors from around the globe. The UAW might simply be publicly pushing GM to move crossover production to Hamtramck to avoid closing the plant and laying off workers. Sales of passenger cars are down across both GM and the industry. Consolidating production in other plants and closing Hamtramck rather than having a single facility focus on sedans might make more sense from a business perspective. GM is also trying to reduce its unsold inventory, meaning current production may be slowed or halted while current cars move into customer hands. There's a lot of politics that goes into building a car. GM wants to do what makes the most sense from a business perspective, while the UAW doesn't workers to lose their jobs when a factory closes.

Buick Encore production increased to lift supply by 50%

Trying to zero in on the Buick Encore leads us to the conclusion that the only place it really fits is in buyers' driveways. Every member of its so-called competitive set – we've read everything from the Ford C-Max to the Nissan Juke to the Volkswagen Tiguan to the BMW X1 – is so different in small yet fundamental ways that the Encore neatly slinks between them all, and with 48,892 sales in 2014, it doesn't stop slinking until it reaches consumer garages. That success, and preparation for the aggrandizing of the compact CUV segment, is why General Motors is upping production for the US market by 50 percent. Analysts keep predicting there will be more shoppers for tiny crossovers, and that's why those that don't have them are getting them. Yet the Encore came out in 2013 before people realized the power of the segment, and it has substantially out-performed GM and observer expectations: analysts predicted 18,500 US sales in 2013 and 25,000 in 2015; in 2013 we wrote, "We admit it. We have no earthly idea how this whole thing is going to shake out." It shook out 31,046 sales in 2013, puffing that number up by more than 50 percent last year. GM thinks that this year it will it will go from Buick's third-best-selling vehicle to its best-selling vehicle. GM wants that to continue, what with the Honda HR-V, Jeep Renegade, and Mazda CX-3 on the way. Dealers say they'd sell more if they could get them, and the four-month lead time at the moment between a dealer ordering and taking delivery – about double the normal time – creates a handicap. Plants in Mexico, Korea, and Spain will hive off production to bolster US inventory to keep the "downsizing empty nesters" who love it, happy. Seeing as the coming competition is falls meaningfully outside the Buick's combination of traits, there's a chance its popular tale can continue.

GM recalls 500K Chevy Camaros for ignition-switch defect

General Motors issued a recall for more than a half million Chevrolet Camaros on Friday morning because of an ignition-switch safety hazard that mirrors the one at the center of the company's current crisis.
The problem affects Camaro models from the 2010 to 2014 model years. Approximately 464,712 cars are impacted in the United States, and 511,528 overall in North America. GM will alter the Camaro key to a more standard design, and will notify car owners with a recall notice in the mail.
In an announcement, the company said the ignition switches on the Camaros are fundamentally different parts than the older ignition switches found on defective cars that are responsible for killing at least 13 people and causing 54 crashes.