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Buick to kill Verano as early as 2017

The Buick Verano's days are allegedly numbered. Citing unnamed sources, Automotive News is reporting that Buick will kill its Delta-platform-based sedan. The company offered the typical "no comment." According to AN, Buick is expecting 70 percent of its sales to come from the Encore, Envision, and Enclave once the Envision goes on sale. And it doesn't take a professor of economics to recognize that when half the vehicles you build account for just 30 percent of the sales, it's time to trim. But the case for killing the Verano is a weird one, because the problem isn't a lack of demand. Struggling sales might be the reason to kill a car, but the Verano is – and has consistently been – Buick's second best-selling sedan. It's beaten the slightly larger, more expensive Regal by at least 12,000 units in each of the last four years. Hell, in 2013, Buick sold 45,000 Veranos to fewer than 19,000 Regals. So why not kill the Regal? Well, the Verano's raison d'etre is irrelevant today. Buick launched its smallest sedan at a time when premium compact four-doors weren't a thing and gas prices were high enough that consumers were still hesitant to tie themselves to a CUV's fuel bill. And while it was roughly the same size as the Chevrolet Cruze that it shared GM's Delta platform with, it had enough unique equipment to stand apart and warrant its price premium. Today, fuel prices are cheap and consumers are flocking to crossovers while Buick is stuck sharing the premium compact pie with much more prestigious names ( Mercedes-Benz and Audi). And because it's sharing showroom space with the super-popular Encore, even the Verano's affordable pricing has become a liability. Today, a lightly equipped Verano is the same price as a base Encore, and they offer broadly similar features (rear-view cameras, a seven-inch touchscreen with Intellilink, Bluetooth, etc.). And if the Encore is too small, there's probably a GMC Terrain sitting in the same showroom, offering more utility and equal equipment to the Verano for a similar price. As one dealer told AN, "For not much more money, customers can get an SUV." Killing the Verano might risk 30,000 to 40,000 sales, but it's a move that proves Buick has tremendous confidence in its CUV lineup – clearly the company thinks the Encore can do the job of luring customers into showrooms. AN's sources claim the Verano will survive through 2017, so we'll be waiting a few years to find out if that faith is misplaced. Related Video:

May 2016: FCA wins, Ford and GM stumble on weak car volumes

The May 2016 sales numbers are in, and it looks as though FCA is getting some vindication for boldly cancelling two slow-selling car models. Meanwhile, Ford saw overall sales dip and GM's May volume took a big dive versus the same month in 2015. While Marchionne's decision to axe the Chrysler 200 and Dodge Dart has drawn criticism as being short-sighted, it's working for FCA so far. Although the Dart and 200 aren't out of production yet and no capacity has been shifted to crossover or trucks, May's numbers show that the emphasis on Jeep and Ram models makes sense right now. FCA's US sales rose 1 percent last month compared to May 2015, putting the year-to-date total at 955,186 vehicles, an increase of 6 percent compared to the same period last year. Standouts included the Jeep Renegade, Compass, and Patriot, and the Fiat 500X. Ram pickup sales were down 3 percent. And your fun fact is that Alfa Romeo sales were up precisely 10 percent, for a total of 44 4Cs sold versus 40 in the same month last year. At FoMoCo, the Ford brand took a hit to the tune of 6.4 percent from May 2015 to 2016, registering 226,190 sales last month. Lincoln showed improvement on its modest numbers, going from 9,174 to 9,807, a 6.9 percent increase. Overall, Ford was down 5.9 percent for the month to 235,997; despite the slump, year-to-date total Ford sales are up 4.2 percent to 1,112,939. Strong sellers included Escape, Expedition, F-Series, and Transit - big stuff. Most small and/or efficient models (Fiesta, Focus, Fusion, C-Max) saw sales slides. Fusion sales were also down, likely due to effects of model changeover to the freshened 2017 model. Ford has promised four new crossovers and SUVs by 2020 and if things keep trending this way the company will be able to sell them, but things could change in the next four years. GM saw the worst of it for domestic brands. Retail and fleet sales were down for each of the four divisions, with the May 2016 total dropping 18 percent to 240,450 vehicles. GM's year-to-date sales are down 5.0 percent in 2016 to 1,183,705. Both the Sierra and Silverado were down significantly, and the majority of Chevy, Buick, GMC, and Cadillac nameplates saw sales decreases, with both small cars and larger utilities included. Not even big stuff could help GM this month, it seems. We'll have more on the rest of the industry's May sales as those figures trickle in.

GM China President says automaker could export vehicles from China to US

At a press conference on Saturday at the Shanghai Motor Show, General Motors announced plans to further expand its presence in the Chinese market. Among those commitments are plans to build four new plants by the end of 2015, giving the automaker the capacity to produce around five million vehicles a year in the country.
In order to make the most of that expansion, GM is adding 400 dealerships in China this year alone (for a total of 4,200 sales points), and it's eyeing 5,100 dealers by 2015. Yet not all of that production will stay in China - GM is planning to increase exports as well. Officials estimate the company will export somewhere between 100,000 and 130,000 Chinese-built vehicles this year - a record. And it's gunning for more.
Autoblog asked GM China president Bob Socia (above) if that means the company might eventually export new vehicles built in China to the United States, and he responded: