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Opel pulls out of Russia, GM to focus on Cadillac, 'iconic' Chevys

General Motors is going to realign its priorities in the struggling Russian marketplace, withdrawing its Opel brand and pulling out mainstream Chevrolet models. Instead, the General will take aim at Russia's well-established oligarchy, pushing Cadillac as well as "iconic" Chevrolet models, like the Corvette, Camaro and Tahoe. "This change in our business model in Russia is part of our global strategy to ensure long-term sustainability in markets where we operate," GM president Dan Ammann said in a statement. "This decision avoids significant investment into a market that has very challenging long-term prospects." Russian customers interested in an Opel or mainstream Chevys like the Spark, Aveo (the US market Sonic), Cobalt (shown above), Cruze, Orlando and the like have until December to snap up a car before the brands are pulled. "We do not have the appropriate localization level for important vehicles built in Russia and the market environment does not justify a major investment to further localize." Opel Group CEO Karl-Thomas Neumann said. GM will continue to offer service to customers in Russia. "We can assure our customers that we will continue to provide warranty, parts and services for their Chevrolet and Opel vehicles," Neumann said. Beyond realigning its brands in Russia, GM also announced that it would also be idling the company's factory in the country's second-largest city, St. Petersburg. This is the second time the St. Petersburg factory has been in the news – GM announced that it'd be idled for roughly two months back in February. Scroll down for the official press release from GM. GM to Change Business Model in Russia 2015-03-18 Focus on Cadillac and iconic Chevrolet vehicles Wind down Opel brand and sale of mainstream Chevrolet cars Idle GM Auto manufacturing facility in St. Petersburg Part of GM's strategy to ensure long-term sustainability in global markets DETROIT – General Motors today announced plans to change its business model in Russia. GM will focus on the premium segment of the Russian market with Cadillac and U.S.-built iconic Chevrolet products such as the Corvette, Camaro and Tahoe. The Chevrolet brand will minimize its presence in Russia and the Opel brand will leave the market by December 2015. "This change in our business model in Russia is part of our global strategy to ensure long-term sustainability in markets where we operate," said GM President Dan Ammann.

2014 Cadillac ELR wears a suave suit with Volt underpants

The Cadillac design and engineering teams were smiling like a bunch of proud papas here in Detroit this morning, as the Wreath and Crest crew pulled the curtain back on their 2014 ELR. The house was packed for the ELR's coming out party, and reaction was enthusiastic amongst the murmuring media, as far as we could gather, while the flashes were firing.
In fact, we think that the sleek styling and aggressive proportions of the Voltec-powered ELR looked even better in the metal than they did in the first official images we saw earlier. Further, the leather-lined interior seems custom made for serious driving, even if the ELR is slightly less than rocket-ship quick.
The new Cadillac makes good use of the basic running gear from the Chevrolet Volt, including the 1.4-liter range-extending gas engine, a 15.6-kWh lithium-ion battery pack, and an electric drive motor that offers 295 pound-feet of torque, and a total system output of 207 horsepower. All-electric range is down by just one mile versus its Chevrolet forebearer, for a total of 35, and Cadillac speculates that the total range with the gasoline generator figured in will top 300 miles.

Johan responds to critics again about Cadillac's NY move

Cadillac's new President Johan de Nysschen has faced a fair amount of criticism since assuming his position at the head of the American luxury manufacturer. From the company's move to New York City to a controversial new naming scheme, the first few months of his tenure have not been smooth sailing. Now, the embattled exec is firing back against his critics, notably Automotive News Editor-in-Chief Keith Crain, in a new column running in AN.
De Nysschen countered Crain's claim that the move to the Big Apple, "can only mean that someone wants to live in New York."
"The relocation decision is entirely unrelated to the personal living preferences of any Cadillac executive. No corporation would tolerate such indulgence by its leadership," de Nysschen wrote. "It is about structurally entrenching a challenge to the status quo by reinforcing the psychological and physical separation in business philosophy between the mainstream brands and GM's luxury brand."