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Cadillac still planning for big things in China

Despite some hiccups, China remains the auto industry's great hope for new vehicle sales, with significant sales gains and a huge upside. Nowhere is that hope more fervent than at General Motors, which offers eight different marques in the Asian nation. China has been GM's single biggest market the last three years running, and is unlikely to give up that title anytime soon. Yet its premiere brand, Cadillac, has remained essentially stagnant, selling just 30,000 units in China last year. That's in a segment where sales of luxury vehicles has outpaced that of the larger Chinese market. So what gives?
According to Cadillac officials Autoblog spoke with in China this week at the Shanghai Motor Show, it's been a problem of product - they haven't had the right ones. Displacement taxation issues, import tariffs and currency fluctuations have all conspired to make the brand's products less appealing than they might otherwise have been. But GM is stepping on the gas with Cadillac, and executives are eyeballing 100,000 sales by 2016 - more than triple the Wreath and Crest's current volume. And the expectations for the brand only get more ambitious from there - they're shooting for 10 percent of the luxury market by 2020. Bob Socia, President of GM China, promises that there will be a new Caddy launched in the market each year from now through 2016 and most will be built in China. Characterizing the company's efforts to revive the brand's fortunes as a "relaunch" of sorts, Cadillac also figures to gain dealers as GM expands its sales outlet footprint westward.
New products like a made-in-China XTS sedan (with a market-specific 2.0-liter four-cylinder to avoid heavy displacement taxes) will help, and Socia hinted that the ATS sport sedan could be next in line for in-country production. The SRX crossover - currently the brand's best-selling model in China - will also likely get a long look for future local production when the next-generation model is introduced. In the meantime, Cadillac unveiled the Escalade ESV Hybrid (shown above) as its latest model addition to capitalize on the market's white-hot luxury SUV segment.

Cadillac CT6 PHEV battery shape a big departure for GM's plug-in hybrid tech

Anyone with any familiarity with the electric powertrain details for the two General Motors plug-in hybrids will have noticed that the information we have about the newly announced Cadillac CT6 plug-in hybrid has a lot of numbers in common with the Chevy Volt and the Cadillac ELR, like the 18.4-kWh lithium-ion battery pack and an expected all-electric range of 37 miles. We also noticed that the announcement calls the plug-in CT6 hybrid an actual plug-in hybrid and not an "extended range electric vehicle (EREV)," which is what GM calls the Volt and the ELR. This, of course, means we needed to ask GM some questions. Donny Nordlicht from Cadillac communications told AutoblogGreen that while the Volt and CT6 batteries are both 18.4-kWh, the shape is completely different. In the Volt/ELR, the battery is T-shaped (see it here). The CT6 has four seats, with a tunnel running between the two in the rear, as you can see here, but the battery in the CT6 PHEV is "a cube-shaped pack, which is between rear seats and the trunk," Nordlicht said. "There is no pass through." GM has not yet released any technical schematics about this pack, but Nordlicht said that, "The CT6's advanced mixed-material platform was designed to accommodate the PHEV system by design so that it minimally intrudes on the cabin space." It also means that the CT6 can be ordered as an optional PHEV, while the Volt and ELR were purpose-built plug-ins. GM is also distinguishing between the EREV and PHEV powertrains in its vehicles from this point forward. "We are not discarding the EREV language," Nordlicht said. "The CT6 utilizes a two-motor system mated to a 2.0T 4-cylinder engine, which is an all-new system to Cadillac." We assume that the PHEV packs will use li-ion cells from LG Chem, just like the EREVs do, but Nordlicht did not answer our question on that point. As for other details about the CT6 PHEV – like production, full dimension, and pricing – we will just have to wait until closer to when the vehicle launches for those. Related Video:

GM to idle car production at five factories as Americans continue CUV love affair

In case you needed another reminder that Americans have fallen out of love with sedans, General Motors today announced plans to idle five factories in January in a bid to cut its inventory to 70 days. Detroit-Hamtramck Assembly ( Buick LaCrosse, Cadillac CT6, Chevrolet Volt and Impala) and Fairfax Assembly in Kansas ( Chevy Malibu) will stop production for three weeks. Lansing Grand River ( Cadillac ATS and CTS, and Chevy Camaro) is going down for two weeks, while Lordstown, OH ( Chevy Cruze) and Bowling Green, KY ( Chevy Corvette) will go idle for a week each, Automotive News reports. GM's shutdown reflects a broader problem with the company's supply – at 847,000 vehicles, the company's supply increased unsteadily from a low of 629,000 units in January of 2016. That's more than a 25 percent increase in the past year. Citing information from Autodata, The Detroit News reports that at the end of November, GM had a 168-day supply of LaCrosses, 177 days' worth of Camaro, 170 days of Corvette, 121 days for Cruze, 119 days for ATS, 132 days for CTS, and 110 days of CT6. Meanwhile, inventory of the company's more popular vehicles is actually below the professionally accepted 60- to 70-day supply, The News reports. The Trax, Colorado pickup, and GM's full-size SUVs are sitting below 50 days and experiencing year-over-year sales increases. GM needs a rethink of its inventory levels, which is something that's apparently coming. "We're going to be responsible in managing our inventory levels," GM spokesman Jim Cain told The News. Another unnamed spokesman told Automotive News the company's day-to-day supplies would "fluctuate before moderating at year-end." But at least one analyst thinks this won't be the last time Detroit needs to stop production to level things out. "Incentives are elevated, residuals are declining, and rates are rising," Brian Johnson, an analyst with Barclays, told The News. "And while GM in particular may benefit in the months ahead from new product launches, it's important to recognize that GM's inventory is elevated at the moment, and it wouldn't surprise us if they need to announce another production cut – which could pressure the stock." Related Video: News Source: The Detroit News, Automotive News - sub. req.Image Credit: Paul Sancya / AP Plants/Manufacturing Buick Cadillac Chevrolet GM GMC Crossover SUV Sedan bowling green cadillac xt6 fairfax