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Cadillac CT6 to get twin-turbo V8

Say what you will about his decisions at Infiniti and now Cadillac, but Cadillac CEO Johan de Nysschen knows how to deliver a compelling interview. During an online Q&A session with Jalopnik readers, de Nysschen offered substantial hints at what's coming for the brand. By dropping coordinates on the brand's star chart, in reading the entire thing and connecting the dots you can see a Cadillac that is much grander than the one we know now. The CT6 that got revealed during the Oscars telecast? Answering the question of whether it would have the performance to compete with a Mercedes S550 or BMW 750, de Nysschen said the big sedan's "lightweight body structure allows us to achieve formidable performance even with a twin-turbo V6. Imagine how this car would perform with a twin-turbo V8." In clarifying a subsequent question that also dealt with how the CT6 would compare to German rivals, he wrote that the CT6 would have "a very wide mix of engines, starting with a two-liter turbo, up to, eventually, a high-performance advanced V8 turbo." Patience and the future and the word "eventually" were heavy themes. The brand will embrace diesel engines as well, de Nysschen writing, "We will have four-cylinder and six-cylinder diesel engines, but not before 2019." As to the return of something like the XLR, which was Corvette muscle underneath a Cadillac body, he wrote, "I think in the fullness of time, we will get around to developing a high-performance, very-emotive sports car as a halo for the Cadillac brand. But we have so many projects to occupy us through 2020 that this will have to wait a little while." And on the design language across model lines, which enthusiast Cassandras have warned is too similar (as if that hasn't worked out for the Germans), he wrote that it is "undergoing gradual evolution and you will notice stunning new designs in future models, which remain unmistakably Cadillac and reflect our DNA but which take our sophisticated Art and Science design to a new level." But of course he would say that, which is what brings us back to patience and the future and eventually, when we'll see what this all really means. It all reads well enough, and we'd love to see it happen. One thing we won't see are the ducks that once adorned the Cadillac crest; when a reader asked if he could have them back, de Nysschen said, "No, you can't have them back. I play with them each night in my bath." Head over to Jalopnik for the full read. It's worth it.

Cadillac can't keep up with Escalade demand, can't move its sedans

No matter how much Cadillac revitalizes its lineup and its image, it seems that all consumers want is the Escalade. In fact, Automotive News reports that General Motors can't keep up with demand for the fullsize luxury SUV, despite sticker prices that start at over $70,000 and approach six figures at the top end of the spectrum. Contrast that with sedans like the ATS and CTS, which are far cheaper but which Cadillac hasn't been able to move fast enough to keep up with production, prompting both the manufacturer and dealers to offer substantial incentives to keep them from piling up. Cadillac had been resisting a price cut of the ATS or CTS, lest it hurt resale values – itself a factor that could explain consumers' reluctance to buy them in the first place – but been offering subsidized leases, discounted financing, rebates and cheaper options. Combined with incentives from individual dealers, according to AN, buyers can be looking at five-figure discounts on buying a new Cadillac sedan. And now, finally, it seems the CTS will indeed get a little bit off its bottom line. Yet GM has been producing the ATS and CTS at rates that their sales can't keep up with. The automaker was forced to idle the plant in Lansing, MI, where it assembles the ATS and CTS for six weeks starting this past December. And since it reopened late in January, it's been reduced to a single shift as dealers try to move the metal they've already got. Meanwhile the plant in Arlington, TX, that produces the Escalade and its Chevy and GMC siblings has been running on overtime, with three shifts throughout the week and even into the weekend to keep up with demand. Profitable as it's been for Cadillac and GM, though, the Escalade does not represent the future of where it wants to take the brand - separating the Escalade as almost a brand unto itself that's been left out of the company's new naming scheme. If only it could make its sedans as successful as its fullsize SUVs, it'll be all set.

U.S. new-vehicle sales in 2018 rise slightly to 17.27 million [UPDATE]

DETROIT — Sales of new vehicles in the U.S. rose slightly in 2018, defying predictions and highlighting a strong economy. Automakers reported an increase of 0.3 percent over a year ago to 17.27 million vehicles. The increase came despite rising interest rates, a volatile stock market, and rising car and truck prices that pushed some buyers out of the new-vehicle market. Industry analysts and automakers said strong economic fundamentals pushed up sales and should keep them near historic highs in 2019. "Economic conditions in the U.S. are favorable and should continue to be supportive of vehicle sales at or around their current run rate," Ford Chief Economist Emily Kolinski Morris said after the company and other automakers announced their sales numbers Thursday. That auto sales remain near the 2016 record of 17.55 million is a testimonial to the strength of the economy, said Mark Zandi, chief economist at Moody's Analytics. The job market, he said, has created new employment, and wage growth has accelerated. "That's fundamental to selling anything," he said. "If there are lots of jobs and people are getting bigger paychecks, they will buy more." The unemployment rate is 3.7 percent, a 49-year low. The economy is thought to have grown close to 3 percent last year, its best performance in more than a decade. Consumers, the main driver of the economy, are spending freely. The Federal Reserve raised its key interest rate four times in 2018 but is only expected to raise it twice this year. Auto sales also were helped by low gasoline prices and rising home values, Zandi said. It all means that people are likely to keep buying new vehicles this year even as they grow more expensive. The Edmunds.com auto-pricing site estimates that the average new vehicle price hit a record $35,957 in December, about 2 percent higher than the previous year. It will be harder for automakers to keep the sales pace above 17 million because they have been enticing buyers for several years now with low-interest financing and other incentives, Zandi said. He predicts more deals in the coming year as job growth slows and credit tightens for higher-risk buyers. Edmunds, which provides content, including automotive tips and reviews, for distribution by The Associated Press, predicts that sales will drop this year to 16.9 million.