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GM and Ford quarterly sales continue to slump in China

BEIJING — General Motors and Ford announced their quarterly sales in China fell, albeit at a slower pace sequentially, as the U.S. automakers were hit by a slowing economy amid the Sino-U.S. trade war. GM's vehicle sales in China for the quarter ended June 30 dropped 12.2%, while Ford's sales slumped by 21.7%. While GM also suffered from heightened competition in its key mid-priced SUV segment, Ford was hurt by the limited new models for customers to choose from. For the first quarter of this year, Ford's sales in China tumbled 35.8 percent while GM's skid 17.5 percent. Still, the numbers from GM, the second biggest international automaker in China by sales, and Ford portend more uncertainty for the industry which is trying to rebound from a downward spiral that led to its first annual sales decline last year in more than two decades. GM delivered 1.57 million vehicles in China in the January-June period this year, while Ford delivered 290,321 vehicles. China's factory activity shrank more than expected in June, highlighting the need for more economic stimulus amid higher U.S. tariffs and weaker domestic demand. Annual car sales in China fell last year for the first time since the 1990s, and they are expected to fall this year too. Sales tumbled 16.4% in May from the same month a year prior, the China Association of Automobile Manufacturers (CAAM) said. That marked the 11th consecutive month of decline and followed falls of 14.6% in April and 5.2% in March. U.S. car companies' share of total China passenger vehicles sales fell to 9.6% in the first five months of this year from 10.9% in the year-ago period, according to CAAM. Over the same period, German car makers' share has risen to 23.3% from 20.9% and Japanese auto makers' to 21.3% from 17.3%. CAAM is set to announce June sales next week, which industry analysts forecast will be negative.   New models In China, GM has a joint venture with SAIC Motor Corp, in which the Buick, Chevrolet and Cadillac are made. It also has another venture, with SAIC and GuangxiAutomobile Group, in which they make no-frills minivans and have started to make higher-end cars. Sales of GM's affordable brand Baojun dropped 31.8% for the latest quarter. But luxury brand Cadillac's sales jumped 36.6%. GM sold 3.64 million units in China last year, down from 4.04 units in 2017. Ford makes cars in China through its joint venture with Chongqing Changan Automobile Co and Jiangling Motors Corp (JMC).

GM diesel pickups first to undergo extra EPA, CARB testing

The effects of Volkswagen's long-running diesel emissions evasion are starting to spill over to other automakers, but General Motors is taking things in stride. The 2.8-liter, four-cylinder Duramax in the 2016 Chevrolet Colorado and GMC Canyon is the first engine to get extra scrutiny by the Environmental Protection Agency and the California Air Resources Board, Automotive News reports. Rather than just the usual in-lab test, it's also being checked on the road. However, the extra evaluation shouldn't have any impact on when the trucks with his mill hit dealers later this fall. "We're in our final stages of the EPA certification, and our launch is on track," Chevy spokesperson Otie McKinley tells Autoblog. The four-cylinder diesel in the trucks makes 181 horsepower and 369 pound-feet of torque, and the automaker is touting low NOx production. In the announcement for the Colorado's specs, the company calls it "the cleanest diesel truck engine ever produced by General Motors." The tech includes exhaust gas recirculation to lower combustion temperatures and improve emissions. There's also a urea tank like on the bigger diesels for full-size trucks, and it gets refilled in time with oil changes. An indication on the instrument panel lets drivers know when that's needed, too. Even with the more demanding testing, the company doesn't seem too worried about the four-cylinder passing. "Part of our development process is on-road and off-road [laboratory] testing," Scott Yackley, Chevy Trucks assistant chief engineer, said to Automotive News. In the wake of the VW scandal, the EPA has pledged more rigorous testing. Before, on-road emissions evaluations were largely limited to heavy-duty vehicles, but the agency has decided to apply the checks more often to other models. There's also now greater cooperation with Canadian authorities.

Buick Encore, Chevy Trax reportedly dead after 2022

The Buick Encore will not get an encore, and the Chevrolet Trax is dead in its tracks. Separate unverified reports say the two crossovers, which are essentially identical underneath the sheetmetal, will retire at the end of the 2022 model year without being directly replaced. Citing anonymous sources, enthusiast website GM Authority wrote that production of the Encore and the Trax is scheduled to end in the third quarter of 2022. Both models are manufactured in Bupyeong-gu, South Korea, and General Motors will reportedly use the extra production capacity to build more examples of the Trailblazer, which outsold the Encore and the Trax combined by a significant margin in 2021. General Motors hasn't commented on the report, but we wouldn't be surprised if the end is indeed near for the Encore and the Trax. Buick released the Encore for the 2013 model year, and Chevrolet launched the Trax for 2015, but the model made its debut as the Opel Mokka in 2012. It's at the end of its life cycle, and sales figures reflect this: 20,072 units of the Encore were sold in America in 2021, a drop of 52% compared to 2020, while 42,590 examples of the Trax found a home, a 60% decline. It's further proof that Americans don't like small cars. Viewed in that light, the decision not to replace either crossover makes perfect sense. If the report is accurate, the Encore GX (which is not related to the Encore in any way) will enter the 2023 model year as Buick's entry-level model. The situation is a little more complicated at Chevrolet: The pocket-sized Spark is on its way out in 2022 as well, meaning that the Trailblazer will become the entry point into the range. It's a different story in Europe: Opel, which is now part of the Stellantis group, released the second-generation Mokka in June 2020.