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The USPS needs 180,000 new delivery vehicles, automakers gearing up to bid

Winning the New York City Taxi of Tomorrow tender was a huge prize for Nissan, even though the company is still working through the process of claiming its prize. The United States Postal Service has begun the process to take bids for a new delivery vehicle to replace the all-too-familiar Grumman Long Life Vehicle, and that will be a much larger plum for the automaker who wins it, perhaps worth more than six billion dollars. The Grumman LLV is an aluminum body covering a Chevrolet S-10 pickup chassis and General Motors' Iron Duke four-cylinder engine. The USPS bought them from 1987 to 1994, and the 163,000 of them still in service are a monumental drain on postal resources: they get roughly ten miles to the gallon instead of the quoted 16 mpg, drink up more than $530 million in fuel each year, and their constant repair needs like the balky sliding door and leaky windshields have led the service to increase the annual maintenance budget from $100 million to $500 million. A seat belt is about as modern as it gets for safety technology, and the USPS says that assuming things stay the same, it can't afford to run them beyond 2017. Last year it put out two triage requests for proposals seeking 10,000 new chassis and drivetrains for the Grumman and 10,000 new vehicles. The LLV is also too small for the modern mail system in which package delivery is growing and letter delivery is declining. The service says it doesn't have a fixed idea of the ideal "next-generation delivery vehicles," but it listed a number of requirements in its initial request and is open to any proposal. Carriers have some suggestions, though, saying they want better cupholders, sun visors that they can stuff letters behind, a driver's compartment free of slits that can swallow mail, and a backup camera. The request for information sent to automakers pegs the tender at 180,000 vehicles that would cost between $25,000 and $35,000 apiece, and it will hold a conference on February 18 to answer questions about the contract. GM is the only domestic maker to avow an interest, while Ford and Fiat-Chrysler have remained cagey. Yet with a possible $6.3 billion up for grabs and some new vans for sale that would be advertised on every block in the country, we have a feeling everyone will be listening closely come February 18. We also have a feeling the LeMons series is going to be flooded with Grummans come 2017. News Source: Wall Street Journal, Automotive News - sub.

GM offering factory-backed extended warranty for Chevys, GMCs, Buicks and Cadillacs

Cars are generally more reliable than ever before. When things do go wrong, every automaker offers some form of factory warranty (in most cases at least three years and 36,000 miles, though many extend even longer), providing peace of mind to new-car buyers that many faults will be fixed at no charge to the customer. Starting today, GM is offering a new optional plan that will extend the factory warranty on all new Chevy, GMC, Buick and Cadillac products. In the past, extended warranties have been offered as dealer add-ons, with all profits from these sales going to the dealership. GM's new program can be viewed as another nail in the the looming dealership-model coffin. According to Automotive News, some dealers aren't happy to see GM cut into their business like this, saying that it helps GM far more than it does dealers. GM says the new program will help keep customers in the GM family. Customers are also more likely to visit a GM service center rather than going to an independent repair shop. Currently, new Chevy and GMC vehicles come with three-year/36,000-mile warranties. Buicks and Cadillacs are covered for 4 years or 50,000 miles. The new program extends Chevy and GMC warranties to five years or 60,000 miles. Buick and Cadillac warranties extend to six years or 70,000 miles. GM, citing IHS Markit, says most owners keep new cars for about 6.8 years, so these warranties will cover most of the length of their ownership. The extended warranty will add between $1,000 and $2,000 to the price of a vehicle, and the additional cost can be rolled into the vehicle's purchase or lease price. Unlike many dealer extensions, the factory program covers the vehicle no matter who owns it. That should help increase the car's resale value if it's sold within the covered timeframe. GM says there's no deductible and no need to file a claim form when getting warranty repairs. Additionally, dealerships can continue to sell their own extended warranties or service contracts. Related Video:

GM exploring ways to raise half-ton Duramax diesel tow rating

Lots of truck owners cheered when GM announced fuel economy numbers for the 2020 Chevrolet Silverado with the 3.0-liter Duramax diesel inline-six. Even after Ram let loose its EPA mileage ratings for the 2020 Ram 1500 EcoDiesel, the Chevy oil-burner still took the trophy. The victory was years in the making, GM engineers spending an entire four-year development cycle refining the LM2 Duramax to increase mileage. The tradeoff, as well all know by now, is towing; the Duramax in half-ton duty pulls a maximum 9,300 pounds in the Silverado. Rivals across town can do more, the Ford F-150 PowerStroke rated at 11,500, the Ram 1500 EcoDiesel game to pull 12,560. GM engineer John Barta told Muscle Cars & Trucks that more hauling chops could be on the way, explaining, "We’re actually looking at upgrading some of the materials around (the engine bay) to see if we can maybe raise our tow rating." Engine bay materials are at issue due to thermal complexities underhood. John Barta, GM's assistant chief engineer of diesel engine controls, said the Duramax's inline-six configuration allowed engineers to get emissions hardware like the combined selective catalytic reduction, diesel oxidation catalysts, and diesel particulate filter unit closer to the engine, where it heats up quicker, getting emissions down quicker. But that filter puts another heat source in those confines, enforcing a cap on the tow rating to keep the engine and other systems from overheating. "If you look under the hood," he said, "youÂ’ll see a significant amount of silver ‘moon tapeÂ’ around to make sure things arenÂ’t getting overheatedÂ… if we were to go up in higher towing, which we can, we start impacting the possibility of deteriorating some of the components.” There isn't much space for more grille, so swapping for a better grade of "moon tape" or a different kind of material could reduce engine bay heat, extracting a higher tow rating in the process.  It's important to note a point Barta's been making for months about the Duramax figures, though. "Even though itÂ’s nice to brag about big numbers, in reality, light duty customers are not towing that large with their trucks," and, "We do know that (95 percent) of our light duty customers donÂ’t tow over 9,000 pounds." On our First Drive of the 2020 Silverado diesel we called out the tow rating, but emphasized that the Chevy and GMC have more important challenges to overcome.