1996 Corvette Convertible on 2040-cars

Auto blog

Even if GM does close all 5 of those plants, it'll still have too many

DETROIT — General Motors' monumental announcement on Monday that it will close three car assembly plants and two powertrain plants in North America and slash its workforce will only partially close the gap between capacity and demand for the automaker's sedans, according to a Reuters analysis of industry production and capacity data. Sales of traditional passenger cars in North America have been declining for the past six years and are still withering. After GM ends production next year at factories in Michigan, Ohio and Ontario, it will still have four U.S. passenger-car plants — all operating at less than 50 percent of rated capacity, according to figures supplied by LMC Automotive. In comparison, Detroit-based rivals Ford and Fiat Chrysler Automobiles will have one car plant each in North America after 2019. The Detroit Three are facing rapidly dwindling demand for traditional passenger cars from U.S. consumers, many of whom have shifted to crossovers and trucks. Passenger cars accounted for 48 percent of retail light-vehicle sales in the United States in 2014, according to market researchers at J.D. Power and Associates. This year, sedans will account for less than a third of light vehicle sales. That shift in turn has left most North American car plants operating far below their rated capacities, while many SUV and truck plants are running on overtime. The collapse in passenger-car demand is a challenge for nearly all automakers in the United States, including Japan's Toyota and Honda, which have the top-selling models in the compact and midsize car segments. Toyota executives said last month they are evaluating the company's U.S. model lineup. But Toyota also plans to build compact Corolla sedans at a new $1.6 billion factory it is building in Alabama with partner Mazda. The obstacles facing GM in its plans to close more auto factories became apparent on Tuesday as U.S. President Donald Trump threatened to block payment of government electric vehicle subsidies to GM. While it is not certain that Trump unilaterally has the power to do that, he made it clear he intends to use his office to pressure the company to keep open a small car plant in Ohio that GM says will stop building vehicles in March.

Autoblog Podcast #393

Episode #393 of the Autoblog Podcast is here, and this week, Dan Roth, Steven Ewing, and Michael Harley talk about Monterey Car Week, the Woodward Dream Cruise and Dodge Charger Hellcat, and the latest round of mid-engine Corvette rumors. Dan also had the chance to speak with Jeffrey Rothfeder, author of Driving Honda, a new book that takes a look inside the automaker. We start with what's in the garage and finish up with some of your questions, and for those of you who hung with us live on our UStream channel, thanks for taking the time. Check out the new rundown below with times for topics, and you can follow along down below with our Q&A. Thanks for listening! Autoblog Podcast #393: Topics: Monterey Car Week Jeffrey Rothfeder (Driving Honda) interview Woodward Dream Cruise + Dodge Charger Hellcat Mid-Engine Corvette rumors just won't die In The Autoblog Garage: 2014 Jaguar F-Type V6 S Convertible 2015 Chevrolet Silverado 2500HD 4X4 CNG 2014 Nissan NV200 SV Hosts: Dan Roth, Steven Ewing, Michael Harley Runtime: 02:10:41 Rundown: Intro and Garage - 00:00 Monterey Car Week - 37:08 Jeffrey Rothfeder - 52:17 Woodward 2014 - 01:28:11 Mid-Engine Corvette - 01:44:30 Q&A - 01:56:53 Get the podcast: [UStream] Listen live on Mondays at 10 PM Eastern at UStream [iTunes] Subscribe to the Autoblog Podcast in iTunes [RSS] Add the Autoblog Podcast feed to your RSS aggregator [MP3] Download the MP3 directly Feedback: Email: Podcast at Autoblog dot com Review the show in iTunes Podcasts Rumormill Chevrolet Dodge Jaguar Nissan Pebble Beach mid-engine corvette dodge charger hellcat

Read This: Auto Extremist advocates for Corvette as brand with multiple models [w/poll]

The 2014 Chevrolet Corvette really grinds Peter De Lorenzo's gears. Or, more accurately, the self-anointed Auto Extremist has an issue with what he sees as mismanagement of the legendary sports car by General Motors executives. In a new editorial on his website, De Lorenzo argues it's time to split Corvette off from Chevrolet to create an all-new brand, complete with a model range with at least three new takes on the sports car. Capable of fully leveraging the successes of the Corvette Racing program and brandishing the full might of GM's technical prowess, the Corvette brand would theoretically give Porsche something to sweat over.
Sure, that sounds like a party, but given GM's troubled track record when it comes to launching (let alone managing) brands, we say that's slippery slope that could just as easily end with the whole Corvette franchise in the scrap bin. Either way, the notion is certainly an interesting one. Head over to Auto Extremist to take in the full editorial, and then let us know what you think in Comments. Should GM split off its most storied nameplate?
View Poll