GM's Lutz: GM to prioritize on fuel economy

"Some gearheads may be disappointed, but Cadillac needs the Sixteen like it needs a hole in the head. It was an interesting concept car, but not a particularly attractive one. Had the Sixteen made it into production, it would have certainly become an icon for wretched excess and what's wrong with Detroit car companies. GM made the right move." - GM Deep-Sixes the Sixteen - Back Seat Driving, July 2, 2007

 

It looks like GM is finally responding to what the market demands. For too many years, the Big 3 produced what ever they felt like because they owned the market. That is no longer true, and the Big 3 aren't even the 3 largest automakers anymore.

 

"In an era of 36 miles per gallon by 2017 and four percent a year after that, [if] we come out with a 16 cylinder, 1,000 horsepower car - which even with a hybrid system could get about 13 miles per gallon - I'm afraid from a public image standpoint it would display of lack of sensitivity to environmental concerns," said Lutz. "I think a Cadillac Sixteen at this point - as much as we all love the car - probably would not be an extremely prudent thing to do."

Wow, you think so Bob? Man, you're a genius! No wonder they pay you the big bucks.

Harry

 

With Toyota sales beating the pants off of GM right here in GM's back yard, even the village idiot of Detroit can see that if GM is to survive, they have to produce more fuel efficient vehicles and less marketing bullshit.

Keith

 

GM's June U.S. Sales Drop, Toyota Jumps

General Motors Corp. said Tuesday its U.S. light vehicle sales plunged 21.3 percent in June, while Toyota Motor Corp. reported its vehicle sales jumped 10.2 percent.

...GM's top-selling pickups, the Chevrolet Silverado and GMC Sierra, saw declines of more than 20 percent, while the Toyota Tundra more than doubled.

"Tundra really hit its stride this month, posting a record sales pace," Jim Lentz, executive vice president of Toyota's U.S. division, said in a statement. "In a short five months, the new truck's earned its stripes with both loyal Toyota owners and those new to the brand."...

 

Small is beautiful. At least for the moment.

GM, Ford, Chrysler June sales drop.

"Honda said it sold 140,935 vehicles in June, up from 126,449 during the same month last year. Sales were led by the Civic and Fit small cars and the CR-V small sport utility vehicle."

"The company said sales of its F-Series pickup slipped 0.5 percent. But its Focus small car rose 20 percent."

"Nissan's sales were boosted by the redesigned version of the Sentra small car, which increased 26.9 percent."

"DaimlerChrysler said Chrysler car sales were up 55 percent because of an ad campaign highlighting fuel efficiency of its models. The company did not break out truck sales, which offset the gain."

Do we see a pattern here? You think GM is finally noticing?

 

Is it me, or does EVERYTHING GM says appear to be reactionary? They say the "right" things, but it seems just like a drunk saying, "I should be sober to drive", after he is in the ditch.

Specifically, this announcement seems more driven by the acknowledgement that the exotic ultra luxury-concept cars were not going to generate the return on investment expected. Reading between the lines it was a retreat (or in Monty Python terms-Advance to the Rear).... Not an focused commitment to a new generation of autos.

I really hope I am wrong because a lot of Americans really lose big time. Who wants that.

 

Posters outside theaters across the country list Jon Voight, Shia LaBeouf, Josh Duhamel and Megan Fox as the stars of the summer action flick "Transformers."

But in the labs and cubicles where General Motors Corp. (nyse: GM - news - people ) workers design and market new cars, the true leads are the Chevrolet Camaro, Pontiac Solstice, GMC TopKick and Hummer H2.

"You're going to see these cars as the heroes. You're not going to see the other actors," said Dino Bernacchi, GM's associate director of branded entertainment. "These cars are the stars, literally, in the movie."

...The Detroit auto giant is spending millions to promote and market its "Transformers" tie-ins, but wouldn't give a figure. With a shrinking U.S. automotive market and amid stiff competition from overseas rivals, GM is banking on the exposure translating into sales.

"This is hopefully a discovery point for maybe some of those who didn't know the great design, the great-looking vehicles that we have out today," Bernacchi said.

GM Hopes Film Will Transform Sales

 

I thought the H2 was discontinued.

 

<div class='quotetop'>QUOTE(Godiva @ Jul 4 2007, 12:46 AM) [snapback]472772[/snapback]</div>

The H1 (original military style version) was discontinued because "it didn't fit in the garage." I believe the H2 is built on a GMC chassis so it may still be in production. Bottom line is: Don't really know. Don't really care.

 

Funny, this is coming from one of the same individuals who cried afoul when the new mpg standards* for 2020 were implemented. Now all of a sudden it’s a priority!

* Standards which btw are a pathetic attempt at progression since 35mpg is such an easy goal... and for 12 years fom now, come on, this should have been the standard 20 years ago!

 

<div class='quotetop'>QUOTE(Earthling @ Jul 3 2007, 08:36 AM) [snapback]472209[/snapback]</div>

The Cadillac Sixteen? It's not a matter of image...the very concept of the car is *all about* a lack of sensitivity to environmental concerns.

And, BTW, "we all" don't necessarily "love" the car.

Lutz is really working on improving his understanding of the obvious, isn't he?
[laughing]

And what ever happened to the "fuel economy standards will add $5-6,000 to the price of every new car" line? Last week's long term strategic plan, I guess.

 

This car doesn't do a darn thing either way for the enviroment or fuel economy standards in reality. How many are they going to sell ? Have your 1000 hp cars and I don't care, just bring the Volt out and make a ton of them that work. Maybe the 5-6K per vehicle that uncle Bob is talking about is what they have to charge extra to make a profit in the small car market when you're carrying all those retirees and there isn't any SUV market left to support it.