The has expanded its investigation into Chevrolet Cruze engine fires to two model years.
In April, NHTSA began investigating two complaints concerning fires erupting in engine compartments. Now, Reuters is reporting that the government agency has added 2012 Cruze models to the list, upping the number of total vehicles from 177,000 to 370,000.
General Motors told Reuters it has cooperated with investigators and there have been no reported injuries or accidents related to the probe.
According to a pair of complaints filed on NHTSA’s website, two Cruze sedans were on the the open road when smoke began streaming out from under the hood. A few minutes later, the cars were ravaged by fire.
“In two minutes, the car was fully engulfed and flames were 15-feet high,” one complaint said. “GM needs to find out and correct this problem before someone get [sic] seriously hurt.”
General Motors has announced the automaker is recalling certain models for a potential sensor failure. Under hard braking, the vehicle’s sensing and diagnostic module may reset itself, and if that occurs just before an abrupt turn, the vehicle could trick itself into sensing a rollover. In that event, the roof rail airbag could deploy outside of a crash situation. What’s more, the seat belt pretensioners could then fail during a severe crash. Needless to say, it could be a dangerous situation.
The recall covers a total of 4,304 units manufactured between October 24, 2011 and March 31, 2012. According to the National Highway Traffic Safety Administration, GM will notify owners and reprogram the sensing and diagnostic module free of charge. The campaign is set to get underway on June 1. Check out the for yourself.
recalls 2013 Malibu Eco over unintended airbag deployment fears
We’ll admit it. We’ve been waiting for this day since we first spied the 2006 Subaru B9 Tribeca. So has every other too-clever-by-half automotive journalist who slammed Subie’s range-topper when it debuted in late 2005, looking like it had been styled by whatever group-think team General Motors had canned for unleashing the Pontiac Aztek on the world. We never thought would last this long to begin with, and we wouldn’t be surprised if someone told us that Subaru has been keeping the slow-selling, three-row crossover in production just to keep the automotive journalist peanut gallery from gloating. We do love to gloat.
Of course, the report from Motor Trend is nothing more than a rumor at this stage, and Subaru’s official response is that there will be a 2013 model year Tribeca. And who knows, maybe the powers that be at Fuji Heavy Industries will shove another delightfully refreshed model year down the pipeline. .
Anyone considering a German-built car might want to buy it now. It could be a long summer.
Europe’s largest industrial union, IG Metall, is taking a tough stance against some job rules German carmakers want to enforce, potentially creating the possibility of a strike, according to .
“Talks are resuming, but so far five rounds of negotiations have produced little movement and a round of warning strikes earlier this month at several companies, including , and Daimler, suggest that the powerful union is gearing up for a confrontation,” the Bureau reported earlier this week.
The union wants a 6.5-percent pay raise for its workers and a limit in how many temporary workers the carmakers can use. Around the world, carmakers use temporary workers as way to increase production without increasing union membership and save money.
The union was offered a 3-percent pay raise, but that offer was rejected. Currently, German auto workers are some of the highest paid in the automotive world. And while parts of Europe remain in economic turmoil, Germany has shown signs of slow growth, which might be one reason some government officials are backing IG Metall.
All of this doesn’t bode well for General Motors’ German-based Opel. GM was hoping to get some concessions from the unions representing its workers as part of its restructuring. But if other carmakers are paying more for its workers, it’s unlikely the troubled Opel would be able to squeeze much of its people.
According to , the is officially the fastest ever made. The sedan’s lead development engineer, Bill Rietow, and powertrain drive quality engineer, John Townsend, did their part to support the assertion when they ran the Regal GS in the . The event isn’t about all-out speed, but about a driver finishing the course in a pre-set time. It has speed-limited and wide-open sections, and during one flat-out phase the Regal GS hit 162 miles per hour.
The same pair took last year in the 120-mph class, so this year they jumped to the top-tier 135-mph class. They finished second, four-tenths shy of their 40-minute target time over the 90-mile course. to see the engineers talking about the course and the car, and for a press release on the achievement.
Big trucks just aren’t appealing enough on their own, at least in some places. For proof, look to a Shanghai dealer who is offering about three years worth of free gas to anyone who buys a new Denali. Too bad it’ll take about 20 years to pay off the big truck.
The dealer is giving away five tons – about 2,000 gallons, worth around $8,000 in China – of petrol to new Sierra Denali buyers in China’s largest city, according to . The offer appears to be a nod to rising China gas prices, which are climbing towards levels similar to those in the U.S. now that the Chinese government is doing less to artificially keep gas prices down. Full-size trucks have been sold in China for about three years and are known to be status symbols in China, says The Detroit Bureau.
There is, of course, a catch. The Denali, unlike most General Motors vehicles sold in China, is built in the U.S., so the price tag is about $134,000, or almost three times what the model sells for in the States. Here’s hoping a few free car washes come with those full tanks.
The Biggest Hammer Of Them All Is Sharper Than Ever
We would love to be able to look you square in the eye and say, “All you need to know about the can be summed up in one figure: 662.” After all, that’s the obscene amount of horsepower ripping at the rear tires courtesy of the supercharged 5.8-liter V8 under the hood. Unfortunately, it’s not quite that simple. For the first time in its life, the GT500 has found itself lined up against a legitimate competitor in the . The muscle car/supercar crossbreed from General Motors is stitched to conquer not only the quarter mile, but nation’s road courses as well.
In order to answer that threat, the engineers at have laid a hand on nearly every mechanical and electrical system on board the GT500. While that means the blown V8 churns out a diabolical 112 more horsepower than the previous model, it also means the top-tier now comes with tricks like user-selectable Bilstein dampers, adjustable electronic power steering, larger brakes and an array of optional cooling systems. In fact, if this car came wrapped in a slightly different shade of sheetmetal, we’d be talking about an all-new model instead of a refresh.
The overhaul of ‘ marketing battle plan isn’t finished. The Wall Street Journal reports that Joel Ewanick, GM’s global marketing chief, is giving the brand a hiatus from Super Bowl advertising, believing it’s just got too expensive and that variety is called for. Thirty-second spots for next year’s big game are projected to cost $3.8 million.
The development comes quickly after GM decided to citing a lack of effectiveness (), and comes during a year of realignment efforts throughout the company: a began earlier this year and , a brand for and set up shop in Detroit, and personnel .
The General’s global ad spend in 2011 was $4.7 billion, and word is that GM doesn’t plan on spending less, it only wishes to spend better – Ewanick says the changes made so far will net the company $2 billion in savings over the next five years. It’s clear he’s looking to unlock more efficiencies; observers say that GM is also trying to improve its ad performance overseas and find better ways to reach demographics that have migrated in all directions and to all media.
The annual “Car Wars” report by Merrill Lynch analyst John Murphy predicts that, despite their seizing of U.S. market share over the last few tumultuous years, Korean brands and will give it all back and then some to companies like , General Motors and by 2016.
Murphy bases his predictions not on tea leaves or crystal balls, but rather the rate at which automakers launch new products. Ford will replace 26 percent of its product line over the next four years, a number that represents 46 percent of its volume, while General Motors will replace 25 percent and Toyota 24 percent. On account of these new product launches, Murphy says Ford can expect to add 0.8 percentage points of market share, General Motors will recover 0.5 points and Toyota will add another 0.3 points.
Other automakers that won’t be so aggressive in turning over their lineups with new models include , , and the European brands, which Murphy surmises will all remain flat in terms of market share.
Hyundai and Kia, meanwhile, will be introducing fewer new models than the rest and therefore, Murphy predicts, will see a 0.5 decline in U.S. market share.
Of course, these are all just predictions and can be blown to bits with the next unforeseen economic crisis or natural disaster, just like the last three years were. And there are other factors that might affect market share for each automaker during the next three years, including the availability of raw materials, exchange rates, union contracts, recalls and a million another minor things that might grow to become big things, not the least of which is consumers deciding they actually like all those new products being launched.
Frenemies and General Motors have taken to cyberspace for a little verbal sparing, trading snarky shots this week over which company is more likeable on Facebook.
GM set itself up Tuesday after news broke that the carmaker decided on Facebook advertising the same week the social media juggernaut prepares for its initial public offering expected to raise $100 billion dollars.
Ford used the opportunity to its crosstown rival, tweeting: “It’s all about the execution. Our Facebook ads are effective when strategically combined with engaging content & innovation.”
GM couldn’t leave that alone, going onto its , “Just wanted to let our millions of Facebook fans know, we’re still here, and we ‘like’ you back!”
Both carmakers will continue to use Facebook, where both have millions of followers of their brands and vehicles. And, really, they are both right.
Ford has done an extremely good job incorporating Facebook into its marketing strategy. When it came time to launch the new , it did it through Facebook reaching millions of people.
GM has determined its money will be better spent in other areas. A recent Associated Press-CNBC poll showing more than half of all Facebook users never click on sponsored ads and only 12 percent said they felt comfortable to buy anything over Facebook. Google, The Wall Street Journal , is much more effective.
Calling it “Holden’s worst kept secret,” a report in Australia’s Drive indicates that the General Motors antipodean brand will announce “very soon” that it will be exporting “thousands of Commodores to the U.S. from 2013.” Or, put another way, we will be getting thousands of Chevrolet SS Performance sedans – the in a previous life – starting next year.
The report says Holden is divulging the news earlier than planned because leaks just about everywhere, , as well as and speculation about , have got everyone looking southward for confirmation of the answer we already (almost) know.
Drive says our rear-wheel drive will get a revised take on the that has an aluminum hood to make it lighter and less aggressive wheel arches to make it more slippery. No hard numbers are attached to the export rumors, but it is expected to number “much fewer than the 50,000-odd” units that were predicted for the Pontiac G8 program.
The scintillating line for bitter enthusiasts still chafing over the confirmed-then-cancelled corn tease is that the exports “could also expand to involve ute and sportwagon variants.” Drive didn’t, but we will emphasize the word “could,” since we’ve been here before. However, that does jive with indicating the same thing. Holden’s announcement could be made as soon as later today right now – see below for update.
*UPDATE: Well that didn’t take long. General Motors has officially confirmed that the new Holden-derived sedan sold in the U.S. will be called simply Chevrolet SS. The “limited production” SS will race in NASCAR beginning with the 2013 Daytona 500 and will appear in showrooms in 2014. GM isn’t getting into specifics, but says “The much anticipated Australian-built car will benefit from significant technology advances which enhance overall performance.” As to additional bodystyles like a wagon or pickup, well, GM isn’t saying. See more in the official press release added , and click on the image above to get a look at GM’s newest racer all camo’d up.
Calling it “Holden’s worst kept secret,” a report in Australia’s Drive indicates that the General Motors antipodean brand will announce “very soon” that it will be exporting “thousands of Commodores to the U.S. from 2013.” Or, put another way, we will be getting thousands of Chevrolet SS Performance sedans – the in a previous life – starting next year.
The report says Holden is divulging the news earlier than planned because leaks just about everywhere, , as well as and speculation about , have got everyone looking southward for confirmation of the answer we already (almost) know.
Drive says our rear-wheel drive will get a revised take on the that has an aluminum hood to make it lighter and less aggressive wheel arches to make it more slippery. No hard numbers are attached to the export rumors, but it is expected to number “much fewer than the 50,000-odd” units that were predicted for the Pontiac G8 program.
The scintillating line for bitter enthusiasts still chafing over the confirmed-then-cancelled corn tease is that the exports “could also expand to involve ute and sportwagon variants.” Drive didn’t, but we will emphasize the word “could,” since we’ve been here before. However, that does jive with indicating the same thing. Holden’s announcement could be made as soon as later today.
The extended-range plug-in vehicle will start production about a year after its previously estimated mid-2013 date, Inside EVs blog reports, citing leaked company documents that were dated “a few weeks ago.”
The Atlantic, formerly known as Project Nina, will compete pricewise against the and sedans, as well as the and , and and . That would put the model in the $50,000 to $60,000 range, according to the publication. The model, which will still be produced at Fisker’s Delaware plant, will have 300 horsepower, a 0-60 time of 6.5 seconds and emissions of 50 grams per kilometer of CO2, Inside EVs reports, citing the documents.
“As these documents are obviously leaked investor documents and highly confidential, I am not prepared to comment any further,” a Fisker representative tells Autoblog sister site, AutoblogGreen.
The status of the Atlantic has since plans for the former plant in Delaware were put on hold once the U.S. Department of Energy froze most of the $529 million in loans earmarked for the California-based company.
Fisker the Atlantic at the last month, saying that the car’s price tag would be “a much lower price point” than Fisker’s sedan.
The Internets are buzzing over the upcoming initial public offering of Facebook, but doesn’t seem all that impressed. The Huffington Post reports that The General has pulled its Facebook ad campaigns just days before the social media site is scheduled to officially hit the stock market.
The pricey ad buy reportedly wasn’t paying sufficient dividends for GM, which spends billions of dollars on advertising every year. GM Spokesperson Pat Morrissey confirmed that Facebook was being reassessed, but added that the automaker routinely reviews where it is spending its ad dollars. Morrissey then added that GM is looking for effectiveness when it doles out marketing cash, which doesn’t bode well for Facebook’s ability to draw clicks.
If GM’s decision sounds at all irrational, the statistics seem to show that Facebook isn’t exactly an ad-click magnet. A recent CNBC poll showed that 50 percent of all Facebook users never click on any ads, and only 12 percent of those polled feel comfortable purchasing anything through Facebook. Google appears to be more effective at attracting clicks, as The Wall Street Journal a click-rate that is seven times that of Facebook.
Regardless of GM’s decision to break up with Facebook, we’re guessing that the news probably won’t drown out much of the anticipation for the IPO. After all, it isn’t every day that an Internet site with 900 million mostly addicted users goes public.
When we asked last year why it was building a factory in the U.S., after having missed the irrationally volcanic era of car sales, we were told that even a 12-million-per-annum market was still too big to ignore. A report in Reuters paints Ford’s situation in China somewhat the same way: is only now attacking the Chinese market, building plants and increasing local capacity there, after numerous other players have established their positions.
Nevertheless, there’s still much to play for. Whereas our market is expected to hang around in the 12- to 15-million-unit range, China’s market is predicted to hit 30 million cars per year by 2020. Said one analyst, “People are saying the Asia Pacific auto industry by 2020 is half the world’s industry.” A little piece of China’s colossal market will, anywhere else, still be considered a pretty big piece of pie.
After years of false starts and missteps in The Middle Kingdom, Ford sells six cars in China now, but they weren’t developed for the Chinese market and haven’t taken off with buyers there. Over the next three years Ford intends to introduce 15 more cars, many of them SUVs, and 20 engines to the Chinese market that can make better impressions on the locals.
That won’t put it anywhere close to market leaders – which already sells 35 cars there and is lining up 60 more models, and has the preeminient brand – or Volkswagen. But even the 3.1 percent share that one analyst predicted was in Ford’s reach by 2020, up from 2.8 percent now, will be enough to turn Ford’s currently desultory Chinese-market profits into something like a $700-million spigot once its production and offerings are stabilized.
Ford is and with its JV partner Changan Ford MazdaAutomobile to expand capacity to 1.5 million autos per year. At the moment, The Blue Oval has no plans to take across the Pacific.
Before financial Stargate opened in September of 2008 and transported us to an entirely new economic dimension, it was oh so common to read about domestic automakers hammering Tier One suppliers to lower their prices. Of course, suppliers are still asked to find efficiencies, but pre-2008, it seemed a point of honor to hold a supplier’s feet to the fire. No more: in the latest Working Relations Index survey of suppliers by Detroit firm Planning Perspectives Inc., and rocketed up the charts to bring the bunch much closer together.
Admittedly, the two companies are still in last place, with GM just ahead of Chrysler and and still up top. But perspective and improvement is the issue here: in 2005, Toyota scored 415 and GM scored 114. In this year’s survey, Toyota scored 296 and Chrysler scored 248. It is the first time in the 12 years of the survey that the six automakers covered have been separated by less than 50 points. Chrysler’s jump was led by the efforts of the , whle GM’s improvement has been led by Bob Socia.
And yes, this is also a matter of the perennial leaders, Toyota and Honda, suffering a dip: and Honda 309, two years later, Toyota has dropped 31 points. Every automaker, however, from top to bottom acknowledged that they still have work to do with supplier relations. The benefits of good feelings are that suppliers tend to present their newest tech to, and make better parts for, the automakers with whom they have the best relationships. Naturally, it has been found that the reverse is true as well.
Nissan and Ford make up the middle two spots, where they’ve been for years. , , and aren’t on the list yet; PPI feels it doesn’t have enough data on the Germans to yet to officially include them, and it doesn’t have enough data on Hyundai to rank it at all. If the data gathered on the Germans was included, though, they would sandwich the rest of the field: BMW and Mercedes at the top, Volkswagen at the bottom a point shy of Chrysler.
The door has not yet closed on . Hoping for yet another 11th hour stay of execution, the defunct carmaker’s chief union, IF Metall, has written directly to President Obama, asking him to intervene, according to Just-Auto. While on the surface, this may seem silly, it’s actually rather clever, even if it has little likelihood of working.
With the United States government , the Swedish union is hoping it can appeal to Obama to pressure General Motors into granting licenses to continue manufacturing Saab vehicles, according to the report. It’s this sticking point that has , as GM fears that were it to allow continued production of Saabs developed under GM’s ownership, it would open up the possibility of , particularly if a Chinese manufacturer that competes with GM’s own Chinese partner, SAIC, .
You have to admire , as they clearly have not given up hope. But in this case, they just don’t have any other options: Unemployment in the Saab hometown of Trollhättan has hit 40 percent, according to the report.
The auto industry has long been a cyclical business, and though this last trough was a deep one, the coming boom has economists excited. According to Bloomberg, the auto industry’s comeback contributed fully half of the 2.2 percent national economic growth in the first quarter of this year. , the best pace in four years.
Production is up at all three domestic carmakers, which has a ripple effect throughout the economy. Bloomberg cites Chad Moutray, chief economist of the National Association of Manufacturers, who estimates that every dollar spent on a new vehicle leads to an addition $2.02 in economic activity. The industry’s share of gross domestic product for the quarter was 2.8 percent, which is nearly as high as it was in 2007, before the economic crisis that devastated the industry, according to the report.
Yet despite the rise in fortunes for carmakers, stock prices have yet to follow suit. A key automotive index is up just 1.5 percent so far this year, but is down 31 percent in the past 12 months, according to the report. The U.S. Treasury Department recently indicated that because of lagging stock prices, anytime soon.
If you’re wondering why the name sounds familiar, it’s because . That’s right, General Motors’ chunky little crossover concept has blossomed into the production CUV you see here, and might we say, it’s quite a handsome little thing.
Details about the new Trax are scarce, but since it looks to be based on the same high-riding platform derived from the that underpins the and , so we’d expect the powertrains to simply carry over unchanged.
But know this: has no plans to offer the Trax in the United States, citing “the strong position of the ” as the reason why it won’t be offered Stateside. That’s a shame, too. In our opinion, this baby Bowtie certainly makes more sense than the frumpy Buick Encore that doesn’t really seem to fit with its brand. We suspect that Chevy dealers won’t get this vehicle in part because GM wants to protect the Buick’s positioning and price when it heads to U.S. dealers later this year.
The Trax will make its official debut at the in late September. For now, click the image above for a high-resolution version and to read GM’s official release.
Trax crossover headed to Paris, not bound for U.S.
Here’s one from the unsurprising file: The Consumer Electronics Association has written the National Traffic Safety Board in opposition to the .
According to The Detroit News, CEA is all for efforts to create technological solutions to the distracted driving problem, which makes perfect sense, as those products or features would be one more thing for its member firms to sell. To its credit, CEA did write that it supports banning texting and restricting phone use by young drivers.
But the organization insists that there is no “real-world evidence” to support prohibiting all phone use in vehicles, according to the report. In support of its position, it played the makeup card, saying that other distractions like “eating, drinking, applying makeup and engaging with children” would also need to be banned.
The to ban hands-free calling is somewhat peculiar in that it would ban calls through a paired cell phone, but not calls through a phone built into the vehicle, like the OnStar system from General Motors. The recommendation has been controversial, with even Transportation Secretary Ray LaHood with the idea.