has been looking to offload Nexteer Automotive from the moment it received the business as part of the deal to help Delphi exit bankruptcy. The Detroit automaker indicated that it agreed to terms with Chinese company Pacific Century Motors , and now, The General has officially announced that the paperwork is now signed, sealed and delivered.
Pacific Century takes delivery of a company with 22 steering and halfshaft manufacturing facilities, six engineering facilities and 14 customer support centers spanning the globe. The company, which relies on GM for nearly half of its business, had $6.2 billion as recently as 2008. Terms of the deal were not disclosed. Hit the jump to read over GM’s brief press release.
continues to clean up its ledger book, and the latest transaction has GM wiping $1 billion off the table. In Korea, the GM Daewoo Auto & Technology subsidiary, otherwise known as GM Daewoo, plans to pay back the 10-figure debt it owes to its Korean revolving credit facility. The debt will be paid in full by the end of this month. Perhaps is in order?
[Source: General Motors]
Subaru, Hyundai and Kia set full-year sales records
The subtitle above should surprise no one. Of all the automakers operating in the U.S., , and are the only automakers to increase sales month after month through this years-long recession while their competitors have faltered. As such, all three are enjoying new full-year sales records a month ahead of the Times Square ball dropping.
The rest of the industry, however, is apparently done fumbling around and is clearly finding its footing. The vast majority of brands saw increased sales last month except for the usual suspects (GM’s non-core brands that are just about dead, also-dying , along with and ) and a few cellar-dwelling surprises like , , and . We’re not sure what Toyota’s banking on to turn things around, aside from mass amnesia of its recall woes, while Chrysler is doing its best to either fully redesign or substantially upgrade its existing models to keep customers interested.
Either way, when the book closes on 2010, automotive historians will write that the competitive landscape on December 31 looked markedly different than it did 365 days earlier. With one more month to go, we doubt the list of winners and losers is going to look very different from what you see below.
*Brands and companies are displayed in descending order according to their percentage change in volume sales. There were24 selling days in November 2010 versus 23 selling days in November 2009, so the change in monthly sales volume will be different than the change in average daily sales rate (DSR) for each brand/company.
Max Wolff, formerly of , has been hired by to head up ’s design team effective January 3, 2011.
During his tenure at GM, Wolff was most recently responsible for leading ’s exterior design team, though he also held positions at the automaker’s and divisions. Ford sees Wolff’s global design experience as a benefit for Lincoln, bringing “a fresh perspective that will challenge us internally and take Lincoln to new levels of prestige,” says Derrick Kuzak, Ford’s Group Vice President for Global Product Development.
Wolff, 38, is tasked with creating a definitive design language for Lincoln that extends beyond the large split-grilled creations we currently see. Specifically, Ford has cited that the Lincoln brand will debut seven all-new or significantly refreshed vehicles over the next four years, including the automaker’s . For the full details, for the official press release.
is still upset about how its joint NUMMI venture with was handled, and according to Automotive News, the Japanese automaker has now filed a lawsuit to the tune of $73 million. The suit is against Motors Liquidation Co., the company created to pick through the discarded ashes of “Old GM.”
Toyota states that when in 2009, it breached the contract between the two automakers. The $73 million covers research and development costs that were poured into the Fremont, California facility before it was shuttered last year.
The plant now belongs to , who purchased it from Toyota in May of 2010, for $42 million.
Unions and southern auto plants go together like ice cream socials and diabetes, but the mere thought of an organized plant in Chattanooga must give Tennessee Senator Bob Corker bad dreams. The Chattanooga Times Free Press reports that Corker was asked by VW to give input as to whether or not the facility should take a pro-United Auto Workers stance. The senator reportedly told representatives at the German autoworker that the presence of organized labor would be “highly detrimental.”
So why the negative stance on unions? Corker claims that his dealings with the UAW during the bailout of Chrysler and General Motors is the reason he’s so sour on the idea in his home state. The senator claims that the UAW put the success of the automakers “way, way, way way” behind the needs of union, adding “I just can’t imagine any company of their own accord of being desirous of entering into a relationship with UAW.”
Volkswagen currently has a reported “neutral position” concerning unionization in Chattanooga, but according to a study by the Grand Rapids Press in Michigan and other Booth newspapers, the UAW could lead to higher labor costs for the German automaker. The paper says that overall labor costs, which include pension funding and health care, adds up to about $74,000 per year per employee. Non-union automakers reportedly average a much lower $53,000 per year.
But while Corker’s feelings about the UAW may or may not give VW pause, neither the senator or the automaker will have the final say in the matter. VW Communication Manager Guenther Scherelis says “the employees will decide for themselves about their representation.”
The Center for Automotive Research has released a new study detailing the impact of the auto bailout of 2009. According to The Detroit Bureau, the group found that the government’s involvement in the automotive industry saved 1.14 million jobs and $96.5 billion in personal income in 2009. The study also says that in 2010, around 314,400 jobs were saved by the bailout and that, in total, the loans to and allowed $28.6 billion in social security and income taxes to be paid back to the federal government.
If these figures are accurate, they mean that, despite the fact that the two carmakers have only repaid $13.4 billion of the $80 billion that was loaned out, the government only needs to receive another $38 billion to cross a theoretical break-even point. That would be a pretty rosy picture compared to the doom and gloom that opponents to the bailout predicted before the treasury opened its doors. The full study is available at the .
Want to and get the first available production model of one of the most eagerly-awaited vehicles of the decade? You can, if you’re willing to bid some money to help the Detroit Public Schools – more specifically the Detroit Public Schools Foundation, which supports math and science education.
The “first Chevrolet Volt available for retail sale” will be auctioned on through 6 p.m. (EST?) December 14, with the winner announced on December 16. The actual first retail Volt will be kept by , so the auction car will have a vehicle identification number ending in BU100002. The car includes the Light Neutral interior with dark accents, has the Premium Trim Package, Rear Camera and Park Assist Package and polished wheels. The auction starts at $50,000 and comes with a 240-volt charging station installed in the winner’s home. No word on whether of not winning the auction still qualifies you for the $7,500 federal tax credit.
As you might expect, GM is highlighting the connection between all of the advanced technology in the Volt and the math and science needed to create it. General Motors North America president Mark Reuss said in a statement that, “By encouraging Detroit-area students to pursue these topics, we hope to cultivate the next generation of engineers who will build upon the Volt’s innovative technologies.” To this end, GM will also hire 1,000 engineers and researchers in Michigan within the next two years. You can , but before you go anywhere, check out an official time-lapse build video of the first Chevy Volt after the jump.
A Rasmussen Reports poll fielded in November – before General Motors’ IPO – finds a rise in the preference of “American-built” vehicles, as well as a willingness to accept U.S.-built and products as the same as buying an “American” product.
Forty-one percent of respondents said they look for an “American-built” car first when they’re in the market for a vehicle. That sentiment is attributed by many analysts and researchers to a sense that people are showing more and more sentiment for “buying local.” That’s just a few points below the 44 percent who said they look for “the best possible deal regardless of where it was manufactured” while just 12 percent said they look first for a foreign-built car.
The sentiment favoring American-built car brands has risen quite a bit since Rasmussen conducted a similar poll in June 2008 when just 32 percent said they looked for an American brand first.
Good news for foreign owned automakers building vehicles in the U.S. Forty-one percent of respondents said they viewed buying a foreign brand of car that’s manufactured in the U.S. as “the same as buying an ‘American’ product” meaning those people believe a Mexican-built is just as American as an Ohio-built . Forty-two percent, however, dissented from that notion while the rest were unsure.
The poll also found 59 percent saying they “consider just the Detroit Big Three – , and – to be American car companies.”
Fifty-four percent of Americans said they are less likely to buy a GM car because the federal government is/was the automaker’s majority owner. Still, in a separate survey in early June, 48 percent of those who planned to buy a new or used car in the next year said they are at least somewhat likely to buy either a Ford or a vehicle made by GM. Those findings included 20 percent who were ‘Very Likely’ to buy a Ford and 26 percent ‘Very Likely’ to buy a GM product instead.
, fresh out of bankruptcy and back on the open market, has announced it will resume sponsorship of the PGA Tour. The automaker’s last sponsorship in the golfing world, which famously paired star golfer Tiger Woods and , amidst major cutbacks just prior to filing for Chapter 11.
This time around, GM will tap its range-topping division for hole-in-one sponsorship duties. The arrangement will make Caddy the title sponsor of the World Golf Championships-Cadillac Championship and an umbrella sponsor of the World Golf Championships. Sounds pretty, ahem, par for the course. For 2011, the tournament will be played at TPC Blue Monster, Doral Golf Resort & Spa in Doral, Florida.
In addition, PGA Tour commissioner Rim Finchem, the organizers are also “[looking] forward to exploring opportunities with Cadillac to bring PGA TOUR tournament golf back to Detroit.” We expect some sort of announcement of that taking place sometime before 2012. Feel free to for the official press release. Oh, and the Caddy/caddy puns start… now.
General Motors takes one on the chin but gets back up, thanks to us – Click above to watch video
is trying hard to move forward after everything that has happened in the last few years. The auto giant would not be here without the help of the government and the hard-working taxpayer. In a brand-new 60-second holiday ad spot, The General shows us that people and things can fall down or fail, but they get back back up… even if they need help doing so.
A boxer gets knocked down, a rocket falls back to its launch platform, Popeye almost drowns and Evel Knievel lands on his back instead of his bike. Each situation looks rocky but turns out okay in the end. GM shows these clips and then acknowledges its own fall while also thanking us (i.e. taxpayers) for picking it back up.
The clip is heavy on the schmaltzy side, but it’s nice to think General Motors realizes who kept it in business. While we’d , a simple “thank you” message will have to do for now. You can see the ad for yourself by and giving it a look.
2010 Chevrolet Spark – Click above for high-res image gallery
is considering the introduction of continuously variable transmissions in its next round of small cars in an effort to improve fuel efficiency. According to a report from Automotive News, the is being considered for CVT application, as well as Bowtie’s smaller and compacts.
In speaking with AN, Sohn Dongyoun, GM’s vice president of engineering at , says that CVTs offer an easy, quick fix in order to help improve fuel mileage. Dongyoun says that GM will need to improve the fuel economy on its small cars by at least 10 percent in their respective next generations.
This will not be GM’s first application of CVTs. In the early 2000s, the automaker used CVTs in the coupe and crossover, as well as the hatchback overseas. This CVT was not well received, however, and was discontinued at the end of the 2005 model year. Currently, no word has been given as to whether or this GM’s new CVT would be developed in-house, or when we might see the first applications being offered.
Buick GL8 – Click above for high-res image gallery
has released an all-new version of its popular GL8 in China. Developed by Shanghai , the executive people-mover wears a freshly redesigned exterior with sculpted body lines and a new front fascia. Inside, GM has thrown the luxury book at the van with tricks like blue ambient lighting, a 10-speaker sound system and two-tone leather seats. An attractive seven-inch touch dominates the dash, though it looks like Buick has managed to hold on to the excessive amount of buttons on the center stack that have become the brand’s trademark as of late. Rear passengers, meanwhile, get the benefit of a 10.2-inch HD display for movies and the like.
Under the hood, GM has fitted a 3.0-liter V6 as the GX8 flagship mill, though a 2.4-liter four-cylinder engine is also available for the fuel-conscious buyers of the People’s Republic. A six-speed automatic gearbox takes care of cog-swapping duties. for the full press release after checking out the gallery below.
Vauxhall Corsa Bingo Ball Special – Click above for high-res image gallery
If you thought the current trend of alphanumeric nameplates leaves most cars sounding like places on a bingo card, just get a load of the latest from Vauxhall. ‘ British subsidiary has outfitted one of its Corsa hatchbacks with over 2,000 bingo balls hand-applied to a pastel bingo sheet all over the car’s surface.
The one-of-a-kind promotional “art” car will be displayed at a special game event at an old church in Manchester, England. 500 participants will be on hand to play under the special Vauxhall’s watchful eye, with a chance at winning one to take home for themselves… sans the bingo ball motif. See all the details in the press release and the high-resolution photos in the gallery below.
Lingenfelter Camaro dips into the eights – Click above to watch video
Prepare to have your concept of the laws of physics twisted by the guys and gals at Lingenfelter. The crew have turned their attention to building one of the meanest full-interior, fifth-generation drag cars on the planet. In order to hustle 4,075 pounds of General Motors muscle down the track, Lingenfelter has dropped in a fully built LS9 V8 with an Eaton supercharger and all the guts to match. The heads were fully ported and loaded with titanium intake valves and hollow, sodium-filled exhaust valves for the easiest breathing possible. Throw in a set of long-tube headers, a two-stage nitrous system and twin fuel pumps and you’ve got a lump good for a mind-boggling 1,243 horsepower.
Lingenfelter has unsurprisingly ditched the stock clutch in favor of an RPS triple carbon piece, and a unique 9.5-inch billet rear differential with a 4.10 gear puts power to both rear wheels.
By some miracle of driving prowess, John Ebert was able to wrestle this machine down the quarter mile in 8.99 seconds at 158 mph. to watch it happen.
is investing $163.2 million three plants as it prepares to ramp up engine production for the , and a new small Chevrolet. The company’s Flint Engine Operations will take home the lion’s share of the money, with $138.3 million going to help boost production of the Ecotec turbocharged 1.4-liter four-cylinder engine used in each of the company’s fuel-thrifty cars. Meanwhile, The General’s Bay City Components plant will receive $12.7 million and Defiance Castings in Defiance, Ohio will see $12.2 million. All told, GM says that the money will protect 184 jobs across the three manufacturing sites.
At the beginning of 2011, the Flint plant will be responsible for producing around 400 engines per day, though GM wants to increase that number to 800 by the end of next year. The Bay City plant is set to increase production of both connecting rods and cam shafts while the Defiance facility will increase its output of crank shafts and engine blocks. for the full press release.
is recalling nearly 200,000 and and Isuzu i280 and i370 pickups. The vehicles are apparently equipped with a top child restraint tether anchor that’s not accessible as required by federal law in the center seating position. This means parents could fail to secure their children properly, potentially causing injury in the event of a collision. GM says that it discourages using a child safety seat in the center due to the proximity of the airbags. The recall covers 2004-2011Canyon and Colorado models and 2007-2008 Isuzu trucks.
GM says that its dealerships will service the vehicles under the recall free of charge.
At this point, the company is unaware of any injuries caused by the design defect. for the full press release.
After yesterday’s 99 miles per gallon (equivalent) EPA rating for the , had to be eager to get the numbers for the from the government – if for no other reason than because these efficiency stickers are the last thing .
Today, GM shared the official numbers with the world, and they range from 37 miles per gallon to 93 mpge (equivalent) combined to 60 mpg “composite.” Sixty mpg composite is a “combined, combined” number, and will be completely different for everyone. You might want to think of it as a lifetime figure, since it accounts for both electricity and gasoline consumed. Oh, and it’s also best in class for compact cars. The Volt’s official electric-only range will be 35 miles, but GM, like Nissan, has been giving a range recently of 25-50 miles recently. The Volt now has an official total range of 379 miles, with 344 miles of that being extended range (i.e., gas) driving. As Tony DiSalle, Chevrolet product marketing director, said, “If you try to boil it down to a single number, it gets quite difficult.”
Doug Parks, Chevrolet Volt Global Vehicle Line Executive, said he is “quite pleased” with the numbers and understands that it is a complicated story to tell. GM and the EPA worked together to come up with this label to figure in all of the different modes that impact the vehicle’s efficiency. We’ve heard that the 2011 Volt will have a temporary EPA label, but Parks told us that what you see above will likely be what we see in next year, saying “Our intent was not to do something that was a one-year deal. Our hope is that this is very similar to the path that everyone will go down in the future. We tried to make the label look as similar as it can to next year.”
So, what about that . Well, that was a different way to calculate things. “230 by itself was never intended to be a composite number,” Parks said.
The National Highway Traffic Safety Administration rolled in the first batch of pickup trucks to be tested using its latest Five-Star New Car Assessment Program. Three trucks were tested: the (this truck’s scores were also applied to the nearly identical GMC Sierra 1500), and .
Of the trucks tested, the pair from recorded the best scores, earning a Combined score of four stars. The 2011 Tacoma also managed a Combined score of four stars, but performed significantly worse than the GM trucks in NHTSA’s front crash testing, taking home just two stars for the passenger.
Bringing up the rear in this round of testing is the Ram 1500 (non-Heavy Duty). While full-size pickup managed a Combined rating of three stars, it floundered in the agency’s tough new pole test with just one star being awarded. Check out for more analysis on the results, and search .
In the event of war, you can’t hurl Hyundais at the enemy
Former Chairman Rick Wagner used to talk of “externalities,” those uncontrollable factors that he routinely blamed for the humbled automaker’s continuing decline. Other industry leaders preferred the term “headwinds,” but they were routinely referring to such matters as rising raw materials costs, unpredictable petroleum prices or, perhaps, an economic meltdown.
What most major automakers don’t have to worry about is the idea of having a shell land in the middle of their boardroom. But the news out of the Korean peninsula makes it clear this is a very serious, very real possibility for the folks who run and .
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Paul A. Eisenstein is Publisher of , and a 30-year veteran of the automotive beat. His editorials bring his unique perspective and deep understanding of the auto world to Autoblog readers on a regular basis.
The subtitle above should surprise no one. Of all the automakers operating in the U.S., , and are the only automakers to increase sales month after month through this years-long recession while their competitors have faltered. As such, all three are enjoying new full-year sales records a month ahead of the Times Square ball dropping.
Max Wolff, formerly of , has been hired by to head up ’s 
Paul A. Eisenstein is Publisher of , and a 30-year veteran of the automotive beat. His editorials bring his unique perspective and deep understanding of the auto world to Autoblog readers on a regular basis.
