GM: Badge-engineered, and built to stay that way...

Here we go again…

Just as Government Motors is working its way through the painful (for them, anyway) process of orphaning its Pontiac, Saab, Saturn and Hummer brands, it looks like its back to its old ways of badge engineering to keep its (remaining) dealers happy.

Buff mag Motor Trend has learned that GM is looking at giving Cadillac a mid-sized front-drive and AWD sedan, codenamed GM 166. Allegedly, 166 will grease up its hips and squeeze in to the wafer thin margin between the FWD 2010 Buick LaCrosse/Allure and the rear-drive Caddy CTS.

Looks like the “old GM” is back.

Didn’t it learn its lesson from the sales flop of all sales flops, the thinly badge-engineered Saab 9-3-based Euro-only Cadillac BLS, above?

Hello? I thought GM promised, “No more Cimarrons!”?

Oh, it gets worse…

Apparently, with the new FWD 166 on the way, the stillborn rear-drive compact Cadillac (think BMW 1 Series fighter) is now toast.

Why can’t Buick be the FWD luxury/Lexus fighter brand?

Why can’t Cadillac be the RWD sports & luxury BMW/Mercedes fighter brand?

[Source: Motor Trend]

Bailout Blues: Chrysler first D3 to go belly up

According to Bloomberg, Chrysler will be the first of the Detroit Three to file for bankruptcy later on this morning.

Despite the PR image of Chrysler “partnering” with Fiat, in reality, U.S. taxpayers will keep the unsustainable business afloat.

After the dust settles, the United Auto Workers (55 per cent), Fiat (20 per cent) and the U.S. government (i.e. 25 per cent to the taxpayers) will be responsible for the US $6 billion cheque that’s coming Chrysler’s way to keep the lights on.

Of course, U.S. taxpayers have already forked over $4 billion…

President Barack Obama said he is “hopeful” that Chrysler LLC will come up with a solution that will let a merger with Italian automaker Fiat go through and keep the U.S. company in business.

But three questions that everyone seems to be dodging:

How much money does Chrysler/Fiat need to stay in business until income from the Fiat products start rolling in 24 to 36 months from now?

Even then, how do you get U.S. new car buyers—a group who traditionally have hated small cars about as much as paying taxes and handing over their small firearms—to bite on the tiny “furriner” Cinquecento, Punto or Bravo?

And why does anyone think Fiats are an upgrade from Chryslers?

Just asking?

[Source: Bloomberg]

Autopocalypse: Whither Honda?

So what is up with Honda these days? Or more succinctly: Why are sales slower than a snail on Valium?

At the end of March, Canadian Honda/Acura sales were down almost 23 per cent in a market that was down by 15 per cent. Globally it’s worse, down more than 35 per cent.

And for the first time in 15 years, the Japanese automaker is posting a financial loss. And it’s a big one: ¥283.0 billion, or Cdn. $3.61 billion.

Why is this happening?

At a time when the domestic competition is fighting a losing PR battle with daily news of bankruptcy and liquidation, and in a Canadian market that rewards reliability, practicality and conservative products, why aren’t Honda and Acura vehicles doing better?

Are the cars “too good”? In other words, are existing customers hanging on to their Hondas instead of re-upping with newer models?

Or are the cars just not compelling enough, compared to more adventurous new vehicles like the Kia Soul and Nissan Cube

Or are they just too expensive?

[Source: Automotive New]

Bailout Blues: Pontiac officially punted

As rumoured last week, and along with the halving of its U.S. dealer network, after 83 years, Government Motors this morning officially put the last nail in its “excitement” Pontiac division.

In other breaking news, the Pope's Catholic...

Except for a good run between the 1964 GTO and the ’78 Smokey and the Mullet Firebird Trans Am, GM’s dead-brand-walking has been running on body-cladding and fake hood scoops ever since.

Even GM product guru Bob Lutz called it (along with Buick) a “damaged” brand four years ago.

Current Solstice and G8 aside, during the last few years the cold truth is Pontiac has had no answer for Chevrolet’s Cobalt SS, Camaro or Corvette, despite its in-house rep as the “excitement” division.

My bigger worry?

What will all those Pontiac Sunfire owners who think they’re driving a sportier Cavalier  do now?

Through the years, there have been some good Pontiacs, and, er, not so good. In the meantime—and if your memory’s good enough—from the rogues gallery below, let me know what your favourite all-time Pontiac was/is...

1964 GTO










1969 GTO Judge













1971 Firebird Trans Am 455 HO










1988 Fiero GT













2006 Solstice Roadster















2008 G8

2009 Shanghai Auto Show: Hey Porschephiles, don't try this at home...

You can watch an interview with Porsche head pen Michael Mauer breakdown its styling, and read more here about the new 2010 Porsche Panamera GT that made its official world debut at this past week's Shanghai auto show. Prices, specs, fuel economy—you know—the regular boring stuff.

But the night before it showed up at the Porsche show booth, the German automaker planned on showing it first to a select group of guests 425 metres above the downtown Shanghai Pudong district at the top of the world's highest event platform on the 94th floor of the 101-floor Shanghai World Financial Center.

Trouble was, when it came time to hit the "up" button on the freight elevator, the doors wouldn't close. The Panamera was too long by only a few centimetres.

Now what?

You can see Plan B below...

   

Bailout Blues: One down, four to go?

For the umpteenth time since Bob Lutz called Pontiac and Buick “damaged brands” back in 2005, Government Motors’ so-called “Excitement” division looks like its headed to its final pit stop in the sky.

According to Edmund’s Inside Line, as part of the U.S. Government’s “get with it” marching orders for GM, Pontiac will cease to exist as of this Monday.

Whether it happens then or the following Monday, Pontiac seems doomed.

The report cites that the brand was chosen as the most likely to die as most U.S. franchises have already been combined with Buick and GMC, something that happened in Canada years ago.

It’s been a long time since Pontiacs were considered cool or desirable. Except for recent hits like the Solstice and G8—arguably, the best Pontiac ever—Pontiac’s offerings have been more milquetoast than muscle. You have to go back to the legendary GTOs or Firebird Trans Am from the ‘60s and early ‘70s to find anything more than plastic-clad Chevys.

If this euthanization comes to fruition next week, Pontiac is only one step ahead of European Opel, Saab, Saturn, and Hummer as brands that will be leaving the GM brand corral sooner than later.

Do you think Pontiac deserves this fate?

Or is it any more worthy to be saved than either of these other orphan GM brands?

[Source: Inside Line]

2009 Shanghai: Separated at Birth - III

Lifan 320 vs. Mini Cooper Clubman

2009 Shanghai: Separated at Birth - II

Chang Feng Motor Acumen vs. Volvo S40

2009 Shanghai: Separated at Birth - I

Great Wall Cool Bear vs. 2004-06 Scion xB

2009 Shanghai Auto Show: Porsche premieres its Panamera

SHANGHAI – On the eve of this year’s Shanghai auto show (that swaps out with Beijing every other year), Porsche gave some of us in the media an official sneak peak of its Panamera four-door 2+2 hatchback Gran Turismo that will make its world debut on the show floor Monday morning.

With Porsche sales are up 140 per cent here since 2006 (compared to a drop of about 20 per cent in Canada) by launching its front-engine rear- and all-wheel-drive Panamera in Shanghai, the German automaker is recognizing that China is one of the few markets in the world that is still buying new cars.

“[Launching the Panamera in Shanghai] is a clear signal that we count on these markets and have full confidence in their future economic potential," reasoned Porsche’s President and Chief Executive Officer Dr. Wendelin Wiedeking.

You may already know a bit about Porsche’s fourth model. The German automaker’s been trickling out specs, photos and giving media shotgun rides for the past several months.

Wheels will finally get a chance to drive the car in June. But here’s what we know so far:

When it goes on sale in Canada this October, there will initially be three Panamera models: the $115,100 S comes with a 400 hp naturally aspirated 4.8-litre V8; the $120,300 4S adds AWD; and the top-line $155,000 Turbo gets AWD and 500 hp double-blown version of the eight.

All come initially with a seven-speed PDK twin-clutch gearboxes. A 300 hp 3.6-litre V6, comes in about a year, while a gas-electric hybrid is scheduled for one year after that.

Do you think Porsche has a winner on its hands?

With rivals like the Mercedes-Benz CLS, Maserati Quattroporte and forthcoming Aston Martin Rapide and Audi A7, does the world need another high-end four-door luxury performance car?